Sunday, 2 September 2007

Week 9 PR blog: Sponsorship

Another public relations tactic is that of sponsorship and special events; used by organisations to achieve specific goals. Albeit one of the most expensive tactics used by PR, the goodwill that can be delivered by a well targeted and managed sponsorship campaign can be equally large and can also be a “visible manifestation of community partnering” (Johnstone & Zawawi, 2004, p. 346). Amongst the key points identified were that the larger the event, the more likely the need for sponsorship and accordingly is the reason why both often operate in tandem. A well run event can make the PR person a ‘star’ while conversely, poorly run events can be disastrous for the PR practitioners career; success requiring creativity in not only fulfilling the aims and strategies of the organisation and sponsor, but in attracting the attention of the media.
“Sponsorship is the purchase of specific rights and benefits associated with an event, organisation or individual” and should not be “confused with philanthropy, donations or bequests” which, unlike sponsorship, do not expect a return (Johnstone & Zawawi, 2004, p. 347). However returns may not rely solely on monetary considerations and can also take the form of mutually beneficial shared relationships such as expertise and manpower. Sponsorship provides a focal point for sales and marketing by providing high visibility of products to potential customers and, as Geldard & Sinclair (Cited in Johnstone & Zawawi, 2004, p. 347) suggest, also provides exclusivity, image association, hospitality for client entertainment, product sampling, signage rights, merchandising, networking with people of importance, media coverage, use of personnel for advertising, and promotions and sale opportunities”.
Johnstone & Zawawi (2004) identify three types of sponsorship:
- Philanthropic (generally community based with tax, goodwill and community benefits; an example being the Myer family)
- Corporate (sponsorship not normally linked to an organisations business; links the sponsoring organisation with a high profile event; puts a positive impression in the organisations public minds e.g. McDonalds sponsorship of junior tennis)
- Marketing sponsorship (offers cash and goods in return for tangible revenue oriented results and is used primarily to promote products and services e.g. Nike/ Adidas)
When writing a sponsorship proposal it is essential to consider the motives and goals of the target audience and of the organisation (what is in it for them?) and to analyse factors such as what the sponsorship will achieve (i.e. boost sales, competitive advantage, publicity, goodwill, improve image, communicate key messages, improve staff morale, form business relationships, cost-effective advertising); what constitutes an unsuitable sponsorship; and the available resources (i.e. is the sponsorship being sought in conjunction with an event?).
Once this is done, a 1 page proposal is written with a particular organisation in mind and which needs to address the ‘hot-keys’ of the organisations decision-maker without any prior contact with that person (research any other sponsorship they may have participated in (check on their website) and request a copy of their annual report). The proposal should also include a cover letter, background, sponsor benefits, images of past events, and a specific request for sponsorship. Proposals should also be unambiguous with clearly defined parameters in order to protect sponsors.
Ambush marketing is when a company misrepresents itself as being associated with an event when it has no legal, moral or official right to do so. Johnstone & Zawawi (2004, p. 371) cite the case study (13.4) ‘Qantas and the Sydney 2000 Olympic games’ in which despite Ansett being the major sponsor, “Qantas was among a number of organisations accused of ambushing three years before the 2000 Olympics by using high-profile athletes in advertising campaigns”.
This case study made me consider that the unethical standpoint of the sporting organisations and sponsorship advocates suggested by Johnstone & Zawawi (2004) is somewhat surprising considering they should benefit financially from any form of sponsorship for those they represent and isn’t their responsibility to their client ? The opposing argument of ‘market competition’ by marketing executives was, I thought, quite a clever marketing technique (ethical considerations aside) and although I was previously unaware of the use of such tactics I found myself siding with Qantas as perhaps Ansett should have been more pro-active in gaining publicity (and could have taken a leaf out of Qantas’ book)?

This blog is taken from: chapter 13 ‘Sponsorship’ in Johnstone & Zawawi (2004),

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