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PM Forum – Leeds

Brand, Network, Leverage - Getting the best from your sponsorship

Companies are often asked to sponsor a sporting event, a conference or a charity. But do companies always maximise the opportunity and should the sponsorship be taken in the first place?

To gain a 360 degree approach to sponsorship a panel, split into those who sponsor and those who need sponsoring, met in Leeds at the latest PM Forum event. Representing the sponsors were Helen Everett from Yorkshire Bank and Sean Costello from PwC and representing the sponsored were Adam Pritchard from Opera North and Lisa Crampton from Eventium.

Both sides of the panel agreed that sponsorship was something which both parties should benefit from by treating the agreement as a two way relationship and not just giving money or gaining corporate hospitality. Adam said that sponsorship is about creating 'added value'; building long term relationships and achieving return on investment. Any opportunities need to tie in with both company's marketing and brand strategies. Many people approach companies with 'off the shelf' packages and don't invest the time to tailor the packages to ensure both parties achieve added value, as a result one or both companies walk away from the sponsorship quickly with limited success.

Helen, like many marketing managers, does have money to spend on sponsorships, but needs them to meet with her four strategies; brand awareness, community involvement, business development and staff engagement. The sponsorship deal has to be the whole package, especially if the cost is a high proportion of a budget, which is often the case as companies try to do fewer things but better. Often the main driver from management is how to turn sponsorship into work, so creating business development opportunities is crucial. Identify if networking opportunities be exploited further by having an additional time after the conference at a private event, or if there is an option to have access to players/teams, creating that 'money can't buy' opportunity.

In today's challenging environment, the ability to measure any marketing activity is becoming more important. Partners want to see what ROI they are getting from their marketing department and activities. Sean suggests that setting the criteria for success at the beginning of the sponsoring agreement and constantly reviewing throughout the relationship is important. Understanding what a company wants to achieve from the sponsorship also makes it easier for packages to be created and sold to the business, suggests Lisa. It's obvious that both parties want to gain from any sponsorship deals but once the contract has been signed, people often forget this and stop talking to each other. By working together throughout will lead to greater success.

Good sponsorship partnerships can benefit both parties, but there has to be a level of understanding at the beginning about each other and what the desired outcome is. Creating and sustaining a two way relationship is critical, but the packages and opportunities need to be carefully identified, you can have a great relationship with the wrong partner and still not achieve success.

Jo Parr
Deloitte

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