Performance-Enhancing Media: Virtual Advertising in Sports

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Chapter 26 Performance-Enhancing Media: Virtual Advertising in Sports

Jon Mills University of Alabama, USA

AbstrAct With the billions of dollars at stake in sport enterprises, it is not surprising that advertising permeates every facet of athletic competition as companies attempt to increase awareness of their products to the millions of sports fans around the world who continue to make it a multi-billion dollar industry. Today in sports, it seems that everything can be purchased, even “virtual space.” For advertisers, however, the proliferation of exposure is not indicative of over-saturation, but rather presents a need for innovative ways to reach their target audiences. Like athletes who use intensive workouts and nutritional supplements, advertisers are looking for performance-enhancing broadcast options. Virtual advertising is a relatively new, performance-enhancing technique that can improve a company’s competitive edge. Following an examination of mere exposure theory, this chapter will turn to a discussion of the benefits and opportunities of virtual advertising in sports events, and finally will explore the potential controversies and drawbacks surrounding virtual advertising technology.

IntroductIon alleged sports gambling. Children collected baseball cards and autographs for their own pleasure, In the not too distant past, most fans viewed sports Babe Ruth promised to hit a home run for a sick as pure and innocent entertainment. Though it was child, and Lou Gehrig was the “luckiest man business, fans only briefly needed to contemplate on earth.” But today, sports generate billions of the enterprising or financial side of sports when dollars and even the average fan is aware of the controversies arose, such as the Black Sox scandal, ramifications of finance and sports, from contract Robert Irsay’s unexpected move of the Baltimore negotiations for players and coaches, to the cost Colts to Indianapolis, and of course, Pete Rose’s for Super Bowl ads, and funding for new stadiums and bidding wars over naming rights. DOI: 10.4018/978-1-60566-792-8.ch026

With the billions of dollars at stake in sport Virtual advertising is a relatively new, per- enterprises, it is not surprising that advertising formance-enhancing technique that can improve permeates every facet of athletic competition as a company’s competitive edge. Burgi (1997) companies attempt to increase awareness of their defines virtual advertising as “real time video products to the millions of sports fans around the insertions into television broadcast” (p. 13). The world who continue to make it a multi-billion dol- ads appear to viewers at home as if they are part lar industry. For instance, NBC paid $3.5 billion to of the actual, physical event, yet they are only hold broadcast rights for the Olympics from years superimposed by computer imaging technology 2000-2008, and paid another $2.2 billion for the and not visible to event participants, and without broadcast rights from years 2010-2012. Further- disruption of the sports event (Deutsch, 2000). For more, scoreboards, ticket stubs, cup holders, and instance, in Major League Baseball broadcasts, victory parades are also utilized by advertisers to if a camera zooms in on a batter, it may look as make their company or product name visible. On if the wall behind him has a sign for a particular the field, Reebok paid the NFL millions of dollars phone company on it, when in actuality, it is a for exclusive uniform rights for all NFL teams. High blank green screen with digital images visible profile athletes, from Derek Jeter, Peyton Manning, only to television viewers. The ads truly seem to and Tiger Woods are paid millions of dollars to wear appear naturally in the setting. When the player certain clothing brands, use particular equipment, moves in front of the sign, the ad never loses its and be seen drinking specific beverages. In some appearance or qualities that would lead the viewer ways, it appears that anything and everything is to believe the sign is fabricated. However, a person for sale. Bryant and Raney (2000) took note of this actually attending the game will see just a blank corporate-first identity that permeates today’s sports wall behind home plate. In fact, the technology broadcasts. Though they recognize the history and can be used on blank walls, as well as to cover necessity of commerce in sports, they claim, “of late, existing advertisements, create the illusion of however, the commercial skeleton has become the freestanding billboards, painted playing surfaces, all-too-obtrusive epidermis of sports on the screen” and even pennants and flags that blow in the wind. (p. 159). Today in sports, it seems that everything The technology, though now being used by can be purchased, even “virtual space.” prominent national networks, actually debuted For advertisers, however, the proliferation of in 1995. During a June 1995 Trenton Thunder ads is not indicative of over-saturation, but rather minor league baseball game, Comcast Cablevi- presents a need for innovative ways to reach their sion of New Jersey used the technology to display target audiences with their products better than their logo on the wall behind home plate (Rubel, their competition in order to break through the 1996). During the 1996 and 1997 seasons, both the clutter. In fact, during the 2003 Marketing Forum, San Diego Padres and the San Francisco Giants keynote speaker Philip Kotler, a professor of in- were the first major league teams to incorporate ternational marketing at Northwestern’s Kellogg virtual advertising on a regional basis, and ESPN School of Management, claimed that television used the technology during its broadcast of their advertising no longer works (Abrahams, 2003). 1997 nationally televised baseball game between His indictment focused on television’s antiquated the New York Mets and the New York Yankees traditional uses. One answer to this and other cri- (Dickson, 1998). Sponsors included well-known tiques is virtual advertising. Like athletes who use companies like MasterCard and Pepsi, as well as intensive workouts and nutritional supplements, an ad for the film Armageddon. Following the advertisers are looking for performance-enhancing game and its showcase of this new technology, broadcast options. Bob Jeremiah, ESPN’s Vice President of Special

