Measure Your Sponsorship ROI
In today’s challenging environment, sponsorship measurement and evaluation are not a “nice to do.” They are a must. Marketers worldwide are being challenged to answer:
- How do I justify my sponsorships?
- What is the ROI from my sponsorship investments?
- What is the impact of my sponsorships on the bottom line?
- How do I show sponsorship as an investment, rather than an expense?
- Am I getting the best deal?
- How do I increase my sponsorship ROI?
- What do I cut without sacrificing quality?
The fundamental issue for today’s sponsorship professional is the lack of a standard measure. That’s a fact. But that marks the beginning, rather than the end, of the sponsorship measurement discussion. Just as your business and brands are unique, so are your sponsorships. The bottom line is: to measure the effectiveness of your sponsorship investments, you must develop a customized approach.
IEG has been helping marketers make the case for sponsorship for more than 25 years. We pioneered models and methodologies that satisfy the most rigorous questions from CEOs and CFOs. Whether it’s evaluating performance, determining fair market value or isolating the connection between fees, expenses and results, no firm is better equipped to put the issue of quantifying sponsorship to rest.
The IEG Approach
Sponsorship measurement and evaluation provide a variety of benefits. They enhance sponsorship performance. They establish the legitimacy of sponsorship to internal constituencies. Now more than ever, they provide the justification needed to preserve sponsorships in an uncertain economic climate.
While one size does not fit all, all sponsorships can and should be measured using a disciplined process. IEG has developed a proprietary approach to measuring Sponsorship ROI we call Return on Sponsorship (ROS), which includes:
- Defining the scope of measurement needs
- Tailoring the ROS approach to accomplish a sponsor’s specific goals
- Clearly identifying, ranking and weighting sponsorship objectives
- Allocating sponsor fees and activation expenses against objectives
- Identifying measurement metrics to be used for each objective
- Determining research methodology
- Conducting appropriate research
- Interpreting data and applying financial metrics
- Using results to refine activation strategies or identify new benefits to help sponsors achieve their objectives
- Developing a go-forward strategy
See why the world’s leading brands choose IEG to help them demonstrate the value of their sponsorship investments. Contact us at ieg@sponsorship.com or call 800.971.5127 to learn more.