Yahoo Finance sports reporter Josh Schafer examines the renaming of Heinz Field by insurance company Acrisure.
- The ketchup bottles are coming down at Heinz Field. Michigan-based insurance company Acrisure will take over the home of the Pittsburgh Steelers and Pitt football, renaming the field to Acrisure Stadium according to multiple reports. Our very own Josh Schaeffer is on top of this. Acrisure? I mean, we all-- Heinz, right?
JOSH SCHAFER: Yeah.
- Heinz Field is so, I mean, synonymous with the Steelers.
JOSH SCHAFER: Yeah. I could go-- I mean, I had to look it up. You probably had to look it up as well-- Acrisure. so it's an insurance company out of Grand Rapids, Michigan.
The connection here is expected to be that there is a minority owner for the Steelers who also owns a company that is involved with Acrisure. So that's our connection to Pittsburgh because normally, you see companies, especially if you don't know them, they probably have some kind of local tie, right? So that's our connection there.
And then really, what this does is it speaks to a broader trend we're seeing in sports where these big companies just don't want to spend the money anymore. I mean, the numbers aren't out yet, but this kind of deal is probably in the $20 to $30 million range when we base it on other deals. That's a lot of money for Heinz to continue to spend when people know what Heinz is.
It's not a new thing. It's like Pepsi getting out of the halftime show, right? We all know what Pepsi is. And the more expensive this gets, they just don't want to pay the money anymore.
- So that's a good point because when we were talking about this this morning, you think about how much SoFi paid for SoFi Stadium, Crypto.com at what used to be Staples. I mean, those are massive, massive naming rights deals. How much-- how is this likely to stack up against some of those big names?
JOSH SCHAFER: Yeah, so I would expect it to-- I was actually talking to someone today. I was talking to Peter Watson, the global managing director at IAG. And he was saying these-- the crypto market that we saw, Crypto.com, $35 million, that's probably top of the market. We're not going to see that anymore, and that's a longer story of what's going on with crypto, I think.
But when we look at what this deal is probably fetching, I'd say probably at least 20 million when you just look at the fact that SoFi was 30. And we can pull up a chart here from the Super Bowl that shows you why it's really worth it for the companies. So SoFi came in eighth there with on-screen branding.
If they weren't on the stadium, obviously, they probably would. And that's not including commercials. Now verbal mentions, they were third. They were the third most mentioned brand during the Super Bowl broadcast because the broadcasts have to say SoFi Stadium.
They're now going to have to say Acrisure Stadium when there's a big game on CBS this Sunday, and every writer that writes for a newspaper or writes for a website is going to say the Steelers won by x score at Acrisure Stadium. There's a lot of value there for these emerging brands to keep getting that name recognition. You look at what Crypto.com has done, what SoFi has done. SoFi is now a much more popular name from what they've done. FTX, these big brands, they're getting that value, and that's Acrisure's play here.
- You have to wonder if the crypto names, especially, whether they're going to last the 20 years, right? I mean, Acrisure--
JOSH SCHAFER: Right.
- --insurance company, probably. Do we have any idea how many years?
JOSH SCHAFER: I have not seen anything on how many years yet, and I don't know. Hopefully, it seems like the announcement might officially come tomorrow from the Steelers. Maybe we'll get a little bit more information then on the time frame. But yeah, I don't know if we're going to see the 20 year deal that we saw from Crypto.com, and it seems like those deals, maybe not going to be as long moving forward based on how some of those are going.
- OK, I know you'll stay on top of it. Josh Shafer, thanks so much for that.