The vast majority have ever encountered sponsorship connected to sports, entertainment, events or social media. However, fewer have the right understanding of what sponsorship really means. Opponents of the concept sponsorship often mean that sponsorship collaborations rarely generate sufficient return or that the results of the campaigns are not measurable. Of course, that is not true. Using sponsorship in the right way and with the right understanding, the return of the results are often many times higher than traditional marketing. The result from the campaigns is measured today with the help of digital tools, it does not have to be more difficult than that.
In this text, we will address the most common sponsorship questions so you can get one deeper understanding of its meaning and benefits. We will also go through what to think about in sponsorship campaigns and why it is so important to follow this in order not to end up in the classic sponsorship traps.
What is sponsorship?
To sponsor means that a brand or private person(sponsor) supports one rights holder(sponsored) in exchange for a consideration. Often, a consideration involves exposure and association through the rights holder’s channels and contexts. Sponsorship is very common in the entertainment and sports industries, and in most cases is absolutely crucial for whether or not a rights holder should reach his or her full potential. With the advent of social media, the uses and follow-up opportunities with sponsorship have increased significantly.
Why should I as an entrepreneur sponsor?
Sponsoring of pleasure and sports brings many positive benefits to your business and brand. By directly associating your brand with a dedicated talent, a passionate sports association or an exciting event, you create a natural link with your own and the rights holder’s target group. A connection that is strong, engaging and long-term.
With the help of the right partners, your sponsorship campaigns will give your brand presence, positive PR and awareness of what your company stands for, exposure in an engaging context and increased direct sales of your services/products. Together with your partners, you will succeed in creating an emotional and loyal bond to your brand.
How do I sponsor?
Utilizing sponsorship brings many benefits for your brand and your sales revenue, but it also requires you to think before jumping into something. Making a decision to sponsor a sports association, athlete, e-athlete or artist without any thought or plan will most likely not give you what you want. Today, many sponsorship campaigns and collaborations are unplanned, short-term and therefore not profitable. So how should you act to avoid this?
Just as everything else in the world, it requires structures, clear goals and a plan for collaboration to succeed. The first thing your brand needs to do before jumping into a new collaboration is to answer the questions below.
- What does our brand stand for and what do we want to stand for?
- Which profile or profiles do we want to be associated with and why?
- How long- /short –term are we in our communication?
- In what channels and/ or context do we want to be seen(where is our target group)?
If you answer these questions, you will also find the right one and you will create good conditions to follow up on whether the results of the collaborations gave what you wanted. Was a more positive view of your brand created? How many were reached by the campaign. How many new customers did it give you? And so on. In other words, it pays to be prepared and it pays to market through sponsorship.