Rival advertisers steal each other’s thunder via IPL

The Indian Premier League (IPL) has not only changed the contours of cricket, it has also accelerated the trend of rival advertisers stealing each other’s thunder without getting on the wrong side of the law.In other words, IPL has seen increased examples of cricketers managing to promote rival brands and getting away with it - without flouting any contractual obligations.
The companies cannot be hauled up legally, but the gains are obvious for advertisers exercising ’team sponsorship’ clauses versus ’individual sponsorships’.PepsiCo ambassadors Virender Sehwag and Ishant Sharma were seen promoting rival beverage maker Coca-Cola’s products. Airtel ambassador Zaheer Khan was seen extensively in Idea Cellular promotions across the IPL.
Says Rajat Mukarji, chief corporate affairs officer, Idea Cellular, "There is no area of conflict whatsoever. We are sponsors for Mumbai Indians as a whole and it’s not about personal endorsements."
Sports and celebrity management experts have divergent views on whether this trend qualifies as am bush marketing or not.Says sports and celebrity management firm Collage Sports Management director Latika Khaneja: "This is a grey area.’’
Latika said the brands being endorsed by individuals do end up being cannibalised. "There could be repercussions on contract renewals and may require intervention by governing bodies like the BCCI in the long run."
Experts say the concept is not new, but since IPL is a high-visibility platform, it attracts that much more attention.
Says Vinita Bangard, chief operating officer, Percept Talent Management, "Endorsement contracts clearly out line that individuals cannot promote rival brand in their individual capacity. But the individuals can always be part of a team which is being sponsored by a rival brand."
The legal fraternity too sees nothing wrong with the practice. Says sports legal firm MMB Legal’s head M. M. Bhat: "If franchisees are not provided with opportunity to utilise players for sponsorship commitments, the economic rationale underlying a franchisee’s investment will be undermined."
It must be pointed out here that individuals appearing in team sponsorships do not benefit from personal monetary gains.So, IPL promotions had PepsiCo’s endorser Sehwag appearing in Coca-Cola’s team promotions since Coke is a sponsor of Delhi Daredevils - the team Sehwag is captaining.
Similarly, Kolkata Knight Riders’ Ishant Sharma was seen in Coca-Cola’s promotions for brand Sprite as part of the KKR team, despite being an existing PepsiCo ambassador.
Zaheer Khan was a prominent face of Idea Cellular’s IPL based promotions as part of the Mumbai Indians team, though in his independent capacity he endorses Airtel.
More news - http://www.satnetforum.com/showthread.php?tid=1241
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