Negotiate Sport/Event Contract

 Ultimate goal is gain the sponsorship contract!  Build Trust with the sponsor  Make sure both parties are “winners”

 Do your homework Know your alternatives or BATNA (best alternative to a negotiated agreement) in case the deal does not happen. Know your counterpart Know the Standards  Double and Triple Think-anticipate what the other party wants (double) and anticipate what the other party thinks you want (triple).

 External listening-actually listen to the other party.  Make an aggressive first offer.  Present multiple, equivalent, simultaneous offers.  But NO more than 3 offers at once!

 Move beyond “positions”  Not be intimidated or intimidating  Own you Power-”position power” never assume because someone has titled position that he/she is the “all power”

 Always know the BATNA, in case you aren’t successful.  Trademarks  Merchandising  Company status  Terms of contracts  Past sponsorships

 Fee and Payment Schedules  Exclusivity  Lead time  Reach  Brand Positioning  On-site sales  Signage  Product Placement  Ticket Discounts or Premium Tickets  Etc.

 Negotiating a sport/event sponsorship contract is often a complex process. Both the sport/event and the sponsor want to negotiate the best deal. An important factor usually is agreeing on the fee the sponsor will pay and the payment schedule.

 Depending on the type of sport/event, a sponsor may negotiate to pay a certain amount in cash and then provide complimentary goods and services that the sport/event needs to operate. The date and time of the sport/event is usually established before a sponsorship contract is negotiated.

 Negotiating a contract does not involve agreeing on the size and interest of the audience or the cost of planning and producing a sport/event. The sport/event usually estimates total cost before seeking sponsorships

 Any Questions