"The Sauber team has a high level of identification".
Peter Kern, Head of Corporate Communications at CS Private Banking, on Formula 1
Peter Kern, Head Corporate Communications CS Private Banking, on Formula 1Zurich had already dropped out in qualifying. UBS then took pole position. But Credit Suisse surprisingly won the race out of the pits. 45 days before the start of the world championship in Australia, the bank announced that it would support Peter Sauber's Formula 1 team with at least CHF 25 million a year until the 2003 season. 20 million, or as Swiss television says, even 30 million francs a year until the 2003 season: was this a surprise Christmas present for everyone involved, or was it simply well planned?
Peter Kern: We looked at various sponsorship opportunities last year and came to the conclusion that Formula 1 was the most attractive for us. The contact with Peter Sauber before Christmas and the subsequent negotiations up to the conclusion of the deal were indeed very quick. Surely an innovative and fast bank is a perfect match for Formula 1?
With such a large sum, it can be assumed that a new sponsorship budget had to be opened for this Formula 1 commitment. Is the calculation correct?
Kern: We see this commitment as an investment in the Credit Suisse brand. The bank wants to continue to grow internationally and needs a strong brand that is recognized worldwide. Formula 1 offers ideal opportunities to achieve this goal.
Will there still be cutbacks in other areas of CS sponsorship to compensate for this large sum?
Kern: The existing sponsorship commitments are not affected, on the contrary: Formula 1 is an ideal addition.
According to which key are the most important sponsoring commitments of CS actually distributed as a percentage?
Core: There is no fixed key that is used when making decisions about sponsorship commitments. The decisive factor is the marketing objectives in line with Credit Suisse's business strategy. Credit Suisse's commitments are reviewed on an ongoing basis and adapted in line with new requirements. The focus can therefore shift from time to time.
Formula 1 now offers CS an extremely attractive environment. 300 million TV viewers per race worldwide. What do you expect here in terms of image?
Core: The Sauber-Petronas racing team is an internationally successful Swiss company characterized by a pioneering spirit, teamwork and efficiency. With this commitment, Credit Suisse is supporting a team with a high degree of identification for the Swiss and international target audience. Naturally, we want to benefit from this. Conversely, having Credit Suisse as a new sponsor is certainly also a benefit for Peter Sauber.
Is the Formula 1 environment right for CS, which, as we know, has caused a few more problems for a few UBS executives, which is why this rival bank was also late with Sauber?
Kern: Today, Formula 1 is associated with innovation, high-tech and professionalism. These are values with which Credit Suisse also identifies strongly. The opportunities that Formula 1 offers a globally active company are unique. As a major Swiss bank, it was also important for us to be able to support a Swiss team with this commitment and thus contribute to the preservation of over 300 jobs.
Red Bull is not only a sponsor of Sauber-Petronas, but also a significant shareholder. At least for the time being. Formula 1 teams are known to be very valuable, as only 11 teams are allowed to take part in the races, but many more car companies would like to take part. Why didn't CS seek a stake here? Are bankers good at math?
Kern: The partnership with Peter Sauber is clearly a sponsorship commitment by Credit Suisse. We are pursuing clear marketing objectives and are not interested in any involvement.
As a Formula 1 fan, you can imagine many possibilities for marketing this commitment. Do you already have initial ideas? How will your bank's customers be able to participate?
Kern: The aim is of course to make the most of the partnership with Peter Sauber's team for both sides. Initial ideas are being discussed. One important aspect is certainly the opportunity to offer our customers exclusive events.
A 20 million budget does not work like a one-off investment. Will the effective advertising management of this commitment be handled in-house or by a specialized agency?
Kern: We will handle this in-house. Credit Suisse Financial Services and Credit Suisse Private Banking both have experience with such commitments.
Will CS have a say in the choice of further sponsors for Sauber?
Kern: We have full confidence in Peter Sauber's abilities and will not interfere in his work as team principal.
What are CS's hopes for the coming season at Sauber?
Kern: We are obviously hoping for a good season. With the two new, young and very motivated drivers Nick Heidfeld and Kimi Räikkönen, Sauber has created the conditions for this. However, results are not the only criterion for a sponsorship commitment. The decisive factor is to position our brand worldwide.
Who in the CS boardroom is already a Formula 1 specialist, and who could soon become one?
Kern: The fact that various members of the Executive Board have an affinity with Formula 1 certainly made the decision easier. But the decisive factor was the mutual trust that existed between Peter Sauber, Oswald Grübel, Thomas Wellauer and Peter Derendinger from the very beginning.
Will CS get wings in the coming months thanks to this commitment to Red Bull Sauber?
