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DUBLIN BUSINESS SCHOOL
Sport and sponsoring: Does sport only live by and for
money anymore?
By
Matthieu GIELLY
March 2010
A project dissertation submitted in a part fulfilment of the requirement
for the degree of bachelor business of DBS.
I, Matthieu Gielly, swear on my honour to be the sole author of this
thesis. No plagiarism has been made for writing this thesis.
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Abastract
Even if we do not like sport, even if we have no interest in it, it is difficult to escape
it. When you open a newspaper you can find an article about sport, when you turn
on your TV you have the last sportive results. And even when it is not about their
performances, the most famous sports stars invade the public space through
advertising. Football, rugby, tennis, swimming,… you name it ; because sports are
very lucrative products and everybody understood it. So much that the sums
surrounded in the sport world become astronomical there, the most damning
example being football.
But, what about the sport itself? When created in the ancient times, sports carried
the concepts of values and virtue; may we say today that its protagonists still
convey the principles of fair play and respect towards the others?
"I think it is a fair price. If Real and Manchester United agreed this amount,
there is nothing more to say, Great footballers cost a lot of money and if you
want them you have to pay for them. I am happy to be the most expensive
player in the world.”
Cristiano Ronaldo (football player).
We will try in is study to establish the current relations between sports and money
(sponsoring, endorsing, patronage) and try to understand if that relations have
indeed contribute to fade away the fundamentals values of sport
Hypothesis: It has now become impossible to dissociate money and sports, but even
if it was it probably would not be a very good idea since it does not seem to cause
any harm, quite the opposite actually.
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Acknowledgements
First I would like to thank especially my supervisor Gavin Mcallister for his advice
and his availability.
A big thank you to my friends who were always there to advise me and support me.
Thank you to my parents for allowing me to perform this year abroad.
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Summary:
Abstract 2
Acknowledgement 3
I Introduction: 6
1.1 Purpose of the study 6
1.2 Research question 7
1.3 Research methodology 8
1.4 Organization of the thesis 8
II Literature review: 9
2.1 Introduction 9
2.2 Sport 10
2.2.1 Presentation 10
2.2.2 Economy 11
2.3 Sport sponsorship 13
2.3.1 History 13
2.3.2 The different types of sponsorship 14
III Research methodology: 17
3.1 Introduction 17
3.2 Research Objectives 17
3.3 Research Design 18
3.4 Secondary research 19
3.5 Quantitative and qualitative research 20
3.6 Research method 23
3.7 Limitations 25
3.8 Questionnaire presentation 26
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IV Data analysis: 29
4.1 Questionnaire analysis 29
4.2 Conclusion 42
V Conclusion and recommendation: 44
5.1 Conclusion 44
5.2 Recommendation 47
Appendix 48
Bibliography 50
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I Introduction
1.1 Purpose of the study
The purpose of this study is to understand the current situation between sport and
money, especially in football and formula one where money is omnipresent. Years
after years, the relation between them becomes more and more inalienable. Indeed,
each year new companies chose to use the sport sponsoring, the right for the media to
broadcast sports events increase constantly, the salary of players become more and
more important, etc.
If I choose this subject it is for the interest that I carry on sports and my hankering to
understand this new face of this business (sponsoring, naming, incredible salary and
transfers), but also the impact of it on our society, the impact on us.
In order to succeed in this investigation, the study will based on a sample of literature
dealing with sport’s economy, the social impact of sport in our society, history of
business man in this sector, testimony of sportsmen and so on.
Furthermore, the use of press articles and web articles will come corroborate and
foreground the rest of the literature review.
Even if this study tries only to understand the current situation, it has to be compared
with the situation during the past, thus understand the difference between before and
nowadays.
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1.2 Research questions
Based on the literature review, three research questions will structure the sequence of
the study. These three questions will be explained in more details in chapter three.
Question 1: is sport still considered as such?
Question 2: does sport sponsorship has a real impact on customers?
Question 3: sponsorship is it because of changing face of sport?
1.3 Research Methodology
This research methodology is separated in two parts. The first part is, as we see
earlier, the analysis, the comparison and the understanding of the literature
concerning the economic and social aspects of sport. This depth analysis will bring a
quantity of information which will require a clear understanding and a precise sort
out of it.
This information will be used in order to create a thread from the beginning to the
end of the literature review; this thread will start by a global view of the sport’s
economy which will become more and more precise until end with the social impact
of sport.
Consequently, all of these researches of different authors, different points of view,
should be structured in order to create a consistent group and a clear view of the
literature review.
This allowed to the researcher to have a better comprehension of the subject and to
organize his analysis in the best way.
The second part, based on a questionnaire, is aimed of answering of the primary
research analysis. Distributing to people this questionnaire, we will be able to answer
of questions headed by the primary research; and this by the extraction and the
analysing of the results produced by people who answer of this questionnaire.
For analysing the questionnaire, Sphinx program will used and finally the results will
compared with the research questions in order to be pertinent.
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1.4 Organization of the thesis
Part II: Literature review.
As we see before, the literature review is a summary of information about the
economy of sport as well as the social aspect. This information will permit a better
knowledge of the subject and so makes easier the analysis of the topic and the
answering of the primary research.
Part III: Research methodology.
The first purpose of this section is to examine deeply the research questions which
are essential for the rest of this project.
The second purpose is to explain the methodology used to answer to these research
questions.
Part IV: Results and analysis.
This chapter contain the analysis of the primary research answering of the research
questions. Based on the questionnaire’s results, it allows also issuing a personal
opinion about the topic.
Part V: Conclusions and recommendations.
This final part gathers the most important points to remind it in the conclusion. In
adequacy with the subject and an own opinion, recommendations will be provided.
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II Literature Review
2.1 Introduction:
Sport has become a major social phenomenon; it is enough to observe the square that
it occupies in our life (Jean-Francois Bourg et al; Economie du sport, 2005). In its
professional expression, sport is at the same time a show and a communication tool.
In its most elaborate shape, it is an image of the triumph of the liberal globalization
(J. Fontanel et al; Regard sur l’économie et le management du sport et des sportifs
professionels, 2009). But the links between sport and money are not new; from the
antique games human and material resources were mobilized (Jean-François Bourget
al; Economie du sport, 2005).
The current difference is that professional sport is a complex phenomenon with
multiple facets liking its internationalization, its financing, its organization... (Jean-
Jacques Gouguet et al; Economie politique du sport professionel, l’éthique à
l’épreuve du marché, 2005). The economic reality has strongly involved with the
globalization which accelerated, and the sport has not escaped to this ground-swell as
we see with the increase of sport’s sponsoring (Eric Barget et al; Management du
sport, 2008). The market of sport’s sponsoring has also involved, an advanced
reflection and new expectations brought to the foreground this new sector of the
sport marketing. Although this one represents only 3.3 % of the economy of the
sport, it represents nevertheless with the media’s licence and the organization of
competitions, a business of €3.3 billion (Le Nouvel Economiste).
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2.2 Sport
2.2.1 Presentation
For several reasons, it is rather difficult to trace the beginnings of the sport in our
history. Even if historians are agreeing to admit that sport did exist at the time of the
first Pan-Hellenic Games of ancient Greece, there is no consensus however on
previous periods of history where physical activity had often as a primary goal of
survival and military training (TV5 article).
The other problem is the definition given to the word “sport”: for some, the sport is
limited by regulated competitions and for others; any physical activity may enter in
the field which thereby becomes unlimited. Without further clarifications the word
“sport” is meaningless (J-F Bourg et al, Economie du sport, 2005).
However if we had to give a definition we could say that sport is a social
phenomenon, an educational approach, a philosophy, a hobby and a reflection of the
society. In its social representation, it expresses the search of a healthy body, an ethic
and a show; but it also demonstrates the benefits of the competition (J. Fontanel et al;
Regard sur l’économie et le management du sport et des sportifs professionels, 2009)
As we see before, the sport’s origins date back the antiquity. Whether Greeks,
Romans, Etruscans or Egyptians, substantial remains of these civilizations show us
that sport or physical activity rather had an important place in their culture: hunting,
swimming, fighting bulls, fishing.... (J-P Massicotte et al; Histoire du sport de
l’antiquité au XIXème siècle, 1984).
Over the years sport has involved to become, in our time, much more than just a
hobby. Today sport now brings together all aspects of our society: the problem of the
nation, the problem of market economy, the problem of the “society-show”, etc
(Charles-Louis Foulon, Les metamorphoses du sport du XXème au XXIème siècle,
2005).
In the 21st
century, sport is now considered as a universal language, one that unites
everyone around a common passion. It is now the new stature of sport and some even
speak of “universal religion” as the headline in a German magazine for the Berlin
Olympic Games in 1936 (F-X Amhert; Le sport, 2004).
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But behind this idyllic vision of sport, unfolds a contemporary reality more complex.
Since we distinguish the spectator sport of amateur sport, professional sport and
grassroots sport, competitive sport and recreational sport... it clearly displays the fact
that sport (professional) has reached issues which exceeds it. (Thierry Terret,
Histoire du sport, 2007).
2.2.2 Economy.
The basics of the sport economy are located in the United-States in 1956. At that
time, Simon Rottenberg professor at the University of Chicago, and Paul Gregory
wrote one and the other article about the baseball players’ labour market. The
American economists were already concerned by understanding the economic
organization, the microeconomic theory of the firm and the market competition in
sport in North America (W. Andreff et al; Handbook on the economics of sport,
2006).
From the time 1984-1986, the interactions between sport and economy have
increased. With the media coverage of sport as a show, it has created the beginning
of the market area with the privatisation of the Los Angeles Olympics, creating a
global marketing program of the Olympic Games or also the abandonment of public
television monopolies. But the impact of sport area has also extended to areas such as
radio, air transport or communication (Jean-Francois Bourg et al; Economie du sport,
2005).
Now professional sport is real business and a wholly economy as shown in the
operation of professional team sports league. Basically, the purpose of those teams is
a profit maximisation; the problem is that very soon a balance had to be created
between profit maximisation and utility maximisation. Currently in many cases the
utility maximisation has taken precedence over profit maximisation and the team
owners organize their resources according to satisfy their managers and empower
them to achieve results (P. Downward et al; The economics of professional team
sports, 2000).
Even if this system bring back a minimum profit, and that several clubs have huge
debts (e.g. Chelsea in football); professional sport created a major economic dynamic
and breaststroke gigantic income. In the past 15 years, sport has known a golden age:
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club revenues and player salaries have skyrocketed; many clubs constantly sell their
players for sums higher and higher; the revenue from the TV rights are increasing
every year, etc... (G.W.Scully; The market structure of sports, 1995).
The TV rights do not occur by chance. Indeed, the role of the media in the
popularization of professional sport is undeniable. Yet at the very beginning is the
sport that launched the television and not the reverse. Harry Coyle, director of NBC
sport, said about this “Television got off the ground because of sport”, but since that
time has passed (Scott R; Rosner et al; The business of sport, 2004). As and when the
link sport/media has changed, expectations and desires of the audience too. Now the
sport’s survival depends on the media that not only access any event, anywhere, but
also by way of meeting expectations of consumers (Presse universitaire du MIRAIL;
Sport et medias).
Under the effect of this media coverage and the increasing attention of firms for
sports, a market that is sporting goods one knows unprecedented economic growth.
