A recent announcement rang through the ears of UFC fighters and sponsors alike. Due to the seriously varied reactions and a personal interest in the development of this sport, I’ve decided to take a brief break from the top 10 tips series we’ve been going through to offer some thoughts on this intriguing “situation.”
Dana White has changed the perception of UFC since he took over as President 10 years ago; and many expect him to do much more within the next 10 years. It’s clear that some of the bold moves he and Zuffa have made are working, but at what cost? I’m sure many align the pair with the slogan: “it’s not personal, it’s just business,” or, “I’m not here to make friends, I’m here to make money
Consider the recent sponsorship related announcement for example; Condom Depot has been banned from sponsoring the UFC or its fighters. Their reasoning? Without interviewing we can’t be completely positive but based on history, there are just a few likely options.
- There’s a chance the UFC could end up with a network deal; obviously attractive to promoting the sport, and it’s quite possible the alignment of the UFC with sponsors such as condom depot might not help their chances. This issue points back to the concept of “mutually beneficial partners.” If the partnership inhibits the UFC from growing the way it wants to, it’s not a good deal.
- The second issue is somewhat related. Let’s assume the network is OK with Condom Depot on their station. It’s possible that White and Zuffa are concerned that there is a brand image problem here – and brand images can make or break partnership deals. The UFC image has to be OK with being affiliated with the brand image of Condom Depot… and in this case, they might be guilty by association. If they want to overcome the perception that UFC is barbaric and classless, it might not be the best idea to wear the “condom depot” logo on the back of their shorts. We scoff at the though of a football team wearing the Condom Depot logo on thier jersey's, and the UFC wants the same kind of regard from their fans.
But before I turn this into a one-sided argument for the decision, let me introduce the major reason for turmoil. Condom Depot wasn’t a sponsor of the UFC itself – but of the fighters. Hundreds of thousands of dollars were given to individual fighters, which the UFC saw not a penny of – even though it bears the “burden” of affiliation. These fighters are able to train and pursue their passion for fighting with their livelihood covered as a result of these individual sponsors, and needless to say, their personal paychecks will be seriously altered if they can’t find a replacement. The athletes are the ones most seriously penalized for this new ban, and so you can see why there’s such a mixed response to the decision. UFC might be making history, but thier fighters are wrapped up in a love hate releationship with Dana and Zuffa.
The UFC has major sponsors such as Bud Light, Harley Davidson and Burger King. These sponsors are not necessarily aligned with individual fighters, but they are UFC sponsors. Individual fighters aquire thier own sponsors seperate from the UFC sponsors; without which they might not be able to continue fighting. Dana and Zuffa have done a brilliant thing as well – which has likely also caused their athletes some pain, and that is by putting boundaries on sponsorships by offering exclusivity to its’ sponsors. We know from IEG’s reporting that exclusivity is one of the most preferred benefits to a sponsor, which is why I call this move brilliant. It’s why , however, despite a major “brawl,” Rockstar energy was not allowed as a sponsor either; at least for now, they weren’t banned like Condom Depot. So with these restrictions applying to the athlete sponsors as well (per their contracts), they have an even more difficult time acquiring the sponsors they need to proceed with their chosen careers. But will it keep the major players involved and weed out the underdogs? Perhaps. I’m not sure if this is a good thing for the UFC or not; the ring is certainly crowded with top talent, this might just be a way of weeding out the less aggressive contenders. The popular title holder, George St. Pierre from Canada is safe for the moment – he landed one of the first major sponsors as an individual fighter – Gatorade now aligns their brand with his image. And there’s talk that Nike is interested in a little UFC affiliation as well, I guess we’ll have to wait and see what happens next; I’m sure White and Zuffa won’t keep us in our seats for long.