Garmin Sharp

[Armchair Cyclist]

2 threads, and about 300 posts for SaxoTinkoff, and nary a mention of the other new name sponsor today. Garmin join with Sharp (two customer facing electronics companies, albeit in different fields: a business partnership in the brewing?) and relegate Barracuda to third-name status.

Sharp are huge, at least in the UK; one of the biggest names in domestic electronics, far greater recognisability here than any other sponsor name with the exception of Sky.

And have been happy to play big sponsorship games as well: 17 years as shirt sponsors of Manchester United. Even a fraction of that budget could fund a superteam to make any other pretender to that epithet wince.

I guess we learn more on Thursday...

 

[Richeypen]

2 threads, and about 300 posts for SaxoTinkoff, and nary a mention of the other new name sponsor today. Garmin join with Sharp (two customer facing electronics companies, albeit in different fields: a business partnership in the brewing?) and relegate Barracuda to third-name status.

Sharp are huge, at least in the UK; one of the biggest names in domestic electronics, far greater recognisability here than any other sponsor name with the exception of Sky.

And have been happy to play big sponsorship games as well: 17 years as shirt sponsors of Manchester United. Even a fraction of that budget could fund a superteam to make any other pretender to that epithet wince.

I guess we learn more on Thursday...

And Argos, though not necessarily the same Argos

 

[hoerpi]

This sponsorship deal really made me happy when it was announced. Tinkov is a rich guy who likes cycling, Sharp is a well known (in Europe at least) multinational company. Since cycling is becoming more and more widespread, therefor I think we will see more and more multinational reatail companies sponsoring cycling. That's what I hope at least.

 

[Zinoviev Letter]

This sponsorship deal really made me happy when it was announced. Tinkov is a rich guy who likes cycling, Sharp is a well known (in Europe at least) multinational company. Since cycling is becoming more and more widespread, therefor I think we will see more and more multinational reatail companies sponsoring cycling. That's what I hope at least.

Yes, sponsors of the Sharp variety are probably more desirable than individual rich dudes, as they indicate genuine commercial interest in advertising through the sport. It's sort of odd that in a period when there really aren't all that many commercial sponsors from outside the bike industry that Garmin has no less than three of them.

 

[Machu Picchu]

Vaughters interview at VN:

VN: Presumably the deal is good for budget too, making things a little easier going forward?

JV: Well, it doesn’t change our budget because when BigMat defaulted on that commitment, we were stuck in a situation where basically team owner Doug Ellis had to recapitalize. Over the next few years it will hopefully gets us into the position where we don’t have to go into debt to run the team any more. It doesn’t really change our overall budget, but it just puts us in a better position financially.

VN: How long is this deal for, and also what’s the situation with Garmin?

JV: Sharp is for the rest of this year and for 2013 and 2014. As for Garmin, they are in the game long-term.

 

[Cimber]

Always glad to see new sponsors in the sport. Especially after some hard years where we have seen team struggle with the finances, mergers and even teams closing

JV: Sharp is for the rest of this year and for 2013 and 2014. As for Garmin, they are in the game long-term. [/SIZE]

The sport need more long term sponsors as Garmin and Rabobank.

 

[Izzy eviel]

It's good for both sides but I do find it a bit disappointing that Sharp have gone with Garmin. I was hoping they'd increase their sponsorship of the Rapha team. I wonder what will happen to them. Can you sponsor more then one team?

 

[roundabout]

I am surprised that Sharp came aboard. I still perceive cycling as a bit of a niche sport, but maybe cycling sponsorships have a better ROI than I thought.

Also, to me Vaughters just seems like a kind of manager that would connect with sponsors. I certainly get a corporate vibe from him. And finally, maybe the clean reputation makes the sponsorship more attractive as there is a lower risk of being associated with a scandal.

 

[roundabout]

It's good for both sides but I do find it a bit disappointing that Sharp have gone with Garmin. I was hoping they'd increase their sponsorship of the Rapha team. I wonder what will happen to them. Can you sponsor more then one team?

There's FDJ-BigMat and BigMat-Auber 93 in France.

 

[Zinoviev Letter]

Vaughters interview at VN:

VN: Presumably the deal is good for budget too, making things a little easier going forward?

