Yonex All England - Unfair Business Practice

[derekrobinson59]

I'd like to voice a concern about the way Yonex do business.

I recently visited the All England tournament in Birmingham - this is a a Badminton England tournament but anyone would think that he event was owned by Yonex themselves! They are just the title sponsor! After speaking to several of the other brands present I learnt a few truths I thought I should put out there:

1. Due to pressure from Yonex on Badminton England. None of the other brands are permitted to sell there products at the event.
2. The retailer at the event is pressured to sell at the full RRP.
3. Although the actual figure is unknown, it is recognised that Yonex vastly underfund the sponsorship of the event, simply because the other manufacturers do not have the resources to compete.

Essentially due to this unfair practice, Yonex virtually make a profit out the event. Frankly to me this stinks and I thought it should be voiced.

Thoughts from fair thinking like minded people please.

[Loopy]

First, you created an account on BC just to say this? Talk about grumpy.

Second, I don't see ANY problem with Yonex having full rights to sell at the AE. They sponsor the event, it should come as normal they get exclusivity to sell their wares.
It was the same thing at the France Open. And some other brands like Wilson were there to show their stuff, even if they didn't have the right to sell it. So what... I took home an AT250 for half price over there. Good deal.

[derekrobinson59]

I have started a petition that I will forward to badminton england. If you wuld like to sign this it can be found at:

http://www.gopetition.co.uk/online/17782.html

[YinLoung]

That is business. You can't do much. If any other brand or company can compete with Yonex then they can always do something. The fatc that other brand does not do anything about it shows that YOU or even if you have 5000 nameless badminton players from the internet can not do antyhing about it.

It is unfair. It is life.

[drifit]

That is business. You can't do much. If any other brand or company can compete with Yonex then they can always do something. The fatc that other brand does not do anything about it shows that YOU or even if you have 5000 nameless badminton players from the internet can not do antyhing about it.

It is unfair. It is life.

it is fair to Yonex.
just place your feet in the shoe.
you spend millions on that tournament, you let other brands to sell at the venue. furthermore, they dump the price. at the ends, non of your product making sales.

[JianKaiSG]

Only one signature at the petition at the moment. Does that justify?

[eaglehelang]

Let me get this right, Yonex had exclusivity to sell their products at AE & you think it's unfair business??? If it's stated in their sponsorship contract, then it's very normal business practice. The title sponsor gets exclusivity.
The other brands can also do so by sponsoring events.

[westbeach]

Thoughts from fair thinking like minded people please.

So, you want comments from supporters of your opinion only?

[zeddie]

Let me get this right, Yonex had exclusivity to sell their products at AE & you think it's unfair business??? If it's stated in their sponsorship contract, then it's very normal business practice. The title sponsor gets exclusivity.
The other brands can also do so by sponsoring events.

i agree, its not yonex's fault that other brands are not doing so well. other brands have the freedom to bid to badminton england for spornsorship rights just like yonex, but if yonex provide the best bid then naturally they will win the right to sponsor the event. i also dont see anything wrong with such a prestigious event such as the all england being sponsored by a prestigious brand like yonex. on top of that, yonex has been sponsoring the event for god knows how many years now (over 25 i think) and each year the event has been a great success.

if yonex sponsors the event then they can include exclusivity of sales in their contract with badminton england. its normal business practice. i dont think personally that they have done anything wrong.

[silentheart]

Agree with Loopy, you sign up BCBF just to post this?
1) That is why it called the display booth. This is prob the biggest event or onr of the biggest for badminton every year. Manufactures are there to display product, not sell them.
2) You said earlier in your point #1 that they are not allow to sell, now they can sell at full RRP? Also, isn't it fare for everyone to sell at full RRP including YY? From my understanding is that retailer can sell at lower price if you bargain with them, they just don't put the lower price on the items. Did you bargain with Wilson or other brands right before they close the booth on the last day? You could got a racquet at 1/2 retail. The practice is same as for all Grand Slam in Tennis.
3) Since you do not have the fugure nor any evident, what you said is just speculation. You are the main sponsor because you paid the most for the it, not because you fully fund the championship. Other manufacturers decided not to compete in the the world of badminton against Yonex. Do you think Wilson does not have enough money to throw at AE? What about Prince? May I ask what brand of equip you sell? What about the store/brand exposure? This should count as advertisement cost for you.

Sorry, it is Monday morning and I am pissed off at work.

[harmono]

I'd like to voice a concern about the way Yonex do business.

They're pretty successful at it. Maybe the other companies can learn.



1. Due to pressure from Yonex on Badminton England. None of the other brands are permitted to sell there products at the event.

This is the way business works. Remember it is a business. That's a good contract, not unfair business. This makes sense. It's a two way deal. AE doesn't have to accept their contract.

