Badminton Popularity - The Role of Yonex

[Krisna]

To go back in time, badminton was even very popular in SE Asia in the 1950s. There was no Yonex. Racquet and shuttlecocks were made by Slazengers, Dunlop, Silver Grey, Blue Bird and RSL. Sponsors did not really exist, players paid their own expenses to compete in the AE.
Today the game has extended to China and Korea, both relatively newcomers. Now more Asians play the game. The Asian market has grown larger, and with its increasing size comes the new guards in the name of Yonex and others. The larger the playing badminton population the more sponsors come on the scene and the more they have to be competitive.
This is classic "show me the maket and I will show you the sponsors".

As I said before, when there are many competition between several strong brands [like in SE Asia in the 1950s and 60s], the market will grow. When there are near-monopoly lock-out and no activity to outcool or outdo the other, there won't be a growing market.

I give you an example... in the past [several decades ago], people were offered general sports shoes... One pair of shoes was used for all sports, running, basketball, badminton, aerobics etc. The need for specific running shoes, specific basketball shoes, specific badminton shoes, and specific aerobics shoes were already inherent/lanten within the consumer, but most shoe makers didn't tap 'em very much. A person will just own one pair of sport shoes and he/she was content.

Later, companies like Nike, New Balance, etc. offered and marketed running shoes that were designed for runners. They competed with each other fiercely and people [especially the regular joggers] start to notice that it IS better to own a pair of running shoes. Thus a new market is created and many people owned two pairs of different sport shoes.

Reebok, Nike also noticed that aerobics practitioners need different type of shoes. Thus they designed and then competed with each other to convince people that their aerobics shoes are better... In the meantime, their marketing activities that glorify aerobics on TV etc. makes aerobics an even cooler activity, thus, the aerobics shoes market grew... Some people may own three pairs of different sport shoes now...

In the 1920s, 30s, people in North America do play basketball. It is a convenient sport for the Winter season. But sales of basketball specific shoes were nothing. Despite the fact that basketball players have a latent need for Basketball shoes. Converse, Nike, Adidas, etc. noticed that baskeball players need different types of shoes to protect their ankle etc. They sponsor Magic Johnson, Larry Bird, Michael Jordan, Shaq, Kobe, etc. Cool TV ads featuring basketball stars from several brands light up the TV screen every day, entertaining the viewers and prospective consumers everyday.

Basketball became even more cool, more money coming in to basketball [tickets, apparel sales, shoes sales, etc.]... more advertising money goes into basketball. Many teenage kids even wore Jordan and Shaq shoes even though they cannot play basketball at all. They just do it because it is cool! There, a new market emerged... In the US it is not uncommon to see a kid with four different types of sport shoes in his/her closet... To say that the shoes companies have not tapped into new expanded market is stupendous. The shoe market have grown from 1 pair of shoes to 4 pairs of shoes per person, as I have explained. If all the shoe prices are the same, the industry revenue has quadrupled!

Of course if there aren't any latent/inherent need at all for a particular product/service, then there can't be any market. But to believe that "market cannot be made" is hindering your own progress and growth. If you are a CEO, then one of your responsibility is for growth. Please, I implore you, not to think that you cannot make markets without sponsorships and marketing activities. If you do believe you cannot make new markets, while your competitors believe otherwise, then I think you will be screwed by them sooner of later without realizing the crux of the matter [having the wrong mindset and having beliefs in incomplete paradigms].

If your business is Epoxy Resins, then I think I understand where you're coming from... from a business to business world. In order for your worldview to be complete, maybe you have to have substantial experience in the consumer goods world. Then you will understand better what I have been talking about for 3 days. People's perception, desires [and thus choices] can be molded... They are molded by the actions of brands competing to outdo one another.

Consumers are not fully rational, predictable, readeable, and act as economic animals all the time. Maybe some are like that in the Business-to-Business world. But not true in many other types of business. Especially those that can be heavily influenced by the media. Many consumers don't know exactly what they want. They have some idea of their need, but don't know exactly how to fulfill it.

Consumers can resort to things unpredictable several decades ago. For example: shoes executives in the 1930s knew that consumers want to be seen as cool and fashionable. That part is quite timeless. BUT, did many in the 1930s imagine that BASKETBALL SHOES can be symbols of fashion?!?!?

I found no evidence in business history that many attempted to sell Basketball shoes as fashion items in the 1930s. Why? Because the market was not made yet!!! It could only be possible after Nike, Reebok, Adidas all jumped into the Basketball shoe business and as a total, make Basketball shoes cool fashion items! So, in addition to older versions of fashion shoes, now some kids add 'Basketball Shoes' as their fashion shoe. A new market was born. From what? Marketing activities of competing brands!!!

I think I have said enough taneepak. If you want to keep believing in some outdated concepts you have mentioned. Fine. But for your own sake, I don't advise it.

