Showing papers in "International Journal of Sports Marketing & Sponsorship in 1999"

Sport Sponsorship: Evaluating the Sport and Brand Image Match

Abstract: * Keywords: Sponsorship, Brand Image, Personality Matching, Brand Management Executive Summary This paper demonstrates that the process of creating a favorable brand image can be aided using image-sensitive sponsorship Firms have traditionally analyzed demographic fit to determine the appropriate sport/brand match When utilizing sponsorship to build brand awareness and reach a specific target market, this methodology is sufficient However, if one of the prime objectives of pursuing sport sponsorship is to reinforce or modify a brand's image, an accurate assessment of consumer perceptions of brands and sports should be added to the analytical process This paper presents a methodology to assess the perceived image fit between a sport and a brand and empirically validates this approach in an applied research setting In building this new methodology, two studies were conducted The first study utilized a student sample to assess the validity of the personality image method The follow-up study examined the viability of using this approach to measure consumer perceptions of image and sponsorship fit at a major US sport event Additionally, perceptions of a brand's overall "fit" with a particular sport were examined in both studies to explore the relative impact of image matching relative to demographic fit Study 1 results support the validity of the methodology To assess the data structure and the reliability of the personality scale, a common factor analysis was performed on the 20 personality items Four distinct factors emerged (Exciting, [alpha] = 89; Wholesome, [alpha] = 70; Rugged, [alpha] = 90; Sophisticated, [alpha] = 91), explaining 68% of the variance To test the predictive validity of the method, both a personality and demographic congruency coefficient for each brand/sport combination was derived Simmons Market Research data was utilized to create a demographic fit index Regression analysis was performed to test the statistical relationship between personality fit, demographic fit and perceived sponsorship fit Results indicate that perceptions of a brand's "fit" with a particular sport increase as the personalities between the brand and sport become more congruent While personality fit was found to be a significant predictor of sponsorship fit, demographic fit was not This supports the need to explore personality congruency when utilizing sponsorship for image association benefits In study 2, 153 respondents attending the National Basketball Association (NBA) Jam Session as part of the NBA all-star weekend activities assessed perceptions of sponsorship fit between actual sponsors of the event and the sport The survey required subjects to assess one sport (professional basketball) and ten brands on the four personality factors The brands with the best personality fit with the NBA were functionally related to the sport of basketball, athletic footwear/apparel and isotonic beverages The NBA was rated as being more exciting than the ten brands listed Thus, managers desiring a more exciting image for their brands might choose to align with the NBA Study 2 also revealed a strong correlation between personality fit and perceived sponsorship fit Our results also indicate that a good demographic fit between a target market and a sport audience does not necessarily imply it will also be an appropriate image match for the firm/brand For firms seeking image association benefits from sponsorship, we propose that testing the congruency of sport and brand images should be added to the research methodology If a company's goal is to reinforce a brand's existing image, selecting a sport with a high-level of congruency is advised However, when altering a brand's image is the objective, associating with a sport with the desired but currently incongruent image is recommended Evaluating the Sport and Brand Image Match Firms engaging in sport sponsorship note a number of reasons for employing this increasing popular marketing vehicle (Kuzma, Shanklin & McCally 1993) …

Commercial Sponsorship -- the Development of Understanding

Abstract: * Keywords: Understanding, Model, Research, Consumer Effects Executive Summary Consumer sponsorship now represents one of the most rapidly growing and perhaps interesting areas of marketing activity. While large-scale corporate investment has been relatively recent it is nonetheless ironic that understanding of this form of marketing activity remains largely under-developed and, where available, at best patchy. This paper seeks to examine the development of understanding of sponsorship. More particularly, it categorises the source streams which have led to current understanding and their relative contribution. The specific areas which have received the bulk of the limited research activity to date are two-fold, namely profiling sponsorship management practices and studies of consumer awareness, and these are examined in detail as are the research methodologies employed. To date structured survey research has been the main method of research employed almost to the exclusion of alternative approaches such as case study and ethnographic research and experimentation or, for that matter, the usage of focus group and depth interview research in a stand-alone capacity as aids to developing understanding. The usage of these latter neglected research modes, if applied in conjunction with creative thinking about sponsorship issues, has the capacity to deliver the incremental "jumps" in understanding which the subject requires. The paper seeks to provide an agenda for future research by identifying six areas of emerging research concentration. These include broadcast sponsorship, ambush marketing, the sponsor/event-owner relationship, a resource-based view of sponsorship, image and meaning-transfer in sponsorship as well as a model of how sponsorship works. While all such areas present challenges to the development of understanding, the latter topic involving the search for a comprehensive model of the effects of sponsorship on consumers poses the most important challenge. Such explanations in the related field of advertising were similarly slow to develop and are continuously being refined. However, their existence and refinement provided the central basis for understanding in that field. To date sponsorship lacks such comprehensive explanations and as such the development of such a model must represent the "holy grail" for both practitioners and academics in the field. Furthermore, in this and on all other sponsorship issues, understanding is likely to develop more rapidly and in terms of validity where both theorists and practitioners openly contribute to collective understanding. Introduction It is now widely accepted in marketing and media circles that commercial sponsorship represents one of the most rapidly growing sectors of marketing communications activity. Between 1984 and 1997, worldwide expenditure on sponsorship as a corporate communications medium increased from $2 billion to $18.1 billion (SRI 1998). Over this time period, research conducted by both academics and practitioners has sought to improve our collective understanding of the sponsorship medium with varying degrees of emphasis and related success. The purpose of this paper is to examine the research undertaken, the research strands pursued, the methodologies involved, the state of current understanding and finally to indicate certain directions for future research attention. An analysis of the development of sponsorship understanding suggests certain observations that it is important to outline at the outset of this paper. * Given the scale and scope of commercial sponsorship, it is surprising that the development of understanding on this topic has been so slow to date. * At this juncture the major task facing both academicians and practitioners in this field is to develop a comprehensive model of sponsorship effects similar to the explanations of advertising effects on consumers currently available. …