Yonex is out to make money, they are not owed by the BWF and not a badminton marketing propaganda. Of course they have invested a lot of money into there badminton research and also have an invested interest to better the game. But at the end of the day, they are in a competitive market.

Try going to Burger King drive through and then eating in it a McDonalds or some fancy restaurant. Some companies don't allow jeans in the office, the list goes on.

Where is the petition for Coke drivers to be permitted to wear Pepsi uniforms? Heck, why can't Tiger or Federer where Adidas?



2. The retailer at the event is pressured to sell at the full RRP.

Again, this is reasonable.



3. Although the actual figure is unknown, it is recognised that Yonex vastly underfund the sponsorship of the event, simply because the other manufacturers do not have the resources to compete.

So actually, Yonex is giving even more sponsorship then the market requires....

I don't know, Wilson finds money to sponsor the grand slam tennis events.



Essentially due to this unfair practice, Yonex virtually make a profit out the event.

Do you really expect them to invest money if there only hope is to achieve a deficit?

[Oldhand]

It might seem unfair depending on which side you see it from... but when a company sponsors an event, it's a business decision, and not a philanthropic gesture (a.k.a CSR) :)

If other (competing) manufacturers were to be given a free run of the place, then wouldn't Yonex be rather dumb to spend even an extra shilling on the event? :rolleyes:

Of course, some sponsors do squeeze the event... one recent example was the Thomas Cup Asia Zone Preliminaries earlier this year. If the title 'Robot Thomas Cup' didn't make you squirm, the hordes of gigantic banners would.

It's pretty certain the organisers didn't like that very much but did they have a choice?
No, they did not.

Sir George 'Robot' Thomas must be turning over and over in his grave - but, bless his soul, he should be extremely glad that the Finnish company Primula didn't decide to name the event after its very, um, delectably named bread (http://listverse.com/wp-content/uploads/2007/10/image007.jpg) :p

Whether we like it or not, sponsors and their rules are here to stay.
If at all, you should be petitioning other manufacturers to come forth :o

[silentheart]

Dear Master Oldhand,

Should we call you dirty OldHand from now on? I love what you find and can I have 1 and eat it too?

[drifit]

Dear Master Oldhand,

Should we call you dirty OldHand from now on? I love what you find and can I have 1 and eat it too?

both of you, same same only................:p

[bad_fanatic]

Whether we like it or not, sponsors and their rules are here to stay. If at all, you should be petitioning other manufacturers to come forth :o

I totally agree. If other manufactures play their roll, then badminton would probably, probably be a recognized sports. If other manufactures pumps in as much money as Yonex does then there wouldn't be Yonex All England Open, but more like BWF All England Open.

I think it's more unfair to Yonex then it is to other manufactures. Yonex dumps in how much money into these Super Series Events and other events as well to promote badminton. Yet other manufactures contribute less, yet they sell badminton products and reaps some of the reward that Yonex puts effort into it.

That might be an extreme thinking but I think if other manufacture wants to complain, then they should step up to the plate.

[Oldhand]

Dear Master Oldhand,

Should we call you dirty OldHand from now on? I love what you find and can I have 1 and eat it too?
Perhaps you didn't quite notice it.
It's Finnish bread :)

And I'm pretty sure Primula sponsors events in Finland.

[silentheart]

Perhaps you didn't quite notice it.
It's Finnish bread :)

And I'm pretty sure Primula sponsors events in Finland.
I know, I did not have chance to visit Finland (rough sea) when I visit Europe last ime. I will make sure I stop by Finland and get some of the Primula's tasty bread... I will let members know when I go next time and take some order too...:D

[Birdwood]

I would agree that if Yonex sponsors AE, it has the right to exclusively sell its products at whatever price it deems acceptable (derekrobinson59's main complaint). The petition states "This is an unfair business practice that exploits the public", this argument is a little premature. First derekrobinson59 has not proved the practice is unfair, and secondly "exploits the public" is no crime (most businesses do it day in and day out), at worst it's a moral issue. If Yonex's practice is truly unfair, there are laws, such as Fair Business Practices Act to take care of it.

Without Yonex's sponsorship, the quality of AE may not be the same. That's what people call: you get what you pay for. If Yonex loses a lot of money for sponsoring AE, it has every reason to only sell its brand at an event and charge consumers more.

Just a question for our knowledgeable BCers: how about other SS? Are they also sponsored by a company like Yonex, Wilson, etc. with the same exclusivity to sell their own products or not?

[wood_22_chuck]

I know, I did not have chance to visit Finland (rough sea) when I visit Europe last ime. I will make sure I stop by Finland and get some of the Primula's tasty bread... I will let members know when I go next time and take some order too...:D

Now is that real bread, or, errr, "bread"?

-dave

[kwun]

Only one signature at the petition at the moment. Does that justify?

