DEVELOP, IMPLEMENT AND
EVALUATE SPONSORSHIP
PLANS
D2.TCS.CL5.12
Slide 1
Element 1: Identify the context for
sponsorship activities
Performance criteria:
1.1
Identify and assess opportunities for engagement with
sponsorship activities
1.2
1.3
1.4
1.5
Develop a budget for sponsorship activities
Determine the criteria for participating in sponsorship
activities
Consider alternatives to participation in sponsorship
Seek support from suppliers and service providers for
sponsorship activities
Slide 2
Element 1: Identify the context for
sponsorship activities
Performance criteria:
Establish protocols for monitoring participation in
sponsorship activities
1.6
1.9
1.7
Set criteria against which to evaluate effectiveness of,
and return from, sponsorship activities
1.8
Identify products and services that may be developed
to align with sponsorship activities
Determine how requests for sponsorship that cannot be
accommodated will be refused
Slide 3
1.1 Identify and assess opportunities
for engagement with sponsorship
activities
Lagae defines sponsorship as ‘a
business agreement between two
parties. The sponsor provides
money, goods, services or knowhow. In exchange, the sponsored
party (individual, event or
organisation) offers rights and
associations that the sponsor utilizes
commercially’’ (Lagae 2005, p. 35).
Slide 4
Sponsorship objectives

Creating promotional opportunities

Improving community relations

Fostering favourable brand and
company associations

Creating entertainment opportunities

Gaining publicity
Slide 5
Linking sponsorship with promotional tools
Internet
Product
Placement
Advertising
Sponsorship
Public
Relations
Direct
Marketing
Sales
Promotion
Slide 6
Sponsorship objectives
When companies commit themselves
to sponsoring certain activity, they
should always have clear reasons
and objectives for their actions.
Sponsorship goals should always be
linked to promotional objectives and
in a wider sense to the marketing
objectives of the organization (Shank 2009, p. 333).
Indirect and direct sponsorship objectives.
Slide 7
1.2
Develop a budget for sponsorship
activities
The sponsorship activity budget is a projection (forecast)
of the income and expenditure that the event will incur
based on plans made and information gathered.
The preparation of a budget is an essential part of
sponsorship initiative management. It is fundamentally
important to be able to predict with reasonable accuracy
whether the activity will result in a profit, a loss or will
break-even.
Slide 8
Budget process
Identify the
business
context
Establish
budget
guidelines
to fit
objectives
Identify
and
determine
costs and
revenue
Prepare
draft
budget
Evaluate
draft
budget and
develop
final
budget
Slide 9
1.3
Determine the criteria for participating
in sponsorship activities

Before setting guidelines for sponsorship activity participations, it is
useful to consider some ideas that may impact on the activities
success or failure

Will sponsorship dilute the organisation's operations?

Communications activity should exist outside any
sponsorship/partnership support. Sponsorship marketing should be
used only to enhance the operations – not to create them.
Sponsorship marketing activity is also likely to be more successful
as part of a wider awareness-raising campaign that incorporates
other media activity

Could there be any justifiable cause for complaint – from either the
public or the media – if the sponsorship/partnership goes ahead?
Slide 10
1.4 Consider alternatives to
participation in sponsorship
When considering participation in sponsorship activities it
is important to evaluate the effectiveness of the event
versus other marketing options such as:

Existing promotion strategies

Enhancing public relations

Lowering selling price

Developing new products and services
Slide 11
1.5 Seek support from suppliers and
service providers for sponsorship
activities
Potential partners in the activity could include:

Staff

Owners

Customers and clients

Suppliers

Service providers

Government and industry bodies

Local community
Slide 12
Seeking support process
Identify
stakeholders
Identify
sponsorship
activity delivery
requirements
Match stakeholder
capabilities to
sponsorship
activity needs
Slide 13
1.6 Establish protocols for monitoring
participation in sponsorship activities
Establishing protocols:

Identifying staff and/or external agencies to track the use of resources
supplied.

