Digital Transformation and Strategic Sponsorship: The Case of BBVA

James Santomier, Jr., Sten Söderman, Reinhard Kunz

DOI: http://dx.doi.org/10.12775/QS.2020.026

Abstract


The overall purpose of this paper is to describe and explain the strategic sponsorship program of Banco Bilbao Vizcaya Argentaria (BBVA) and, specifically, the partnership of its U.S. subsidiary, BBVA Compass (BBVAC), with the American National Basketball Association (NBA) using a case study method. This paper demonstrates how BBVA, initially through the transformational leadership of former BBVA Group Executive Chairman Francisco González, has leveraged digital transformation and strategic sponsorship to increase its brand equity and revenue. BBVA’s effective sponsorship strategy represents an innovative, agile, and digitally focused model for marketing executives and sport marketers considering a long-term investment in strategic sponsorship. By developing digital assets, leveraging a client-focused business model, and partnering with sport enterprises, BBVA has increased its brand equity and emerged as a leading global financial institution with offices in over 30 countries. BBVAC’s strategic sport and cultural sponsorships, especially its partnership with the NBA from 2010 to 2016, are synergistic with its digital initiatives. This research and its practical implications should enable sport business and marketing professionals to understand the implications of the digital transformation of enterprises for strategic sport sponsorship and provide alternative methods to engage consumers and enhance integrated marketing communications. This case study also should provide insight and direction for further digital transformation and sport management research.


Keywords


BBVA; digital transformation; NBA; sport marketing; strategic sponsorship

References


Bacon, J. (2015, April 22). How sport sponsorship is joining the digital age. Marketing Week. Retrieved from https://www.marketingweek.com/2015/04/22/how-sport-sponsorship-is-joining-the-digital-age.

Belson, K. (2010, September 12) NBA has sponsorship deal with global bank. New York Times. Retrieved from https://www.nytimes.com/2010/09/13/sports/basketball/13nba.html.

BBVA. (2015, November 11). The sports bank. BBVA.com. Retrieved from https://www.BBVA.com/en/sport/basketball/.

BBVA. (2016, September 21). Corporate Information. BBVA.com. Retrieved from https://www.bbva.com/en/corporate-information/#basic-data.

BBVA. (2017). BBVA in 2017. BBVA.com. Retrieved from https://shareholdersandinvestors.bbva.com/wp-content/uploads/2017/03/BBVA-in-2017.pdf.

Biscaia, R., Correia, A., Ross, S., & Rosado, A. (2014). Sponsorship effectiveness in professional sport: An examination of recall and recognition among football fans. International Journal of Sports Marketing and Sponsorship, 16(1), 7–23.

Cech, F., & Tellioglu, H. (2019, April 25). Impact of the digital transformation: An online real-time Delphi study. Cornell University. Retrieved from https://arxiv.org/abs/1904.11411.

Cobbs, J. B. (2011). The dynamics of relationship marketing in international sponsorship networks. Journal of Business & Industrial Marketing, 26, 590–601. doi:10.1108/08858621111179868.

Cornwell, T. B. (2013). State of the art and science in sponsorship-linked marketing. In S. Söderman & H. Dolles (Eds.), Handbook of Research on Sport and Business (pp. 456–476). Cheltenham: Edward Elgar.

Cornwell, T.B., & Maignan, I. (1998). An International Review of Sponsorship Research. Journal of Advertising, 27, 1-21.

De Azumendi, L. (2016, October 14). A brief history of BBVA (I): The founding of the Banco de Bilbao. Retrieved from https://www.bbva.com/en/brief-history-bbva.

Demir, R. & Söderman. S. (2015). Strategic sponsoring in professional sport: A review and conceptualization. European Sport Management Quarterly, 15(3), 271–300.

Digital transformation: online guide to digital business transformation (n.d.). i-scoop.eu. Retrieved from https://www.i-scoop.eu/digital-transformation.

Federal Reserve. (2018, June 30). Federal Reserve Statistical Release: Large Commercial Banks. Federalreserve.com. Retrieved from https://www.federalreserve.gov/ releases/lbr/current.

Fenwick, N., & Schadler, T. (2018, February 26). Digital rewrites the rules of business: The vision report in the digital business playbook. Forrester Research, Inc. Retrieved from https://www.forrester.com/report/Digital+Rewrites+The+Rules+Of+Business/-/E-RES137090.

Fitzgerald, M., Kruschwitz, N., Bonnet, D. & Welch, M. (2013). Embracing digital technology: A new strategic imperative, Research Report 2013. MIT Sloan Management Review. Retrieved from https://sloanreview.mit.edu/projects/embracing-digital-technology.

Hanna, R., Rohm, A., & Crittenden, V. (2011). We’re all connected: The power of the social media ecosystem. Business Horizons, 54, 265–273.

Heslop, L. A., Nadeau, J., & O’Reilly, N. (2010). China and the Olympics: Views of insiders and outsiders. International Marketing Review, 27, 404–433. doi:10.1108/02651331011058581.

