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Major League Baseball and Verizon Wireless
Sponsorship Proposal
February 6, 2014
By:
Joseph Bennett
Leighton Foster
Justin Mumford
Brian Taylor
Haley Walker
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Table of Contents
Description of Major League Baseball-3
History of Major League Baseball-5
Description of Verizon- 6
History of Verizon- 7
Compatibility with Potential Sponsor-8
Target Market of Major League Baseball-10
Target Market of Verizon Wireless-13
Media and Promotion Plan for Verizon-15
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Description of Major League Baseball
Major League Baseball, also known as MLB, is a professional baseball league with 29
franchised teams across the United States as well as one team in Canada. MLB serves as the
home for “America’s pastime” in North America, and is considered one of four major
professional sports leagues in the United States. The league is, and has always been, the premier
professional baseball league in the world.
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MLB teams play in either the American League (AL) or the National League (NL). Both
were originally separate entities prior to joining together to form the MLB most fans
know today.
Unlike most major sports in the United States, the two leagues within MLB play with
different rules and positions. The AL plays with a position called the designated hitter,
which is a player who exclusively bats. On the NL side, rather than having a designated
hitter, the pitcher will bat his turn in
the order. Currently there are 15 teams
in each league.
The AL and NL each have three
separate divisions which comprise the
leagues.
MLB also oversees the Minor League
baseball system. This system includes
over 240 teams, which are affiliated
with various MLB clubs.
The MLB season includes a two month spring training prior to the 162 game regular
season and a 4 round playoff. The regular season typically begins on the first Sunday in
April and goes through the first Sunday of October.
The playoffs include 10 clubs with 5 coming from each of the two leagues.
In the 2013 season, MLB clubs averaged 30,514 people in attendance per game.
MLB has annual TV contracts worth $1.5 billion, and in 2013 had a total revenue of
nearly $8.5 billion.
The MLB is headquartered in New York City, New York.
http://mlb.mlb.com/news/article.jsp?ymd=20121002&content_id=39362362&c_id=mlb
http://www.forbes.com/fdc/welcome_mjx.shtml
http://mlb.com
The Commissioners Office:
Major League Baseball has seen nine different commissioners since its first took
office in 1921. Since 1998, Allen H. Selig, otherwise known as “Bud Selig”, has
held the prestigious office of the Commissioner. Since taking office, Selig has
been instrumental in implementing improvements to the game of baseball and
MLB, such as the ones below:
 Balanced schedule among all teams
 Introduction of interleague play
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Revenue sharing among clubs
Divisional formats in the AL and NL
Consolidation of administration of the AL and NL into the
Commissioner’s Office
http://mlb.mlb.com/careers/index.jsp?loc=ocb
http://mlb.mlb.com/mlb/history/mlb_history_people.jsp?story=com_bio_9
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History of Major League Baseball
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1869 MLB was founded with the establishment of their first professional team, the
Cincinnati Red Stockings.
1876 National League of Professional Base Ball Clubs is founded and will later
become the National League. Clubs are now allowed to enforce player contracts and
were required to play the full schedule of games.
1885 Western League is founded and would later become the American League.
1901 the AL attains Major League Status and the MLB, for the first time, consists of
the AL and NL.
1900-1919 Dead-ball Era when games were very low scoring and pitcher dominated.
1932 MLB teams fight the Great Depression by offering night games and broadcasting
games on the radio
1933 First All-star Game takes place as part of the World’s Fair in Chicago
1936 First Hall of Fame class is inducted, Ty Cobb earned the most votes in the
inaugural induction
1939 First Televised game
1947 Jackie Robinson breaks the color barrio with the Los Angeles Dodgers
1947 Fans vote players into the All Star Game
1958 The Dodgers and Giants move west from New York City. Both were an integral
part of baseballs popularity throughout the 50s and were prominent rivals. Once the
Dodgers decided to move to LA, they convinced the Giants to also move to keep their
rivalry alive.
