TJ, this is why your K2 argument holds no weight...
- Thread starter BigbOYALA2
- Start date
errr....
Surely that makes it even more imperative to have top level representation?
They need a figurehead team, they don't have one at the moment.
Surely that makes it even more imperative to have top level representation?
They need a figurehead team, they don't have one at the moment.
I was actually interviewed for this research. My comment was that paintball had probably plateued at its long-term healthy level, while most of the paintball companies had assumed things would continue growing at the 20% per year they had been. Obviously that won't continue forever, and when it stops happening, you're going to have a period of unprofitability (since you're overextended expecting growth) followed by a realignment of your business to the long-term stable point.
A pro team wouldn't do anything for Brass Eagle - the vast majority of their sales are in outlets like Wal-Mart and to the rec crowd. It would be a waste of money to try and compete for the small tournament segment influenced by a pro team. I'd expect to see their sponsorship budget close to eliminated - at least as far as tournaments go.
Also keep in mind that their paintball division includes Challenge Park, which might be disproportionately dragging down their results.
A pro team wouldn't do anything for Brass Eagle - the vast majority of their sales are in outlets like Wal-Mart and to the rec crowd. It would be a waste of money to try and compete for the small tournament segment influenced by a pro team. I'd expect to see their sponsorship budget close to eliminated - at least as far as tournaments go.
Also keep in mind that their paintball division includes Challenge Park, which might be disproportionately dragging down their results.
http://biz.yahoo.com/bw/051010/105845.html?.v=1
That link is more informative, as it it's the original press release from K2 with comment on their paintball strategy going forward.
That link is more informative, as it it's the original press release from K2 with comment on their paintball strategy going forward.
While I'm not going to disagree--in fact I'm not sure I do--riddle me this.
What do you think of the marketing strategy of a prestige leader? Not unlike the Corvette is to Chevy, the Viper to Dodge and so on. None of these sorts of cars, despite their cost, make significant, if any, profit but it's generally believed they have value beyond simple dollars and cents as they influence the perception of a manufacturer's complete car line.
Couldn't the same argument be made in favor of supporting Pro teams? That they lend prestige to a whole product line beyond the specific products they use?
Doesn't most marketing presume that's true given the type of ads that predominate in pball media?
hahahahhahahahahahahahahahahahaha
they create inferior products, then wonder why no one buys their ****?
fools.
they create inferior products, then wonder why no one buys their ****?
fools.
Currently, no, because Pro teams don't reach the people who buy Brass Eagle's stuff.
The car thing only works because the people who know about corvettes are the same people who buy lower-end cars. The people who know about Dynasty are not the same people who are paying $100 for a complete setup at Wal-Mart.
Sponsoring a Pro team would make sense *IF* Pro teams reached a general market, but they don't.
That's the funny thing about paintball - these companies spend millions per year collectively sponsoring pro teams that play in two leagues, when they'd get more bang for their buck spending a half mil for an hour on one saturday on NBC on a well-produced program.
All they have to do is figure out how to produce a good program. Maybe they can pay Raehl a few bucks to do it for them.
Maybe sponsoring pro teams these companies reach their market which is tournament and serious/regular players. They spend some major $$$ for their gear.
The benefit for this kind of marketing would go to companies who produce cheap entry level gear or paintball parks. If a company didn't exist in this market I believe they would be hard pressed to spend any money on this. Even if there was a possibility that the company would benefit from this in the future, it would be a hard decision as there's no direct impact in the company's cash flow. Just a lot of very expensive question marks thrown in the air.
Interesting discussiong this
Chicago:
Do you have any hard numbers demonstrating what percentage of Brass Eagles turnover is derived from rec. and what percentage from the tournament cirquit - or are you just guessing?
Without any numbers, I would assume a significant part of the turnover is derived from companies like JT, WGP and Viewloader...
Nick
Chicago:
Do you have any hard numbers demonstrating what percentage of Brass Eagles turnover is derived from rec. and what percentage from the tournament cirquit - or are you just guessing?
Without any numbers, I would assume a significant part of the turnover is derived from companies like JT, WGP and Viewloader...
Nick