Reading Express Indoor Pro Football hosted a Sports Marketing 101 Seminar on October 19, 2010. The class was instructed by Express General Manager Tim Glase, who brought a decade of experience in the sports industry, in particular motorsports, to the discussion.
3. The NASCAR Influence
“NASCAR Sponsorship is the best buy in marketing. The combination of awareness,
favorability and effectiveness is unparalleled in the sports world or anywhere else.”
-Larry DeGaris (James Madison Univ. – Center for Sports Sponsorships)
“What draws people to NASCAR is the experience of the sport … and that’s the part
people identify with and relate to. People must immerse in the culture of NASCAR,
and it comes to define a little bit of who they are.”
-Tim Calkins (Northwestern Univ. – Kellogg School of Management)
1971 – Cigarette advertisements were banned on television and radio.
1984 – Los Angeles Olympic Games are first privately organized Games in history.
Landmark Years
Credited with creating tobacco companies’ reliance on sports sponsorships.
Credited with creating a significant evolution of corporate sponsorship.
4. A New Approach
After seeing the sponsorship success of cigarette companies, alcoholic beverage
companies, and automotive product companies, mainstream companies across several
different categories began asking:
Should we begin using sponsorships in lieu of a traditional advertising approach?
Industry leader International Events Group (IEG) reports that “sponsorship
offers a number distinct advantages over more conventional advertising
techniques.”
While advertising delivers a straight-forward commercial message,
sponsorships get to people through a different source.
Sponsorship involves a company being prepared to make a commitment and
support a popular activity; it’s more people-oriented than advertising.
It should be noted that the debate pertains to an overall, intentional strategy.
Sponsorship may not – and probably should not – totally replace advertising.
5. The Difference
What’s the difference between advertising and sponsorship?
By definitions, the comparison of advertising and sponsorship is simple.
Advertising:
Sponsorship:
Sponsorship includes a wide array of activities associated with a
communications process that is designed to utilize sport and lifestyle to send
messages to a targeted audience.
Communications through traditional advertising can be hit-or-miss. The
targeted reader, viewer, or listener may or may not be exposed to the
message.
This alternative channel of communication has helped companies achieve new
levels of target market engagement, and, in many cases, at a lower cost.
The attempt to sell a product
The attempt to create a bias
6. Corporate Objectives
“Sponsorship adds dimension to the product-audience communication; this
communication can create experiences that appeal to all senses, encourage
participation and feedback, provide opportunities for sampling and merchandising,
and convey some of the excitement and drama inherent in sport.”
-Mullin, Hardy, Sutton (Sport Marketing, Second Edition)
Objectives:
Increase Public Awareness Generate Media Benefits
Alter/Reinforce Public Perception Achieve Sales Objectives
Identify with a Particular Market Segment Create Separation from Competition
Involve Company in the Community Gain Hospitality/Entertainment Opportunities
Build Goodwill Among Decision Makers Secure Entitlements
Enhance B2B Relationships
8. “Sports fans engage in about 74 brand-related conversations each week – one-third
more than the average American. Their propensity to talk up brands cuts across a
wide variety of product and service categories. … Not only do they engage in more
talk, but these brand-related conversations are apt to drive action.”
-Ed Keller (Keller Fay Group market research firm)
A Proven Property
Corporations need champions to represent their brands.
Consumers embrace the human element and rally behind sports, and the brands
that participate in them.
Companies that consistently outperform their competition use sports as a key
separation tool.
Participation programs both internally and externally can be powerful tools to unite
your organization, strengthen your team and improve your results.
World of participation vehicles that can quickly put your sports marketing message
in front of targeted consumers.
10. The Mission
To create a comprehensive sports marketing program for your organization that will
increase brand awareness and exposure through a fully integrated marketing effort
with a respected sports property.
The creation of this sports marketing program will accomplish:
Increasing brand awareness and recognition to fuel consumer demand
for your product or service.
Creating direct relationship between the product of service and the
brand-loyal fans of the respective sports property.
Creating a challenge for industry competitors of your organization.
Creating leverage points with existing and/or new vendors.
Creating meaningful results-driven marketing and promotional
opportunities with the respective sports property. This may include special
appearances, motivational speaking engagements and hospitality events.
11. Activation
No matter the size and scope of your sponsorship, there are a variety of exciting and
effective ways a company can activate its sports marketing program.
Activation is key to the program’s success, and supporting elements can fall into one or
more of six key categories:
Branding
Business-to-Business
Cause Marketing
Consumer Promotions
Internal Initiatives
Investor Relations
12. Company logos adorn various items in and around the event. These items may include
signage, merchandise and other collateral material.
Branding
Use of Sports Property name and likeness to help differentiate your brand from your
competitors.
13. Business-to-Business
Event Hospitality allows companies to further develop some of its most important
relationships with consumers, vendors and other key people.
Spend an evening with these individuals on the field pre- and post-game, then watch
the event in premium seating (a suite, box or field-level seats), giving them an exclusive
look at your sports partnership.
Pass through sponsorship entitlements to synergistic business partners, further driving
various facets of your business.
14. Cause Marketing
Take advantage of a popular sports platform and the fan base to promote a charity of
choice through the property.
Use a hospitality program to accommodate and engage with non-profit organizations
close to your company.
Pass through sponsorship entitlements to non-profit organizations to compliment your
existing community relations strategy.
15. Consumer Promotions
Sweepstakes may include free tickets to a sports event. Premium sponsorship
opportunities can put your consumer in a VIP experience during the game, or in a
special themed event that compliments the sports partnership.
Or… Your organization can target fans of the sports property by dangling a sweeps prize
or an exclusive offer.
Leverage various aspects of the sports event to drive traffic to your business.
16. Internal Initiatives
Sports is the epitome of a performance-based industry.
Reward over-achieving employees with items and opportunities unique to your sports
partnership.
Use the sports property to entertain and thank key internal individuals at the event.
17. Customization
One of the most attractive traits of a sports marketing program is that such programs
are highly customizable.
Companies can be very creative in developing the supporting elements that directly
appeal to its brand and corporate objectives.
An organization’s level of activation can vary depending upon overall marketing
objectives and budget constraints.