Sports Sponsorship: The Importance of the Event Triangle

Slide1SponsorshipSports Marketing Mrs. Wilson

Slide2Q.O.D. 10/16/13What’s most important or beneficial to someone running an event? The consumer (the sports or event fan) The event itself The sponsor of the event

Slide3Event Triangle$$$$$$$ $$$$$$$

Slide4Sports SponsorshipDefined : Investment in a sports entity or property to achieve organizational goals Examples--> Bank of KY Center  & Staples Center Signature Sponsor

Slide5Sponsorship LeveragingLeveraging: getting as much as possible from a sponsorship agreement

Slide6Visa Leveraging2000 Olympic Summer Games, Sydney Australia

Slide8Drawbacks to SponsorshipBecoming common expensive ($4M for 30 sec on Super Bowl) clutter negative publicity- what if they break the law? Think of an example...

Slide9Sponsorship Process1. Sponsorship Goals 2. Sponsorship Budget 3. Sponsorship Acquisition 4. Implementing & Evaluation

Slide10Sponsorship- Goals ofSponsorship Goals of Sponsorship Direct or Indirect Tangible or Intangible easily measured or not able to measure?

Slide11Goal ExamplesDirect 1. Increase sales ( can be measured) Indirect 1. increase awareness 2. be competitive 3. reach the target market 4. build customer relationships 5. develop our image

Slide12Sponsorship ExclusivityExclusivity in Sponsorship is in “Categories” Example: Fast Food, Non-alcoholic beverages, banking Events want narrow categories for exclusivity • Sponsors • want broad categories for exclusivity

Slide13Sponsorship BudgetingFunding the Sponsorship & Promotions Funding by same means as in Promotion Competitive parity arbitrary allocations percentage of sales objective & task 1. Fund for the primary sponsorship Pepsi: Major League Baseball $80,000,000 over 5 years

Slide14Sponsorship Budgeting2. Fund the Co-Promotions • Frito-Lay Promotions & bags • Pepsi Lipton Tea & MLB Homerun Derby • Subway Signage & Promotion of MLB All-Star Balloting • “Catch the Season” Pepsi Product Promotions • NASCAR & Britney Spears Ticket Prize Packages • Cracker Jack Snack Sales & Trading Card s

Slide15Sponsorship AcquisitionDetermine Scope global, international, national regional, local Determine Athletic Platform the team, the event, or athlete Select by: budget & feasibility of platform geographic scope of the sponsorship sponsorship objectives

Slide16Sponsorship Opportunity:ASPEN SCHOOL OF MUSIC BENEFIT

Slide17Running & Evaluating theSponsorship Defined:Pre & Post Event Measurements. How did we do?

Slide18Why Sponsors Fail????No Budget Not Long Term (they do it once) No measurable objectives too brand-centric too much competition failure to excite the sales chain insufficient staffing buying at the wrong level no local extensions