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London 2012 Olympics

The business advantages for companies involved in supporting the London 2012 Olympic and Paralympic Games, would be powerful and wide-ranging, according to the former head of the organising committee for the Sydney 2000 Games, which were widely acclaimed as the best ever.

The former CEO of the Sydney Olympic Games Organising Committee, Sandy Hollway, said the London 2012 Games would provide British companies with the rare opportunity to maximise the unique business opportunities from being part of the world's biggest event.

"The bringing together of London and the Olympic Games, two of the world's truly iconic brands, for the London 2012 Olympic Games provides a powerful combination for companies that we probably haven't seen at the Olympic Games for a very long time. It could take the Olympic commercial programme to a size and scale never seen before," said Hollway.

London's position as a global destination for finance, business, media and the creative services as well as tourism and youth culture would provide British companies with unprecedented opportunities to maximise the commercial and business benefits from the Olympic Games.

"This is not a sponsorship; this is a rare and extremely powerful six year business opportunity," said Hollway, who met with London Olympic Games organisers this week and gave a key note address at a private conference on Olympic opportunities.

The London 2012 Olympic and Paralympic Games could generate many business benefits beyond those traditionally associated with alignment to the Olympic Games, of brand building and increasing sales.

Association with the Olympic brand can help to transform and reposition companies more rapidly than other methods.

"An association with the Olympic Games provides the opportunity to demonstrate organisations and brands in a highly visible way in what is the biggest theatre on earth, the Olympic Games, said Hollway, who provided high level strategic advice to the Chinese Government during its bid for 2008 Beijing Games and is currently a consultant to the Beijing Organising Committee for the Olympic Games (BOCOG).

Those companies that come to the table first can maximise commercial and business opportunities over an extended six year period during planning and preparations for the Games and beyond.

"It is a very powerful proposition to be part of the team that delivers an extraordinary Olympic and Paralympic event, which inspires the world's youth and serves as a catalyst for wide reaching regeneration of community services, facilities and skills, as part of a legacy that will last for many years," said Hollway.

"The legacy for companies that integrate this association and achievement into their business strategy will also last for many years."

Hollway said company decisions about Olympic involvement should be driven by a rational understanding of the bottom line, and there were very powerful benefits to be gained from association with the Olympic Games.

"Opportunities to differentiate and develop your brand, reposition your organisation and rejuvenate your employees on this scale are very rare indeed, and I have seen first hand how powerful this can be to organisations that really understand the business potential."

Chinese brand recognition

Some of the biggest names have arrived in Shanghai, courtesy of Madame Tussaud's wax museum.

Basketball player Yao Ming has become China's biggest brand.

There are plenty of celebrities here, but only a few of them are Chinese.

The most famous faces are foreign.

China's making a huge impact in the world, but it still punching far below its weight when it comes to the brand recognition.

There are plenty of big name celebrities in China, but few of them have made overseas.

The biggest star at the waxworks is the basketball player Yao Ming, already China's biggest global brand.

Chinese companies have got a long way to go if they are going to match his kind of success.

Do names like Haier, Konka or Baidu strike a chord?

Perhaps, but it is safe to say these Chinese companies do not have the same brand recognition as names like Philips, Sony or Google.

Chinese brands are taking their first steps into the global market.

Lenovo is a name that already has some recognition, even if it is based on the success of buying IBM's Thinkpad business.

But when will we see our first truly Chinese global brand?

Foreign preference

Western companies have taken to China in a big way.

Baidu is big in China, but not well known in other countries.

Chinese brands are now taking to the world, but according to the experts they still have a lot to learn.

Tom Doctoroff, of JWT, is one of the longest serving advertising specialists in China.

"When I talk about real brands, I'm talking about being able to compete on more than just price," he says.

"There's an active preference for the trademark, and that is something that most Chinese brands don't have yet, even here in China, let alone around the globe."

Copycats

In China, Mr Doctoroff says, consumers still make the distinction between global and Chinese brands.
Ad pro Ms Chang says Chinese firms ask the wrong questions.

Choosing the global variety for goods that will be seen publicly, and Chinese brands for the privacy of their own homes.

"Despite price premiums of between 100% and 300%, the leading mobile phones (being purchased) are still all multinational brands, but when you go into the house, then price sensitivity becomes important," he says.

China has faced an onslaught from the largest western brands, tailoring their message especially for the Chinese market.

Nike, McDonalds and KFC have had a lot of success, but Chinese companies have been paying close attention.

Many Chinese firms were formerly state owned, and still have a focus on sales, rather than developing their own unique products and identities.

Flair for originality

The most important lesson for them is to start getting the basics right, according to Liana Chang of Wieden and Kennedy advertising agency.

"'What do you do well? Who are you?' These are the questions they should be asking internally," Ms Chang says.

"'What is it that you want to communicate to people that you sell to?' These are all things that, thinking about your company long term, can help Chinese companies foster their independence, both in the domestic market and also internationally."

Some Chinese names are growing in confidence, but most are copycats.

A Chinese brand with clout will only appear when they develop a flair for originality.