[jamesd20]

The next 12 posts are copied from another thread on Yonex contractual obligations & Based around the Li Ning Sponsorship of the Chinese Team in 2009(http://www.badmintoncentral.com/foru...g+chinese+team)

India Open is sponsored by Yonex Sunrise and Yonex Sunrise ( Singapore) has the exclusive markets in Asia except Korea,China and Taiwan which Yonex Japan controls directly...since LCW and TH get the most money from Yonex Sunrise..they are bound to play this tournaments and also for TV 's rights as well..

As a matter of fact, LCW should have joined Gade,Sony to play exhibition in Vanouver next week..Sony and LCW pulled out last minute and replced by TH and Andre Kurniawan..

Can you or someone else tell me how many Sunrise tournaments there is & how many he has to play in. If he has to play this tournament due to contract, then he needs to seek advice, the contract is too onerous.

[huangkwokhau]

Can you or someone else tell me how many Sunrise tournaments there is & how many he has to play in. If he has to play this tournament due to contract, then he needs to seek advice, the contract is too onerous.


Overall like I said originally he lost because CL was the better player on the day. I am dissapointed LCW has now made the excuse as well as giving the reason for his loss. IMO he misunderestimated him, even an unwell LCW should be beating CL....

I believe that Yonex Sunrise sponsors Macau,Hongkong SS,India and new MAS GP....( AE,,Taiwan or Japan Open are sponsored either by Yonex Japan or Yonex Europe)
I do not know LCW's contract but like TH, he has to perform at least 8 SS and one or two tournaments as requested...for example like last SS Final where TH had pulled out but been asked to join back as LD/BCL or CJ did not participate....somehow they need big name for small tounaments to get more TV's right...
If they miss 1 SS or play less than tournaments as they have agreed, it may cost the player US$ 10000 at least...

[jamesd20]

I believe that Yonex Sunrise sponsors Macau,Hongkong SS,India and new MAS GP....( AE,,Taiwan or Japan Open are sponsored either by Yonex Japan or Yonex Europe)
I do not know LCW's contract but like TH, he has to perform at least 8 SS and one or two tournaments as requested...for example like last SS Final where TH had pulled out but been asked to join back as LD/BCL or CJ did not participate....somehow they need big name for small tounaments to get more TV's right...
If they miss 1 SS or play less than tournaments as they have agreed, it may cost the player US$ 10000 at least...

It is a sad state of affairs when Sponsors rule the player...unfortunately if they lose Yonex sponsorship the $$$ will be less.

I guess CHN didn't fulfil their obligations in missing so many tournaments?

[huangkwokhau]

It is a sad state of affairs when Sponsors rule the player...unfortunately if they lose Yonex sponsorship the $$$ will be less.

I guess CHN didn't fulfil their obligations in missing so many tournaments?

well..of course not..same thing for INA or CHN....it is collective sponsorship but CHN deals with Yonex Japan direct , the rest of Asia deal with Yonex Sunrise ( except CHN,KOR or Taiwan) ..and again, like TH, he has a separate deal with Yonex also..thats why he has certain commitments with Yonex Sunrise....
Like Tennis players, the fine is much bigger too like over US$ 100K if player like Serena did not commit the tournaments she signed unless she is injured or something...

Look at Candra Wijaya,also he has to play at this tournaments... same as HendfraAG/Alvent.

[cooler]

It is a sad state of affairs when Sponsors rule the player...unfortunately if they lose Yonex sponsorship the $$$ will be less.

I guess CHN didn't fulfil their obligations in missing so many tournaments?

hmm, i remember hearing that quitting pbsi is the best thing TH did for himself, he can earn more money and have better control of his career. i guess they forgot the 'work to earn' part, and his new boss, the sponsors, are even more overseeing.

[jamesd20]

hmm, i remember hearing that quitting pbsi is the best thing TH did for himself, he can earn more money and have better control of his career. i guess they forgot the 'work to earn' part.

I guess this means that the National associations are bending to the will of the companies unneccessarily?

[cooler]

Going off topic here, but I guess this means that the National associations are bending to the will of the companies unneccessarily?

i don't think so. PBSI can drop yonex if they wish when they can find a better sponsor. The china team did. Li Ning even allow CHN players to use yonex product in 09 AE. Also, from the latest photo, some chinese players still wearing yonex shoes.

[huangkwokhau]

Going off topic here, but I guess this means that the National associations are bending to the will of the companies unneccessarily?

I believe so..look at Japan Open, now you understand why all players ( sponsored by Yonex) have to be there...of course CHN will send theirplayers this year to Japan Open but not obligated as much as before since CHN is sponsored by Li Ning now...

[jamesd20]

i don't think so. PBSI can drop yonex if they wish when they can find a better sponsor. The china team did. Li Ning even allow CHN players to use yonex product in 09 AE. Also, from the latest photo, some chinese players still wearing yonex shoes.

I believe so..look at Japan Open, now you understand why all players ( sponsored by Yonex) have to be there...of course CHN will send theirplayers this year to Japan Open but not obligated as much as before since CHN is sponsored by Li Ning now...

LOL - Who is right?!! Cooler - The China move could be a key change, they have freed up more money for yonex to offer to other indepedents thus moving towards a more professional sport. Post #8 in this thread by myself back in 2005 I said I think we needed a rival to give competition to Yonex, Maybe we are now getting this in sponsorship terms? And if PBSI can drop malaysia and choose the tournaments they want to play in 100% why don't they? Do they like being dictated to by Yonex??