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Sales, claimed that sponsors were pleased with the vidual to a stimulus is a sufficient condition for advertisements, and that ESPN would continue to the enhancement of his attitude toward it” (p.1). look for ways to use the technology, which they In other words, if the simple and unimposing ex- did. By the year 2000, Major League Baseball posure of a stimulus is repeated, a familiarity is had committed to using virtual advertisements created with the stimulus; that familiarity is trans- in at least twenty Sunday night games (Deutsch, ferred to increased positive feelings. Interestingly, 2000). By 2008, nearly all televised MLB games Zajonc argues that all that is needed to increase contain virtual advertisements. liking is familiarity; there is no need for positive These ads are now used in nearly every sport reinforcement or an unconditioned stimulus. broadcast from baseball and football, to soccer Though the premise is simple, the implications and tennis, and its technology has been widely are profound. In contrast to cognitive processing used during 2008 Summer Olympic Games in models of persuasion, such as the Elaboration Beijing. What becomes part of sport consum- Likelihood Model (Petty & Cacioppo, 1986, ers’ consciousness as a virtual line in a football 1990), with mere exposure, there is no cognitive broadcast that allowed viewers at home to see “skill” or process undertaken by the subject, nor the first down marker span the width of the field, is there an associated “message” attached to the has turned into a ubiquitous part of nearly every simple exposure (Bargh, 2001). Further, for mere sports broadcast, from football markers and swim- exposures to affect overall evaluation there is no mers’ names imposed on their lanes, to sponsored motivation or purposive effort by the receiver of billboards and product placements that change the repeated message, merely repeated exposure. throughout the event. Given the increasing use and This almost subliminal form of conditioning is ac- acceptance of virtual technology, this chapter will complished without the subject’s conscious effort identify key issues that have led to both the need of processing, while still generating potentially for and adoption of virtual advertising in sports. positive affects. Bornstein (1989) states that there To do so, Zajonc’s (1968; 2001) mere exposure have been numerous studies that show the effects theory will be applied to this context and used to of mere exposure are attained with the subjects analyze the potential effectiveness of this new being unaware of the stimuli. So, not only does advertising technique. Following an examina- exposure that is unaware to the subjects create tion of mere exposure, this chapter will turn to the predicted results, more complex and detailed a discussion of the benefits and opportunities of exposures may be less effective. Similarly, the ef- virtual advertising in sports events, and finally will fects from stimuli that are not clearly recognized explore the potential controversies and drawbacks by the subjects are substantially larger than those surrounding virtual advertising technology. that are recognized by the subjects (Bornstein & D’Agostino, 1992; R.B. Zajonc, 2000). When trying to create positive attitudes toward stimuli MErE ExPosurE via mere exposures, the more simple the exposure the more effective. Building upon a long line of research that dem- Bornstein and D’Agostino (1992) illustrated onstrates exposure to a stimulus increases posi- this effect of simple, unnoticed stimuli by examin- tive feelings toward that stimulus, Zajonc (1968) ing subliminal stimuli as measured against more presented his theory, now known as mere exposure blatant stimuli. They showed that the subliminal or mere-repeated-exposure (see Bornstein, 1989). stimuli fostered higher rankings of “liking” as op- Zajonc explains the premise of the mere exposure posed to the stimuli that was easily recognizable to by claiming that “repeated exposure of the indi- the subjects. Here, the more obvious the stimulus,

