March 26 (Bloomberg) -- Church & Dwight Co. signed a three-year accord with Major League Baseball to promote its Arm & Hammer and Oxi Clean brands.
The agreement is the biggest in the company’s 168-year history, Chief Executive Officer Jim Craigie said today in a news release. Craigie and MLB Executive Vice President of Business Tim Brosnan declined to provide financial terms of the deal.
“The benefit to us, aside from the association with great brands Arm & Hammer and Oxi Clean, is the presence that they give us at retail,” Brosnan said in an interview. “Baseball is a sport that demands a lot from its consumers and a reminder that baseball is in the marketplace every single day in the places where people shop is a critical element and a great benefit to us.”
Church & Dwight has purchased the right to use MLB logos across both household products brands on packaging, websites and signs. The company will also have on-site marketing at the home stadiums of the New York Yankees, Minnesota Twins and Cincinnati Reds, and be involved during the All-Star Game and World Series.
“It’s a natural fit,” Craigie said. “We’re going to show commercials of kids sliding in second base, Mom getting the dirty pants, going home and soaking them in Oxi Clean, then throwing them in the washing machine with Arm & Hammer. There’s a total, total connection.”
Church & Dwight is the 13th largest advertiser in America, Craigie said, with the Arm & Hammer brand alone spending more than $100 million annually on advertisements including a naming-rights deal with the stadium of the Trenton Thunder, the Yankees’ Double-A affiliate in the New Jersey city.
MLB had more than $8 billion in revenue in 2013, the 11th consecutive year setting a new high. The sport this year is entering the biggest media contract in its history, an eight-year, $12.5 billion deal with 21st Century Fox Inc.’s Fox and Turner Broadcasting.
Before today, shares in Ewing, New Jersey-based Church & Dwight had climbed 3 percent this year to $68.24, valuing the company at $9.38 billion.
“This deal reinforces the equities on both sides,” Craigie said. “We’re just beginning. Three years is the beginning of a great relationship here.”
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