JV: Well, it doesn’t change our budget because when BigMat defaulted on that commitment, we were stuck in a situation where basically team owner Doug Ellis had to recapitalize. Over the next few years it will hopefully gets us into the position where we don’t have to go into debt to run the team any more. It doesn’t really change our overall budget, but it just puts us in a better position financially.

VN: How long is this deal for, and also what’s the situation with Garmin?

JV: Sharp is for the rest of this year and for 2013 and 2014. As for Garmin, they are in the game long-term.

That whole interview is pretty interesting, giving some details on their Tour strategy and also outlining minimum wage rises for riders.

The part about the budget that you highlighted is key though. Slipstream seem able to get these proper commercial sponsorship deals from multinational companies. But even with two big technology companies as name sponsors (and Barracuda still around too), we still are going to be talking about one of the smallest budgets in the World Tour.

So good news that a cycling team can attract real commercial sponsorship from major international companies. But bad news that sponsorship deals even from big brands at the going commercial rate are still going to produce a team with a budget way, way lower than the budgets of teams with national or rich hobbyist backing. Garmin (like Saxo Bank) seem to generally overperform for a team on their budget, but it doesn't change the fact that the commercial structure of the sport is warped by sponsors who don't really care about the market value of their investment.

 

[Armchair Cyclist]

It's good for both sides but I do find it a bit disappointing that Sharp have gone with Garmin. I was hoping they'd increase their sponsorship of the Rapha team. I wonder what will happen to them. Can you sponsor more then one team?

ISD were simultaneously connected with teams at different levels last year: I guess Rabo Continental are technically a different team from their WT big brothers. Plenty of cycling equipment companies must have multiple deals.

 

[taiwan]

And Argos, though not necessarily the same Argos

Yeah I went and bought a telly from them after seeing their name on the jersey of Degenkolb et al.

But I kid.

 

[TechnicalDescent]

I think it's a great combination.

Of course, for a long time Sharp was a famous sponsor of Manchester united. Could this be a message that Garmin sees themselves as the Manchester united of cycling?

 

[Marcus135]

This is awesome news that a company such as Sharp has come over to Cycling, hopefully they will look to stay with it for a long time period.

 

[Boeing]

2 threads, and about 300 posts for SaxoTinkoff, and nary a mention of the other new name sponsor today. Garmin join with Sharp

because JVs act is tired

 

[RedheadDane]

I'm predicting a lot of Stay sharp and Looking sharp! and similar Sharp related jokes!

 

[taiwan]

Noone had this up yet?

 

[happychappy]

Noone had this up yet?

That isn't Peter Noone. This is.

 

[taiwan]

sorry wrong mullet.

 

[Fourier]

Noone had this up yet?

That kit looks sharp! (you were right RedheadDane/GingerViking)

 

[Frosty]

Hopefully the kit change will mean a lot of Garmin-Barracuda kit already made will not be sold and there can be a good sale

 

[Andy99]

Noone had this up yet?

great to see JV pick up a blue-chip sponsor particularly after Big-Mat did the dirty. A blessing in disguise, in hind-sight I think.

Good kit. Looks better in the mick-up than in the flesh though - why did they reduce the font sizes of Sharp and Garmin?

 

[Machu Picchu]

great to see JV pick up a blue-chip sponsor particularly after Big-Mat did the dirty. A blessing in disguise, in hind-sight I think.

Good kit. Looks better in the mick-up than in the flesh though - why did they reduce the font sizes of Sharp and Garmin?

I'm not aware of the finances but why does Cervelo still get such prominence on side/back ?_?

 

[RedheadDane]

That kit looks sharp! (you were right RedheadDane/GingerViking)

It's a word-play that's just begging to be made!

I'm not aware of the finances but why does Cervelo still get such prominence on side/back ?_?

Yeah, I wonder if Cervelo might be one of the few companies which aren't name-sponsor but still has such a prominence on a team's kit. From above that's basically what you recognize them by that big freaking é.

 

[maxmartin]

a disaster for GS today
Tom D lost 9min, what happened?
When Farrar was involved in the crash, did they send two guys to pace him back? If so that is just plain stupid.

Guess they have to focus to protect Ryder as the only GC hope