DieMrBond
09-19-2005, 12:14 AM
David Robinson one of the 10 most recognised athletes for endorsement? Thats unexpected (to me)!
Retired athletes still have endorsement juice
http://msn.foxsports.com/nba/story/4832994
When it comes to product endorsements by athletes, it doesn't hurt to be retired. Opportunities for greats of the past in that arena are nearly as bountiful as for current stars.
Michael Jordan, for example, ranks No. 2 among sports figures with about $33 million in annual income from endorsements, according to Forbes magazine. That figure is topped only by Tiger Woods' $80 million per year.
"It goes back to the Miller Lite ads of the 1970s," which included retirees such as football greats Dick Butkus and Bubba Smith, said Paul Swangard, director of the University of Oregon's Warsaw Sports Marketing Center. "The bottom line is that these athletes tend to be safer investments because they really value their marketing opportunities. They don't make as much money as during their active careers."
Moreover, retired athletes are more likely to steer clear of scandal. "They don't do stupid things for the most part," Swangard said. "What has been the biggest problem area for the endorsement business lately is people you thought were upstanding citizens doing something stupid."
John McEnroe recently signed a lucrative deal with Travelex. ( / Getty Images)
For instance, basketball star Kobe Bryant caused great consternation for the companies he promoted when he was charged with rape two years ago. However, the charges were later dropped.
As for the retirees, just last month, tennis legend John McEnroe signed another deal. The London-based foreign-exchange firm Travelex chose the 46-year-old as its global ambassador. Travelex has a $10 million-$15 million marketing campaign centered around the New York native to raise its profile in the U.S.
"New York is a key market for them, and John is a New York icon," said his agent, Gary Swain of IMG. He said some of the ads using McEnroe will play on his rebellious past. But now McEnroe, who does TV commentary during tennis' Grand Slam tournaments, is part of the establishment. In some eyes, he is an ambassador for the sport.
"John is the voice of tennis," Swain said. "Through what he continues to do, he shows that he sincerely cares about the sport and wants to see it prosper. He's more attractive to some companies — certainly financial service companies — than he was at a younger age."
McEnroe has mellowed with the years, and that makes him stronger as a pitchman, Swain argues. "He has a lot more credibility now. He works much better with companies as a partner."
In addition to Travelex, McEnroe has deals with Nike, racquet and ball manufacturer Dunlop and the Seat division of Volkswagen Audi. His annual income for these deals totals about $2 million.
One advantage of using retired athletes is that their on-the-field credentials are established and non-erasable, said Tom George, senior marketing officer for sports agency Octagon.
"John Elway is an excellent example," George said of the former Denver Broncos quarterback who is represented by Octagon. "The drive is locked in the view of the American public. You can pound that home time after time." George was referring to the last-minute touchdown drive orchestrated by Elway that led the Broncos to the AFC championship over the Cleveland Browns in 1987.
The 45-year-old Elway has deals with TAP Pharmaceutical Products' Prevacid, a heartburn drug, Coors beer, Moretz socks and Bassett furniture.
It's no wonder that retirees like Elway and McEnroe have such plentiful endorsement opportunities. Seven of the 10 most recognized sports figures as measured by Marketing Evaluations' Q ratings are retired, notes Bob Dorfman, executive vice president of Pickett Advertising in San Francisco. That list includes Jordan, Joe Montana, John Madden, Wayne Gretzky, Cal Ripken, Nolan Ryan and David Robinson.
In addition to their clean reputations, retired athletes have the advantage of attracting a more valuable demographic than current stars, Dorfman said. "They appeal to a more mature audience who remembers them in their heyday — A CEO and affluent crowd," he said. "That gives them the opportunity to endorse products that may reach an older and more moneyed audience, not just the 18-35 year-olds that athletic shoe and soft drink companies are looking to reach with younger athletes."
The only downside for companies using retired athletes as endorsers is that they don't generate as much buzz as the younger stars, marketing experts said. "They aren't as much in the public eye as active players," Dorfman pointed out. "But as a safer bet in this day and age when every athlete is under the microscope, you pretty much can't go wrong with retired athletes."
And Dorfman thinks that as baby boomers continue to age, retired athletes will grow even more popular as endorsers. Already, ex-baseball star Keith Hernandez and ex-basketball star Walt Frazier appear together in ads for Just For Men hair color.
"Soon these guys will be selling high blood pressure drugs to 65-year-olds," Dorfman said. "Their usefulness will only grow."
