America’s Cup Venue Bid Put RAK on the Map.

Back when Ras Al Khaimah (RAK) was announced as Alinghi’s prefferred venue for the 33rd America’s Cup, we suggested that even if the event never took place, the emirate would have attained a massive ROI on any investment, purely by the coverage that was devoted to the story. Until Alinghi’s announcement, RAK was almost unheard of outside of the UAE. Using the trusty equivalent media value calculation, it would have cost RAK an enormous amount of advertising on CNN or similar to gain the brand recall it now has.

ArabianBusiness.com now reports some of the real costs around the failed bid to host the America’s Cup in the Middle East and clarifies what was evident at the time, that the infrastructure development by RAK would have been done whether or not the America’s Cup took place.

Khater Massaad, CEO of RAK Investment Authority (RAKIA) has said that the episode put RAK on the map and also said the amount invested by the emirate to overhaul its infrastructure ahead of the race fell far short of the reported $120m.

Massaad, who is also an adviser to Sheikh Saud Bin Saqr Al Qassimi, crown prince and deputy ruler of Ras Al Khaimah said:

“Everyone has put so many figures on this. We invested in total $15m. Of that, we’ve been refunded $5m by Alinghi. The remaining $10m was [spent] on infrastructure, but things that we needed to do anyway.”

RAK was reported to have invested $120m in infrastructure, including $50m for modifications to Al Hamra Palace Residence and $1m around Al Hamra Marina, to accommodate the race.

“That was deepening the canal and… adding proper infrastructure for the channel to leave the island. Then putting in electricity, water and finishing the roads to the island, which we needed to do. The loss [to Ras Al Khaimah] did not exceed $2m.”

Emirates Team NZ Announce Gill as Official Technical Clothing Partner.

Following the collapse of New Zealand based marine clothing supplier Line7 last year, several high profile teams have been in the market for a new official clothing sponsor, including Emirates Team New Zealand.

The NZ America’s Cup challenger has announced that the new official technical clothing supplier will be Gill. The word technical suggests that the door has been left open for a more fashion oriented brand to supply the team with off-the-water kit.

Gill, which is currently supporting the UK tri-services project; exercise Transglobe, will be supplying a range of if its technical product for both the prestigious Louis Vuitton Trophy events during 2010, and the TP52 taking part in this seasons Audi Medcup.

Emirates Team New Zealand Managing Director Grant Dalton said he is pleased to welcome Gill to the team.

“The partnership brings together Emirates Team New Zealand and Gill, an acknowledged world leader in research, development, design and production of high-performance technical sailing clothing. Gill is a brand the team is proud to wear.”

Founder and Chairman of Gill, Nick Gill commented

“we have been developing high performance technical clothing for exactly these environments and this partnership offers a great opportunity to have the gear on the water with a fabulous team which are at the absolute pinnacle of performance sailing. Our new Race Collection for example has been developed specifically for this area of the sport. In elite events such as these it is the details that make the difference between winning and losing. Our high performance garments will be exposed to the race environment which they were designed for, we trust that they will excel and hope that they may even make the difference that turns a 2nd into a 1st.”

Larry Ellison Talks to ABC about Boats, Budgets and Bases.

The America’s Cup is back in America. Celebrations over the weekend marked the arrival of the Auld Mug via a first class seat and the lobbying for host city began.

BMW ORACLE boss Larry Ellison gave an interview to ABC that touched on some of the issues that will define AC 34 including the venue and what kind of boats might be used.

The interview reveals that if the America’s Cup community agree, then the format of the next event might be skewed towards being more commercial, more spectator friendly and less traditional. Ellison says he will consult with sponsors on some of the decisions, which will include where the racing will take place.

Perhaps BMW ORACLE have media figures that we haven’t seen. Ellison says that young people want to see extreme racing and that a lot of people enjoyed watching the event in Valencia because of the radical nature of the boats. It’s not like fans were ever given a choice of what boats they wanted to watch, and a lot more people watched AC 32 than tuned into the monster trimarans. While most would argue that professional yacht racing needs to provide compelling products, the (non New York Court) jury is still out as to whether the America’s Cup is the right platform to deliver that product.

