Sponsorship: more than a mention in an advert,

Tue, May 27, 2014

by Candice Sealey

Business Buzz

Its the season for sponsorships…. Businesses sponsoring Carnival events or sponsoring radio and television programmes because of the festive Carnival season. Just listen/watch or read event adverts and one can’t help but notice the long list of sponsors at times; but how many of these sponsorship deals really make sense? The big question is: Is your business receiving value from its sponsorship? Before going any further, let me first dispel the myth that sponsorship is the domain of big businesses. There are lots of excellent opportunities for small and medium-sized businesses.{{more}}

Two of the biggest mistakes made when it comes to sponsorship deals are: not making the right decision about what to sponsor and not thinking about what the business can get out of the sponsorship deal in the short or long-term. In light of this, here are some things to consider:

1.Don’t just sit and wait for a promoter/event organizer, a radio or TV station to approach you to sponsor an event or a programme. A corporate sponsorship programme should form part of your company’s marketing plan, no matter how small your business.

2.Identify objectives

Setting objectives will help you choose the right activity and get the most from it. Why are you sponsoring that particular J’Ouvert band? Why are you sponsoring that particular radio/TV programme on that particular radio/TV station? Are you launching a new product? Do you want a long-term deal where customers learn to associate your company with those types of events/activities? Are you building your brand and if so, how will this sponsorship build your brand? Your answers to these questions will help you to work out how effective the sponsorship activity is. Remember it’s not only about building your brand amongst paying customers, but also employees; so, if you want to be seen as an attractive employer, think about the sponsorship opportunities that will facilitate such.

3.Know your target

If you have been following these articles, you would realize how many times I mention “your target.” You must know whom your business would like to reach before making a decision to sponsor any activity. Admittedly, you may wish to raise the awareness of your business, but you need to do it effectively by knowing your target audience, what they are interested in and where they go; e.g. beer companies tend to sponsor sporting competitions, mainly because they would have already assessed what percentage of consumers have an interest in a particular sport; therefore by aligning their brand with that sport, they have a platform to build a range of communications with that audience. If you are a drinks brand (alcohol or non-alcohol) and you haven’t done that as yet, it’s time to get started!

4.Budget.. budget. budget

Before you even think about sponsoring any event/programme, work out your budget. It should not only include cash or services for the agreement between your company and those you are sponsoring, but also an internal budget to capitalize on the sponsorship. The latter is an area that many businesses neglect; costs such as promotional products and publicity must be considered, so as to make the most of the opportunity.

5.Marketing

If you don’t “blow your own horn,” who will, and why should anyone else do it for you? Have you developed a promotion plan in conjunction with those you are sponsoring? Your logo does NOT suffice. How about other marketing tools such as a press release that not only focuses on those you are sponsoring, but also your company’s involvement? How about promotional merchandise? Advertising – radio interviews/newspaper advert pointing out your involvement? How about a competition to strike up interest in your company? If you are not doing any of these things, it’s time to create some new sparks! It’s your responsibility to consider what resources are needed to make the sponsorship a success for your business.

6.Define how you will track results

Will there be any performance indicators? Returns on investment are important whether it be increased revenue, new clients or brand awareness, which is not as easy to measure. Remember though, return on investment doesn’t always translate directly into more dollars, at least not immediately, but many benefits from sponsorships are in the long- term, which is why it is so important to seriously consider the opportunities brought before you; don’t just discard them without seeing how beneficial or non-beneficial they are to your business.

Candice Sealey is Founder of Ignite! Full service Marketing & PR Consultancy Company offering tailored services to help businesses succeed. Let Ignite! help you create new sparks and get better results for your business.

Follow us @Ignite3D

Email: igniteresults@gmail.com

www.facebook.com/igniteresults.