Strategies for Football Clubs - Why and how to use Amazon Brand Stores. Or not.
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Ladies and Gentlemen, Table of Contents dear readers, Growing up in Germany in the late 90s, there always has been this one foot- ball club that dominated German football: FC Bayern Munich. Set out to win their tenth championship consecutively, this club continues to dominate the pitch and in financial terms. Other teams struggle to bridge the gap to the Chapter 1 Page 4 leading Bavarian team. Intro to the topic Living in 2022 by now, new and digital markets have emerged, providing teams with sales opportunities apart from the matchday. Amazon, whether Chapter 2 Page 6 you like it or not, is the top online shopping platform in the European mar- ket, almost every citizen shops at Amazon. With the Brand Store, Amazon Overview - What is the status quo provides an opportunity to sell the merchandise of football clubs almost in the world of football? worldwide. As I engaged myself with the possibilities of the Amazon Brand Store, one Chapter 3 Page 14 Published by FBIN idea began to float in my head: How to build an Amazon Brand Store Thomas Maurer e.U. Dietenberg 205/4 8563 Ligist Huge football clubs are very much like a lot of big companies: They tend to move slowly in pursuing new marketing opportunities and often rather join Chapter 4 Austria www.footballbusinessinside.com or defend well-established markets than taking risks by investing in emerging Advantages and disadvantages of Page 16 markets. In doing so, this creates opportunity for small and medium-sized Responsible for the clubs to fill these voids. Amazon Brand Stores content Nils Lappahn nils.lappahn@tuskoblenz.de In my opinion, competing teams should focus on areas, that aren’t already dominated by the giants. With this report, I’ll hope to provide you with use- Chapter 5 Page 18 Layout ful information to help you decide, if the Amazon Brand Store offers a new Interview with Viraphong Vongpraseut, Thomas Maurer opportunity for your very own club and give you a head start to competing TSG 1899 Hoffenheim maurer@footballbusinessinside.com clubs. All contents of this publication are protected by copyright. No part of Good luck and best regards, Chapter 6 Page 20 this publication may be reprodu- Summary ced in any form or by any means without written permission. FBIN accepts no responsibility for the correctness, completeness and up-to-dateness, nor does FBIN pay any damages. Responsibility for the content of advertisements lies solely with the respective authors of the adver- tisement. Nils Lappahn Further information can be requested nils.lappahn@tuskoblenz.de at office@footballbusinessinside.com 2 3
Chapter 1 Intro to the Topic The business of football is subject to constant managers to operate their own online shop and club shop on Amazon, which can further incre- change: While a few years ago expressions like to customise its design. ase external visits through links. An Amazon “sweeper”, “man-to-man marker” and “centre- Brand Store has many positive aspects, which About the Author half” were commonly used to describe what Online shopping is increasingly overtaking lo- we will look at more closely below. was happening on the pitch, today we speak of cal retail, and not only because of the corona Nils Lappahn “tipping sixes”, “false nine” and “distant tens”. pandemic. And the most well-known portal for First, however, we would like to take a look at digital shopping is Amazon. The market leader the world of football and see how this Amazon Of course the language did not adapt without offers an extensive range of different products product is currently used by the clubs. reason, but is a result of tactical and technical and is used by many sellers as their selling plat- Nils Lappahn, 33, is an entrepreneur located in changes in football. Just as football has been form. Amazon allows sellers to customise the Koblenz, Germany, specializing in online mar- changing on the field, processes outside the various product detail pages, practise effective keting and e-commerce. In the year 2019, he green pitch have also been developing. branding and create recognition for their own became the vice president of the German foot- brand, but it is difficult at first. Infobox ball club TuS Koblenz 1911 e.V., which formerly Here, digitalisation in particular can be identi- AMAZON played in 2. Bundesliga, the second division of fied as a driver of change: It gives clubs, whate- With Amazon Brand Store, the online giant German professional football. ver level they are playing on, significantly more provides a powerful tool intended to be of as- Turnover of US$ 386.06 billion in 2020 opportunities to reach their fans and other sistance at this point. This provides sellers who Right from the start of his vice-presidency he interested parties. Regardless of whether it is have a registered brand, which would include Most successful online shop in Germany set out to implement a new marketing strategy press releases on social media, or their own most football clubs, with a platform to set up based on turnover for his club, consisting of a club-owned podcast, online fan shop, tthrough digitalisation football their own individually branded store on Ama- new website, digital profit center and a livestre- clubs have gained new channels for reaching zon. For 32% market value growth compared to aming offer for the fans. fans and interested parties. Merchandising, in the previous year particular, benefits from the advantages of di- clubs, an Amazon Brand Shop is like having an In his working career he’s the associate of an gitalisation. If a few years ago a fan had to visit own