How Does The Partnership Work?
It’s quite simple, really. Action Sports
Advertising works with the partner facility as their advertising
manager, managing the advertising properties and programs on
their behalf. Facility administrators simply provide space for
the advertising or sampling campaigns, supply information on
their facilities, and grant advertising exclusivity within the
facilities to Action Sports Advertising.
In exchange for being granted advertising exclusivity within
the facilities, Action Sports Advertising sets specific (but
conservative) performance minimums. Advertising mediums used
generally include rinkboard panels, walls boards, ice surface
advertisements, ice resurfacer sponsorships, lobby display boards
and sports field billboards, but can be tailored to the needs
and wants of partner facilities. Installations may be performed
by Action Sports Advertising’s trained installers or by
the facilities themselves.
Action Sports Advertising pays all Costs of Sales expenses (installation,
materials, sales commissions and maintenance) on behalf of the
partner facility, and then revenue shares a portion of the Gross
Profit back to the partner facility. In this regard, all revenues
to the facility are entirely expense free (for more on revenue
sharing, see the section entitled “How
Do Facilities Get Paid?”).
Facility administrators can be as involved or removed from a
partnership as they desire. While most administrators prefer
to delegate all responsibilities to Action Sports Advertising,
many work with Action Sports Advertising to promote the venture,
since they benefit directly from the success of the program.
In this way, the partner facilities and Action Sports Advertising
work together in an informal partnership. And as with any partnership,
facility administrators are empowered with a say regarding what
happens within their facilities.
What Is The Difference Between Partner Facilities And Associated
Facilities?
Partner Facilities
Partner facilities are facilities that have entered
into a partnership program with Action Sports Advertising (approximately
100+ facilities as of September 2003). Action Sports Advertising
assumes the role of Advertising Manager, and manages the advertising
properties and the entire advertising program on behalf of the
partner facility.
Action Sports Advertising actively solicits clients for their
particular facility(ies), including approaching local businesses
near the facility. Active solicitation of clients is not done
for associate facilities, which only receive ads on client initiated
campaigns. Partner facilities also have performance minimums
that Action Sports Advertising will meet, whereas associate facilities
do not.
Partner facilities must meet certain criteria to be eligible,
and must be located in a market that Action Sports Advertising
actively services (i.e.: has sales representation).
Associate Facilities
Associate facilities are typically those facilities
in markets where Action Sports Advertising has no active sales
representation, and therefore cannot market a particular facility
full time. Due to the nature of this arrangement, no specific
commitments can be made regarding performance, and Action Sports
Advertising may or may not be actively soliciting clients for
these particular facilities.
Associate facilities are listed as belonging to Action Sports
Advertising’s facility network, and clients choose the
markets and facilities they wish to be in. In this way, Action
Sports Advertising simply acts in the role of advertising broker
or advertising agent, delivering client initiated campaigns to
the organization as these opportunities present themselves.
Associate facilities that are in (or in close proximity to)
a market that Action Sports Advertising is actively servicing
(or plans to be in the near future) may be eligible for full
partner facility representation if circumstances warrant, and
where the facility qualifies. These facilities will be examined
on a case by case basis. Please contact Action Sports Advertising
if you feel your facility may fall into this category.
What Does Action Sports Advertising Do?
Setting up and managing an advertising program
is often more involved than it seems, which is why facilities
and user groups have generally had mixed results attempting to
do so on their own. Setting up and managing a program entails:
- Conducting market research
- Designing and producing marketing
materials
- Preparing facilities for advertising (designing
layouts and organizing existing signage)
- Hiring and training
sales representatives
- Creating a legal advertising contract
- Creating prospect lists
- Soliciting clients and making sales
- Preparing advertising
contracts
- Designing advertising layouts and discussing with
clients
- Sourcing out materials and signage suppliers
- Coordinating
production and shipping
- Determining installation methods and
training installers
- Managing inventories and coordinating
installations
- Invoicing clients
- Creating a program for follow up and renewing
existing clients
- Accounting for revenues and expenses
Action Sports Advertising works with the partner facility as
their Advertising Manager, and manages entirely, on their behalf,
this entire process, including accounting for and remitting shared
revenues to the partner facility.
What Is Expected Of The Partner Facility?
Facility administrators can be as involved or removed
from the partnership as they desire. At a minimum, facility administrators
simply provide space for the advertising and sampling programs,
and meet with Action Sports Advertising twice yearly to go over
the remittances. At the other end of the spectrum (and in the
most successful facilities), facility administrators are active
in promoting the advertising program to local businesses when
they are out in their community, and forwarding leads to Action
Sports Advertising.
What Happens With Existing Advertising Agreements?