1960s Baseball Expands into the South and West with franchises in Atlanta, Oakland,
Kansas City, and San Diego, among others
1960s First indoor game is played in Houston, Texas
1968 MLB lowers mound from 15 inches to 10 inches as a result of a particularly
dominant season of the pitchers in 1968.
1975 Free Agency begins as the MLB Players Association wins their battle to abolish the
old reserve system.
1979 First Million Dollar Player is pitcher, Nolan Ryan, with the Los Angeles Angels
1990s Steroid Use becomes rampant throughout the game as records, such as most
homeruns in a season, are shattered.
1994 The Wild Card is added to the MLB Postseason by Commissioner Bud Selig. This
would allow for an additional team from both the NL and AL to enter the playoffs.
1997 Interleague play begins, matching NL vs AL for the first time outside of the World
Series.
2003 All Star Game determines home-field advantage in the World Series
2014 Full Replay will now be in use for all regular and postseason games
http://mlb.mlb.com/mlb/history/index.jsp
http://espn.go.com/page2/s/list/baseball/shocking/moments.html
http://bleacherreport.com/articles/658928-mlb-power-rankings-top-10-moments-in-baseballhistory
http://www.baseball-reference.com/bullpen/History_of_baseball_in_the_United_States
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Description of Verizon Communications, Inc.
Verizon Communications is an American telecommunications and broadband company using
innovative network technology to connect people, companies, and communities around the
world. Verizon reaches customers in more than 140 countries, has a workforce of 183,400
employees, and now operates with a 4G service available to 89% of U.S. population.
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Verizon is the second largest U.S. telecom service, following AT&T.
Verizon also serves as the leading company in
wireless services.
Verizon Communications operates three separate
business units: Verizon wireless, Wireline, and
Verizon business.
Verizon is consistently viewed as one of the best
places to work in information technology,
including recognition for its supreme military
recruiting and hiring practices.
The company is also known for its sustainability, wanting to cut carbon intensity in half
by 2020.
The Verizon Communications headquarters are in New York City, New York.
http://www.verizon.com/investor/DocServlet?doc=verizon_corp_history_2013_v2.pdf
http://www.slideshare.net/SaurabhBarnwal123/verizon-communication-and-its-2014-strategy
Contact Information:
Address:
Telephone:
Fax:
Webpage:
140 West Street
New York, NY 10007
(212) 395-1000
(302) 655-5049
www.verizon.com
Products
Hand Sets
Accessories
Services
Calling Cards
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History of Verizon Communications, Inc.
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1984 – Bell Atlantic is founded - Verizon was founded as Bell Atlantic Corporation
after AT&T Corporation was forced to surrender their control due to an anti-trust
judgment.
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1997 – Expansion in NorthEast - Bell Atlantic merges with operating company,
NYNEX, to expand into New York and the New England states
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2000 - Bell Atlantic and Vodafone combine wireless operations to form Verizon
Wireless
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2000 – Verizon is born - Bell Atlantic merges with the largest independent telephone
company, GTE, valued at $52 billion
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2004 – Verizon is added to the Dow Jones Industrial Average
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2005 – Merger with FiOS - Verizon begins providing a fiber wireline phone service,
internet access, and television through FiOS. - first wrieless provider to offer a
nationwide broadband service
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2006 – Forming Verizon Business - Verizon acquires MCI, the second largest longdistance provider in the U.S.
