Transcript Employ sales-promotion activities to inform or remind customers of

1.07
Employ sales-promotion activities to
inform or remind customers of
business/product
Explain the nature of SPONSORSHIP
in SEM industries
What is Sponsorship?
• Sponsorship:
– Providing financial or other support to a
sport/event in exchange for recognition
– Two or more parties benefit from the
arrangement in the form of a partnership
– Sponsors want recognition & affiliation
Successful Sponsorships
The key to building successful sponsorship
programs is to match the correct products or
services with the people who want to
purchase them = their target market
BENEFITS of Sponsorships
• Public and Community relations = Increase of Brand Image
• Brand recognition directly with your Target Market
• Sales and profits through affiliation & brand awareness
• Market Share and/or introduce new products
– Enter new markets
RISKS of Sponsorships
• Loosing Streak
• Too many sponsors at one event
• Could create a bad image and your associated with it
– Example: Super Bowl wardrobe malfunction in 2003
• Could encounter Ambush Marketing
– Ambush marketing is when a company will expose their products/logo at
an event without authorization or payment LEGALLY
– Goal of ambush marketers is to encourage fans to view it as a sponsor
– Example: Coke is a sponsor but Pepsi is outside the event handing out
free Pepsi tees or coolies
EXCLUSIVITY in Sponsorships
• When a business purchases the rights to be
the only one of its kind to sponsor a sport
entity
– Example: You will not find Coca-Cola and Pepsi sponsoring
the same event
PARTNERSHIPS
• Relationship between sponsor and sponsee
– Communication and develop partnership
– Ongoing dialogue to expand relationship
• Both parties benefit
Sponsorship Contracts
SPONSORSHIP PROPOSAL: includes information about cost,
marketing opportunities, audience demographics, conflicts and
time parameters
Formal contract: spells out exactly what each party will do
(Avoid legal conflict)
Why Should EXPLOIT your Sponsorship
EXPLOITING THE SPONSORSHIP = ADVERTISING YOUR SPONSORSHIP
– If a business spends all of their marketing budget on
sponsorship fees = No money left over to advertise the
sponsorship
– If target market is not aware of sponsorship, then
sponsorship is wasted money!
http://www.youtube.com/watch?v=Auqp28Bk4RI
Conduct an Internet scavenger hunt to
find three current news articles
about sport/event sponsorships.
Print the articles, and write a
synopsis of each.