ECONOMY
UH aggressive, innovative in battling slumping economy
By Ferd Lewis
Advertiser Staff Writer
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While a lot of local enterprises are being battered by the declining economy, two key economic vital signs of the University of Hawai'i athletic department, corporate sponsorships and football season ticket sales, belie the downturn.
UH said both areas, which are major sources of operating funds for the state's only Division I athletic program, are trending up. John McNamara, UH associate athletic director, said corporate sponsorships have already set a school record at $2.2 million in cash and $554,000 in trade and are poised to go higher.
Moreover, McNamara said, football season tickets, which are continuing, stand at approximately 24,500, nearly 2,000 more than last year. Last year UH had $2.1 million in cash corporate sponsorships and $421,595 in trade, McNamara said.
UH officials suggest it isn't that they have been untouched by the declining economy as much as they have taken steps to survive in it and the community is embracing new coach Greg McMackin and the Sugar Bowl appearance.
"We're concerned about the economy, which is one big reason why we took a good look at what we could do to give our customers more value," said Jim Donovan, UH athletic director. "That's why we asked our pay-per-view partners, KFVE/KHNL and Oceanic Time Warner Cable, to take a hard look at coming up with a good package and discounts for our season-ticket holders and why we have instituted changes in our football ticket sales."
UH has dropped ticket prices in six selected end zone areas for football, and froze other prices. In addition, Donovan said season-ticket holders who purchase their tickets by July 18 will receive 65 percent off on a special road football pay-per-view package.
McNamara said many of UH's corporate partners — 78 businesses that contribute from $4,000 to more than $100,000 each — have had to reassess their levels of participation. "Some have indicated a need to scale back or take a hiatus because of their situations," he said.
But McNamara added, "Basically what I've told Jim (Donovan), is we're committed to hitting that $2.4 million goal and getting well over $500,000 in trade."
McNamara said, "We've tried to work with all of our corporate partners to tailor their packages in such a way that it works for them and mirrors their marketing strategy. Plus, we're doing a lot more prospecting for new partners than ever before."
Football season-ticket sales contribute approximately 16 percent of UH's projected $28 million to $30 million budget. The corporate partner program represents about 8 percent.
"Things have been getting tough for (the corporate partners) but they really feel a real strong affinity for the university and are trying to stay involved," McNamara said.
Donovan said, "We think being partnered with UH is a positive experience and we appreciate our sponsors' loyalty in these tough times."
Reach Ferd Lewis at flewis@honoluluadvertiser.com.