The interview also talks about budgets, with Ellison throwing out a number of $2-3-4 million for a campaign in AC34.

See the complete interview here….

Can The America’s Cup Ever Lose the ‘Rich White Men’ Label?

The America’s Cup 33rd Edition might have been a triumph for technology, but it did nothing to dispel the perceptions that sailing is a sport for rich white men. Larry Ellison and Russell Coutts have said that the next edition will be fair and be run by independent management, but the consultation process will be initially with the WSTA -  another group of rich white men.

At the moment, the America’s Cup community, despite the mess of America’s Cup 33, are only looking at America’s Cup 34. The nature of the cup doesn’t lend itself to long term strategic change – just event to event management. This is where the organisers of the Volvo Ocean Race and the Extreme Sailing Series have an advantage. Apart from being commercially funded, therefore compelled to create a better product, the leaders of these events can shape the future for not just the next event, but the one after that and so on.

The Volvo Ocean Race has worked closely with external consultants, the Boston Consulting Group, to look at the sport and the event from a completely different angle and as a result, the race has innovated, not just through technology, but by identifying new growth markets.

The America’s Cup is unique and quirky and many love the fact that it is the preserve of rich white men, but for the cup to be a truly global sporting competition in the modern world, it needs to become more diverse. If the sport of NASCAR, with its roots in the deep south of America can embrace diversity, then so too can the America’s Cup.

NASCAR, which is one of the best sports marketing operations on the planet this week celebrated the outstanding accomplishments of pioneering individuals and organizations in the area of diversity at the third annual NASCAR Diversity Luncheon.

Marcus Jadotte, NASCAR’s Managing Director of public affairs said:

“Teams, tracks, sponsors and other stakeholders play an integral role in our efforts to further diversify our sport. The NASCAR Diversity Awards are a small way to say thank you and recognize just a few of those making a difference in creating awareness and opportunity.”

The America’s Cup has an opportunity that doesn’t come along very often. To stop, step back, have a look at how the event should be run in the interests of all stakeholders including the fans, sponsors, the media and it should look to new markets to encourage teams from less traditional sailing markets.

The WSTA, driven by Louis Vuitton’s requirement to sell luxury luggage to growing markets in Hong Kong and the Middle East, have moved their venues east, just like the Volvo Ocean Race, the Extreme Sailing Series and F1. What should America’s Cup 35 look like? Or America’s Cup 36?

Does the America’s Cup have a wider responsibility to the sport? Perhaps not. Perhaps it can continue to be the preserve of rich white men for many years to come, but with each event it will become a little less relevant. As the speculation begins about the best venue for the next America’s Cup, the custodians should think about what would be best for the long term sustainability of the event and not just which city council will give them the most money.

New J-Class Regattas Announced for 2012.

Nobody knows what will happen to BMW ORACLE’s America’s Cup winning trimaran USA17 or Alinghi’s sleek catamaran Alinghi 5. Chances are they will never see another race. The boats were built for a purpose, the 33rd America’s Cup DOG match, but they weren’t built for the purpose in the way the J Class Yachts were.

Perhaps the two giant multihulls will go down in history. They are definitely innovative and some would say beautiful, but they won’t still be racing in 50 years time and it is unlikely that many people will hold the same nostalgia for them as the J Class yachts.

For those who continue to be captivated by the J Class, the  J Class Association has plans for a series of spectacular regattas in England during 2012 – the Olympic Year. This will be the first time in history that more than four of these imposing yachts will race together in a fleet.

The outline plan has received a positive response from J Class owners and event planning is now proceeding. Many yachts in the fleet are now preparing to be on the start line for these 2012 events.

According the to the Offical website of the class, the events will include:

• FALMOUTH – The first regatta will be based in Falmouth, Cornwall, hosted by the Royal Cornwall Yacht Club. Races will be held in the bay and along the coastline.
• SOLENT – The second regatta will be based in the Solent, the traditional home of J Class racing in the UK during the 1930s.
• ROUND THE ISLAND – The last race will be held over the original course around the Isle of Wight, for the 1851 Hundred Guinea Cup Race, which is now known as the “America’s Cup”.

More information at http://jclassyachts.blogspot.com/2010/02/2012-j-class-regatta.html

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