Case: BRAND EXTENTION AT REAL MADRID
Executive summary
Real Madrid (RM) has been worldwide-known as one of the best soccer club in the world. However, RM has experienced negative profits in recent years due to changes in the soccer environment. To achieve sustainable growth, RM needs to extent its brand worldwide in order to gain profits. To do so, RM needs to set up a new channel of communications and partnership-relationship with retailers, broadcasters and franchisees who are key drivers in enabling RM’s brand extension around the world.
1. Ask SEED Question
Initial Question
What are we trying to achieve?
We want to extent Real Madrid brand worldwide to gain profits.
“Why”
!--[if !supportLists]--• !--[endif]--To have stable profit growth in the future independently from field performance.
Why?
!--[if !supportLists]--• !--[endif]--To counter the stagnation of revenue growth from traditional channels (broadcasters, sponsors, match day).
Why?
!--[if !supportLists]--• !--[endif]--To sustain the profitability of the club in the long term.
Well, that’s obvious!
The SEED Question
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How can Real Madrid gain profits while extending its brand worldwide?
(How Real Madrid can have the best profitability through expanding it brand worldwide).
Why is the SEED Question Important?
!--[if !supportLists]--• !--[endif]--The question is strategic because it is a part of the implementation plan to achieve RM’ new vision and mission
!--[if !supportLists]--• !--[endif]--The question is explicit because it states exactly what kind of brand development we are pursuing.
!--[if !supportLists]--• !--[endif]--The question is executable because RM’ marketing for ...