fan shop: The user can customise the de- 53% share of online retail trade turnover Austrian-based e-commerce consulting compa- the local fan shop in his search for a jersey of sign of his shop with the help of a user-friendly in 2020 ny, that aids other companies in their e-com- his favourite club, today merchandise items can modular system and many templates, adapt merce activities, especially the Amazon market- be ordered from your own online shop or from them to his corporate identity and in this way 6.7% share of all retail trade turnover place. external providers with a simple click. place his products effectively. All merchandise articles can be compressed and displayed on a US$ 10.4 billion turnover in 48 hours In the last couple months, he zeroed in on the However, it does require setup and regular single page, for example. Amazon also sets up a on Prime Day promises and drawbacks of the Amazon Brand maintenance of the shop. These days, however, personalised domain for every Brand Store. In Store regarding the marketing possibilities for there are possibilities that make it easy for club this way, there is a direct link to the respective football clubs. 4 5
Chapter 2 Overview - What is the status quo in the world of football? For some clubs, Amazon’s tool is nothing new. AS Monaco Some clubs have already set up an Amazon Ligue 1 Brand Store, operate it very successfully and benefit from the many advantages. As Monaco from the French 1st league has a very visually appealing Brand Store. The top In the next chapter, we’d like to have a look at a French club refers to the different categories few examples from professional football: What of its items with elaborately designed graphics. makes the clubs particularly good, and what One can find jerseys, workout gear and other can still improve? merchandise of the Monegasque club on its Amazon Brand Store. We scouted around in the Top 5 leagues and took a closer look at a sample store from each AS Moncao is the only club in the top French league. league to use this option with its presence on Amazon. First, a statistical insert: The top French clubs are registered as official brands on Amazon and do sell merchandi- Of a possible 98 clubs in the top se items, but do not use their own individual brand stores to do this. five leagues in Europe, ten currently use their own Amazon Brand Store, which corresponds to just over 10 percent. 6 7
Tottenham Hotspur Atalanta Bergamo Premier League Serie A In the English Premier League, too, there is only Two clubs in the Italian Series A have establis- one club that is already making use of the ad- hed own Amazon Brand Stores. They are AS vantages of an own Brand Store. Roma abnd Atalanta Bergamo. We took a closer look at the Atalanta store as an explicit examp- This is Tottenham Hotspurs, which has already le. cooperated with Amazon before as part of the Amazon series “All or Nothing”. Atalanta, which has been working its way up to the top of the Italian league for a number of The Spurs brand store is simple, and less indi- years, tries to work with emotions in its brand vidualised than the sample from Monaco. Yet store, using images of fans, filled stadiums and the store is definitely branded on the identity training sessions. of the traditional London club and also provides visitors a quick overview of all the merchandise In addition, the store is structured simply and items. logically. You only need a few clicks to obtain an extensive overview of the product portfolio of the Bergamo club. 8 9
TSG 1899 Hoffenheim Bundesliga In contrast with the premier League and Ligue 1 and Serie A, significantly more clubs in the German Bundesliga have made use of the op- portunity to set up a custom-designed store on Amazon. +They are the absolute top clubs of recent ye- ars, namely Bayern Munich and Borussia Dort- mund, the two Berlin teams Hertha and Union, Borussia Mönchengladbach and TSG Hoffen- heim. We’d like to take a closer look at the brand store of the latter in the following We also did an interview with the manager of TSG about their experiemces wit their own Amazon Brand Store.This can be found under registry point 5. Of all the examples until now, the TSG store can be highlighted as particularly positive. With much love for detail and graphic elements, the Brand Store is perfectly aligned with the corpo- rate desig of the club and also triggers lots of emotion through the display of pictures. They have also integrated videos in the start page of the store, which adds even more to the emotionality and increase interest in the club. The many subpages of the Amazon Brand Store were also designed and presented in great de- tail. There you don’t only get an overview of the many different products, but they are also each displayed with images and information. As a special feature, the TSG Hoffenheim store also has an „About us“ subpage on which the club briefly introduces itself with a team photo, among other things, and thus sparks even more emotion in potential buyers. 10 11
