SPONSORSHIP

Benefits, fears, factors and processes Belgrade, October 2010

Definitions
Mutually beneficiary support from a business company to a non-profit organisation, project, event (or a person) Special kind of business deal Part of marketing mix Part of communication strategy of a company Payment for services, mainly related to advertising A unique process of business partnership and not a single transaction

SPONSORSHIP-BENEFITS
FOR THE SPONSOR

Advertising Cheaper and easier approach to media Good will in the society Image and visibility: prestige Personal contacts with curators and art professionals Sales promotion Communication Marketing research

FOR THE CULTURAL ORGANISATION Money: temporary financial stability In-kind sponsorship Contacts with the business world Experience in management, business and finances Logical thinking Attracting supporters and friends Looking at their activities from the eyes of others

Macro-factors influencing sponsorship

Economic situation Legislative system (corporate taxation law) National traditions in corporate philanthropy Strength and history of existence of the business sector as a whole Awareness of the social purpose of business on a local level National associations of sponsors

WHEN APPROACHING A SPONSOR, HAVE IN MIND:

Local organisations and local social needs Targeting big corporations with a history of sponsorship Targeting new products of well established companies Risk and uniqueness of your activity Frequency and number of your events: scope of sponsorship Reliability of your organisation One or many sponsors and how to deal with the mix

Matching between the target audiences of the business company and cultural organisation Matching between corporations products and cultural product/event Place where the event will be held Who is the person in charge of finances and sponsorship When do you approach the sponsor Personal contacts

SPONSORS CRITERIA

REASONS AND BENEFITS - Why to sponsor? why it is good for my company and for me? MARKET COVERAGE - Who will come/visit-profile and size of the audience? MEDIA COVERAGE (VISIBILITY) How it will be broadcasted and reviewed by the media? GEOGRAPHICAL LOCATION - Where it will happen? SIMILARITIES - What is the products match? FINANCIAL PLANNING - Does it fit to my overall financial plan? COMPETENCE OF THE TEAM-How good is the organisation in marketing?

SPONSORSHIP PROPOSAL
1. 2. 3.

4. 5. 6.

WHO ARE WE? -The organisation; The programs/activities; The creative team WHAT IS OUR IDEA/PROJECT/EVENT? WHAT ARE THE BENEFIRS FOR THE SPONSOR? levels of sponsorship Group benefits Marketing benefits Benefits for the personnel Joined initiatives HOW MUCH DOES IT COST? CONTACT ADDRESS/PERSON ADDITIONAL INFORMATION

REASONS FOR REFUSAL

A company may refuse sponsorship:

Cultural organisation may refuse sponsorship:

Absence of sponsorship legislation in the country No time or personnel to deal with sponsorship The project does not fit to companys targeted market Inadequate timing Unsuccessful history of sponsorship Not fitting to the overall marketing campaign

Bad reputation an image of the sponsor Unreliable sponsorship organisation Inadequate sponsors products (dangerous products for health) Too much interference of the sponsor in the creative process Resistance of the creative team

Tips

Sponsors are not as excited as you Chances are higher if the sponsor knows your organisation and you know sponsors organisation Know concrete prices for advertising and compare Plan and monitor the process Keep all financial documents Try to involve the sponsor in your activities: consult and ask

Meet sponsors with your creative team Inform sponsors about the process Convince the sponsor that the event is a meeting point Sponsorship may mean censorship: be careful Sponsorship needs all management functions performed: planning, organisation, control Do not rely only on one source of funding