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There's a lot more to sports marketing in China than the 2008 Beijing Olympics as KN's Nick Wheeler explains.

 

The idea behind sports sponsorship and marketing is straightforward: association with sport extends audience reach and creates a positive brand image that translates into sales. When your potential audience is the population of China, sports marketing should be a no-brainer, but here the approach is still a long way from reaching its full potential.

"Until recently China has been a sporting backwater, but that has changed," says Wheeler. "Chinese athletes have won significant sporting success and China now plays host to some of the biggest events in sport such as the Shanghai Grand Prix and the Tennis Masters Cup. This has pushed sport up the marketing and communications agenda."

Golf is a good example Wheeler explains. "Whilst the number of active golfers in China is low, there is very high awareness of the sport largely due to its aspirational premium lifestyle image. Car makers, financial services companies and luxury brands recognize this and are queuing up to take a piece of the action." Asian golfers, big-ticket professionals and golfing celebrities all capture media attention and deliver big returns to the sponsors.

Other sports remain surprisingly under-supported. Football is hugely popular in China with national league games capturing audiences of hundreds of millions. But allegations of corruption and the unprofitability of the national clubs and leagues means that investment in the Beautiful Game is widely seen as burning money and potential sponsors give it a wide berth.

Table tennis and badminton may be minority sports outside China but both sports are incredibly popular and professional games are high profile selling lots of tickets, something that KN client FedEx has recognized recently in its sponsorship of the China National Badminton Team. Beyond this, the marketing potential of both sports remains untapped.

"Multi-national companies are leading the charge in sports marketing in China as they are much more familiar with the approach than their Chinese counterparts," says Wheeler. Whilst MNC's dominate now, Wheeler reckons widespread Chinese investment in sports marketing is not far away.

"Increasingly high profile sports events and an exploding professional media scene make a fertile environment for sports marketing in China," says Wheeler. "The pace at which the approach catches on is likely to accelerate towards the Beijing Olympics which will form a watershed in making sport a mainstream part of the marketing mix."

Ketchum Newscan has run many high profile sports marketing programs in recent years including the 2004 Athens Olympic Torch Relay and the 2005 HSBC Champions Tournament in Shanghai. If you have any questions concerning our sports marketing capabilities please contact nick.wheeler@knprbj.com

Tips for sports marketing success
1. Choose a sport that has a tangible link to your corporate positioning, values and business goals.
2. Know that longer-term investments reap higher dividends than one off sponsorships.
3. Remember that for every dollar invested in sponsorship you have to at least match it in PR spend to generate maximum awareness for your brand.

Nick Wheeler
Career History

Nick has worked in the Chinese media/communications industry for five years. In January 2004 he took over responsibility as General Manager of the KN Beijing Office. Prior to that he managed the Corporation Communications practice where he has provided strategic counsel and also in PR project implementation. Prior to joining Ketchum Newscan, Nick was Managing Director of the British Chamber of Commerce in China. He has been a resident of Beijing for 15 years