MAKING SPONSORSHIP PAY – HOW CAN WE HELP?The role of Research in Sponsorship as a Marketing Tool. Prepared for: MediaCom Engage Conference 10 May 2012 Presented by: Richard Brinkman Head of KantarSport 1
RESEARCH IN SPORT : WHAT IS IT GOOD FOR?IT MUST BE ACTIONABLE AND UNDERSTANDABLE
RESEARCH IN SPORT : WHY DO YOU WANT TO DO IT?YOU HAVE TO BE BRAVE
THE GLOBAL RECESSION HAS SEEN A SLOW DOWN IN MARKETING SPEND… Global Marketing SpendSource: GroupM – This Year, Next Year
…WHILST SPONSORSHIP REMAINS IN GOOD HEALTH Global Sponsorship Spend Up 88%Source: GroupM – This Year, Next Year
CONSUMERS WITH LESS CASH IN THEIR POCKETS ARE STAYING HOME AND WATCHING MORE TV AND MORE SPORT Average Daily Hours of TV - UKSource: BARB/Infosys TV
TV STILL LIES AT THE HEART OF MEDIA CONSUMPTION, BUT FOR HOW LONG? Daily Reach of Devices - UK 57% of mobile phone use takes place concurrently with other media activity and 62% for computer useSource: OFCOM CMR 2010
LET’S NOT WRITE OFF TRADITIONAL MEDIA JUST YETMore people read newspapers than are connected to the webTotal newspaper readership 1,900,000,000 per day540,000,000 newspapers sold every dayGlobal paid-for circulation up 1.3 % year-on-year, 8.8% over 5 yearsNewspapers reach 41% more adults than the world wide webTwitter used by 1.9% of UK population
TIME SHIFTED VIEWING MEANS IT IS HARDER THAN EVER TO REACH YOUR TARGET MARKET THROUGH TRADITIONAL MEANS – DOESN’T IT? Alongside the challenges already confronting brands is the growth in time shifted viewing. The development of services such as TiVo and Sky + have further blunted the power of traditional TV advertising. But Sport is less vulnerable to the effects of time shifted viewing, particularly live content. 15.1% of all viewing in Sky + homes is now time shifted. Sports content is amongst the least time shifted programming (particularly amongst highly rated programming). Proportion of Coverage Time Shifted (Sep ‘11) 16.7% 14.5% 10.1% 9.9% 7.5% 7% 6.9% 5.7% 5.6% 5.1% 4.0%Source: BARB
SO….CHALLENGING!! Its difficult – Emotional into rational. Its big – and getting bigger! Its scary – Accountability and Planning Its dynamic – changing and evolving Its increasingly global Its 2-paced – traditional media driven but experienced live and in real time too
WHAT TO DO ?DEPENDS ON WHAT YOU WANT OUT BUT DON’T….
KEEP IT SIMPLEADAPT TO YOUR OBJECTIVES • TV, Press, Online Monitoring Multimedia Monitoring & • SportsI – Advanced image recognition brand Evaluation exposure monitoring • Advice and Recommendations to maximise Media Output exposure Audience • Viewing trends Analysis • Global comparisons • Analysis of sport vs.. other content • InfoSys •Sportscope: continuously tracking sports Syndicated properties followed tracking • Impact of sponsorship surveys • Media touch pointsCommercial Sport Consumer • Multi country Programmes Outcomes • Specific event based studies – i.e. Olympics Custom • Market size and structure Market • Market segmentation Research • Usage and attitude • NPD and pricing research • TGI – Lifestyle, products, media plan Specialist • TRI*M – Hospitality and spectator experience Techniques & • BGI – the “equity” in a sport, how attached Tools are people • NeedScope – matching values, assessing “fit”
FUNDAMENTAL MODEL OF OBJECTIVESWHO SHOULD DO WHAT? What is the ROI? How can we make it work harder? What attitudes and behaviours are we driving? What’s the media value for what we got? What should we pay? What should we sponsor? 14
THE THORNY ISSUE OF MEDIA VALUECONSISTENCY ACROSS TV, PRESS & ONLINE KantarSport
IT IS BECOMING MORE IMPORTANT NOT LESSEVERY PARTNERSHIP NEEDS NEGOTIATING Consistent language understood functionally and globally Useful for establishing KPIs Informative around efficient implementation Worthwhile part of the story (not the whole story) Its about people not technology Make sure its understandable, robust, variable minimal and actionable
SPORTSCOPE : CONSUMER TRACKING STUDYWHAT DOES IT DO? MORE THAN JUST A 500 PERSON AWARENESS SNAPSHOT Profiles consumers who follow different sports. Segments fans based on their levelof attachment to a sport. Establishes levels of awareness generated from brands’ sports sponsorship andthe affinity to those brands involved. Tracks trends in sports consumption and spend throughout the year. Facilitates comparisons between sports and competitive brands based on differenttarget groups – a comparable measure between different activity. Measures the equity that lies within individual sports, key competitions, clubs andindividuals. Enables governing bodies, rights owners and clubs to understand key metricsabout their supporters. Allows sponsors to see which sports, clubs and competitions can offer them thebest ROI through understanding comparable awareness and disposition measures.
SPORTSCOPE : CONSUMER TRACKING STUDYHOW DOES IT DO IT? A monthly on-line survey to a rolling panel of 1000 nationally representative adults. Run in UK, France, Italy, Germany, Spain, USA, Russia, China, Brazil, Australia. Core module asking about media consumption of sports, spend on sports andcommitment to particular sports runs every month. This is augmented by specific modules going into more depth about particularsports and brands within those sports on differing frequencies. So there are 12 football modules, 3 F1 modules, 2 rugby, tennis, golf, horse-racing,skiing modules etc per year. Covering 20 sports in all. More bespoke client questions and other sports (ie basketball) can be added atadditional cost. Additional countries can also easily be added at additional cost.
