It’s Been One Hell of a Year for Qualcomm
Today is another red letter day for the company with Adidas unveiling the new jersey for the Manchester United men's and women’s teams, which includes Snapdragon as front-of-shirt sponsor.
With all the focus on Qualcomm’s diversification strategy, this is another step in the company’s so far successful journey to raise awareness and reach new audiences to support its global ambitions with Snapdragon.
Everything is going to be connected and will need a chip. The company chose to rightly diversify its successful business from smartphones to automotive. It has recently made an even more opportunistic move by seeking to reinvent the laptop space. More than 20 Copilot+ PCs on the market today are powered by Snapdragon X Elite and Snapdragon X Plus platforms, representing a strong endorsement from multiple OEMs that validates its strategy and focus on AI horsepower.
At the heart of this strategy lies Snapdragon, and the objective is to build Snapdragon into a global consumer-facing and iconic brand. The key to making that happen is sponsorship and how it delivers in driving business value. In order to support this, Qualcomm has made some bold investments such as expanding its Manchester United collaboration to be front-of-shirt sponsor on a multi-year agreement. Separately, other investments include the Mercedes-AMG PETRONAS Formula One Team, with a recently announced expansion into sponsoring the team’s F1 Academy, which develops female drivers. There are others as well, such as the ESL FACEIT Group for the Snapdragon Pro Series esports competition, now the largest global multi-genre mobile gaming competition.
Raising Brand Awareness
Collectively, all of this may raise eyebrows among key stakeholders given the huge investments involved. However, these are clear business-driven decisions based on key metrics that start with the need to raise brand awareness. This cannot be stressed enough given Qualcomm’s diversification strategy and global presence; being associated with some of these iconic brands in global sports elevates Snapdragon in people’s minds. It is all about brand awareness, which, if successful, will migrate into brand consideration.
Significantly, Manchester United stands out because of its global following of more than a billion supporters. This coincides nicely with Qualcomm’s ambition to drive more Snapdragon-powered devices, whether they be smartphones, automobiles, and now laptops or any other future product categories — all powered by Snapdragon. The launch of front-of-shirt sponsorship could not have come at a better time to cut through and elevate the Snapdragon brand to new heights.
Actually, it’s been two years since the partnership with Manchester United was first announced, and through numerous activations and campaigns there are encouraging signs. As of March 2024, “more than 65% of Manchester United followers are aware of Snapdragon. Out of that group, 86% said they trusted the brand, and 80% said they loved it.”
Adidas is responsible for leading the new kit launch. It is working closely with partner brands such as Snapdragon for opportunities to intersect and amplify. Also, Qualcomm has been tirelessly working to ensure people are educated about Snapdragon. This is eloquently brought to life thanks to a launch video, which features United alumni Eric Cantona as an ambassador for the new shirt. The video is worth checking out and represents a masterstroke in unique storytelling; similar to the iconic footballer himself. I did enjoy watching the teaser clip, which ends with him saying, “Some think it’s the number on the back of a player’s jersey that matters. But, if you ask me, it’s what’s on the front.”
Snapdragon now becomes the seventh front-of-shirt sponsor for the club, sitting alongside some of the giants from previous eras on display at the club’s museum (see below).
This is a pivotal moment for all parties associated with the new shirt, with sales making up a significant chunk of revenues for the club. Some of the key markets for all concerned include the US and Asia (especially China), so I would suspect particular focus has been placed on these regions. The meticulous planning for this moment cannot be underestimated. We have and should expect to see exciting new content to help drive new sales. At the heart is revenue growth and maximising every opportunity to turn fans (even casual ones) into spending more and becoming customers.
Success is not guaranteed, however. Despite all the exposure that comes with Manchester United playing in the most prized soccer league in the world, it will take some time for the Snapdragon brand to resonate with everyone.
Both parties need to work even closer to ensure a clear roadmap is laid out to reach their stated goals. It’s all about execution which must be supported with transparency. There is the chance for some unique storytelling as part of this, and the AR experience (below) available to fans at launch by scanning the Snapdragon logo on the front of the kit is a good example. The experience, developed by Snapdragon, brings fans onto the pitch at Old Trafford and is planned to feature exclusive Manchester United content throughout the season.
A Long-Term Journey
This is the start of a long-term journey to firmly establish Snapdragon as a global technology brand in the eyes of consumers and businesses alike. There will inevitably be interest from some of Qualcomm’s OEM partners to work more closely with Manchester United too, so we should expect to see these efforts evolve over time. There will also be further opportunities for Qualcomm to work with other brands associated with both Manchester United and Mercedes F1. Here lies scope to drive and fuel fan engagement by powering new experiences such as the Mercedes-AMG PETRONAS Formula One Team VIP Garage Tour VR Experience, which provides behind-the-scenes access to the inner workings of the team. There will be a halo effect from all these strategic investments into the more lucrative enterprise space as well.
As I’ve said before, sponsorship is a powerful tool for the brand, with F1 and now soccer demonstrating the captivating synergy of sport and business. There are plentiful synergies from Qualcomm’s sponsorship activities, and I’m excited to see all the activities that are planned for the year ahead. This starts with the Manchester United pre-season tour, including a visit to the US that will see the away kit being unveiled as well, as well as the impressive branding exercise of playing La Liga’s Real Betis for the second Snapdragon Cup in the Snapdragon Stadium in San Diego.