Using Gold Medalists to Compete in Market
Companies are making the most they can from the seasonal fame gained by top athletes in the recent Olympic Games. These companies are doing the most they can to forge ahead in the competitive market. A lot of people look up to these athletes as icons. As a result, these companies are using these successful athletes to advertise their products and gain more profits.
According to abcnews.com, "those with the right combination of looks, personality, a compelling backstory and, last but not least, a medal or three, could see new endorsement deals worth millions.
Overall, experts say its harder for U.S. olympians who do not compete in professional sports to secure the same kinds of corporate backing as players for the National Basketball League, National Football League, and the like because they are not in the public eye as often.
Do you think that the use of Gold medalists from the recent Olympics to advertise products is a good idea? Do you think it will significantly help to increase the profits of these companies or give them an edge in the market? If you have been watching the Olympics, who do you think are some of the athletes that may be getting any endorsements deals?
Monday, March 1, 2010
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Using famous athletes from the Olympic games is a very good method for advertisement. Some people will buy certain products just because they see one of their idols using the product. I do not thing this type of advertisement will show a drastic change in the companies profit numbers, but I think that this idea will help bring in more revenue for the company. It does help that the selected athlete plays a well know professional sport as well. An advertisement that shows an athlete from the NBA, NFL, NHL, MBL, is more then likely to bring in more profit then an athlete on a professional curling team from Canada (being well known helps). One athlete I do see getting asked to take part in a firm's advertisement is Sidney Crosby from team Canada in the Olympics games and the Pittsburgh Penguins. Just yesterday, sadly for United States, team Canada's hockey team defeated the USA hockey team in overtime to win the gold. Guess who scored the winning goal... Sidney Crosby. I would think that many firms would offer him a deal to advertise for their company because of his star performance in the Olympics and also, sadly to mention, Crosby's Stanley cup win over the Detroit Redwings last year. (A, T)
ReplyDeleteI agree with Jason that using Olympic athletes is a good advertising method. It's a national thing at that point and not just a city thing. Rip Hamilton is a good spokesman in Detroit but wouldn't be that effective in another city. Apolo Ohno is a national icon because he competed for the U.S. Therefore, Apolo can reach a greater market during this Olympic hype. National pride goes a lot deeper than mere hometown pride, which will help any firm draw in more business. A
ReplyDeleteThe use of Gold Medal, or any medal, athletes is a great idea. The only draw-back for the company would be if they are already very well-known and are in high-demand for advertising form other companies. This would create competition for who gets to use teh athlete and drive up the price of the advertising deal. Big demand + Low supply = High Price.
ReplyDeleteT,A
It's definitely a good idea. The only reason why I remember the Rahmani Eye Institute is because Pavel Datsyuk is on the commercial. Nick's statement, however, would apply here too. Datsyuk might not be too effective in other cities. His appearance works however, because the Rahmani Eye Institute only has locations in southeast Michigan, if I'm not mistaken.
ReplyDeleteAs much as I hate to admit it, Crosby would be a tremendous help to any company that would use him in advertising. A commercial with him would definitely be memorable (although some might remember it only because of their... negative... feelings towards Crosby - but nevertheless, you would still remember the commercial.)
E, A
I think the use of Gold medalists is a good idea to gain more profit and also put those athletes in the public eyes more often. People would willing to buy the products which their idols are in the commercial advertisement, it definitely will increase the demand curve, then the supply curve are stay at the same level, so it will achieve higher price than before=gain more profit. A,E
ReplyDeleteI think using Olympic athletes should get endorsements because they only get the chance every four years as opposed to those in the pro leagues. Furthermore, their endorsements most likely support their training and teams while the public eye isn't on them. An example would be the Colbert Report's Colbert Nation sponsoring the U.S. Speedskating team. Endorsements could also be their salaries because because I imagine curling doesn't pay that much, and these people need to make a living.
ReplyDeleteI can DEFINITELY relate to this post because my Dad sells hockey autographs for a living, and he projects that Team Canada winning Gold in Men's Hockey will significantly increase his sales because of the Olympic merchandise that he can sell. He said that if another country (even the USA) had won his sales wouldn't increase as much because the demand for hockey autographs in Canada is so much higher than that of other nations.
ReplyDeleteI agree with those above me and think that this is a good idea for companies. Like some have already mentioned, Olympic athletes are recognized on a national scale. Professional athletes may be famous, but usually its only in a specific city or state. However, if companies were able to get successful Olympians such as: Apollo Ohno, Shaun White, or Sydney Crosby, they could very well see an increase in business. More people will be able to recognize these athletes and feel a better sense of pride and relation to them. A E
ReplyDeleteI think that this tactic is really effective. Take Michael Phelps for example, before the whole drug picture scandal he was all over, advertising for sportswear, sports drinks, and even a credit card company (I think). Also, I was taking to a friend of mine from South Korea and she was telling me about how the female figure skater gold medalist is a huge celebrity there. Acknowledging that olympic athletes are great for reeling in business is really smart on the part of businesses. A, E
ReplyDeleteI agree that olympic athletes have remarkable credibility when it comes to marketing certain products. People automatically trust whatever these athletes say because of the fact that they are professionals at what they do. Also, olympic atheletes are idols for some people, anything that an athlete may promote is considered to be very good. This marketing scheme is incredibly accurate and many companies make a large profit because of this technique.
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