Kern: The success of CS is certainly not dependent on a sponsorship commitment. The partnership with the Sauber team is one of many elements of our communication strategy.
Interview: Andreas Panzeri
CS and sports sponsorship
Peter Kern: We looked at various sponsorship opportunities last year and came to the conclusion that Formula 1 was the most attractive for us. The contact with Peter Sauber before Christmas and the subsequent negotiations up to the conclusion of the deal were indeed very quick. Surely an innovative and fast bank is a perfect match for Formula 1?
With such a large sum, it can be assumed that a new sponsorship budget had to be opened for this Formula 1 commitment. Is the calculation correct?
Kern: We see this commitment as an investment in the Credit Suisse brand. The bank wants to continue to grow internationally and needs a strong brand that is recognized worldwide. Formula 1 offers ideal opportunities to achieve this goal.
Will there still be cutbacks in other areas of CS sponsorship to compensate for this large sum?
Kern: The existing sponsorship commitments are not affected, on the contrary: Formula 1 is an ideal addition.
According to which key are the most important sponsoring commitments of CS actually distributed as a percentage?
Core: There is no fixed key that is used when making decisions about sponsorship commitments. The decisive factor is the marketing objectives in line with Credit Suisse's business strategy. Credit Suisse's commitments are reviewed on an ongoing basis and adapted in line with new requirements. The focus can therefore shift from time to time.
Formula 1 now offers CS an extremely attractive environment. 300 million TV viewers per race worldwide. What do you expect here in terms of image?
Core: The Sauber-Petronas racing team is an internationally successful Swiss company characterized by a pioneering spirit, teamwork and efficiency. With this commitment, Credit Suisse is supporting a team with a high degree of identification for the Swiss and international target audience. Naturally, we want to benefit from this. Conversely, having Credit Suisse as a new sponsor is certainly also a benefit for Peter Sauber.
Is the Formula 1 environment right for CS, which, as we know, has caused a few more problems for a few UBS executives, which is why this rival bank was also late with Sauber?
Kern: Today, Formula 1 is associated with innovation, high-tech and professionalism. These are values with which Credit Suisse also identifies strongly. The opportunities that Formula 1 offers a globally active company are unique. As a major Swiss bank, it was also important for us to be able to support a Swiss team with this commitment and thus contribute to the preservation of over 300 jobs.
Red Bull is not only a sponsor of Sauber-Petronas, but also a significant shareholder. At least for the time being. Formula 1 teams are known to be very valuable, as only 11 teams are allowed to take part in the races, but many more car companies would like to take part. Why didn't CS seek a stake here? Are bankers good at math?
Kern: The partnership with Peter Sauber is clearly a sponsorship commitment by Credit Suisse. We are pursuing clear marketing objectives and are not interested in any involvement.
As a Formula 1 fan, you can imagine many possibilities for marketing this commitment. Do you already have initial ideas? How will your bank's customers be able to participate?
Kern: The aim is of course to make the most of the partnership with Peter Sauber's team for both sides. Initial ideas are being discussed. One important aspect is certainly the opportunity to offer our customers exclusive events.
A 20 million budget does not work like a one-off investment. Will the effective advertising management of this commitment be handled in-house or by a specialized agency?
Kern: We will handle this in-house. Credit Suisse Financial Services and Credit Suisse Private Banking both have experience with such commitments.
Will CS have a say in the choice of further sponsors for Sauber?
Kern: We have full confidence in Peter Sauber's abilities and will not interfere in his work as team principal.
What are CS's hopes for the coming season at Sauber?
Kern: We are obviously hoping for a good season. With the two new, young and very motivated drivers Nick Heidfeld and Kimi Räikkönen, Sauber has created the conditions for this. However, results are not the only criterion for a sponsorship commitment. The decisive factor is to position our brand worldwide.
Who in the CS boardroom is already a Formula 1 specialist, and who could soon become one?
Kern: The fact that various members of the Executive Board have an affinity with Formula 1 certainly made the decision easier. But the decisive factor was the mutual trust that existed between Peter Sauber, Oswald Grübel, Thomas Wellauer and Peter Derendinger from the very beginning.
Will CS get wings in the coming months thanks to this commitment to Red Bull Sauber?
Kern: The success of CS is certainly not dependent on a sponsorship commitment. The partnership with the Sauber team is one of many elements of our communication strategy.
Interview: Andreas Panzeri
CS and sports sponsorship
International Formula 1, Ski World Cup (together with Winterthur): around CHF 30 million in total.
National football (national team, association), golf (association and selected events), horse riding (association, events), triathlon, Engadin ski marathon, orienteering: a total of around CHF 15 million.