Whether sales of sport shirts (e.g. C. Ronaldo shirt of Real Madrid) or sales of article
for the sport; the sport’s economic weight represents 3% of trade value or €400
billion. In Europe it accounts for 2% GDP of major countries and so a market of €80
billion (P. Bouchet et al; Management et marketing du sport: du local au global,
2005).
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2.3 Sport sponsorship:
2.3.1 History
Just has the origins of the sport itself, the origins of sponsorship goes back to ancient
Greek and Roman. At the time, the Roman Games were already a business tool, a
means of communication whereas the majority of the audience could neither read nor
write. Caesar through the gladiatorial games (as announced by sort of flyers) has won
many votes in knowing in advance the impact this would have for him (Marc Albouy
1995).
Throughout the history we found traces of the form of sponsorship, the Renaissance
or the 19th
century; but modern sponsorship appears in the 1980s regarding sport
sponsoring. At that time, it is the growth of events and the originality of the tool that
appeal to sponsors. It is also the beginning of sponsorship “dissemination” (concept
of broadcasting). In the 1990s, sponsoring (along with advertising) becomes a tool of
promotional mix servicing marketing strategy (E. Barget et al; Management du
Sport, 2008).
In the 2000s, the advent of the IMC (Integrated Marketing Communication), which is
directly aimed at influencing the behaviour of the target, based on the synergy of all
media selected. It falls now in the area of comprehensive sponsoring and this,
according to 8 principles:
 Rigorous selection between sponsors and purpose of sponsorship.
 An operation chosen according to sought-after objectives.
 An integration of the communication strategy.
 An effective control.
 A specific contractual commitment.
 A commitment over the long term.
 The implementation of protection against ambush marketing.
(Ferrand et al 2006)
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Since 2000, now are emerging two basic concepets:
 The evolution from the promotion to the activation of the sponsor’s brand:
make the brand active rather than passive, the only problem is to find the
activation field of each brand. It speaks of “experiential” sponsorship.
 The importance of relationship marketing: the objective here is to develop
profitable partnership by the sponsorship, and this based on cooperation
between different actors.
(G. Tribout; Le sponsoring sportif, 2004)/
To conclude:
In early 2000 (2003 precisely) the total amount of sponsorship was €26.2 billion. In
Europe, the sponsorship market is 1/3 of the world market with 81% on sports
sponsorship.
2.3.2 The different types of sport sponsorship.
First of all, what is sport sponsorship?
It is a business agreement between two parties. Toward the sponsor it is involved in
providing money, goods and services; while the sponsored offers his image to the
sponsor so that it uses (W. Lagae; Sport sponsorship and marketing communication,
2003).
There are 4 types of sport sponsoring which are;
 League
 Club/team
 Stadium
 Player
a) League or events:
Ligue 1 Orange, Barclays Premier League, H Cup, BNP Paribas Master, etc... Even
if this sponsorship is the least risky in terms of image, it is also one of those has the
least impact. In fact, this sponsorship provides the insurance of events with little
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chance of harm occur, and a bad image won’t rebound on the partner company. But
the impact of such events has little impact on the partner’s image because of their
ephemeral flow over the year (cups or tournaments) or the lack of impact of the name
for leagues, which in the minds of spectators are the L1 or the Premiership (G.
Tribou; Sponsoring sportif, 2004).
b) Club/Team:
Chelsea/Samsung Mobile, Real Madrid/Bwin, Olympique Lyonnais/Bet Clic, etc...
The club sponsoring is the most risky but also the one with the biggest potential. One
of the traps is targeting a big club because it has several sponsors whose image is
drowning which each others. There is no question also to take a club from a lower
division which won’t be publicized. The choice of club sponsored is crucial because
if it performs well, the public will sensitized to the partner’s image and it may
increases significantly. The reverse happens in case of bad results of the club and the
partner’s image is blended with the club (T. Moré; Le sponsoring sportif, une
technique de communication à part entière, 1987).
c) Stadium:
In terms of stadium’s sponsorship, the French leader in this area remains the Stade de
France which has 17 partners. In such cases, partnerships are made to register on the
long term and relates mostly to large companies. In further, a new stadium’s
sponsorship has developed in the past 10 years, the naming: Aviva Stadium,
Emirates Stadium, Philipps Stadium, etc...
The purpose here is to finance the construction of the stadium, into consideration the
fact that the stadium takes the brand name, and the brand also becomes the team’s
sponsor on their shirts.
d) Player:
The scope of player’s sponsorship may be more important than a club but also more
dangerous. Indeed the importance and scope of their image depends on their results,
but the negative impact that their image can have depends on their behaviour, their
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character, etc... The image of a “Golden Ball” in football or an Olympic champion in
individual as Usain Bolt (Pumas) or Yan Thorpe (Speedo) brings credibility to the
product because in the case of player’s sponsorship, they are often associated with
brands in relation to their sport and a product that they use themselves.
e) To conclude:
 In formula one, a partnership may reach €55 millions, whereas in football it is
between €2 and €5 millions (in Ligue 1 for example).
 The contract for the Emirates Stadium is worth €147 millions. In return, the
stadium will bear the name for at least 15 years and the company will sponsor
the shirts until 2014.
 The sponsorship remains an effective marketing option; however it is not if it
does not fit in the long term. Moreover, the sponsorship must always be part
of an overall communications strategy, it cannot be the only communication
tool.
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III Research Methodology:
3.1 Introduction
The purpose of this methodology is to understand how research for this project were
conducted and structured. It is also to explain how the research objectives were
achieved. We will see how based on two points that were sport and sponsorship,
research have been developed. Depending on the topic, the researcher may choose to
opt for primary research or secondary research. In the case of this subject and like
many others, the choice was made to combine these two methods to get results as
complete as possible.
3.2 Research Objectives:
Question 1: is sport still considered as such?
Try to understand if the sport is still regarded as entertainment, or has it reached a
step where it is headed by money than anything else.
Question 2: does sport sponsorship has a real impact on customers?
Try to understand whether sports sponsorship works effectively on viewers.
Sponsored leagues, clubs and players, the impact of each on people's behaviour.
Question 3: sponsorship is it because of changing face of sport?
Analyze the relationship between sport and sponsorship and try to determine if the
sponsorship is a key factor in the incredible excitement of the sport economy.
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3.3 Research Design:
My purpose is to understand the link between sport, sponsorship and our society,
how these three points are connected. For this, a theoretical work will be done with
books, newspapers articles and articles from Internet. So I get a complete and
accurate design research based on a research in 3 steps. These 3 categories of
research are exploratory approach, descriptive approach and causal approach (J.F
Hair et al; 2006).
Exploratory Research:
The exploratory research allows a better understanding of a subject that we know
already. For example in this topic, everyone knows sport, everyone knows what a
sponsor is. But who knows their history, their evolution, their way of functioning?
The exploratory research is simply a deeper study of the topic. “The objective of
exploratory research is to gather preliminary information that will help define
problems and suggest hypotheses.” (Kotler et al. 2006).
Descriptive Research:
“The objective of descriptive research is to describe things, such as the market
potential for a product or the demographics and attitudes of consumers who buy the
product.” (Kotler et al. 2006).
This research is the most often used; making this research is to determine the cause
of something happening. Also called statistical research, it aims to describe and
interpret the data and characteristics of the subject studied. Specifically, the purpose
of such research is to study frequencies, averages and other statistical calculations.
There are four stages in this research:
 Recognizing and indentifying a topic to be studied.
 Selecting an appropriate sample of participants.
 Collecting valid and reliable data.
 Reporting conclusions.
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Causal Research:
“The objective of causal Research is to test hypotheses about cause-and-effect
relationships.” (Kotler et al; 2006). This research focuses on the effects of one thing
on another and more specifically the effects of one variable on another. The aim is to
measure the impact of changes on the current situation studied and its variables. The
problem with this method of research is the random implied motivations and
attitudes of people with whom we dealing with.
3.4 Secondary research:
Unlike the primary research, data from the secondary research already exist. It
actually represents the data-gathering from newspapers, books, governmental reports,
academic papers, etc... in order to answer to the research objectives.
According to D.W Stewart, to evaluate the validity of the information related to the
topic, six questions to ask are: “1) What was the purpose of the study? 2) Who
collect the information? 3) What information was actually collected? 4) When was
the information collected? 5) How was the information obtained? 6) How consistent
is the information with other sources?”
Indeed, the user of secondary research has to develop a retreat from the information
found to assess their reliability or validity and (if possible) their objection.
This research will therefore provide accurate information about the market, its actors,
the customers and their behaviour, etc...
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3.5 Quantitative and qualitative research:
Qualitative research:
According to Dezin and Licoln (1994) ‘qualitative research involves the studied use
and collection of a variety of empirical materials – case study, personal experience,
introspective, life story, interview, observational, historical, interactional and visual
texts. That describe routine and problematic moments and meaning in individual
lives.”
The qualitative research is actually using the right hemisphere of the brain, the one
that processes data such as words, feelings, emotions, colours, music, etc... (R.
Davies; 2000).
The investigation for a qualitative research can be organized as follows:
 Seeks answer to a question.
 Systematically using a predefined set of procedures to answer the question.
 Collects evidence.
 Produces findings that were not determined in advance.
 Produces findings that are applicable beyond the immediate boundaries of the
study.
Quantitative research:
“Quantitative research involves counting and measuring of events and performing
the statistical analysis of a body of numerical data” (Smith, 1988). The quantitative
research uses the left brain hemisphere, the logical and objective part of our brain
which processes numbers, unchanging static data and detailed, convergent reasoning
rather than divergent reasoning. (R. Davies; 2000).
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The investigation for quantitative research can be organized as follows:
 The generation of models, theories and hypotheses.
 The development of instruments and methods for measurement.
 Experimental control and manipulation of variables.
 Collection of empirical data.
 Modelling and analysis of data.
 Evaluation of results.
Differences:
Beyond the fact that qualitative research involves words, images, etc... and
quantitative research involves numeric data; there are certain parameters that
distinguish them.
One of the first points is the types of questions that they pose and how they respond.
Indeed, a quantitative answer limited options for answers of the interviewee as it has
a limited choice of proposal. However, a qualitative answer leaves room for any
answer.
Moreover, the instruments used and the results produced are not the same. A
quantitative answer will lead to a statistical analysis (percent probably), while a
qualitative answer will require a more elaborate analysis because of the X answers
which can be given.
(See appendix 1 for qualitative and quantitative comparison).
Strengths and weaknesses:
Strengths of quantitative research:
 Clearly and precisely specifying both the independent and the dependent
variables under investigation (Balsley; 1970).
 Eliminating or minimizing subjectivity of judgment (Kealey and Protheroe;
1996).
 Allowing for longitudinal measures of subsequent performance of research
subjects.
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Weaknesses of quantitative research;
 Figures do not provide information about the context of the studied
phenomenon.
 Limit the possibility of answers by structured questions of limited choice, it
created a lack of openness.
 This does not encourage further investigation about the studied phenomenon.
Strengths of qualitative research:
 Obtain a more realistic result of the situation with questions that figures do
not respond.
 The way to interpret the data collected is more flexible and leaves more room
to push a personal analysis.
 Ability to interact with the research subjects in their own language and on
their own terms. (Kirk & Miller; 1986)
Weaknesses of qualitative research:
 Same information can provide different conclusions depending on the
researcher’s personal beliefs and way of analyzing the information.
 The complexity of obtaining the information required by the appropriate
question from the interviewee.
 The various techniques available to the researcher to get an answer, allow the
interviewee to tell a particular story rather than another. This creates a lack of
consistency and reliability.
