Wednesday 13 July 2011

PM tightens media correspondence

The case against the News of the World has uncovered numerous amounts of information, allegations about some of the most powerful people in world media today. It seems however that the PM has decided to tighten up controls of controversial uncovering of interviews with newspaper editors and newspaper journalists.

Instead of allowing MPs to hold meetings with any paper, they must now publish quarterly reports of who they have held meetings with and who was present. Whilst this may be clear on paper, it maybe difficult to control in practice. The media circus in the UK has become far reaching than ever before and in light with continued demand for on-demand information, it is making it even more difficult to protect information escaping. Furthermore whilst meetings are being recorded, emails are a crucial tool in the exchange of information and may slip through the net, maybe escaping a untrained eye which may lead to more information being released about the Royal Family or the UK Government. 

The whole scandal against the News of the World and News International has opened a whole can of worms, restricting newspaper editors to scheduled interviews is only going to create mere I say it 'boring news' as everyone shares the same front story, no under cover journalist  will be able to arrange secret interviews with celebrities and politicians alike, broadsheets may even become more transparent with each other. On the other hand it won't stop newspapers such as the Sun publishing rumours about what might happen in the weeks and days to come. 

Thursday 7 July 2011

Boycott of the Brands: Should advertisers restrict who they associate their brands with?

As news breaks of the uncovering of phone tapping of senior politicians and celebrities by journalists at News Corporation a subsidiary of News International and its newspaper brand News of World, advertisers are considering their positions with the brand itself and questioning should they be associated with such a reputable brand such as News of the World.

According to the Newspaper Marketing Agency, News of the World costs just £1 to buy and attracted a readership following of just over 7.4 million per year in 2009 with a typical readership age of 35 to 44.

Likewise its sponsorship deals not only benefit the paper to make it a commercial success but also help the advertiser reach that captive audience which would have made it difficult to aspire to alone. This is what is known as an ingredient product. Furthermore it could be highlighted that the advertising schemes run by many organisations complement the newspaper. For example on its advertising website it states that readers of the Sun and the News Of the World redeemed 2.75m in vouchers worth £5 each in Tesco & Morrison’s. This suggests that people buy this paper not just to read about the daily news but also for incentives that it offers inside. Removing crucial advertisers such as Boots, Specsavers and Reckitt Benckiser could halt these readership figures.

In similar circumstances the Tiger Woods affair in late 2009 prompted a similar response by advertisers to boycott sponsorship deals with the golfing professional including Gatorade and Accenture all pulling ties. However key deals still remained including Tigers long term sponsor Nike. It showed a strong deal of character by the sports brand and only time will tell whether or not similar events will unfold in the News of The World’s story.

The brands that still associate themselves after the story has unfolded will be the ones that show a great deal of character and loyalty. Whether the uncovering of crucial information was intentional or not it could jeopardise the future of not just the News of the Worlds’ reputation but its sister papers too including The Times, The Sunday Times and The Sun.






Wednesday 6 July 2011

Is it right that alcohol firms can sponsor sport?

Last month the FA announced it was ending its association with sponsor EON for the FA CUP and switching to Budweiser as the main sponsor of the competition. It may prove a very lucrative deal for the FA, but in hindsight is it the right sponsor for the English game?

There has been much criticism in recent years of some types of sports sponsorships in the media, notably of those involving alcohol and gambling brands. In the case of the first two, there exists strong opinion in some quarters that these brands should not sponsor sport because of exposure to children. 

Unsurprisingly, gambling and alcohol brands have also come under the spotlight, with calls to prevent these from sponsoring sports properties, and a particular focus on restricting exposure to children through branding on replica shirts. Whilst this may be the case the competition is only sponsored by Budweiser not the teams, who have their own individual sponsors. Therefore Budweiser will have an indirect effect on football teams.

In the past many established sports brands many high profile sporting events including Benson & Hedges with Snooker and Formula 1. However due to licensing laws meant they had to drop association with the sport, similarly this was also the case with Embassy Cigarettes and their link with the Snooker. 

Overall the truth lies in convincing the public that, when done properly, sponsorships involving these types of brands can provide a positive contribution to the sports in question, and do so in such a way as to not have a negative influence on fans or participants (children in particular). It is essential that people feel there is a good reason for these types of brands to be associated with a sport, rather than just putting a name on a popular property without a genuine synergy between the two. This has been the case in the past in the USA, where Budweiser has long been established for sponsoring NASCAR racing and Superbowl events.

Overall the implication of Budweiser sponsoring the FA Cup is two fold, many will see this announcement as a changing of the sails for the FA, with many high profile premiership football teams being bought out creating a globalisation village. Likewise the FA and Premier League Association is becoming more and more Americanised that we can no longer be sustained on home grown sponsors.