Wednesday, March 9, 2011

A Question Of Basketball Money.

The most common reason why companies buy PBA franchises is for the advertising mileage. When you have a team playing the country's "national" sport, you build tremendous goodwill, foster talkability and create awareness amongst the patrons and consumers, which you can parlay to a "brand in mind, brand in hand" strategy.

Which is why I understand why teams like Coca Cola, San Miguel, Rain Or Shine, Ginebra, Alaska and other consumer-driven companies field teams. After all, the business world is a dog-eat-dog world and they have to do anything and everything to get a leg up on their  numerous competitors. If having a team means people will buy your drink, paint, food or goods, so be it.

However, I am disturbed by the presence of companies who are veritable monopolies. Why would they need the advertising mileage? It's not like they have competitors to beat into the ground.



Take the case of the Meralco Bolts. If they don't have a PBA team, would you still use Meralco's electricity? Of course you would! It's not like you have a choice right? Even if they never advertised at all, you'd still use their product.

So why the hell are they spending millions of pesos setting up a PBA team? (also, did you notice that your Meralco electric rate went up? I'm just saying)

And now, we have the NLEX Road Warriors buying a PBA D-League franchise. Why, for God's sake, why? Does the NLEX have any competitors? The SCTEX maybe? Anyways, I am eagerly waiting with bated breath if NLEX rates will shoot up. If it does, well...I'm just saying we may be taken for a ride we don't want to take.

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