Transcript Chapter 1

Sponsorship Essentials
presentation given at the
University of Nevada Las Vegas
April 6, 2010
by
Björn Walliser
Professor of Marketing, University of Nancy (France) &
Part-time Faculty Member, California State University, Northridge
Sources of the powerpoint presentation:
Björn Walliser, Sponsoring et parrainage, Dunod, 2006
Sam Fullerton, Sports marketing, 2nd ed., McGraw-Hill, 2010
4-1
The Sponsorship Process
SPONSORSHIP
DEAL
Financial or non-financial support
SPONSOR
organisation, individual
ACTIVITY / EVENT
PERSON / GROUP
Contribution to communication objectives
MEDIA
SPONSOR
TARGET OF
ACTIVITY
MEDIA
4-2
Key Sponsorship Concepts
• Participants
– Sponsor – Party Seeking Association (Visa)
– Sponsee – Property Owner (e.g. FIFA)
 Linkages
– Self-Evident – adidas products used in event
– Strategic – Visa Credit Cards and FIFA have similar
target markets
• Leveraging
– Efforts to Support One’s Sponsorship with Additional
Strategic Initiatives (i.e. Event-Oriented Advertising)
4-3
Example of Leveraging
4-4
Venue Naming Rights
• Building Sponsorship
• Sponsor Pays to Have Its Name Attached to a
Facility for A Specified Period of Time
• Many Types of Facilities beyond Sports
• Percent of Major US Professional Teams
Playing in Venues with Corporate Sponsor
– 30% in 1997
– 69% in 2007
4-5
Allianz Arena München
4-6
Sponsorship vs. Advertising
2 pictures
4-7
Sponsorship vs. Advertising
Which was the name of the sponsor?
4-8
Sponsorship vs. Advertising
2 pictures
4-9
Advertising’s Advantages
• Persuasive Message
– Words and Images Used to Convey Ideas
• Standardization
– Everyone Receives an Identical Message
• Guaranteed Size of Audience Reached
– Circulation; TV Ratings; Radio Ratings
4-10
Sponsorship’s Advantages
•
•
•
•
Credibility, Emotion
Internal Morale
Sales Opportunities
Overcome Advertising Restrictions
– Bans against Tobacco Advertising
• Cut Through Advertising Clutter
– Not Competing with Broadcast Advertising
• Reach Small Segments and Niches
– Small Specialized Properties (local festival)
4-11
Worldwide Sponsorship Investments
Source: different sources, especially IEG.
43
45
38
40
35
30
30
25
25
19
20
14
15
8,3
10
5
2,5
(in billion USD)
10
5
0
1985 1989 1991 1993 1996 1999 2002 2005 2007 2010
4-12
Sponsorship Spending Worldwide
Source: 2007 IEG Sponsorship Report (sample issue), p. 1 and 4.
16
14
12
10
8
billion USD
6
4
2
0
North
America
Europe
Pacific
Rim
South
America
Others
4-13
Sponsorship Objectives
Brand awareness
Corporate
awareness
Brand image
Corporate
image
Product
demonstration
Relationship building
Sales
Personnel motivation
4-14
Sponsorship Components
• Category Exclusivity
• Signage
• Right to Use Event Trademarks and Logos
• Distribution Rights
• Hospitality Areas
• Complimentary Advertising
• Free Tickets
4-15
Sponsorship Components (Cont’d)
• Right to Purchase Additional Tickets
• Link on the Event Web Site
• (Sponsorship) Designation
• Inclusion in Event Promotions
• Access to Property Mailing List / Database
• Right of First Refusal
4-16
Which Components
Are Most Valuable?
4-17
IMC including sponsorship
Advertising
Press
conference
Website
Sales promotion
Coupon
Sweepstakes
Push money
Sponsorship
TV
Magazine
Newspaper
PR
4-18
IMC including sponsorship
Sponsorship
Advertising
PR
Sales promotion
TV
Magazine
Newspaper
Press
conference
Website
Coupon
Sweepstakes
Push money
Coca Cola:
TV ads
That feature
soccer
Press
conference
at Augusta
Master’s
GM gives
away NFL
posters
4-19
Sponsorship Categories (US)
Numbers for 2008
•
•
•
•
•
•
Sports (69%)
Entertainment, Tours & Attractions (10%)
Cause-Related Marketing (9%)
The Arts (5%)
Festival, Fairs & Annual Events (4.5%)
Associations and Membership Orgs (3%)
* Rounding creates small statistical error (IEG)
4-20
Sponsorship Categories (Europe)
•
•
•
•
Sports sponsorship (60-70%)
Arts / cultural sponsorship (15-20%)
Social sponsorship (10-15%)
Environmental sponsorship (< 5%)
4-21