Six ways to leverage sport sponsorship

By AdNews | 28 July 2000
Sports marketing investments that arenÕt leveraged often become an expensive frustration. The great advantage of leveraging is that it enables a company to capitalise on the popularity and positive values of sport, while controlling the manner in which its brand is portrayed. This isnÕt always possible during a sporting event when a sporting bodyÕs first priority will be to present a great event. Effective leveraging requires budget beyond the buy-in fee. Other key ingredients are hard work and creativity. The creative element involves keeping up to date with what attracts consumers, which requires a finger on the pulse of both sporting and consumer marketing trends. The following six leveraging activities are the current hottest trends. They are likely to continue to grow over the next five years. Online leveraging The Internet is an ideal medium for expanding audience reach and communicating directly with loyal supporters. A year ago, sponsorsÕ Internet activities consisted of a presence on a sporting bodyÕs site through, for example, banner advertising and hot links. Now, effective online leveraging involves sponsors implementing their own web strategies to communicate directly with consumers. The communication is effective because the sponsor and customer already share a common interest Ñ a love of the same sport, team or athlete. One example is the competition Telstra ran on its site during the Telstra Australian Swimming Trials to select the best-ever Australian swimming team. Another is a product called e-leverage that TSE [Total Sport & Entertainment] has developed which enables sponsors to communicate online with a large number of sports enthusiastic consumers. Media stunts Sport is always big news. A companyÕs connection to a sport is sometimes news, but rarely big news. Therefore, in order to capitalise on the enormous publicity sport receives, a sponsor generally has to do something extraordinary. A sponsor who is incredibly generous or challenges the traditions of a sport is most likely to make the front page. A good example is Geelong footballer Garry Hocking who changed his name to Whiskas. Another timeless example is Holden giving a Golden Commodore to gold medal winners at the 1996 Barcelona Olympics. The expanded audience reach of significant press coverage will encourage greater sponsor creativity as more companies push at the boundaries of traditional sports marketing. Sponsorship theming A sound sports marketing theory is that to achieve great results a sponsor should ÒownÓ an event, where one sponsorÕs branding is more prominent than all other sponsors. Uncle Tobys sponsorship of the Iron Man competition is regarded as the Australian benchmark. But an alternative approach Ñ sponsorship theming Ñ has emerged. This involves a company acquiring a number of minor sponsorships then communicating those investments through its own marketing. As a result, the company establishes clear sports-based brand values in the minds of the consumer. Most companies that have adopted a sponsorship theming strategy, such as Qantas and Gatorade, are ones that supply products to sport. As sponsors seek to maintain greater control of their brands, sponsorship theming will spread throughout a greater number of industries. Consumer and trade promotions The fabric of sport in Australia is rapidly changing. Not only is it becoming increasingly difficult and expensive for the average person to attend sporting events, but public interaction with elite sportspeople is becoming less frequent. As a result, sports-themed consumer and trade promotions are growing. Sports-themed prizes have the great attraction of being endowed with Òmoney canÕt buyÓ value. Where once the unobtainable dream was a sports car, now itÕs having dinner with a star athlete or being at the ground on grand final day. Creating additional events Sponsors are one of a number of stakeholders in a sporting event, thus a sponsor usually canÕt control the event significantly to make sure all spectators leave the match feeling they experienced the sponsorÕs brand. Sponsors see that conducting their own sponsorship-themed events creates stronger brand loyalty. An example is the Redfest events Coca-Cola is conducting for customers around the country to leverage its Olympic sponsorship. Sports-themed customised events can be aimed at customers, the trade or staff and are an effective way ensure a companyÕs communications goals are met. Sport and cause marketing Both sponsors and sports are realising that consumers want to deal with companies that are responsible corporate citizens. ThereÕs a growing trend of capitalising on the popularity of sport to highlight a companyÕs community and social activities. An example is the Champions Dream program developed by Victorian lottery and gaming company TattersallÕs. TattersallÕs-sponsored athletes nominate an athletic goal and a charity. Traditional athlete endorsements often involve a bonus to the athlete when they win a medal or make a team. Under the Champions Dream program TattersallÕs pays the achievement bonus to the athleteÕs nominated cause. Sponsors who leave the delivery of their marketing message up to a sporting body are often disappointed with the results. Sports marketing investments are a platform from which a company can implement its own leveraging strategies. Those that meet the current thinking of sports fans will be those that win customers.

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