Title page:

  • Category:
    Business
  • Document type:
    Research Proposal
  • Level:
    Undergraduate
  • Page:
    4
  • Words:
    2685

MCDONALD AND MELBOURNE FOOTBALL CLUB SPONSORSHIP 10

Title page:

Table of Contents

3Executive Summary.

4Cover letter.

7Sport Property.

9Target Market.

10Marketing Plan.

11Benefits

12Creative leverage

13Budget

14Investment

14References

Executive Summary

This is a professional soccer club that is located in the heart of Melbourne city in Australia. It was founded in the mid of 2009. It finally got the rights to compete in the country’s premier competition, the A-league and Football Federation Australia granted it the licence. The club was formerly known as Melbourne Heart but was later changed. City Football Group (CFG) acquired the club for $12 million in the 23rdof January 2014.

The sponsorship will help in raising funds for the expansion of the AAMI Park. The management seeks to increase the capacity of the stadium so that it can host extra supporters from different areas in the country and foreigners. The parent owners of the club have a set up plan to expand the stadium by 2018. It can only raise about 50% of the estimated fee and the other source of funds is through sponsorship opportunities.

By investing in this, your company will have an advantage in this agreement. The following are some of the few benefits

The team’s clothing will all have the company logo printed on them. On top of that there will be immense exposure through photography, papers and in the website.

Secondly, the logo will also appear on the casual and leisure wear of the club
e.g. tracksuits and bags. In addition to this your company will get adequate exposure as most of the team players and stuff wear this clothing on a daily basis.

The company will also get to be acknowledged through all forms of media.

The sponsorship will cost the company about $ 5 million in total as the rough estimate of what the company can offer to the football club.

Cover letter

McDonald Company,

Melbourne City, Australia.

Dear McDonald,

Re: Sponsorship Opportunity Melbourne City Football Club

My name is Darren Collins, the chair of Melbourne city football club. The MCFC is an A-League premier league team that plays in the Australia. The club has been running for about seven years now since it began as Melbourne Heart. The Melbourne community has very strong links with the Melbourne City Football club. The support and hard work from staff, the players and the community in general have given us a sense of pride and appreciation to our achievements.

There are however expenses of the club and we always rely solely on the funds from the parent owners together with fundraising activities. On the ongoing plans to extend our stadium it will be difficult to pay our expenses and still have enough funds to extend the stadium. The funds aren’t enough and that is why we are requesting for this partnership.

It is my belief that one of our board members Mr. Jackson has did mention in to you of the search of our new sponsor. McDonald has a major presence in the city and we feel that this partnership would be exemplary good for both parties and we would welcome this opportunity to speak about this with you.

When given this sponsorship we will be willing to wear the McDonald logo on our club’s clothing and you will also be listed as our key sponsor on all our club literature and monthly newsletters. In tandem with this your franchise will receive enormous publicity as there are a considerable number of die-hard fans for the Melbourne City Football Club and a lot of spectators in the football matches we play. Media coverage will also be an added advantage as a lot of media including TV, Radios and internet cover this segment.

We sincerely hope that you will consider this offer. I will personally see to it that I provide you with further details and a full break-down of the likely costs. We would welcome the opportunity to speak with you further about this and will make it my aim to speak to you within five days to confirm if you would like to take this a notch higher.

Thanking you in advance for your consideration.

Darren Collins,

Melbourne City Football Club

McDonalds and Melbourne City Football Club Fundraising

19th May 2016

Sport Property

In less than six months Melbourne City and the whole of Australia will experience a phenomenal fundraising event like no other that has ever been held. McDonald franchise together with Melbourne City Football Club will pair up and make history together.

A history that will long be written in the hearts and minds of the present generation and many more generations that will inhabit the city and its environs.

The city will be covered with frenzies and singing for about three days but the memories will forever be engraved in the very arteries of the people. Fans together with the community members, visitors and foreigners will be treated to an occasion of a lifetime. The Melbourne City Football Club will organise friendly matches between the locals/fans against the professional football players. This will just but give the locals a taste of how it feels to play against a professional team and in so doing enlighten their mood on that fateful day. There will also be matches between invited professional teams and to cap that occasion there will be a match between the two city rivals, Melbourne City Football Club and the Melbourne Victory.

