Sports commercialization case

Olympic Games: A Model of Sports Commercialization

■ Orsay

1984 Olympic Games is in crisis due to financial difficulties. A top-level business plan with collecting sponsors, transferring TV broadcasting rights and selling tickets at high prices as financing channels was a great success, which turned around the fate of the Olympic Games in one fell swoop. Since then, the Olympic movement has shown a thriving scene:/kloc-0 earned $497 million for the Seoul Olympic Games in 1988,/kloc-0 earned $40 million for the Barcelona Olympic Games in 1992, and/kloc-0 earned $0 million for the Atlanta Olympic Games in 1996. ...

A miracle-

Top business plan to turn the fortunes of Gan Kun around.

From 65438 to 0976, after 80 years of glorious and arduous course, the modern Olympic movement fell into an unprecedented predicament, and only the American city of Los Angeles applied for the bid. A public opinion pressure that makes the IOC extremely embarrassed is that hosting the Olympic Games is a matter of losing both the wife and the soldiers. Experts listed the following facts: 1972, Munich, Germany, was in great financial trouble because of hosting the 20th Olympic Games. 1976 2 1 The Montreal Olympic Games lost 997 million dollars, and it took 10 years to pay off the debts owed. 1980, the 22nd Moscow Olympic Games, the former Soviet Union spent more than 9 billion dollars. The Los Angeles City Council held a meeting after the decision of the Olympic Committee, and held an expert discussion on whether the municipal government should hold the Olympic Games. Unfortunately, the experts at the meeting made a decision to refuse to use the financial income to host the Olympic Games.

The global Olympic movement is facing the crisis of premature death. It was Uber Ross, a famous American entrepreneur, who broke the deadlock. He reversed the fate of the Olympic Games by financing private enterprises, and made the 23rd Los Angeles Olympic Games a model for the global Olympic movement to promote local economic development. 1984 Olympic Games not only lost money, but also made a profit of 220 million dollars. The initial top-level business plan of this Olympic Games has become a model for the business operation of the countries that later hosted the Olympic Games. Ueberroth introduced the concept of "sponsor" in the famous TOP plan launched by Shanda, and promoted the sponsor to sponsor. He limited the number of sponsors to 30 and stipulated that each industry can only choose one enterprise. The reserve price of Ueberroth is $4 million. This is equivalent to provoking an industry competition. In order to surpass Pepsi-Cola, Coca-Cola submitted13.5 million dollars to the Olympic Organizing Committee. Japan's Fuji Company won the bid with $ 100,000, getting rid of its powerful competitor Kodak Company, and its market share in the United States increased from 5% to 10%. In the film industry, every percentage increase means an increase of $654.38+million. Ueberroth persuaded McDonald's to build a swimming pool with 1 1000 seats, plus a grant of $4 million. In return, McDonald's got the privilege of operating fast food restaurants exclusively during the Olympic Games. Ueberroth publicly announced three financing channels: collecting sponsors, transferring TV broadcasting rights and selling tickets at high prices. 1On September 26th, 1979, the Los Angeles Olympic Committee and ABC Broadcasting Company of the United States broadcast 220 hours of Olympic programs in 16 days. 19811On February 3, the Los Angeles Olympic Committee sold the TV broadcasting rights to the European Broadcasting Corporation for19.8 million US dollars. The Los Angeles Organizing Committee put out a rumor that even the President of the United States had to pay for the tickets out of his own pocket. Tickets for the Los Angeles Olympic Games are finally priced at $ 50-200.

Since then, the Olympic movement has shown a thriving scene: 1988 Seoul Olympic Games has 160 participating countries (72 more than Montreal Olympic Games) and 8 143 athletes, spending 3 billion US dollars, but earning 497 million US dollars. 140 There are 226 TV stations in 40 countries and regions that broadcast the Seoul Olympic Games, with a total audience of 4 billion. 198 1, only two cities, Seoul and Nagoya, bid for 1988 Summer Olympics, 1986 Six cities bid for 1992 Olympic Games, and six cities bid for 1996 and 2000 Olympic Games. There are as many cities bidding for the 2004 Olympic Games as 1 1! Cities are eager to host the Summer and Winter Olympic Games. After the Los Angeles Olympic Games won $220 million, the Seoul Olympic Games won $497 million. Although the Barcelona Olympic Games won only 400 million US dollars, the Olympic Games brought 26 billion US dollars of economic benefits to Barcelona, created 20,000 regular employment opportunities, and made the city jump from a medium-sized city in Europe to the seventh largest city in Europe. Although the surplus of Atlanta Olympic Games is only $65.438+million, it has created economic benefits worth $5 billion without government input.