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3.6 Research method:
My study examines the impact of sport, particularly sport sponsorship, on our
society. The fact is that everyone can respond to this questionnaire, young/old,
students/unemployed, male/female, etc. So I need to get answers to each of these
kinds of people; that is why I chose to administrate a questionnaire that will allow me
to 20 questions asked of 100 people, to get a range of answers representative of the
society.
So I will obtain a statistical analysis and some answers to some open questions that
allow the interviewee to give his point of view.
I will use for these questionnaires, 3 types of questions which are open-ended, close-
ended and scaling questions.
Open-ended question:
“An open-ended question is designed to encourage a full, meaningful answer using
the subject's own knowledge and/or feelings.” Indeed, the purpose here is not to
encourage the interviewee to answer this or that by offering him a limited choice of
answers, but to obtain his own opinion on the subject with his own words.
An example of a famous open-ended question: “How does it make you feel?”
The advantage of such questions is to provide additional information like the
person’s feelings, its attitudes or understanding of the subject. The problem remains
the fact that the interviewee can answer what he wants; it still leaves a possibility to
cannot exploit the answer.
Close-ended question:
Unlike open-ended questions, it leaves no choice to the interviewee for his answer.
He must indeed choose between limited choices of answer that can be “yes or no”,
“true/false”, or also multiple choices.
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Of course, one of the advantages of these questions is that their results are much
easier to analyze. It brings statistics answers so everything is reduced to figures
analysis. Furthermore, the answers produced by these king questions are more
specific, there is no risk that the answers are off-topic. The disadvantage is that these
questions are very general and not investigate in depth the topic.
Scaling question:
Scaling questions are actually a mix between open-ended questions and close-ended
questions. Indeed, it allows the interviewee to give his own opinion but with a
limited choice of answer which are for example: Strongly agree, somewhat agree, no
opinion, somewhat disagree, strongly disagree.
The advantage of these questions is to obtain data easy to operate, and which
moreover allows us to get an idea of the personal opinion of people about the topic.
However it represents the risk that the person does not give its real felt but that the
“scale” incentive it to meet the expectations of the researcher.
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3.7 Limitations:
While the questionnaire is a useful tool when you have to obtain a balanced view of a
large population, yet there are some problems.
First of all, although the results represent a credible sample of the population, it
cannot be generalized to the entire population. Moreover, this sample does not
necessarily correctly respond to the questionnaire. Indeed, the researcher is not with
each person when it fills out the questionnaires (some of them were sent by e-mail
for example) and the respondent cannot understand some questions and answer it
wrong; or it may not really take time to think about his answers.
The second point is that a questionnaire containing too many open-ended questions is
difficult to interpret. On the other side, a questionnaire with too many close-ended
questions is difficult to summarize because of the number of analysis made possible.
The third point concerns the objectivity of respondents: among those concerned and
those not interested in the subject, the researcher has to take the answers from a
distance.
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3.8 Questionnaire presentation:
In my questionnaire, questions 1 to 6 are general which are intended to define the
situation of the person facing the subject. The questions 6 to 10 will basically answer
to my objective concerning the impact of sport sponsorship; but they also provide
some answers to my 1st
and 3rd
objectives. The questions 11 to 14 will answer to my
1st
goal and the questions 15 and 16 to my 3rd
goal.
Questionnaire about sport and sponsorship.
1. What is your sex?
Male
Female
2. What is your profession?
Self-employed
Student
Unemployed
Manager
Employee
Other
3. What is your favourite sport? (If don’t have one go directly to Q12).
Football (soccer) Golf Baseball
Rugby Formula One Other
Tennis Basketball
4. And do you?
Practice
Watch
Both
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5. Which media do you use to be informed?
TV
Newspaper
Internet
Radio
6. What is your favourite player?
7. Put these sportsmen with the right sponsor:
C. Ronaldo Wilson
R. Federer Puma
T. Henry O2
Usain Bolt Addidas
O’Driscoll Nike
Lionel Messi Gilette
8. For you the impact of a sponsor is:
Very minor
Minor
Don’t know
Consistent
Very consistent
9. Can you name your team sponsor (if you have a favourite team)?
10. Do you buy a product because the brand is the sponsor of your team?
Yes
No
11. For you, the word sport means primarily:
Leisure Health Show
Business Competition
28
12. Do you find that the financial sport investments are unreasonable?
Yes
No
13. Do you find that sportsmen in these sports are too much paid?
Yes
No
14. For you investment in sport is:
Very useless
Useless
Normal
Useful
Very Useful
15. What is for you the main reason for the current situation of sport?
16. For you, does sponsorship have a role in this situation?
Yes
No
I don’t know
29
IV. Data analysis:
4.1 Questionnaire analysis:
Question1: what is your gender?
For this questionnaire we have a sample of 70% and 30% of women.
Question 2: what is your profession?
Gender
Male
Female
0
5
10
15
20
25
30
35
40
45
Percent by profession
Percent by profession
30
We see on this graphic that the sample is heavily focused on students (41%), it is
because being myself a student this is the most accessible population for me.
Question 3: what is your favourite sport?
On this chart we can see the clear dominance of football and rugby which together
collect 74% of the results (43% for football and 31% for rugby). Note also that no
fan of baseball or golf being shown on this graph.
Also note that not appear on this chart the 13% of respondents who are not interested
in sport and that on this 13%, 88% was women.
Football Rugby Formule 1 Golf Basketball Baseball Tennis Other
31
Question 4: and do you?
On this graphic we can see very clearly that people who make sports also likes to
watch it. Indeed 47% of respondents make sport and watch it. We also note that
many of them are interested in sports without actually practicing (31%) and only a
tiny part of the panel practice only sport without watching it (12%).
This graph is important to understand the relationship that each interviewee has with
sport. We note that students are those who practice more (60% of those who only
practice and 40% of those who practice and watch); but they are also the most
0
5
10
15
20
25
30
35
40
45
50
Practice Watch Both
Do you ?
Do you ?
0
10
20
30
40
50
60
Practice Watch Both
Self-employed
Student
Manager
Employee
Unemployed
Other
32
inclined to only watch (33%). It is therefore difficult to establish for the moment a
real trend in their approach to sport. An important factor is that managers are 31% to
practice and watch sport. It means that their work, combined with the fact that they
have a simple approach to the sport through practice, and an economic approach by
the TV (or another media), make their opinion certainly more objective and
comprehensive than the other respondents.
Question 5: which media do you use?
Information through the media is very balanced, in fact the TV although the most
used media is not necessarily the most effective in this area. Internet is the most used
for sports information (37%) because it is the fastest way to get the information that
you want through sites such as Eurosport. The newspaper remains a highly used
(13%) in this area for trips in public transport for example. Radio accounts for 24%
because people listen to it during the morning, getting up or going to work by car.
0 10 20 30 40
TV
Newspaper
Internet
Radio
Medias
Medias
33
Question 6: what is your favourite player?
Among the most famous name that are mentioned we find: C. Ronaldo (foot), Lionel
Messi (foot), Steven Gerard (foot), Franck Lampard (foot), Juan Martin Hernandez
(Rugby), Brian O’Driscoll (Rugby), Raphael Nadal (Tennis), Roger Federer
(Tennis), etc...
All these players are athletes with a strong media impact, which often sell its image
in marketing campaigns; whether products for sport (Adidas, Nike) or any other
thing (for example Thierry Henry and Gillette). Where their impact is the greatest it
is for the sports goods: “because they use them themselves, why would not I do
that?” this is an argument that many people apply in these cases.
Question 7: put these sportsmen with the right sponsor.
It is an eloquent statement that gives us this chart. Even if we are not interested (or a
few) in sport, the maximum of mistakes that is made is 3. Even more telling is that
80% of people do make one mistake maximum (30% does no mistake). This is
because it is often easy to deduce what player is what, but it remains that people
know the products for which these stars lend their image.
Sportsmen with his sponsor
0 mistake
1 mistake
2 mistakes
3 mistakes
4 mistakes
5 mistakes
6 mistakes
34
Question 8: for you the impact of a sponsor is...
Here the data that emerges from this graph is that people do not believe in the impact
of sponsorship on their purchasing behaviour, or at least do not feel the impact.
Indeed, over a half of respondents (51%) found that impact very minor or minor.
And only 7% of the interviewees think that the sponsorship impact is very consistent.
0% 20% 40% 60% 80% 100%
Sponsor impact
Very minor
Minor
Normal
Consistent
Very consistent
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Very consistent
Consistent
Normal
Minor
Very minor
35
On this graph we see that the most inclined to believe in the impact of sponsorship
are managers, this may be explained by the fact that they are more familiar with the
operation and its real impact on people. The most reluctant are students and
employees, and the most shared are self-employed. The “others” being only 3, are
not significant.
Question 9: can you name your team sponsor? (if you have a favourite team).
Flagrant report, 98% of the respondents know the sponsor of their team. The only
mistakes appeared are people who cited former sponsor of their team, sponsors
which were important to their team (O2 with Arsenal and Carlsberg with Liverpool).
This proves that the impact of these sponsors are greater than what people think.
Question 10: do you buy a product because the brand is the sponsor of your team?
Here still, a result which comes to call into question my previous analysis. 96% of
people do not buy the product because the brand is sponsoring their team. This is
feels them, but is it definitely the truth? This graph will not teach it to us, he just
informs us that the great majority of people do not think be influenced in them
purchases by the sponsor of their team.
Yes No
36
Question 11: for you, the word sport means primarily...
Sport is a show; at least that is what we learned this graphic: of the respondents, 37%
consider it as such. That figure seems very ‘light” knowing that 41% of these
respondents are only watching sport, the rest must therefore consider that sport is
leisure (19%).
Regarding those who practice, they must use sport as a competition (29%) or good
health (9%).
Regarding those who see sport like a business, they are only 6% consider that the
sport is a primarily business tool.
0
10
20
30
40
Sport means…
Sport means…
37
Question 12: do you think that the financial sport investments are unreasonable?
This chart presents a certain contradiction with the previous graph. When only 6% of
respondents regard the sport as a business, 80% of all the respondents are agree that
sport investment are excessive. But if there is business, there is investment; and if
one consider that these investments are excessive, is that we think sport has become a
business in itself.
Even if this reasoning is not applicable to everyone (you might consider investments
as excessive and still see sport as a competition), the figure of 80% appeals to me
anyway. I think, particularly with regard to those who see sport as a show, they do
not fully realize that this show is made possible in part, through its investments. That
is why I find the percentage of people considering such investments as excessive,
beyond realism.
Yes
80%
No
20%
Sport investment are unreasnonable.
0
5
10
15
20
25
30
35
40
Leisure Business Health Competition Show
No
Yes
38
This graph shows us, depending on how we see the sport, who answers yes or no to
the question on excessive investment in sport. Unsurprisingly, those who see sport as
a business that does not think that investment is excessive in sport (5 of 6). In reality
they are the only one to be more pros that cons for its investments. Also no surprise
that those who see sport like healthy feel almost 100% sure that these investments
are too high (8 of 9). Regarding those who see sport as a show, 19% of them believe
that these investments are normal.
Question 13: do you find that sports players are too much paid?
This graph confirms the view that people have towards the business in sport. 91% of
respondents believe that athletes (especially in football according to remarks made to
me) are overpaid. For them, there is too much money in sport and that, whatever
from that takes these investments.
Sports players are too much payed
Yes
No
39
Question 14: for you investment in sport is...
