SlideShare a Scribd company logo
Vega Tools Day
1Presented 2 August 2013
Sponsorship as a
communications tool
17
1. Sponsorship is more than SIGNAGE
2. Sponsorships MUST be linked to
business and brand objectives
3. Sponsorships are AN INVESTMENT
thus MEASURE MEASURE
MEASURE
3 Key Takeouts From Today
@OctagonSA
@JudithMugeniwww.octagonsa.com
Sponsorship plays a
different role to
advertising – "If
advertising waves at
its target audience,
then sponsorship has
the ability to get
close enough to
shake them by the
hand…"
“Sponsorship is a mutually advantageous business
relationship between parties in which the sponsor
provides benefits for the sponsored in exchange for a
result that can be measured against pre-defined
objectives.”
Source: David Ross
Sponsorship Defined
Sponsorship Assets
 sponsor pays the property and in
return receives specific rights
and benefits, often referred to
as sponsorship assets
Leveraging
 The amount sponsors spend over and
above the sponsorship fee to maximize
the return on their investment in the
sponsorship property
Sponsorship/Rights fees
 The dollar amount a
sponsor gives to an
event.
Basic Sponsorship Terms
FIFA WORLD CUP 2010 Sponsorship Landscape
The sponsors …
$350m
$65m
$20m
Different Rights Holders Structure Their
Sponsorships Differently
Examples of models: IOC Sponsors
World Wide Top
Partners
Other Commercial
Programmes
Suppliers
Ticketing Program
Licensing
Different Rights Holders Structure Their
Sponsorships Differently
Sponsorship Assets: Ambush Marketing
Dilemma
Sports
sponsorship: major
sporting events, teams,
individuals.
Broadcast
Sponsorship:
Television and radio
programme sponsorship.
Arts and Culture
sponsorships such as arts
events or organizations
Venue
sponsorships
Recent! Digital
sponsorships
… Different TYPES of sponsorship
R4,596,000,000+
BMI Estimated Direct spend on Sports
$53,300,000,000
IEG Forecasted global spending
… Sponsorship is BIG Business
platform Globally
TWSM 2012
Year on year, Sports are the most
sponsored
Spend
Ranking Globally SA
1 Soccer Soccer
2 Golf Rugby
3 Rugby Cricket
TWSM 2012 BMI Sport Info 2012
With Football as the number 1 most
sponsored sport globally and in SA
Brand Awareness
Moving TM towards positive behaviour
Stakeholder Interaction
WHY? SPONSORSHIP PUTS BRANDS IN A SPECIAL
PLACE to meet brand and business objectives…
Through Maximising Visibility: logo sightings, brand
name mentions through TV, Print, Radio, Online etc
Maximised Exposure leads to increased Awareness
and Association levels of sponsorship
Measure: Event attendance, Media reach, Media
exposure valuation (logo, name, mentions), Website
visits
1. Build Brand Awareness
Barclays Global and Africa Presence How does
a GLOBAL
brand like
this reach
its Target
Markets
Effectivel
y and
Efficiently
Basic Sponsorship Terms
Barclays Premier League naming rights
£120 Million over 3 years since 2001
By putting a huge investment behind Sponsoring
a property that is loved around the world
17
Some 87% of overall
respondents in Europe
rank the Barclays Premier
League as the football
competition they follow
most closely.
In Asia and the Middle
East, 90% of overall
respondents rank the
Barclays Premier League
as the football competition
they follow most closely.
In Africa 88% of overall
respondents rank the
Barclays Premier League
as the football competition
they follow most closely.
Source:
The sponsorship gives Barclays domestic and
international exposure, with the Premier League
followed by millions of fans worldwide.
Its MORE
than
Awareness…
Sponsorshi
p is
WHERE WE
find
CONSUMERS
at their
MOST
PASSIONATE
It is
BORROWED
EQUITY
Where the
brand
Seeks a
RUB OFF
Effect
Achieving desired product, brand and image effects
and outcomes
Impact includes increase in Awareness|Positive
Perception of brand |Positive behaviour (Usage: Trial,
Loyalty, Reinforcement)
Measure: Consumer reach (brand recall, brand
perception, intent to purchase, sales, Lead
generation)
2. Moving Target Market towards positive
behaviour
It is
INTERACTIVE
It is where
RELATIONSHI
PS ARE BUILT
Community|client perceptions, HR objectives, Other
Stakeholders, Client entertainment through
Hospitality
Impact includes increase in Awareness, Positive
Perception of brand, positive behaviour (Usage: trial,
loyalty, reinforcement)
Measure: Employee satisfaction levels, feedback from
hospitality guests, Community Impact
3. Improve Relationships with Key
Stakeholders: Corporate objectives
Depth of sponsorship linked with social
responsibility
Depth of sponsorship linked with social
responsibility
Depth of sponsorship linked with social
responsibility
17
Barcelona and Boca Juniors,
both have UNICEF on their shirts
Depth of sponsorship linked with social
responsibility
17
Football Yona Ke Yona : development
through the inclusion of professional and
amateur teams.
Golf: The Nedbank Affinity Cup-
donates an amount equal to the
Affinity Cup winner’s prize money
Comrades Marathon: The Comrades Marathon
Home from Home Programme donated 50 000
to house runners who could not afford their
own accommodation at the race
Depth of sponsorship linked with social
responsibility



