Jump to content

Virgin Stadium?


dbsweeney
 Share

Recommended Posts

  • Replies 161
  • Created
  • Last Reply

Top Posters In This Topic

Top Posters In This Topic

Guest CabayeAye

I don't think we'll ever see anything other than SD on the side of SJP. Think about it: why would MA want NUFC to recieve ~£10M PA when he in effect is getting that amounts worth of advertising for SD for free. If the club saw the advertising money there would be an argument that it should be re-invested in the club. By increrasing the profile of SD for free, he will recieve increased revenue via increased sales in his company rather than being seen as bleeding more money out of the club.

Link to comment
Share on other sites

I don't think we'll ever see anything other than SD on the side of SJP. Think about it: why would MA want NUFC to recieve ~£10M PA when he in effect is getting that amounts worth of advertising for SD for free. If the club saw the advertising money there would be an argument that it should be re-invested in the club. By increrasing the profile of SD for free, he will recieve increased revenue via increased sales in his company rather than being seen as bleeding more money out of the club.

 

Why not put SD on the shirt then rather than accept a new deal with Virgin?

Link to comment
Share on other sites

I don't think him clagging signs all over the stadium is particularly effective in terms of increasing his sales tbh. If someone was prepared to give him money to put their own signs up, I think he'd snap their hands off.

Link to comment
Share on other sites

Guest CabayeAye

You'd be surprised like. It'll be raising SDs profile hugely, worldwide. Burning rainforests down hasn't harmed McD's, sweatshops never hurt Nike. No publicity is bad publicity.

Link to comment
Share on other sites

Any word on how much the deal is worth?

 

Can't really have any complaints. It doesn't look great, but neither have plenty of the Northern Rock's.. though had become accustomed to that being on our shirts.

Link to comment
Share on other sites

http://www.virgin.com/richard-branson/blog/newcastle-united-and-virgin-money

 

When Crystal Palace got into the FA Cup Final back in 1990 (with current Newcastle manager Alan Pardew in the team) we swore never to sponsor another football team. Just thought we could never get lucky twice.

 

Today looks like I was mistaken. It was Manchester United that beat Crystal Palace in that FA Cup Final. Well done Newcastle for sweet revenge!

 

Ok, I accept we're jammy bastards!

By Richard Branson. Founder of Virgin Group

 

I can't decide if that's cringeworthy or bloody fantastic. A bit of both maybe.

Link to comment
Share on other sites

You'd be surprised like. It'll be raising SDs profile hugely, worldwide. Burning rainforests down hasn't harmed McD's, sweatshops never hurt Nike. No publicity is bad publicity.

As i've sort of argued on here before, SD's business model abroad is not driven by brand recognition, its driven by politics in places like China (where they had to pull out of), good real estate in protectionist countries (France, Italy etc) and distribution channels. The branding/advertising is worth a bit in terms of raising the profile of the business but SD's e.g. Remnimbis are best spent actually driving a business on the ground in the far east not waving at customers from the background of a televised football match. At some point if they did globalise, yes it might be important but not where SD are now with the number of outlets they have abroad. SD's business model is a 'commoditised strategy', thats when you sell a product indistinguishable from others like it and consumers buy on price alone. The brands compete for your choice, SD competes for your money.

 

What that all means is that getting his shop name in front of customers in countries where he doesnt have any/many shops is worth small numbers. Even £1 or £2m in cash from Virgin is worth more. Interesting deal anyway.

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.