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MTN to end its sponsorship of African cycling team MTN-Qhubeka

Mobile Telephone Network cites "tough market conditions" for dropping team after its hugely successful Tour de France debut...

A title sponsor of the African cycling team that made a storming debut at this year's Tour de France, announced yesterday it will end its agreement with MTN-Qhubeka. 

Team MTN-Qhubeka, this year's Tour wildcard team and the first African team of recent Tours, wowed audiences as Eritrean Daniel Teklehaimenot became the first African to wear the King of the Mountains jersey, which he held for four days, while Brit Steve Cummings won stage 14 on Mandela Day, 18 July. MTN-Qhubeka led the team race for some time, coming fifth overall at the end of the three weeks.

Telecommunications company MTN, which invested $9.5m in the team since 2013, said it is scaling back investments amid "tough market conditions".

The company's group corporate affiars executive, Chris Maroleng, told Times Media: “Considering … the tough operating environment in the telecommunications industry we’ve really had to reassess‚ not just the Qhubeka sponsorship‚ but a number of other engagements we feel don’t have a return on that investment at the levels of comfort to us.”

MTN-Qhubeka team principal Doug Ryder is reported as surprised by the announcement‚ but said the future of the team was secure.

“The team has many options going forward‚ huge interest as you can imagine‚ so the future of the team is incredible. There’s no issues there,” he said.

The team's Belgian rider, Serge Pauwells came 10th overall in the Mountains classification, while the team's other Eritrean rider, Merhawi Kudis, this year's youngest Tour rider, at 21, came 10th in the young riders' white jersey standings.

MTN-Qhubeka used its profile at the Tour in an attempt to raise enough money for 5,000 bikes for children in South Africa where the bicycle can make a huge difference by helping people access schools, medical facilities and employment opportunities. 

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Must be Mad | 8 years ago
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Getting your logo on some jerseys is only part of the job - you also need to 'activate' the sponsorship through your promotional activity.

Look at how Sky have activated their sponsorship of BC and Team Sky for a lesson on how to do it right.

MTN had a 'feel good' story to tell about how they linked up with the cycling charity and have taken African riders to the TDF. If they have not been able to get value from that, then I can't help but feel they have not been doing the marketing properly.

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crikey | 8 years ago
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I think the issue is that the majority of views/coverage/exposure of World Tour or Pro Tour or even Pro Conti teams in still in Europe and to a much lesser extent, the US. Great if you sell flooring in Europe; I've got Quick Step laminate down due in no small part to their sponsorship of a cycling team, and 3 of my mobiles have been from HTC, less good if you are a largely African mobile phone company.

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ianrobo | 8 years ago
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Di Data is clearly making it's way into cycling with it's excellent trial during the TDF.

good company to sponsor Qhubeka and look forward to their continued growth

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Charles_Hunter | 8 years ago
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justinberman | 8 years ago
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Real shame, but indicative of how the markets are in Africa at the moment, for telecoms anyway... That said, there are plenty of Corporates in South Africa who will no doubt jump at the chance to become a lead sponsor, especially in light of the team's recent TDF performance.

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balmybaldwin | 8 years ago
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I'm amazed given their success that the company doesn't see the value in extending its sponsorship

They seem to be a breath of fresh air in the peleton, and had plenty of TV coverage!

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Roverholic replied to balmybaldwin | 8 years ago
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balmybaldwin wrote:

I'm amazed given their success that the company doesn't see the value in extending its sponsorship

They seem to be a breath of fresh air in the peleton, and had plenty of TV coverage!

Exactly my thoughts. I'd certainly never heard of MTN before they took up sponsorship. Therefore surely more important people than me have taken note too?

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alansmurphy | 8 years ago
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Shame considering how well they did at the tour.

I also like the charitable element of the team, having said that at $4.5m plus a year to sponsor them and 'only' 5,000 bikes to charity, there is a better way they could 'invest'...

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farrell replied to alansmurphy | 8 years ago
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alansmurphy wrote:

Shame considering how well they did at the tour.

I also like the charitable element of the team, having said that at $4.5m plus a year to sponsor them and 'only' 5,000 bikes to charity, there is a better way they could 'invest'...

Where have you got the $4.5m figure from?

*Edit*
Do you mean MTN or Qhubeka? It's MTN that have put the $9m - they are a mobile phone company.

Qhubeka is the charity.

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farrell replied to alansmurphy | 8 years ago
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 20

alansmurphy wrote:

Shame considering how well they did at the tour.

I also like the charitable element of the team, having said that at $4.5m plus a year to sponsor them and 'only' 5,000 bikes to charity, there is a better way they could 'invest'...

Where have you got the $4.5 figure from?

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