This report is designed to show the recent increase in ambush marketing, and how it can devalue official sponsorships of major sporting events. In recent years, companies have been leveraging themselves against competitors by portraying their brands as sponsors of events when they have not paid to associate themselves with the event. This practice of ambush marketing is illegal and this report is emphasizing …show more content…
In an article from the Wall Street Journal (WSJ), in 1992 during the summer Olympics, American Express bought ad space and ran commercials saying, “You don’t need Visa to get you there.” Visa was the official credit card of those summer games. AMEX used their time on TV to show viewers that they were associated with the summer games, and they used their time to leverage themselves over Visa, who paid millions to be considered an official sponsor. This strategy causes other companies to “jump on the bandwagon” and try to leverage themselves as well, while it causes companies who are official sponsors to back out of any future contract due to the lack of …show more content…
They do not have to pay the huge fees associated with sponsorship and are sometimes able to trick consumers into thinking that they are an official sponsor of that event. Companies can take the money they save from not paying the sponsorship fees and put it towards creative marketing campaigns or use it to revamp current campaigns. Another reason that companies use ambush marketing is that it is very difficult to be proven guilty in court. Therefore, many official sponsors are reluctant to take complaints or allegations of ambush marketing to court. Ambush marketing is technically illegal, but very few cases have actually gone to