LaLiga’s own Amazon shop Summary Until a few weeks ago, the Spanish LaLIga was Getafe CF, Cádiz CF, Granada CF, Athletic Club, The random sample of all the clubs in the the absolute pits when it came to the topic of Levante UD, Villareal CF, Real Sociedad, Depor- most successful European leagues in the 20/21 Amazon Brand Stores. Not a single club from tivo Alavés, RCD Espanyol, RCD Mallorca, RC season shows that, so far, only a few (just over the top Spanish league had an own brand store. Celta de Vigo, Real Betis Balompié and Club At- 10%) teams have used the option of an Amazon lético Osasuna are currently making use of this Brand Store. To find a positive example from Spain, you had offer. to look around the second tier LaLiga 2. There, However, our examples among the clubs that Girona FC stood out for having created their Until now, the important clubs like FC Barcelo- already operate their own brand stores do for own individual brand store with great attention na, Real Madrid or Atlético Madrid have been the most part use the entire tool palette offered to detail. Apart from current pictures, you can shining in their absence. by Amazon. find a presentation video on the new jersey and many other merchandise items on the Cataloni- They are, however, listed as official brands with By using customised graphic elements and a an club’s store page. Amazon and sell merchandise on this platform, simple structure for the store page, the clubs although without the advantages of an own can present their complete portfolio of wares However, the page changed completely in De- brand store or making use of the LaLiga shop. and increase their sales. cember 2021, just before the change of year. La- Liga Managing Director Óscar Mayo announced Recently, the Spanish LaLiga recognised this po- a cooperation with Amazon, which resulted in a tential and established its own shop in coope- separate LaLiga shop. ration with Amazon. This store offers the LaLiga clubs the opportunity to enter the Brand Store With this shop, LaLiga fans have the opportuni- realm even more easily and to operate a custo- ty to purchase merchandise and other products mised store with a large reach. of the 13 clubs that are currently participating on Amazon. Using the concrete example of TSG Hoffenheim, in the following interview we will learn in detail The Internet platform recently featured a sepa- how they were able to increase sales and what rate home page for the LaLiga shop, with links experience they gained. to the respective brand stores of the participa- ting clubs. These are adapted to the identity of each club, although the basic structure of the shop is the same for all the clubs. With the league shop, LaLiga wants to give its clubs another tool to present themselves even better to football fans worldwide. 12 13
Chapter 3 How to build an Amazon Brand Store To create an Amazon Brand Store, the club first IMPORTANT Amazon Brand Store structure has to be registered as a brand. You can do this You should let Amazon Off to a good start: You can set up your brand via the Amazon Brand Registry (https://brand- assign you a vanity URL. store without having any programming skills. services.amazon.de/). Now you can start to Example: www.amazon.de/fcbayern create your brand store. The modules can be joined and individual sub- To do this, you need to open a new case in Ama- pages placed in a targeted manner by dragging You must open the Store Builder to create your zon Support and request it. When making con- and dropping. store. You will find this in your seller or vendor tact, enter your desired vanity URL right away. account under Stores - Manage stores - Create/ Your Amazon Brand Store is automatically opti- Edit store. You now have the basic setup for your Amazon mised for tables and smartphones - it’s respon- Brand Store. Now for the details. sive. First you need to choose the brand display name and upload the brand logo. Before you start building the structure in Ama- IMPORTANT zon Store Builder, you need to think about the If you want to add graphics with text, make The brand name will be used in the shop URL, product portfolio. sure the font is legible even on small devices. for example, and should therefore be chosen Which items do you want to present or sell in with care. However, you can change the selec- your Brand Store? You will find all the design element in the right ted parameters at any time. Which items should be highlighted? menu bar in your Store Builder. You now have the choice between TIP four shop templates: It’s a good idea to check the preview (menu Marquee bar at the top) regularly. Highlight Product grid Empty The first three templates are ready-made mo- dules. The shop template “Empty” is ideal if you want to present your products individually. 14 15
Chapter 4 Advantages and disadvantages of Amazon Brand Stores More than 50% of all product The greatest disadvantage for sure searches start on Amazon. is the loss of customer information. You can’t ignore the fact that Amazon is THE If somebody buys something via my own on- player in e-commerce. There is no other com- line store, I am able to further process the data pany in the world that can test and implement transferred. I can generate statistics, identify, e-commerce trends on the basis of data like contact and upsell users. For the most part, Amazon. there is no way I can identify a purchaser at Amazon. This means that a lot of important in- An Amazon Brand Store will bring a club sales formation is lost. that it wouldn’t have been able to realise via an own online shop. An own online shop would In a time in which “data is the new oil”, the loss not have the same reach, the almost perfect of data sets is a high price to pay. check-out process, the database that Amazon has. It is almost impossible to offer the same The Amazon modular system has many advan- user experience and the same user interface as tages. A shop can be built up easily and quickly, Amazon’s. although this does happen at the expense of individuality. Another advantage is that Amazon Brand Stores are indexed by Google and will thus appear in If you want to implement your own navigation Google search results. structures or own systems, you’ll quickly come up against boundaries. The scope of functions is limited. Another disadvantage with Amazon is the “faceless business partner”. If there are problems, I can’t quickly grab the phone or send an email. The Amazon Seller Ser- vice is complex and directly responsible emplo- yees are rare. 16 17
