Tire firms turn up marketing creativity during sports void

When it comes to marketing, sports and tires fit like a hand in an auto racing glove.

But when there's no sports, there's really not much sports marketing.

As COVID-19 essentially shut down society earlier this year, the idea of live sports with large gatherings quickly was cast aside. And when they ground to a halt, so did the opportunity for tire companies to keep their names front-and-center at both live events and through television and radio coverage.

Many sports have long delivered key demographics for tire makers, giving companies the exposure they want to the audience members and potential customers they seek.

Motorsports and tires, in particular, are a natural combination—a marketing marriage that has stood the test of time. Not only do manufacturers create and supply tires for various racing leagues, but they also use race coverage to promote their products to the general public.

With the suspension of live sports, leagues and marketers started to pivot. There were programming hours to fill and millions of sports fans going through withdrawal on their living room couches. Case in point: live Korean baseball started showing up at one point in the wee hours of the morning, complete with remote English commentary.

And virtual sports, also called e-sports, gained traction among the uninitiated. That's where Cooper Tire & Rubber Co. saw an opportunity.

"Coronavirus has had a significant impact on sports entertainment as the country experienced lockdowns and events were postponed or canceled," said Chris Pantani, director of motorsports at Cooper Tire. "However, we are fortunate to have sports sponsorships with partners that have been very innovative throughout the coronavirus pandemic and have found new ways to reach audiences hungry for sports entertainment,"

The Road to Indy, a drive development program for IndyCar racing, went virtual with two separate, five-race, e-series championships using race simulators.

"The e-series races allowed drivers from Indy Lights Presented by Cooper Tires, the Indy Pro 2000 Championship Presented by Cooper Tires and the Cooper Tires USF2000 Championship to compete against one another using race simulators," Pantani said.

"Fans could tune into the races to continue to be engaged in the sport while the e-series also allowed drivers to continue to compete and get experience on virtual versions of well-known racetracks," he said.

Virtual race cars used Cooper-branded tires, giving brand exposure to fans in a new way.

Rethinking a return

Back in March, when the virus began to grab attention, the NBA abruptly shut down after its first player was diagnosed with COVID-19. Up until that point, the NBA, like other sports leagues, was trying to navigate a path forward.

Months later, even with a recent spike in COVID-19 cases, the NBA is moving ahead with plans to resume play in isolation at Disney's Wide World of Sports complex in Orlando, Fla.

The league is not alone in making efforts to return. Kumho Tire USA Inc., an official NBA partner, is looking for ways to fold its marketing efforts into a non-traditional sports season.

"With the social distancing guidelines and the pause of the NBA season, we have had to shift some of our initiatives. Obviously, there weren't any games being played so our hospitality efforts were halted and we made the strategic decision to place a hold on our media activations with the NBA, which includes advertisements and content series on NBA.com and NBATV.com," said Chris Han, marketing manager at Kumho Tire USA Inc.

"Now that the plan to resume and conclude the season has been set, our media plan will be restructured and launched to run through the rest of the season and playoffs/finals. We are also currently collaborating with the NBA on new activations that are available that align with the changes to the overall season," he said.

Despite the challenges COVID-19 has placed before the NBA, Kumho is staying the course.

"Our sports marketing efforts will continue as planned. We are in the first year of a recent partnership extension with the NBA that will go through the 2024-25 season. With the future of live games where fans can attend being unclear, we will be consistently strategizing with the NBA on how we will shift our initiatives to different opportunities that are discovered during this unprecedented time," Han said.

"There is great value in our partnership with the NBA, so we will continue with our planned investments. The only change will be how we activate around the partnership itself," he said.

Working well with sponsors is critical, especially now, Pantani said. Marketing is limited, not only for the tire makers, but also for the leagues themselves. By striking a balance and working together, both parties can benefit, he said.

"A key takeaway from this situation is the importance of having strong working relationships with your sports organizations and together developing contingency plans or new areas of attraction to benefit both the sport and your brand," Pantani said. "This partnership can only benefit both the sponsor and the sport, and help you weather the storm together."

Finding the right hook

Travis Roffler, marketing director for Continental Tire the Americas L.L.C., sees sports as an important way to connect both the Continental and General Tire brands to potential consumers.

