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Investment in sponsorship fees. Location$ AmountSeoul (1988)US$ 338 MillionBarcelona (1992)US$ 700 MillionTurin (2006) US$ 4 BillionBeijing (2008)Main Sponsors US$ 80 Million (2005-2008) each. What is ambush marketing?. OriginCirca the 1984 Olympics in Los Angeles (first Olympic games to market sponsorship)Created by frustrated marketers (non sponsors) who turned to ambush marketing to:maintain some association with the event .
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1. Ambush Marketing Douglas J. Wood
Partner
Reed Smith LLP
3. What is ambush marketing? Origin
Circa the 1984 Olympics in Los Angeles (first Olympic games to market sponsorship)
Created by frustrated marketers (non sponsors) who turned to ambush marketing to:
maintain some association with the event
4. What is ambush marketing? Generally defined as:
marketing and promotional activities that:
seek an association with a sponsored event
without the authorization or consent of the organizer of the event or sponsor, and
without paying the requisite fee
5. What is ambush marketing? Goal:
to misappropriate or capitalize on the goodwill and popularity of the sponsored event
intentionally confuse the public into thinking that the ambush marketer is the official sponsor of the event
6. What is ambush marketing? to deflect some attention away from the competing sponsors
to reduce the effectiveness of their communication while also undermining the value and the quality of the sponsorship opportunity that was sold
7. What is ambush marketing? The result:
consumers may be confused as to who is the official sponsor of the event
ambush marketing may impact negatively on sponsorship rights
Therefore:
sponsors seek some guarantee from the organizer of the event that offenders will be pursued (in the sponsorship agreement)
8. Forms of ambush marketing Simultaneous promotions (for example: sample/free product distribution at sponsored event, billboard advertising or flying blimp with advertiser’s mark over venue)
Purchase of sub-category rights (for example: broadcast rights purchased from a TV network from marketers who are not official sponsors of the event for the duration of the sponsored event)
9. Forms of ambush marketing May involve the misappropriation of trademarks available to official sponsors by the use of logos or images associated with the event (example: Olympic rings) or involve design variations of protected logos
Often done by using city, country or even generic names to avoid trademark infringement
May involve the use of official tickets or prizes in sweepstakes to imply an association with the organization or event
10. AMBUSHERS
11. Special Teams
12. Soccer European Championship 2000
13. Athletics World Championship 2001
14. What is allowed?
15. What is allowed?
16. What is allowed?
17. THE 2006 EXPERIENCE
18. ItalyThe Specific law No. 167 of August 17th, 2005 Introduces measures to protect the Olympic symbols during the Turin 2006 Olympic Winter Games
Reserves all rights concerning use of Olympic symbols to:
Italian National Olympic Committee
Organizing Committee for the 20th Winter Games, and
Executive Agency of the 20th Winter Games
Allows use by third parties on prior authorization
19. Italy The Law:
Prohibits:
publication, commercial distribution and sales of products or services with distinctive signs likely to suggest the existence of a license, authorization or other form of association,
explicitly bans “ambush marketing” (i.e. “activities for profit performed in parallel to those properly licensed or authorized.”
20. Italy The Law:
Provides (aside from ordinary remedies available for TM infringement, unfair competition and misleading advertising):
administrative sanctions (fines) from Euro 1,000 up to Euro 100,000,
enforcement through Financial & State Police and competent Legal Authorities,
possibility of obtaining seizure of all infringing products,
protection coverage until December 31st, 2006.
22. How did it work? No Olympic Pizza or Cake on sale in Turin
No fly zone over sports venues
Bar Olympic (pub in central location) had to cover the logo
Same obligation for a sports apparel and equipment shop
23. How did it work? At sports venues:
Special sponsor brand protection teams asked reporters:
to cover the logos on their laptops with black electrical tape,
to strip of logos from their beverage bottles, or
to put them under the desk.
Logos on porcelain in venues’ restrooms were also tape covered
24. How did it work? Despite huge efforts some teams run afoul
25. The TARGET Express Train A moving billboard
Spectators approaching the sports venues travelled on special “Target Express” trains:
red and white bull’s-eye logos everywhere
when leaving at stations connecting to Olympic locations, riders were provided with wooden train whistles, air horns, and large foam gloves shaped as hands, all with Target’s logo
Riders were greeted with the slogan “Target helps you express your passion. Get ready to make some noise!"
26. What else has been allowed? Examples:
“Our lemonade for the World Cup ...“
“For the World Cup, we are presenting ...“
“We are flying you to the soccer World Cup 2006 “
“Our World Cup special: ...“
“For the soccer World Cup 2006, we are dropping our prices for the period from ...“
27. WHAT’S COMING UP?
28. London 2012 In discussion, protection on:
Other words as: “games”, “medal”, “gold”, “silver”, “bronze”
“2012”, “sponsor”, “summer”
While a fierce struggle takes place between:
Sponsors/Organizers (in favour of maximum protection)
Business and Advertising Industry (worried about excessive barriers/restrictions)
29. London 2012 Relaxed Italian last-minute approach:
a new law 6 months prior to the OWGs in Turin
Pragmatic British way of dealing with money issues:
a draft bill 6 years ahead of the 2012 Games in London
30. London 2012 Draft bill proposes protection on:
Words “Olympic”, “Olympiad”, “Olympian/Olympic rings”
Team GB & BOA logo, British Paralympic Ass. & team logos
Words London 2012, London's bid logo & derivatives of London2012.com,
2012 Games logo and mascots (not designed yet),
Olympic motto “Citius, Altius, Fortius” (Faster, Higher, Stronger)
31. London 2012 Tactics like this won’t be allowed in London.
32. CHINAAMBUSH MARKETING 2008 Beijing Olympics
33. China is poised to become the world’s second largest consumer market by 2014
From 1979 to 2005, China’s real GDP grew at an average annual rate of 9.6%
GDP hit 18.2 trillion yuan (US$2.3 trillion) in 2005
Retail sales in 2005 reached US$827 billion
34. China Laws & Regulations No specific laws or regulations on ambush marketing.
Laws that have some effect are:
Article 21 of the Advertising Law of the PRC
Article 2 of the Law Against Unfair Competition of the PRC
35. China’s Fight Against Ambush Marketing Beijing Regulations on the Intellectual Property Protection of Olympics-related IPRs
Regulations on the Protection of Olympic Symbols
Beijing 2008 Olympic Games Sponsorship Program
39. Finding Balance in Ambush Marketing Review the Beijing 2008 Olympic Games Sponsorship Program
Adopt a comprehensive sponsorship package
Consolidate, enhance and protect the rights and privileges of the sponsoring corporations
Find balance in the anti-ambush marketing program of BOCOG
40. Thank You