The answer to this chart could be “Yes, we believe that investment in sport is
excessive, this does not mean they are not useful and should disappear.” This chart
shows that respondents were disturbed by the large investments that are made in
sport and which sometimes seems unnecessary. Therefore, throughout the most part
believe that these investments are necessary Looking at the graph, 87% of
respondents consider these investments at least as normal.
Question 15: what is for you the main reason for the current situation in sport?
My question have very well have been wearing on the current situation of football as
the most answer are in this sport. The main answers that emerge are:
 The tax exemption related to clubs in several countries.
 The vagaries of billionaires.
 The steady increase in TV rights.
 The fact that every club is looking to buy still more expensive than the others.
 The impunity granted to clubs in term to debt (close to the tax exemption).
0% 20% 40% 60% 80% 100%
Sponsorship in sport
Very useless
Useless
Normal
Useful
Very useful
40
Question 16: for you, does sponsorship have a role in this situation?
This chart tells us that most respondents did not know the exact role of sponsors in
sport. The proof is, more than half of respondents answered “I don’t know” to this
question. Presumably, those who answered “yes” did so because they associate
mostly sponsorship with money. Regarding those who answered “no” they may
understand sponsorship only as a name on a shirt.
Implication of sponsorship
Yes
No
I don't know
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
I don't know
No
Yes
41
This last graph tells us that the most undecided on that sponsorship plays a role or
not in the current situation of sport, are students and employees. For most, this is not
that he has no opinion on the subject, it is simply that sponsorship plays a role that
can not characterize or they don’t succeed to locate precisely.
We also note in this graph that the students are divided equally between the 3
categories, while the manager is mostly to say that sponsorship is one of the
responsible of the economic situation of the sport. The self-employed for their part
think mostly the opposite.
42
4.2 Conclusion:
Considering this questionnaire, some uncertainties remain about the vision that
people consider the sport in our society. At first glance the sport is mostly, for the
majority of them, an entertainment whether in practice or as a TV entertainment,
overall is not intended as a business. However, business in sport is present and those
interviewed feel it. The fact that they find investments excessive; they think that
players are overpaid or that 96% of fans of a team sponsor aware of it, it proves that
this business has an impact on them.
For them, sport and particularly football has a blank check that allows the clubs to
spend or invest astronomical sums in players, stadiums or anything else. But this
does not mean that they deem investments like unnecessary, they only consider it as
disproportionate.
What about sponsorship?
Given the results obtained by this questionnaire, it is difficult to define clearly the
impact of sponsorship and its role in the current situation of sport. Indeed for most
respondents, they have difficulty measuring the impact of sponsorship on their
purchasing behaviour, so they have more difficulties to measure its overall
involvement in sport. The panel finds that sport sponsorship is perhaps an actor of
the economic boom in sport, but it is not a major player. To them its influence
remains “marginal” and this is certainly not the sponsorship that has led, for example
“in this price war for a simple player’s transfer.” (an interviewee). Sponsorship is a
tool among other, without being a key driver of sport business. True or false?
To say that the sponsorship is a simple tool would be somewhat underestimated his
role. Indeed, in sports such as Formula 1 are funded overwhelmingly by the
sponsorship, even in football its role remains paramount and omnipresent. But it is
true that in the case of football, the billionaire club owners have a responsibility far
bigger.
Regarding the impact of these sponsors on the spectators’ behaviour, it seems at first
view very superficial. For most respondents their decision to buy a product over
another does not depend on a sponsor on a shirt of their favourite team or
not. However this argument seems far from the reality. For example, a fan of Arsenal
43
will see "Fly Emirates" as a name on a shirt, of course. But that same fan who never
went to Asia and who one day decides to take a trip down there, with that name in his
head will think immediately to go to see their offers. That is work sponsorship, it acts
unconsciously.
Ultimately, what emerges from this questionnaire is the fact that sport is seen as a
means of entertainment but has reached limits that are unpopular for the vast
majority. Whether it is sponsorship or other economic excesses committed for
example in football is not the taste of viewers.
44
V. Conclusion and recommendations:
5.1 Conclusion:
The sport, as far as we can remember has always existed. Whether its purpose is to
maintain health one’s or to entertain people, its importance in our society has always
been preponderant. Its origins, which date back to antiquity, we also indicate the
presence of a form of sponsorship already in those early days. Indeed even at that
time, the sports and sponsorship was intimately bound, the purpose has always been
to showcase sport (or entertainment) to transmit messages. Although at the time it
was not about selling products but ideas, the way to make was the same: used simple
means to reach as many people and deliver a message. This is sponsoring, a
minimum income for a guaranteed return on investment.
Now, the link between sport and sponsorship is stronger than ever. Since the sport
became a full-fledged business, sponsorship has taken its place and uses this market
which represents a considerable media tool; not only by its international scope, but
also by its actors: famous athletes like C. Ronaldo, Fernando Alonso or Roger
Federer.
Beyond the competitions they are involved and who make dream millions of people
around the world, these stars are present in advertisings like in government
campaigns (Road Safety or otherwise) or for-profit associations charity
campaigns. Their image is used indefinitely because their impact on the population is
more than important. Even when the stars we talk about them for the wrong reasons
(adultery, speeding, excess alcohol, etc.) it does affect them quite the contrary, we
still talk about them and this reinforces their place in the media.
In any case this is true as long as their actions do not affect the sport itself. For
example: the hand of Thierry Henry against Ireland has been detrimental to his
image, so that Gillette which had appealed to him for a pub alongside Tiger Woods
and Roger Federer, had to remove of his photos’ campaigns , the hand of Thierry
Henry who had a ball and put it in his pocket.
But what about the respondents?
For them the image of those players has impact in sport, at least they see it as such. A
model that they admire, but that they find exaggerated, as everything concerning
45
sport in general. Most remarks are about football salaries which are too high, the
astronomical transfers, the lack of respect on the ground, the violence in the stadiums
... it all gets a bit “too much” for the spectators.
The real question is where does come all these excesses?
As we saw in this project, for most people who were interviewed believe that this
excess is the result of the whims of some billionaires who do not know how to spend
their money. Certainly, but why are these billionaires spend their money in club
football?
In my opinion, I think that the situation in football is the work of the media.
People complain that wages of players like David Beckham or C. Ronaldo are
ridiculously high, but only because they are widely publicized. Who complains about
the wages of drivers in F1? The salary of a driver can vary between 30 and 50
million Euros per year plus bonuses for victories. Similarly, investments by sponsors
in football oscillate around €4 million in F1 they are €50 to €60 million.
And in any sport is the result of the media, these athletes are increasingly exposed to
the audience and the expectations are increasingly stringent, hence the problems of
doping. Those athletes whom we always ask more, which have to give more to win
or even just to keep pace with others (e.g. cycling), are forced to take drugs to stay at
level.
At another level, the problems of violence in the stadiums: where it is most this is in
football, sport the most publicized in the world. Violence, racism, disrespect, it is all
the result of media coverage that highlights these acts on TV. The example was in
March 2008 the display of a banner at the Stade de France by fans of Paris-Saint-
Germain in the final of the League Cup, which was aimed at fans of the team in front
and the region where they from, calling them "Pedophiles, unemployed and inbred".
The fact is that they were sure that their "message" happens on TV.
My conclusion is that sport has arrived at a point where it is more than just
entertainment; the issues surrounding it are much bigger than that.
 Firstly economic issues: in the two transfers this summer from Real Madrid
(C. Ronaldo and Kaka '), Florentiono Pérez the president had responded to
the press when asked if the €160 million in 3 days were not excessive, and his
46
response was "It's an investment not an expense. Of all the contracts that I
signed in my life, the most expensive were the most profitable. ". This proves
that some see sports as a way to make money and nothing else.
 Moral issues: can we let do anything to anyone? In many match the former
Italian player Paolo di Canio performed the fascist sign to the fans of his
club. This combined with the fact that several players "black" have suffered
racial insults or cries of monkeys in the stadiums in recent years, this is not
things that should exist in the sport when he first intended to teach youth
respect for others and fair play.
 Issues of "realism": Andre Agassi, Dwayne Chambers, Marion Jones, Yann
Thorpe, Floyd Landis, all these athletes were convicted of having doped or
some recognized this at the end of their careers. What will happen to the
performance of athletes whether they are truncated by doping?
Fortunately in many sports, the purpose remains to offer a show to the public, while
maintaining compliance in the stadiums (eg rugby).
47
5.2 Recommendations:
My first recommendations concern my project itself and what I concluded. I think
that for the presence of money in sport and its incredible growth, there is nothing to
do. The club bosses will always act as he wants to buy the players they want. Where
the sport has to work, it is on its image.
Firstly regarding violence in the stadiums, the penalties have to be more severe and
that the supervision be strengthened stadiums.
Then burnish his image: the anti-doping is already very well organized in some
sports such as cycling or athletics, but it seems remained "lax" in other sports. This
struggle must be generalized to rid sport of doping. To work on its image, FC
Barcelona is such a good student which for 4 years UNICEF has paid to be their shirt
sponsor. Initiatives like these should be more active in sport.
Finally my last recommendations concern those who wish to do their project on a
topic similar to mine.
First of all, I strongly advise to focus the subject on a particular sport. Indeed it is
very difficult to study everything at once. Try to talk about all sports, their
economics, social, moral or political aspects it is a real headache. It would be wise to
treat one for example football and concentrate on its economic impact. For research,
do not hesitate to use books about other sports, just to theory and to understand the
world of sports in general. For example, my project was based primarily on
“European” sports but I use books on sport in North America as american football or
hockey.
Finally, I advise to always focus on two or three specific points and find the
relationship between them. Here is the example that my plan has always sought to
deal with the relationship sport / sponsorship even if this does not prevent me from
dealing with other issues.
48
Appendix:
Qualitative Quantitative
"All research ultimately
has
a qualitative grounding"
- Donald Campbell
"There's no such thing as
qualitative data.
Everything is either 1 or
0"
- Fred Kerlinger
The aim is a complete,
detailed description.
The aim is to classify
features, count them, and
construct statistical
models in an attempt to
explain what is observed.
Researcher may only
know roughly in advance
what he/she is looking
for.
Researcher knows clearly
in advance what he/she is
looking for.
Recommended during
earlier phases of research
projects.
Recommended during
latter phases of research
projects.
The design emerges as
the study unfolds.
All aspects of the study
are carefully designed
before data is collected.
Researcher is the data
gathering instrument.
Researcher uses tools,
such as questionnaires or
equipment to collect
numerical data.
Data is in the form of
words, pictures or
objects.
Data is in the form of
numbers and statistics.
Subjective - individuals’
interpretation of events is
important ,e.g., uses
participant observation,
in-depth interviews etc.
Objective – seeks precise
measurement & analysis
of target concepts, e.g.,
uses surveys,
questionnaires etc.
49
Qualitative data is more
'rich', time consuming,
and less able to be
generalized.
Quantitative data is more
efficient, able to test
hypotheses, but may miss
contextual detail.
Researcher tends to
become subjectively
immersed in the subject
matter.
Researcher tends to
remain objectively
separated from the
subject matter.
50
Bibliography:
Jean-Francois Bourg et al; Economie du sport, 2005
J. Fontanel et al; Regard sur l’économie et le management du sport et des sportifs
professionels, 2009
Jean-Jacques Gouguet et al; Economie politique du sport professionel, l’éthique à
l’épreuve du marché, 2005)
Eric Barget et al; Management du sport, 2008
Jean-Jacques Gouguet et al; Professional sport after Bosman Case, 2004.