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the resulting exposure effects were weaker than also gives consumers a sense, true or not, that the the less obvious stimulus. Within the relationship sponsor’s products/services are used extensively, between exposure and potential positive attitudes making them even more desirable. In the case of toward the stimuli, mere exposure has a diverse sponsorships, mere exposure worked. That the and far reaching application to many contexts, same positive relationship should hold true for including virtual advertising. mere exposure through virtual ads. If consumers consistently see virtual ads, particularly as part of the “scenery” of sports through placements on VIrtuAL AdVErtIsInG venue walls and playing surfaces, the exposure And ExPosurE is operating to provide a sense of the product as an integral part of the sport itself. The implications for mere exposure is that advertis- This strategy has high potency potential in light ers are now choosing to promote their companies of Bornstein and D’Agostino’s (1992) findings and products to the vast audiences attending to discussed above which hold that simple messages sports, who are spending billions of their dollars. can be the most effective means of achieving mere When advertisers need to maximize their expo- exposure. In virtual ads, the ad itself must stay sure to their audiences – quantity does matter. As simple and clean to keep from distracting from Baker and his colleagues have argued, the amount the event itself. Thus, the logo or simple visual of attention advertisers’ brands get through be- image can be processed quite subliminally, an ing shown on television, mentioned as sponsors, important aspect of mere exposure. If done well, advertisers, seen on banners, etc. will affect mere then, virtual ads should be frequently shown, and exposure’s power through familiarity (Baker, be unobtrusive. In many ways, this defies long- 1999; Baker & Lutz, 1999). Virtual advertising time advertising strategies of becoming the most that appears to exist as part of the program itself noticed ad in attempts to break through to the con- is one viable option. Applying Zajonc’s (1968) sumer. This technology clearly offers “quantity” work on mere exposure helps explain why this as an alternative to “quality” if quality is defined technology might be a powerful new force in as consciously attended to advertisements. advertising. Zajonc demonstrated that the more There is a significant body of evidence that times a person was exposed to a stimulus, the supports the effects of mere exposure, yet for higher the probability that the person gained a advertisers, the goal is not just to attain familiar- favorable attitude toward the stimulus. As Born- ity and positive affect, but also to influence buyer stein (1989) explains, “in short, familiarity leads behavior. According to Baker (1999) positive to liking” (p. 265). Here, this familiarity results affect in absence of buyer behavior is fairly use- from repeated exposure. less in meeting advertisers’ goals. Just because a Applying the idea of mere exposure within a marketing campaign may be memorable or have sports context, one scholar looked at how mere widespread appeal, if it does not drive sales, it exposure, through sponsorships rather than vir- should be rendered useless. Clearly, the goal of tual advertisements, might affect sports fans’ companies advertising their products is to obtain perceptions of a company. Bennett (1999) used a positive change in attitude toward their product Zajonc’s work on mere exposure as a template or service, ideally with the least amount of effort to evaluate the effectiveness of particular soccer and financial cost. Baker (1999) asserts that though sponsorships in the U.K. He concluded that the there are few studies that test mere exposure in mere exposure of sponsorship not only delivers advertising research (e.g. Janiszewski, 1993; when it comes to boosting brand awareness, it Obermiller, 1985), that research does support the

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use of mere exposure in advertising. Importantly, through virtual advertising provides the exposure existing studies support mere exposure’s central that companies and products need to give them a claim that, “unconscious automatic effects of competitive edge of their own. mere exposure are distinct from the deliberate inferences that individuals may make about the conscious familiarity created by advertising ex- bEnEFIts And oPPortunItIEs posure” (Baker, 1999). oF VIrtuAL AdVErtIsInG Extending the discussion of mere exposure in advertising, Baker (1999) posits three ways that non-broadcast conducive sports mere exposure can affect buyer behavior. The first, brand familiarity, implies that mere exposure can First, historically, many sports have conformed to help “relatively unknown brands” compete against a television-friendly format. As Maidment (2006) one another or well-known brands to compete notes, Olympic events, Wimbledon tennis cham- against one another. Then, if buyers’ knowledge pionships, and other world class sporting events or familiarity of brand choices is equivalent, mere have tried to adjust their schedules to adapt to exposure can increase familiarity for the well- American television schedules, despite the dif- advertised product and ultimately make them ficulties the event timing may present for local the more familiar, ultimately purchased product. audiences. Even baseball’s night games have been Quality differentiation and the motivation to indicted as pandering to television viewers rather deliberate at the purchase point are the other two than ticket holders (King, 2008). The adaptations factors known to affect the effectiveness of mere are not actually for American television audi- exposure in advertising contexts (Greenwald & ences, but for the advertisers who are targeting Clark, 1984). Quality differentiation is a factor those audiences. It only makes sense that a larger that operates when competing brands are per- audience is available to watch televised sporting ceived to be equal in “objective characteristics.” events during prime time hours and on weekends, In other words, if two toothpastes have equal and therefore, those audiences can receive the cavity-fighting protection and whitening ability, messages and promotions of the advertisers. the brand the consumer is most familiar with, In fact, as several scholars and reporters have through mere exposure, will likely be purchased noted, sports themselves have adapted rules of (Baker, 1999). Similarly, if motivation is low to play for the benefit of broadcasting (Bennett et deliberate between brands, familiarity through al., 2006, Levine, 2008, Maidment, 2006, Zhou, mere exposure can act as a “tie-breaker” (Baker, 2004). The National Football League plays four 1999; Baker & Lutz, 1999). And, while customers quarters with a halftime, including multiple time- may find traditional advertisements distracting, outs allowed for each half. The National Basket- Bennett and his colleagues (Bennett et al., 2006) ball Association follows the same four-quarter, found that viewers are not aversive to virtual ads. multiple time-out set-up. Many time-outs or time Specifically, they investigated attitudes toward stoppages have even been built into the rules to virtual advertising versus commercial advertis- allow for networks to air television commercials. ing during a sports broadcast. For example, when Yes, television commercials have dictated rule almost 200 participants watched a segment of changes for popular sports, which may even al- a football game, they found that the virtual ads ter game strategy. Even the National Collegiate were less irritating and more credible than the Athletic Association (NCAA) has altered when traditional commercials. In sum, with all factors the clock stops during college football games to being equal, becoming part of the sport landscape allow for maximum commercial opportunities,

