Value of Sports MarketingValue of Sports Marketing

Anil DuaSr. Vice President –Marketing & Sales

Hero Honda

Anil DuaSr. Vice President –Marketing & Sales

Hero Honda

Competitive

Physical /mental /equipment

Formal

Informal

Products

Passion

Mass appeal

So, there is immense value…

But..the yardsticks are different…

Subjective or Objective ?

Subjective or Objective ?

Subjective or Objective ?

Subjective or Objective ?

Subjective or Objective ?

Subjective or Objective ?

Tangible or intangible ?

Predictable or unpredictable ?

Series1

Control on quality ?

Group consumption or individual consumption ?

How much is the value ?

2007 20080

500

1000

1500

2000

2500

568.8

1917.7

INR spends in Crores on Sports marketingINR spends in Crores on Sports marketing

Source : AdEx, Group M estimates

Where is the value ?

Sports Sponsorship

Athlete Management

Team Sponsorship

Ideas & Innovations

Mass media spends

0 10 20 30 40 50 60

20

7

22.5

0.7

49.8

27.5

5

7

7.5

53

20072008

% of spends on various components of sports marketing % of spends on various components of sports marketing

Source : AdEx, Group M estimates

Cricket dominates overall spends…

Cricket Golf Marathon Other Sports

Football Tennis Motor Sports

Athletics Hockey0

10

20

30

40

50

60

70

80

90

77

7.3 7 4 2.2 1.5 0.3 0.3 0

Sports sponsorships in 2008Sports sponsorships in 2008

Source : AdEx, Group M estimates

and also in team sponsorship….

IPL Indian Cricket Team

Indian Football Football Club Ranji0

102030405060708090

79

19

1.3 1 0.3

% spends

Team sponsorships in 2008Team sponsorships in 2008

Source : AdEx, Group M estimates

Sports GenreSport Event Channel Avg. TVRs

Cricket IPL SET Max 4.50* Soccer EURO Cup ESPN 0.56Tennis US OPEN Ten Sports 0.10Racing F1 Grand Prix STAR Sports 0.07Golf European Tour - Sas Masters Ten Sports 0.04Hockey Sultan Azlan Shah Cup Zee Sports 0.02Basketball NBA ESPN 0.02Badminton Indonesian Open ESPN 0.02Boxing Sr National Boxing Championship DD Sports 0.01

*FIFA in 2007 had a rating 0f 1.01

GEC

Genre Event ChannelAvg. TVRs -

Male TGAvg. TVRs - Female TG

GEC Kyunki Saas Bhi Kabhi STAR Plus 2.9 3.9GEC HH SRGMP Challenge Zee TV 2.8 3.7GEC Dulhan / Saat Phere Zee TV 2 3.4

and in deliveries…

Hero Honda’s association with sports

Hero Honda’s association with sports

On ground

On air

The real value is in taking it down the line

and in leveraging national events

and also in getting into our core product area

Share of Voice higher than Share of spend

TG – Male , 18 -40 yrs

Great ROI

Sponsoring sports – Inspiring peopleSponsoring sports – Inspiring people

Is it enough?

Olympics 2008 medals tally

Olympics 2008 medals tally

What ails Indian sports ?

• Not enough playing population ?

• Not enough interest ?

• Not enough access ?

• “The ability to participate depends on a variety of

enabling social conditions” Amartya Sen

What ails Indian sports ?

• Infrastructure• Institutional & administrative reforms

– Talent tapping

– Talent nurturing

– Social security• Awareness & Interest

Opportunity – India Land of Sports…..but few Heroes…

Making the cycle self perpetuating

More Icons

Higher participation

Bigger sponsorsBetter Infrastructure

Greater talent

Lets give sports a chance…

Thanks….Thanks….