After Tiger Woods’ Mea Culpa, Now What? Advertising Age – Rich Tomaselli February 19, 2010 Brittney Belshe, Sarah Berwick, Parker Scanlon

Tiger Woods Professional Golfer 14 Professional Golf Major Championships Thanksgiving accident ▫Result – Infidelity Are his sponsors willing to “get back into bed with him?”

Sponsors Nike Golf EA Sports Gillette Champions Tag Heuer Golf Digest Accenture NetJet Upper Deck Tatweer: Dubai TLC Laser Eye Centers PGA Tour (partner)

Sponsors Status Accenture – 1 st to drop Woods ▫No longer an effective vehicle to deliver advertising messages AT&T – Dropped Gatorade – Discontinued Tiger focus drinkGatorade Gillette – Scaling back advertising Tag Heure – Downscaling image pending return to course

Image injury, PGA viewer ship drop 47% “Positive buzz” ▫September 2009: 81 ▫February 2010: 6 “Negative buzz” ▫September 2009: 2 ▫February 2010: 80 Was one of the top 3 celebrities – Millward Brown Chart ▫Now bottom 3  Above Lindsay Lohan & Kanye West

News ConferenceConference Held February 19, 2010, 11am EST Wall Street trading stopped, increased post conference Televised – 6.86 Million viewers ▫Fox News: 2.07 Million viewers ▫ESPN: 1.71 Million viewers ▫CNN: 894,000 viewers ▫Golf Channel: 741,000 viewers ▫Ustream: 683,000

Other Scandals Michael Phelps ▫Suspended ▫Sponsors dropped Chris Brown ▫Sponsors dropped Michael Vick ▫Suspended ▫Sponsors dropped ▫Jail time

Questions/Discussion Do you agree with sponsors dropping Woods? Do you feel differently about a product/brand when celebrities behave badly? Will people still respect Woods as an athlete and buy the products that endorse him? Should there be a behavior clause in contracts?