SPORTSCOPEQUESTIONNAIRE FOR CORE & F1 MODULE • Interaction with individual sports – watch, read, listen, play • Degree of commitment to each sport followed – segmentation Sport & Leisure • Where sport fits into leisure activities • Equity of each individual sport • Spend on leisure and sport’s share of wallet • Importance of F1 amongst other Sports and MotorSports • Races interested in attendance / watching F1 • Team / Driver followed • Detailed analysis about how people follow F1 • Sponsorship association with F1, trackside and teams (spontaneous & prompted) Brands in F1 • Sponsor brand awareness, affinity, usage & consideration • Age, Gender, Social Class • Region Demographics • Household size •Other demographics and lifestyle are available on request
OUR APPROACH TO SPONSORSHIP MEASUREMENTANALYSIS: BRAND BEHAVIOUR This can be visualized in a simple pyramid… few people aware, but impact on those few is great. 25% of those aware of the 12 sponsorship consider the brand 25 60% of those who consider are likely to buy 60 Movement through the impact funnel highlights the impact the sponsorship is having on a target. 21
IMPACT OF SPONSORSHIP BY BRANDAUDI AND NIKE CONVERTING A NICHE GROUP WHILE AON’S GREATERAWARENESS NOT YET TRANSLATING TO CONSIDERATION Audi AON Aware 15 Aware 42 Movement Consider 55 Consider 11 along theimpact chain determines Engage 75 Engage 86 the shapeand provides diagnostics AIG Nike on the strengths & Aware 34 Aware 16weaknesses of your Consider 28 Consider 70sponsorship Engage 71 Engage 100 KantarSport
IMPACT OF SPONSORSHIP OVER TIME AFTER THE TOURNAMENT THE PROPENSITY TO ENGAGE WITH THE COCA COLA WAS LOWER BUT THE CONSIDERATION SET WAS MUCH HIGHER During World Cup After World Cup % % 60 Aware 40 38IMPACT 25 Consider 60 92 Engage 12 86 59 TIME
IMPACT OF SPONSORSHIP BY SEGMENT MOVEMENT ALONG THE IMPACT CHAIN CAN BE DIFFERENT DEPENDING ON YOUR COMMITMENT LEVEL, WHICH PROVIDES FURTHER DIAGNOSTICS ON THE STRENGTHS & WEAKNESSES OF YOUR SPONSORSHIP Strongly Attached Attached Divided Unattached % % % % Aware 40 40 20 5IMPACT Consider 15 25 50 30 Engage 60 45 40 60 Example data only ATTACHMENT
SPORTSCOPE TGIEXAMPLE INSIGHTS UCL fans are 44% more likely to drink draught UEL fans are 17% more lager likely to drive a people (as against 33% for football carrier fans) UEL fans are 25% more UCL fans are 40% more likely to have a games likely to have a Blackberry console at homeSource: Sportscope TGI 2011 26
SPORTSCOPE TGIEXAMPLE INSIGHTS Golf fans are 29% more Horse racing fans are 27% likely to have a bank less likely to have a bank account with RBS account with RBS Golf fans are 54% more Horse racing fans are 35% likely to earn over £50k per more likely to earn over year £50k per yearSource: Sportscope TGI 2011 27
SKIING IS A FAIRLY NICHE SPORT IN GB AND SUFFERS FROM AHIGH LEVEL OF COMPETITION FOR FAN ATTENTIONSKIING LANDSCAPE5.5% of GB adults (2.6m adults)follow skiing On average skiing followers, follow 7.7 sports. Higher than the average for all sports fans which is 3.3 Skiing followers also follow: Formula 1 (59%) Athletics (57%) Tennis (53%) Football (53%)
FOOTBALL FOLLOWING BY COMPETITION THREE QUARTERS OF FOOTBALL FANS FOLLOW THE UCL. WHEN USING TGI DATA UCL AND UEL WILL LARGELY REFLECT THE WIDER FOOTBALL FAN BASE . SPORTSCOPE TGI SEGMENTS FOLLOWERS BASED ON THEIR ATTACHMENT TO THE COMPETITION Sportscope TGI TGI UCL FollowersSource: TGI 2011 Source: Sportscope TGI 2011 29
PROFILE OF CARLING CUP FANSSPORTSCOPE TGI SEGMENTS FANS BASED ON ATTACHMENT TO THECOMPETITION ALLOWING MORE DETAILED ANALYSIS OF THE FANBASE Attached Fans are the most desirable target for a sponsor partner •More engaged with the sporting property •Tune in to communications about the property •More exposed to sponsors •More affinity with sponsors and what they are trying to do 30
WHAT IS GOING TO HAPPEN?COLLABORATION THE KEY THEME The industry gets the research it deserves – less than 1.5% of total sponsorshipspend goes back into R&D. Concentration on measuring what makes sponsorship attractive vs other media –ability to start a more personal and interesting dialogue. Use of dual screen/media – online and social media behaviour driven by traditionalmedia. Online behaviour and habits, scale and proliferation of content grabbed and sharedby individuals. Getting the correct basis for your dialogue – “fit” – TNS NeedScope. The live experience – stakeholder management tool such as TRI*M. A less confrontational view between rights holders and brands – share costs.