Did Nike Really Gain From Tiger Woods' Scandal, as the Numbers Suggest? Last Updated Dec 14, 2010 8:38 PM EST From a financial point of view, Nike (NKE) was right to stick by Tiger Woods despite the scandal that enveloped him in 2009, but the fascinating new study that makes this case also suggests that when brands encounter controversy they ought to destroy the village in order to save it, so to speak.
That can't be right. Carnegie Mellon University's Tepper School of Business looked at Nike golf ball sales from the pre- and post-Woods scandal periods, in which most brands chose to sever their ties with Woods. The academics compared that to the effect Woods had on Titleist before and after he ended his endorsement of that company in 2000. Overall, the scandal cost Nike $1.7 million in sales and lost the company nearly 105,000 customers, the study shows: However, Woods' endorsement -- which cost $200 million -- was so lucrative to Nike that despite that decline the company still saved money* it would have lost had it abandoned the golfer: Trading card company Upper Deck says it stands by Tiger. By Michael McCarthy, USA TODAY Trading card company Upper Deck said it "Stands by Tiger Woods" in a statement released Tuesday.
Woods has served as an exclusive spokesman and autograph signer for Upper Deck since 2001. In the company's first public comments since Woods' Nov. 27 car crash triggered a flurry of reports about his alleged extramarital affairs, Upper Deck chief executive Richard McWilliam said that both the company's sports trading cards and memorabilia/collectibles divisions will continue their exclusive relationships with the world's No. 1 golfer. "We look forward to his eventual return to the PGA Tour," McWilliam said in a statement. AT&T ends Tiger Woods sponsorship. Tiger Woods tees off in 2007 during the AT&T Earl Woods Memorial Pro-Am golf tournament at Congressional Country Club in Bethesda, Maryland.
AT&T Inc. Picture: AP Source: AP TELCO giant AT & T is the latest company to decide to end its sponsorship of Tiger woods due to his troubled personal life. Woods is taking a long break from golf to get his life back together after revelations of multiple affairs, the break cited as a reason by other sponsors including Accenture to drop him. Woods has also been the host of the AT&T National PGA Tour event since it started in 2007. The company was able to soften its announcement by explaining that since Woods is on indefinite leave from professional golf, he will not serve as host for the 2010 event. Accenture drops Tiger Woods: 'No longer the right rep' EA Sports Keeping Tiger Woods As Face Of Franchise. Tiger Woods, Tag Heuer Split: Golfer Loses Luxury Watch Maker As Corporate Sponsor.
Buick hasn't been missing Tiger Woods - Burns on Business. Gillette benches Tiger Woods - Local News Updates. AP Photo/Gillette, Phelan M.
Ebenhack, File Tiger Woods helped to launch the Gillette Fusion Power Gamer razor during the Gillette-EA SPORTS Champions of Gaming Finals in Orlando, Fla. In February 2009. By Johnny Diaz, Globe Staff. Gatorade Drops Tiger Woods Drink. Tiger Woods' auto accident at his Florida mansion in the wee hours of the morning after Thanksgiving touched off touched off a media frenzy around the superstar golfer's carefully guarded private life, with numerous women coming forward claiming to have had a sexual relationship with him. Before that, the married father of two young children had a pristine image and raked in hundreds of millions of dollars in endorsements.
And, while most of Woods' sponsors continue to stand by him, a major one is pulling the plug on a Woods-related product. PepsiCo's Gatorade won't be making any more Tiger-themed drinks. The decision was made public before his recent troubles but, observes CBS News Correspondent Kelly Cobiella , the timing couldn't be worse for Woods. And now, In Touch Weekly says it has obtained e-mails between Tiger and Rachel Uchitel, the first woman linked to Woods.
Listen to the 911 call. Tiger Woods' Cheating Scandal: How Will It Affect His Endorsements? Tiger Woods has never shanked a drive this badly in his life.
First, Tiger was challenged by the outlandish accusations of the National Enquirer, then came the suspicious single-car accident early on Friday morning, and now reports in US Weekly of another affair have put Tiger in some of the deepest rough he has ever stumbled upon. The last encounter proved to be the tipping point for Woods, who released another statement this afternoon. In light of his most recent comments, in which he apologized to his family for any wrongdoings, one must begin to wonder if the lucrative sponsorship deals that made him the world's first athlete to amass $1 billion will be affected by the drama of this situation. We saw Nike drop Kobe Bryant for being unfaithful and Michael Vick for going Cujo on on some dogs. We saw Michael Phelps lose his deal with Kellogg's after going one toke over the line. But there was hard evidence in each of those cases. So much for that whole "scandal-free" thing.