Indonesian sports alerted to sponsorship potential<\/p>\n
By Primastuti Handayani<\/p>\n
JAKARTA (JP): The success of Indonesian shuttlers in retaining
\nthe Olympic Games gold medal and women weightlifters in bringing
\nadditional medals home now has a different meaning.<\/p>\n
It was the first time the Indonesian contingent was sponsored
\nprofessionally by three big companies -- fast food firm
\nMcDonald's Indonesia, Korean-giant PT Samsung Electronics
\nIndonesia and energy drink producer Extra Joss.<\/p>\n
One important result of the sponsorships was the awakening of
\nthe sports community to the knowledge that they are valuable
\ncommodities.<\/p>\n
Sports organizations -- especially badminton -- have world-
\nclass athletes who are suitable representatives for many
\ncompanies. Sports lovers can see men's singles Taufik Hidayat's
\ngood-looking face on TV screens advertising Japanese electronic
\nproducts while men's doubles Candra Wijaya's face is on
\nnewspapers carrying the latest model Korean mobile phone.<\/p>\n
The organizations also have competitions to be sponsored. The
\nIndonesian Basketball Association (Perbasi) managed to set up a
\nnew sponsorship deal with a soap producer offering more money
\nthan the previous cigarette company sponsor.<\/p>\n
These groundbreaking examples demonstrate the great economic
\npotential in Indonesian sports yet to be realized.<\/p>\n
The National Sports Council (KONI) managed to work together
\nwith McDonald's, Samsung and Extra Joss and several co-sponsors
\nfor the Olympics.<\/p>\n
McDonald's and Samsung have also promised to help KONI in the
\nupcoming 2001 Kuala Lumpur Southeast Asian (SEA) Games, although
\nthey have yet to discuss the mechanism.<\/p>\n
Their promise is good for sports development, providing money
\nto groom more younger athletes for the future.<\/p>\n
Before those sponsorships, KONI was always seeking funds from
\nthe government through the State Budget or from the Gelora
\nSenayan Management Board (BPGS). BPGS gave Rp 2 billion
\n(US$212,700) for the Olympics preparations and will hand over Rp
\n5 billion for next year's Games.<\/p>\n
It is time for KONI and sports organizations to seek
\nsponsorships in a more professional way.<\/p>\n
Selling events<\/p>\n
KONI head of sports business and industry, Fritz E.
\nSimandjuntak, said that KONI can get money from selling the multi
\nsports events.<\/p>\n
"Take the Olympics as an example. KONI could seek sponsors
\nbecause the Olympic Games are a saleable event for companies.
\nIt's a major event and a perfect media for promotion."<\/p>\n
"We can also do that with the Asian Games and SEA Games
\ncontingent."<\/p>\n
By selling the competitions, KONI can cover the expenses to
\ngroom and send the contingent.<\/p>\n
KONI started the idea when staging the 1997 SEA Games.
\nUnfortunately, mismanagement and allegations of collusion and
\ncorruption ruined the chance of making sporting events a
\nprofitable undertaking.<\/p>\n
Spectators have been traumatized at sports events, making
\nfewer people come to Senayan sports complex to watch
\ncompetitions.<\/p>\n
The situation has been worsened by giving free-of-charge seats
\nto spectators.<\/p>\n
Sports organizer Helmi Yahya opposed the idea.<\/p>\n
"Making sporting events free is definitely an uneducated way
\nfor our spectators. They must spend their money to watch sports
\nevents to appreciate our athletes performances."<\/p>\n
Helmi successfully staged Kobatama national basketball league
\nand Livoli Indonesian volleyball league. The matches of both
\nleagues have always been full house specially in cities outside
\nJakarta.<\/p>\n
"People come to sports venues to watch competitions and their
\nidols (athletes). They have to be educated to appreciate
\nsportsmanship and the players by buying tickets."<\/p>\n
Damura<\/p>\n
Needing Rp 100 billion for athletes development, it will be
\nhard for KONI to seek sponsorships. However, it is also unwise to
\nonly wait for donations. Moreover with the political and economic
\nsituation of Indonesia, politicians tend to put sports in the
\nlower priority list. KONI must be independent, especially in
\nseeking funds.<\/p>\n
KONI attempted a fund raising scheme called Damura (the
\nPeople's Fund for Sports) which offered cash prize rewards.
\nHowever, the idea was strongly opposed by the Indonesian Ulemas
\nCouncil (MUI), the Indonesian Consumers Foundation (YLKI) and the
\nHouse of Representatives. They all suspected Damura would
\nencourage people to gamble.<\/p>\n
People protested the scheme because the percentage that would
\ngo to sports development was only 6.5 percent of the proceeds.<\/p>\n
Damura operator, Mutia Farida, defended her decision saying
\nthat 50 percent of the profit went to the production process, the
\nrest going to the operators and distributors.<\/p>\n
Finally, the now-defunct State Minister for Social Affairs and
\nchairman of the National Social Welfare Agency (BKSN) Anak Agung
\nGde Agung decided on April 14 to withdraw the Damura permit
\nbecause of complaints from citizens.<\/p>\n
KONI did not stop trying to seek money after Damura was
\nhalted. It set up the KONI Foundation to earn Rp 100 billion per
\nyear.<\/p>\n
However, foundation officials, installed in October, have yet
\nto arrange a program.<\/p>\n
The failure of Damura and the uncertainty of the Foundation's
\nfuture should influence KONI to boost its sports business and
\nindustry performance instead of allowing private companies to
\ntake advantage of sports development.<\/p>\n
The new millennium is a good time for KONI and its members
\n(sports organizations) to think, act and work in a more
\nprofessional way to support national athletes performances in
\nworld events.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/indonesian-sports-alerted-to-sponsorship-potential-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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