The Official Beer Of Sports Leagues; Comparing The NHL And NFL’s Sponsorships
Yesterday Molson Coors’ inked a deal to become the official beer of the NHL. The deal is the largest corporate sponsorship in history of the National Hockey League. It is valued at almost $400 million and has a term of 7 years.
The NFL just signed a deal with Anheuser-Busch this past year. Conveniently, this creates a rather intriguing comparison.
The deal to make Bud Light the official beer of the NFL cost Anheuser-Busch a pretty penny. The company shelled out $1.2 billion for the sponsorship. That means that the NFL deal is 3 times bigger than the NHL’s deal.
The deal to make Bud Light the official beer of the NFL cost Anheuser-Busch shelled out $1.2 billion. That means that the NFL deal is 3 times bigger than the NHL’s deal.
Breaking it down to a per year sponsorship amount — there is no comparison. The NFL’s deal is not only more than 3 times more expensive for Anheuser-Busch, but also includes 1 less year of sponsorship.
As you may recall, before the NFL and Anheuser reached their deal in May of 2010, MillerCoors (a subsidiary of Molson Coors) wanted to renew their deal with the National Football League. Clearly, in the end, the price was too much for Coors.
The Coors – NFL deal expired after the Super Bowl earlier this month. It was specifically stated to the WSJ by a MillerCoors spokesperson that the company tried to reach a deal with the NFL but “could not come to terms on the price”.
The question becomes — what value doe you get from each? Is there more value for being the official beer of the NFL as opposed to the official beer of the NFL?
Of course, in the US, the NFL is a much more valuable property than the NHL. It’s not even close. The debate could be; is it worth nearly 4 times the cost? That is impossible to determine now. Really, it is hard to judge even years down the road. What can be said is that Anheuser-Busch continues it’s dominance in the sports marketing world. A large portion of the companies ~$1.5 billion marketing budget flows into the sports world. That doesn’t seem to be changing anytime soon.