Matching events and sponsors
Win-win if the match is right
Striking the deal
What’s the Deal?
 Although ticket sales are a revenue source, they aren’t
enough to support a sport/event organization.
a. Sponsorship money is needed to make the sport/event
all that it can be.
b. Unfortunately, that sponsorship money has to be
sought out—it doesn’t just magically appear.
WHY SPONSORS?
Begin the process of selling
sponsorships by determine what
your organization needs to gain
from the partnership.
Benefits of Sponsorships
Main benefits of sponsorship
are Fees.
Most sport/event organizations want or need
the money from the fees sponsors pay to enter
into the partnership.
Value in Kind (VIK)
 Lower costs on the goods and services they need.
 Example:
 1) You are working for a baseball team.
 2) Before every home game, your team provides visiting
coaches, scouts, members of the media, and other
important guests a meal in what’s called “the press
dining room.”
By offering Subway or the caterer a sponsorship in which it
can pay part of or its entire fee by providing food for the
press dining room, you create a win-win situation.
Value in Kind (VIK)
 Adding a sign to the outfield advertising the caterer or
renaming the seventh-inning stretch the “Subway
Seventh-Inning Stretch” costs you a lot less than
buying all of that food.
c. These types of arrangements are known as value in
kind (VIK).
Exploitation
 The sponsor’s investment in advertising and
promoting the organization or event above and
beyond the basic partnership.
 1) Advertising in stores, in newspapers, on the
Internet, on the radio, and on television
 2) Offering special promotions designed around the
sponsorship
Why sponsors need sport/event
organizations
 A. Sponsors enter into partnerships with sport/event
organizations for a variety of reasons:
1. Increasing sales
a. Almost every sponsor’s ultimate goal is to sell more of
its product.
b. Because of the relationship it forms with a sport/event
organization, increased sales are a possibility.
Why sponsors need sport/event
organizations
Increasing Awareness
a. Sponsors are always looking to heighten consumer
awareness of their corporate or brand name and their
products.
Why sponsors need sport/event
organizations
Enhancing public relations
Keep in mind that sponsors are looking for sport entities
that display the same characteristics and qualities that
they want consumers to associate with their products.
For example, luxury car makers like to associate with
sports that consumers view as classy,” such as golf or
sailing.
For example:
Luxury car makers like to associate with
sports that consumers view as classy,” such as
golf.
Relationship marketing
A strategy in which businesses spend time with current
and prospective clients outside the office setting to
enhance the partnership.
 Product positioning is the sponsor’s privilege of having
its goods or services used at the event.
 Selling Lay’s Potato Chips at your event is giving the
company excellent product positioning as a result of its
sponsorship agreement with you.
Exclusivity
 The sponsor’s privilege of being the only
company in its particular category of goods
or services.
By being the only bank affiliated with your sport/event
organization, Bank of America is enjoying exclusivity.
“Ownership”
 The sponsor’s opportunity to “own” part of
the event, such as the pre-game show or the
MVP award.
 Naming the pre-game report the “The Taco
Bell Pre-Game Report.” for gives the
company “ownership” in your event.
Advertising
Advertising opportunities abound at
games and events.
Signs near the playing area, PA
announcements, logos on the scoreboard,
promotions during intermission—you name
it, and you can turn it into a way to plug
your sponsors’ names.
Hospitality
Sponsors treat clients and guests to premium
seating in:
 Luxury boxes
Exclusive private parties,
Meet athletes or celebrities
Sales and sampling
Sponsors are attracted to the benefit of being
able to:
Set-up booths to demonstrate products
pass out coupons
 provide samples
Taste tests.
Fundraising
Many potential sponsors are looking for ways to
connect with and give back to the community.
Sponsorship highlight special
causes and raise money for
charities they support.
I still work hard to know my business.
I'm continuously looking for ways to
improve all my companies, and I'm
always selling. Always.
Mark Cuban
1. Research target & potential
sponsors
After you’ve done so you can:
Tailor sponsorship packages for
specific sponsors
Present sponsorship
Opportunities
Revise proposals
2. Tailor the sponsorship package
for each specific prospect.
 Title sponsorship—the most expensive level; one
sponsor whose name will become part of the event
name (such as the Sprint Cup Racing Series)
 Presenting sponsorship—similar to title sponsorship,
except the sponsor’s name comes after the event name
(such as the Grand Ole Opry presented by Cracker
Barrel Old Country Store); may have more than one
presenting sponsor
Exclusive sponsorship
also called “official partners” or “official suppliers”;
exclusive only to their specific category (soft drink,
credit card, financial services, etc.)
Meet In person
 The best way to present your proposal to potential
sponsor companies is in person.
 Make the initial contact with the company, and ask for
a face-to-face meeting with the decision makers you’ll
need to convince.
Only send your materials through the mail if you
absolutely cannot get a meeting. Mail, phone, and
teleconference are not good options for making a
sponsorship presentation.