The effect of individual levels of self-monitoring on loyalty to professional football teams. (Self-Monitoring on Loyalty)

Abstract: * Keywords: Team Loyalty, Self-monitoring, Fan Behavior, Professional Football Executive Summary Although building and maintaining a loyal fan base has become critical for sport organizations, little research has been done in this area. An extensive investigation of loyalty exists within the consumer behavior literature, but the current study was one of the first to examine loyalty within a team sport context. In order to better understand differences in individual loyalty to athletic teams, the purpose of the current study was to examine the impact of the personality variable, self-monitoring. A number of studies in the social psychology literature found the construct of self-monitoring influenced the amount of loyalty exhibited by individuals in a variety of settings (Jenkins, 1993; Richards, 1994; Snyder, Gangestad, & Simpson, 1983; Snyder & Simpson, 1984). In each study, high self-monitors were less loyal than low self-monitors. A similar relationship between self-monitoring and team loyalty would have definite implications for sport marketers. If high self-monitoring fans are less loyal and, therefore, more likely to switch favorite teams, sport marketers would be well advised to focus their marketeering efforts on appealing to high self-monitors, particularly when the tendency for disloyalty is high (e.g. team is performing poorly, popular players are traded). Consistent with prior loyalty research, the study examined loyalty behavioral and attitudinal dimensions. The behavioral dimension was operationalized using length of allegiance (number of years as a fan) and frequency of team switching (number of times team allegiance was switched). The attitudinal dimension was operationalized using Mahony, Madrigal, & Howard's (1998) Psychological Commitment to Team (PCT) scale. The respondents (n = 151) were college students at a large Southwestern university in the United States. The relationship between loyalty and self-monitoring, operationalized by Snyder & Gangestad's (1986) 18-item Self-Monitoring Scale, was examined using hierarchical regression and chi-square analyses. The study provided support for the hypothesis that low self-monitors will display greater behavioral loyalty than high self-monitors, but did not provide support for a similar hypothesized relation between self-monitoring and attitudinal loyalty. The study, therefore, provided some support for the hypothesis that team support will be affected by team performance more for high self-monitors than low self-monitors. This finding is the first to demonstrate that at least one personality characteristic impacts team loyalty. This finding also has implications for sport marketers. Because the current study suggests high self-monitors are more likely to switch favorite teams, sport marketers should focus their efforts on preventing this type of disloyal behavior. While the study provides evidence that high self-monitors are more prone to defect or switch their allegiance from favored teams, sports marketers can implement programs to reduce the potential for this behavior to occur among high self-monitors. Three specific preventative actions are discussed in the paper, including: a) stressing the positive impact that being a fan of the team will have on the individual's public image, b) attempting to elicit emotional reactions from team advertisements, and c) carefully choosing endorsers to be used in commercials. While further research on advertisements in sport is warranted, the findings in the current study provide some guidance to sport marketers. Introduction Understanding fans has become critical to sport organizations in recent years. As a result of increased competition and rising financial pressures (e.g. Fulks, 1996; Howard, 1999), sport organizations can not afford fluctuations in fan support and need to maintain a large base of loyal fans. Loyal fans can be quite valuable to an organization because they are more likely to attend games, purchase team merchandise, watch games on television, and listen to games on the radio. …

The Effect of Individual Levels of Self-Monitoring on Loyalty to Professional Football Teams

