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Bike race in France paying dividends at home for CSC.


Every time David Seifried checks out the latest news from the Tour de France Tour de France

World's most prestigious and difficult bicycle race. Staged for three weeks each July—usually in some 20 daylong stages—the Tour typically comprises 20 professional teams of nine riders each and covers some 3,600 km (2,235 miles) of flat and
, he probably has an eye on jerseys--specifically, the type with the "CSC" in front.

Seifried is no ordinary biking enthusiast. As business development director for Computer Scienees Corp.'s Nordic region, he is the point person in the El Segundo-based company's sponsorship of a Danish-based racing team. "We started with what we see as the best way to create some top-of- mind awareness within the marketplace," he said.

While corporate sponsors nearly overwhelm the venerable bike race throughout France, Computer Sciences is an unlikely participant, having only a limited brand awareness in Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, , much less the world. But four years ago, a group of regional sales executives convinced higher-ups at the El Segundo-based company to sponsor a racing team.

The original goal, he said, was to enhance visibility in Europe, where it wasn't even getting a phone call when many big outsourcing or computer services Data processing (timesharing, batch processing), software development and consulting services. See service bureau, SaaS and ASP.  contracts went out to bid. "Our capabilities exceeded our recognition in the marketplace," Seifreid said. "We saw too many large-scale deals that we were not being invited to."

Since Team CSC Team CSC (UCI Team Code: CSC) is a professional cycling team from Denmark which competes in the road bicycle racing series the UCI ProTour. The team is owned and managed by former Tour de France winner Bjarne Riis, under the management of his company  was formed in 2001, revenue growth in the Nordic region has averaged 25 percent a year--the best for any region in the company.

New clients like the Swedish airline SAS (1) (SAS Institute Inc., Cary, NC, www.sas.com) A software company that specializes in data warehousing and decision support software based on the SAS System. Founded in 1976, SAS is one of the world's largest privately held software companies. See SAS System.  AB and the Danish Tax and Customs Authority have helped propel CSC's European business to $4.3 billion in the fiscal year ended April 1, up from $2.6 billion four years ago.

Still, the bulk of CSC's work comes from commercial and government customers in the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , including the Defense Department. For the most recent fiscal year, U.S. entities made up $8.5 billion of CSC's overall revenues of $14.1 billion.

That's where the unexpected benefits of team sponsorship have come in.

Through U.S. media coverage of the race, CSC will gain higher name recognition in its bread-and-butter domestic market, said Yan Skwara, president of San Diego-based International Sports and Media Group Inc. "They are part of the media hype of the excitement of the race," he said. "That ultimately translates into sales."

Team CSC competes in 80 races worldwide each year and the sponsorship costs more than $5 million annually. Computer Sciences is also a race sponsor, bartering information technology services in exchange for additional name branding.

"As we achieved more success, we achieve a stronger view of our sponsorship," said Peter Maneri, CSC's vice president of corporate communications Corporate communications is the process of facilitating information and knowledge exchanges with internal and key external groups and individuals that have a direct relationship with an enterprise.  and marketing.

All this for a company that does virtually no advertising, save for employee recruitment. But as the defense and private information technology sectors have become more global, the company found it has to raise its profile when competing against International Business Machines Corp. and Electronic Data Systems Corp. on consulting, system integration and outsourcing work.

The company's commitment has increased significantly since 2001, when it spent a little more than $1 million in a co-sponsorship for a brand recognition campaign in the Nordic region. (The other company bowed out after a year.)

As Team CSC has gotten stronger, professional cycling has seen a rise in overall popularity, due largely to the heroics of cancer survivor Lance Armstrong Lance Armstrong (born Lance Edward Gunderson on September 18, 1971) is a retired American professional road racing cyclist. He won the Tour de France—cycling's most prestigious race—seven consecutive times, from 1999 to 2005. .

Discovery Communications Corp. signed a three-year deal last year to name Armstrong's team the Discovery Channel Pro Cycling Team Discovery Channel Pro Cycling Team (UCI Team Code: DSC) is a US-based professional road bicycle racing team. It is the continuation of the 2004 US Postal Service Pro Cycling Team. , with plans to package the athlete's life on and off the race course.

The Discovery Health Channel has already broadcast segments ranging from Armstrong's cancer treatments to his training for races. They are shown in dozens of countries.

Along for the ride is CSC, getting exposure every time its logo appears on the cyclists' jerseys, on the standings board or in newspaper stories. It's also able to provide its clients and prospects with access to the riders.

At the Tour de France, Computer Sciences hosts a VIP tent at the finish line where clients and potential clients mingle with the cyclists after each day's race. They also are in communications with team owner and race director Bjarne Riis Bjarne Lykkegård Riis (born April 3, 1964), nicknamed the Eagle from Herning (Danish: Ørnen fra Herning), is a Danish former professional road bicycle racer who won the 1996 Tour de France, and is now the team owner and manager of Danish UCI ProTour outfit Team  on race strategy. "It would be like standing on the sidelines On the sidelines

An investor who decides not to invest due to market uncertainty.


on the sidelines

Of or relating to investors who, having assessed the market, have decided to avoid committing their funds.
 during a football game where you get all the inside information," said Seifried.

The sponsorship deal came about after Seifried and other CSC officials in Denmark heard that Riis was looking for Looking for

In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with.
 backers to form a cycling team A cycling team is a group of cyclists who join a team or are acquired and train together to compete in bicycle races of any kind - whether they are recreational or professional - and the supporting personnel. . He reached out to Riis and the two cut a deal.

Team CSC's 27 members come from 11 different countries (nine are allowed to enter the Tour de France). "It was very clear in our discussions that we wanted Bjarne to create that best team possible," said Seifried. "His PR is very important for creating full value of the cyclists for the sponsor."

Adding to that brand awareness, the CSC team has been racing well. In fact, David Zabriskie David Zabriskie (born January 12, 1979 in Salt Lake City) is a professional road bicycle racer from the United States who rides for Team CSC. In 2008 he will be riding for Team Slipstream.  held the overall lead until crashing on the third stage (Armstrong tried to refuse the yellow jersey out of deference to his former teammate). Another CSC team member, Jens Voigt, took the yellow jersey at the end of the ninth stage but dropped out when he got sick.

Armstrong's biggest challenge could come from yet another CSC rider, Italy's Ivan Basso, who was running fourth last week and kept up with Armstrong in the mountains during last year's race before finishing third overall.
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Title Annotation:Up Front
Comment:Bike race in France paying dividends at home for CSC.(Up Front)
Author:Greenberg, David
Publication:Los Angeles Business Journal
Geographic Code:4EUFR
Date:Jul 18, 2005
Words:883
Previous Article:Not all law firm partners are created equal.(Up Front)
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