During the 65,438+00 years of bidding and hosting the Olympic Games, Sydney is expected to create 90,000 jobs. In addition, the Olympic Games can greatly promote the development of tourism and construction industry, increase international trade opportunities, promote the transportation, communication and services of the host city, improve the environment, and bring considerable political and social benefits to the host country. Although the venue for the 2008 Olympic Games has not yet been decided. The TV broadcasting contracts of American NBC Broadcasting Company, Japanese NHK Broadcasting Company, European Broadcasting Union, Australian TV Station and New Zealand TV Station will pay $65.438+58 billion for the 2008 Olympic Games, and the Olympic Organizing Committee will get a 49% share. The IOC has also signed and will sign the TOP plan for the 4th Olympic Games in 2008 with 65,438+00 multinational companies, amounting to more than 500 million US dollars, of which the organizing committee of the IOC will share about 35%. Together with the income from selling tickets and issuing licenses, the basic income of the host of the 2008 Olympic Games is guaranteed.

A platform-

Sports business technology is included in MBA teaching materials

Sports is an industry that plays an important role in national education, national quality, national economic growth and employment tax all over the world. In the process of economic globalization, sports are inevitably involved in the economic whirlwind and play an indispensable role in the process of economic development. According to a statistical data, the commercial operation of sports has become an important means to promote national consumption and expand employment in many countries. The United States is the most developed country in sports consumption in the world, with an annual market consumption of $60-70 billion. It accounts for 1.3%- 1.5% of the gross national product of the United States, even exceeding the annual output value of important industrial sectors such as petrochemical industry and automobile industry. By developing the football industry, Italy has made sports one of the pillar industries of Italy's national economy 10. Its market exchange capacity reached 24 trillion lira in the late 1980s, and its per capita consumption was 320 US dollars. Switzerland is not a sports power, but sports is a 13 pillar industry in Switzerland. The British government received about 2.4 billion pounds of tax from the total income of sports consumption of more than 6.8 billion pounds. This fund is equivalent to five times the government's investment in sports development. A market report of 1998 claims that the amount of global sports sponsorship has approached 153 billion US dollars, and this trend is still increasing at the rate of 13%. If 10 is taken as the background of economic growth, the growth rate of the expenses of global enterprises and companies for sports sponsorship is 300%. Among all sports sponsorship amounts, North America accounts for the largest proportion, accounting for about 465,438+0%, Europe for about 34%, Asia-Pacific for about 65,438+07.6%, and Central and South America for about 7.4%. The annual sports sponsorship in Britain is about 654.38 billion pounds. The United States spends about $600 million on sports sponsorship every year.

A worldwide survey shows that besides World War I and World War II, the three most far-reaching events in this century are the prosperity and development of sports all over the world. Sports has become a common language in the world except music. The Olympic Games has become the largest global carnival in the world today. During this period, an average of nearly 3 billion people around the world watched TV broadcasts every day. Countless people gathered in front of the TV, enjoying the game, caring about their players and enduring the unbearable but exciting final result. In the last two World Cups, the number of TV viewers reached 2.5-3 billion. Famous stars such as Pele, beckenbauer, cruyff, the soul of football, and Diego Diego Maradona, the genius of football, have made people's enthusiasm and worship of football on a global scale reach an unbounded level. In the basketball world, there are 195 national TV stations broadcasting, explanations in 48 languages, and more than 600 million viewers are accepting an NBA finals in the United States. Michael Jordan's dunk in the air and the dazzling performances of Pippen, Buckley, Rodman, Robinson, Malone and O 'Neill made investors, sponsors and many audiences crazy. The world sports world with many kings and superstars makes sports a kaleidoscope-like mythical world.

The magical effect of sports on people's emotions and emotions was immediately noticed by smart businessmen and applied to commercial promotion. Originated in the early 1960s, a marketing technology based on athletes, sports games and sports teams came into being. In the increasingly fierce commercial war, sports marketing is like a pair of air purifiers, which builds a communication bridge between product marketing and people's emotional connection. In a short history of 40 years, sports and economy are inseparable and have rapidly developed into a proprietary market. Sports market (Sp o r ts M a rk e tin g) has developed from a single marketing technology to a commercial platform that can trigger economic growth in the new economic field. Many multinational companies and enterprises have established sports marketing departments after realizing the role of sports market in stimulating consumption.

