1. 6.02 Describe How to Secure Sponsorships

2. List the steps in securing sponsors
Understand all aspects of the event
Locate the companies who may be potential sponsors
Make contact with potential sponsors
Close the deal with the sponsor
Establish a partnership with the sponsor

3. Aspects of the Event Who is the audience?
What are the demographics, geographics, psychographics, and behavioral response of the audience?
How would a corporate sponsor benefit by partnering with the event?

4. Aspects of the Event (continued)
What medial has already been put in place (radio, television, newspaper)?
What is the total cost of the event? What percentage of the total cost will be covered by the sponsor(s)?
How many sponsors are needed?

5. Locate companies who may be potential sponsors
Review trade journals
Research similar events to see who has previously sponsored
Research potential sponsors – profile, budgetary and promotional cycles
Decide who would best fit the sponsor’s role for the product

6. Make contact with potential sponsors
Write sponsorship proposal
Create fact sheet
Outline benefits
Send out letters requesting to see company representative
Try cold calling on companies
Schedule a meeting with the company

7. Make contact with potential sponsors (continued)
Try to find out who is the decision maker
Present the proposal
Prove the event aligns with current marketing goals
Follow up after making presentation

8. Close the deal with the sponsor
Negotiate the final contract
Acquire a signed sponsorship agreement

9. Establish a partnership with the sponsor
Discuss leveraging with the sponsor
Fulfill the contract

10. Discuss aspects of a sponsorship agreement
Clauses in the sponsorship agreement
Benefits included in the sponsorship agreement
Summarize opportunities for leveraging sponsorships
Explain the sales process and client relations in sponsorship

11. Clauses in the sponsorship agreement
Term: The length of the agreement and financial obligation
Event definition: Clearly and precisely defines the event and leaves to misunderstandings.
Sponsor benefits: Details all benefits the sponsor will be receiving.
Sponsor obligations: Details what is due the entity, which includes but is not limited to: fees paid, in-kind, and any other obligations to be fulfilled by the sponsor

12. Clauses in the sponsorship agreement (Continued)
Indemnity and insurance: Make sure everyone involved is protected from things that could go wrong. Indemnity is exemption from incurred liabilities, loss or penalties for damages. Insurance is the instrument used to protect the promoter.
Confidentiality: Protect both the sponsor and sponsee.

13. Benefits included in the sponsorship agreement
Exclusivity:
Are companies willing to pay a higher fee to keep competitors from participating?
Can the sponsee use phrases such as “official sponsor” or “presented by”?

14. Benefits included in the sponsorship agreement (continued)
Media package
Exactly what type of coverage will be provided?
How much airtime will be provided?
Will sponsors need to purchase additional media coverage?
Will there be vignettes?
What type of signage will appear on television?

15. Benefits included in the sponsorship agreement (continued)
Media package (continued)
Will ad space be provided?
Will the sponsor’s name and logo be included on information sent out about the event?
Will the sponsor be able to conduct contests or advertising campaigns?

16. Benefits included in the sponsorship agreement (continued)
Signage
What type of signage will be available?
Will rotational and virtual signage be used?
What about banners?

17. Benefits included in the sponsorship agreement (continued)
Entertainment
Will luxury boxes, hotel rooms and VIP passes be provided?
Will the sponsor have access to the athletes or stars?

18. Benefits included in the sponsorship agreement (continued)
Merchandise rights
Will there be an area to sell merchandise?
Will logos and trademarks be used?

19. Benefits included in the sponsorship agreement (continued)
In-Kind
Are sponsors willing to provide products?
How much non-cash sponsorship will be provided?

20. Benefits included in the sponsorship agreement (continued)
Internet
Will the entity provide links to corporate websites?
Will possible banner advertisements be provided?

21. Opportunities for leveraging sponsorships
Makes the sponsorship more successful
Spend between $1-$5 on leveraging for every $1 spent of the sponsorship fee
Additional advertising – banners, magazines, radio or television

22. Explain the sales process & client relations in sponsorship
Preapproach
Approach
Determining needs
Feature/benefit presentation
Handling objections
Closing the sale
Suggestion selling
Follow-up

23. 1. Preapproach Everything prior to sale
What the entity wants out of the sponsorship
Inventory
Package prices – exclusivity, box seats, luxury boxes, lodging, transportation, invitations, tents, freebies/giveaways, samples, VIP passes, banners, signage, Ad space, access to players/stars, TV or radio spots, public relations or press releases, promotions, entitlement to facility and logos on items

24. 1. Preapproach (Continued)
Everything prior to sale, continued
Real cost of sponsorship
Aspects of the sponsor
Prior events sponsored
Current events being sponsored
Target market
Corporate expectations
Amount company is willing to spend
Aspects of the sponsorship
What is the sponsee willing to offer them?
Will more than one sponsorship package be offered?
How will the company benefit from the sponsorship package?
How is the sponsee willing to help track sponsorship value?

25. 2. Approach Arrange a meeting Arrive early Dress professionally
Variety of dates
Correct name
Arrive early
Dress professionally
Introduce yourself
Shake hands firmly
Give business card
Have background information on the sponsor
Know your objectives

26. 3. Determining needs Listen & talk when appropriate
Question to determine needs
Verbal & nonverbal feedback
Empathy

27. 4. Feature/benefit presentation
Explain how proposal can fill client’s needs
Focus on the benefits
Get sponsor involved in the sale
Use visuals
Use a logical order
Large to small
National to local

28. 5. Handling objections Anticipate them Can occur at any time
Based on need, product, price or time
Use four step process:
Listen
Acknowledge
Restate
Answer

29. 6. Closing the sale Close when sponsor is ready
Look for buying signals
Summarize major points
Use objections to close sale
Generate an offer
Be flexible with proposal
Burgin, discuss and settle
Discuss fee arrangement
Do not make agreements cannot keep

30. 7. Suggestion selling Lengthen contract – multiple year
Add additional promotional ideas

31. 8. Follow-up Execute contract Thank you letter – sale or no sale
Keep relationship going
Sponsor feels they’re getting money’s worth
Measure, assess & evaluate
Schedule follow-up appointment