Friday, June 23, 2006

The battle of the brands

Stand by for the battle of the brands - aka the World Cup!Players representing their countries in Germany may consider themselves to be approaching a high point of their careers - especially those who survive to the later stages and even the final. But in terms of career development and satisfying professional ambitions they are far from alone.

The reputations - and I dare say careers - of some of the most talented and ambitious brand managers and marketing maestros in the world will also be put to the test. Not only during the next four weeks, but for a much longer period when sales performance and market share, rather than goals for or against, are being measured in corporate boardrooms all over the world. In terms of brand management, profile and awareness, Germany 2006 must be about as big as it gets. If you doubt me, take a look around almost any supermarket, petrol station forecourt or off licence and you'll soon see evidence of brand promotion linked to the World Cup. In these outlets, the battle for market share looks every bit as fierce as the challenges likely to face England as they make their way through Group B and, hopefully beyond. And yet while brands like Sainsbury's; BP and Threshers are fighting for success by association,

I can't help but think the real battlegrounds are the sports retailers all over the world where brands like Nike and Adidas stand to win or lose so much. Football's coming home for Adidas: the German company has had more than 100 people working full time on its World Cup activities for two years. Bear that in mind when you watch the TV coverage. Adidas estimates it will achieve football sales of 1.2bn Euros this year alone. If that sounds impressive, consider how successful arch rival Nike has been since making its first charge into the World Cup during the 1994 event hosted in its home market of the USA. Nike football sales are said to be worth $1.5bn a year. The last time the pair went head to head in front of a football audience was during last month’s Champions League final between Arsenal and Barcelona. The finalists are both sponsored by Nike – but Adidas is one of the tournament’s main partners and sponsors.

The next few weeks provide a challenge for small businesses too – especially in a region like Merseyside where football is a passion. In real terms, productivity will probably drop in the coming weeks – but weigh that against the near delirious state the nation will find itself in if England actually do bring the trophy home. That really will be good for business.

Matt Johnson is Managing Director of Mando Group a Liverpool based Web Development and Design Consultancy www.mandiogroup.com

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