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The Fedex-crement just hit the fan!


Aw Jeez
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25 minutes ago, Aw Jeez said:

Tail wagging the dog here.  

Very weak and short sighted by the PGA Tour, IMO.

http://www.golfchannel.com/news/golf-central-blog/tours-fedex-entension-includes-exclusivity-clause/

 

 

At least they grandfathered in existing players, but it's still a little weird. Basically, no player will sign an endorsement deal with UPS going forward...

- John

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What happens if UPS somehow signs DJ, Jordan Spieth, or Rory to say $2mil (or more) per year to wear the patch?

And during the year, one or more of them are in the top 10 (or leading) come Fedex playoff time.

If you're DJ or others, maybe you take the $2mil+ guaranteed from UPS and let the underlings fight it out for the Fedex $10mil.  

This is gonna start to stink at some point.    

Might be a good idea for the USGA, PGA of America, and PGA Tour to take a look at how you build a brand.  https://www.forbes.com/sites/mikeozanian/2015/04/11/how-the-masters-leaves-200-million-on-the-putting-green/#1b68a76a449c

 

 

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1 hour ago, Aw Jeez said:

What happens if UPS somehow signs DJ, Jordan Spieth, or Rory to say $2mil (or more) per year to wear the patch?

And during the year, one or more of them are in the top 10 (or leading) come Fedex playoff time.

If you're DJ or others, maybe you take the $2mil+ guaranteed from UPS and let the underlings fight it out for the Fedex $10mil.  

This is gonna start to stink at some point.    

Might be a good idea for the USGA, PGA of America, and PGA Tour to take a look at how you build a brand.  https://www.forbes.com/sites/mikeozanian/2015/04/11/how-the-masters-leaves-200-million-on-the-putting-green/#1b68a76a449c

 

 

On the flip side, will players pass up offers to wear patches because they would be prevented from playing?

I have often wondered how a business figures out the worth of these endorsements.  Let's say they pay DJ 2 mil a year to wear a UPS patch.  Are they really going to see such a substantial increase in revenue to justify that?  That sounds improbable.  But then again I'm not a business guy.

"No man goes round boasting of his vices,” he said, “except golfers." 

-- Det. Elk in The Twister by Edgar Wallace

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If UPS, DHL or any others that are affected by this have any sponsorship of any event related to the PGA the I think they would just walk away and look to spend those marketing funds somewhere that they are welcome.

I know that there have been high profile conflicts between player and event sponsorship in the past - most memorable to me was Jordan being Mr. Nike and Team USA wearing I think Adidas. They figured a way for MJ to play and he draped himself in the flag to cover the logo, and everyone found a way to play together.
Or this - When coach K blocked Dwights Adidas shoes in the team photo
CnqyxTNUMAEzjNs.jpg

Players play, tough players win!

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I want to say I'm surprised the PGA Tour went for that, but I'm really not. It's more bizarre to me than anything. 

In my bag:

Driver: Titleist TSi3 | 15º 3-Wood: Ping G410 | 17º 2-Hybrid: Ping G410 | 19º 3-Iron: TaylorMade GAPR Lo |4-PW Irons: Nike VR Pro Combo | 54º SW, 60º LW: Titleist Vokey SM8 | Putter: Odyssey Toulon Las Vegas H7

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On 5/14/2017 at 11:28 AM, krupa said:

On the flip side, will players pass up offers to wear patches because they would be prevented from playing?

I have often wondered how a business figures out the worth of these endorsements.  Let's say they pay DJ 2 mil a year to wear a UPS patch.  Are they really going to see such a substantial increase in revenue to justify that?  That sounds improbable.  But then again I'm not a business guy.

Especially a company like UPS lol.  How often does the average joe need to use a shipping company and is a Lee Westwood fan really gonna say "oh well i better use UPS" lol.  Like I said we aren't talking about Tiger Woods being a walking Nike billboard or Phil and Callaway drawing people to buy Nike and Callaway...

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13 hours ago, Chris223 said:

Especially a company like UPS lol.  How often does the average joe need to use a shipping company and is a Lee Westwood fan really gonna say "oh well i better use UPS" lol.  Like I said we aren't talking about Tiger Woods being a walking Nike billboard or Phil and Callaway drawing people to buy Nike and Callaway...

Same can probably be said for Fedex.  How much $$ are the throwing out there into PGA Tour land?  Does anybody know how much $$ Fedex is spending to host the PGA Tour end of season (and somewhat weak) playoff format?

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All of this hand-wringing over what amounts to nothing cracks me up.  This is standard practice, nothing to see here.  The tour did the right thing by grandfathering in the existing players.  

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20 hours ago, Chris223 said:

Especially a company like UPS lol.  How often does the average joe need to use a shipping company and is a Lee Westwood fan really gonna say "oh well i better use UPS" lol.  Like I said we aren't talking about Tiger Woods being a walking Nike billboard or Phil and Callaway drawing people to buy Nike and Callaway...

Thing is, everybody on here knew who UPS was, even if they have never used the service. Its all about promoting/protecting the brand.

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I think FedEx has realized that the amount of $$ they have committed to the tour and the failed playoff system is idiotic, but by throwing in this kind of clause it at least makes them feel better about re-upping on a failed investment for the next 10 years.

Like Chubby said, the biggest issue is the can of worms this could potentially open up.

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I am not a fan of FedEx. However, I do very much like the title of this thread. :-P

In My Bag:
A whole bunch of Tour Edge golf stuff...... :beer:

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The title of this thread is solid gold. 

But the chances of this sponsorship agreement effecting a top player is almost nil. If it does by chance does, the tour will alter the agreement. 

Edited by Groucho Valentine
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I can guarantee that if Rory, DJ, Spieth, or some other big name ends up signing with UPS for some reason that the tour will allow them to play in the Fedex cup.

It would be an interesting strategy for UPS to try and sign one of the big players now. If they did, they could potentially expose one of their competitors to a fair amount of bad press if the player is barred from playing or if Fedex raises a stink about the matter. The risk is that it could backfire on them and give them the negative press depending on how the media spins it (whether they play it as Fedex trying to hurt the players, or if they view it as UPS hurting the players).

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(edited)
On 5/17/2017 at 0:22 PM, Pretzel said:

I can guarantee that if Rory, DJ, Spieth, or some other big name ends up signing with UPS for some reason that the tour will allow them to play in the Fedex cup.

It would be an interesting strategy for UPS to try and sign one of the big players now. If they did, they could potentially expose one of their competitors to a fair amount of bad press if the player is b

Read more  

Excellent point, and I agree.

I would like to hear about the similar agreements in other sports some here have talked about, and how it is working.

 

Edited by Aw Jeez
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Note: This thread is 2527 days old. We appreciate that you found this thread instead of starting a new one, but if you plan to post here please make sure it's still relevant. If not, please start a new topic. Thank you!

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