Sports sponsorship is such a popular marketing tool among brands that you’d be forgiven for thinking that everyone knows exactly how it works.
That's perhaps because the general public has come to associate sports sponsorship with visual branding. Sports sponsorship is a multifaceted strategy, and its benefits are exponential.
To implement sports sponsorship effectively for your business, let's take a closer look at what you need to know.
What is Sports Sponsorship?
Simply put, sports sponsorship occurs when a brand partners with a sports team to create a marketing campaign around the sports team’s name, logo, and other branding elements.
The vast majority of sports sponsorship deals take place over the course of a year, unless contracted otherwise, and they usually involve attractive assets beyond just visual branding, including hospitality options, player-team appearances, and more.
After the marketing campaign has run its course, ROI can be measured and both the brand and club have developed what can continue to be a lucrative relationship. For well known teams and brands, the benefits are evident, but for smaller teams and brands, the mutual connection can help them develop legitimacy in the marketplace.
Why Does Sports Sponsorship Matter to Businesses?
Considered one of the most effective forms of advertising, sports sponsorship provides brands with a chance to introduce themselves to millions of new potential customers every year. In other words, if a brand decides to become a sports sponsor, it will be able to invest in a large number of sports fans and their loyalty.
With the growing interest in sports among all generations, coupled with the increasing popularity of streaming content, there is no better time to get involved in the world of sports sponsorship. This is a relatively cost-effective form of advertising compared to many other advertising methods, which means it is an attractive option for many businesses.
Types of Sports Sponsorship
There are many types of sports sponsorship deals, depending on the level of exposure each brand receives through the deal.
These types of sponsorship can broadly be classified as:
Premium Partnerships: In these deals, a brand has its logo and/or name on the team’s uniforms and/or other on-field gear.
These deals can also include the option for your brand to have its logo and/or name on the team’s stadium signage and/or team souvenirs, as well as in print, online, and digital exposure.
Brand integration deals: in these deals, a brand has its name and/or logo on scoreboards and/or other on-field elements, but has no other branding presence.
Stadium naming rights: This is a type of sponsorship deal in which a brand gets to sponsor the team’s grounds, possibly including their training facilities, such as a gym or a training pitch.
Depending on your budget, specific requirements, or goals, options can be tailored to your needs.
How Does Sports Sponsorship Work for Brands?
The whole point of a sports sponsorship deal is to generate awareness for the brand – and ideally sales as well – while also integrating the brand’s name into the popular and lucrative sports culture.
When a brand signs a sports sponsorship deal, it usually has a team of marketing professionals pitch one or more ideas on how to integrate the brand into the sports setting.
After the idea or ideas are approved, the brand will work with the sports team to create the custom logo and designs that will be used for the campaign.
After the campaign has run its course, the brand will consider extending the partnership if it has been successful.
In order to make the most of their sports sponsorship deal, most brands will have a dedicated manager in-house whose sole responsibility will be to ensure that the brand has the desired exposure and generates sales from their advertisements.
Bottom line
Sports sponsorship is a popular form of advertising that brands use to generate awareness for their products or services.
The key to sports sponsorship success is to find the right sports team that has the capability to expose your product or service to a lucrative and potentially global marketplace.
When it comes to sports sponsorship deals, the more exposure your brand receives, the better.