Promoting products through sports has become a common path for corporate CEOs. Due to the special public relations effect caused by the sports market, sports marketing accounts for an increasing proportion of marketing expenses. Seeking capital appreciation by investing in sports projects is often in the planning of investors. In business schools, sports market technology has been incorporated into business courses and textbooks. Those successful sports market cases have found cultural and value channels for MBA students in business schools to optimize the combination of production factors and resource allocation in the market economy. Because sports marketing is based on sports events, inspired by famous athletes, with product sales as the ultimate goal, it implements market technologies such as public relations, market promotion, advertising and product testing, so sports market is also called project market or sports marketing market. In western society, many life concepts and value orientations are realized by providing entertainment and recreational services to the public through the sports market, so the sports market is also interpreted as a lifestyle market.

The practice of the world economy has proved that sports can become a market for the exchange and promotion of sports products and services with other life products and services. The biggest function of sports market is to influence ordinary people's participatory consumption and ornamental consumption through sports. When the traditional material supply model no longer pulls the excitement of people's consumption, the imbalance between supply and demand provides space for creating and deducing the new business model of sports market. The core of the economic growth point of sports market innovation business platform is not only to satisfy people's material pursuit, but also to create people's consumption demand in spirit and values. When macroeconomists persistently pursue new economic growth goals, an interesting implication is that adding mysterious and beautiful cultural value demand to material consumption demand is one of the puzzling but effective characteristics of contemporary new economy.

Sports has a special position in China. It has played a special role in national diplomacy, national cohesion and national feelings, and will definitely try again in promoting economic development. Because exercise is the natural choice of human beings, and China has nearly 400 million people who often take part in physical exercise and sports activities. At the critical moment of China's economic globalization, it is undoubtedly a good thing for the country and people to increase sports participation consumption and ornamental consumption and create effective demand. On February 29th, 65438 Beijing time, ESPN columnist Howard Bryant commented on Woods' fall. He believes that the disillusionment of Woods myth is a typical case of the failure of American sports commercialization, and the "perfect image" created by Woods does not belong to him personally, but is the "fake skin" of money interest groups. In the article, Howard Bryant also denied that Woods sold his image and privacy for money. The specific translation is as follows:

There are still two days before the next decade of 2 1 century. But as we all know, Woods' jokes will obviously not come to an abrupt end on New Year's Eve.

This year's Gaotan selection is somewhat "pun" and "irony". The Associated Press named Woods as "Outstanding Athlete of the Decade", while peers put the wreath of "PGA Tour Player of the Year" on Woods' head again. While publicizing the well-known facts, the media exposed the unknown privacy of tigers. In this "subversion of the image of the king of heaven", Woods, Irene and their precarious marriage have become the targets of various "paparazzi", and those "tiger girls" who are really having an affair or waiting for opportunities to speculate on the situation through gossip media. Some sponsors of Woods have also jumped out to draw a clear line with the "King of Heaven", and of course there are supporters who support the tiger to the end. Once, Woods' epoch-making perfect image brought a glimmer of light to the Millennium sports world. However, when the tiger was about to enter its most glorious peak decade, Woods swung a "heavy punch" and destroyed the "God of Perfection" in the hearts of countless people. Ten years ago, Woods changed the sports world. Ten years later, he "subverted" the previous changes in another way.

It is not uncommon for Woods to get entangled with women. This is just one example of countless "bachelors" who are confused by money. But the collapse of Woods' "perfect image" indirectly proves the failure of the "star-making system" we saw before. This is not the first such incident. The "steroid era" in baseball has already started (in 2003, MLB had 104 professional players tested positive for drugs). Perhaps, people who have experienced the "steroid era" have long been tired of talking about the "Woods scandal". In two sports cases, Woods and 104 professional baseball players refused to disclose more facts, which can never be ignored.

In the steroid era of professional baseball, failure comes from all aspects of the industry-teams, leagues, individual players, media and fans. Chain exposure and public reaction have caused a series of "injuries" with far-reaching influence. Of course, in that failure, some groups benefited in the short term; Until today, no one is willing to stand up and take corresponding responsibilities. In fact, in the steroid era, integrity has been swallowed up by greed. The parties finally reached an agreement: in the future, players will not do similar things even if they get10 million dollars. That's just an excuse. It is empty. Having done something "nasty", it is obviously too late to save the situation. As george mitchell, the official in charge of the steroid era investigation and former majority leader of the US Senate, concluded in February 2007, this is a failure of the American sports system.

