NFL Moves Advertising, Sports Marketing Needle To Unprecedented Levels

As reported today by Street & Smith's Sports Business Journal, and as summarized in this piece by MediaBistro.com's new online sports media publication, SportsNewser, the NFL's 2010-11 broadcast advertising sales, including spots for all regular-season games televised across the league's five authorized broadcast outlets (i.e., CBS, NBC, ESPN, FOX, and NFL Network) and super-expensive slots for Super Bowl XLV, are nearly sold out -- even though the season does not officially begin until Thursday, September 9.

Considering the lingering effects of the recession on all advertising forms, and the dramatic and widely-reported reductions in sports marketing expenditures over the past 24 months, this is unprecedented news, even for a major sports league as the NFL, long regarded as the most prominent and successful marketing juggernaut in global professional sports.

To date, sales executives at CBS, NBC, ESPN and NFL Network all state that their respective ad inventories are at least 90% sold for the season. FOX Sports verified its regular-season business is more than 95 percent sold, an increase of over 20 percent above last year’s pace, when networks were selling their NFL games in the middle of the worst recession in generations.

Much of the advanced sales have been attributed to the networks' early efforts to move inventory, and to the resurgence of automotive manufacturers, many of which dramatically cut, or altogether elminated, their broadcast advertising budgets in 2009. According to Neil Mulcahy, FOX’s executive vice president of sports sales, "Sales levels heading into this season, led by a resurgent auto category, have exceeded our best expectations. In addition to autos, we’ve seen year-to-year growth in almost every category we do business with."

Even more impressively, FOX Sports, according to sources, will enter the 2010 season with nearly all of its ad inventory already sold for Super Bowl XLV, to be played in Cowboys Stadium for the first time on February 6, 2011. Most of the remaining Super Bowl spots are in the fourth quarter. What makes this so unbelievable? FOX Sports is securing approximately $3 million for a stand-alone 30-second spot, though most of the spots are sold as larger packages. While much is made each year about the scope and expense of new ads debuting during the Super Bowl broadcast, it is unfathomable to think that this many brands are making such large-scale commitments more than six months out, and without any visibility whatsoever as to which teams (and their DMA markets) will be represented in the big game. Wow.

The broader implication of all this is best summarized by Ed Erhardt, president of customer marketing and sales at ESPN:

“The story to me is that the NFL is the No. 1 entertainment brand in the country. Advertisers are going to go where there’s an audience and passion and live viewing, and NFL and college football have that.”

Fantasy Football Reaches Marketing Fever Pitch As 2010 NFL Season Nears

With just under two weeks to go until the aggressively-promoted official start of the 2010 National Football League (NFL) season, and with exactly one week until my own fantasy football league's draft in Las Vegas, these two converging forces prompted me to be contemplate exactly HOW ubiquitous fantasy sports has become over the past two decades, and more specifically, HOW extensively the fantasy football genre has grown in recent years. Simply stated, fantasy football is BOTH an integrated marketing and content development success story whose sports, societal, and cultural significance cannot be ignored or underrated. Having said that, let's look at this sports phenomenon more closely.

Frankly, ever-expanding interest in fantasy football, and the subsequent explosion in print, online, broadcast, and social media content over the past 10 years, can be attributed to the tremendous investments by media companies, and a host of smaller providers, to produce and distribue intelligent information, products, and online vehicles which cater to insightful, discerning participants clamoring for higher-quality information that can be consumerd across multiple technology platforms. If that sounds like a mouthful, you're right...it is...but it is absolutely true. And there would be no supply for any of these products without sufficient demand, of which there is plenty. Without question, fantasy football is not just big business; it's GINORMOUS business.

According to the latest estimates and consumer research from the Fantasy Sports Trade Association (FSTA), a professional organization formed in 1997 to serve as the authorized voice for and official advocate of the industry, there are approximately 30 million fantasy sports participants currently in the United States and Canada. More impressively, those individuals spend almost $4 billion annually on league registration and transaction fees, print and online magazine subscriptions, software applications, "insider" scounting reports, and other related products and services. Of those nearly 30 million individuals, approximately 85%, or about 23 million, play fantasy football, with total spending alone in the fantasy football arena estimated to be between $800 million and $1 billion each year. The numbers, which are staggering, represent a doubling of the market since 2005 which saw only 12 million fantasy football players enter leagues around the country.

