An Investment That Adds Value: Why Sponsorships In Football Work

Sports athlete sponsorships are those where individual athletes are sponsored by a brand. They may wear branded apparel whilst competing or during commercial appearances and press conferences, or they might appear in advertisements or other promotional materials for the brand. The brand will either offer a set fee to them, or pay for their kit, equipment or travel in return.

Sports organisation sponsorships involve entities like a team or league being sponsored by a brand. Like with individual athletes, they will either receive a fee from the brand, or payment for things like kits, equipment or ground maintenance.

In return, a team may display the company’s logos around its stadium, for example, while a league might include the sponsor in its name.

Sports event sponsorships are where sports events — like an international or regional tournament — are sponsored by a brand. This type of partnership can involve things like the event either changing its title to incorporate the brand’s name, or using the brand’s logo on official products. The event organisers will either receive a set fee or have expenditures like venue hire, hospitality, catering, publicity, programmes and officials’ costs covered.

Sports partnerships can be defined as a new level of sports sponsorships: they represent a tighter-fitted collaboration between sports and businesses or brands. 

Partnerships are less based on standard marketing benefits and more tailor-made on the company’s specific needs, and several company levels are involved in the sports project: from marketing to Research & Development, from production to management.

Partnerships tend to be focused on the improvement and development of specific products or services, and are usually long-term. They can be very effective on the customers and clients, who witness a true affinity with some of the world’s most winning properties. Partnerships are often multidimensional and multi-layered, with the development of new tech, as well as new products and the marketing that comes with them.

A brand partnership is a mutually beneficial agreement between two or more businesses. All parties agree to help one another by promoting and sponsoring each other or creating content together.

Brand partnerships aim to increase brand recognition and ultimately boost sales and customer loyalty.

In sports, co-branding exists, where two or more companies jointly promote their brands, services, and products through cross-marketing efforts.

This can include anything from social media posts, advertisements, and commercials to events and appearances by high-profile athletes and celebrities.

A rightsholder is a person or organisation that owns the legal rights to something.

In the sporting world, sport entities (sport federations, leagues, clubs, event organisers etc) who manage sport events are on the supply side and sell various types of rights to their events and products.

This could be the media rights, giving broadcasters the rights to air their events, or even sponsorship and naming rights, to have a company’s branding in stadiums or shown on certain moments on broadcast.

SPORTFIVE is a global sports marketing agency that specialises in various aspects of the sports and entertainment industry. The agency works with sports organisations, teams, and brands to optimise commercial opportunities.

One of SPORTFIVE's key areas of focus is the sale and management of sports media rights, including broadcasting and digital distribution deals. They negotiate and facilitate partnerships, sponsorships, and naming rights for sports entities, helping them enhance their brand value and revenue streams.

Additionally, SPORTFIVE provides expertise in marketing strategies, assisting clients in building strong connections with their target audiences. Their comprehensive approach spans across the sports business landscape, from media rights to sponsorship management, contributing to the overall growth and success of their clients in the dynamic world of sports marketing.

Sponsorship is a distinct and widely used form of marketing. It is a strategic business alliance where a brand provides financial or in-kind support to an event, team, athlete, or organisation in exchange for promotional benefits. 

This collaboration aims to enhance brand visibility, build positive associations, and engage target audiences. Sponsorship is an integral part of a company's marketing strategy, contributing to the overall promotional mix alongside advertising, public relations, and personal selling.

It allows brands to connect with consumers in a meaningful way, leveraging the popularity and appeal of the sponsored entity to achieve specific marketing objectives. Whether in sports, entertainment, or other industries, sponsorship is a powerful tool for creating brand recognition, fostering customer loyalty, and aligning with the values and interests of the target market.