IEG Sponsorship Report. (2010, September 20). Who’s the official bank of the NBA? BBVA that’s who. Sponsorship.com. Retrieved from http://www.sponsorship.com/IEGSR/2010/09/20/Who-s-The-Official-Bank-of-the-NBA--BBVA,-That-s-W.aspx.

IEG Sponsorship Report. (2016, October 31). How BBVA Compass is using sponsorship to bring Bright Futures to life. Sponsorship.com. Retrieved from http://www.sponsorship.com/IEGSR/2016/10/31/How-BBVA-Compass-Is-Using-Sponsorship-To-Bring-Bri.aspx.

IEG Sponsorship Report. (2017, November 20). An inside look at BBVA’s evolving sponsorship strategy. Sponsorship.com. Retrieved from http://www.sponsorship.com/Report/2017/11/20/An-Inside-Look-At-BBVA-s EvolvingSponsorship-Stra.aspx.

Ireland, R. D., Hitt, M. A., & Vaidyanath, D. (2002). Alliance management as a source of competitive advantage. Journal of Management, 28, 413–446. doi:10.1177/014920630202800

Jessel, E. (2014, February 26). How the NBA’s digital strategy is taking over the world. Delucchi at Streetsense.com. Retrieved from http://www.delucchiplus.com/nbas-digital-strategy-taking-world.

Khatri, Y. (2018, November 7). BBVA puts $150 million syndicated loan on Ethereum blockchain. Coindesk.com. Retrieved from https://www.coindesk.com/bbva-puts-150-million-syndicated-loan-on-ethereum-blockchain.

Lalli, F. (2018, May 15). Sport digital transformation: the new direction of customer and fan experience. Medium.com. Retrieved from https://medium.com/iquii/sport-digital-transformation-the-new-direction-of-customer-and-fan-experience-9eca0605156d.

L’Hostis, A. (2018, September 28). The Forrester Banking WaveTM: Global Mobile Apps Summary, 2018—BBVA Offers World-Class Mobile Banking Services, Retrieved from https://go.forrester.com/blogs/forrester-2018-mobile-banking-industry-wave-bbva-offers-world-class-mobile-banking-services.

Long, M. (2010, September 13). NBA pen lucrative sponsorship deal with Spanish bank. Sportspromedia.com. Retrieved from http://www.sportspromedia.com/news/nba_pen_lucrative_sponsorship_deal_with_spanish_bank.

Long, M. (2012, January 12). BBVA Francés sponsors Argentinean soccer giants. Retrieved from http://www.sportspromedia.com/news/bbva_frances_sponsors_argentinean_soccer_giants.

Long, M. (2013, June 12). BBVA Renews La Liga Title Sponsorship. Sportspromedia.com. Retrieved from http://www.sportspromedia.com/news/bbva_renews_la_liga_title_deal.

Lund, R., & Greyser, S.A. (2016). More Effective Sports Sponsorship- Combining and Integrating Key Resources and Capabilities of International Sports Events and Their Major Sponsors [Working Paper16-139]. Harvard Business School, Retrieved from https://www.hbs.edu/faculty/Publication%20Files/16-139_ef87ec49-a8c0-46d3-8761-99f70e68543b.pdf.

Meenaghan, J. A. (1983). Commercial sponsorship. European Journal of Marketing, 17(7), 5–73. doi:10.1108/EUM0000000004825.

MLB News. (2018, April 12). Astros and BBVAC Announce Sponsorship of Astros Buddies Club. MLB.com. Retrieved from https://www.mlb.com/news/astros-and-bbva-compass-announce-sponsorship-of-astros-buddies-club/c-271932264.

Motion, J., Leitch, S., & Brodie, R. J. (2003). Equity in corporate co-branding: The case of Adidas and the All Blacks. European Journal of Marketing, 37, 1080–1094. doi:10.1108/03090560310477672.

Nicholson, P. (2016, July 1). BBVA ends naming rights deal as La Liga focuses on global brand push. Inside World Football. Retrieved from http://www.insideworldfootball.com/2016/07/01/bbva-ends-naming-rights-deal-laliga-focuses-global-brand-push.

Olkkonen, R. (2001). Case study: The network approach to international sport sponsorship arrangement. Journal of Business and Industrial Marketing, 16, 309–329. doi:10.1108/EUM

Ortiz, J. D., & Houston Chronicle. (2011, December 14). BBVAC Acquires Naming Rights to New Dynamo Stadium. Retrieved from https://www. chron.com/sports/dynamo/article/BBVA-Compass-acquires-naming-rights-to-new-Dynamo-2401086.php.

Peyton, A. (2019, January 8). BBVA leads $12 million funding in paytech Grabango. Bankingtech.com. Retrieved from https://www.bankingtech.com/2019/01/bbva-leads-12m-funding-in-paytech-grabango.

PR Newswire. (2013, July 15). BBVA Bancomer extends its reach to millions of Mexican soccer fans with La Liga MX partnership. prnewswire.com. Retrieved from https://www.prnewswire.com/news-releases/bbva-bancomer-extends-its-...-of-mexican-soccer-fans-with-la-liga-mx-partnership-215578391.html .

