| What’s the Purpose of a Sponsorship? | | | | your tournament that is held interstate or overseas. |
| There are many outcomes a company can be looking | | | | Unless of course they are looking to start to franchise |
| for when spending their marketing funds on | | | | their brand, then it might be a good fit, but you need to |
| sponsorship. Increase brand awareness, new | | | | find out. The How is also important. Does the |
| product placement, gaining access to potential | | | | Sponsor want to get involved in activities, attend |
| customer contact details, and the list goes on. | | | | events, contribute to newsletters, speak at a function. |
| Therefore when a proposal hits the desk of a | | | | How Much? |
| Marketing manager or CEO of a company, how can | | | | The main parameter of most commercial transactions |
| they honestly assess the potential value of an offer if | | | | is how much money the buyer has. You can create |
| it’s already been decided what they are going to | | | | a lovely sponsorship package and create a price |
| get and what it costs? Human beings are generally | | | | based on what you need, but often this bears little |
| not instinctively creative, therefore we often process | | | | resemblance to the Sponsors budget or what they |
| and think about what is presented, rather than | | | | believe the package is worth. By understanding what |
| automatically also consider alternatives. In order to | | | | the Sponsor is willing to spend in this financial year on |
| have any chance of securing a sponsorship and | | | | sponsorship, and understanding the W’s mentioned |
| making it work, you need to understand the purpose of | | | | previously, you can create an offer that will generate a |
| the sponsorship in the eyes of the Sponsor. | | | | return on investment for the Sponsor. Even if they |
| All the W’s | | | | want more than you believe their sponsorship money |
| What, When, Why, Where and HoW. The | | | | is worth, do it anyway. Most of the effort is time and |
| “Why” should be known when you find out the | | | | energy rather than tangible costs. In the sales |
| purpose, but you also need to understand the other | | | | industry it is proven that it costs 5x more to win a new |
| aspects of the Sponsor’s needs. The timing of a | | | | customer than to retain an existing customer. You |
| sponsorship might be important to coincide with a new | | | | are selling your services to the Sponsor, so if you can |
| product launch, or for seasonal sales, so you need to | | | | get them on the hook and create a partnership, there |
| understand the When aspects. What does the | | | | is a much greater opportunity for you to retain and |
| Sponsor want to get out of the sponsorship? You | | | | potentially increase the sponsorship in the future. |
| should understand what tangible evidence or | | | | Summary |
| outcomes they want to see, as then if you can meet | | | | Work with the prospective Sponsor and let them be |
| or exceed these, the renewal conversation next year | | | | the decision maker in regard to what will help them |
| should be straight forward. Do they want a | | | | achieve their objectives, and what they believe it’s |
| spreadsheet with potential customer contact details? | | | | worth. Then if you’re able to fulfill their objectives |
| A survey of event attendees to check brand | | | | with them, the benefits of sponsoring you are easily |
| awareness or impressions? Where the sponsorship | | | | visible to the company and they will continue to invest |
| is enacted is also important. There’s no point | | | | in you. |
| chasing a sponsorship from a local motor mechanic for | | | | |