Accenture becomes first sponsor to end relationship with Tiger Woods

Associated Press

Global consulting firm Accenture Ltd. has ended its relationship with Tiger Woods, marking the first major sponsor to cut ties altogether with the golfer since his alleged infidelities surfaced and he announced an indefinite leave from the sport to work on his marriage.

In its first statement since the Woods scandal erupted, Accenture said Sunday the golfer is “no longer the right representative” after the “circumstances of the last two weeks.” The move ends a six-year relationship during which the firm credited its “Go on, be a Tiger” campaign with boosting its image significantly. Accenture has used Woods to personify its claimed attributes of integrity and high performance.

“After careful consideration and analysis, the company has determined that he is no longer the right representative for its advertising,” Accenture said, adding that “it wishes only the best for Tiger Woods and his family.”

The firm plans to transition immediately to a new advertising campaign, with a major effort scheduled to launch later in 2010. An Accenture spokeswoman said it is company policy not to discuss details of sponsorship contracts, including whether Woods’ deal contained a morals clause that would allow Accenture to end the contract without paying a break-up fee.

Accenture’s advertising campaign was built almost entirely around Woods and his success by portraying his greatness on the golf course by making a key putt or chipping out of the rough. If Woods had acknowledged mistakes and said he would be back in a month, Accenture might be able to ride it out, said Rick Burton, a professor of sports management at Syracuse University, in an interview.

But Accenture can’t afford to wait for what could be a long time before Woods returns.

“They had tied everything in their campaign to Tiger Woods, it appeared,” he said. “If he’s not golfing, those ads don’t make sense.”

Burton noted that Accenture’s billboards and airport advertising need to be replaced quickly. Without a backup plan, the company might fall back on something simple and conservative that could highlight its logo.

“It is probably prudent to take a low-key, conservative approach until they determine what their next message is that they want to send,” he said. Going forward, Accenture will have to determine whether it wants to stick with sports or whether it’s been too burned by what happened and will go another route, Burton added.

“Accenture has made a decision to not continue with their sponsorship. We are disappointed but respect their decision,” said Mark Steinberg, Woods’ agent at IMG. The PGA Tour said it would have no comment.

Accenture has been title sponsor since 2001 of the Match Play Championship, a lucrative World Golf Championship event that draws the top 64 players from the world ranking. Accenture earlier this year renewed its sponsorship of the tournament through 2014. The contract is separate from its business endorsement with Woods.

Though not terminating their relationship completely, another major Woods sponsor pulled away this weekend. On Saturday, Gillette, which uses the slogan “The best a man can get,” said it won’t air advertisements featuring Woods or include him in public appearances for an unspecified amount of time.