Buying a sponsor's brand : the role of affective commitment to the sponsored team

Sponsorship is increasingly important in a firm's communication mix. Research to date has focused on the impact of sponsorship on brand awareness and its subsequent consequences for image congruency and consumer attitudes towards sponsors' brands. A lesser studied area is the effect of sponsorship on consumers' purchase intentions and behaviours. We argue that existing models of sponsorship driven purchase behaviour fail to account for affective commitment, which mediates relationship between affiliation with the team and social identification with the team. We propose a modified framework describing the effect of sponsorship on purchase intentions in the context of low and high performing sports teams. The framework is tested using structural equations modelling; employing PLS estimation and data collected via online survey of AFL chat room participants. Results confirm the role of affective commitment in sport sponsorship purchase intentions and indicate that team success has a significant influence on fans' purchase behaviours.

Sports sponsorship as an integrated marketing communications tool : an Australian sponsor's perspective

Sports sponsorship increasingly provides organisations with the opportunity to reach their target audiences in a manner that facilitates engagement and encourages relationship development. This paper provides an Australian perspective of the value of sports sponsorship using a case study of WOW Sight and Sound’s long-term sponsorship of the Brisbane Broncos rugby league team. The case study investigates WOW’s marketing objectives which centre generating brand awareness using sponsorship with the Brisbane Broncos as an integrated marketing communications tool. WOW believes that the integration of its sponsorship of the Broncos with the team’s total marketing plan is integral to its success. This integration requires the facilitation of two-way communications between WOW, its advertising agency, the Brisbane Broncos and customers to ensure that all parties’ needs are met.

Examining fan attitudes toward sponsor brands using social identity frameworks

The majority of academic research has attempted to explain the effectiveness of sponsorship activities by focusing on individual outcomes (Cornwell, Weeks, & Roy, 2005). The current research builds upon the limited empirical studies that examine sponsorship outcomes using group behaviour theories (Cornwell & Coote, 2005; Gwinner & Swanson, 2003; Madrigal, 2000, 2001). Specifically, this study closely examines tenets of social identity theory (Brewer, 1991; Tajfel & Turner, 1979) within the context of sports sponsorship to test effects of team identification on attitudes toward associated sponsor brands. 1,840 unique surveys were collected from fans of the Queensland Maroons and New South Wales Blues rugby clubs over four timepoints during the 2012 State of Origin series. The results suggest that social identity effects were present regarding ingroup bias toward sponsor brands. Local sponsors were rated higher than non-local sponsors, suggesting that local brands may benefit more from sponsorship.

The Black Label: trade mark dilution, culture jamming, and the no logo movement

This article considers the ongoing debate over the appropriation of well-known and famous trade marks by the No Logo Movement for the purposes of political and social critique. It focuses upon one sensational piece of litigation in South Africa, Laugh It Off Promotions v. South African Breweries International (Finance) B.V. t/a Sabmark International. In this case, a group called Laugh It Off Promotions subjected the trade marks of the manufacturers of Carling Beer were subjected to parody, social satire, and culture jamming. The beer slogan “Black Label” was turned into a T-Shirt entitled “Black Labour/ White Guilt”. In the ensuing litigation, the High Court of South Africa and the Supreme Court of Appeal were of the opinion that the appropriation of the mark was a case of hate speech. However, the Constitutional Court of South Africa disagreed, finding that the parodies of a well-known, famous trade mark did not constitute trade mark dilution. Moseneke J observed that there was a lack of evidence of economic or material harm; and Sachs J held that there is a need to provide latitude for parody, laughter, and freedom of expression. The decision of the Constitutional Court of South Africa provides some important insights into the nature of trade mark dilution, the role of parody and satire, and the relevance of constitutional protections of freedom of speech and freedom of expression. Arguably, the ruling will be of help in the reformation of trade mark dilution law in other jurisdictions – such as the United States. The decision in Laugh It Off Promotions v. South African Breweries International demonstrates that trade mark law should not be immune from careful constitutional scrutiny.

No logo: Brand bullies, trade mark law, and the Trans-Pacific Partnership

The Trans-Pacific Partnership is a sweeping trade agreement, spanning the Pacific Rim, and covering an array of topics, including intellectual property. There has been much analysis of the recently leaked intellectual property chapter of the Trans-Pacific Partnership by WikiLeaks. Julian Assange, WikiLeaks’ Editor-in-Chief, observed “The selective secrecy surrounding the TPP negotiations, which has let in a few cashed-up megacorps but excluded everyone else, reveals a telling fear of public scrutiny. By publishing this text we allow the public to engage in issues that will have such a fundamental impact on their lives.” Critical attention has focused upon the lack of transparency surrounding the agreement, copyright law and the digital economy; patent law, pharmaceutical drugs, and data protection; and the criminal procedures and penalties for trade secrets. The topic of trade mark law and related rights, such as internet domain names and geographical indications, deserves greater analysis.

