Archive for February, 2009

Isinbayeva: Role Model for Olympic-Sized Endorsement Deals?

Friday, February 27th, 2009

27 Feb 09

Reuters recently reported that world and Olympic pole vault champion Yelena Isinbayeva just scored a $7.5 million, five year endorsement deal with Chinese apparel firm, Li Ning.   Through endorsements, like this one, and continued pursuit of world records, Isinbayeva hopes ”that this will be only the first step to raise the status and standing of the sport.”

Interesting.

At U/S Sports Advisors, we speak with a lot of pro athletes and their advisors.  Too many of them complain that only Kobe, or Shaq, or LeBron, or Tiger, or etc., “get all the big deals.”

So, what does Yelena have that others do not?

1.  Vision:  She knows that her behavior (i.e., her brand) influences fans and sponsors.  She believes that her efforts will raise the profile of her sport. (And, it will!)

2.  A Plan:  If top name athletes in your sport have secured the “big deals,” then don’t fight them.  Redefine the game.  Create a plan that has you turning left when everyone else is turning right.  If there’s a line 100 deep at Nike’s office, don’t wait for Nike to call.  Go “Li Ning”!

3.  The Skills To Make It Happen:  Except for the “elite of the elite,” endorsement deals don’t simply fall in your lap.  Having the ability to define and project your brand is critical to making the right connection with an endorser.

At least, that’s how Isinbayeva rolls.

Posted by Ken Ungar.

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Posted in Athletes, Elite Athletes, Professional Advisors, Sponsorships and Endorsements, Sports Business, Sports Consultants

Athletes’ Epidemic

Friday, February 20th, 2009

 

 

Ok, so when we started the U/S Sports Advisors blog back in October, 2007, it became part of my daily routine to pour through the sports biz pubs, like SBJ/D, ESPN, SI, etc. to see what the latest hot topic was to reflect on.  Time and time again, not only did I find lots of hot topics, but many times they were centered around athlete controversies.

Disorderly conduct, doping, dog fighting, DUI’s, illegal betting, drug usage, and the list goes on.

Each time a new round of stories hit the wire, they always came with a spin of the “freakish outbreak” of athletes misbehaving, abusing their privileges, what have you.

But I’m here to tell you the real deal of these incidents.  They are not isolated, disconnected, or flukes.  They are all part of the same fluid pattern — examples of flaws of the system.

Athletes these days are among the highest paid professionals of any discipline in the world.  And, with those pay checks comes a whole entourage of, not only people, but responsibilities, stressors, and expectations.  What they do not typically come with, is a sufficient infrastructure, teaching these young athletes how to handle it all.  Hence, the constant “controversies.”

Now, there’s not a lot to say about dealing with the sports performance demands on athletes.  They are what they are.  Athletes are paid to perform –- to deliver results and wins.  Aside from a little meditation, I’d say these stresses are pretty static.

Where I can offer some advice, is when it comes to the sports business demands in their entourage of challenges. The smoother the business side goes, the better the performance and social sides will get.  They say 90% of sports is mental, and I believe that to be true on and off the field of competition.  Dealing with agents and the media, negotiating deals, managing employees, investing those big pay checks wisely.  These are all constant weights tied around the emotional development of these athletes.

My advice to athletes?  Get your business affairs in order now.  Educate yourselves with the right questions to ask, where to go for critical information, and organize your business life in an easily manageable and trackable order.  Push your leagues and sanctioning bodies to provide better resources for you in these areas.

While I’m by no means relieving you of the tremendous responsibilities that come with the luxuries of your profession, I am calling attention to the continued epidemic that has somehow drifted under the radar, only detected in “isolated incidents.”

I just can’t bare to watch as my next hero falls to the “outbreak” that has been plaguing sports – at least since October 2007.

 

Posted by Krissi Price

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Posted in Athletes, Behavior, Contract Negotiations, Elite Athletes, Media Training, Professional Advisors, Sponsorships and Endorsements, Sports Business, Sports Consultants, Sports Marketing

Michael Phelps: Myths About Sports Celebrity

Tuesday, February 3rd, 2009

 

Well, the Phelps – South Carolina Party story continues.  No new facts.  It’s just a story the media has been chewing on slowly.