Existing advertising agreements continue to co-exist
with advertising that Action Sports Advertising solicits. Facility
administrators retain the right to continue renewing existing
advertising agreements on their own, but are often turned over
to Action Sports Advertising to be managed and renewed.
Action Sports Advertising also grandfathers any existing category
exclusivity agreements. If there is a conflict between an existing
category exclusivity agreement and an advertisement that Action
Sports Advertising has solicited, the new advertisement is only
accepted if both the facility administrators and Action Sports
Advertising jointly agree to it.
What About Tournaments, Special Events And User Groups?
Action Sports Advertising recognizes that partner
facilities are in the business of renting their facilities to
user groups, not selling advertising. Accordingly, Action Sports
Advertising is committed to working with partner facilities to
ensure that the advertising program does not interfere with regular
operations of the facility, nor restrict the facility from hosting
and booking major tournaments and special events.
Action Sports Advertising also recognizes
that Non Profit User Groups are an important part of the communities
within which
we live and do business. Accordingly, special arrangements have
been made to accommodate tournaments and special events, and
provide signage and sponsorship opportunities for User Groups
of Action Sports Advertising’s partner facilities. Specific
arrangements include allowing user groups to (i) place group
identifying signage in the facilities at no charge through Action
Sports Advertising, (ii) sell annual corporate sponsor signage
through Action Sports Advertising at a premium or as part of
a larger sponsorship package to raise funds for their organization
(see next section for details) and (iii) recognize sponsors of
short term tournaments and special events at no charge (some
conditions apply).
Can Partner Facilities Or User Groups Sell The Advertising
Themselves?
In a word, yes, provided that Action Sports Advertising
remains the sole marketing agent for the partner facility, and
that all sales prospecting and transactions are processed through
Action Sports Advertising. Action Sports Advertising will still
manage and administer all prospecting, contracts, invoicing,
coordination of production and installation, payout of commissions
and sharing of revenues with the partner facility and/or the
appropriate user groups. Doing so in this fashion is in the best
interests of both the partner facility and Action Sports Advertising,
for the following reasons:
- It maintains a professional, consistent approach
to marketing this medium and the advertising opportunities
that exist
- It eliminates confusion for both clients and
prospective clients as to who is managing the advertising
program for
a given facility
- It ensures that different rates are
not being charged from facility to facility (unless warranted
by facility
attendance, location, profile, etc.)
- It ensures that
all partner facilities receive equitable treatment
Action Sports Advertising will donate to the organization between
5% and 15% of the value of any advertising space sold. It should
be noted that to be eligible to sell advertising space through
Action Sports Advertising on behalf of their local partner facility,
designated individuals must attend an initial training session,
and a minimum of one refresher training session per year. These
sessions will be provided by Action Sports Advertising at nominal
charge once or twice each calendar year.
Who Is Responsible For Installations And Maintenance?
Installations, repairs and maintenance are typically
the responsibility of Action Sports Advertising, where trained
installers come to the facilities and perform the installations
or maintenance for them.
Many partner facilities however, prefer to have their own personnel
perform the installations. Doing so eliminates the challenge
of scheduling time for an outside crew to come in, since the
facility personnel can install the advertisements at their convenience
and when time permits. Additionally, by performing installations
themselves, no installation fees are paid to an outside third
party, thus resulting in more money per advertisement for the
partner facility (see the section entitled “How Do Facilities
Get Paid?” for more information). If a facilities chooses
to perform installations in house, installations for larger,
multi facility campaigns will still be performed by Action Sports
Advertising‘s trained installers.
Maintenance and replacement of athletic facility
signage is virtually nil, and responsibilities on the part of
arena staff
are minimal aside from standard existing facility maintenance
(regular cleaning, screw tightening, etc.) and notifying Action
Sports Advertising if work needs to be done. Unless breakage,
damage or vandalism occurs (extremely rare), lifespans of signage
typically outlast advertiser contracts. When advertisers renew
a long term contract (i.e.: three + years), signs are inspected
and replaced as required. Action Sports Advertising will not
renew advertising contracts with advertisers who will not replace
advertisements that are worn, damaged, or unsightly. If a damaged
sign becomes a safety hazard, or interferes with the operations
of a facility, the sign is typically repaired or removed by facility
personnel, and the resulting cost is invoiced to Action Sports
Advertising.
How Are Installations Performed?
Installations for most mediums are quite simple,
due to the mounting methods and pre fabricated installation kits
used. Signage for Rinkboard Panels is printed either on styrene
for placement in behind a lexan sheet, or on a self adhesive,
peel and stick decal affixed directly to the surface of the boards.
Interior Wall Billboards are typically printed on corrugated
cardboard (“coroplast”) and mounted on walls using
traditional fastening methods.
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