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as requested by the media that air the games. As sports may get a new lease on life when it comes a result, the NCAA is now battling excessively to the ability to be televised by major networks, lengthy games that are difficult for viewers who and advertisers will have more ways of reaching may not be able to commit three to four hours fans of such sports. Maidment (2006) notes “the of viewing time. They are examining ways to money television brings into professional sports shorten the game span. To do so, the number of transforms them from a one-off spectacle before commercial opportunities will not likely dimin- paying customers at a specific place and time into ish, but new rule changes will limit the number a global business.” Turner and Cusumano (2000) of minutes, and thus plays, during each game. As claim that there should be a great deal of interest noted by Levine (2008) “And since the real cul- in a technology that “can enhance the message to prit – television stoppages – is unlike to ever fall consumers, improve the targeting of messages, or in the NCAA’s crosshairs, it is once again being slice through the advertising clutter” (p. 51). They suggested that the timing rules be altered.” Thus, assert that virtual technology guides ads to places rather than challenge the authority of broadcasters they weren’t before, like potato chip companies and advertisers, the NCAA is likely to find other being able to advertise on the field during soccer ways, such as rule changes, to shorten games. matches, and beef companies can place their logos Television stoppages are not new, and the com- into bicycle races, like the Tour of Spain on the mercials generate revenue for the networks, and pavement, on the screens etc. ultimately the universities, conferences, and the For instance, the Federation Internationale de NCAA itself. This not only perpetuates colleges’ Football Association (FIFA), international soc- and universities’ dependence on this revenue cer’s chief governing body, calls for two forty-five and their desire to be televised, but commercial minute halves to be played during a match, where television’s integral role in the success of these stoppages and interference are kept to a minimum. relationships. Here, virtual billboards can be part of the broadcast, Given this dependence, some sports have his- and sponsor’s logos can digitally become part of torically been shunned by network broadcasting, the playing field during the much-uninterrupted thus hurting the potential for those sports gain- broadcast, allowing advertisers to become not ing exposure to wider audiences, and ultimately merely part of a rare commercial break, but part popularity. As noted by Bennett, Ferreira, Tsuji, of the event itself. In fact, according to Turner and Siders and Cianfrone (2006), without continuous Cusumano (2000), one of the advantages of virtual and regimented breaks in action, sports like soc- advertising is that advertisers “can have their logo cer and hockey have struggled to fit within the or advertisement ‘in camera’ at all times, creating modern mold of advertising breaks. Thus, though what they call “no wastage” (p. 52). many televised sports have even changed rules With this application, sports that are not strictly to allow for “television time-outs” that build-in regimented and commercial-friendly become stoppages for commercials, some sports do not viable and welcomed options for commercial allow for such advertising-friendly opportunities. broadcasts. What many see as “niche” sports due In turn, this lack of coverage weakens advertisers’ to their lack of television success can potentially ability to tap those sports’ fan base. become as mainstream as professional football One important benefit of virtual advertising is and baseball. Chowdhury, Finn, and Olsen (2007) that it has allowed sports to become more adver- assert that virtual advertising “is also suitable for tising-friendly, which will ultimately allow them particular types of programming, such as live to generate more television revenue for sponsors sports programs that do not have natural breaks to and organizers. With virtual advertising, these accommodate advertising inserts” (p. 86). Though