Sponsoring a rival has benefits too: A longitudinal study of changes in fan attitudes toward favored-and opposing-team sponsor brands

A longitudinal field experiment examined sports fans’ attitudes toward favored- and opposing-team sponsors across time. Measurements at five timepoints showed fans’ attitudes were more positive toward their favored-team sponsors, but that attitudes improved across time toward both favored-team sponsors and opposing-team sponsors. This occurred regardless of intensity of fan identification.

Perceptions of Integration: What the Literature Says and What Stakeholders See

This paper compares perceptions of integrated marketing communication (IMC) to establish whether consumers perceive integration in the same way as the literature. It begins by reviewing the literature to identify shared assumptions about integration and factors thought to contribute to the integration of marketing communication and, in an experiment, compares these with the perceptions of consumers. Many of the shared assumptions in the literature have been supported by the findings of this study. Integration has been demonstrated to be both a strategy and a tactic. The strategic side is part of a management process and is unable to be observed by consumers from the marketing communication output. Consumers can, however, identify the tactics and are able to recall a number of integration factors such as logo, corporate colours and image. Consumers in the total message integration groups perceived the messages they received as more integrated than those in partial integration or no integration groups.

Leveraging sponsorships on the Internet: Activation, congruence, and articulation

This paper considers how the Internet can be used to leverage commercial sponsorships to enhance audience attitudes toward the sponsor. Definitions are offered that distinguish the terms leverage and activation with respect to sponsorship-linked marketing; leveraging encompasses all marketing communications collateral to the sponsorship investment, whereas activation relates to those communications that encourage interaction with the sponsor. Although activation in many instances may be limited to the immediate event-based audience, leveraging sponsorships via sponsors' Web sites enables activation at the mass-media audience level. Results of a Web site navigation experiment demonstrate that activational sponsor Web sites promote more favorable attitudes than do nonactivational Web sites. It is also shown that sponsorsponsee congruence effects generalize to the online environment, and that the effects of sponsorship articulation on audience attitudes are moderated by the commerciality of the explanation for the sponsor-sponsee relationship. Importantly, the study reveals that attitudinal effects associated with variations in leveraging, congruence, and orientation of articulation may be sustained across time.

Using the Internet to leverage sponsorships

This study considers the effectiveness of the Internet as a medium through which sponsorship investments can be leveraged. It considers the variables of sponsor-sponsee congruence,articulation, and the extent to which a sponsorship is leveraged via sponsor websites, in relation to consumer attitudes toward brand and company level variables across time. Results show that,consumer attitudes are more favourable for congruent sponsorships, those that are not articulated in commercially-oriented terms, and those that are leveraged via sponsor websites. Additionally, after a seven-day delay, leveraged sponsorships display sustained positive attitudes whereas those not leveraged display a decline in attitudes.

Value creation and value capture fro open source software publisher : a new business model based on mutualisation

