Endorsements Sports Marketing.

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Presentation transcript:

Endorsements Sports Marketing

Endorsement A partnership between an athlete or entertainer and a company in which the athlete or entertainer receives compensation in return for their support and approval of a company product or service The celebrity agrees to allow the company to use his or her likeness to promote company goods and services

Endorsement Characteristics What characteristics among celebrities do sports and entertainment marketers look for? Success and high levels of performance Media following Work ethic Personality traits

2013 Endorsement Earnings Tiger Woods $65 Million Roger Federer $65 Million Phil Mickelson $44 Million LeBron James $43 Million Kobe Bryant $34 Million

Tiger Woods Scandal In the wake of Tiger Woods’ scandal in 2010, he reportedly lost over $22 million in endorsement deals In 2011, he lost another major endorsement deal when TAG Heuer decided to part ways.

Endorsement Effects Sales Studies have shown that celebrity endorsements can be extremely effective in helping a company drive sales of its products or services

Nike Golf In 2000, Nike Golf signed Tiger Woods to play its golf ball. By 2005, Nike Golf enjoyed revenue growth of an astounding 24 percent per year.

George Foreman Given the incredible sales success of his branded grills, George Foreman now sorts through as many as 20 endorsement offers per week

Class Activity Read David Beckham Case Study Complete Internet Activity