The team at Pixon Group has over four decades of combined experience, working in the complex, cutthroat, and dynamic industry of sports marketing. From emerging technologies to innovative sports marketing solutions, we’ve seen many fads that blazed briefly only to fade away. We’ve also been an integral participant in other innovations, such as LED technology that have emerged as game changers in the sports marketing industry.
One thing we are sure of is that sports sponsorship and the purchasing of sporting rights will always, in some way, be a part of the overall marketing mix, since the benefits to brands, should they choose wisely can be immense and enduring.
People often ask us what the main things are that need to be considered when deciding on a sports sponsorship as a tactic within the marketing mix.
Here are our top 6 tips you should consider before you invest your valuable marketing funds.
1. Understand the benefits of sports sponsorship for brands.
You should understand the potential benefits of investing in sports sponsorship, such as increased brand awareness, brand loyalty, and customer engagement. By associating with a sports team or event, brands can tap into the passion and loyalty of sports fans, building a deeper emotional connection with their target audience. It has been proven that brands associated with clubs, are more likely to be purchased by their supporters. So if you were say Hewlett Packard and sponsored Tottenham Hotspurs, research shows that Spurs supporters would buy a Hewlett Packard product over a competing one.
2. Identify the right sports sponsorship opportunity for your brand.
You’ll need to carefully evaluate potential sports sponsorship opportunities to ensure they align with your brand’s values, target audience, and marketing objectives. This includes analysing the demographics and interests of the team's or event's audience, as well as the level of exposure and media coverage the sponsorship can offer.
3. Start with your brand’s target audience and align with their interests.
A common mistake is for marketers to gravitate to the sports or events they and the management team have an affinity for, or to defer to the opportunity that has the biggest mass audience. A successful sports sponsorship depends on how well the opportunity connects with your target audience, not just it’s potential reach. Marketers must take the time to research the interests, values, and behaviours of their target audience, and ensure that the sports sponsorship opportunity they choose resonates with these factors.
4. Evaluate the potential return on investment (ROI) of a sponsorship.
Never has there been greater pressure to get a high return multiple when investing marketing dollars. Always assess the potential ROI of a sports sponsorship opportunity before making a commitment. This includes analysing the cost of the sponsorship, the level of exposure and media coverage it can offer and the potential impact on brand awareness, customer engagement, and sales. All this, conscious of the need to consider point 3, above.
5. Build a strong partnership with the rights holder to maximise the value of the sponsorship.
To get the most out of a sports sponsorship, it will only help if you establish a strong partnership with the rights holder. This includes being transparent and collaborative in defining clear objectives and expectations, identifying key performance indicators (KPIs), and establishing a clear communication plan. Only by working closely with the rights holder, can brands truly maximise the value of their sponsorship and achieve their marketing goals.
6. Employ best practices for measuring the success of a sports sponsorship.
Have a clear plan for measuring the success of your sports sponsorship campaign from the start and communicate this well to management as this will be the basis for their evaluation of your choices. Identify KPIs such as social media engagement, website traffic, and sales, as well as the impact of the sponsorship on brand awareness and customer loyalty. By regularly monitoring and adjusting the strategy based on these metrics, brands can ensure they are getting the most out of their sports sponsorship investment.
So, if you are considering sports sponsorship as part of your mix, we hope this simple list will help. As always, feel free to reach out to us if you think we can assist in any way.
Call anytime on 1300 174 966 or you can reach me directly on email at Matt.Rudd@pixongroup.com.