remark July 2017 | Page 11

4 OUR THOUGHTS ON Is UFC dangerous for brands? The UFC has seen unprecedented growth since its inception in 1993. It now hosts over 40 events per year, shown in 120 countries and broadcasts to over one million viewers regularly. Furthermore, the announcement of UFC superstar Conor McGregor taking on Boxing legend Floyd Mayweather in August has elevated its popularity to stratospheric heights, firmly establishing the UFC as a mainstream brand. Indeed, it’s the rise of personalities like McGregor that has given the UFC its bite, establishing the brand amongst a growing audience, thereby attracting more and more commercial opportunities. But when it comes to a partnership with the UFC, what sort of stance should brands adopt? Should they dive in, or keep their guard up? The opportunity for brands to tap into the UFC is obvious – young adults, a simple audience and marketplace with few competing brands, and, increasingly, the chance to activate across the globe. But it’s important to understand how consumers perceive the UFC, to see which brands will find it an appropriate and commercially beneficial property to get involved with. Leo Burnett’s Sponsor DNA analyses customer perceptions of sponsorship properties and brands according to 14 key metrics allowing us to dissect the fabric of a property. This evaluation shows us that the UFC over-indexes against all other events on perceptions of "innovation", "uniqueness" and "popularity" – a green flag for brands looking to strengthen their own brand perceptions in those areas. These findings could pose exciting opportunities for brands such as Microsoft and Omega, who similarly are perceived as highly innovative and looking for new, interesting ways to push their standing as forward-thinking brands. Contrasting the UFC, and sports like it, with more traditional sports and events highlights just how innovative and fresh consumers think it to be. For example, the Premier League, The London Marathon and The Football League are completely outscored on innovation – 10% below the average, compared to events like the UFC and Formula E, which are 15% above. Reebok’s relationship with the UFC stands out as an example of the right dynamic between sponsor and property. They have, quite simply, captured the market, negotiating complete ownership of the fighters in their category, including clothing, equipment and authority over any personal sponsorship deals fighters have in place. Another example is Samsung, a brand for which innovation is critical. Samsung has recently moved to capitalise on the UFC opportunity with a partnership announced in May that will allow fights to be live-streamed through their new GEAR VR headsets. In short, the UFC is a promising and relatively untapped market for sponsors, presenting a tremendous opportunity for brands looking to align themselves with a sport that encapsulates innovation within the mainstream; as long as their values align with the UFC and they can summon best-in-class activations to make the most of the platform. And yet, no matter how accepted it becomes in the mainstream, this bloodthirsty sport will always be a punch too far some brands to step into the Octagon.