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2006-2007 - Invested $34.6 billion to maintain, upgrade, and expand its technology
infrastructure
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2009 - Verizon Wireless purchases Alltel, expanding its coverage to nearly the entire
U.S. population
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2010 - Verizon Wireless launches its 4G LTE Mobile Broadband Network
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2011 - Verizon and Apple launch the iPhone 4, which had previously been exclusively
sold by AT&T
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2012 - Revenue totaled $115.8 billion -
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2013 - Verizon Communications agrees to buy Vodafone Group out of its U.S. wireless
business for $130 billion
http://www.verizon.com/investor/DocServlet?doc=verizon_corp_history_2013_v2.pdf
http://www.slideshare.net/SaurabhBarnwal123/verizon-communication-and-its-2014-strategy
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Compatibility with Potential Sponsor’s Image
MLB Image
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One of the “Big 4” North American professional sporting leagues
Traditionally considered “America’s pastime”
Rules and policies based in tradition
League with largest team payrolls in North American professional sports
Oldest North American professional sport
Rich history
Logo that inspired similar logos for other sporting leagues
Most statistics/data rich sporting league
League information/statistics/standings constantly change with games held every day
MLB is starting to modernize itself in terms of technology with recent changes involving
instant replay
Loyal fanbase
Boasts players from different countries all over the world
Strives to promote the best product of baseball in the world
www.baseball-alamanc.com
www.angelfire.com
www.statisticbrain.com
Verizon Image
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70% of Verizon subscribers use smartphones
Verizon continues to set the bar for cell phone coverage in the world
Generates more revenue than any other cell phone subscriber
Associated with great coverage across the country
Associated with reliability
Great coverage in highly populated areas
At the forefront of technological advances in its industry (as evidenced by being the first
to use 4GLTE coverage)
No other company has faster stream and download speed
Provides service to over 200 countries
Strives to promote the best cell phone/internet service in the world
The company is consistently on the rise as it has generated more wireless data (and thus
total revenue) each of the last several years
Strong commitment to investment: “from 2006-2010, Verizon invested more than $110
billion in capital expenditures and investments -- more than any other telecom or cable
company in America -- to maintain, upgrade and expand its technology infrastructure.”
“With its robust wireline and wireless asset base, Verizon is well-positioned to retain its
status as a global leader in communications services”
www.techcrunch.com
www.verizon.com
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Image Congruency
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Both companies are well respected in their industries
Verizon has extensive cell phone coverage in most areas containing MLB teams
Verizon’s great cell phone coverage would be great for MLB fans looking to keep up
with the league’s constant updates
Verizon would help with MLB’s technological push
Brands would be combining tradition with innovation
MLB would piggy-back off of Verizon’s internet video services increasing the quality of
MLB’s online product
Could incorporate Verizon’s phone services into the dugout phones in MLB, increasing
the quality and level of prestige in the sport
Commercials could be made depicting famous MLB managers and players using Verizon
phones/services during games
Cell phone mobile applications are the next big thing for sports media
Exclusive packages like recently seen between Sprint and the NFL that include game
highlights, statistics, and scores are good for both parties
Both companies would have millions of dollars to use in a sponsorship agreement
Verizon’s high speed streaming would be perfect for watching MLB highlights on mobile
devices
Both companies would benefit from the other’s large loyal fan bases
Both are marketing themselves as global brands and can help each other further expand
their customer base
Both companies strive to have the best product and service in their industry in the world
Both companies have strong competitors within their industries
The threat of new entrants is low in both industries
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Target Market of Major League Baseball (MLB)
Gender:
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Males make up 53.4% of MLB’s market share
Age:
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The largest viewing population of MLB games was the (50-64) age group making up 25.1% of
the market share
While the next highest age group who had a viewed at least one baseball game in the past year
was the (18-34) age group with 24.6%
The median age of the average MLB fan is 47
Income:
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The annual household income of the typical baseball viewer is between ($50,000 and $99,999)
with 32.5% of the fans reporting that as their income.
The next highest income per household was over $100,000 with 26.4% of fans reporting that as
their income.
Location:
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The largest viewing region of Major League Baseball is the South which has 34.3% of the
viewing population of at least one game.
The Midwest is the second largest viewing region at 24.7% viewership within the country.
Methods of Viewership:
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10,982,000 million fans viewed at least one MLB game online last year.
28,487,000 million fans reported following the MLB on Facebook
101,668,000 million fans follow the MLB via their television
SBRnet- http://www.sbrnet.com.prox.lib.ncsu.edu/research.asp?subrid=714
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Average Spectator Age
65+
50-64
35-49
Average Spectator Age
18-34
13-17
0.00%
5.00%
10.00%
15.00%
20.00%
25.00%
30.00%
Viewership Percentage by Region
Northeast
West
Viewership Percentage by
Region
Midwest
South
0
0.1
0.2
0.3
0.4
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Income of the MLB Market
Over $100,000
$50,000-$99,999
Income of the MLB Market
$25,000-$49,999
Under $25,000
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
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Target Market of Verizon Wireless
Verizon’s segmented market typically targets the high school women and men, along with the
young men and women working adults. These two categories typically range from the age of 1230. They are marketing towards proactive teenagers and business men and women who use their
phones to communicate with each other for personal and business purposes.