Beyond the sheer size of this audience and its impressive annual purchasing power, the real catalyst behind fantasy football's growth, and the vast amount of marketing dollars invested in the category, is its highly-desirable consumer demographics. As outlined by both the FTSA and The Fantasy Football Times, a popular Web site offering player news and analysis, consider the following consumer behavior statistics:

~ The typical participant spends a minimum of $200 per year on fantasy football.
~ On average, fantasy football players devote at least 30 minutes per day, and 3-4 hours per week, managing their teams. Somes estimated claim the weekly total is much as nine hours.
~ The core age group is 12-48, with 25-34 containing the greatest number of players.
~ Average fantasy football players' household income from $60-100,000 per year.
~ Gender breakdown: 93% male, although the number of females is growing.
~ Ethnicity: 91% white.
~ Age: 13% are teenagers.
~ Education: 70% have a bachelor's degree or higher.
~ Football Fanatics: 50% claim to be diehard football fans.

What does all this mean? The profile of fantasy football players represents a group that has been historically, and notoriously, been a very difficult one to reach. As a result, high-profile consumer brands such as General Motors, SprintNextel, Verizon, Goodyear, and Papa John's are dumping millions of dollars into advertising, promotional, and social media support for fantasy football products such as TV shows, scouting magazines, Web sites, and online games. The attraction is best summed by Chris Russo, senior vice president of new media and publishing for the NFL, in this great piece from 2005 in USA Today: "It's the most attentive audience that you're going to get. These people aren't just spending five minutes on the Web site. They're going on the Web site and spending an hour and a half."

And the marketing implications for fantasy football now go much further, especially with the explosion of social media platforms and their usage by consumers. In a MediaPost op-ed which generated a ton of attention just prior to the start of last year's NFL season, Catalyst President and Managing Director Cory Treffiletti wrote:

Without a doubt, fantasy football is the most perfect example of integrated marketing in existence today. It marries the best of online marketing and social media with real-world events and that most basic of human traits: pure, unbridled competitiveness.

While marketers and sports sites are thrilled with fantasy football players' dedication to the category, other businesses — where the fantasy players work — may be less happy. Almost two-thirds of fantasy football players say they check their fantasy teams online during work, FSTA says. According to new estimates from outplacement company Challenger Gray & Christmas, it costs companies nationwide over $250 million for every 10 minutes of the workday that employees spend on fantasy football.

Finally, if you ever wondered how the magical world of fantasy sports got its start, I highly recommend viewing ESPN's documentary on the genre, entitled "Silly Little Game, which innovative filmmakers Adam Kurland and Lucas Jansen developed for the network's critically-acclaimed "30 For 30" series. You can also view this well-reviewed installment of the series below:

Oh, and more thing: please wish me luck next week at my draft in Vegas. I am drafting eighth out of 14 teams, which is not a very strong draft position. I'll need all the help I can get!

Meet Dwyane Wade, Advertising Consultant?

As reported in this piece yesterday by TMZ, NBA superstar, 2006 Sports Illustrated Sportsman of the Year, and Miami Heat standout Dwyane Wade reached into his OWN deep pockets to craft a personalized message to team newcomers Lebron James and Chris Bosh, design an outdoor ad, and purchase this Miami billboard in a prominent location for an undetermined amount of time:

No word on exacty how much the billboard actually cost, but there's no question that D-Wade can afford it. On Friday, Wade signed a six-year, $107 million deal (i.e., contract extension) so he can play with new best buddies James and Bosh.

Regardless, it's a clever use of outdoor media, and it's rather rare for a professional athlete, even one of Wade's caliber, to personally design and orchestrate a campaign.

Media Training: The Thin Line Between PR Success and Failure

Media training -- the public relations function of comprehensively preparing spokespersons to conduct interviews with print, online, and broadcast reporters -- is, like many other elements of the profession, a unique combination of art and science. Even for experienced communicators, it can be a difficult proposition, and practice DOES make perfect...at least most of the time. Interestingly enough, though, some executives and celebrities NEVER get the hang of it, and we're constantly (and oh so painfully) reminded of this whenever they appear on camera. Why? Because television, of all the mediums today, most glaringly exposes one's oratory weaknesses, physical and verbal tics, and ability to maintain self-control.

Speaking from personal experience, nowhere is media training MORE needed than in professional sports. The actual percentage of prepared, well-spoken, and articulate athletes is less than 1%, and the least sophisticated interview subjects tend to be found in those sports, such as boxing, where many of the stars come from uneducated backgrounds. Obviously, I'm generalizing here, but the key takeaway is that more media training is needed in sports. Period.

