NEW YORK— A noticeable trend has developed in the industry with regard to marketing strategies that, for those hotel brands in tune with their identities and consumer demographics, is fetching considerable incremental revenue. Specifically, a growing number of hotel brands are developing partnerships with and/or sponsorships for various sporting groups/celebrities that tap directly into parallel target consumer segments. For example, Starwood Hotels & Resorts recently teamed up with the National Hockey League (NHL) and the National Hockey League Players’ Association (NHLPA) in a multi-year agreement that allows Starwood— and particularly its Sheraton Hotels brand— to support high profile league events such as the NHL All-Star Weekend. The company also inked a marketing partnership with Nike Golf, creating an alliance for golf equipment and golf vacations— a deal that stemmed from its ongoing relationship with the PGA Tour (since 2000). Others too are getting in on the action. Cendant’s Knights Inn chain recently said it would sponsor driver Kerry Earnhardt for the entire 2003 NASCAR Busch Series and in select NASCAR Winston Cup Series races in 2003. Meanwhile, major players such as Marriott International and Choice Hotels International have leveraged the power of sports by developing advertising campaigns with sports celebrities. It’s a no brainer, really, according to a handful of hotel marketing executives with various companies that have already forged relationships, since these deals pack a lot of bang for their buck. While most hotel executives agreed that sports partnerships “involve significant costs,” they also deliver— almost instantly— some highly coveted attributes such as national exposure and increased awareness among target consumer segments, most of which are highly loyal to their sport. Before you go out and link up with a sports name, however, do your homework. It is important that the relationship formed is with the right sport or celebrity in order for the hotel brand to reap the benefits, warned some marketing executives. The strategy works best when it matches up comparable demographic consumer segments for both the hotel brand and sport. Tapping into new consumer segments using this marketing method may be tricky, said experts, since the consumer segment may find the relationship unbelievable, awkward or forced upon them. Knights Inn looked at a myriad of sports-related activities before it selected NASCAR, noted Anthony Falor, president. “We checked out hunting, fishing, basketball, but felt NASCAR was the best match-up,” he said. In 2001, the brand backed NASCAR Craftsman Truck Series Champion Mike Bliss in what Falor called a “very successful” partnership that resulted in considerable incremental revenue for the chain. So they decided to up the ante this year. How does Knights Inn know for sure what kind of revenue the partnership generated? “The proof is in the pudding,” Falor said, adding that the chain gave special rate codes for the promotions it ran in conjunction with NASCAR and tracked those bookings throughout the year. A “Rev It Up” Sweepstakes that tied in with NASCAR saw 100,000 entries in a 60-day period. Knights Inn plans to do a similar sweepstakes this year, and will cross-market with other sponsors of the car. As for Starwood’s partnership with the NHL, the alliance taps into a key consumer demographic attracted by the sport— affluent business travelers. “Sheraton’s partnership with the NHL provides us countless opportunities to reach our target demographic… in key U.S. and Canadian markets where Sheraton boasts more than 200 hotels,” said Norman MacLeod, executive vp of Sheraton Hotels & Resorts. The marketing portion of the agreement calls for Starwood to support league events, as well as advertise in USA Today’s NHL-themed bonus sections and through NHL publications. Also, a Starwood/NHL Award of the Month will be developed. In addition to the marketing