Verizon Wireless will target every demographic and psychographic around the world with their
products. There company is so large that it does not need to go after a specific portion of the
population. Verizon Wireless has done a tremendous job marketing itself in the cell phone
market by having the largest coverage area in the United States. It is also a sponsor of the
National Football League, which is the most popular sport in America at the moment. Verizon
has started to come up with new and exciting ideas for their product line.
Verizon Wireless has a huge impact over the cell phone industry.
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1.75 Billion cell phones were sold in 2012 (http://www.electronicstakeback.com/holdmanufacturers-accountable/about-the-industry/)
9.8 Million Smartphones were sold in the fourth quarter by Verizon in 2012
(http://www.imore.com/verizon-sells-98-million-smartphones-q4-2012-62-millionwhich-are-iphones)
To highlight Verizon Wireless Target Market more specifically
Race:
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71.1% of the users are Caucasian
11.6% of the users are African-American
12.8% of the users are Hispanic
Age:
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20.4% of customers are between the age of 5-19
19.7% of customers are between the age of 20-34
33.7% of customers are between the age of 35-59
Income:
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The median income is $58,733 for Verizon’s customers.
61% of the customers earn between $25,000 and $100,000.
Location:
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Headquarters –Basking Ridge, NJ
Over 2,000 company operated stores and kiosks
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The Verizon Wireless network covers approximately 99% of the population within
licensed U.S. territories.
http://www.broadbandmap.gov/about-provider/verizon-communications-inc./nationwide/
http://www.broadbandmap.gov/about-provider/verizon-communications-inc./nationwide/
http://www.broadbandmap.gov/about-provider/verizon-communications-inc./nationwide/
http://webcache.googleusercontent.com/search?q=cache:n5IEzphNdA8J:solutions.vzwshop.com/
ALeducation/files/Verizon_Wireless_Demographic_and_Contact_Information.docx+&cd=6&hl
=en&ct=clnk&gl=us&client=firefox-a
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Media and Promotion Plan for Verizon
Media
Technology has taken over the United States. These days to stay at the top you must be able to
reach people no matter where they are to give them the information that they crave be it with
television, the Internet, newspaper, radio, or social media. You must not only be able to reach
people with day-to-day reports, but with technology expanding you must be able to give fans
updates up to the minute or less. That’s why we believe that beginning a partnership with Major
League Baseball (MLB) would allow both the MLB and Verizon to reach an unprecedented
amount of mediums and bring growth to both of their images.
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Television
o MLB games are aired on a variety on stations including ESPN, ESPN2, FOX,
TBS, and the MLB Network.
o All MLB events aired, player/coach profiles, highlights, or MLB commercials
would include the Verizon logo.
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Internet
o Like all other Leagues of its kind the MLB has its own website called MLB.com
where you can find scores, news, video, standings, stats, schedule, players, tickets
and the MLB shop.
o In the top corner there will be a Verizon logo stating “The official wireless
provider of Major League Baseball.
The Verizon Logo would appear in the top corner
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Newspapers and Magazines
o Since the MLB has teams across the entire country, the logo for Verizon would be
visible in major newspapers in every big U.S. city.
o Also there are a variety of magazines that use the MLB in their stories so Verizon
will have full-page advertisements in magazines such as Sports Illustrated and
Baseball America.
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Radio
o For a long time now, Baseball fans have been able to listen to there favorite teams
play through the radio, whether it was back in the day on a local station or on
todays radio stations that can be heard anywhere around the country.
o XM radio and Sirius Radio have added a new dimension of fandom by starting
MLB Network Radio with 24/7 MLB talk.
o During radio broadcasts the sponsor Verizon will be mentioned during
commercials, MLB advertisements, and title sponsor advertisements.
