Russian Premier League - business development strategy
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2009
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Preliminary review of business development opportunities and strategy planning for Russian Footbal Premier League
Transcript of Russian Premier League - business development strategy
2009
Football as a major sport
in Russia today shows high
growth rates of all its
components: sports
performance, infrastructure,
investments and etc.
At the same time the Russian
Premier League is far below
by income level amidst
the leading football leagues
of Europe
INTRODUCTION
*Source: „Main directions of RFPL development 2008‟
0
0,5
1
1,5
2
2,5
Premier League Bundesliga
La LigaSerie A
Ligue 1Russian Premier League
2,5
1,664
1,6221,532
1,072
0,368
Deloitte experts estimated Russian Premier League‟s revenue at €368
millions per 2009 year, the Russian Premier League estimated its own
annual revenue at €150 millions in 2008
ANNUAL RAVENUE
*Source: Deloitte Annual Review of Football Finance 2011 (track record up to the end of the 2009/10 season),
„Main directions of RFPL development 2008‟
Billions
euro
Average attendance of Russian Premier League is 2-3 times less
in comparison with “big five” European Leagues
AVERAGE ATTENDANCE
*Source: http://en.wikipedia.org/wiki/List_of_attendance_figures_at_domestic_professional_sports_leagues
0
5000
10000
15000
20000
25000
30000
35000
40000
45000
Premier League Bundesliga
La LigaSerie A
Ligue 1Russian Premier League
34150
41802
28186
24957
20089
13334
People
The Russian Premier League
set up a business task to
increase annual revenue
by 2 times by 2012
CHALLENGE
*Source: „Main directions of RFPL development 2008‟
VISION
The League commercial revenue
growth is inseparably linked with
increase of the audience
volume and its qualitative
growth:
Stadiums spectators
TV watchers
Internet and other media
users
MAIN PREMISES
Audience growth requires a
raise of attractiveness
of games as a sport
show and creating and
delivering the new League
image in the media
MAIN PREMISES
For the successful development of the Russian Premier League with a
positive financial performance it is crucial:
1. Set up an efficient business management structure
2. Develop high-quality sports product in “sport plus show” format
3.Activate marketing rights in full
4. Build up a positive image in the media
5. Raise a brand awareness
KEY SUCCESS FACTORS
BUSINESS MODEL
The Russian Premier League
needs a clear long-term
development strategy
to build a strong effective
business structure,
empowered to control and
regulate all commercial and
non-commercial activities
of clubs
FINANCE
ORGANIZATION
MARKETING
TECHNOLOGY
PURPOSE
MARKETING REGULATIONS
Rules of commercial
interaction between League‟s
clubs is to be formalized
in marketing regulationsof the League and binding on
all Clubs
MARKETING REGULATIONS
Unified marketing
regulations allow to avoid any
conflicts in commercial and
marketing area on any level
of management and help
to establish comfortable
business environment for all partners and sponsors
PRODUCT
Not only sports details (quality of play, sports scores,
etc..) determine audience's
interest to football,but also many additional
components are very
significant for fans
as for consumers
of the product
PRODUCT
Convenient matchday
schedule – days and time –
is essential…
PRODUCT
Convenient and clear
system of ticket sales
including online sale is vital
PRODUCT
Well-appointed stadiums with
all modern facilities to provide
excellent game viewing
opportunities:
No crush
Security
Comfortable seats
Affordable food & drinks
Friendly staff
Clean WCs
etc.
PRODUCT
Every game has to be a great
show:
Opening ceremony
Presentation of the players
Excellent work of the
speaker
Extra content on the
scoreboard
Music, lighting, pyrotechnic
and special effects
Interaction with the
audience (incl. digital)
PRODUCT
High quality TV and online
broadcast:
Excellent picture (incl. 3D)
Camera crew creative work
Excellent work of
commentators
Various video effects
Full detailed statistics
etc.