Establishing internal records to record the results of involvement in
individual sponsorship activities

Preparing internal forms and systems to facilitate tracking the type and
volume of resources committed to, and provided for, sponsorship
activities

Undertaking scheduled visits to sites and events where sponsorship
has been provided

Archiving evidence of the exposure and mention that the organisation
receives as a result of its engagement with every sponsorship activity
Slide 14
1.7 Set criteria against which to evaluate
effectiveness, and return from,
sponsorship activities
It is possible to approach sponsorship activity evaluation
from two perspectives:

Public relations approach

Advertising and
marketing approach
Slide 15
Criteria for evaluating effectiveness
Ambler et al (2002) describes five customer marketing
changes that could be used to measure sponsorship
effectiveness which include:

Brand awareness
Brand associations

Brand attitudes

Brand attachment

Brand experience
Slide 16
1.8
Identify products and services that
may be developed to align with
sponsorship activities
Identifying and developing products and services that align with
sponsorship activities could include:

Modifying existing products and services

Introducing new products, services or packages to align with the
event

Developing one-off products and services only available to coincide
with the sponsorship event or activity.

Re-titling of packages to reflect the sponsorship activity

Partnering other businesses in creating a joint venture product

Providing a discount for purchasers participating
Slide 17
1.9 Determine how requests for
sponsorship that cannot be
accommodated will be refused
Slide 18
Preparing for refusing sponsorship
applications
In determining how to refuse sponsorship requests, it may be necessary
to consider:

Preparing standard ‘thanks and regret’ letters identifying the other
activities that the organisation engages in

Explaining how the application for sponsorship does not meet the
identified criteria of the business

Working with applicants to re-formulate their application or activity in
order for it to qualify for sponsorship

Appointing and training personnel to deal with such instances

Identifying a supplementary contribution that may be

Ensuring the negative response of the organisation leaves a positive
result in the eyes of the individual or organisation making the
request
Slide 19
Element 2: Develop sponsorship
packages
Performance criteria:
2.1
Identify the elements of a sponsorship package that the
organisation is prepared to support
2.2
2.3
2.4
2.5
Identify the products and services that may be offered as
sponsorship
Define organisational expectations in relation to
expected returns for different sponsorship packages
Identify the input required by the organisation into
sponsorship arrangements
Develop and disseminate sponsorship information to potential
partners
Slide 20
2.1 Identify the elements of a
sponsorship package that the
organisation is prepared to support
Four common sponsorship packages include:

Level playing field: where each sponsor is given equal
rights and benefits

Hierarchical: which is based upon the amount paid

Sole: where the one sponsor has access to all rights
and benefits

Ad hoc: this is where each package provides different
benefits to the sponsors and varying returns to the
sponsoree
Slide 21
2.2 Identify the products and services
that may be offered as sponsorship
An organisation could provide products and services such as:

Financial assistance, including cash contributions, discounts, and
rebates

Merchandising items such as bags, caps, pens, t-shirts featuring
company name and/or logo

Advertising material, including posters, banners and various
point-of-sale materials

Tours, trips, packages and other products or services from the
offerings available

Advice and information

Personnel to assist with the planning and/or conduct of the
sponsored event
Slide 22
2.3 Define organisational expectations in
relation to expected returns for
different sponsorship packages
Slide 23
2.4 Identify the input required by the
organisation into sponsorship
arrangements
The amount of input required for a sponsorship activity
can vary quite significantly ranging from little or no input
to active involvement in all aspects of the event. Input
could include:

Zero

Planning and implementation

Promotional material and product
placement

Deciding whether to include competitors in the activity
Slide 24
2.5 Develop and disseminate
sponsorship information to
potential partners
It is necessary to provide information to potential partners
that could include:

Preparing hard copy information that explains to
targeted individuals and organisations what
sponsorship is available from the host enterprise

Forwarding sponsorship information kits to strategically
targeted event and activity organisers

Explaining sponsorship availability and requirements in
response to enquiries generated

