An interview with alumnus Hans Erik Tuijt, written by Madeleine Kemna.
The Champions League, the Australian Open and the Rugby World Cup, there are few global sporting events where you don’t see the Heineken logo. Hans Erik Tuijt, Director Global Sponsorships, says he was able to apply what he learned in Rotterdam all over the world. He is a sports enthusiast himself, but his decisions are always based on sound analyses of data. Find out how the company made its name synonymous with enjoying a beer with friends while watching a game together.
The enrollment of Hans Erik Tuijt at Erasmus School of Economics was pure coincidence. ‘I had a contract with the marines, but on my first day it turned out they had too many people and I was sent home. All of a sudden I no longer had to dedicate 18 months to the Dutch army for the draft. Even though it was the middle of August, the central allocation body for university placement found an opportunity for me to study Economics because I did well in my high school exam. Rotterdam was the only place where there would be no exams during the months it took to finalise my registration, so that’s how I ended up here.’
What was your first job like?
‘The labour market was very tight when I graduated in 1988, which meant that I was able to get a job that was interesting from the start. My initial responsibilities were planning and control for the marketing department at Heineken Netherlands so I could immediately put into practice what I learned about cost accounting and budgeting. After a few years, I was asked to do a similar job at the breweries. It gave me the opportunity to learn first hand what the cost drivers are, something that has helped me ever since.’
You have been an expat in several countries. Has that influenced the way you work?
‘In 1993 I moved with my family to Portugal to develop that market for Heineken. There was no internet or mobile phone yet and a phone call between Zoeterwoude and Lisbon cost about 2.50 euros per minute, so communication with the headquarters was limited. It was truly pioneering. When someone asked me if the house I had rented for my family had a phone connection I laughed, but when I checked it wasn’t there. I had to be entrepreneurial, which is very much part of the Heineken culture anyway.
During my seven years in Australia, we were associated with some major sporting events there such as the Australian Open tennis tournament, the Rugby World Cup, and the Heineken Golf Classic. The Holland Heineken House during the Sydney Olympics set a standard that inspired athletes and fans for years. I experienced first hand how sponsoring can lead to tangible results, so when I returned to the Netherlands it was a logical step to start coordinating this globally.’
How do you choose Heineken’s sponsoring projects?
‘It is important to put things in context. Our worldwide market share is only 2%, but we are the only brand that is available all over the world. Outside the Netherlands, Heineken is usually up against brands that are far bigger in their local markets. That means we want to focus on sports with a global appeal. We will also never sponsor individual clubs or athletes because we feel we should be responsible by avoiding the impression that there would be a link between performance and the consumption of beer. Instead, we want to reinforce the message that drinking Heineken is a social activity that fans enjoy while watching sports together. Within these parameters, Champions League football is a logical choice.’
‘I experienced first hand how sponsoring can lead to tangible results’
How do you measure impact?
‘We start with a baseline measurement. Initially, we will ask respondents if they know Heineken and if they are familiar with the Champions League. That enables us to gauge the difference in our image between those who watch the Champions League and those who do not. Everyone who has followed marketing classes in Rotterdam knows the saying of marketing guru Philip Kotler: ‘Once the brand is known, you can invest in it and reap the rewards in terms of increased purchases.’ We are now at the point where 60% of Champions League viewers know Heineken sponsors this tournament (keep in mind that our market share is only 2%). Our sponsorship results in a satisfying increase in sales.’
Consumption of your product is restricted by age. How do you deal with that?
‘First of all we only target sponsorship projects where at least 75% of the audience is older than the legal drinking age. Sometimes this is very straightforward: the Champions League is broadcasted late at night, which makes it very unlikely that children will be watching. In other cases it is less obvious, the increasing popularity of eGaming is something we struggle with for example. It used to be an activity for children, but those ‘kids’ are now between 30 and 40 years old, so they definitely fall within our target group. However, the perception is still that this is something for underage players. That begs the question whether we should base our decision on perception or reality. For the time being we don’t think we should be involved, even though this is where the future lies. The proverbial question ‘Can I explain this to my mother or my wife?’ is important of course, but we will always be guided by sound research.
The nature of brand loyalty is shifting. Our parents may have favoured one particular kind of beer, but today’s generation has a large variety of brands that they choose from. You need to make sure you are part of that group. Research has shown that 40% of the 500 million Formula I fans worldwide is not into football. That means that by sponsoring we can get on the radar of 200 million people that we would otherwise not reach. We have put this opportunity aside initially because drinking and driving are things you want to keep separate of course. When our research showed that there is no other sponsoring opportunity with a similar potential, we decided to see if there was a way we could make it work with the message ‘When you drive, never drink’. After Heineken became an official sponsor of Formula I in 2016, worldwide broadcasts of every race were accompanied by a commercial showing Formula I legend Jackie Stewart declining a Heineken beer 14 times with the words ‘No thanks, I’m still driving’. We now have a very successful partnership.’
‘As an employer, we look for people that are socially intelligent and who have demonstrated a passion for getting things done’
How important was Heineken in the return of Formula I to Zandvoort?
‘To be honest, I think there is one single determining factor; if the Netherlands didn’t have a top competitor in Max Verstappen, it would not have happened. It was pure luck that we had just entered Formula I before Max-mania started.’
What role does sustainability play in your choices?
‘Heineken beer is made of pure natural ingredients: malted barley, water and hops. Our unique A-grade yeast is responsible for the crisp taste. You could say we are actually an agricultural company. Our commitment starts before production and ends only after consumption. This ranges from sustainable growth of our ingredients to incentives for consumers to dispose of packaging responsibly. Unfortunately, there is no blanket solution for sustainable sponsoring. We try to use best practices, but the situation is different everywhere. In a country where water is not as abundant as in the Netherlands, cleaning glasses at events is less feasible. In other places, facilities for plastic recycling may be scarce. A lot of thought goes into finding the best alternative for each situation.’
What advice would you like to give our students?
‘Participate in student life. As an employer, we look for people that are socially intelligent and who have demonstrated a passion for getting things done. This is an excellent time to try to find out what your strengths are. You are bound to make some mistakes, but so what? Consider yourself lucky if it happens when you are young. This helps to find out who you are and to enter your working life as a stronger person.’
Biography
Hans Erik Tuijt (1962) graduated in 1988 from Erasmus School of Economics and joined Heineken in the same year. The first five years of his career he worked in a financial role, supporting production and commercial disciplines. He spent 14 years abroad in Portugal, Brazil, and Australia. Hans Erik is married to Louise and has three children. Sports are a big part of his life, being active as president of the Euro Hockey league, but also practicing sports and attending sports events. Today Hans Erik is Director Global Sponsorships at Heineken in Amsterdam.