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Retailers’ Goals And Objectives For Sponsorship
9/20/10: Below, retail hot buttons properties should address when approaching supermarkets and other store types for sponsorship, including tips on including vendors in retail programs:
Drive store traffic. Rightsholders should offer promotional platforms that increase the number of shoppers coming through a retailer’s doors. Current examples of how properties are accomplishing that include:
- Bi-Lo, LLC leverages its partnership with Clemson University athletics by hosting the school’s radio network’s weekly Tiger Calls coaches’ call-in show at area stores throughout the football and basketball seasons. The retailer will host the football show at 13 locations this fall.
“We had a call-in show last night, and we had a line of fans at each commercial break waiting to get the coach’s autograph,” said Mike Money, director of marketing for Clemson University athletics.
- Giant is activating its new Ravens tie by supporting the NFL team’s annual food drive at its Baltimore-area stores, with the goal of collecting more than 40,000 pounds of non-perishable food items for the Maryland Food Bank.
- Kroger this summer kicked off its new partnership with the NBA Pacers by hosting player appearances at four Indiana stores.
- Weis Markets activates its partnership with Pocono Raceway by offering race coupons.
- Hy-Vee, Inc. last year leveraged its partnership with the NFL Kansas City Chiefs by creating and selling a co-branded commemorative cup that celebrated the team’s 50th anniversary. The retailer also sells licensed apparel and headwear.
Promote private-label brands. Retailers are putting greater emphasis on their own private-label products, which typically have higher margins than mass-market brands.
For example, Winn-Dixie Stores, Inc. has rolled out a co-branded bottled water around its partnership with the NFL Jacksonville Jaguars. The product is touted as the official bottled water of the Jags.
The water—which Winn-Dixie says is the NFL’s first co-branded bottled water—has category exclusivity for sales at EverBank Field and also is available at Winn-Dixie and SaveRite stores in Northeast Florida and Southeast Georgia.
Reward loyalty card members. Properties should provide benefits that can help boost the value of retailer frequent-shopper rewards programs.
For example, Bi-Lo is activating its Clemson tie through a Tailgate with the Top Tigers promotion for its Bonuscard holders. The promotion offers a chance at five suite tickets to the Clemson/Georgia Tech football game, pre-game field passes, a tour of Memorial Stadium, tailgating with a head coach and an interview opportunity on
Tiger Calls.
Fans can enter the contest through Bi-Lo’s and Clemson athletics’ Web sites.
Similarly, Winn-Dixie recently launched a Tealgate and Winn sweepstakes around its Jaguars deal. Consumers who use their Winn-Dixie Customer Reward Card are entered into a randomly selected drawing offering four game tickets, a catered pre-game tailgate party and participation in the Bag It and Winn on-field promotion, which dangles the chance to win up to $2,000 in Winn-Dixie gift cards.
Promote specific departments. In the competitive grocery environment, supermarkets and other food stores often seek to differentiate themselves by highlighting individual store sections, such as produce, deli and bakery.
For example, Kroger earlier this year used its primary sponsorship of a JTG Daugherty Racing Sprint Cup entry at the Daytona 500 to promote its floral department.
Publix will activate the Women’s Running Magazine Women’s Half Marathon by providing breakfast from the Publix Bakery to the St. Petersburg, Fla. event participants.
In-store pharmacies are a particular area receiving plenty of marketing attention from supermarkets in the current environment. Giant’s partnership with the Ravens includes the pharmacy category, as does Tops Markets, LLC’s presenting sponsorship of the Taste of Buffalo.
“Many supermarkets have pharmacies that have very loyal customers and they are trying to transfer that loyalty to their other customers,” said Ed Burchell, the Ravens’ vice president, regional partnerships & sales.
Access vendor dollars beyond trade funds already committed to the retailer. When selling participation in retail sponsor programs to packaged goods companies and other vendors, properties should seek dollars not already allocated to the retailer.
“Retailers want to retain their geographic marketing, shopper marketing and trade funds and receive incremental support from a manufacturer,” said Auto Club Speedway’s Maskrey.
Make sure both parties know who is responsible for approaching what companies. When pitching vendors, properties must work closely with their retail partners to make sure each party is aware of the companies the other is approaching.
That was a challenge the Taste of Buffalo faced several years ago when pitching a program on behalf of Tops Supermarkets. The retailer and the event both found themselves talking to the same companies.
The event has since overcome that challenge by working with the retailer’s pharmacy category manager to identify vendors to be approached.
“That way I also make sure the company is not a partner we already have or that will conflict with anyone with whom we have contractual obligations,” said Connie Nitkowski, president of Sell-utions, Inc., a promotion marketing agency that sells sponsorship for the Taste of Buffalo.
Sources
Auto Club Speedway, Tel: 909/429-5000
Baltimore Ravens, Tel: 410/701-4000
Clemson University, Tel: 864/656-1935
Sell-utions, Inc., Tel: 716/656-1214