Allen Guttmann et al; Essays on sport history and sport mythology, 1990.
J-P Massicotte et al; Histoire du sport, de l’antiquité au XIXème siècle, 1984.
C-L Foulon; Les metamorphoses du sport du XX au XXIème siècle, 2005.
G. Tribou; Sponsoring sportif, 2004.
T. Moré; Le sponsoring sportif, une technique de communication à part entière,
1987.
Wladimir Andreff et al; Handbook on the economic sport, 2006.
P. Downward et al; The economics of professional sport, 2000.
S. Rosner et al; The business of sport, 2004.
P.D. Staudohar et al; The business of professional sport, 1991.
S. Johnson et al; The economics of football, 2001.
G.W. Scully; The market structure of sport, 1992.
P.D. Staudohar; Playing for dollars: labor relations and the sport business, 1986.
R. Boure; Sport et medias, 2007.
P. Bouchet et al; Marketing du sport: du local au global, 2005.
J.G. Beech et al; The marketing of sport, 2007.
W. Lagae; Sports sponsorship and marketing communications: a European
perspective, 2003.
D.W. Stewart et al; Secondary research: information and methods, 1993.
51
H. Neergaard et al; Handbook of qualitative research methods in entrepreneurship,
2007.
http://wilderdom.com
http://www.lemonde.fr
http://www.tnsmediaintelligence.fr
http://www.cleverdis-pdfdownloads.com
http://www.plusloinplussport.tv/
http://www.linternaute.com
http://www.megaessays.com

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Sport and sponsoring Does sport only live by and for money anymore

  • 1. 1 DUBLIN BUSINESS SCHOOL Sport and sponsoring: Does sport only live by and for money anymore? By Matthieu GIELLY March 2010 A project dissertation submitted in a part fulfilment of the requirement for the degree of bachelor business of DBS. I, Matthieu Gielly, swear on my honour to be the sole author of this thesis. No plagiarism has been made for writing this thesis.
  • 2. 2 Abastract Even if we do not like sport, even if we have no interest in it, it is difficult to escape it. When you open a newspaper you can find an article about sport, when you turn on your TV you have the last sportive results. And even when it is not about their performances, the most famous sports stars invade the public space through advertising. Football, rugby, tennis, swimming,… you name it ; because sports are very lucrative products and everybody understood it. So much that the sums surrounded in the sport world become astronomical there, the most damning example being football. But, what about the sport itself? When created in the ancient times, sports carried the concepts of values and virtue; may we say today that its protagonists still convey the principles of fair play and respect towards the others? "I think it is a fair price. If Real and Manchester United agreed this amount, there is nothing more to say, Great footballers cost a lot of money and if you want them you have to pay for them. I am happy to be the most expensive player in the world.” Cristiano Ronaldo (football player). We will try in is study to establish the current relations between sports and money (sponsoring, endorsing, patronage) and try to understand if that relations have indeed contribute to fade away the fundamentals values of sport Hypothesis: It has now become impossible to dissociate money and sports, but even if it was it probably would not be a very good idea since it does not seem to cause any harm, quite the opposite actually.
  • 3. 3 Acknowledgements First I would like to thank especially my supervisor Gavin Mcallister for his advice and his availability. A big thank you to my friends who were always there to advise me and support me. Thank you to my parents for allowing me to perform this year abroad.
  • 4. 4 Summary: Abstract 2 Acknowledgement 3 I Introduction: 6 1.1 Purpose of the study 6 1.2 Research question 7 1.3 Research methodology 8 1.4 Organization of the thesis 8 II Literature review: 9 2.1 Introduction 9 2.2 Sport 10 2.2.1 Presentation 10 2.2.2 Economy 11 2.3 Sport sponsorship 13 2.3.1 History 13 2.3.2 The different types of sponsorship 14 III Research methodology: 17 3.1 Introduction 17 3.2 Research Objectives 17 3.3 Research Design 18 3.4 Secondary research 19 3.5 Quantitative and qualitative research 20 3.6 Research method 23 3.7 Limitations 25 3.8 Questionnaire presentation 26
  • 5. 5 IV Data analysis: 29 4.1 Questionnaire analysis 29 4.2 Conclusion 42 V Conclusion and recommendation: 44 5.1 Conclusion 44 5.2 Recommendation 47 Appendix 48 Bibliography 50
  • 6. 6 I Introduction 1.1 Purpose of the study The purpose of this study is to understand the current situation between sport and money, especially in football and formula one where money is omnipresent. Years after years, the relation between them becomes more and more inalienable. Indeed, each year new companies chose to use the sport sponsoring, the right for the media to broadcast sports events increase constantly, the salary of players become more and more important, etc. If I choose this subject it is for the interest that I carry on sports and my hankering to understand this new face of this business (sponsoring, naming, incredible salary and transfers), but also the impact of it on our society, the impact on us. In order to succeed in this investigation, the study will based on a sample of literature dealing with sport’s economy, the social impact of sport in our society, history of business man in this sector, testimony of sportsmen and so on. Furthermore, the use of press articles and web articles will come corroborate and foreground the rest of the literature review. Even if this study tries only to understand the current situation, it has to be compared with the situation during the past, thus understand the difference between before and nowadays.
  • 7. 7 1.2 Research questions Based on the literature review, three research questions will structure the sequence of the study. These three questions will be explained in more details in chapter three. Question 1: is sport still considered as such? Question 2: does sport sponsorship has a real impact on customers? Question 3: sponsorship is it because of changing face of sport? 1.3 Research Methodology This research methodology is separated in two parts. The first part is, as we see earlier, the analysis, the comparison and the understanding of the literature concerning the economic and social aspects of sport. This depth analysis will bring a quantity of information which will require a clear understanding and a precise sort out of it. This information will be used in order to create a thread from the beginning to the end of the literature review; this thread will start by a global view of the sport’s economy which will become more and more precise until end with the social impact of sport. Consequently, all of these researches of different authors, different points of view, should be structured in order to create a consistent group and a clear view of the literature review. This allowed to the researcher to have a better comprehension of the subject and to organize his analysis in the best way. The second part, based on a questionnaire, is aimed of answering of the primary research analysis. Distributing to people this questionnaire, we will be able to answer of questions headed by the primary research; and this by the extraction and the analysing of the results produced by people who answer of this questionnaire. For analysing the questionnaire, Sphinx program will used and finally the results will compared with the research questions in order to be pertinent.
  • 8. 8 1.4 Organization of the thesis Part II: Literature review. As we see before, the literature review is a summary of information about the economy of sport as well as the social aspect. This information will permit a better knowledge of the subject and so makes easier the analysis of the topic and the answering of the primary research. Part III: Research methodology. The first purpose of this section is to examine deeply the research questions which are essential for the rest of this project. The second purpose is to explain the methodology used to answer to these research questions. Part IV: Results and analysis. This chapter contain the analysis of the primary research answering of the research questions. Based on the questionnaire’s results, it allows also issuing a personal opinion about the topic. Part V: Conclusions and recommendations. This final part gathers the most important points to remind it in the conclusion. In adequacy with the subject and an own opinion, recommendations will be provided.
  • 9. 9 II Literature Review 2.1 Introduction: Sport has become a major social phenomenon; it is enough to observe the square that it occupies in our life (Jean-Francois Bourg et al; Economie du sport, 2005). In its professional expression, sport is at the same time a show and a communication tool. In its most elaborate shape, it is an image of the triumph of the liberal globalization (J. Fontanel et al; Regard sur l’économie et le management du sport et des sportifs professionels, 2009). But the links between sport and money are not new; from the antique games human and material resources were mobilized (Jean-François Bourget al; Economie du sport, 2005). The current difference is that professional sport is a complex phenomenon with multiple facets liking its internationalization, its financing, its organization... (Jean- Jacques Gouguet et al; Economie politique du sport professionel, l’éthique à l’épreuve du marché, 2005). The economic reality has strongly involved with the globalization which accelerated, and the sport has not escaped to this ground-swell as we see with the increase of sport’s sponsoring (Eric Barget et al; Management du sport, 2008). The market of sport’s sponsoring has also involved, an advanced reflection and new expectations brought to the foreground this new sector of the sport marketing. Although this one represents only 3.3 % of the economy of the sport, it represents nevertheless with the media’s licence and the organization of competitions, a business of €3.3 billion (Le Nouvel Economiste).
  • 10. 10 2.2 Sport 2.2.1 Presentation For several reasons, it is rather difficult to trace the beginnings of the sport in our history. Even if historians are agreeing to admit that sport did exist at the time of the first Pan-Hellenic Games of ancient Greece, there is no consensus however on previous periods of history where physical activity had often as a primary goal of survival and military training (TV5 article). The other problem is the definition given to the word “sport”: for some, the sport is limited by regulated competitions and for others; any physical activity may enter in the field which thereby becomes unlimited. Without further clarifications the word “sport” is meaningless (J-F Bourg et al, Economie du sport, 2005). However if we had to give a definition we could say that sport is a social phenomenon, an educational approach, a philosophy, a hobby and a reflection of the society. In its social representation, it expresses the search of a healthy body, an ethic and a show; but it also demonstrates the benefits of the competition (J. Fontanel et al; Regard sur l’économie et le management du sport et des sportifs professionels, 2009) As we see before, the sport’s origins date back the antiquity. Whether Greeks, Romans, Etruscans or Egyptians, substantial remains of these civilizations show us that sport or physical activity rather had an important place in their culture: hunting, swimming, fighting bulls, fishing.... (J-P Massicotte et al; Histoire du sport de l’antiquité au XIXème siècle, 1984). Over the years sport has involved to become, in our time, much more than just a hobby. Today sport now brings together all aspects of our society: the problem of the nation, the problem of market economy, the problem of the “society-show”, etc (Charles-Louis Foulon, Les metamorphoses du sport du XXème au XXIème siècle, 2005). In the 21st century, sport is now considered as a universal language, one that unites everyone around a common passion. It is now the new stature of sport and some even speak of “universal religion” as the headline in a German magazine for the Berlin Olympic Games in 1936 (F-X Amhert; Le sport, 2004).
