SONY's $300 million bet on the world cup to continue to lead the consumer electronics

SONY chairman Howard may not like football, but he is sure to use the magic of the sport of football, it can help lead SONY out of the woods, and to achieve the grand plan of global resurgence. To this end, SONY not only signed a major sponsorship of the world's largest single sponsor, but also with China's most prestigious CCTV sports channel football program to achieve strategic cooperation.

One of the highest sponsorship contracts in the history of sports

Yesterday, SONY told the newspaper that SONY has reached an agreement with the International Football Federation (FIFA) a $305 million global cooperation agreement to become the official partner of the world cup. This is one of the highest sponsorship contracts in the history of sports.

Under the terms of the agreement, SONY will be 2007 to 2014 to become the highest level of FIFA sponsors, but also the digital life field (covering all business activities from entertainment to the electronics) the only top sponsor.

Sponsorship includes 2010 South Africa and the two World Cup in South America in 2014, as well as women's World Cup and other events in FIFA. SONY is allowed to use partner logo during cooperation, erected billboards on the pitch, and has the right to live television advertising. SONY will need to pay $200 million in cash and the total price of not less than $100 million in kind.

May be involved in the title of Chinese football

It is worth noting that SONY around the world in the marketing campaign has been unable to wait to start football. In the general level of football fans and the Chinese market, SONY chose the most prestigious and local CCTV sports channel soccer program "world soccer" and "football night" column reached a strategic cooperation, SONY's BRAVIA Cyber Shot LCD TV, digital camera, digital camera, notebook computer Handycam VAIO sub brand will take turns appearance.

SONY China around the football project marketing investment funds is unknown, but SONY said that the future will continue to additional investment, but do not rule out the title as a more direct way to participate in the Chinese football, let the fans enjoy SONY HD brings visual feast.

Hope to revive consumer electronics by football marketing

Bear the enormous pressure of transformation, is the main purpose of the consumer electronics giant SONY at this time invested heavily in marketing.

The visibility and reputation of these cooperation will greatly enhance the SONY brand in the US, in order to bring dreams and new forms of entertainment at the same time, to further enhance the overall value of the enterprise, to narrow the distance with consumers SONY." SONY China's new chairman Taka Shizuo said in an interview with this newspaper.

SONY provides information, SONY group's main business areas (including electronics, video, music and games) will be involved in the SONY football marketing war.

SONY's head of marketing in China to the newspaper predicted that around the football marketing offensive for SONY's overall sales of the product at least 10%.

But analysts believe that, although the marketing investment can be described as the largest in the history of SONY, but this will not have a substantial impact on the overall strategy of SONY. In the last several quarters after a loss, SONY was forced to make Dei Nobuyuki led to the board of directors of the high-level collective retirement, the first non Japanese American Howard Sbringe SONY office CEO. SONY hopes to revitalize the hands of Stringer, continue to lead the global consumer electronics forward.

This is an expensive brand promotion, but can not fundamentally change the current situation of SONY." Gartner analyst Ye Lei said that the ability to revive consumer electronics is still the key to SONY out of the woods.

SONY has been a strong consumer electronics, but in recent years has been faced with competition from Samsung, LG and other companies, and was caught in a loss. Wall Street will be weak consumer electronics as the main reason for the plight of SONY. Dragged down, SONY market capitalization has evaporated more than 5 years in more than 70% years.

"Sponsoring top sports games is a common practice for multinational companies." Senior industry analysts, home appliance network editor Li Tao commented to the newspaper. Leveraging sports marketing to achieve win-win is a shortcut to high-profile consumer electronics giant. SONY's rival Samsung is sponsored by the Olympic Games fame, and LG electronics, Panasonic leveraging sports marketing from the regional brand to become a global brand.

Li Tao also pointed out that SONY's digital life in the field of a comprehensive exclusive sponsorship, its intent is obvious: exclude all opponents to support the revitalization of its consumer electronics.

But such a high-profile gamble to burn money, the sponsor is also a double-edged sword. Prior to PHILPS as the world's top consumer electronics sponsor, has been identified from the current exit. And another top sponsor Fuji, but also because of the transfer of the main industry to consider whether to give up the sponsorship of the high cost of marketing projects. (n101)