Promotion part 2
It may be that you’ve noticed sometimes that the prices temporarily have been reduced. This way of promotion is called ‘sales promotion’. This is besides a temporarily reduction of the prices, also the opportunity to win a special gift. If you surf over the internet to http://www.tmobile.nl/ you can see the Samsung Galaxy S. The mobile phone is available for 25 Euros p/month, but if you buy the Samsung you will get a 8 GB memory card. The fact that you will get a memory card is sales promotion.
Because T-Mobile is part of the Deutsche Telekom, it is attractive for T-Mobile to sponsor a team from Germany. With no doubt I can tell you that Bayern Munchen is the most successful club from Germany. Furthermore, Bayern Munchen plays almost every year in the Champions League. You can understand that you will create a worldwide branding name if you sponsor them. The annual sponsorship fee is around 25 million Euros. The contract runs until 2013. In 2006 T-Mobile was the official sponsor of the 2006 FIFA World Cub in Germany. T-Mobile is also active in the UK. They sponsor British teams as well as Scottish teams.
Team HTC-high road is a cycling team. Their current sponsor is HTC. Before the name HTC-high road was been introduced, they called the team: T-Mobile team. The team won a lot of prices. But the problems began in 2006. There were a lot of doping scandals around the T-Mobile team. The reputation of T-Mobile suffered a lot of damage. That was the reason that the Deutsche Telekom decided immediately to stop the sponsoring ship.