BRANDING THE OCTAGONAN INSIDE LOOK AT BRANDING & THE ULTIMATE FIGHTING CHAMPIONSHIP

PRESENTED BY

Kristi Ammirati, Joe Avram, Fred Hergenraeder, Orlando Murrell, Rob Simnick

AGENDA

Intro

Brand Leadership

Corporate Branding

Evaluating A Brand

The UFC

Conclusion

Introduction

What is a Brand? Brands can possibly drive:

Emotions

Creativity

The building of trust & strength

Psychological and economical reactions

“A brand is a company’s #1 asset. Well managed, it can enable a business to achieve competitive advantage. Poorly handled, it can mean the death of the business”

Brand Leadership

A Strong Brand should: Receives a lot of free publicity/buzz

Is admired and has high purchase intent

Enables the owner to charge a price premium

Results in increased market share, especially for the target customers

Provides increased bargaining power with business partners

Provides a platform for growth beyond the current products and product categories

Increases an organization’s sales

Brand Leadership Matrix

Market Share

Share Growth- +

High

Low

The Ex-Champ

•A Complacent former ‘Leader’ that is living off of its past glory

•Stale and boring, but still commands a loyal following

•Focus is on maintaining status quo

The Leader

• Them most influential/talked about brand in the market

•High market visibility and preference

•Demonstrates market leadership and continuous innovation

•Stays relevant

The Underdog

• No clearly differentiated brand and product proposition

•Competes on price, promotion or some other functional dimensions

•In danger of being acquired or eliminated

The Challenger

• A niche brand

•Highly focused strategy on serving a well-defined segment

•Creative and adaptable

•Utilizes gorilla marketing tactics

Brand Leadership

Corporate Branding

Support of Senior Management is Crucial62% of companies stated that

the single most pressing threat to their long-term brand’s success is the lack of senior management support.

Development of the Brand Phase 1. Developing a Brand Vision

Phase 2. Determining Your Brand Picture

Phase 3. Developing a Brand Asset Management Strategy

Phase 4. Supporting a Brand Asset Management Culture

Corporate Branding

Evaluating A Brand

Keller’s Three Key Questions:

Have We Established A Frame?

Are We Leveraging Our Points Of Parity?

Are The Points Of Difference Compelling?

Evaluating A Brand

Brand Performance Associations Benefits that prompt consumption

Reliability, durability, and serviceability

Service effectiveness, efficiency and empathy

Style and design

Value and price

UFC

History: Planting The Seed

The UFC organization follows a rich history and tradition of competitive MMA dating back to the Olympic Games in Athens.

About 80 years ago, a Brazilian form of Mixed Marital Arts known as Vale Tudo (anything goes) sparked local interest in the sport.

The UFC brought MMA to the world with a concept to have a tournament of the best athletes skilled in the various disciplines of all martial arts.

The goal was to find “the Ultimate Fighting Champion”.

Controversy

The opponents of MMA have leveled numerous arguments against the sport, and under the leadership of Arizona Senator John McCain, quoted as referring to it as “human cock-fighting”, they succeeded in forcing the sport from national pay-per-view carriers, and convinced several states to ban the sport.

The full-contact blend of street brawling and martial arts was forced underground.

The Unified Rules of Mixed Martial Arts Combat, as drafted in New Jersey, and later adopted in Nevada on July 23, 2001 were a welcome change to the sport.

History: Planting The Seed

Open Space For Potential Timeline

Fighting To Keep It Alive

$0

$5

$10

$15

$20

$25

$30

$35

$40

UFC 1 UFC 5 UFC21

UFC40

UFC52

UFC57

UFC58

UFC59

UFC60

UFC66

UFC71

UFC81

Major Events 1995 - 2008

UFC Pay-Per-View Revenue

Source: w w w .mmapayout.com

Rev

enu

e ($

Mill

ion

s)

Let the Branding Begin: Building the Most Valuable Asset

Differentiating the Brand by Differentiating the Leader

MMA Market Share

4%2%2%1%1%

90%

UFC

EliteXc

HD Net

DREAM

YAMMA

StrikeForceSource: w w w .mmapayout.com

Staying on Top: The UFC’s Strategy and our Teams Insight

UFC’s Biggest Threat Competition Maintaining Competitive Advantage through

fBranding

Strengthening the Brand

Repeatable Income Brand Awareness Reality TV

Conclusion

Branding The Octagon