Digicel, Puma and Brand Jamaica emerged as marketing winners from Olympics

Julian Richardson, Business Observer reporter richardsonj@jamaicaobserver.com Wednesday, August 27, 2008

Sponsor Puma displays the achievements of Jamaican athletes at the Olympics in Beijing. Puma, whose logo can be seen on the uniforms of every Jamaican athlete, was a huge beneficiary of the record-setting medal haul of the nation.

After the success of Jamaican athletes at the Olympic Games in Beijing, Digicel, Puma and Brand Jamaica are emerging as the biggest beneficiaries, as marketers begin their post-mortem on what was the corporate 'game' outside the Games, where companies attempted to outwit each other in terms of brand awareness through savvy athlete endorsements and hard-hitting advertisement campaigns.

From a totally local standpoint, marketers interviewed by the Business Observer unanimously agreed that Digicel outmuscled all its rivals, not only in the telecoms industry, but throughout corporate Jamaica. As one of the official sponsors of the Jamaican Olympic team, the telecom giant inundated the airwaves with a series of electronic and print advertisements featuring triple world record holder Usain Bolt, whom the company also sponsors individually.

"In terms of local visibility, Digicel dominated," said Kesi Asher, marketing and promotions officer at KLAS Sports Radio. "They were in the papers, on the billboards, TV screens, etc. Their sponsorship of the athletes will be a huge benefit for the company because these athletes are now known worldwide."

But while volume was important, one of the most critical factors for companies heading into the Beijing Games was individual endorsements - selecting that one athlete whose association with a brand can propel it to 'priceless' goodwill.

According to the marketers, Digicel will reap its greatest benefit from its individual sponsorship of Bolt, who set world records on his way to gold medals in the 100 metres, 200 metres and as a part of the 400-metre relay team. Indeed, not only did the 100 metres final two weeks ago pit two pre-race favourites - Bolt and Asafa Powell - against each other on the track, but it also amounted to a head-to-head marketing battle between Bolt's Digicel, and another telecom provider, Cable and Wireless, who sponsors Powell. With Bolt's victory, it is the Irish-owned telecom that has enjoyed the limelight with its prized athlete.

Neville Wallace, Observer general manager of sales and marketing, said that because of Bolt's success, Digicel will be perceived as a 'winner' itself, giving it a significant advantage in a consumer market that is lured by image.

"It's all psychological at the end of the day; as humans, we like to be associated with winners," said Wallace. "Brand recall is re-enforced by association; everytime Bolt's name is brought up it will re-enforce the brand in people's mind as a winner."

Wallace, like the other marketers, said the fact that Digicel has had Bolt on board since 2004, when he was just a mere teenager with potential, is a bonus for the company, and consequently excuses the firm from accusations that it simply jumped on a winning bandwagon - another credit for the visionary telecom service provider.

"Before Bolt became a winner, Digicel made the decision to stay with Bolt and it is paying off handsomely," said Wallace. "I thought they showed some amount of foresight in terms of their selection."

Another big winner from the Olympics is German sporting goods company Puma, one of the sponsors for the Jamaican delegation to Beijing. The Puma brand, whose logo can be seen on the uniforms of every Jamaican athlete, revelled with the record-setting medal haul of the nation in Beijing. But arguably, like Digicel, the company's greatest benefit will arise from its individual sponsorship of Bolt.

While competitors Nike and Adidas sponsored the more internationally renowned sprinters Powell and Tyson Gay respectively, it is Puma that emerged as the triumphant dark horse. Some experts have suggested that forever etched in Olympic history will be the sight of Bolt holding up one of his golden Puma spikes for the cameras after his record-breaking performance in the 100 metres - an "advetiser's dream" noted one marketter.

According to US-based marketing agency Zeta Interactive, catalysed by Bolt's achievements in Beijing, Puma's global online chatter increased by 64 per cent during the Games, outperforming Adidas and Nike, which only had increases of 17 per cent and 18 per cent respectively.

"Internationally, Puma came out on top, two million shoes don't lie," said Irie FM's marketing manager, Brian Schmidt, referring to reports that Puma sold millions of shoes just hours after Bolt's 100 metres victory.

Said Wallace: "With Puma, whether the shoes are any good or not, people will buy it because Usain Bolt wears the brand."

A signal of Puma's contentment with Bolt's performance is the fact that last Saturday the company announced that it was giving the Jamaican sprint star a brand new BMW M3, a high-end vehicle with a retail value of over J$10 million. In another case of client appreciation, Digicel last week covered all the expenses for Bolt's father, Wellesley, to make the long trip to eastern Asia to join up with his son for his 22nd birthday. Fittingly and quite indicative of Puma and Digicel's foothold on the premier Olympic marketing during the Games is the fact that the senior Bolt left Jamaica in a Digicel shirt and flew back in a Puma shirt.

According to Asher, perks like these are just small expenses compared to the sales revenue that the endorsers will get in return for being associated with their 'poster boy' in the long run.

"There are a lot of benefits to be derived for the long run," said Asher. "Everybody will remember these Olympics for quite a long time.

"As you see Usain you will remember Puma and Digicel and when you want to use his picture you will have to get their permission because they are his endorsers."

Undoubtedly, the marketers believe that the exploits of the nation's athletes at the Olympics meant a victory for Brand Jamaica that will strengthen its appeal to the rest of the world.

During a national address over the weekend, Prime Minister Bruce Golding said that the island's tourism industry stands to benefit after the Olympics.

"Our Brand Jamaica campaign has been given a priceless springboard because our athletes have name-branded Jamaica," said the prime minister.

Minister of Tourism Edmund Bartlett told the newspaper last week that he has already met with Chinese tour operators who were all charged up and ready to begin selling Jamaica as a destination.

Schmidt agreed, and added that controversy stemming from Bolt's antics after the races only increased the country's brand recognition in the lucrative North American market.
Bolt was criticised by NBC commentators Bob Costas and Ato Boldon, as well as IOC head Jacques Rogge for showboating during and after his 100 metres victory.
"Brand Jamaica is the biggest winner," noted the Irie FM executive.

"We should also thank Mr Costas, Mr Boldon and Mr Rogge," he continued. "Because of the controversy, Bolt and Jamaica's performances got more play in the US market than it would have gotten otherwise."