At a time when US car makers are aggressively lobbying for car industry bailout package comes the news that Honda has pulled out of Formula 1 racing. Honda was one of the biggest sports spenders during 2008. The F1 team is up for sale.
Not too long ago Tiger Woods lost General Motors endorsement deal – sudden end to a decade old relationship.
Despite the general belief that entertainment bucks the trends of recession, its obvious that sports marketing is facing the heat and sports’ sponsors are cutting down on these costs in desperate attempts to save their businesses.
There is mixed feeling that media spending declines during recessions or it grows at a slower pace than in boom times. And sports marketing spend, in particular, is generally linked to the state of an economy.
Most sports spenders have claimed that they are passionate about sports they sponsor or endorse. Passion doesn’t mix with profits or losses of business. Sports and entertainment go hand in hand. You don’t stop making and watching movies in times of recession. You don’t stop playing and watching sports in times of recession either.
December 25, 2008 at 3:09 am
latin america ecommerce…
Couldnt be more on your side, good reading it!…