Reds' marketing more than just beer, brats
By Laura Baverman • lbaverman@enquirer.com • April 2, 2010
The Enquirer/Jeff Swinger
Linda Pfeiffer, manager of the Cincinnati Reds Team Store, stocks shelves at their new venture, the high-end Forty Seven Brand Store at Great American Ball Park.
CINCINNATI - Great American Ball Park is one big footprint of prime real estate, and Bill Reinberger is its top salesman.
In the months leading up to Monday's Opening Day for the Reds, Reinberger and his 10-person corporate sales team have been furiously making deals:
Toyota gets a new "Hit Me" sign below the scoreboard. Budweiser gets a Tuesday ticket-and-beer special. United Dairy Farmers has a new grab-and-go market inside the ballpark's main entrance. Mike-sell's becomes the official potato chip, and Queen City Sausage earns the official bratwurst title.
As the recession continues to pound the budgets of nearly every potential advertiser, these deals are no easy feat. Corporate sales fell flat in 2009 for the first time since the Castellini family purchased the team in 2006.
To uphold the family's goal to break even each year and still invest in the players, more pressure falls on Reinberger, the Reds vice president of corporate sales. Revenues generated through his efforts go directly toward building a better baseball team.
"We do have to really try to stretch our revenue," says Reinberger, who previously led the sales team at WLW-AM. "One of our challenges is being a team that is competing with the payroll of the Dodgers, Mets and Cubs."
Lower sales made 2010 an off-year for such major capital investments as past years' Cincinnati Bell Riverboat Deck, Frontgate Outdoor Luxury Suite and new digital scoreboard. Those efforts helped Reinberger double corporate sales in 2007 and 2008.
Still, Reinberger's team will secure single-digit growth this season. That comes from matching up the right package of opportunities - ballpark signs, radio and TV spots, ticket deals or giveaways that enhance the fan experience - with the goals of its clients.
"Last year, we were really selling right into the teeth of the recession," he says. "It's a healthier environment now."
New ideas
Succeeding in tough economic times has meant meeting clients' return-on-objective goals in new ways.
For example, Reinberger inked a deal with Kroger in 2009 to give fans a $7 meal option for the first time. The team also offered 14-ounce draft beers for $5 in partnership with Anheuser Busch. Fans could buy $1 hot dogs, peanuts, sodas, popcorn and ice cream cups thanks to deals with Delaware North Companies Sportservice, the hospitality company that handles food, beverage and retail at the park. The $5 beer and $1 menu items will continue in 2010.
"People are spending less money. It requires marketers to scrutinize where they are placing their dollars," says Sam Riber, president of Riber Sports Marketing Group, an Anderson Township firm that does business nationwide. "Sports becomes part of that evaluation."
Reinberger's team worked longer and harder to secure deals this year and last. Some sponsorship packages have been restructured to better respond to fans' desire to save a buck.
This year, Budweiser will offer fans two field box tickets and two 14-ounce beers for $22 during the 12 Tuesday home games, a savings of $56. A second Toyota "Hit Me" sign will be added below the main scoreboard (the first is in right field). That gives fans a greater chance at winning a $34,000 Toyota Tundra. If a Reds player hits the sign during a game, one pre-selected fan will win.
The team also hopes to play up its Opening Night game the evening of April 7, with fireworks sponsored by Hollywood Casino Lawrence. The first 20,000 fans will get a Reds fleece pullover, provided by hh gregg.
The Reds pick up new revenue generation ideas wherever it can find them.
The Enquirer/Jeff Swinger
The Reds are also debuting a new grab-and-go store from United Dairy Farmers.
From the Carolina Panthers stadium, Reinberger's team borrowed the grab-and-go concept. The idea was easily sold on UDF, known regionally for its ice cream and chain of convenience stores. A mix of pre-made wraps and sandwiches, sushi from Hyde Park's Sake Bomb, high-end beers and Coca Cola brand beverages will be offered there, as well as non-food items like sunglasses, sunscreen and batteries. (UDF ice cream is available in other concessions). The store replaces the ballpark's Build-A-Bear, a feature Reinberger says brought little revenue for the prime real estate it occupied just inside the park's main entrance.