Encouraging event organisers to apply for sponsorship
Slide 25
Element 3: Implement Sponsorship
Packages
Performance criteria includes:
3.1
Confirm the details of the sponsorship the organisation is
prepared to offer
3.2
3.3
3.4
3.5
Confirm the return the organisation will receive for its
sponsorship
Negotiate additional opportunities as a result of the
initial sponsorship
Complete contracts in relation to the sponsorship
Brief staff in relation to the sponsorship deal that has been
entered into
Slide 26
Element 3: Implement Sponsorship
Packages
Performance criteria:
Participate actively and willingly in the sponsored
event/activity
3.6
3.9
3.7
Ensure the terms and conditions of the sponsorship
agreement are discharged
3.8
Monitor the application of sponsorship contributions,
as previously established
Record results and outcomes of participation in the
sponsorship, as previously determined
Slide 27
3.1 Confirm the details of the
sponsorship the organisation is
prepared to offer
When conforming sponsorship activity details, it is
important to confirm:

Identification and description of
all levels of sponsorship offered
by the organisation – this refers
to how the different sponsorship
levels are classified
(in effect, ‘packages’) that will be offered
Slide 28
3.1 Confirm the details of the
sponsorship the organisation is
prepared to offer
When confirming the details of the sponsorship it may be
necessary to include:

Clarifying elements of existing
sponsorship packages

Negotiating variations to standard
sponsorship packages

Meeting with event organisers, boards
and committees
Slide 29
3.2 Confirm the return the organisation
will receive for its sponsorship
Eight stages of the ‘The Sponsorship Unit Relationship Model':

The Attraction – between the two parties

The Approach – where one party introduces themselves to the
other

Courting – where the schmoozing occurs

Proposal – where ‘the question’ is asked

Engagement – where a positive answer to the question is received

Marriage – where the contract is signed and the benefits start
flowing

Affairs – where you/the Club looks for other sponsors, and/or your
sponsor looks for other sponsorees

Divorce – where the relationship ends
Slide 30
Benefits and returns for the organisation
Options for benefits can include:

Naming rights

Hospitality

Signage and banners

Tickets/seats/attendance

Access to staff, celebrities and officials

Participation by staff in advertisement

Media appearances by staff/management

Product placement

Logos and sponsor name on uniforms, tickets, programmes,
marketing materials

Exclusivity
Slide 31
3.3 Negotiate additional opportunities as
a result of the initial sponsorship
It is important to maintain positive relationships with sponsorship
organisers in order to:

Encourage their cooperation with you

Motivate then to continue, extend or increase engagement
with other activities

Send a positive message to competitors who may be
watching

Facilitate a harmonious working relationship

Help ‘smooth over’ the inevitable ‘bumps in the road’ which
often emerge as part of such a relationship

Keep promises you have made about your orientation to the
relationship
Slide 32
3.4 Complete contracts in relation to
the sponsorship
What is a contract?
Slide 33
3.4 Complete contracts in relation to
the sponsorship
Possible contract details could include:

It does not contain anything you do not agree to

It does not contain anything you do not understand

It only commits you to doing what you want to do/are prepared to
do for the support you are getting

It commits the sponsor/organisers to doing what they believe they
have promised they will do

The duration of the contract (start and finish dates for the
sponsorship) are what you thought they would be

It has been approved by management and legal advisors before
they are signed

It has been signed by the appropriate people representing both
parties
Slide 34
3.4 Complete contracts in relation to
the sponsorship
Contracts should also list expected benefits such as:

Number of times a hospitality tent will be provided, maximum guests to
attend, sample food and beverage menus, number of service staff, hours of
operation

Number, size, wording and placement of signage

Number and type of tickets to be provided including specifications of games,
venues, competitions this applies to

Number, and duration, of meetings with staff, management, celebrities or
nominated people

Merchandise which can be displayed and/or sold

Commitment by the organisers to purchase specified products/services from
the sponsor

Exclusivity arrangements, or restrictions applying to certain other
companies/sponsors in order to optimise benefit to the sponsor
Slide 35
3.5 Brief staff in relation to the
sponsorship deal that has been
entered into

For the event to be successful it is essential to inform
all relevant people about the details of the activity

Failure to inform people effectively could negatively
impact on the overall success of the event which could
lead to missed opportunities for the organisation
Slide 36
3.6 Participate actively and willingly in
the sponsored event/activity
Actively participating in the activity could include:

Supporting event organisers with requests

Operating specialist equipment

Helping guests and participants with directions

Identifying any potential issues or problems

Smiling and being friendly towards all participants

Completing tasks and roles promptly and efficiently

Making sure all utilised areas are safe, clean and easily
accessible

Displaying and distributing advertising or marketing materials
as per organisational requirements
Slide 37
3.7 Ensure the terms and conditions of
the sponsorship agreement are
discharged
Checking agreed terms and conditions are being met could include:

Providing resources as identified in the contract, including products,
services and other advice, assistance and information

Ensuring relevant quantities are provided

Ensuring supply dates are complied with

Checking spaces are organised and set-up as agreed

Communicating with event organisers that agreed actions are being
administered as per the contract conditions

Providing mechanisms for staff and participants to be able to advise
of any issues with their ability to complete tasks as required
Slide 38
3.8 Monitor the application of
sponsorship contributions, as
previously established
Whilst a sponsorship activity or event is underway, it is necessary
to have people monitor the progress of the activity. This could
include:

Meeting with organisers

Visiting and observing events and sites

Monitoring media

Reviewing contract terms and conditions

Taking remedial action where required
Slide 39
3.9 Record results and outcomes of
participation in the sponsorship, as
previously determined
No matter what the KPI's are, it is
important that all relevant data is
collected and stored effectively in
order to provide an opportunity for
evaluation of the overall performance
of the sponsorship activity.
Slide 40
Element 4: Evaluate involvement in the
sponsorship
Performance criteria:
4.1
Assess the outcomes and results of the sponsorship against
predetermined KPIs
4.2
4.3
4.4
4.5
Seek feedback on the sponsorship activity or event
Provide feedback to the organiser of the sponsorship
event or activity
Determine whether similar sponsorship involvement will
occur
Archive lessons learned from the sponsorship engagement
for future reference
Slide 41
4.1 Assess the outcomes and results
of the sponsorship against
predetermined KPIs
Managing the measurement process:

Vanity - the selection of measures that make management look good

Provincialism - keeping within organizational or industry boundaries
when new measure are needed

Narcissism - measuring from one's own point of view, not that of the
customer

Laziness - assuming one's knows what to measure without giving it
thought

Pettiness - measuring a small subset of what should be measured

Inanity - measuring without thought of how measurement or actions
based on it will influence the organization

Frivolity - not being serious about measuring
Slide 42
4.1 Assess the outcomes and results
of the sponsorship against
predetermined KPIs
Assessing results of a sponsorship activity could include:

Compiling data that has been captured

Quantifying statistical data

Comparing actual outcomes/results against projections,
expectations and nominated key performance
indicators

Seeking reasons behind the attainment or nonattainment of stated targets and objectives

Often sponsorship evaluation will be based around the
Return on Investment (ROI)
Slide 43
4.2 Seek feedback on the sponsorship
event or activity
Feedback is an important tool for determining the success or failure of an
activity and it also can assist in the planning of future activities. Feedback may
need to be gathered from:

Sponsorship partners

Participants in the sponsored event/activity

Members of the general public

Enterprise staff who attended and/or
worked on the event

Industry peak bodies

Government agencies

Joint venture partners, such as suppliers/providers who provided
assistance to the host enterprise sponsorship activities
Slide 44
4.3 Provide feedback to the organiser
of the sponsorship event or activity
It is important to provide appropriate feedback to the event
organisers so they can respond and improve future
activities. Providing feedback may include:

Providing hard and soft data regarding the effects of the
sponsorship on the organisation

Meeting with those involved to discuss the general
implementation of the event

Sharing information is a significant part of relationship
building and open communication will ensure stronger
partnerships and improved future performance
Slide 45
4.4
Determine whether similar sponsorship
involvement will occur
In determining whether the organisation should participate
in similar sponsorship activities, it is important to evaluate:

The relationship between the parties

The outcomes of the event

The process
Slide 46
4.5 Archive lessons learned from the
sponsorship engagement for future
reference
Being able to draw upon lessons learned from sponsorship
activities is important:

Reasons to keep records

Options for storing records
Slide 47