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Social Media
o Major League Baseball is active on social media via Facebook, Twitter, and
Google Plus with direct links via MLB.com.
o Sponsor advertisements and logos will be seen on an array of items that are posted
on each social site, items such as pictures, videos, and gifs.
o Sponsor will also be mentioned and present in articles linked to the MLB through
each social network medium.
Promotional Opportunities
Verizon Fan Zone
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Sponsoring of the Verizon Fan Zone for both pre-game and in game as an area at every
MLB stadium across the country for both adults and kids to interact with the most up-todate Verizon products.
Take part in raffles and games for opportunities to win free Verizon products,
merchandise and gift cards.
Smaller Verizon Fan Zone sponsorship tents will also be in every concourse around each
stadium for additional Verizon giveaways.
In-Game Opportunities
Verizon Bullpen Phone
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Every time a team uses the Verizon Bullpen phone to signal in a new pitcher, one lucky
fan will be selected to win $100 worth of Verizon products.
At the end of the game Verizon will select a Relief Pitcher of the Game depending on
each pitchers performance, which will then be shown on television with the Verizon logo
along the top banner of the television screen.
Verizon T-shirt Toss
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During the 7th inning stretch at each game, there will be a t-shirt toss from the field up
into the stands to entertain the fans and keep them excited about the game.
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There will be 5 different helpers with t-shirt guns around the stadium where they will
shoot 10 shirts each into the stands.
Each t-shirt will have the logo of the home team on the front with a Verizon wireless logo
on the back of the t-shirt.
Promotional Plan
Hospitality:
Major League Baseball as an added incentive
to the partnership with Verizon would be willing to
provide the upmost hospitality to the Verizon
employees around the country. With MLB’s 30 teams
spread all around the country Major League Baseball
would pay for a luxury suite in each stadium for
Verizon to use for company business, or as an
incentive for employees to strive for.
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The suites would also include food and beverages for the users of the luxury suite, as well
as premium in-stadium entertainment including Verizon’s FiOS package, which would
include the cable, internet, and phone privileges
The cable in the suite as part of the Verizon FiOs package would broadcast all current
MLB games going on.
The Verizon’s FiOS package (being installed in all stadiums throughout) would be easily
accessible for all parties in the stadium, continuing the trend of putting Wi-Fi in stadiums
around the country.
The available Wi-Fi for fans around the stadium can allow for them to check in on other
MLB games across the country, while also communicate with others about their
experience at the game courtesy of Verizon.
Pre-Game Hospitality:
Verizon in partnership with MLB will have a pre-game “Verizon Tailgate” before preselected home games (with ten occurring at each stadium throughout the year)
In the tailgate it will give fans a chance to play popular games, while also winning prizes
such as Verizon t-shirts, and coupons for future services.
The pre-game hospitality would also provide an opportunity for fans to try out the
promoted Verizon FiOS system, allowing for them to try out the high speed internet,
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while also learning about the convenience of bundling their services with Verizon’s cable
deal, and also their phone package.
In-Game Hospitality:
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During the game Verizon will give out a t-shirt for every run scored by the home team,
while also selecting a lucky fan every game who will win a 6 month free trial of
Verizon’s services.
Verizon will have fan contests in between the 3rd and 6th inning, which will pit two fans
against each other in wacky races, or trivia competitions, with the winner receiving team
merchandise sponsored by Verizon.
Signage
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Verizon logos would be prominently placed throughout each stadium in MLB
A full page of every team program would be dedicated to Verizon and would include
information about its coverage packages and how to sign up
Each ballpark would have a section of its outfield marked with the Verizon logo
The major video display board in each ballpark will have the Verizon logo on a loop,
appearing every so often during stoppages of play/between innings/etc.
Select ballparks would put the Verizon logo on their dugout railings
The Verizon logo would be one of the logos displayed on the backstop flipping
advertisement scroll behind home plate in each ballpark that uses one
o This way Verizon would gain prominent television exposure
Banners would be displayed in every ballpark with the Verizon logo