Three years ago, Penn Station joined the mix of Reds sponsors. Sportservice wanted to bring a cheesesteak option to the stadium, and the Castellinis proposed the Anderson Township-headquartered chain for its local brand equity.
"We sell product at the ballpark because of the exposure of our brand, not because of the money that we make," president Craig Dunaway says. "The buzz that we hear is nothing but positive."
Still, sales of the deli sandwiches have doubled expectations each of the three years they've been offered, Reinberger says. Penn Station renewed its contract in 2010 for another three years.
Upscale audience
The Reds believe they have a good product. Research shows the team reaches an upscale demographic. About 37 percent of game attendees make $100,000 or more a year, and 41 percent own a home worth $350,000 or more.
Those figures helped the team's architect, downtown-based Michael Schuster Associates, sign on as a corporate sponsor in 2009 and re-up this year. The firm's signs are displayed outside the Diamond Club, where tickets go for $250 a pop, on the Reds radio network and scoreboard.
"Those were things that addressed our audience, versus those more suitable for UDF or Coca Cola," firm president Michael Schuster says. "The Diamond Club folks are people that make decisions about buildings and facilities."
But Schuster's sponsorship is as much about generating business as it is about being associated with a team with a rich history and tie to Cincinnati.
Although the Reds may not have the best record in recent years, the team benefits from its deep roots in the city's social fabric and as the league's oldest team, says John Brody, Major League Baseball's senior vice president of corporate sales.
"Baseball in difficult times is a form of comfort food. People mark times in their lives through it," he says. "Nowhere is that more evident than in Cincinnati."
For Reds advertisers, many of whom are local companies, association with the Reds is a bragging point, Riber says, even if the team isn't winning.
"If you are dependent on a team's win and loss record, that's a much riskier proposition than if winning is not important," he says. "People are always going to like the Reds. They'll just come out of the woodwork a bit more if they are winning."
Optimism always
Quote:New this year
• United Dairy Farmers Reds Market replaces Build-A-Bear inside the main terrace gates. It offers fresh pre-made sandwiches and wraps, sushi, wine, fresh fruit, imported and domestic beers, Coca-Cola products, snacks and candy, as well as sunglasses, lip balm, sunscreen and other sundries.
• Forty Seven Brand Store replaces a storage facility on the terrace level along the first-base line. It's a high-end vintage and retro themed apparel store previously only found at parks like Fenway Park in Boston.
• Two new full-service walk-up bars have been added on the terrace level. One is just inside the ballpark's main entrance.
• Budweiser Thirst Row replaces an underutilized camera pit in the outfield behind right field. Budweiser has four padded seats that can be used for its promotions.
• Queen City Sausage offers up the Reds' "Official Bratwurst."
• Mike-sell's potato chip company becomes the "Official Potato Chip" and sponsors a picnic tent in the Fan Zone.
• The ballpark's first digital menu board will hang at a LaRosa's concession.
• Hollywood Casino Lawrenceburg will sponsor fireworks following Opening Night game the evening of April 7. Reds 'Fleecies' go to the first 20,000 fans to enter the stadium.
The Reds are still optimistic that this season will be better than the last. But they also have statistics to help grow sales. Those show that interest in baseball is growing league-wide.
Attendance at Major League Baseball games reached record levels each of the past six seasons, Brody says. Major and minor league attendance grew to 115 million fans last year.
Viewership also grew throughout 2009, especially with the launch of the MLB cable network early last year, Brody says. Television audiences grew 42 percent during the World Series from 2008 to 2009. The All Star Game generated its largest audience, 14.6 million viewers, since 2002.
"That tells you that the strength of the MLB brand, business and connection to our fans has never been stronger," Brody says.
The Reds' home attendance, however, was down in 2009 to 1.7 million, compared to 2.1 million in 2007 and 2008.
Reinberger hopes that growing interest - and perhaps a winning team - will soon help him sell rights to the 50,000-square-foot Fan Zone, an area that will overlook The Banks residential-and-commercial riverfront development when its construction is complete.
"It could be the biggest opportunity in the ballpark," he says.
It's just a matter of finding the right buyer.
http://news.cincinnati.com/article/20100...eer++brats