First you will need to group the entire object, except the intended variable data. In this example, the football image, WarDogs Football logo, and the text "2013-14 State Champs" need to be grouped together. To group, simply select the preferred objects and choose Layout > Group. Then add a line of text, in this case "Name and #". This will become the variable data.
Next, select the entire image including the outline. Go to Layout > Badges. This will bring up the "Badge Setup" dialogue window, as shown below.
After clicking OK on the Badge Setup window, the Text Substitution will appear. Populate with desired information, in this case "Name and #". Then click OK.
This will array the image with variable data as shown below.
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