Sony Ericsson Continues (Limited) WTA Tour Sponsorship...
Sony Ericsson will remain the WTA Tour’s lead global sponsor, but will no longer be the title sponsor of the Tour or the sponsor of the year-end Championships. According to reports, Sony Ericsson will reduce its sponsorship by approximately 40%. The agreement runs through 2012 and supersedes the remaining ten months on the existing contract.
Sports Business Journal reported that the new deal is worth approximately $27 million over the almost three years of the agreement. Sony Ericsson had been the WTA Tour’s title sponsor since 2005 when it signed a six-year deal worth $88 million, i.e. approximately $14.7 million annually.
Sony Ericsson, which also separately sponsors the combined men’s and women’s tournament in Key Biscayne, Florida in late March, will retain its “patch deal” on players’ shirts (assuming that a player’s clothing deal allows patches, e.g. Nike does not), as well as having its logo on the sides of the net at all 53 WTA Tour tournaments in 33 countries. Sony Ericsson also will have significant television and digital media rights, but will receive fewer sponsor ticket and other perks. Nonetheless, WTA Tour CEO, Stacey Allaster, stated that no new sponsor would come in at a higher level. The WTA Tour will actively seek a sponsor for the year-end Championships, as well as other Tour sponsors.
The ATP World Tour recently signed Corona Extra to a major sponsorship deal for $70 million over 5 ½ years, i.e. $12.7 per year. The WTA Tour has put a positive spin on the announcement of the Sony Ericsson deal and it will provide the Tour with approximately $9 million per year over the three years of the contract. The good news is that the WTA has some financial cushioning in place for 2011 and 2012, as well as the ability to build its brand as a stand alone global brand for women’s tennis. However, the continuing challenge for the WTA Tour in these difficult economic times will be to find additional sponsors to provide the funding that the Tour will need to promote its players and tournaments around the world.
Sony Ericsson, which also separately sponsors the combined men’s and women’s tournament in Key Biscayne, Florida in late March, will retain its “patch deal” on players’ shirts (assuming that a player’s clothing deal allows patches, e.g. Nike does not), as well as having its logo on the sides of the net at all 53 WTA Tour tournaments in 33 countries. Sony Ericsson also will have significant television and digital media rights, but will receive fewer sponsor ticket and other perks. Nonetheless, WTA Tour CEO, Stacey Allaster, stated that no new sponsor would come in at a higher level. The WTA Tour will actively seek a sponsor for the year-end Championships, as well as other Tour sponsors.
The ATP World Tour recently signed Corona Extra to a major sponsorship deal for $70 million over 5 ½ years, i.e. $12.7 per year. The WTA Tour has put a positive spin on the announcement of the Sony Ericsson deal and it will provide the Tour with approximately $9 million per year over the three years of the contract. The good news is that the WTA has some financial cushioning in place for 2011 and 2012, as well as the ability to build its brand as a stand alone global brand for women’s tennis. However, the continuing challenge for the WTA Tour in these difficult economic times will be to find additional sponsors to provide the funding that the Tour will need to promote its players and tournaments around the world.
|| Comments (0)
