Sponsorship Blog

Big Sponsorships, Small Thinking

Those of you who don’t subscribe to IEG Sponsorship Report (and in my obviously biased opinion, if you work in sponsorship, I think you should) missed a terrific one-on-one interview a few weeks ago with sponsorship veteran Dockery Clark.

The former Bank of America and MillerCoors sponsorship exec took sponsors to task for what she perceives as a trend to use the medium strictly to drive short-term, product-focused results instead of to build passion for brands.

Her observation about the declining importance of exclusivity was very telling in that regard, not to mention that it has been echoed in recent comments by Anheuser-Busch marketers, who have referred to some of their deals as “half exclusive.” (While I understand they probably mean exclusivity restricted to certain property components, the phrase is as ludicrous as saying, “sort of unique.”)

More >

Filed under: sports, trends, valuation, negotiating

H1N1’s Silver Lining: Hand Sanitizer Sponsorships

Sometimes the identification of emerging sponsorship categories comes straight out of the headlines. For example, we are seeing more activity from the makers of hand sanitizers in the wake of growing concerns over the spread of the H1N1 virus.

Last month’s Tour of Missouri bike race was sponsored by Germ-X, which also has been the official hand sanitizer of the MLB St. Louis Cardinals, the Cincinnati-area’s Newport Aquarium and Branson, Mo.’s Silver Dollar City.

Vancouver-based ALDA Pharmaceuticals Corp. is the official antiseptic hand sanitizer, disinfectant and disinfectant cleaning products supplier to the 2010 Olympic Winter Games, the Canadian Olympic Committee and the Games’ speed skating venue—the Richmond Olympic Oval.

More >

Filed under: museums/zoos/aquariums, non-traditional categories, olympics, prospecting, selling, sports, theme parks, venues, associations

I Will Sponsor You Forever

Ah, the words every property yearns to hear. Or not.

I have been struggling with what to think about the announcement this week that Staples has renewed its naming rights deal for the Staples Center “in perpetuity.”

My first thought was that since we’re talking about a venue in Los Angeles, maybe both parties expect “The Big One” to come along sometime soon—so the concept of perpetuity isn’t quite the same as it would be in less quake-prone parts of the world.

I’m trying to understand the rationale behind a “forever sponsorship” and who it benefits the most. The frustrating thing, as always, is that it is impossible to truly analyze a deal without knowing its particulars. But that won’t stop me from trying.

More >

Filed under: naming rights, negotiating, trends, venues, contracts

The First Sponsorship?

Of course we will never truly be able to identify the first corporate sponsorship—it was likely hundreds, if not thousands, of years ago and while IEG’s deal database is good, it ain’t that good.

However, my good friend Michael Aisner—whose own role in sponsorship history goes back decades—sent the following in an email from his visit to the Smithsonian National Air and Space Museum last week:

More >

Filed under: soft drink, beverage

Addressing An Oversight In My Last Post

Some of you have called me out regarding my post yesterday regarding the hiring of a sponsorship agency by the City of Indianapolis. The issue is that I did not inform readers that my colleagues in the IEG Sponsorship Consulting group were among the firms that responded to the city’s RFP.

That is fair criticism. I was operating under the guidelines that the IEG editorial team has lived by for years and years, i.e., our reporting and commenting is independent from and not influenced by the consulting, valuation and ROI work done by the folks in the other offices. I should not have assumed that everyone who reads this blog is aware of the strict guidelines under which we operate, and thus should have included a “full disclosure” note to provide transparency.

More >

Filed under: IEG, agency

Is A Sponsorship Sales Agency Working Entirely On Commission A Good Idea?

The City of Indianapolis recently jumped on the municipal marketing bandwagon, hiring agency Third Street Partners to develop a sponsorship plan and broker deals with prospective sponsors.

The five-month old firm was able to beat out more established agencies for the business, and we’re guessing a big reason for that—in addition to Third Street’s local roots—was its willingness to work entirely on commission, with no retainer or expense coverage.

According to the city’s Web site, the agency will take a 15 percent commission on deals it lands during the first two years of the contract and 10 percent on sponsorships signed during the final five months of the agreement, which expires at the end of 2011.

More >

Filed under: government/municipal, selling, agency

Strength In Numbers: Sponsors Should Work Together On Activation

Often when you look at an event or other sponsored property, sponsor presence is akin to a bunch of strangers attending a party—all lined up against the wall, well-dressed and smiling, waiting for someone to notice and engage them.

Someone—it really should be the party host, or sponsored property—should nudge them and say, “Hey guys, why don’t you start by mixing with each other? That will probably help attract others to you.”

IEG has long been a proponent of cross-promotions among cosponsors as a way to access new channels, share costs and in general, join the party. I consider hosting sponsor summits and facilitating conversations among sponsors as one of the most fun parts of the job.

More >

Filed under: beverage, government/municipal, non-traditional categories, activation

Coke, Visa and McDonald’s Sponsorship Programs Also Lost Out In IOC Decision

The IOC’s vote to award the 2016 Games to Rio was a blow to Chicago’s civic pride, as well as to the plans of many sports marketers, broadcasters and U.S. sponsors who looked forward to a stateside summer Games for the first time in 20 years.

However, the pangs of disappointment were probably most acute at three particular sponsors: Coca-Cola, Visa and McDonald’s—not that our friends at those outstanding marketing organizations will admit that. Those three companies are the only sponsors that are both global Olympic partners as well as high level FIFA World Cup sponsors. (Coke and Visa are two of the six FIFA Partners, the top-tier sponsorship, while McDonald’s is one rung down as a World Cup Sponsor.)

More >

Filed under: international, olympics, activation