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one of the United States’ most triumphant moments ads are part of the “actual” event, becoming part in sports was the 1980 “Miracle on Ice” Olympic of the game, match or field itself. hockey team that won the gold medal, profes- Obviously the sporting event is the primary sional hockey has not enjoyed the same reverence. reason for the broadcast, where virtual ads are There seems to be a “seamless” border between able to tap into the already-present viewers, the United States and Canada, where hockey is utilizing a built-in audience. Therefore, while immensely popular, yet there is an world of dif- fans may choose to skip or delete ads, viewing ference between the commercial success of the the broadcast of the event requires exposure to National Hockey League and others major sports the virtual advertisements. Chowdhury and colleagues. While professional baseball and football, leagues (2007) examined viewers’ ability to avoid as well as collegiate sports in the U.S. can be seen exposure to advertisements. They claim that as on every major broadcast network, including consumer digital recording devices becomes more many cable networks, professional hockey has a standard in households, the “technology threatens broadcast contract with the Versus cable network, the business model of current television advertis- which was previously known as the Outdoor Life ing, which is based on revenue generated from Network, with just a fraction of the commercial ad placements during breaks in programming ” reach compared with the mammoths carrying the (p. 85). Here, virtual advertising combats any advertising-friendly sports. With virtual advertis- current digital fast-forwarding or deletion. In ing, companies can place their ads on the glass, the theory, with the diffusion of home digital record- backboards, the nets, or even on the ice. By doing ing, commercial breaks might become obsolete. so, hockey can become a “mainstream sport” for Avoiding advertisements is “a robust behavioral the media, despite the lack of regular commercial phenomenon demonstrated by television viewers stoppages. And, interestingly, the virtual adver- ” (p. 85). One of the chief benefits of such devices tising technology itself is well-known to hockey is that they allow viewers to watch programs on viewers as the “glowing blue puck” that allowed their schedule, putting a premium on maximizing viewers at home to better track the action on the time and schedules. It is apparent that one thing ice (Sweet, 2003). consumers will try to reduce or eliminate during their busy lives is advertisements. With a move unavoidable Advertisements toward a more consumer-based interactive type of programming, the future potential of virtual Second, as consumers are empowered with the advertising’s ability to remain “zap proof” during ability to control their media consumption, spe- programming is unrealized. cifically advertising, with the advent of TiVo and similar digital recording devices, advertisers need Market segmentation capabilities to examine ways of marketing themselves without being skipped or deleted. Consumers are in more Third, given the advances in digital broadcast- control of their viewing preferences as ever before, ing, advertisers will not need to advertise to with many outlets, including television, Internet non-relevant groups, as they would by airing and mobile, from which to view content. Many advertisements that might not appeal to all of the live sporting events are now available online, audience, or by merely purchasing signage at a with limited or no advertisements. Paying for venue. Segmentation is critical; from national traditional and often expensive commercial spots magazines with regional covers, to international can be wasteful if those commercials are ignored, video game companies, many marketers are uti- deleted or not included in particular outlets. Virtual lizing this potential. Virtual ads can be targeted

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geographically to particular viewing audiences, many sporting events via traditional means, could using specifically crafted messages, and as the also benefit greatly. Convertibles might be more technology improves, the ability to reach more prevalent in warmer regions, where four-wheel differentiated target audiences will increase (i.e. drives might be a necessity for consumers in by race, gender, class, and other demographic snowy conditions. Through virtual advertising, variables). Viewers from New York and California GM could focus specific products in specific watching the Yankees play the Dodgers could see regions during a single broadcast, making a much totally different virtual ads, ones that are specific more efficient use of advertising revenue. The to their local team and location. In fact, during the potential for marketers to utilize geographic, 2007 World Series, MLB introduced this technol- demographic and psychographic data when ogy, feeding different virtual ads to Canada, Japan, crafting advertising campaigns is immense. With Latin America and Mexico (PVI, 2007). every internet-connected computer containing a This is even more useful when broadcasts unique Internet protocol number, and home digital span not only different regions, but multiple video recorders also being connected to the web, countries and languages. As many sports continue if the data on each computer or recorder is pres- to span across international borders, so too does ent, virtual advertising via the Internet and DVR its viewing audiences. Major League Baseball systems could ultimately be customizable on a and the National Basketball Association have per-household basis (Deutsch, 2000). seen a tremendous influx of international players Sony is offering virtual advertisements in its recently, thus creating a borderless audience, yet PlayStation 3, which includes sports games. A including many marketing challenges. If the needs Sony spokesperson claims that certain games are and demands of these audiences are realized, the played by certain types of people, which create ability for virtual ads to specifically target these opportunities for marketers to target these specific groups is extremely valuable. As Moorman et al. groups with specific messages (AFP, 2008). This state (2007) “planners need additional weapons supports the opportunities for marketers to reach in the intensifying battle for consumers’ atten- specific groups with varying messages through tion” (p.132). virtual advertising. If Sony already knows the According to their website, CKE Restaurants characteristics of its various consumers, their abil- has franchised over 3,000 fast food restaurants ity to craft specific messages allows for a much in the United States. However, all of their restau- more efficient marketing strategy. rants, though almost identical, do not go under This ability to reach market segments not only the same name. They operate 1,000 restaurants allows marketers to maximize what they can ad- in the western U.S. called Carl’s Jr., and almost vertise, but also exclude what they can’t advertise. 2,000 restaurants in the Midwest and Southeast Until recently, marketers of liquor products in under the Hardee’s name. If CKE had the abil- the U.S. have followed a 50-year self-imposed ity to purchase a single advertisement during a ban on television advertising of liquor. Cigarette national broadcast, yet with the different brands broadcast advertising has been banned in the reaching the different regions simultaneously, U.S. since 1971. Similar product advertising is virtual advertising’s benefits become evident. The also regulated in Europe. With regulations differ- ability of organizations with multiple brands and ing between countries, the ability to not include products to reach very specific segments of their certain brands or products might have legal and consumers would be valuable to many. Similarly, regulatory ramifications as well. an auto manufacturer such as General Motors, Deutsch (2000) indicates that this issue is a who has many brands and has advertised during universal problem that virtual advertising can