Federations
Leagues
Teams
Players
Tournaments 










Development/
Grassroots
   
Within Football rights and assets are divided
into distinct segments and leveraged
differently by different brands
• Event/Individual Sponsor
– Pepsi Team
– AFCON & CAF events
sponsor
• Event sponsor
– FIFA Partner
– UEFA European
Championships
– UK Coca cola championship
(Contract ending in 2010)
PEPSI VS COKE
Football sponsorship: Who comes out as the
winner...
Pepsi tends to use “Team Pepsi” in
marketing campaigns
Brand Awareness and Association
Real Madrid – Emirates
$40 Million per year
Brand Awareness and Association
Barcelona - Qatar Airways
$38 Million per year
Brand Awareness and Association
Liverpool - Standard Chartered
$33 Million per year
Brand Awareness and Association
Bayern Munich - Deutsche Telekom
$37 Million per year
Brand Awareness and Association
Manchester United - Chevrolet
$80 Million per year
Brand and Product Linkage
Brand and Product Linkage
Brand and Product Linkage
Brand and Product Linkage
Brand and Product Linkage
Brand and Product Linkage
Etihad Stadium
£400 Million over 10 years
Venue Sponsorship: Brand Awareness
The Emirates Stadium
£150 Million over 5 years
Venue Sponsorship: Brand Awareness
Allianz Arena
$300 Million over 20 years
Venue Sponsorship: Brand Awareness
Premier League TV Rights:
Worth £3 Billion between
2013 and 2016
Broadcast sponsorship is a lucrative investment
How I Met Your Mother
Red Bull
Big Bang Theory
Snickers
Master Chef
Robertson
Sensation – Samsung
R10 Million
Arts, Culture and Entertainment
Sponsorship
South African Music Awards - MTN
R15 Million
Rocking The Daisies – Carling
17
KEY MARKET
ACTIVATION
PUBLIC
RELATIONS
B2B
SOCIAL MEDIA
CLASSICAL
ADVERTISING
ON-LINE
COMMUNICATION
B2C
INTERNAL
MARKKETING
It’s more than signage…more than a channel.
Sponsorship delivers content we can leverage across multiple
channels.
17
Turkish Airline Commercial: Manchester United
17
NY City Marathon Case Study using a 360
degrees Leveraging Approach
17
Ask WHAT added benefits Did I as a sponsor
BRING to the FAN
BRANDS must
be seen to be
BRINGING
something to
the sponsored
PROPERTY
WITHOUT us
sponsoring this
event you would
not be getting
the following
VALUE added
Benefits.......
MEASURE
MEASURE
MEASURE
Return ON
Objectives
Football Best PracticeSponsorship Best Practice
17
1. Sponsorship is more than SIGNAGE
2. Sponsorships MUST be linked to
business and brand objectives
3. Sponsorships are AN INVESTMENT
thus MEASURE MEASURE
MEASURE
3 Key Takeouts From Today
@OctagonSA
@JudithMugeni
17
Thank You
56

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Sponsorship as a communication tool