The city is equally split on the fan base, and even so about 60% of the city dwellers attend such events held even by their arch nemesis. In such occasions even differences are put aside and people come together and support each other.

This event will also be worthwhile for the McDonald Company as there will be printed clothing with its logo. Clothing such as shirts, t-shirts, track suites, jackets just to name but a few will be displayed in the vicinity of the stadium. Some will be sold for a considerable figure as the participants are never shy of supporting such development bringing activities.

McDonalds will also enjoy a large market share as many people favour the products that McDonalds produces. People are bound to be hungry and no other franchise will be accorded the licence to sell food and beverage products other than the McDonald Company. Burgers, fries and beverages are some of the most favourite foods and this will offer the company a lucrative market. The company will also be offered a platform to create loyal relationships with the consumers.

Dates and Times:

16th Friday September 2016 9:00 am to 8:00pm

17th Saturday, September 2016 11:00 am to 7:00pm

18th Sunday, September 2016 11:00 am to 7:00pm

Location:

AAMI Park

Attendees:

The football Club is expecting an attendance of about 100,000 people. The people will come from within the city, its outskirts, generally anybody from Australia with the intention of coming to support us and foreigners from abroad.

The charges for the event will be as follows. Advance tickets will be $20 for adults and $ 10 for children. At the gate entrance fee will be $40 dollars for adults and $25 for children. This pricing is to help in this event and the cash collected from this will solely be placed only for the stadiums expansion.

History:

This is a one of kind event that the football club has never undertaken and if it is successful it will provide the foundation for many more other successful events like this.

Parking and Transportation:

People are advised not to use their private vehicles to come to the event as it will create a traffic snarl up around and within the stadium. Public transport will be provided for and will transport people to within a maximum of 15miles from the stadium. If need be a spacious parking lot will be provided in case the former is neglected.

Target Market.

The event will be targeting different individuals from different walks of life.

  1. Die-hard football fans- the first on the list will be the ever supportive football fans of the club and soccer as a whole. This segment contains different categories but the majority is constituted of males from between 15-50 years. These are our main targets in this even. Statistics estimate that they will cater for about 50% of all the attendees. With this advantage you can be assured that they will represent about 60% of the estimated sales.

  2. Families- we also encouraged the players to tag along their families and friends. Children aged between 1-13 years, males and females also between 14-60 years in this category. Each player is required to come with about three family members or friends to the function. Estimations made prove that they will cater for about 27% of the total audience.

  3. Football enthusiasts- this segment will contain people who only come to such events on special occasions. They fancy attending or taking part once in a lifetime. They will however create a large base for your products. This segment contains all people from all age groups and does not have a specific age bracket or group.

  4. We will also be targeting males in the age group of above thirty five who most of the times have to entertain their children over the weekend.

  5. Another elite group will be males who ever played soccer in their high school or college life.

Marketing Plan

The club, through thorough analysing skills came up with a formidable marketing plan will produce interest in these activities based on target market research. The planners paid attention to both paid and promotional media. These are some of the plans we had in mind

Television

For smooth and adequate awareness our research team advocated that so as to have an effective event, we should have at least between two hundred and two hundred and fifty spots. Several sports and local channels have been targeted and approached. The team responsible for the marketing segment is doing its best so as to get the club the best deal ever. The cable channels contacted are both international and local.

The running period of this campaign is approximated to be about one and a half months. It will commence four weeks prior to the starting of the event and end two weeks after the event is completed.

The accounting team do not have clear costs on the spots but they roughly estimate it to be $100 per spot.

The approach to the radio is the same as the television approach. The same team has been deployed to get an affordable and friendly deal with the local radio station. The plan is to have a spot for every morning, lunch and evening show.

The running time will also be the same as for the television and the plan is that they are running concurrently.

Magazine

A weekly magazine will be published and mailed to approximately 40,000 residents within our area and charges for a half a page, that charges around $ 100 is seriously being considered.

