20150831-NEWS--1-NAT-CCI-CL_-- 8/28/2015 3:16 PM Page 1 Vol. 36, No. 35 Entire contents © 2015 by Crain Communications Inc. $2.00/AUGUST 31 - SEPTEMBER 6, 2015 MesoCoat CEO says company didn’t pay its loans because of holding companies’ ties to ‘crook’ — P. 3 12-story Tower City structure could join L.A. business’ growing downtown Cleveland portfolio — P. 4 Convention crowd is ideal target Marketers and advertisers will go out of their way to reach GOP delegates, guests By JAY MILLER [email protected] How does a business make an impression on the small city of people who will be in res- idence in Cleveland for the GOP convention in July? Marketers and advertisers are just begin- ning to figure out their answer to that ques- tion. For University Hospitals, it may be ads on GETTY IMAGES the free trolleys that circulate through down- The Cleveland Indians invested a combined $104 million in Michael Bourn, left, and Nick Swisher — signings that turned out to be regrettable. town. For Coca-Cola, as it has done at past conventions, it may be Coca-Cola-themed re- cycling containers along the routes from Quicken Loans Arena to the downtown hotels. Or maybe an automaker will take space in a strategically located parking lot to display its latest, glitziest models. A losing proposition? The convention crowd is an elite and influ- ential market target comprising affluent trendsetters and decision makers. Some of the marketing will be heavy duty, the wining and Shapiro says Dolans haven’t turned a profit during ‘a few’ Indians seasons dining aimed at those who come to town who might end up making decisions about energy By KEVIN KLEPS years, including this year,” Shapiro said of the ing and attendance plummeting, and the policy or what military hardware to buy. [email protected] Dolan family. “So I’m not sure what the ex- Tribe winning one playoff series since 2002 — But most of the advertising and marketing pectations are, but a lot of times the disap- has been well-chronicled. will just try to make an impression on the me- The perception is that the Cleveland Indi- pointment has to be focused somewhere. And Shapiro has a simple explanation for the dia, lobbyists, other guests and even conven- ans, who annually have one of the lowest pay- it tends to get focused disproportionately on most common complaint leveled by fans at tion delegates milling around downtown. At rolls in Major League Baseball, make millions them, and I think that’s situational and tim- the franchise — that the Indians aren’t spend- past conventions, for example, AT&T passed in profits — thanks to eight-figure checks they ing more than anything else.” ing as much as they could, or should. out ChapStick and cup cozies with the com- receive from television networks and revenue The timing aspect to which Shapiro is refer- “Always remember the overarching chal- pany’s logo. CNN had a headquarters where it sharing. ring is the Dolans’ $323 million purchase of lenge that we have is baseball is a game that handed out CNN ballcaps. The reality, according to team president the Indians in 2000. The season before the shares limited revenue, and then has no “We have clients that are interested but we Mark Shapiro, is that the Tribe’s much-ma- Dolans bought the franchise from Richard Ja- salary cap,” said the longtime Tribe executive, also have goals” for lining up marketing op- ligned ownership has suffered plenty of loss- cobs, the Tribe qualified for the postseason who recently was mentioned as a candidate portunities,” said Loren Chylla, executive vice es over the years, and any profits the Dolans for the fifth consecutive year, and the club’s to be the next president of the Toronto Blue president for media services at the Adcom make go back into the team. payroll in the first two seasons of the new Jays. “So just start with that. That makes the Group, a Warehouse District marketing firm. “There are not many people who could ownership was among the largest in the bulk of our revenue dependent on local rev- “We like to be prepared.” steward the process better or differently un- game. enue, and those local revenues are not com- Chylla is gathering names of businesses, de- less they were willing to take huge losses every What’s transpired since — the Browns re- pletely, but by and large determined by size veloping an inventory of signage that he will year — and they’ve taken losses quite a few turning to the NFL, the Indians’ payroll rank- See INDIANS, page 22 See CONVENTION, page 23 35 ALSO INSIDE: SPORTS BUSINESS — PAGES 15-20 Officially branded Cleveland Browns programs are NEWSPAPER 74470 83781 everywhere (and very valuable). 20150831-NEWS--2-NAT-CCI-CL_-- 8/27/2015 4:08 PM Page 1 Small Business Matters i Want more information and resources on this week's topics, ideas and events? 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