  • 1. Vega Tools Day 1Presented 2 August 2013 Sponsorship as a communications tool
  • 2. 17 1. Sponsorship is more than SIGNAGE 2. Sponsorships MUST be linked to business and brand objectives 3. Sponsorships are AN INVESTMENT thus MEASURE MEASURE MEASURE 3 Key Takeouts From Today @OctagonSA @JudithMugeniwww.octagonsa.com
  • 3. Sponsorship plays a different role to advertising – "If advertising waves at its target audience, then sponsorship has the ability to get close enough to shake them by the hand…"
  • 4. “Sponsorship is a mutually advantageous business relationship between parties in which the sponsor provides benefits for the sponsored in exchange for a result that can be measured against pre-defined objectives.” Source: David Ross Sponsorship Defined
  • 5. Sponsorship Assets  sponsor pays the property and in return receives specific rights and benefits, often referred to as sponsorship assets Leveraging  The amount sponsors spend over and above the sponsorship fee to maximize the return on their investment in the sponsorship property Sponsorship/Rights fees  The dollar amount a sponsor gives to an event. Basic Sponsorship Terms
  • 6. FIFA WORLD CUP 2010 Sponsorship Landscape The sponsors … $350m $65m $20m Different Rights Holders Structure Their Sponsorships Differently
  • 7. Examples of models: IOC Sponsors World Wide Top Partners Other Commercial Programmes Suppliers Ticketing Program Licensing Different Rights Holders Structure Their Sponsorships Differently
  • 8. Sponsorship Assets: Ambush Marketing Dilemma
  • 9. Sports sponsorship: major sporting events, teams, individuals. Broadcast Sponsorship: Television and radio programme sponsorship. Arts and Culture sponsorships such as arts events or organizations Venue sponsorships Recent! Digital sponsorships … Different TYPES of sponsorship
  • 10. R4,596,000,000+ BMI Estimated Direct spend on Sports $53,300,000,000 IEG Forecasted global spending … Sponsorship is BIG Business
  • 11. platform Globally TWSM 2012 Year on year, Sports are the most sponsored
  • 12. Spend Ranking Globally SA 1 Soccer Soccer 2 Golf Rugby 3 Rugby Cricket TWSM 2012 BMI Sport Info 2012 With Football as the number 1 most sponsored sport globally and in SA
  • 13. Brand Awareness Moving TM towards positive behaviour Stakeholder Interaction WHY? SPONSORSHIP PUTS BRANDS IN A SPECIAL PLACE to meet brand and business objectives…
  • 14. Through Maximising Visibility: logo sightings, brand name mentions through TV, Print, Radio, Online etc Maximised Exposure leads to increased Awareness and Association levels of sponsorship Measure: Event attendance, Media reach, Media exposure valuation (logo, name, mentions), Website visits 1. Build Brand Awareness
  • 15. Barclays Global and Africa Presence How does a GLOBAL brand like this reach its Target Markets Effectivel y and Efficiently Basic Sponsorship Terms
  • 16. Barclays Premier League naming rights £120 Million over 3 years since 2001 By putting a huge investment behind Sponsoring a property that is loved around the world
  • 17. 17 Some 87% of overall respondents in Europe rank the Barclays Premier League as the football competition they follow most closely. In Asia and the Middle East, 90% of overall respondents rank the Barclays Premier League as the football competition they follow most closely. In Africa 88% of overall respondents rank the Barclays Premier League as the football competition they follow most closely. Source: The sponsorship gives Barclays domestic and international exposure, with the Premier League followed by millions of fans worldwide.
  • 18. Its MORE than Awareness… Sponsorshi p is WHERE WE find CONSUMERS at their MOST PASSIONATE
  • 21. Achieving desired product, brand and image effects and outcomes Impact includes increase in Awareness|Positive Perception of brand |Positive behaviour (Usage: Trial, Loyalty, Reinforcement) Measure: Consumer reach (brand recall, brand perception, intent to purchase, sales, Lead generation) 2. Moving Target Market towards positive behaviour
  • 22. It is INTERACTIVE It is where RELATIONSHI PS ARE BUILT