Newspapers

In the city we have a local newspaper that is shortlisted and circulates to approximately 25,000 homes. This is also one of our potential marketing vehicles for the occasion. The cost for a six inch insertion is approximately $500 dollars.

Website and e-marketing

The Melbourne City Football Club has a state of the art website that is controlled by experts. The site www.melbournecityfc.com is very active and generally gets hits of over 1,000,000 in a year. The information about the programme has already been posted and video clips uploaded. The clips have received significant views only to show that the programme will be a success.

Direct Mail Marketing

The club runs an effective direct mail campaign catering to a data base of twelve thousand e-mails. The recipients will be reminded every weekly about the programme.

Benefits

The sponsor is bound to receive the following benefits

  1. In every match played the signage will be displayed. Billboards, flyers, and brochures will be displayed in every match. It will be a custom for the club to make sure that this material is present.

  2. If the sponsor requires it there will be a free space available at the club house for promotional materials and displays.

  3. The company’s logo on all club letterheads, club brochure on front of the cover of annual reports. This will be a great marketing strategy for the company as it will be vividly clear to everybody that McDonald’s is the place to be and go to.

  4. The logo will also be printed on all the games kit of the club, be it a shirt, vest, jacket or track suit all will have a logo. The buses and the wall of training Academy will also have it.

  1. The I.T team will see to it that there exists a link between the football club and the company’s website. This will be beneficial as the communication between the two parties will be easy. Anything put up on the website will also be visible to the company and the company can comment and suggest on it.

Creative leverage

After a thorough investigation we noticed that some of McDonald’s objectives are as follows

  1. It aims at serving great food that is of high quality to its customers, great service to all customers.

  2. It is also your aim to make sure that the consumers get the value for their money through the products and services they receive. Moreover, the environment should always be fun and friendly.

  3. To attain a socially responsible status for the company.

  4. To award its shareholders with good dividends.

On-site sales

In relation to the above goals the club has found it necessary to provide the company with a specific and easily accessible area to everybody on the eventful day. This place will act as a site where customers will easily access and get the food products that you provide. This will enable the people to know more about your products and they can see how you produce it. This will be an added advantage as it will increase your sales.

Frequent flyers

The club will also be responsible for making flyers for the company at the event. It will cater for the costs of making them and they will be free for the consumers and if need be specific people will be handed the job of circulating them.

Promotions

The club suggested that the company create a buffet and there be a competition of people on all you can eat. People should be invited and the competitors can compete among themselves and the person to finish first eating will be handed a meal voucher on all you can eat for a week. Also as a token one be handed one meal per day of their choice in any McDonald shop they enter into. These suggestions should also apply on the most loyal customers of the company in the city.

Budget

The following budget was projected.

Particulars

Tournaments fee

Staff Salary

Advertisement

Water & Sewage

Phone/Cable TV

Miscellaneous Expense

Total Expense

Investment

After carefully calculating everything, your investment for this comprehensive relationship will be as follows,

The total value of sponsorship package $12 million

McDonald’s Investment $5 million

This is broken down as follows

  • $ 1 million for the commencement to be given in cash

  • $ 2million to be given later on after six months as deposit in a specified bank

The remaining three million to be handed out in instalments of $300,000 for ten months

References

A, M. G. (1999). Sport marketing: Managing the exchange process. Jones & Barlett Learning.

Chernev, A. (2012). Strategic Marketing Management. Cerebellum Press.

Cravens, D. W. (n.d.). Strategic Marketing. Nigel Piercy.

Ferrell, O. C. (2010). Marketing Strategy. South- Western .

Fortunato, J. A. (2013). Sport Sponsorship Principles and Practices . McFarland.

Irwin R, L. S. (2002). Sport promotion and sales management. Illinois: Human Kinetics.

Lagae, W. (2005 ). Sport Sponsorship and MarketingCommnuications.

Roar, T. (2009). The Melbourne Heartname saga rolls.

Stensholt, J. (2015). Manchester city buy out wealthy Melbourne City Investors. Australian Financial Review.

Stotlar, D. K. (2000). Developing Successful Sport Sponsorship Plans. Sport Management Library.