One thing we hear when meeting with clients on a regular basis is that they struggle to retain sponsors after more than one season unless they are on a multiple year contract.
Why can I not retain my sponsors? Usually they put it down to budget or similar. We often hear ‘well times are hard for businesses and marketing spend is always the first thing to go’. Now, this is, undoubtedly true. Marketing is a luxury but the main reason many businesses will pull sponsorship spend is because they are getting no return on their investment.
Marketing is a competitive market and there are a LOT of ways you can market and promote your brand. The opportunities for digital advertising (using platforms such as Facebook or Google ads) are relatively inexpensive and, if done properly, can provide you with a quick and tangible return on your investment.
Pay X, promote Z and make Y. It’s simple maths really.
Yet, within sport, many clubs think it is simply enough to just pop a companies logo on a board or in a programme and charge them for it. Where is the Call to Action on that advertising?
Some businesses have such a strong brand that sometimes just some obvious branding is all they need as part of their marketing mix but they are in the minority.
What do I need to offer potential sponsors as part of their sponsorship? What a business needs, when working with you as a sponsor, is a clear path to how working with you will make them money by putting them in front of your supporters. It is NOT enough to simply put up their branding and charge them for it.
For two reasons;
1/ It gives them an ‘Out’. If, when the season closes, they can say ‘We saw no business come through to us as a direct result of advertising with you.’ then they have reason to pull their sponsorship spend and you don’t have a leg to stand on. If, however, you have worked with them on the marketing BEHIND their advertising and can clearly see tangible results your job come renewal time becomes a BILLION times easier. You KNOW that by working with you “ABCD kitchens” they sold 10 kitchens for example. That puts you a good position to renew them or even upgrade them to a bigger package.
2/ It’s LAZY and outdated. You cannot simply assume just because you get X amount of people through the door that people will want to spend their precious advertising budget with you.
How do we approach putting our packages together?
Saying stuff like ‘BUT We get 1 million website views per month?’ means nothing to your client. What does that REALLY mean to your sponsor? How will it make them sell more kitchens (to use the same example).
You have got to really look after your sponsors. They are a client. You need to understand:
- What their product is and does.
- Who their ideal customers are
- What their objectives of working with you are
Only when you know their reasons for working with you can you properly look after them and work with them to achieve their goals. Yes it is hard work but it is totally worth it and, if you’re not doing this, you are going to consistently be losing repeat business (the easier type of income to generate is return income) as well as not putting yourself out there as a viable option against all other types of advertising.
If you need support with your commercial offerings and output we can help. Why not drop us an email or give us a call on 07887552888.