Sponsor ROI
Sportswise are expert in delivering sponsor ROI research and work closely with US agency, rEvolution, to deliver research capable of isolating the impact of sponsorship on sales. As UK franchise holders of rEvolution’s proprietory approach to sponsor evaluation and ROI we have experience of evaluating some of the leading sports sponsorships in the world of sport including all 22 NFL commerical partner relationships.
Our Approach to ROI evaluation
Steve Lauletta
Former Director of Sports Marketing, Miller Brewing Company
We work on the principle that sponsors and rights holders need to understand a variety of benefits delivered through sports alliances. For many it will be the impact of sponsorship on sales of their product and services. In this sense, if all else is equal then sponsorship should be capable of influencing 1 in 3 'fans' and therefore delivering significant return on investment. For instance in the case of Samsung sponsorship of Chelsea the question is not what is our awareness like (although this is clearly one benefit), but more critically, how many incremental handsets and TV’s have we sold and how does this compare to the cost of the alliance? That is where Sportswise and rEvolution can help.
Our approach first measures brand share among fans aware of the sponsorship to the brand share among an otherwise identical group of fans who are unaware of the sponsorship. We then project incremental volume based on the proportion of the sponsors’ total market made up of these aware fans. Ofcourse, there is more to it than that - but we would prefer to tell you in private.
Sportswise hold the UK franchise for the rEvolution sales ROI model approach and have already deployed this with great success on the Chelsea and Manchester Utd shirt sponsorship deals ahead of last summer’s announcement that AON have secured the £80m deal with Manchester Utd.
Impact of Recession
The economic backdrop means companies now have less to spend and sponsorships are an area where cuts have been made. We have measured ROI for more than 30 sponsorships in custom studies in the last 2 years and the impact of recession has dampened return on investment for sponsors. Typically, we now see a 5 point gain in brand share compared to a 10 point gain in the previous 5 years. This makes robust ROI analysis even more critical to brand success.
Key Benefits of Sportswise ROI Research
• Shows whether your sponsorship has positive or negative ROI
• Acts as a powerful negotiating tool
• Diagnoses why ROI is good bad
• Simulate changes to your sponsorship on ROI
• Offers advice on how to maximize ROI
• Can be used locally or nationally on any sport
• Set targets for future year
• Trusted by many of the largest sponsors and rights holders
Contact Sportswise to arrange a UK consultation:
jon@sportswise.info
darrenmarshall@revolutionword.com
