(by James)
Lance Armstrong is co-owner of Tailwind Sports, the team that Discovery Channel sponsors. As we reported yesterday, Discovery is dropping its sponsorship after the end of this upcoming season. So for the second time in three years, Armstrong and his agent Bill Stapleton are working the phones and looking for a new sponsor.
According to the New York Times, finding a new sponsor is appearing tough.
Bill Stapleton, a part owner of the cycling team along with Armstrong, Bruyneel and others, said Friday in a telephone interview that the owners hoped to attract another United States company as the team’s lead sponsor. But, he said, the announcement last summer that Floyd Landis, the winner of the Tour de France, had failed a drug test during the race “took the wind out of a lot of people’s sails” around the sport.
Several of the team’s lower-level sponsors “expressed their displeasure and doubts about continuing” in the sport, he said.
“Nobody asked to be let out of their contract,” Stapleton said. “What we said to all of our sponsors was that Floyd wasn’t on our team, and we have never had a positive test. We understand it’s a suspect environment right now, but we answered all their questions.”
Stapleton appears to blaming Landis and distancing himself, which again highlights why we believe his doping case is so important.
Why Sponsor?
Why does someone sponsor a cycling team? The simply answer is to boost name recognition. That is why most of the Pro-Tour teams in Europe are sponsored by national lotteries, financial firms or telecommunications companies.
How effective is sponsoring a cycling team? Phonak explains.
Before it entered the world of professional cycling, Phonak's degree of familiarity in Germany was 0.6% (1999). Today, 52% of people in Switzerland and roughly 20% of the German population are familiar with Phonak. Sales during that period rose from 314 million Swiss francs to 867 million francs (2005/06 fiscal year). Those welcome figures were achieved thanks to the marketing presence, among other things. At various races in Europe over the years (Tour de France, Giro d'Italia, Tour de Suisse, Tour of Germany, etc.) Phonak came into direct contact with thousands of people, for instance at the so-called Hoermobil, where spectators at those events could learn more about "Phonak - Better hearing" right there on the spot. In addition, during the 2006 ProTour alone, Phonak Cycling's media team put out 270 articles about the team in 176 days; not including the newsletter, which began appearing this year, each Monday. During the summer months of 2006, more than 100,000 people from different IP addresses visited the web pages. Those are numbers that speak for themselves.
So, what Armstrong and Stapleton need is an American Company that needs to boost its name recognition in Europe. A company with an interest in cycling is a plus.
Enter Amgen
Amgen is a Southern California bio-technology firm that is facing heavy competition from European bio-technology firms. Amgen also sponsors the Amgen Tour of California which starts next weekend in San Francisco.
At first blush it seems like a good fit. However their is a catch. Amgen explains:
Amgen discovers and develops innovative and vital medicines that have helped millions of patients fight cancer, kidney disease and other serious illnesses. Two of these medicines - EPOGEN(R) (Epoetin alfa) and Aranesp(R) (darbepoetin alfa) - have been used in violation of certain worldwide and national athletic association regulations by some athletes in an attempt to enhance their performance. Amgen has and continues to collaborate closely with the International Olympic Committee (IOC), World Anti-Doping Agency and other international groups to help develop effective tests to detect this improper use.
"We worked long and hard to develop these medicines to help patients fighting serious illness," said Amgen scientific director Steve Elliott. Elliott is the inventor of Aranesp and has worked closely with the IOC to develop tests to detect improper use of Amgen's medicines. "Doping is dangerous and unhealthy. This sponsorship provides us with an opportunity to combat the inappropriate use of our vital medicines and to educate athletes, both amateurs and professionals, of the potential dangers of misusing drugs of any kind."
EPOGEN, one of the first biologic human therapeutics, is approved for the treatment of anemia in patients with chronic kidney disease who are on dialysis. Aranesp is approved for the treatment of anemia associated with chronic kidney disease and chemotherapy.
Amgen make the drugs of choice for doping cyclist. These drugs that are so often used by cheaters that cycling is suffering in both in reputation and financially.
If Amgen were sponsor a team, no doubt it would be nick-named "team EPO" much like the Tour of California is called "tour EPO" by snooty European cycling fans.
But their is some logic to Amgen's sponsorship of a Pro-Tour cycling team. Not only can it increase its name recognition in Europe but Tailwind is one of the more influential teams in the Pro-tour. They can set the standard in cleaning up the reputation of cycling.
No other sponsor has as much a vested interested in in cleaning up cycling as Amgen. The rest just want it to go away. But Amgen could benefit financially to the tune of billions (in Euros!) by taking this lead. Should they pull this off, Amgen's name will become somewhat of a legend in cycling and they will enjoy benefits long after their sponsorship ends. Certainly more than Tailwind's previous sponsors -- 7/11, Motorola, U.S. Postal and, Discovery.
Ivan Basso?
The trick is pulling this off. It is not easy, but then again anything worth a big payoff is not easy. Further Italian rider Ivan Basso, winner of last year's Giro d'Italia, transfered to Discovery last November. Basso's name surfaced in the Operación Puerto doping case.
Basso name was linked to Dr. Eufemiano Fuentes (the Victor Conte of Europe) who is at the center of Puerto. Press reports say the Spanish police have documents from Fuentes implicating Basso in an illegal blood doping scheme. Spanish authorities also have hundreds of blood bags and they are attempting to get DNA tests from up to 50 riders (as well as other athletes, possibly including tennis #2 Raphael Nidal). Basso has apparently given Discovery a DNA sample and the lawyers are now arguing what to do with it.
While Basso has never failed a doping test, and was withdrawn from last year's Tour de France, he was subsequently cleared (due to lack of evidence) and is free to ride again.
It will be hard to clean up cycling's image with Basso on the team, now that he has become a "poster child" for doping. But, Discovery still has the sponsorship this year and they should have this cleared up one way or another before a potential Amgen sponsorship would take effect.
When faced with lemons, make lemonade. Cycling is suffering because riders are abusing Amgen's products. Who better than Amgen to clean up this mess?
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