Photographer: Priscilla Westra
“Scotiabank’s record-setting $800 million deal for the naming rights to the building that houses Toronto’s Maple Leafs and Raptors is a major move that shifts the sports marketing landscape, but it isn’t without risks, experts say,” wrote Pete Evans for CBC News on September 4, 2017.
Evans continued, “Under terms of the deal announced last week, the bank will pay a reported $40 million a year for the next 20 years to rename the building known as the Air Canada Centre to the Scotiabank Arena.
The price tag is enormous — more than 10 times what Air Canada paid for the inaugural rights nearly two decades ago — and head and shoulders above similar deals elsewhere in the country.
But it’s a premium price for a premium product, branding and marketing expert Tony Chapman said in an interview with CBC News. “I’m a big fan of this deal,” he said. “Sports is one of the last remaining franchises for live eyeballs, and people pay a big premium to be attached to any kind of sport — especially something like hockey in Canada.”
Scotiabank has been tying its brand to hockey for several years, with sponsorships of kids’ hockey programs, a presence with Hockey Night in Canada, and other naming deals with NHL barns in Ottawa and Calgary.”
Read the full article here.
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