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Brand Tiger Woods - Now Discounted

Tiger Woods comeback at the Augusta affords corporates the opportunity to bag him for cheap

Published: Apr 9, 2010 10:23:38 AM IST
Updated: Feb 17, 2014 02:09:24 PM IST
Brand Tiger Woods - Now Discounted
Image: Shaun Best / Reuters

The golfing world is celebrating the resurrection of its own God in the week after Easter. Millions of fans, television broadcasters, marketers (from whatever is left of the Tiger Woods saga) and most importantly the PGA (Professional Golfers’ Association) are all heaving a sigh of relief, after Tiger Woods announced his return to competitive golf at the Augusta Masters. Will Brand Tiger too undergo a resurrection?

Consider the leading indicator. Around 6.86 million Americans watched his well-orchestrated, well-rehearsed televised mea culpa on February 19 this year; so much so that the trading volume on the New York Stock Exchange fell to 1,00,000 shares — the lowest in the week — the moment his speech started. A modern day adage in America says “if there was a television set in every living room 70 years ago, Americans would have never elected a man in a wheelchair (read President Franklin Roosevelt).” With Woods it could well be the exact opposite.

History too tells us that a comeback is possible. Woods is not the first sports-person to walk on the wild side. Ben Johnson (Seoulgate), Hansie Cronje (match fixing), Shane Warne (steroids and womanising), Kobe Bryant (rape), and more recently Michael Phelps (marijuana abuse) have come under the lens. If you break the law and go against the spirit of sportsmanship (case in point: Johnson and Cronje) a return is well nigh impossible. Personal disasters are easier bunkers to drive out of.

Humans practice the ritual of exoneration diligently. We are a forward-looking breed and always see light at the end of the tunnel. This apart, the simple philosophy that “every American deserves a second chance” has helped many a fallen angel in his comeback. Case in point: Basketball star Kobe Bryant.

In 2003, Bryant was accused of raping a hotel employee. Akin to the Tiger Woods saga, McDonald’s, Nutella and Ferrero SpA terminated their endorsement contracts immediately, while Nike and Coca-Cola didn’t. The suit against Bryant was dropped and both these brands have reaped tremendous benefits. Bryant’s career since his return has been a phenomenal success including the NBA championship in 2009 and the MVP in 2008. Nike’s commemorative Kobe Bryant shoes range (Zoom Kobe, Hyperdunk, Huarache) is one of the highest selling brands of shoes worldwide and his replica jerseys are the bestselling basketball jerseys ever.

 

Brand Tiger Woods - Now Discounted

Illustration: Hemal Seth

To start with, the brands that stayed with Woods will benefit. Post his ‘transgressions,’ barring Nike, EA Sports and Tag Heuer, all the others gradually deserted him. Gillette has been non-committal.
When Tiger Woods takes to the fairways on April 8, he will hog the spotlight like never before. Every move, every practice swing, every little chat with his caddy Steve Williams will be closely monitored and even dramatised by the TV networks.

With public sentiment gradually swinging in Woods’ favour post his public apology, Nike and Electronic Arts have realised that notoriety is not a bad thing after all. It represents a tonne of exposure for their brands and their endorser. Both will be talked about on every television show, blog, online chatter and call-in radio programme across the world. It is expected to be the most watched Masters ever, the the most heavily photographed, the most actively YouTubed and Hulued.

Augusta is great for these brands as well. Augusta created history when about 43 million Americans watched Woods win the 1997 Masters, his first and also the first major triumph for a black golfer. That’s still a world record for a Masters telecast. This year it is being predicted that the Augusta Masters will have more audiences that the Barack Obama inauguration (37 million). It is bound to be the biggest media spectacle in recent times.

Nike’s paraphernalia, namely the shirt, cap, ball and bags, will suddenly be at the centre of the universe. EA Sports will never find a better time to launch their hugely popular game Tiger Woods PGA Tour 11.

Woods on his part will have to deliver. A decent performance at the Masters and he will not only assuage marketers but also demonstrate the greatest resurrection ever. It will also get his brand identity back on rails from where it is now. His performance on the field will be the best way to do this. And this will get new guys to bank on Woods’ appeal.

The most likely brands would be the competitors of his former endorsees. It will allow these corporations to take “brand equity” away from competitors who spent millions of dollars building their images through Woods.

Verizon could easily slot into the vacancy left by AT&T. AT&T has Apple’s clout to bully around. Verizon should quickly grab this opportunity and have Tiger Woods do a Steve Jobs spiel for them.

Coca-Cola’s Powerade is a sports drink which competes directly with Pepsico’s Gatorade. Powerade has 20+ percent market share versus Gatorade’s 70+ percent. Tiger Woods could help increase the market share of Powerade more than any other sports celebrity.

Citizen should replace Tag Heuer soon as the later has stopped using Woods in its marketing efforts. Citizen is pushing its high-end Eco-Drive range and has a few endorsers like NASCAR Driver, Matt Kenseth, American Footballer Eli Manning, and LPGA women’s golfer, Paula Creamer. However, none of these have the global reach that Woods can offer.

However, riding Brand Tiger will be a tricky affair. The brand manager will have to assess whether his brand is a leader, challenger, underdog or an ex-champ. Then will come the task of establishing synonymity between the attributes of the brand and the virtues — we know about the vices — of the personal brand Tiger Woods. The positive is that Woods has had the courage to come out in the open and accept his misdemeanours. The communication around him shouldn’t be too over the top. The mass hysteria around him will anyway do the trick. Woods’ agent, Mark Steinberg, is on the lookout for new brands to associate with and at the moment Woods is available for the cheapest price in a decade. Go figure!

(The author is a brand management professional)

 

(This story appears in the 16 April, 2010 issue of Forbes India. To visit our Archives, click here.)

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  • Rujuta

    Good Insight, interesting analysis and very well written.. All in all its a great article - both content wise & style wise. Keep it up!!!

    on Apr 12, 2010
  • Kunal Shah

    This is one damn good piece! Bravo MV! :D

    on Apr 9, 2010
  • Shambhvi

    With a record number of viewers watching Woods play and the world media talking about him, Woods is truly a brand to reckon with!!<br /> Brilliant article. Great read from a brand manager's perspective.

    on Apr 9, 2010
  • Shivani

    Very interesting article!! Extremely insightful. Next time you must write about the brand wagon surrounding the IPL !!!

    on Apr 9, 2010