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help combat. Europe’s Formula One auto racing for the golfers. According to Liberman (2004), organization has successfully used the technology this is not only helpful as a tool to learn the game to display tobacco ads in countries with tobacco- and evaluate strategy as an armchair golfer, but as friendly advertising policies, yet omitted those ads networks look for additional sources of advertising from the broadcasts in countries where regulations revenue without clutter, this provides a seamless on tobacco advertising are more stringent. and unobtrusive way to sell advertising space. As the technology continues to develop, Ber- dynamic and Interactive nstein (2002) states that PVI, an innovator in the Virtual Advertisements virtual technology can “compete with other forms of advertising by making its virtual ads more Fourth, virtual advertising benefits not just ad- dynamic, complete with animation, and perhaps vertisers, but also media groups and viewers. As some day, interactivity” (p.17) that would lead revenue for marketing is allocated, advertisers to viewers’ ability to immediately interact with must compete for financial resources. Virtual and respond to the ad through obtaining more advertising technology allows broadcast media information about the product, or even order- to provide something other media cannot: ani- ing the product simply by using the television’s mated, changing and dynamic ads. The messages remote control. Bernstein calls the potential for can be changed throughout the coverage, and be interactivity through virtual advertising the indus- adapted to fit the action (Bennett et al., 2006). In try’s “savior in waiting” that will take viewing other words, virtual ads are not just snapshots, to the next level. For instance, in the future, if a logos, or static pictures; they can be energetic, PGA fan was watching the game, saw the virtual lively advertisements that move and change. For caddy and the ad placed by FedEx, he or she could instance, a shoe company does not just have to put instantly retrieve FedEx rates via the television its logo on the electronic billboard, but instead, it screen (linked through the Internet), and even can highlight the product spokespeople wearing schedule a package pickup. David Stitt of PVI the product, when those people are central to the echoed the capabilities behind virtual advertis- game. For instance, when a star soccer player ing (Bernstein, 2002). He claimed that the value dribbles toward the goal, the shoe company can of the technology is not in the enhancement of a place his or her image on the field advertise- broadcast with features like a virtual first down ment, and if a goal is scored, the advertisement marker, but in the full dynamic array of benefits could change to a celebratory or congratulatory to the advertisers. In most cases of advertising, ad. Similarly, a beverage company could show exposure to a brand or product is futile if it does different players drinking their product depend- not result in increased revenue. As virtual adver- ing on which team is on offense, or even by the tising technology continues to expand, the direct team leading the game – hence connecting their link between advertising exposure and consumer product with a winner. behavior will be easily measurable. The advertisement can also be instructional or The interactivity of ads can be further height- educational, such as the digital caddy sponsored ened by the use of computer and television by FedEx in the Professional Golfers’ Association “cookies” that can determine which ads are most (PGA) broadcasts (Thomaselli, 2004). The digital appropriate for the particular viewer (Deutsch, caddy used in PGA broadcasts shows viewers at 2000), and ultimately, some scholars predict that home recaps of players’ performance, including the customization of the ads via individual televi- putting success and even provides insider tips on sions, and demographics preferences is inevitable the course positions that would be most helpful and beneficial for all parties: viewers see ads for

