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SPONSORSHIP. 3.1 The Sponsor. Event Triangle. event. Exchanges. Benefits. Ambush. fan. sponsor. Role of Sponsorship. DEFINED: Investment in a sports entity or property to achieve organizational goals Examples. Reason a Company Wants To Be Involved With An Sporting Event or Property .
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SPONSORSHIP 3.1 The Sponsor
Event Triangle event Exchanges Benefits Ambush fan sponsor
Role of Sponsorship DEFINED: Investment in a sports entity or property to achieve organizational goals Examples
Reason a Company Wants To Be Involved With An Sporting Event or Property Borrowed Equity!!! Using the appeal of an event or Sports Property to market a company and/or it’s products
Why They Sponsor --USA TODAY, 10/14/2005, 5B We need this updated • Sponsor Profit • Projected revenue from sports leagues, teams, & events for 2005 with percent change in year. SPORT2005 REVENUE2004 CHANGE NFL $560M 23.1 % PGA $900M 17.0 % NBA $360M 16.1 % MLB $380M 11.8 % NHL $230M (strike)
Match-Up Hypothesis The idea that the sponsor should match up with the appropriate Target Market of the Sports Property Acquisition Consideration
Ambush Marketing Company’s capitalizing on a particular event without paying any sponsorship fee
Signature Sponsor Sometimes called a “Title Sponsor” The main sponsor of an event or arena Pays for the Naming Rights of event • Events will separate sponsorship levels • Usually named by value invested • Platinum + Gold + Silver + Bronze . . .
Sponsorship Levels Champion Promoter Advocate Supporter
Sponsorship Levels Title Founding Gold Silver Bronze Fun Run Post Race Pace Team
Goals of Sponsorship Goals are either: Direct – easily measured “tangible” What can be measured? Indirect – not easily measured “intangible” What can be “felt” but not measured?
Sponsorship Exclusivity • Exclusivity in Sponsorship is in “Categories” • Example: Fast Food, Non-Alcoholic Beverages, Banking • Events • Want Narrow Categories for Exclusivity • Sponsors • Want Broad Categories for Exclusivity • “THE OFFICIAL FAST FOOD OF OUR TEAM” Budgeting Considerations
Goals of Sponsorship Which goal is DIRECT? • Increase Sales • Increase Awareness • Be Competitive • Reach the Target Market • Build Customer Relationships • Develop Image