7/4/2008 11:22:00 AM
LG renames Birmingham's NEC as 'LG Arena'
LG has announced an eight-year sponsorship deal with Birmingham’s NEC Arena that will see the venue renamed as 'LG Arena’
As part of the deal, the manufacturer will contribute to a £28M revamp of the site.
Mobile revealed in March that LG was on the brink of a deal to sponsor the NEC Arena, with LG saying at the time it was considering further sponsorship opportunities outside of London.
The venue will now undergo redevelopment, with construction work starting in September.
New hospitality suites, bars, restaurants and improved backstage areas will all be installed, and the re-brand is expected to be active from autumn.
The agreement draws similarities to O2’s successful £6m-per-year re-branding of the Millennium Dome.
LG is the first of the manufacturers to secure exclusive naming rights to a major UK events venue.
LG said that the agreement will allow it to engage with an additional one million consumers per year as it bids to increase its brand visibility.
According to UK marketing director, Andrew Warner, the deal shows the shift in the manufacturer’s focus from being a product-driven organisation to a marketing-driven one.
He said: ‘Consumer alignment to a brand is no longer simply about preference for that brand’s products. It’s about how the brand makes a consumer feel.
‘Our relationship with the NEC brings us closer to the lifestyle sector and all that is associated with it.’
The deal also appears designed to build LG’s reputation as a music-orientated brand.
The manufacturer has been active in that area this year after it agreed to partner Omnifone to launch MusicStation Max.