Photo At future games for the Premier League, official signboards will be shaped like the face of a Tag Heuer Carrera watch.
TAG Heuer has designs on soccer. After signing on as the official timekeeper of Major League Soccer in the United States, the German Bundesliga and the Chinese Football Association Super League, the high-end watch brand announced its sponsorship on Tuesday of the English Premier League, the richest and most watched national soccer competition, which includes many of the sport's most popular clubs, like Manchester United and Arsenal.
The three-year partnership makes explicit TAG's intention to capitalize on — and dominate — the most powerful sports field in the world, which draws fans of all socioeconomic backgrounds.
Starting next season, the boards held up by the fourth official (the man on the sidelines who signals substitutions and extra time) will be shaped like the watch face of a TAG Heuer Carrera, and referees will receive specially designed smartwatches that "will meet (officials') timing and training needs."
"This partnership will be our biggest sponsorship in sport ever, with reach that will go beyond the scope of our other timekeeping collaborations," said Rob Diver, managing director of TAG Heuer UK, adding that for the time being, it would maintain its partnerships in other sports like Formula 1 motor racing. "To be honest, I can't believe we haven't done this sooner."
The Premier League is in the fina l weeks of a sponsorship agreement of 40 million pounds, or $58 million, per season title with Barclays bank. But it recently changed its business model, abandoning a single lead sponsor in favor of around half a dozen major partners. Although neither TAG nor the league disclosed the exact value of the deal, it is estimated to be around $7.3 million. Other brands to sign up include Barclays, Nike and the video-game giant Electronic Arts — making TAG Heuer the only luxury player.
Luxury watch brands and the world of sports have long been bedfellows, so the news of this latest marketing marriage is unlikely to surprise many. Still, it is notable, for a few reasons.
First, TAG decided to associate itself with a league, ra ther than a particular individual or team. There have been scandals in the private lives of big-name players in the Premier League like Wayne Rooney and Ryan Giggs, and TAG was among the first brands to cut ties with the tennis player Maria Sharapova in March after she acknowledged failing a drug test, so the brand's shift from explicit or individual endorsements is noteworthy.
"When you work at a brand, it is your responsibility to maintain the integrity of that investment," Mr. Driver said. "Your job is to protect it and hand it on to the next generation."
Second, given that the brand is in the middle of one of the most challenging trading environments for the Swiss watch industry, the decision to embark on such an expensive foray into relatively new marketing territory might raise some eyebrows.
But watches and jewelry proved a bright spot in the most recent set of earnings results provided by the owner of TAG, LVMH Moët Hennessy Louis Vuitton, this month. Revenue grew 7 percent during the quarter, and TAG Heuer was highlighted for its particularly strong perfo rmance.
"Unlike some of our competitors,TAG Heuer is not a brand that is hugely influenced by the ebbs and flows of the tourist market," " Mr. Driver said. "Our focus tends to be local customers within regional markets, so we don't make these kinds of decisions depending on the fluctuations of the macroeconomic climate. We are interested in areas that have long-term value, in good times and bad."
In attendance at the announcement in London was Claudio Ranieri, manager of the Leicester City club. This small underdog team, whose players cost less than a third of many richer and more glamorous rivals, is poised to win the league. As it has proved this season, soccer still is a game whe re there can be plenty of surprises.
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