PRODUCT
The Russian Premier League official website is a complete, comprehensive,
easily accessible and constantly developing information web-portal
FULL
PROFILE
NEWS
FIXTURES
&
RESULTS
PLAYERS
TICKETS
STATISTICS
MEDIA VIDEO, PHOTO,
TV
GAMESSOCIAL
MEDIA EXPOSURE
LEAGUE
APPS
SOCIAL PROGRAMS
TRAVEL GUIDE &
PLANNER
SPONSORSACTIVITIES
PRODUCT
Complete and
convenient online
statistic service is one
of the significant official
website section (EA Index,
Castrol Performance Index
for Euro 2008, Hewlett
Packard & NBA …)
PRODUCT
League‟s web-portal
provides full service not
only as official online ticket
seller but also as a tourist
guide and travel planner:
Tickets & availability
Special offers
Stadiums & cities info
Travel guides & planners
Special activities in Social
media
etc.
PRODUCT
Create its own or partnership
network of stores for sale
of certified merchandiseof the League (like „NHL
powered by Reebok‟)
Good quality
Wide selection in stock
Ability to order online
PRODUCT
Make its own line
of collectibles
and memorabilia:
Jersey cards
Figurines
Albums
Posters
etc.
PRODUCT
Use football players like
brand ambassadorsof the Premier League
in media - charismatic
personalities, bright,
interesting, smart
and popular among
the wide audience
It‟s high time to create new
entertainment football
projects using various
digital media platforms
in collaboration with various
media and production companies
- games, reality shows and etc.
It reveals new commercial
opportunities in addition to the
income from traditional TV and
sponsorship rights
PRODUCT
Improvement and development of the product will enable the Premier
League to discover additional niche to attract sponsors from various
business fields:
Online statistic services
Certified sports merchandise
Catering
Tourism
Hospitality
Social and charitable projects
etc
SPONSORSHIP OPPORTUNITIES
SPONSORSHIP OPPORTUNITIES
Partners of the League can
communicate with a wide
audience of football fans and
make them to become theirs
own fans
They can use fan sites to fuel
interest, to find out what
consumers think, and to come
up with new products that the
company might be able to sell
the fans
Strong, powerful and filled with emotions brand is essential for the
successful development, promotion and for implementation of all marketing
initiatives of the Russian Premier League
BRAND
The new modern brand
of the Premier League will:
Strengthen its reputation
Correct the image
Create the target audience loyalty
Attract a more wide audience
BRAND
First step towards a new brand
of the Russian Premier League
is creation of new modern
visual identity, which
reflects new brand values
and is true to the audience
insights and mindsets
Description of all the elements
of the new brand as a whole
and formalized standards of use
in all media is to be enclosed
in brand-book
BRAND
COMMUNICATIONS
To win over new audience
and to form desired loyalty
the Premier League needs
following:
Use all available channels
of communication
Deliver relevant messages
to all target groups
Obtain ultimate share
of voice
Manage reputation
COMMUNICATIONS
Main target groups:
Football community: clubs,
players, agents, sport officials,
etc.
Media: not just sports, but
also lifestyle and business, etc.
Fans: active fans, stadium
watchers and the TV audience
Business community: sponsors and partners
Political community: the first person in the country,
officialdom
Strategic communications plan includes:
1. Segmentation of the target audience
2. Communication objectives for each segments
3. Messaging strategies translating brand towards the audiences
4.Insight generation and creative solutions
5.Channels planning
COMMUNICATIONS
For maximum coverage, penetration and engagement of the audience the
League has to use the entire spectrum of communication tools:
ATL PR GRBTL,
CRM
SPECIAL
PROJECTS
Branded content in
various media
CROSS
PROMO
In various business
fields
DIGITAL
SOCIAL RESPONSIBILITY
Engagement in various
social programs and
community funds
COMMUNICATIONS
No doubts, targeted, long-term
and continuous marketing
activities of the League will
raise up the quantity and
quality of football audience,
and therefore will lead to an
increase in commercial income -
from the sale of TV
and sponsorship rights, and new
commercial products and
services
CONCLUSIONS
To successfully meet the challenges facing the League today it is required:
1. Analyze the current structure of the league and develop
a more effective business model with the legal and financial
assessment
2. Create a new brand identity to build up the new image
3. Develop a strategic communications plan, aimed to form
a positive image and attract the widest audience
4. Constantly develop the product - make it more spectacular,
more affordable and comfortable, create more new interesting
services for football fans
5. Use the interests of the League audience as a source of income,
and constantly examine for new forms of commercial
opportunities
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