Why sponsorship versus traditional marketing/advertising?

Over the past few years traditional media effectiveness has diminished while price has increased.

Traditional Media is less effective and efficient due to:

 

• Audience Fragmentation - there are many more channels to reach consumers as content becomes much more targeted for specific demographic niches
• Costs - ratings and readership has declined while cost per viewer and reader for advertising has increased
• Attention loss - consumers are tuning out, zoning out or become more savvy about where the attention goes
• Sponsorship is: Interactive - while advertising is a monologue, sponsorship is dialogue
• Emotional - it taps into events, places and causes that consumers are passionate about
• Relevant - it reaches consumers in places they choose to be in
• Immersive - through multiple touch points and components
• Efficient - cost per impression are lower, and cost per interaction is more valuable

Sponsorship benefits can include:

• Lead generation - gain qualified leads to the targeted audience at property through incentive programs

• New business development - onsite conversion through hospitality, consumer audience, other rights-holders or property itself

• Increase customer/brand loyalty - increased equity via association with high prestige property

• Create awareness & visibility - using a multiplier through media coverage of event/property

• Change/reinforce image - through alignment with like-minded property

• Drive retail traffic and showcase brand attributes - through sampling and couponing

• Showcase community responsibility - through sponsorship of local events/causes with particular meaning to the community

• Hospitality and Entertainment - use tickets and hospitality at and for sponsored properties to foster deeper relationships, reward customers and recruit and retain employees

• Sub-segment targeted demographics - through particular locations for consumer intercept, types of offers and communications

• Differentiate from competitors - by locking them out of the sponsorship through negotiated exclusivity

• Achievement of multiple objectives - you can all of the above plus media, through sponsorship

 

Sponsorship Insights Blog

Friday, 30 May 2008

 

Here I will be blogging on sponsorship at a minimum of once per week. I will post ideas, best practices, case studies and white papers on every aspect of sponsorship. I encourage feedback and dynamic dialogue for participants.

Recently, we formed a networking group for buyers and sellers of sponsorship on LinkedIn. You can get more information and join by clicking on the following link:

http://www.linkedin.com/e/gis/59380/45159C6B434B