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Saturday, 5 May 2012

Brand Equity and the Royal Bank of Canada GranFondo

It's always great when big business get behind sport benefiting both professional and amateur sportspeople. Indeed, it's exciting to read about the RBC GranFondos not only because of this, but also because it involves cycling, my other passion. So what is Gran Fondo? Well, since it's an Italian phrase meaning "long distance" or "great endurance", let's use the Italian reference at http://www.biciveneto.it/granfondo.html  for some insight:
Take a scenic, mountainous course and add several thousand cyclists ranging from pros to eighty-year-old cycle tourists. Mix in roving and fixed mechanical and medical support, feed zones manned by cheerful volunteers ... and traffic halted at intersections to let you pass. Garnish with enthusiastic and supportive spectators lining the course. Top it off with coverage by major cycling magazines. Energy, excitement, atmosphere! 
Gran fondo races are usually 160-225 km long. The majority offer an additional fondo course (120-160 km) and sometimes even a medio fondo course (under 120 km) for those not willing or able to ride the longer distance(s). 

However, while there are not necessarily any standard distances for gran fondo events, fitting somewhere in pace and distance between hard road racing and audax (ultradistance riding where the minimum qualifying distance is a 200Km brevet, with the premiere audax event being the 1230Km non-stop Paris-Brest-Paris held every four years, while the Race Across AMerica - RAAM - constitutes one of the longest), the main attraction of a gran fondo is that it is a physical challenge for the willing participant.

As with most sponsorships, organisations benefit from increased brand equity from successful events, an asset which may result in a multitude of income statement effects as a result of increased customer acquisition, improved customer retention and even increased current and future customer sales through cross selling (increasing customer equity).

While all RBC GranFondo's are currently in British Columbia and Alberta, there is a promise that 2013 will involve a gran fondo in Niagara. While there is nothing to truly constitute a mountainous course in Niagara, I'm sure the spirit will be captured sufficiently to inspire many a GTA or Ontario resident, including myself, to reflect positively on the brand supporting these GranFondo events.

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