News: Ambush Marketing

Ambush marketing occurs when a company signs on to sponsor an event as official sponsor, and a rival hijacks the consumer’s mind space through backdoor means. It is a concept that describes the actions of companies who seek to associate themselves with a sponsored event without paying the organizers. The ambush itself consists of giving the impression to consumers that the ambusher is somehow affiliated with the event. Ambush marketing can provide some, if not most of the benefits of a legitimate, paid-for sponsorship at relatively little cost. It thus, allows for tremendous publicity, piggybacking on major events without the procedural formalities or cost of being an official sponsor.

Growth of ambush marketing

The main reason for the growth of ambush marketing is the hype surrounding mega events like the Olympics, FIFA World Cup or the ICC World Cup. Previously, sporting events were not commercialized but of late sports events have become a leading business. The telecasting rights of a sports event runs into millions and with the emergence of such events, the rates of sponsorship are rocketing sky high. Smaller firms which cannot spend money on sponsorships are especially into ambush marketing. However, the bigger firms have also joined the bandwagon to cash in their sales as this marketing is cheaper and possibly more effective, given the lack of conditions and stipulations surrounding sponsorship.