And this is precisely what I thought about Lebron James last night during his ESPN special, "The Decision," to announce his intent to play for the Miami Heat beginning with the 2010-11 season. As I watching Jim Gray lob softball questions at the NBA superstar, I was also counting the number of cliches James used, and the number of times he said "You know." And you DON'T want to know the final totals of each. Let's just say that James ranks somewhere between Britney Spears and Caroline Kennedy (if you've never seen Kennedy's notorious 2008 interview on NY1, then click here) on the You Know Scale..and that's not a compliment.

Thankfully, I'm not the only who feels this way. As reported in several media outlets today, including TMZ and PRNewser, billionaire Dallas Mavericks owner Mark Cuban also mentioned on camera that James is in sore need of training (click on image to view video):

The irony? Cuban rarely grants TV interviews, presumably because of its ability to lay bare the aforementioned weaknesses, and instead, prefers to conduct most interviews by e-mail...where he can control the discussion and the messages he delivers (always a smart move).

Sports World A-Twitter: LeBron James Style

Just how powerful is Twitter, the increasingly-popular micro-blogging service, as a wide-reaching communications and social engagement tool for celebrities, professional athletes, politicians, and other well-known personalities? For the answer, look no further than LeBron James, who officially joined the service yesterday afternoon under the moniker @KingJames, and sent out his first tweet:

As widely reported by countless mainstream news, sports, and entertainment media outlets, including stories by the Associated Press, WebNewser, and Mashable, the NBA superstar amassed more than 25,000 followers in just the first hour after New Orleans Hornets point guard and close friend Chris Paul dropped a link to the account. Even more incredibly, James now has just over 250,000 followers (250,126, to be exact) as of 11:12 a.m. PDT on July 7 -- even though he has only tweeted three times and has yet to become a follower of anyone or anything.

Unbelievable...and the public interest in and discussion about free-agent James will only continue to grow as he mulls his decision about whether he stays with the Cleveland Cavaliers, or joins another team. The basketball prodigy is the most high-profile free agent, in any sport, in decades.

As also documented by the media, James will announce his decision live on ESPN at 9:00 p.m. EDT on Thursday, July 8. Tune in to hear the news straight from the horse's mouth.

Nike's "Write The Future" Viral Video Writes The Present

The 2010 FIFA World Cup is in full swing, and as the world's most popular and most watched sporting event (approximately 30 billion viewers internationally), it is a sports marketer's dream for reaching vast numbers of consumers, both in the host nation South Africa and in hundreds of nations across the globe.

For these reasons, much has been written recently about the viral and ambush marketing tactics employed by numerous brands, such as Nike, that are not official World Cup sponsors. In fact, according to this story yesterday in Advertising Age, and based on recent findings of a YouGov BrandIndex survey of consumer perception in the U.S., U.K., and Germany, "Nike has benefited from the FIFA World Cup more than any other brand despite not being an official sponsor of the event."

Why? Again, according to another report in Advertising Age, Nike's three-minute "Write the Future" video broke the record for the biggest audience in the first week of a campaign with 7.8 million views. That record, incidentally, was by another Nike ad: the somber and strange "Earl and Tiger" ad, which debuted earlier this year with 6.3 million views in its first week. In mid-May, Trevor Edwards, vice president of brand and category management at Nike, stated that the company's TV creative for the FIFA World Cup, including the "Write the Future" viral video, was "among the best we've ever done." Indeed, this is no small statement from a company renowned as "a master of the form."

Another Advertising Age reporter, in a blog post, commented: "It's a beautifully told story that transcends media formats to deliver a truly emotional and inspirational experience. In 30 seconds, it appears that Nike finally cracked the code by combining compelling narrative with the power of digital distribution. And, Wieden & Kennedy (Nike's ad agency of record) showed us what it means for a brand to truly participate in culture."

The ad, directed by Alejandro González Iñáritu (21 Grams, Amores Perros), features several of the game’s giants: Didier Drogba (Chelsea F.C and Ivory Coast), Cristiano Ronaldo (Real Madrid and Portugal), Wayne Rooney (Manchester United and England), Landon Donovan (Los Angeles Galaxy and the U.S.) and Ronaldinho (F.C. Barcelona and Brazil) — along with cameos from Kobe Bryant, Roger Federer, and The Simpsons.

If you haven't seen "Write the Future," it's worth checking out below. If you have viewed the video live or on YouTube, it's certainly worthwhile to give it another look. By far, this is one of the best viral videos I've ever seen, mostly because of its enormous creativity and beautiful production values.