  • 11. 11 But behind this idyllic vision of sport, unfolds a contemporary reality more complex. Since we distinguish the spectator sport of amateur sport, professional sport and grassroots sport, competitive sport and recreational sport... it clearly displays the fact that sport (professional) has reached issues which exceeds it. (Thierry Terret, Histoire du sport, 2007). 2.2.2 Economy. The basics of the sport economy are located in the United-States in 1956. At that time, Simon Rottenberg professor at the University of Chicago, and Paul Gregory wrote one and the other article about the baseball players’ labour market. The American economists were already concerned by understanding the economic organization, the microeconomic theory of the firm and the market competition in sport in North America (W. Andreff et al; Handbook on the economics of sport, 2006). From the time 1984-1986, the interactions between sport and economy have increased. With the media coverage of sport as a show, it has created the beginning of the market area with the privatisation of the Los Angeles Olympics, creating a global marketing program of the Olympic Games or also the abandonment of public television monopolies. But the impact of sport area has also extended to areas such as radio, air transport or communication (Jean-Francois Bourg et al; Economie du sport, 2005). Now professional sport is real business and a wholly economy as shown in the operation of professional team sports league. Basically, the purpose of those teams is a profit maximisation; the problem is that very soon a balance had to be created between profit maximisation and utility maximisation. Currently in many cases the utility maximisation has taken precedence over profit maximisation and the team owners organize their resources according to satisfy their managers and empower them to achieve results (P. Downward et al; The economics of professional team sports, 2000). Even if this system bring back a minimum profit, and that several clubs have huge debts (e.g. Chelsea in football); professional sport created a major economic dynamic and breaststroke gigantic income. In the past 15 years, sport has known a golden age:
  • 12. 12 club revenues and player salaries have skyrocketed; many clubs constantly sell their players for sums higher and higher; the revenue from the TV rights are increasing every year, etc... (G.W.Scully; The market structure of sports, 1995). The TV rights do not occur by chance. Indeed, the role of the media in the popularization of professional sport is undeniable. Yet at the very beginning is the sport that launched the television and not the reverse. Harry Coyle, director of NBC sport, said about this “Television got off the ground because of sport”, but since that time has passed (Scott R; Rosner et al; The business of sport, 2004). As and when the link sport/media has changed, expectations and desires of the audience too. Now the sport’s survival depends on the media that not only access any event, anywhere, but also by way of meeting expectations of consumers (Presse universitaire du MIRAIL; Sport et medias). Under the effect of this media coverage and the increasing attention of firms for sports, a market that is sporting goods one knows unprecedented economic growth. Whether sales of sport shirts (e.g. C. Ronaldo shirt of Real Madrid) or sales of article for the sport; the sport’s economic weight represents 3% of trade value or €400 billion. In Europe it accounts for 2% GDP of major countries and so a market of €80 billion (P. Bouchet et al; Management et marketing du sport: du local au global, 2005).
  • 13. 13 2.3 Sport sponsorship: 2.3.1 History Just has the origins of the sport itself, the origins of sponsorship goes back to ancient Greek and Roman. At the time, the Roman Games were already a business tool, a means of communication whereas the majority of the audience could neither read nor write. Caesar through the gladiatorial games (as announced by sort of flyers) has won many votes in knowing in advance the impact this would have for him (Marc Albouy 1995). Throughout the history we found traces of the form of sponsorship, the Renaissance or the 19th century; but modern sponsorship appears in the 1980s regarding sport sponsoring. At that time, it is the growth of events and the originality of the tool that appeal to sponsors. It is also the beginning of sponsorship “dissemination” (concept of broadcasting). In the 1990s, sponsoring (along with advertising) becomes a tool of promotional mix servicing marketing strategy (E. Barget et al; Management du Sport, 2008). In the 2000s, the advent of the IMC (Integrated Marketing Communication), which is directly aimed at influencing the behaviour of the target, based on the synergy of all media selected. It falls now in the area of comprehensive sponsoring and this, according to 8 principles:  Rigorous selection between sponsors and purpose of sponsorship.  An operation chosen according to sought-after objectives.  An integration of the communication strategy.  An effective control.  A specific contractual commitment.  A commitment over the long term.  The implementation of protection against ambush marketing. (Ferrand et al 2006)
  • 14. 14 Since 2000, now are emerging two basic concepets:  The evolution from the promotion to the activation of the sponsor’s brand: make the brand active rather than passive, the only problem is to find the activation field of each brand. It speaks of “experiential” sponsorship.  The importance of relationship marketing: the objective here is to develop profitable partnership by the sponsorship, and this based on cooperation between different actors. (G. Tribout; Le sponsoring sportif, 2004)/ To conclude: In early 2000 (2003 precisely) the total amount of sponsorship was €26.2 billion. In Europe, the sponsorship market is 1/3 of the world market with 81% on sports sponsorship. 2.3.2 The different types of sport sponsorship. First of all, what is sport sponsorship? It is a business agreement between two parties. Toward the sponsor it is involved in providing money, goods and services; while the sponsored offers his image to the sponsor so that it uses (W. Lagae; Sport sponsorship and marketing communication, 2003). There are 4 types of sport sponsoring which are;  League  Club/team  Stadium  Player a) League or events: Ligue 1 Orange, Barclays Premier League, H Cup, BNP Paribas Master, etc... Even if this sponsorship is the least risky in terms of image, it is also one of those has the least impact. In fact, this sponsorship provides the insurance of events with little
  • 15. 15 chance of harm occur, and a bad image won’t rebound on the partner company. But the impact of such events has little impact on the partner’s image because of their ephemeral flow over the year (cups or tournaments) or the lack of impact of the name for leagues, which in the minds of spectators are the L1 or the Premiership (G. Tribou; Sponsoring sportif, 2004). b) Club/Team: Chelsea/Samsung Mobile, Real Madrid/Bwin, Olympique Lyonnais/Bet Clic, etc... The club sponsoring is the most risky but also the one with the biggest potential. One of the traps is targeting a big club because it has several sponsors whose image is drowning which each others. There is no question also to take a club from a lower division which won’t be publicized. The choice of club sponsored is crucial because if it performs well, the public will sensitized to the partner’s image and it may increases significantly. The reverse happens in case of bad results of the club and the partner’s image is blended with the club (T. Moré; Le sponsoring sportif, une technique de communication à part entière, 1987). c) Stadium: In terms of stadium’s sponsorship, the French leader in this area remains the Stade de France which has 17 partners. In such cases, partnerships are made to register on the long term and relates mostly to large companies. In further, a new stadium’s sponsorship has developed in the past 10 years, the naming: Aviva Stadium, Emirates Stadium, Philipps Stadium, etc... The purpose here is to finance the construction of the stadium, into consideration the fact that the stadium takes the brand name, and the brand also becomes the team’s sponsor on their shirts. d) Player: The scope of player’s sponsorship may be more important than a club but also more dangerous. Indeed the importance and scope of their image depends on their results, but the negative impact that their image can have depends on their behaviour, their
  • 16. 16 character, etc... The image of a “Golden Ball” in football or an Olympic champion in individual as Usain Bolt (Pumas) or Yan Thorpe (Speedo) brings credibility to the product because in the case of player’s sponsorship, they are often associated with brands in relation to their sport and a product that they use themselves. e) To conclude:  In formula one, a partnership may reach €55 millions, whereas in football it is between €2 and €5 millions (in Ligue 1 for example).  The contract for the Emirates Stadium is worth €147 millions. In return, the stadium will bear the name for at least 15 years and the company will sponsor the shirts until 2014.  The sponsorship remains an effective marketing option; however it is not if it does not fit in the long term. Moreover, the sponsorship must always be part of an overall communications strategy, it cannot be the only communication tool.
  • 17. 17 III Research Methodology: 3.1 Introduction The purpose of this methodology is to understand how research for this project were conducted and structured. It is also to explain how the research objectives were achieved. We will see how based on two points that were sport and sponsorship, research have been developed. Depending on the topic, the researcher may choose to opt for primary research or secondary research. In the case of this subject and like many others, the choice was made to combine these two methods to get results as complete as possible. 3.2 Research Objectives: Question 1: is sport still considered as such? Try to understand if the sport is still regarded as entertainment, or has it reached a step where it is headed by money than anything else. Question 2: does sport sponsorship has a real impact on customers? Try to understand whether sports sponsorship works effectively on viewers. Sponsored leagues, clubs and players, the impact of each on people's behaviour. Question 3: sponsorship is it because of changing face of sport? Analyze the relationship between sport and sponsorship and try to determine if the sponsorship is a key factor in the incredible excitement of the sport economy.
  • 18. 18 3.3 Research Design: My purpose is to understand the link between sport, sponsorship and our society, how these three points are connected. For this, a theoretical work will be done with books, newspapers articles and articles from Internet. So I get a complete and accurate design research based on a research in 3 steps. These 3 categories of research are exploratory approach, descriptive approach and causal approach (J.F Hair et al; 2006). Exploratory Research: The exploratory research allows a better understanding of a subject that we know already. For example in this topic, everyone knows sport, everyone knows what a sponsor is. But who knows their history, their evolution, their way of functioning? The exploratory research is simply a deeper study of the topic. “The objective of exploratory research is to gather preliminary information that will help define problems and suggest hypotheses.” (Kotler et al. 2006). Descriptive Research: “The objective of descriptive research is to describe things, such as the market potential for a product or the demographics and attitudes of consumers who buy the product.” (Kotler et al. 2006). This research is the most often used; making this research is to determine the cause of something happening. Also called statistical research, it aims to describe and interpret the data and characteristics of the subject studied. Specifically, the purpose of such research is to study frequencies, averages and other statistical calculations. There are four stages in this research:  Recognizing and indentifying a topic to be studied.  Selecting an appropriate sample of participants.  Collecting valid and reliable data.  Reporting conclusions.
  • 19. 19 Causal Research: “The objective of causal Research is to test hypotheses about cause-and-effect relationships.” (Kotler et al; 2006). This research focuses on the effects of one thing on another and more specifically the effects of one variable on another. The aim is to measure the impact of changes on the current situation studied and its variables. The problem with this method of research is the random implied motivations and attitudes of people with whom we dealing with. 3.4 Secondary research: Unlike the primary research, data from the secondary research already exist. It actually represents the data-gathering from newspapers, books, governmental reports, academic papers, etc... in order to answer to the research objectives. According to D.W Stewart, to evaluate the validity of the information related to the topic, six questions to ask are: “1) What was the purpose of the study? 2) Who collect the information? 3) What information was actually collected? 4) When was the information collected? 5) How was the information obtained? 6) How consistent is the information with other sources?” Indeed, the user of secondary research has to develop a retreat from the information found to assess their reliability or validity and (if possible) their objection. This research will therefore provide accurate information about the market, its actors, the customers and their behaviour, etc...
  • 20. 20 3.5 Quantitative and qualitative research: Qualitative research: According to Dezin and Licoln (1994) ‘qualitative research involves the studied use and collection of a variety of empirical materials – case study, personal experience, introspective, life story, interview, observational, historical, interactional and visual texts. That describe routine and problematic moments and meaning in individual lives.” The qualitative research is actually using the right hemisphere of the brain, the one that processes data such as words, feelings, emotions, colours, music, etc... (R. Davies; 2000). The investigation for a qualitative research can be organized as follows:  Seeks answer to a question.  Systematically using a predefined set of procedures to answer the question.  Collects evidence.  Produces findings that were not determined in advance.  Produces findings that are applicable beyond the immediate boundaries of the study. Quantitative research: “Quantitative research involves counting and measuring of events and performing the statistical analysis of a body of numerical data” (Smith, 1988). The quantitative research uses the left brain hemisphere, the logical and objective part of our brain which processes numbers, unchanging static data and detailed, convergent reasoning rather than divergent reasoning. (R. Davies; 2000).
  • 21. 21 The investigation for quantitative research can be organized as follows:  The generation of models, theories and hypotheses.  The development of instruments and methods for measurement.  Experimental control and manipulation of variables.  Collection of empirical data.  Modelling and analysis of data.  Evaluation of results. Differences: Beyond the fact that qualitative research involves words, images, etc... and quantitative research involves numeric data; there are certain parameters that distinguish them. One of the first points is the types of questions that they pose and how they respond. Indeed, a quantitative answer limited options for answers of the interviewee as it has a limited choice of proposal. However, a qualitative answer leaves room for any answer. Moreover, the instruments used and the results produced are not the same. A quantitative answer will lead to a statistical analysis (percent probably), while a qualitative answer will require a more elaborate analysis because of the X answers which can be given. (See appendix 1 for qualitative and quantitative comparison). Strengths and weaknesses: Strengths of quantitative research:  Clearly and precisely specifying both the independent and the dependent variables under investigation (Balsley; 1970).  Eliminating or minimizing subjectivity of judgment (Kealey and Protheroe; 1996).  Allowing for longitudinal measures of subsequent performance of research subjects.
