KEY POINTS:
Since the beginning of the professional era the New Zealand Rugby Union has been ahead of the pack when it comes to building the national team into a global brand.
That effort now enters a new phase in the run-up to the Rugby World Cup.
Brands are built on winners and the NZRFU says the All Blacks win 72 per cent of their games, which is notable for any sports team.
But the team has only won the World Cup once - 20 years ago.
Marketing researcher Jonathan Dodd, of Research Solutions, says an economic truism that consistency of performance matters has less meaning nowadays.
Sports brands are increasingly focused on big single events such as the Tour de France for cycling and the World Cup for rugby or soccer.
"We may do well across the different competitions like the Tri-nations but if we want to maintain the All Black brand we need to win this World Cup," he says.
As defending world champions the All Blacks would be in a stronger position when negotiating sponsorship deals.
The adidas contract is believed to deliver the NZRFU $20 million a year over 10 years. It expires in the run-up to the 2011 World Cup in New Zealand.
Mastercard is currently re-negotiating its deal to take it through to 2011.
Iveco - the truck manufacturing arm of Fiat - also signed a contract this year.
Adidas New Zealand marketing manager Craig Waugh agrees the World Cup is a big deal. "There is no question winning in France this year is going to be important for the NZRFU and for adidas."
Adidas won't give away the numbers, but it has already calculated the increased sales revenue for its goods if the All Blacks win in Paris.
The All Blacks are a global brand and their value to adidas goes beyond rugby purists.
Waugh says that even without the world champion tag, the relationship that began in 1999 is helping adidas make gains into the European and Asian sporting goods markets.
It comes down to the global nature and "mystique" about the team - emphasised by the adidas ad campaign made by its New Zealand agency TBWA Whybin.
"That is why a teenager in Asia looks at the brand in a similar way to one in Europe including countries that have no rugby tradition," says Waugh.
The multicultural make-up of the All Blacks is also attractive to marketers as is illustrated by the widespread marketing of the haka both on the field and in sponsors' TV advertising.
When Iveco announced its sponsorship deal this year chief executive Paolo Monferino said his company and the All Blacks were linked by power.
"Power is the first characteristic that comes to mind when you watch this team: the overwhelming way they play and how they put pressure on their opponents.
"It's also something we pride ourselves on in relation to our latest-generation engines."
Some rugby purists will find the sales connection demeaning but the marketing success helps the NZRFU to fill its coffers as it seeks to finance the game in New Zealand.
NZRFU commercial manager Fraser Holland says that the World Cup plays a big role in the development of the brand and that it grows each time the tournament is played.
"The World Cup marks an important time for the development of the brand," he said.
"We have not captured Europe yet and that is our number one territory - Asia is also strong and North America are the next. "We are looking to build more global partnerships to gain global revenues for the game in New Zealand."
