Imaging brand Kodak has announced that it intends to end its role as the offical imaging sponsor of the Olympics after next summer’s games in Beijing. The brand has been associated with the event right back to 1896 when it ran ads in the event’s programme. It cites a change in marketing tactics as its reason behind the change in strategy. Kodak says that while the Olympics are great for building a global brand, it needs to look at activities that “more directly connect” it with consumers.
This is an interesting development. The company has been undergoing a transformation for several years as it tries to catch up with the change in its market from film to digital technology. It has amassed nearly $3.2 billion in restructuring charges and accumulated $2.1 billion in net losses over the last 11 quarters. Its workforce will slip to around 34,000 at year-end, half what it was five years ago, according to Reuters.
So does this mean that the brand can no longer afford to spend this kind of money on brand building and sponsorships? Or is the company simply attempting to move its brand building from general awareness to specific understanding of what it can offer – something best done in a more direct way? And does this offer a chance for one of its rivals, such as Canon, to move in and take a plum branding opportunity?
Let us know your thoughts.