Dan Weil is a frequent FOXSports.com contributor, and can be reached at his e-mail address: [email protected].
Retired athletes still have endorsement juice
http://msn.foxsports.com/nba/story/4832994
When it comes to product endorsements by athletes, it doesn't hurt to be retired. Opportunities for greats of the past in that arena are nearly as bountiful as for current stars.
Michael Jordan, for example, ranks No. 2 among sports figures with about $33 million in annual income from endorsements, according to Forbes magazine. That figure is topped only by Tiger Woods' $80 million per year.
"It goes back to the Miller Lite ads of the 1970s," which included retirees such as football greats Dick Butkus and Bubba Smith, said Paul Swangard, director of the University of Oregon's Warsaw Sports Marketing Center. "The bottom line is that these athletes tend to be safer investments because they really value their marketing opportunities. They don't make as much money as during their active careers."
Moreover, retired athletes are more likely to steer clear of scandal. "They don't do stupid things for the most part," Swangard said. "What has been the biggest problem area for the endorsement business lately is people you thought were upstanding citizens doing something stupid."
John McEnroe recently signed a lucrative deal with Travelex. ( / Getty Images)
For instance, basketball star Kobe Bryant caused great consternation for the companies he promoted when he was charged with rape two years ago. However, the charges were later dropped.
As for the retirees, just last month, tennis legend John McEnroe signed another deal. The London-based foreign-exchange firm Travelex chose the 46-year-old as its global ambassador. Travelex has a $10 million-$15 million marketing campaign centered around the New York native to raise its profile in the U.S.
"New York is a key market for them, and John is a New York icon," said his agent, Gary Swain of IMG. He said some of the ads using McEnroe will play on his rebellious past. But now McEnroe, who does TV commentary during tennis' Grand Slam tournaments, is part of the establishment. In some eyes, he is an ambassador for the sport.
"John is the voice of tennis," Swain said. "Through what he continues to do, he shows that he sincerely cares about the sport and wants to see it prosper. He's more attractive to some companies — certainly financial service companies — than he was at a younger age."
McEnroe has mellowed with the years, and that makes him stronger as a pitchman, Swain argues. "He has a lot more credibility now. He works much better with companies as a partner."
In addition to Travelex, McEnroe has deals with Nike, racquet and ball manufacturer Dunlop and the Seat division of Volkswagen Audi. His annual income for these deals totals about $2 million.
One advantage of using retired athletes is that their on-the-field credentials are established and non-erasable, said Tom George, senior marketing officer for sports agency Octagon.
"John Elway is an excellent example," George said of the former Denver Broncos quarterback who is represented by Octagon. "The drive is locked in the view of the American public. You can pound that home time after time." George was referring to the last-minute touchdown drive orchestrated by Elway that led the Broncos to the AFC championship over the Cleveland Browns in 1987.
The 45-year-old Elway has deals with TAP Pharmaceutical Products' Prevacid, a heartburn drug, Coors beer, Moretz socks and Bassett furniture.
It's no wonder that retirees like Elway and McEnroe have such plentiful endorsement opportunities. Seven of the 10 most recognized sports figures as measured by Marketing Evaluations' Q ratings are retired, notes Bob Dorfman, executive vice president of Pickett Advertising in San Francisco. That list includes Jordan, Joe Montana, John Madden, Wayne Gretzky, Cal Ripken, Nolan Ryan and David Robinson.
In addition to their clean reputations, retired athletes have the advantage of attracting a more valuable demographic than current stars, Dorfman said. "They appeal to a more mature audience who remembers them in their heyday — A CEO and affluent crowd," he said. "That gives them the opportunity to endorse products that may reach an older and more moneyed audience, not just the 18-35 year-olds that athletic shoe and soft drink companies are looking to reach with younger athletes."
The only downside for companies using retired athletes as endorsers is that they don't generate as much buzz as the younger stars, marketing experts said. "They aren't as much in the public eye as active players," Dorfman pointed out. "But as a safer bet in this day and age when every athlete is under the microscope, you pretty much can't go wrong with retired athletes."
And Dorfman thinks that as baby boomers continue to age, retired athletes will grow even more popular as endorsers. Already, ex-baseball star Keith Hernandez and ex-basketball star Walt Frazier appear together in ads for Just For Men hair color.
"Soon these guys will be selling high blood pressure drugs to 65-year-olds," Dorfman said. "Their usefulness will only grow."
Dan Weil is a frequent FOXSports.com contributor, and can be reached at his e-mail address: [email protected].