3 signatures as of today. poor marketing or does that reflect the general view of the validity of the petition?

[cooler]

2. The retailer at the event is pressured to sell at the full RRP..

this may actually benefits the CUSTOMERS.
look at any new products, demand is high.
Yonex pressure maybe to prevent price gouging by retailers.

I assumed RRP equivalent to MSRP here in america

look at VISA today, the RRP/MSRP was 44$/share. Wish i could bought some at full RRP/MSRP price but all were sold out in less than 1 minute after i got the notice from the broker, all 17 billion$ worth of them. I'm sure the rich clients all got them because the auction is fixed. Is this fair? Very similar to the so call brand fixing by yonex and match fixing by LYB.

[Polar Bear]

3 signatures as of today. poor marketing or does that reflect the general view of the validity of the petition?

I didn't even need to look at the number of signatures. You know the validity of the petition is questionable when the thread got hijacked by a discussion on Finish bread?!?!

[andrew chan]

^lol, but seriously, if yonex is running the event then they should have exclusive rights to sell their own stuff and limit other companies. Its like how when you're a kid, and you live with your parents, they get to boss u around because they own where u live.

[taneepak]

Simply put, this is the rule of law. If you submit and win a tender in a government auction to rent a retail space for a fixed period of time to sell your goods, the law allows you exclusive use and legal right to it. The same with Yonex in the AE. This claim of so called "unfair business practice" has the hallmark of a new Robin Hood.

[ae86trueno]

This kind of remind me of the rule in some of foodcourt I've been to, no food or drink from outside are allowed. where it seem to be "unfair business" but it just make sense, those people who sell the food in foodcourt has to pay for the rent and it just fair they won't allow people from outside to bring in their food/drink. This almost identical to Yonex and AE case. By the way, where is the threadstarter. disappear without trace?:o

[LazyBuddy]

If other brands want to compete and change the current situation, they should invest and make improvement from their own ends. If they are willing to put into more investment, they will be entitled to more tournament, and therefore, they will be the ones to make the calls.

The intend for sponsorship is to promote the title sponsor's product. It's business, but not a charity work for all other "small brothers". ;)

[Fan888]

Let capitalism work. Competition is good! Greed is good! ;)

[Smichz]

No yonex,no today's badminton.There are still so many other countries that needs companies like yonex to sponsor their badminton sport activity.Last time,there is NZ.They really need yonex or others to sponsor them.At least after yonex got what they want,they still contribute to the sake of the sport.That's all we need rite now..nothing much.

[aerotus70]

Its like how when you're a kid, and you live with your parents, they get to boss u around because they own where u live.


:D I like this paragraph, conclude the thread

[Oldhand]

No yonex,no today's badminton.There are still so many other countries that needs companies like yonex to sponsor their badminton sport activity.Last time,there is NZ.They really need yonex or others to sponsor them.At least after yonex got what they want,they still contribute to the sake of the sport.That's all we need rite now..nothing much.
Um, it should be the other way around.
No sport, no Yonex ;)

[Polar Bear]

Um, it should be the other way around.
No sport, no Yonex ;)

Well, to be fair he said "no Yonex no badminton". Don't forget tennis and golf both are pretty big sports. If anything Yonex exclusivity of AE should be embarassing to Charlton. Such agreements are not unusual.

Try buy a pepsi at Vancouver International Airport (I may have this reversed). I'm of course talking about the vending machines, you can always get your preference at the 7-11 at YVR.

[Wong8Egg]

It is a fair and normal business practice. And no one is pressured to sign anything and it is all based on a fair bid. If I have a billion dollars then I can be the title the sponsor as well and call it "Wong8Egg All England Open" and limit the booths only to sell eggs any nothing else. But you guys should be thankful that I don't have that billion dollar yet while Yonex is doing a better job than I am.

[Oldhand]

Well, to be fair he said "no Yonex no badminton". Don't forget tennis and golf both are pretty big sports. If anything Yonex exclusivity of AE should be embarassing to Charlton. Such agreements are not unusual.

Try buy a pepsi at Vancouver International Airport (I may have this reversed). I'm of course talking about the vending machines, you can always get your preference at the 7-11 at YVR.
Well, badminton is older than Yonex :)

"No Yonex, no badminton" is quite far out.
Try much of Europe or China for starters ;)

[Polar Bear]

Well, badminton is older than Yonex :)

"No Yonex, no badminton" is quite far out.
Try much of Europe or China for starters ;)

You are of course right but in my opinion Yonex has done alot to advance the sport of badminton. Keeping to the topic of the post, the bottom line is that these types of exclusivity agreements are common place. They don't really have any effect on the overall market for badminton raquets. I would hazzard a quess that racquet sales at events like the AE account for less than 5% of all sales (yes I pulled the 5% out of thin air but I told you it's a guess). Therefore I doubt that this practise has a significant effect on the over all market.

