Posted: Thursday, 06 February 2014 6:15AM
Prof: Smoothie King Center makes sense for New Orleans Arena
The New Orleans Arena, where the NBA's Pelicans play, will reportedly be renamed the Smoothie King Center. An official announcement could be made as early as today.
Tulane Marketing Professor Eric Hamerman says this could be a good investment by Smoothie King if they didn't spend too much.
"It's really hard sometimes to measure marketing investments. Lets says Smoothie Kings revenue goes up 4 million dollars. Is that because their name is on the arena? It's hard to tell, it may simply be people decide they life fruit more next year," Hamerman says.
The NBA All Star Game is taking place at the New Orleans Arena on February 16th. Hamerman says that is probably why the naming rights deal is going down now.
"I really want to look at this in the sense of what am I paying for and what are the potential benefits? Once we have that information we can make a more informed decision but certainly having the All Star game here and the national TV coverage is certainly in their minds as far as the timing," Hamerman says.
Hamerman says it makes perfect public relations sense that Smoothie King would want their name on the Arena since their headquarters are in suburban New Orleans. He says the renaming could help sales in the state because residents know the company is supporting a local arena.
"Smoothie King is supporting the local arena could certainly have some sort of bump, at least in the way people perceive the brand. Now is that bump enough to get them to drive out to Smoothie King and make a purchase? That is to be determined," Hamerman says.