Proman, M. (2019, August 20). Industry insights: The current state of sports technology. Retrieved from https://medium.com/scrum-ventures-blog/industry-insights-the-current-state-of-sports-technology-c24506d86585.

Red Hat (2018, December 17). BBVA builds fully automated cloud platform to better support customers. RedHat.com. Retrieved from https://www.redhat.com/en/success-stories/bbva.

Rein, I., Kotler, P. & Shields, B.R. (2007). The elusive fan: Reinventing sports in a crowded marketplace, McGraw-Hill Education.

Rein, I., Shields, B. & Grossman, A. (2014). The sports strategist: Developing leaders for a high-performing industry, eBook, Kindle edition, Oxford University Press.

Rodriguez-Canfranc, M. (2018, December 27). The internationalization of BBVA: from a local bank to multinational operating in more than 30 countries. BBVA.com. Retrieved from https://www.bbva.com/en/the-internationalization-of-bbva-from-a-local-bank-to-a-multinational-operating-in-more-than-30-countries.

Santomier, J.P. (2008). New media, branding and global sports sponsorship. International Journal of Sports Marketing & Sponsorship. October.

Santomier, J.P., & Hogan, P.I. (2013). Social media and prosumerism: Implications for sport marketing research. In S. Söderman & H. Dolles (Eds.), Handbook of research on sport and business (pp. 456–476). Cheltenham: Edward Elgar.

Santomier, J.P., Hogan, P.I., & Kunz, R. (2016). The 2012 London Olympics: innovations in ICT and social media marketing. Innovation: Management, Policy & Practice. Retrieved from http://dx.doi.org/10.1080/14479338.2016.1237305.

Santoyo, C. (2014, October 27). BBVA teams up with NBA on new multiyear agreement. BBVA.com. Retrieved from https://www.bbva.com/en/bbva-teams-up-with-nba-on-new-multiyear-agreement.

Santoyo, C. (2015, Nov. 11). The sports bank. BBVA.com. Retrieved from https://www.bbva.com/en/the-sports-bank.

Shaw, D.R. (2007). Manchester United Football Club: developing a Network Orchestration Model. European Journal of Information Systems, 16 (5), 628–42.

Short, J. (2017, July 12). IBM leads digital transformation in sports. Itbizadvisor.com. Retrieved from https://itbizadvisor.com/2017/07/ibm-leads-digital-transformation-in-sports.

Skille, E.Å. (2013). Case study research in sport management: A reflection upon the theory of science and empirical example. In S. Söderman & H. Dolles (Eds.), Handbook of research on sport and business (pp. 161–175). Cheltenham: Edward Elgar.

Smith, A.C.T., Stavros, C. & Westberg, K. (2017). Brand Fans: Lessons from the World's Greatest Sporting Brands, Springer International Publishing, Cham, Switzerland.

Terdiman, D.(2018, February 22). Here’s Why the NBA is the Most Tech-Savvy League. Retrieved from: https://www.fastcompany.com/40525469/heres-why-the-nba-is-the-most-tech-savvy-league-today.

Thwaites, D. (1995). Professional football sponsorship – profitable or profligate? International Journal of Advertising, 14, 149–164.

Walliser, B. (2003). An International Review of Sponsorship Research: Extension and update. International Journal of Advertising, 22, 5-40.

Weill, P. & Woerner, S.L. (2018). Six Questions to Help You Build the Next-Generation Enterprise, MIT Sloan CISR Research Briefing, XVIII (5), May 2018, viewed April 19, 2019.

Westerman, G., Calmejane, C., Bonnet, D., Ferraris, P. & McAfee, A. (2011). Digital Transformation: A Roadmap for Billion-Dollar Organizations', MIT Sloan Research Report, viewed April 19, 2019.

Woratschek, H., Horbel, C., & Popp, B. (2014). The sport value framework – a new fundamental logic for analyses in sport management. European Sport Management Quarterly, Vol.14, No.1, 6-24, http://dx.doi.org/10.1080/16184742.2013.865776.

Yin, R. K. (2017). Case study research and applications: Design and methods (6th Ed.) , Los Angeles, CA: Sage.


Article Metrics

Metrics Loading ...

Metrics powered by PLOS ALM

Refbacks

  • There are currently no refbacks.


The journal has had 5 points in Ministry of Science and Higher Education parametric evaluation. § 8. 2) and § 12. 1. 2) 22.02.2019.

e-ISSN: 2450-3118
Numer DOI: 10.12775/QS
ICV 2019: 100.00

logo 
 
  
Action funded by the Ministry of Science and Higher Education under the contract number 916/P-DUN/2019 by funds dedicated to dissemination of research findings. Name of action: "Preparing for publication papers in English in 8 issues of the journal Quality in Sport in 2019-2020: Vol. 5, No. 1-4 (2019), Vol. 6, No. 1-4 (2020)".

Partnerzy platformy czasopism