Skandia pulling out of Cowes Week sponsorship

by Peta Stuart-Hunt on 21 Mar 2007 After a 14-year tenure as title sponsor of Cowes Week on the Isle of Wight, UK, long-term savings group, Skandia UK, has announced it will not be renewing its sponsorship once the current contract expires in August 2008.

The regatta organisers will now market this great British institution and world-class sporting event as a prime opportunity to alternative sponsors, the intention being to sign new partners in good time for the 2009 regatta.

Cowes Week has grown considerably since Skandia took on the title sponsorship in 1995 and the regatta now attracts over 1,000 boats, 8,500 sailors and around 50,000 visitors over the Week.

'Cowes Week has an international reach and a reputation that is second to none,' says Cowes Combined Clubs CEO, Stuart Quarrie. 'Skandia has been a fantastic partner for over a decade but the door is now open for another company to come on board and benefit from the opportunities presented from 2009 onwards. On the basis of an independent valuation, we have a good view of the value of Cowes Week to a potential sponsor.'

'After such a long time as key sponsors of Cowes Week, it’s very sad that this great association will end after the 2008 Event but the time is right for us to focus our resources on alternative sailing-related initiatives,' says Skandia’s sponsorship manager, Tim Sewell. 'We are leaving the Event in great shape and I have no doubt it will continue to go from strength to strength as the world’s premier sailing regatta.'

Skandia will continue to be a long-term investor in sailing through sponsorship of Skandia Team GBR, the team in training for Beijing 2008 and through other activities such as the Skandia Sail for Gold Olympic grade competition in Weymouth and as personal sponsor to the Star campaign team of Iain Percy and Andrew Simpson.

Cowes Week sponsorship enquiries should be directed to Cowes Combined Clubs on: +44 (0)1983 295744 or email: admin@skandiacowesweek.co.uk
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Q&A : COWES WEEK ORGANISERS

1. How will you go about replacing Skandia as title sponsor?
We know that Cowes Week is a great proposition for any potential sponsor and will be working with all companies interested in supporting us to identify the best solution.

2. If you don’t find a direct replacement, will this put Cowes Week in jeopardy?

We firmly believe that with two years until the end of the Skandia contract we will have found one or more partners to replace Skandia. Cowes Week sees its 181st anniversary in 2007 and there is no reason to believe the Event is in any jeopardy.

3. When will you have to have signed up a new sponsor to be sure that Cowes Week can continue in the same way in 2009?

By 2009, the regatta would not be the same irrespective of title sponsorship. Cowes Week evolves year on year. That said, we would be very disappointed if we hadn’t managed to sign new partners by the end of August 2008.

4. Have you got any sponsors lined up already to take over from Skandia?

At this stage, it is really too early to comment on who may take over from Skandia. We know that Cowes Week is a great proposition for any potential sponsor, and we will be proactively promoting this opportunity.

5. What is the investment level you are looking for from a new sponsor?

On the basis of an independent evaluation we have a good view of the value of Cowes Week to a potential sponsor and this is the basis upon which we will be entering discussions. The value that a sponsor obtains from Cowes Week will really depend on their objectives and their fit with the regatta.

6. Why do you think Skandia has pulled out of signing a new contract?

We have enjoyed a great relationship with Skandia and by the end of the contract this will have continued for 14 years which is an amazing sponsorship term by anyone’s standards. Cowes Week has been a huge success for Skandia in terms of helping them achieve their objectives and synonymy with sailing; however Skandia have reached a point where they feel the time is right to refocus their resources. We will be continuing to work closely with Skandia for 2007 and 2008, whilst looking forward to the exciting challenges ahead in taking Cowes Week forward.

Q&A : SKANDIA

1. Why has Skandia decided not to continue as title sponsor of Cowes Week?
After what will be 14 years of investment in Cowes Week, we feel the time is right for us to refocus our resources on some alternative initiatives. For example, in 2006 we took on title sponsorship of Skandia Team GBR, the team in training for Beijing 2008 and London 2012. For us to leverage our sponsorship of this through to 2012 will require significant resources and the timing was right for us to review our portfolio and make changes that will free up resources to help us support this initiative, among others.

2. How much money will you save by not renewing the Cowes Week contract?

This is not a cost-saving exercise - we will redirect our resources into other sailing-related sponsorship initiatives. Since 1995 the cost of supporting Cowes has increased significantly, in line with the growing stature of the Event. When we reviewed the options and considered our ambitions for other areas of our sailing sponsorship portfolio, we decided that our resources would be better directed at alternative initiatives.

3. What will happen to the Event after Skandia pulls out?

As to what will happen with the Event after 2008, that is a question for the organisers of the Event rather than Skandia. We would hope that anyone who has been involved with the regatta since Skandia took on the title sponsorship in 1995 will recognise the significant investment we have made into the event. This investment has helped to lift the Event to a world class standard and make it an attractive sponsorship proposition for many brands going forward.

4. Will Skandia’s decision to pull out mean that you will be winding down your investment in the event during 2007 and 2008?

Absolutely not. We are committed to supporting the Event over the next two years. We will continue to work with the Cowes Week organisers to help ensure this Event continues to flourish.

5. Will all the money Skandia saves by not supporting Cowes Week be directed at Skandia Team GBR?

Not necessarily. We will certainly direct some additional resources towards Skandia Team GBR but we are also considering alternative ideas. It’s too early to speculate about what these might be as there are two years of Skandia Cowes Week to run before we can focus on anything new.