How We Do It

March 14, 2008
Callaway Gets 'Rich' with Online Efforts, by Chuck Stogel (Brandweek), March 14, 2008


For the past several years, Callaway Golf has held back on its marketing support for Top-Flite, a once-dominant brand it acquired in 2003. But now, the parent company is boosting its budget for the upcoming season and inaugurating a series of unprecedented Internet moves by the equipment maker. The Web-based initiatives are highlighted by rich new-media efforts on behalf of Top-Flite golf balls, rolling out this weekend in conjunction with the PGA Tour's Arnold Palmer Invitational tournament in Orlando, Fla. Various campaigns to follow are designed to create brand showcases at a selection of sports and golf-specific sites, leading into the recreational golf season nationwide. "Top-Flite has been in the background [the past few years] while we focused the bulk of our resources and product development on Callaway and Odyssey," said Bill Knees, svp-marketing at Callaway Golf, Carlsbad, Calif. "But this year, we have revamped the Top-Flite ball lineup and we plan to put an appropriate amount of resources and efforts into reviving the brand." Rich media ads breaking this weekend, via KSL Media, New York and Encino, Calif., include placement on the homepage of FoxSports.com, with player interviews, action footage and instruction. Callaway's large roster of tour pros includes stars such as Arnold Palmer, Gary Player, Phil Mickelson, Annika Sorenstam and Morgan Pressel. Also debuting this weekend are roadblocks running on ESPN.com and YahooSports.com. It's the first time Callaway has run rich media advertising, according to company execs. The Top-Flite ad campaign, promoting its value-priced portfolio of Gamer, Freak and D2 balls (MSRPs ranging from $15.99/15 pack to $19.99/dozen), was preceded last week by placement of a series of three-minute videos on YouTube. The videos showcase a mythical superhero with a lot of "attitude" called D2 Man. In one video, oddball ESPN sportscaster Kenny Mayne is interviewing the costumed superhero. In another, D2 Man is featured with a pair of sexy, short-skirted "schoolgirl" sidekicks in a rap-inspired music rendition called "We Never Lay Up". In less than a week, the music video drew more than 1 million viewers, according to a Callaway marketing rep. "Callaway is looking to provide a resurgence for Top-Flite, and the company is backing it up with additional support," said Trista Torrez-Laing, KSL's vp/managing director. "The brand is targeted at the younger golfer with a hip and irreverent attitude, which plays well in the digital arena." Online links also will direct consumers to minisites, such as NeverLayUp.com and CallawayGolfTV.com, where additional videos are offered. The company also is looking to steer viewers to its main Web sites, such as TopFlite.com and CallawayGolf.com, where product info is available and, in some cases, interactive shopping elements. Additionally, Callaway's brand lineup includes premium Ben Hogan products. "We are promoting pre-eminent brands in a pre-eminent way," said Knees. "It is natural to extend our innovation and create a rich media experience of our brands as the Internet grows in importance for image, information and sales." Overall efforts include several creative elements: Golf.com is building blog storylines for Callaway and linking the brand to discussion forums around major championships. GolfChannel.com is making Callaway the first sponsor of the site's photo gallery and the exclusive golf sponsor of the site's homepage and tournament page during the PGA Championship in August. Callaway will have homepage roadblocks on CBSSports.com during each major professional tournament in 2008, beginning with the Masters in April. These initiatives follow the Internet launches of Callaway golf clubs and balls in February, and the Odyssey Black series of putters in January. In February, Callaway launched advertising for golf clubs and balls across the Internet, including Golf.com, GolfChannel.com, SportsIllustrated.com, PGA.com, PGATour.com, ESPN.com, CBSSports.com, Golfdigest.com and Golfweek.com. In January, the Odyssey Black putter line debuted with premium positions on such golf sites as GolfDigest.com, GolfForWomen.com and LPGA.com. Despite a continuing slide in Top-Flite sales in 2007, Callaway Golf overall posted a 10% increase in net sales to $1.125 billion for the year ended Dec. 31, per company figures. Callaway spent $33 million on U.S. ads January-November 2007, per TNS, about the same as the year before. But the company cut back on Internet ad spending from $2.1 million in 2006 to $900,000 for the first 11 months of last year. Top-Flite's support for the 11 months in 2007 was $4.3 million, with just $109,000 devoted to online. Both online and total ad spending for all brands will rise in 2008, said Knees, without specifying figures.