  • 23. Community|client perceptions, HR objectives, Other Stakeholders, Client entertainment through Hospitality Impact includes increase in Awareness, Positive Perception of brand, positive behaviour (Usage: trial, loyalty, reinforcement) Measure: Employee satisfaction levels, feedback from hospitality guests, Community Impact 3. Improve Relationships with Key Stakeholders: Corporate objectives
  • 24. Depth of sponsorship linked with social responsibility
  • 25. Depth of sponsorship linked with social responsibility Depth of sponsorship linked with social responsibility
  • 26. 17 Barcelona and Boca Juniors, both have UNICEF on their shirts Depth of sponsorship linked with social responsibility
  • 27. 17 Football Yona Ke Yona : development through the inclusion of professional and amateur teams. Golf: The Nedbank Affinity Cup- donates an amount equal to the Affinity Cup winner’s prize money Comrades Marathon: The Comrades Marathon Home from Home Programme donated 50 000 to house runners who could not afford their own accommodation at the race Depth of sponsorship linked with social responsibility
  • 28.    Federations Leagues Teams Players Tournaments            Development/ Grassroots     Within Football rights and assets are divided into distinct segments and leveraged differently by different brands
  • 29. • Event/Individual Sponsor – Pepsi Team – AFCON & CAF events sponsor • Event sponsor – FIFA Partner – UEFA European Championships – UK Coca cola championship (Contract ending in 2010) PEPSI VS COKE Football sponsorship: Who comes out as the winner... Pepsi tends to use “Team Pepsi” in marketing campaigns
  • 30. Brand Awareness and Association
  • 31. Real Madrid – Emirates $40 Million per year Brand Awareness and Association
  • 32. Barcelona - Qatar Airways $38 Million per year Brand Awareness and Association
  • 33. Liverpool - Standard Chartered $33 Million per year Brand Awareness and Association
  • 34. Bayern Munich - Deutsche Telekom $37 Million per year Brand Awareness and Association
  • 35. Manchester United - Chevrolet $80 Million per year Brand and Product Linkage
  • 36. Brand and Product Linkage
  • 37. Brand and Product Linkage
  • 38. Brand and Product Linkage
  • 39. Brand and Product Linkage
  • 40. Brand and Product Linkage
  • 41. Etihad Stadium £400 Million over 10 years Venue Sponsorship: Brand Awareness
  • 42. The Emirates Stadium £150 Million over 5 years Venue Sponsorship: Brand Awareness
  • 43. Allianz Arena $300 Million over 20 years Venue Sponsorship: Brand Awareness
  • 44. Premier League TV Rights: Worth £3 Billion between 2013 and 2016 Broadcast sponsorship is a lucrative investment
  • 45. How I Met Your Mother Red Bull
  • 48. Sensation – Samsung R10 Million Arts, Culture and Entertainment Sponsorship
  • 49. South African Music Awards - MTN R15 Million
  • 50. Rocking The Daisies – Carling
  • 51. 17 KEY MARKET ACTIVATION PUBLIC RELATIONS B2B SOCIAL MEDIA CLASSICAL ADVERTISING ON-LINE COMMUNICATION B2C INTERNAL MARKKETING It’s more than signage…more than a channel. Sponsorship delivers content we can leverage across multiple channels.
  • 52. 17 Turkish Airline Commercial: Manchester United
  • 53. 17 NY City Marathon Case Study using a 360 degrees Leveraging Approach
  • 54. 17 Ask WHAT added benefits Did I as a sponsor BRING to the FAN BRANDS must be seen to be BRINGING something to the sponsored PROPERTY WITHOUT us sponsoring this event you would not be getting the following VALUE added Benefits....... MEASURE MEASURE MEASURE Return ON Objectives Football Best PracticeSponsorship Best Practice
  • 55. 17 1. Sponsorship is more than SIGNAGE 2. Sponsorships MUST be linked to business and brand objectives 3. Sponsorships are AN INVESTMENT thus MEASURE MEASURE MEASURE 3 Key Takeouts From Today @OctagonSA @JudithMugeni

Editor's Notes

  1. Landlord TermsMy land i am landlord with many properties, while you stay here you have access to the followingRent and FurnishWhile you are in the house you are free to make it look pretty, furnish it etc but do not change the structure of the house e.G. Change paint, put holes etc
  2. http://www.youtube.com/watch?feature=player_detailpage&v=uInjzQlulK8