As I track various stories on Phelps, his foibles, and his endorsement relationships, I’ve observed the following myths about his sports celebrity:

Myth #1:  Phelps Didn’t Choose To Be A Role Model

As soon as he chose to wear the uniform of the U.S. Olympic Team, he became a role model.  Like it or not.  He achieved greatness in his sport, and by virtue of this accomplishment, people will look up to him.  Period.  When he accepted his position on the Team, he became a role model.  A role model for kids, who can make their dreams come true if they work hard enough.  A role model for adults, who can set their sights on the seemingly impossible and still succeed.  Every athlete achieving any degree of notoriety serves as a role model for others.  

And, one final point regarding Myth #1:  When you’re a paid representative of a brand, your responsibilities as a role model to fans, consumers, and (of course) your sponsors are even more substantial.  

Myth #2:  Phelps Is A Role Model Only For A Certain Group

One commentator claimed that Phelps’ endorsement relationship with Kellogg (cereals) makes him a role model for the consumers of its cereals, especially 6 to 12 year olds.  While its true that his Kellogg relationship makes it more likely that 6 to 12 year olds will notice his behavior, Phelp’s responsibility as a role model isn’t limited to a certain age or gender demographic.   If Phelps was only endorsing brands for senior citizens, 12 year olds would still look up to him.  

Myth #3:  It Was Only Marijuana….What’s The Big Deal?

It’s illegal.  Nuff said.  This is the world of sports business.  We leave social policy debates to Washington.  

Myth #4:  He’s Only 23.  

Last time I checked, most 23 year olds don’t earn eight-figure salaries.  Last time I checked, most 23 year olds aren’t compensated to be role models and brand ambassadors.  When he’s not in the pool, this is his job.  And, he’s being paid handsomely for it.    Trust me, Phelps doesn’t want to be held to the standard of “most 23 year olds.”  Because, most 23 year olds who cause their employers this kind of grief are fired.    

Myth #5:  It’s His Handlers’ Fault

Are you kidding me?  His handlers may have been able to better mitigate the damage.  But, they certainly didn’t cause his behavior.  

Myth #6:  His Sponsors Will Stand By Him

This is my favorite myth of all.  His sponsors will always do what’s in their best interests. Not his best interests.  Phelps hurt his reputation repeatedly after the Olympics.  The question now is “what has he learned?”  Because once sponsors stop standing by him, they never come back.

Posted by Ken Ungar.

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Posted in Athletes, Behavior, Branding, Sponsorships and Endorsements, Uncategorized

Michael Phelps Losing Control

Monday, February 2nd, 2009

 

Am I surprised that a 23-year old man acts a little rowdy at a Las Vegas strip club or takes a hit off a marijuana bong?  Hardly.  

Am I down-right shocked that an Olympic gold medalist, who has a license to print endorsement money, acts in a way not consistent with his role model status?  Absolutely.  

The recent photo, published in News of The World, showing Phelps’ partying a bit too hard at the University of South Carolina, creates a real irony for him. In training and in the swimming pool, Phelps controls every aspect of his performance.  In his career, Phelp’s out-of-the-pool behavior has shifted control of his career to his sponsors’ marketing departments.   Marketing departments, where closed door meetings are occurring this week:  ”How bad is this?”  ”Do our consumers care?”  ”Has he breached the morals clause of our endorsement agreement?” “What will our CEO think?”    

With each question, there’s a 50 percent chance the answer turns out badly for Phelps’ present and future out-of-the-pool career.  And, there’s absolutely nothing Michael can do at this point.  Sure, he issued a formal apology.   However, his behavior had already shaped his brand. And, his brand is the only thing sponsors care about.  

Posted by Ken Ungar.

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Posted in Behavior, Branding, Elite Athletes, Sponsorships and Endorsements, Sports Marketing, Uncategorized