  • 22. 22 Weaknesses of quantitative research;  Figures do not provide information about the context of the studied phenomenon.  Limit the possibility of answers by structured questions of limited choice, it created a lack of openness.  This does not encourage further investigation about the studied phenomenon. Strengths of qualitative research:  Obtain a more realistic result of the situation with questions that figures do not respond.  The way to interpret the data collected is more flexible and leaves more room to push a personal analysis.  Ability to interact with the research subjects in their own language and on their own terms. (Kirk & Miller; 1986) Weaknesses of qualitative research:  Same information can provide different conclusions depending on the researcher’s personal beliefs and way of analyzing the information.  The complexity of obtaining the information required by the appropriate question from the interviewee.  The various techniques available to the researcher to get an answer, allow the interviewee to tell a particular story rather than another. This creates a lack of consistency and reliability.
  • 23. 23 3.6 Research method: My study examines the impact of sport, particularly sport sponsorship, on our society. The fact is that everyone can respond to this questionnaire, young/old, students/unemployed, male/female, etc. So I need to get answers to each of these kinds of people; that is why I chose to administrate a questionnaire that will allow me to 20 questions asked of 100 people, to get a range of answers representative of the society. So I will obtain a statistical analysis and some answers to some open questions that allow the interviewee to give his point of view. I will use for these questionnaires, 3 types of questions which are open-ended, close- ended and scaling questions. Open-ended question: “An open-ended question is designed to encourage a full, meaningful answer using the subject's own knowledge and/or feelings.” Indeed, the purpose here is not to encourage the interviewee to answer this or that by offering him a limited choice of answers, but to obtain his own opinion on the subject with his own words. An example of a famous open-ended question: “How does it make you feel?” The advantage of such questions is to provide additional information like the person’s feelings, its attitudes or understanding of the subject. The problem remains the fact that the interviewee can answer what he wants; it still leaves a possibility to cannot exploit the answer. Close-ended question: Unlike open-ended questions, it leaves no choice to the interviewee for his answer. He must indeed choose between limited choices of answer that can be “yes or no”, “true/false”, or also multiple choices.
  • 24. 24 Of course, one of the advantages of these questions is that their results are much easier to analyze. It brings statistics answers so everything is reduced to figures analysis. Furthermore, the answers produced by these king questions are more specific, there is no risk that the answers are off-topic. The disadvantage is that these questions are very general and not investigate in depth the topic. Scaling question: Scaling questions are actually a mix between open-ended questions and close-ended questions. Indeed, it allows the interviewee to give his own opinion but with a limited choice of answer which are for example: Strongly agree, somewhat agree, no opinion, somewhat disagree, strongly disagree. The advantage of these questions is to obtain data easy to operate, and which moreover allows us to get an idea of the personal opinion of people about the topic. However it represents the risk that the person does not give its real felt but that the “scale” incentive it to meet the expectations of the researcher.
  • 25. 25 3.7 Limitations: While the questionnaire is a useful tool when you have to obtain a balanced view of a large population, yet there are some problems. First of all, although the results represent a credible sample of the population, it cannot be generalized to the entire population. Moreover, this sample does not necessarily correctly respond to the questionnaire. Indeed, the researcher is not with each person when it fills out the questionnaires (some of them were sent by e-mail for example) and the respondent cannot understand some questions and answer it wrong; or it may not really take time to think about his answers. The second point is that a questionnaire containing too many open-ended questions is difficult to interpret. On the other side, a questionnaire with too many close-ended questions is difficult to summarize because of the number of analysis made possible. The third point concerns the objectivity of respondents: among those concerned and those not interested in the subject, the researcher has to take the answers from a distance.
  • 26. 26 3.8 Questionnaire presentation: In my questionnaire, questions 1 to 6 are general which are intended to define the situation of the person facing the subject. The questions 6 to 10 will basically answer to my objective concerning the impact of sport sponsorship; but they also provide some answers to my 1st and 3rd objectives. The questions 11 to 14 will answer to my 1st goal and the questions 15 and 16 to my 3rd goal. Questionnaire about sport and sponsorship. 1. What is your sex? Male Female 2. What is your profession? Self-employed Student Unemployed Manager Employee Other 3. What is your favourite sport? (If don’t have one go directly to Q12). Football (soccer) Golf Baseball Rugby Formula One Other Tennis Basketball 4. And do you? Practice Watch Both
  • 27. 27 5. Which media do you use to be informed? TV Newspaper Internet Radio 6. What is your favourite player? 7. Put these sportsmen with the right sponsor: C. Ronaldo Wilson R. Federer Puma T. Henry O2 Usain Bolt Addidas O’Driscoll Nike Lionel Messi Gilette 8. For you the impact of a sponsor is: Very minor Minor Don’t know Consistent Very consistent 9. Can you name your team sponsor (if you have a favourite team)? 10. Do you buy a product because the brand is the sponsor of your team? Yes No 11. For you, the word sport means primarily: Leisure Health Show Business Competition
  • 28. 28 12. Do you find that the financial sport investments are unreasonable? Yes No 13. Do you find that sportsmen in these sports are too much paid? Yes No 14. For you investment in sport is: Very useless Useless Normal Useful Very Useful 15. What is for you the main reason for the current situation of sport? 16. For you, does sponsorship have a role in this situation? Yes No I don’t know
  • 29. 29 IV. Data analysis: 4.1 Questionnaire analysis: Question1: what is your gender? For this questionnaire we have a sample of 70% and 30% of women. Question 2: what is your profession? Gender Male Female 0 5 10 15 20 25 30 35 40 45 Percent by profession Percent by profession
  • 30. 30 We see on this graphic that the sample is heavily focused on students (41%), it is because being myself a student this is the most accessible population for me. Question 3: what is your favourite sport? On this chart we can see the clear dominance of football and rugby which together collect 74% of the results (43% for football and 31% for rugby). Note also that no fan of baseball or golf being shown on this graph. Also note that not appear on this chart the 13% of respondents who are not interested in sport and that on this 13%, 88% was women. Football Rugby Formule 1 Golf Basketball Baseball Tennis Other
  • 31. 31 Question 4: and do you? On this graphic we can see very clearly that people who make sports also likes to watch it. Indeed 47% of respondents make sport and watch it. We also note that many of them are interested in sports without actually practicing (31%) and only a tiny part of the panel practice only sport without watching it (12%). This graph is important to understand the relationship that each interviewee has with sport. We note that students are those who practice more (60% of those who only practice and 40% of those who practice and watch); but they are also the most 0 5 10 15 20 25 30 35 40 45 50 Practice Watch Both Do you ? Do you ? 0 10 20 30 40 50 60 Practice Watch Both Self-employed Student Manager Employee Unemployed Other
  • 32. 32 inclined to only watch (33%). It is therefore difficult to establish for the moment a real trend in their approach to sport. An important factor is that managers are 31% to practice and watch sport. It means that their work, combined with the fact that they have a simple approach to the sport through practice, and an economic approach by the TV (or another media), make their opinion certainly more objective and comprehensive than the other respondents. Question 5: which media do you use? Information through the media is very balanced, in fact the TV although the most used media is not necessarily the most effective in this area. Internet is the most used for sports information (37%) because it is the fastest way to get the information that you want through sites such as Eurosport. The newspaper remains a highly used (13%) in this area for trips in public transport for example. Radio accounts for 24% because people listen to it during the morning, getting up or going to work by car. 0 10 20 30 40 TV Newspaper Internet Radio Medias Medias
  • 33. 33 Question 6: what is your favourite player? Among the most famous name that are mentioned we find: C. Ronaldo (foot), Lionel Messi (foot), Steven Gerard (foot), Franck Lampard (foot), Juan Martin Hernandez (Rugby), Brian O’Driscoll (Rugby), Raphael Nadal (Tennis), Roger Federer (Tennis), etc... All these players are athletes with a strong media impact, which often sell its image in marketing campaigns; whether products for sport (Adidas, Nike) or any other thing (for example Thierry Henry and Gillette). Where their impact is the greatest it is for the sports goods: “because they use them themselves, why would not I do that?” this is an argument that many people apply in these cases. Question 7: put these sportsmen with the right sponsor. It is an eloquent statement that gives us this chart. Even if we are not interested (or a few) in sport, the maximum of mistakes that is made is 3. Even more telling is that 80% of people do make one mistake maximum (30% does no mistake). This is because it is often easy to deduce what player is what, but it remains that people know the products for which these stars lend their image. Sportsmen with his sponsor 0 mistake 1 mistake 2 mistakes 3 mistakes 4 mistakes 5 mistakes 6 mistakes
  • 34. 34 Question 8: for you the impact of a sponsor is... Here the data that emerges from this graph is that people do not believe in the impact of sponsorship on their purchasing behaviour, or at least do not feel the impact. Indeed, over a half of respondents (51%) found that impact very minor or minor. And only 7% of the interviewees think that the sponsorship impact is very consistent. 0% 20% 40% 60% 80% 100% Sponsor impact Very minor Minor Normal Consistent Very consistent 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Very consistent Consistent Normal Minor Very minor
  • 35. 35 On this graph we see that the most inclined to believe in the impact of sponsorship are managers, this may be explained by the fact that they are more familiar with the operation and its real impact on people. The most reluctant are students and employees, and the most shared are self-employed. The “others” being only 3, are not significant. Question 9: can you name your team sponsor? (if you have a favourite team). Flagrant report, 98% of the respondents know the sponsor of their team. The only mistakes appeared are people who cited former sponsor of their team, sponsors which were important to their team (O2 with Arsenal and Carlsberg with Liverpool). This proves that the impact of these sponsors are greater than what people think. Question 10: do you buy a product because the brand is the sponsor of your team? Here still, a result which comes to call into question my previous analysis. 96% of people do not buy the product because the brand is sponsoring their team. This is feels them, but is it definitely the truth? This graph will not teach it to us, he just informs us that the great majority of people do not think be influenced in them purchases by the sponsor of their team. Yes No
  • 36. 36 Question 11: for you, the word sport means primarily... Sport is a show; at least that is what we learned this graphic: of the respondents, 37% consider it as such. That figure seems very ‘light” knowing that 41% of these respondents are only watching sport, the rest must therefore consider that sport is leisure (19%). Regarding those who practice, they must use sport as a competition (29%) or good health (9%). Regarding those who see sport like a business, they are only 6% consider that the sport is a primarily business tool. 0 10 20 30 40 Sport means… Sport means…
  • 37. 37 Question 12: do you think that the financial sport investments are unreasonable? This chart presents a certain contradiction with the previous graph. When only 6% of respondents regard the sport as a business, 80% of all the respondents are agree that sport investment are excessive. But if there is business, there is investment; and if one consider that these investments are excessive, is that we think sport has become a business in itself. Even if this reasoning is not applicable to everyone (you might consider investments as excessive and still see sport as a competition), the figure of 80% appeals to me anyway. I think, particularly with regard to those who see sport as a show, they do not fully realize that this show is made possible in part, through its investments. That is why I find the percentage of people considering such investments as excessive, beyond realism. Yes 80% No 20% Sport investment are unreasnonable. 0 5 10 15 20 25 30 35 40 Leisure Business Health Competition Show No Yes
  • 38. 38 This graph shows us, depending on how we see the sport, who answers yes or no to the question on excessive investment in sport. Unsurprisingly, those who see sport as a business that does not think that investment is excessive in sport (5 of 6). In reality they are the only one to be more pros that cons for its investments. Also no surprise that those who see sport like healthy feel almost 100% sure that these investments are too high (8 of 9). Regarding those who see sport as a show, 19% of them believe that these investments are normal. Question 13: do you find that sports players are too much paid? This graph confirms the view that people have towards the business in sport. 91% of respondents believe that athletes (especially in football according to remarks made to me) are overpaid. For them, there is too much money in sport and that, whatever from that takes these investments. Sports players are too much payed Yes No
  • 39. 39 Question 14: for you investment in sport is... The answer to this chart could be “Yes, we believe that investment in sport is excessive, this does not mean they are not useful and should disappear.” This chart shows that respondents were disturbed by the large investments that are made in sport and which sometimes seems unnecessary. Therefore, throughout the most part believe that these investments are necessary Looking at the graph, 87% of respondents consider these investments at least as normal. Question 15: what is for you the main reason for the current situation in sport? My question have very well have been wearing on the current situation of football as the most answer are in this sport. The main answers that emerge are:  The tax exemption related to clubs in several countries.  The vagaries of billionaires.  The steady increase in TV rights.  The fact that every club is looking to buy still more expensive than the others.  The impunity granted to clubs in term to debt (close to the tax exemption). 0% 20% 40% 60% 80% 100% Sponsorship in sport Very useless Useless Normal Useful Very useful
  • 40. 40 Question 16: for you, does sponsorship have a role in this situation? This chart tells us that most respondents did not know the exact role of sponsors in sport. The proof is, more than half of respondents answered “I don’t know” to this question. Presumably, those who answered “yes” did so because they associate mostly sponsorship with money. Regarding those who answered “no” they may understand sponsorship only as a name on a shirt. Implication of sponsorship Yes No I don't know 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% I don't know No Yes
  • 41. 41 This last graph tells us that the most undecided on that sponsorship plays a role or not in the current situation of sport, are students and employees. For most, this is not that he has no opinion on the subject, it is simply that sponsorship plays a role that can not characterize or they don’t succeed to locate precisely. We also note in this graph that the students are divided equally between the 3 categories, while the manager is mostly to say that sponsorship is one of the responsible of the economic situation of the sport. The self-employed for their part think mostly the opposite.