Chapter 5 Interview with Viraphong Vongpraseut, TSG 1899 Hoffenheim Other clubs in the professional leagues approa- ched us and asked for tips on creating stores. You could say that we are regarded as a kind of best practice. How did you become aware of the possibility ness expands its visibility within Amazon ex- of an Amazon Brand Store? ponentially. Were there critical voices, for example from In the Brand Store you can do individual brand your fan base? We became aware of the possibility of a Brand presentations as specific texts, images and vi- Store within Amazon for the first time when deos can be added. The contents is dragged There were certainly critical voices, but they we first did research on Amazon. and dropped into tiles and can be placed in- were limited. Amazon is generally regarded dividually. In principle, setting up an own site very skeptically because of a variety of issues. We were asking ourselves how we could di- works like a type of modular system, which stinguish ourselves from other companies makes it very user-friendly to maintain. What aspects do you consider important when on Amazon. You can use A+ content to build designing a Brand Store? beautiful product detail pages. However, we How long did it take to set up the Brand Store also wanted to draw attention centrally to our and what work steps had to be carried out? For us, it is important that the recognition va- entire product palette. lue of the brand is visible in the shop. Despite Thanks to the modular system, we were able Amazon‘s rather restrictive requirements, it is SSC Napoli was one of the first clubs to raise to set up the Brand Store very quickly. Visuals always possible to adequately represent the its visibility to a new level within the Amazon that were readily available only had to be ad- company‘s own CI in the brand store. The Ama- cosmos with the help of a brand store. It very apted to Amazon’s requirements. Only a few zon shop should also always be an extension of quickly became clear to use that we also nee- days passed between the first shops sketches your own online shop. ded a Brand Store. and going “live” with it. The Brand Store should be tidy and categorised What, in your opinion, are the advantages of Other work steps that had to be carried out logically, and like your own online shop it should a Brand Store? beforehand were, for example, registering our be kept up to date at all times. Of course, usa- brand with the Amazon Brand Registry and bility plays a big role for the customer in the The Brand Store is like having your own websi- specifying the vendor or seller model. Brand Store as well. Viraphong Vongpraseut te - just on Amazon. A sort of shop-in-a-shop, Digital Performance & Online Marketing which has been working successfully in statio- What feedback have you received on your Did you sell products on Amazon before? How TSG 1899 Hoffenheim nary retail trade for years. Brand Store to date? did the sales figures change after your started the Brand Store? It gives businesses yet another option for The feedback has definitely been positive. communicating brand messages, unique sel- The store is easy to navigate and offers a good We started the Amazon Brand Store and selling ling positions and other incentives to buy. In overview of the entire TSG Hoffenheim mer- our products at the same time. Therefore we combination with the product pages, a busi- chandising portfolio. can’t provide an informed opinion on this. 18 19
Chapter 6 Summary The digitalisation of the world and the challen- When considering an Amazon brand store, one ges and opportunities associated with it do not should keep in mind that the club not only ce- stop at (professional) football clubs: While fans des sovereignty over customer data to Amazon, used to have to go to the merchandising shop but also that the online giant is viewed incre- on the day of a match to fit themselvs out with asingly critically in society and a Brand Store fan merchandise, online shops now offer a wide could encounter rejection, especially from foot- range of products and easy ordering options for ball traditionalists. buyers. TSG Hoffenheim, a club that operates its own With the Amazon Brand Store, the online mail Brand Store, also reports such negative feed- order dealer and e-commerce market leader back. However, TSG also reports that the esta- Amazon offer clubs an opportunity to sale their blishment of the Amazon shop has been largely products at another point of sale in adiditon positively received and means that the club has ot the club online shop. With its modular sys- greater digital reach for its merchandising pro- tem, the Brand Store makes it possible to open ducts. a Brand Store for selling club merchandise on Amazon. In order to do this, the club brand (Professional) clubs seem to be only starting to must be registered on Amazon and the basic make use of the Brand Store: Only 10% of the structure of the shop set up. Existing photo and clubs in the five top European leagues make use video material of the club can be usd to set up of the advantages of the brand store, although the Brand Store. it can be assumed that this could change in the near future. The brand store offers clubs the opportunity to use Amazon’s immensely large customer base for their own purposes and to reduce existing hurdles to purchase, since, in contract with the club’s online shop - buyers already have a cus- tomer account and the ordering process based on the site is thus simplified and accelerated. 20 21
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