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product that interest them, advertisers concentrate trend of consumerism in athletic events (Reich, their dollars on potential consumers, and media 1996; Sherman, 2001). Reich asserts that virtual can sell multiple ads for the same virtual space. advertising creates negative value for everyone, Having a more direct relationship with a par- including the viewers, purists, sponsors, adver- ticular team, event or venue, can enable compa- tisers and broadcasters. He compares virtual ads nies to reap the dynamicand intangible benefits to the colorization of classic black and white of virtual advertising. With so many consumer movies, asserting that this technology tampers products available being marketed through mul- with “reality.” Further, he claims that ultimately tiple outlets, advertisers need to “connect” with overall revenue will decrease as advertisers vie consumers more. In an interview with CNN, Jack for position within the virtual event, and eschew Pitney, vice president of marketing for BMW of traditional advertising. Virtual advertising can lead North America, claims that BMW tends to focus on to contentious issues surrounding the authenticity consumers’ psychographic characteristics versus and integrity of a venue or event surrounding a their customary demographic data, like age, gender virtually-altered broadcast, or at the very least and location (2008). He claims this marketing one seen as intrusive or distracting. Another strategy looks at a consumer’s “mindset” and concern involving the authenticity of an event is then BMW can target their different products in the ease at which unofficial sponsors are capable a way that resonates with consumers’ emotions. of ambushing corporate sponsorships. Here, the Ultimately, these different emotions and al- intricate relationships between teams, venues, legiances can be utilized via virtual advertising, broadcasters and marketers can be tested. For tailoring specific products at different times to example, according to Cianfrone, Bennett, Sid- different groups. This type of targeting is becoming ers, and Tsuji (2006) networks have the ability increasingly important for advertisers, as has been to replace actual stadium signs with electronic seen by the NFL’s purchase of consumer viewing images. Since the networks do not receive rev- habits during the Super Bowl from TiVo. This enue from venue signage, this allows them a information allows the NFL to more thoroughly new revenue stream. As discussed within the explore its consumers’ broadcast behaviors, and legal aspects surrounding sports, Deutsch (2000) utilize that information with potential advertisers indicates that team owners, venue owners, media in mind (Miller, 2002). Though more primitive conglomerates, and advertisers need to wrestle than individual targeting, it is clear that the need with difficult questions, such as whether virtual for segmentation and targeting appropriate audi- ads will supersede stadium signage, or whether ences is critical, and virtual advertising technology advertisements imposed into stadium landscape allows marketers to pursue their goals in increas- will result in viewers confusing advertisers with ingly sophisticated ways. sponsors (which can be significantly more costly), and how the virtual ads will potentially ambush the advertisements that occur in commercial breaks. crItIcIsMs oF VIrtuAL Further, addressing virtual advertisings role AdVErtIsInG within media’s control of sport reality, Arne Har- ris, the long-time producer and director of WGN’s In practice, some critics feel that there is no value Chicago Cubs games, fielded complaints from in virtual advertising and that the entire practice station executives immediately following the in- takes away from the coverage of the sports, itself. troduction of virtual ads into televised Cubs games They argue that sports, in general, are too commer- (Sherman, 2001). Station executives asserted that cial and this practice continues this problematic WGN was compromising the integrity of the

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broadcast and bringing into question whether the He claims that all networks are guilty of cater- game was televised or “created,” by the network. ing too much to advertisers and that this has Relating this event to the capabilities of virtual too much influence on the actual games being advertising, the authenticity of the broadcast of played. Fendrich is not alone in his concerns. sporting events can come into question. There is Ferguson (2001), claims that media critics op- a potential for backlash, either against the event pose the technology, and that the credibility of or advertised product if viewers feel they are be- the broadcast is threatened; he quotes Derrick de ing misled. Many venues are seen as sacred, and Kerckhove, a culture and technology researcher virtual ads have the capacity to “desecrate” the at the University of Toronto, who refers to vir- pristine nature and history of these venues. tual advertising “electronic littering” (Ferguson, Virtual advertising literally has the ability to 2001). Even best-selling author Stephen King has re-write history as it allows for repeated mere weighed in on the ever-increasing advertising in exposure, as well as removed exposure. During sport, addressing concerns in an article he wrote the 2008 Summer Olympics, Visa, an official titled “How TV Ruined Baseball” that appeared Olympic sponsor, ran a campaign titled “Go in Entertainment Weekly (2008). In his essay, he World.” According to Visa’s website, the campaign says, “‘Sometimes you just want to say to the suits “Celebrated moments that exemplify the Olympic running America’s pastime, ‘Have you no shame? Games spirit.” One commercial featured a British Is there nothing you won’t sell? No disgrace you sprinter competing in the 400 meters at the 1992 will not visit on this wonderful game in order to Olympic Games in Barcelona. Derek Redmond turn a buck?’” (p. 1). Thus, for many pundits and injured himself during the race and attempted to fans, sport has been too long lead by corporate limp the final stretch. Redmond’s father appeared objectives rather than fan appreciation, thus this on the track and, arm in arm, helped his son across new turn to virtual advertising represents one more the finish line. The original visuals of this poi- encroachment on many peoples’ opportunity for gnant moment included Redmond’s father being leisure activity and escape. dressed in Nike gear from head to toe. In Visa’s updated commercial, Redmond’s father appears to be dressed in all white, digitally removing the concLusIon Nike slogans and logos that were actually there. Visa succeeded in re-writing a historic moment. Recently, though not used as a product adver- This can lead to official sponsors of past teams or tisement, the 2008 Olympics opening ceremony athletes losing their association in future digital in Beijing came under scrutiny for using digital representations and advertisements. There is also technology to enhance a fireworks display. The the potential to not only removing original prod- broadcast of the ceremony included what appeared ucts or messages, as Visa did, but to replace them to be 29 synchronized firework “footsteps,” rep- with contemporary, updated images. For example, resenting the previous 29 Olympiads. In actuality, images of Mary Lou Retton and her 1984 gold these computer-generated effects were only seen medal performance could show her preparation by the television viewing audience. Many major routine to include listening to an iPod, which was news networks and wire services, including ESPN, not in existence at the time. MSNBC and the Associated Press, brought atten- Fendrich (2001) not only objects to the change tion to the previously recorded digital fireworks in the event for television viewers, but also claims that were broadcast as a live event, telling us they “Sports events are mere fillers employed as a were fake and letting us in on the “secret.” Yet, means to flash sponsors’ names on the screen.” these same critics readily offer virtual space to