  • 42. 42 4.2 Conclusion: Considering this questionnaire, some uncertainties remain about the vision that people consider the sport in our society. At first glance the sport is mostly, for the majority of them, an entertainment whether in practice or as a TV entertainment, overall is not intended as a business. However, business in sport is present and those interviewed feel it. The fact that they find investments excessive; they think that players are overpaid or that 96% of fans of a team sponsor aware of it, it proves that this business has an impact on them. For them, sport and particularly football has a blank check that allows the clubs to spend or invest astronomical sums in players, stadiums or anything else. But this does not mean that they deem investments like unnecessary, they only consider it as disproportionate. What about sponsorship? Given the results obtained by this questionnaire, it is difficult to define clearly the impact of sponsorship and its role in the current situation of sport. Indeed for most respondents, they have difficulty measuring the impact of sponsorship on their purchasing behaviour, so they have more difficulties to measure its overall involvement in sport. The panel finds that sport sponsorship is perhaps an actor of the economic boom in sport, but it is not a major player. To them its influence remains “marginal” and this is certainly not the sponsorship that has led, for example “in this price war for a simple player’s transfer.” (an interviewee). Sponsorship is a tool among other, without being a key driver of sport business. True or false? To say that the sponsorship is a simple tool would be somewhat underestimated his role. Indeed, in sports such as Formula 1 are funded overwhelmingly by the sponsorship, even in football its role remains paramount and omnipresent. But it is true that in the case of football, the billionaire club owners have a responsibility far bigger. Regarding the impact of these sponsors on the spectators’ behaviour, it seems at first view very superficial. For most respondents their decision to buy a product over another does not depend on a sponsor on a shirt of their favourite team or not. However this argument seems far from the reality. For example, a fan of Arsenal
  • 43. 43 will see "Fly Emirates" as a name on a shirt, of course. But that same fan who never went to Asia and who one day decides to take a trip down there, with that name in his head will think immediately to go to see their offers. That is work sponsorship, it acts unconsciously. Ultimately, what emerges from this questionnaire is the fact that sport is seen as a means of entertainment but has reached limits that are unpopular for the vast majority. Whether it is sponsorship or other economic excesses committed for example in football is not the taste of viewers.
  • 44. 44 V. Conclusion and recommendations: 5.1 Conclusion: The sport, as far as we can remember has always existed. Whether its purpose is to maintain health one’s or to entertain people, its importance in our society has always been preponderant. Its origins, which date back to antiquity, we also indicate the presence of a form of sponsorship already in those early days. Indeed even at that time, the sports and sponsorship was intimately bound, the purpose has always been to showcase sport (or entertainment) to transmit messages. Although at the time it was not about selling products but ideas, the way to make was the same: used simple means to reach as many people and deliver a message. This is sponsoring, a minimum income for a guaranteed return on investment. Now, the link between sport and sponsorship is stronger than ever. Since the sport became a full-fledged business, sponsorship has taken its place and uses this market which represents a considerable media tool; not only by its international scope, but also by its actors: famous athletes like C. Ronaldo, Fernando Alonso or Roger Federer. Beyond the competitions they are involved and who make dream millions of people around the world, these stars are present in advertisings like in government campaigns (Road Safety or otherwise) or for-profit associations charity campaigns. Their image is used indefinitely because their impact on the population is more than important. Even when the stars we talk about them for the wrong reasons (adultery, speeding, excess alcohol, etc.) it does affect them quite the contrary, we still talk about them and this reinforces their place in the media. In any case this is true as long as their actions do not affect the sport itself. For example: the hand of Thierry Henry against Ireland has been detrimental to his image, so that Gillette which had appealed to him for a pub alongside Tiger Woods and Roger Federer, had to remove of his photos’ campaigns , the hand of Thierry Henry who had a ball and put it in his pocket. But what about the respondents? For them the image of those players has impact in sport, at least they see it as such. A model that they admire, but that they find exaggerated, as everything concerning
  • 45. 45 sport in general. Most remarks are about football salaries which are too high, the astronomical transfers, the lack of respect on the ground, the violence in the stadiums ... it all gets a bit “too much” for the spectators. The real question is where does come all these excesses? As we saw in this project, for most people who were interviewed believe that this excess is the result of the whims of some billionaires who do not know how to spend their money. Certainly, but why are these billionaires spend their money in club football? In my opinion, I think that the situation in football is the work of the media. People complain that wages of players like David Beckham or C. Ronaldo are ridiculously high, but only because they are widely publicized. Who complains about the wages of drivers in F1? The salary of a driver can vary between 30 and 50 million Euros per year plus bonuses for victories. Similarly, investments by sponsors in football oscillate around €4 million in F1 they are €50 to €60 million. And in any sport is the result of the media, these athletes are increasingly exposed to the audience and the expectations are increasingly stringent, hence the problems of doping. Those athletes whom we always ask more, which have to give more to win or even just to keep pace with others (e.g. cycling), are forced to take drugs to stay at level. At another level, the problems of violence in the stadiums: where it is most this is in football, sport the most publicized in the world. Violence, racism, disrespect, it is all the result of media coverage that highlights these acts on TV. The example was in March 2008 the display of a banner at the Stade de France by fans of Paris-Saint- Germain in the final of the League Cup, which was aimed at fans of the team in front and the region where they from, calling them "Pedophiles, unemployed and inbred". The fact is that they were sure that their "message" happens on TV. My conclusion is that sport has arrived at a point where it is more than just entertainment; the issues surrounding it are much bigger than that.  Firstly economic issues: in the two transfers this summer from Real Madrid (C. Ronaldo and Kaka '), Florentiono Pérez the president had responded to the press when asked if the €160 million in 3 days were not excessive, and his
  • 46. 46 response was "It's an investment not an expense. Of all the contracts that I signed in my life, the most expensive were the most profitable. ". This proves that some see sports as a way to make money and nothing else.  Moral issues: can we let do anything to anyone? In many match the former Italian player Paolo di Canio performed the fascist sign to the fans of his club. This combined with the fact that several players "black" have suffered racial insults or cries of monkeys in the stadiums in recent years, this is not things that should exist in the sport when he first intended to teach youth respect for others and fair play.  Issues of "realism": Andre Agassi, Dwayne Chambers, Marion Jones, Yann Thorpe, Floyd Landis, all these athletes were convicted of having doped or some recognized this at the end of their careers. What will happen to the performance of athletes whether they are truncated by doping? Fortunately in many sports, the purpose remains to offer a show to the public, while maintaining compliance in the stadiums (eg rugby).
  • 47. 47 5.2 Recommendations: My first recommendations concern my project itself and what I concluded. I think that for the presence of money in sport and its incredible growth, there is nothing to do. The club bosses will always act as he wants to buy the players they want. Where the sport has to work, it is on its image. Firstly regarding violence in the stadiums, the penalties have to be more severe and that the supervision be strengthened stadiums. Then burnish his image: the anti-doping is already very well organized in some sports such as cycling or athletics, but it seems remained "lax" in other sports. This struggle must be generalized to rid sport of doping. To work on its image, FC Barcelona is such a good student which for 4 years UNICEF has paid to be their shirt sponsor. Initiatives like these should be more active in sport. Finally my last recommendations concern those who wish to do their project on a topic similar to mine. First of all, I strongly advise to focus the subject on a particular sport. Indeed it is very difficult to study everything at once. Try to talk about all sports, their economics, social, moral or political aspects it is a real headache. It would be wise to treat one for example football and concentrate on its economic impact. For research, do not hesitate to use books about other sports, just to theory and to understand the world of sports in general. For example, my project was based primarily on “European” sports but I use books on sport in North America as american football or hockey. Finally, I advise to always focus on two or three specific points and find the relationship between them. Here is the example that my plan has always sought to deal with the relationship sport / sponsorship even if this does not prevent me from dealing with other issues.
  • 48. 48 Appendix: Qualitative Quantitative "All research ultimately has a qualitative grounding" - Donald Campbell "There's no such thing as qualitative data. Everything is either 1 or 0" - Fred Kerlinger The aim is a complete, detailed description. The aim is to classify features, count them, and construct statistical models in an attempt to explain what is observed. Researcher may only know roughly in advance what he/she is looking for. Researcher knows clearly in advance what he/she is looking for. Recommended during earlier phases of research projects. Recommended during latter phases of research projects. The design emerges as the study unfolds. All aspects of the study are carefully designed before data is collected. Researcher is the data gathering instrument. Researcher uses tools, such as questionnaires or equipment to collect numerical data. Data is in the form of words, pictures or objects. Data is in the form of numbers and statistics. Subjective - individuals’ interpretation of events is important ,e.g., uses participant observation, in-depth interviews etc. Objective – seeks precise measurement & analysis of target concepts, e.g., uses surveys, questionnaires etc.
  • 49. 49 Qualitative data is more 'rich', time consuming, and less able to be generalized. Quantitative data is more efficient, able to test hypotheses, but may miss contextual detail. Researcher tends to become subjectively immersed in the subject matter. Researcher tends to remain objectively separated from the subject matter.
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