Key topics: Since the birth of the Open Source movement in the mid-80's, open source software has become more and more widespread. Amongst others, the Linux operating system, the Apache web server and the Firefox internet explorer have taken substantial market shares to their proprietary competitors. Open source software is governed by particular types of licenses. As proprietary licenses only allow the software's use in exchange for a fee, open source licenses grant users more rights like the free use, free copy, free modification and free distribution of the software, as well as free access to the source code. This new phenomenon has raised many managerial questions: organizational issues related to the system of governance that underlie such open source communities (Raymond, 1999a; Lerner and Tirole, 2002; Lee and Cole 2003; Mockus et al. 2000; Tuomi, 2000; Demil and Lecocq, 2006; O'Mahony and Ferraro, 2007;Fleming and Waguespack, 2007), collaborative innovation issues (Von Hippel, 2003; Von Krogh et al., 2003; Von Hippel and Von Krogh, 2003; Dahlander, 2005; Osterloh, 2007; David, 2008), issues related to the nature as well as the motivations of developers (Lerner and Tirole, 2002; Hertel, 2003; Dahlander and McKelvey, 2005; Jeppesen and Frederiksen, 2006), public policy and innovation issues (Jullien and Zimmermann, 2005; Lee, 2006), technological competitions issues related to standard battles between proprietary and open source software (Bonaccorsi and Rossi, 2003; Bonaccorsi et al. 2004, Economides and Katsamakas, 2005; Chen, 2007), intellectual property rights and licensing issues (Laat 2005; Lerner and Tirole, 2005; Gambardella, 2006; Determann et al., 2007). A major unresolved issue concerns open source business models and revenue capture, given that open source licenses imply no fee for users. On this topic, articles show that a commercial activity based on open source software is possible, as they describe different possible ways of doing business around open source (Raymond, 1999; Dahlander, 2004; Daffara, 2007; Bonaccorsi and Merito, 2007). These studies usually look at open source-based companies. Open source-based companies encompass a wide range of firms with different categories of activities: providers of packaged open source solutions, IT Services&Software Engineering firms and open source software publishers. However, business models implications are different for each of these categories: providers of packaged solutions and IT Services&Software Engineering firms' activities are based on software developed outside their boundaries, whereas commercial software publishers sponsor the development of the open source software. This paper focuses on open source software publishers' business models as this issue is even more crucial for this category of firms which take the risk of investing in the development of the software. Literature at last identifies and depicts only two generic types of business models for open source software publishers: the business models of ''bundling'' (Pal and Madanmohan, 2002; Dahlander 2004) and the dual licensing business models (Välimäki, 2003; Comino and Manenti, 2007). Nevertheless, these business models are not applicable in all circumstances. Methodology: The objectives of this paper are: (1) to explore in which contexts the two generic business models described in literature can be implemented successfully and (2) to depict an additional business model for open source software publishers which can be used in a different context. To do so, this paper draws upon an explorative case study of IdealX, a French open source security software publisher. This case study consists in a series of 3 interviews conducted between February 2005 and April 2006 with the co-founder and the business manager. It aims at depicting the process of IdealX's search for the appropriate business model between its creation in 2000 and 2006. This software publisher has tried both generic types of open source software publishers' business models before designing its own. Consequently, through IdealX's trials and errors, I investigate the conditions under which such generic business models can be effective. Moreover, this study describes the business model finally designed and adopted by IdealX: an additional open source software publisher's business model based on the principle of ''mutualisation'', which is applicable in a different context. Results and implications: Finally, this article contributes to ongoing empirical work within entrepreneurship and strategic management on open source software publishers' business models: it provides the characteristics of three generic business models (the business model of bundling, the dual licensing business model and the business model of mutualisation) as well as conditions under which they can be successfully implemented (regarding the type of product developed and the competencies of the firm). This paper also goes further into the traditional concept of business model used by scholars in the open source related literature. In this article, a business model is not only considered as a way of generating incomes (''revenue model'' (Amit and Zott, 2001)), but rather as the necessary conjunction of value creation and value capture, according to the recent literature about business models (Amit and Zott, 2001; Chresbrough and Rosenblum, 2002; Teece, 2007). Consequently, this paper analyses the business models from these two components' point of view.

AITPM Email Newsletter Volume 0903, March 2009: Presidents Message

President’s Report Hello fellow AITPM members, First I would like on behalf of all AITPM members to send our condolences to all who have been affected by February’s tragic bushfires in regional Victoria, and deliver our best wishes to all of those involved in the rebuilding efforts. Over time I expect that the Victorian Government’s Royal Commission will analyse the circumstances and put forward a range of measures which will improve fire safety in vulnerable areas. As transport professionals it will be important for us to consider the findings and look to undertaking any recommendations that relate to the work we do. Not only in Victoria, but nationwide. In particular, the importance of logistics was highlighted following the fire events. Donors across Australia were this time requested to donate money rather than goods, presumably due in part to problems associated with the transport system coping with additional uncoordinated freight load, whilst being needed to support emergency management vehicle and managed freight movements. Notwithstanding, it was wonderful to see otherwise difficult to obtain goods, such as animal feed, being donated from far afield and transported in kind by trucking operators. As stated in last month’s Newsletter, AITPM made a direct cash donation to the Red Cross Bushfire Appeal immediately following the events, and a further donation to the Queensland Premier’s Disaster Relief Fund to support recovery after the North Queensland floods, which claimed seven lives. Again, we will need to monitor how the rebuilding effort unfolds particularly in regional Victoria and centres including Ingham in North Queensland, but I would urge all AITPM members who are in a position to support the restoration of the affected communities to play a part, particularly over time once the initial shock subsides and the steady job of rebuilding is underway. Onto lighter matters, AITPM’s flagship event, the 2009 AITPM National Conference, Traffic Beyond Tomorrow, being held in Adelaide from 5 to 7 August, is fast approaching. www.aitpm.com has all of the details about how to register, sponsor a booth, and so forth. We are looking forward to catching up with our conference “regulars” and meeting with new folks to AITPM, and Australian traffic and transport planning and management. Adelaide is one of my favourite places to visit and I’m looking forward to riding the light rail line extension through town and checking out progress on the road system development. Best regards all, Jon Bunker