Huangkwokhau - I hope so, for badminton's sake

[cooler]

LOL - Who is right?!! Cooler - The China move could be a key change, they have freed up more money for yonex to offer to other indepedents thus moving towards a more professional sport. Post #8 by myself in this thread back in 2005 I said I think we needed a rival to give competition to Yonex, Maybe we are now getting this in sponsorship terms? And if PBSI can drop malaysia and choose the tournaments they want to play in 100% why don't they? Do they like being dictated to by Yonex??

No doubt it's a key change, for LN, china team and yonex. I do however, feel that this was a blow to yonex, and a coup for LN. No way did yonex let LN take their china account for the sake of 'improving badminton popularity'. LN won because they can sponsors the top players at 'bulk discount' price since most of the best players are in the china team and LN is also a chinese company, lots of synergy to milk off that yonex can't.. What yonex got are more money for the sunset pros like TH, PG. Good for them but is it really better for yonex? Sure yonex now have more money to put into emerging countries like EU, north/south america,africa, india if they wish to but as a business maybe not so good. It's like yonex fund the R&D and biggies like nike, LN, or wilson come in afterward to scoop up the fruit bearing tree. Krisna i'm sure thinks like this too

[jamesd20]

No way did yonex let LN take their china account for the sake of 'improving badminton popularity'

Of course not....I meant that because LN got this deal it will be good for badminton.

[cooler]

Of course not....I meant that because LN got this deal it will be good for badminton.

oh, then u r correct. Any interest from a new sponsor is a plus for badminton popularity. In fact, i think this is the first time badminton has interest from a full spectrum of sponsorship, mega, medium and small size. Before we only had yonex as the key anchor which i alway saw them as medium size fish. I would put Li Ning as mega size since they are in many other sports as well, and well funded. Buying kason and outbidding yonex this quick is a tactic of very large company.

[Swift Freeze]

Apologies if it has been said before.

Although Badminton has it tough compared to sports such as American Football, Soccer/Football and Basketball.

Badminton is a lot better off than Squash. I think the majority of people would struggle to name any famous Squash players, previous or present. It holds an even lower profile than Badminton.

So always be happy that there is at least one sport lower down on the "food chain"

[cooler]

Apologies if it has been said before.

Although Badminton has it tough compared to sports such as American Football, Soccer/Football and Basketball.

Badminton is a lot better off than Squash. I think the majority of people would struggle to name any famous Squash players, previous or present. It holds an even lower profile than Badminton.

So always be happy that there is at least one sport lower down on the "food chain"

there is one racket sport lower than squash, it's racquetball

[cooler]

LOL - Who is right?!! Cooler - The China move could be a key change, they have freed up more money for yonex to offer to other indepedents thus moving towards a more professional sport. Post #8 in this thread by myself back in 2005 I said I think we needed a rival to give competition to Yonex, Maybe we are now getting this in sponsorship terms? And if PBSI can drop malaysia and choose the tournaments they want to play in 100% why don't they? Do they like being dictated to by Yonex??

Huangkwokhau - I hope so, for badminton's sake

my reply was directed to national associations as u have asked.
Basically it all come down to the letter of the contract. Negotiation from a national assoc. level has more clout than from an individual position

huang repliy reflect upon individual player position. No play, no pay.

take your pick

[Krisna]

No doubt it's a key change, for LN, china team and yonex. I do however, feel that this was a blow to yonex, and a coup for LN. No way did yonex let LN take their china account for the sake of 'improving badminton popularity'. LN won because they can sponsors the top players at 'bulk discount' price since most of the best players are in the china team and LN is also a chinese company, lots of synergy to milk off that yonex can't.. What yonex got are more money for the sunset pros like TH, PG. Good for them but is it really better for yonex? Sure yonex now have more money to put into emerging countries like EU, north/south america,africa, india if they wish to but as a business maybe not so good. It's like yonex fund the R&D and biggies like nike, LN, or wilson come in afterward to scoop up the fruit bearing tree. Krisna i'm sure thinks like this too

I look forward to the day when Nike, Adidas, Wilson etc. enter the badminton business in a big way... Badminton will then be a Premier sport on this planet, just like Tennis...

I think a lot of worldwide-fan popularity attention today are categorized (using airline terms):

First Class sport:
Football/soccer
Basketball
Golf
Tennis
Note: my simple measurement method... almost everyone I know from different countries can name the top champions of these sports...

Business Class sport:
Badminton
Athletics
Volleyball
Boxing

Economy Class sport:
Squash
Hockey
Water Polo
Greco-Roman Wrestling


I know there are regionally strong sports like Cricket in India etc., American Football and Baseball in the US, Australian Football etc... But they are not argueably not worldwide sports... I know some will disagree with me on this...

Badminton's job is to improve the popularity status from Business Class to First Class! And we cannot do so with a Yonex near-monopoly on the sport... We gotta get the big boys to join in the fray...