[silentheart]

You are of course right but in my opinion Yonex has done alot to advance the sport of badminton. Keeping to the topic of the post, the bottom line is that these types of exclusivity agreements are common place. They don't really have any effect on the overall market for badminton raquets. I would hazzard a quess that racquet sales at events like the AE account for less than 5% of all sales (yes I pulled the 5% out of thin air but I told you it's a guess). Therefore I doubt that this practise has a significant effect on the over all market.

I just want to second the lovely Polar Bear's comment with more solid number on the racquet frame sale. Usually, Yonex will carry about 15~30 frames of each current frame models at a given event. ie. 20 AT900-t, 20 AT900-p, 15 At700 and others. However, for the new product, it is time for the rep and event club to make money, they usually stock up to 50~60 frames for the new models. In this case, 40 ARC40 and 60 ARC10s. They are selling them at MAP, not full retail price. Whatever the rep did not sell, club buys them at dealer price or rep take them beck to office. Yonex made maybe $40,000 from the booth out of entire event. Really, it does not even cover the cost of sponsorship.

[illusionistpro]

Lets not forget Yonex is a company here to make money off John and Jane Does. You might consider it unfair business practice but if they PAY for EXCLUSIVE rights, namely a title endorsement then they get what they pay for. If another company wants to pony up the money good, but until then Yonex gets to do what they want. Additionally just because other companies arent buying exclusive rights doesnt mean they have no influence either. Their mere presence in the market is what sets the price Yonex must offer the tournament directors for the appropriate deal and funding. I believe we call it economics. Its a matter of business and frankly you should come to the USA and see if business is ever fair. Not only that but it also doesnt necessarily benefit the industry. There are tons of companies that hop into an industry, or market, make their bucks, hurt the entire economy and as the ship sinks they abandon boat, just research the American mortgage crisis going on rite now. OP you're entitled to your consumer rights as in boycotting and petitioning however you have bigger obstacles to tackle, in viewing yonex rather than focusing on one tournament.

ps, why does it matter anyways what they are charging for merchandise, you go to tournaments to buy rackets, apparel, shuttles, other supplies? The only things that mite be over priced would be limited tournament t-shirts and novelties, but everyone knows that stuff is expensive and doesnt fall into this complaint.

[Loh]

The All-England is a prestigious event because of its colourful history.

But before the Super Series was formulated, the AE was lagging behind many of its Asian counterparts, some even new to the scene, in prize money and it was an irony of sorts that it should remain a premier event.

IMO the AE was in danger of being relegated to second class had nothing been done to increase its prize money to continue to attract the world class players from Asia. Unfortunately, despite its commanding position in the badminton world, it would seem to me that the AE did not seem to atttract sufficient sponsors from even the UK companies for many years, so Yonex continued to carry the financial burden as its main sponsor and with the SS, Yonex has to increase the prize money just not to exclude the AE from the circuit.

So the AE continues to retain its glamour and prestige cultivated long ago by its founding fathers, all because Yonex, maybe for selfish reasons, made it a point to carry on.

We should thank Yonex for all their years of support and commitment and not brand them as brandishing bad business practice and enjoying all financial benefits to the exclusion of others.

[Fan888]

It is interesting that derekrobinson59 has stopped posting after starting this thread. :confused:

I agree with most of you here that Yonex was the main sponsor at AE so they can do what they wish. But for the world of badminton, it is not good to have one dominate sponsor. Lacking competition isn't good for the sport.

[cooler]

It is interesting that derekrobinson59 has stopped posting after starting this thread. :confused:

I agree with most of you here that Yonex was the main sponsor at AE so they can do what they wish. But for the world of badminton, it is not good to have one dominate sponsor. Lacking competition isn't good for the sport.


having no sponsor is even worst for the sport:rolleyes:

[cooler]

I agree with most of you here that Yonex was the main sponsor at AE so they can do what they wish. But for the world of badminton, it is not good to have one dominate sponsor. Lacking competition isn't good for the sport.


Like this ??LOL

[drifit]

how about this......??

[Fan888]

I know what you guys are saying. I agree that one sponsor is better than zero. But two is better than one. Three is even better. Competition is better than monopoly. I know, wishful thinking. The same reason the world isn't better when Microsoft is a monopoly. :D:D

[cooler]

I know what you guys are saying. I agree that one sponsor is better than zero. But two is better than one. Three is even better. Competition is better than monopoly. I know, wishful thinking. The same reason the world isn't better when Microsoft is a monopoly. :D:Dlast time i check UK is a free country, so other competitor sponsors can compete if they want to. Saying u want to be a competitive sponsor with a $1 donation wouldn't cut it tho