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LEVERAGING Sponsorship

IDC4U7 – Sports and Entertainment Marketing. LEVERAGING Sponsorship. Sponsored Weddings: Ridiculous or Smart?. Sponsored Weddings: Ridiculous or Smart?. Value Line. Sponsored Weddings: Ridiculous or Smart ? Form a line from the front of the room to the back Front: Very Ridiculous

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LEVERAGING Sponsorship

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  1. IDC4U7 – Sports and Entertainment Marketing LEVERAGING Sponsorship

  2. Sponsored Weddings:Ridiculous or Smart?

  3. Sponsored Weddings:Ridiculous or Smart?

  4. Value Line • Sponsored Weddings: Ridiculous or Smart? • Form a line from the front of the room to the back • Front: Very Ridiculous • Back: Very Smart

  5. ROI – SOCIAL MEDIA • http://networkedinsights.com/downloads/networked-insights-social-intelligence-report-kim-kardashian.pdf

  6. Team Sponsorship Advantageseg. Sponsoring the Little League (Magoos) • More competitions • More prize money • Better venues • Better training • More money • More coaches • More grass roots inclusion • More technology

  7. Individual Sponsorship Disadvantageseg. Sponsoring Patrick Chan • Pressure to perform • Lack of privacy • Risk of injury in keeping terms of contract • Sponsors can determine timing of an event • Individual and club pressure if joint sponsors • Sponsors product may conflict with an individuals views or ideas • Personal appearances disrupt training programme.

  8. Growth in Sponsorship • Higher consumer acceptance • People accept with ‘positivity’ • Viewed as giving something back • Most TV and Entertainment wouldn’t be able to exist without it • Cause marketing • Consumers will switch brands to support a product they believe in • Consumers want to become better corporate citizens • 76% of consumers would be likely to switch a retail establishment associated with a good cause

  9. Sponsorship Leveraging • Leveraging: gettingas much as possible from a sponsorship agreement

  10. Examples of Leveraging • Official Sponsor • Category exclusivity • Logo usage • Media buy • Promotional and Collateral materials • Ad in program book • Product sampling • Exhibit space • VIP invitations • Retail incentives • Cross-promotions with cosponsors • Media tie-ins • On-site signage • Mailing list • Merchandise discounts • Survey audience

  11. Sponsorship Exclusivity • Exclusivity in Sponsorship is in “Categories” • Example: Fast Food, Non-Alcoholic Beverages, Banking • Events • Want NarrowCategories for Exclusivity • (E.g.: Coca-Cola: Soft drink sponsor, Monster: Energy drink sponsor, Budwiser: Beer sponsor) • Sponsors • Want Broad Categories for Exclusivity • (E.g.: Subway: Food & Drink sponsor, RBC: Financial services sponsor)

  12. Broad or Narrow?

  13. Why Sponsorships Fail • Signing the cheque and dropping the ball • Ambush marketing • Too many small sponsorships • Insufficient staffing • Not considering exclusivity • Failure to sell internally • Overlooking the fans

  14. The Sponsorship Process • Set Sponsorship Goals • Create Sponsorship Budget • Sponsor Acquisition • Implementing & Evaluating Sponsorship

  15. Sponsorship Goals • Increase Sales • Increase Awareness • Reach the Target Market • Develop Image • Be Competitive • Build Customer Relationships Tangible Intangible

  16. NARROW OR BROAD EXCLUSIVITY???? • Under Armour muscles in on Adidas with NBA sponsorship – new deal inked on December 13, 2011

  17. NARROW OR BROAD EXCLUSIVITY???? • Under Armour’s sponsorship deal with NBA will allow it to feature its endorsers - which include Brandon Jennings of the Milwaukee Bucks, Derrick Williams of the Minnesota Timberwolves, Kemba Walker of the Charlotte Bobcats, and Greivis Vasquez of the Memphis Grizzlies - in official NBA uniforms to promote its basketball footwear in promotional campaigns, brand advertising, and at retail.Additionally, and in line with the NBA's policy of integrating its 'NBA Cares' CSR programmes into all its partnership deals, Under Armour and the NBA will team up to refurbish community basketball courts throughout the US.

  18. NARROW OR BROAD EXCLUSIVITY???? Additionally, and in line with the NBA's policy of integrating its 'NBA Cares' CSR programmes into all its partnership deals, Under Armour and the NBA will team up to refurbish community basketball courts throughout the US.The deal does not encroach on the league's all-encompassing deal with official apparel provider Adidas, although the German company is unlikely to be thrilled that Under Armour has been able to secure the rights it has. • Adidas is currently entering the sixth year of an 11-year merchandising partnership as the official uniform and apparel provider for the NBA, WNBA, and NBA D-League, and now boasts full global rights for NBA apparel.

  19. Running & Evaluating the Sponsorship • Number of Media Mentions (Kardashian Wedding ROI) • Media Equivalencies • Advertising Dollar Value for Exposure • Sales Figures • Attitude Changes • Number of Distributors • These are all important factors for sponsor participation

  20. Sponsorship Partnership Simulation Teams have been chosen for you  There are 6 teams of Sponsors (with an identity and budget) There are 6 teams of Event Managers (with an identity and sponsorship goal)

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