The company's year-round efforts include partnering with ARCA Racing, Major League Soccer, the men's and women's U.S. national soccer teams, individual college basketball programs and even Major League Fishing.

"For the General brand, fishing makes sense because we are predominately going after a light truck market," Roffler said. "Viewers of MLF on TV are somewhere between three and four times the average American to own a truck."

On the Continental brand side, college basketball and professional soccer provide year-round marketing opportunities as their seasons complement one another. Continental has deals with 37 well-known college basketball programs for their seasons that stretch from fall to spring. And spring is when MLS typically starts hitting the pitch for a season that lasts until late fall.

"They pair well together and they don't overlap with each other. By the time you get into March Madness, soccer kicks up," Roffler said. "We literally have the Continental brand with athletic support for 100 percent of the year."

But thanks to COVID-19, that has not been the case this year.

MLS, like the NBA, is looking to resume play under controlled conditions and without spectators at a central location—again the Wide World of Sports complex in Orlando. Continental will be there, too, even if there are no fans. The company's advertising will be featured during game telecasts, using both actual field boards commonly placed around soccer fields and virtual signage within the telecast.

Joining with soccer and college basketball allows the company to target the Tier 1 premium segment of the consumer market for its Continental brand tires.

Despite challenges that COVID-19 brings to sports and sports marketing, Roffler said the leagues have been honest with the company about navigating the situation. That honesty is critical because, even under the best circumstances, sports marketing is not easy, he said.

"There's a lot to it, I'll tell you. Sports is a challenging area that we have to navigate through," Roffler said. "Out of everything we do, it's not as simple as just writing a check and putting up a sign."

Reaching new customers

A tried-and-true approach for Continental has been direct consumer engagement at sporting events. The company has a truck that travels around the country during the MLS season allowing employees to engage customers at stadiums, offering chances to win prizes and receive promotional items.

This kind of direct contact with consumers, while expensive, is effective in attracting new customers, according to the marketing director.

"The average fan—outside of racing—is not really engaged with their tire company," Roffler said. "Replacing your tires is like a root canal for a lot of consumers."

That makes on-site contact a key for Continental. By engaging customers at soccer matches, they become more enthusiastic about the brand, he said. A popular giveaway at MLS stops is a co-branded scarf featuring both the home team and the company.

"In our studies, we see a tremendous increase in the propensity to purchase when you engage with the fan," Roffler said.

Like Continental, Bridgestone has seen the impact that sports can have on marketing efforts.

Bridgestone's sports marketing includes partnerships with IndyCar racing, the National Hockey League, the National Football League, the Olympics and the PGA. That diversification is key, according to Amber Holm, Bridgestone Americas Tire Operations' vice president of marketing, consumer and customer engagement in the U.S. and Canada, because sports have a way of driving consumers to the Bridgestone and Firestone brands.

"Those aware of our sponsorship in fans of those sports are much more likely to consider and plan to purchase Bridgestone tires versus the general population," Holm said. "First and foremost, we feel like it makes a big difference with our target consumers, so that makes them familiar with the brand and drives them into the store."

That connection to the customer makes sports marketing essential, even now. That's why Kumho is working to keep the connections open.

"We have not moved any dollars away from sports marketing, but we have placed an initiative around social influencer marketing, and have recently launched a new consumer facing website and dealer portal," Han said. "It has been a challenge in that there has been a slight drop in fan engagement around the NBA with the season being on hold, but with strong media content and active social and digital programs, we have still been able to reach our audience through the NBA."

The bulk of Kumho's marketing budget centers around basketball and the NBA, including an individual team sponsorship of the Atlanta Hawks. The team also employs individual players, has a relationship with the NBA's developmental G-League and supports USA Basketball.

"We have seen significant increases in brand awareness (year over year) over the past six years that we have been a partner of the NBA," Han said. "There is great value in our partnership with the NBA, so we will continue with our planned investments. The only change will be how we activate around the partnership itself."

As sports do return, tire makers expect the marketing opportunities to have a big impact.

"You can see there's a lot of pent up demand for sports," Holm said. "People have really missed sports here in the U.S. and realize really what a key piece of fabric of our society and their lives it is."

Bridgestone wants to grow its brand this year, but wants to accomplish that "in a way that's appropriate for the times we're in. I think we're welcoming sports back on the air," Holm said.

Don Detore, Tire Business staff, contributed to this report.