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advertisers within sporting events. This technol- Agence France-Press. (2008). Sony says to put ogy that allows companies to break through the virtual ads in PlayStation 3 games. Retrieved July clutter, create advertising space within the sporting 22, 2008 http://afp.google.com/article/ALeqM5h- event, and become part of the event itself, can also B76UHrOp8aynie9lZxquyizoppg be used in other applications such as fireworks Baker, W. E. (1999). When can affective con- that are not seen in the sky, but on the monitor. ditioning and mere exposure directly influence Even today, we could see virtual billboards in a brand choice? Journal of Advertising, 28, 31–46. baseball broadcast for products where only sky exists in the actual terrain -- in essence, creating Baker, W. E., & Lutz, J. (1999). The relevance- revenue out of thin air. accessibility model of advertising effectiveness. Virtual advertising is relatively new, but the In Hecker, S. H., & Stewart, D. W. (Eds.), Non- need for advertisers to get their message into the verbal Communication in Advertising (pp. 59–84). minds of consumers is not. As we move from Lexington, MA: Lexington Books. phone books to yellowpages.com, encyclopedias Bargh, J. A. (2001). The psychology of the mere. to Wikipedia, landlines to cell phones, and VCRs In Bargh, J. A., & Apsley, D. K. (Eds.), Unravel- to DVRs, marketers and the media are looking ing the Complexities of Social Life (pp. 25–37). for ways to expose consumers to their product, Washington, DC: American Psychology Associa- and to do so repeatedly and with the desired ef- tion. doi:10.1037/10387-003 fect. As consumers become more media literate, they recognize that models are airbrushed, that Bennett, G., Ferreira, M., Siders, R., Tsuji, Y., product placement in movies are not accidental, & Cianfrone, B. (2006, October). Analysing the that spokespeople are well-paid, and they are effects of advertising type and antecedents on at- empowered to skip ads through channel surfing titude towards advertising in sport. International and digital editing. Research on mere exposure Journal of Sports Marketing & Sponsorship, is clear: familiarity produces results. Thus, while 8(1), 62–81. literacy and savvy increases, and ability to elude Bennett, R. (1999). Sports sponsorship, traditional advertising improves, advertisers must spectator recall and false consensus. Euro- continue to get their companies’ messages in front pean Journal of Marketing, 33, 291–313. of the consumers. Though critics may not like doi:10.1108/03090569910253071 the practice of using virtual ads in sport events, it clear that the practice will only continue to Bernstein, A. (2002) Boom! TV advances could evolve. Theoretically, better understanding the disappear –without funding, next wave of inno- process and mechanisms of mere exposure, as vation might not even make it to screen. Sports well as the other relevant variables that teasing Business Journal, 17. out the variables that influence the effects of the Bornstein, R. F. (1989). Exposure and affect: ads on consumers, will help advertisers make Overview and meta-analysis of research, 1968- better choices for positioning their product and 1987. Psychological Bulletin, 106, 265–289. allocating their marketing budgets. doi:10.1037/0033-2909.106.2.265 Bornstein, R. F., & D’Agostino, P. R. (1992). rEFErEncEs Stimulus recognition and the mere exposure effect. Journal of Personality and Social Psychology, 63, Abrahams, G. (2003, October 16). TV fame loses 545. doi:10.1037/0022-3514.63.4.545 out to drive for effectiveness. Marketing Week, 15.

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