In the field of American sports and culture, Woods symbolizes the failure of another system: the "star-making" mechanism itself is stale, and the stars created do not represent themselves, but only money. What is even more outrageous is that when the "fraud" was exposed, the entities involved in those systems used money to buy off the stars to "hide their shame" in an attempt to cover up the true side represented by the stars. It took ten years to realize the true and bittersweet side of great players, and it is time to smash the rumors that the sports world has been trying to maintain.

In the "peach affair" at the end of the year, we should also find out the reasons for being ill. 165438+The car accident on June 27th and the subsequent "scandal" should be the privacy of the Woods family and should not be placed in the headlines of various media, among which New York Post even put the Woods incident in the headlines for 20 days. Woods, he's just a golfer, not the boss of the UN Security Council. As for him? He is a man who has earned more than one billion, but he is not yet 34 years old. No matter from the physiological point of view, or the opportunity of money and sex trading, his attraction to peach blossom girl is infinite.

From the perspective of family protection and social responsibility, there are also many voices against Woods. But what many professionals can't accept is that Woods took money in this "storm"! Just like Michael Jordan and lebron james, they allow their names to be used as money-making tools in every big event. Duncan is a special case at this point. For money, they allow themselves to be marketized and labeled as "labels" that do not belong to them. For the sake of "dollars", they allow themselves to be children and compete to imitate the "image" of advertising posters, but only on the surface. Now, Woods has sold his right to privacy-greatly weakening the authenticity of the exposed privacy, because it is just another commodity.

When the "perfect image" is completely destroyed, he may realize that everything is "blood money". Major League Baseball (NFL) superstar michael vick has realized this, and so has Woods. Once a commodity loses its value, it will be discarded like garbage.

What a star can make up for is to be more careful about public promises, because there are few versions suitable for his ideal image. Maybe Woods can learn from another NBA star, Duncan of the San Antonio Spurs. Since he entered the NBA from 65438 to 0997, fans have been praising Duncan's star behavior. In the final analysis, Duncan has been protecting his dignity and privacy from "infringement" of business operations. If it is too complicated for stars to learn from each other, it should be easier to do so-really good performance is always enough.

In commercial times, where interests are paramount, stars engage in Faustian deals to fool the public. When things go wrong, someone has to pay the price. No one is innocent. Establishing a good public image is a part of interest groups represented by stars in order to earn public money. They use the "perfect image" to conquer the hearts of the public and regard it as a kind of "invisible currency" transaction, or even a "free card for getting out of prison". However, this "ideal image" does not always work.

When Kobe Bryant was involved in the notorious rape scandal, he tried to "excuse" these defects. Most importantly, he didn't succeed. Now that Kobe has just left him, the role of that excellent basketball player continues. When his Sprite advertisement was eliminated, Kobe seemed to be at the other end of commercialization-at least less cheating.

Sports culture is not an isolated branch of society. As the public, we should see the other side of things. In the star-making movement, the media played an indispensable role, but as for what kind of heroes the media created, maybe they don't know themselves. Too many people fall into the plot of "fake heroes".

Since 199 1, he has been engaged in media work, and since 1997, he has written sports columns and successfully reported a series of professional baseball teams such as new york Yankees and Boston Red Sox. However, I have never been invited to any professional athlete's home, and no professional athlete has been to my home. Only Art Hall and Ken March attended the activities related to me, one was my book party, the other was my wedding, and that's all.

This is the practice in today's sports world. The interaction between media and players is limited to clubs, pre-match press conferences, charity parties and industry-related activities to enhance the image of players. Often the purpose of these meetings directly points to the home run effect brought by finance.

We should remember that modern superstars are only spokesmen of relevant interest groups. To some extent, all media regard it as a "company collection" rather than an "individual player". For example, Woods has represented PGA Tour, Nike, Buick and so on. The media know that the "perfect image" created together is superficial, but they are more willing to take the initiative. On the one hand, they add helium to make the ideal balloon for heroic sports blow bigger and bigger, on the other hand, they also hold a needle that can puncture the balloon.

Before Woods' "balloon" was punctured, we had actually clearly seen the "corruption" of the system, but many people ignored it. Before the myth of a star is shattered, relevant commercial organizations have begun to look for the next "star" and are ready to create another "skin" representing money. According to this cycle, Woods' "story" will happen again if the standard of the model remains unchanged. Of course, the joke will continue until the next scandal appears. In that case, the star-making movement in sports will really become a vicious circle.