Abstract: Introduction Understanding fans has become critical to sport organizations in recent years. As a result of increased competition and rising financial pressures (e.g. Fulks, 1996; Howard, 1999), sport organizations can not afford fluctuations in fan support and need to maintain a large base of loyal fans. Loyal fans can be quite valuable to an organization because they are more likely to attend games, purchase team merchandise, watch games on television, and listen to games on the radio. All of these activities can lead to increased profitability for the team through increased revenue. For example, the University of Notre Dame (USA) has been able to use its national following and large number of highly loyal fans to assure sellouts of all of its home football games, to consistently be one of the leaders among American Universities in merchandise sales, and to sign the most lucrative television contract in American college football (Eitzen & Sage, 1997). Although sport executives in the past seemed to take such high levels of fan loyalty and support for granted, the negative reaction following the 1994 baseball strike suggests otherwise. Baseball teams reported drops in attendance as high as 49% in the beginning of the 1995 season (Antonen, 1995) and television ratings for baseball on TBS dropped about 23% after the 1994 strike (Mihoces, 1995). Yet, some teams appeared to be able to avoid a negative impact from the strike. There was considerable variance among teams in regard to fan reaction and some teams were able to maintain the same levels of attendance and a few even reported a gain (Antonen, 1995). Just as there are differences among teams with regards to the level of loyalty among their fans, there appear to be individual differences between fans with regards to their team loyalty. While some fans remain loyal to the same team their entire lives, others seem to switch whenever the situation related to their favorite team is negative (e.g. team performs poorly). The question is: why are some fans consistently very loyal, while others seem to demonstrate such little loyalty to their favorite teams? Moreover, what can sport marketers do to prevent fans with a tendency to be disloyal from leaving them? Also, what can they do to steal disloyal fans away from other teams? The focus of the current study was to examine research related to sport fans and research in social psychology to try to determine why there are differences among individuals and in particular to identify fans likely to be disloyal. Further, the current study then attempted to present research based suggestions for maintaining loyalty among these generally disloyal fans. Sport Fan Research In spite of its obvious importance, little is known about fans' loyalty to their favorite teams (Zillman & Paulus, 1993). Still, there has been some important research on sport fans. Hirt, Zillman, Erickson, & Kennedy (1992) reported that highly identified fans indicated that their mood, self-esteem, estimates of future personal performance, and estimates of future team performance were all positively impacted when the team won and were negatively impacted when the team lost. This research would seem to indicate the relationship between the team and the individual can be quite strong in the mind of the fan, so that success or failure by the team becomes equated with success or failure by the fan. Because of the potential for both positive and negative impacts, it would seem logical that some fans will adjust their relationship with the team in different situations. In fact, Cialdini, Borden, Thorne, Walker, Freeman, and Sloan (1976) found individuals increase their association, or Bask in Reflected Glory (BIRG), with sport teams when the teams performed well. Specifically, Cialdini et al. found that students were more likely to wear university-related clothing and use the inclusive pronoun "we" following a winning effort by the football team. …

Managers' Use of Sponsorship in Building Brands: Service and Product Firms Contrasted

Abstract: Managers' Use of Sponsorship in Building Image for Services Corporate sponsorship of sports, events, and causes has increased dramatically over the past decade. Today, sponsorship is the fastest growing form of marketing communications. In 1997, sponsorship expenditures were 9% higher than the previous year compared to a 6% growth in advertising expenditures and 3% growth in sales promotion expenditures. This sustained growth of sponsorship has made it a $4.8 billion industry in the United States (International Events Group 1998). Approximately two-thirds of this expenditure is directed at sport (Smith, 1997). The increased popularity of event sponsorship is often attributed to its ability to provide an alternative to traditional advertising. Advertising has been the primary mode of marketing communications, but it is plagued by an overload of messages, creating media clutter (Meenaghan, 1983; Gardner and Shuman, 1987). Also, event sponsorship is an attractive communications vehicle because of the potential for the event's image to transfer to the sponsoring brand (Gwinner, 1997). This image transfer includes the creation of non-attribute-based brand associations, or brand associations unrelated to product attributes (Park and Srinivasan, 1994). Previous research in the area of event sponsorship has sought to identify the types of events firms sponsor (Abratt, Clayton, and Pitt, 1987; Marshall and Cook, 1992), objectives of sponsorship (Hoek, Gendall, and West, 1990; Kuzma, Shanklin, and McCally, 1993; Quester, 1997), target audiences (Crowley, 1991; Gardner and Shuman, 1987), and the influence of sponsorship on building brands with consumer audiences (Crimmins and Horn, 1996; Gwinner, 1997; McDaniel, 1995; Tuan Pham, 1992). This paper extends sponsorship research by examining whether differences exist between service firms and product firms in terms of sponsorship utilization and perceived effectiveness of sponsorship in achieving desired objectives. Although a good deal of sponsorship research has been conducted (see Cornwell and Maignan, 1998), this research is the first comparison of service versus product firms in this area. The purpose of this comparison is to determine whether generally held beliefs about the role and effects of sponsorship hold, regardless of whether the sponsor is a service firm or product firm. Differences in the promotion of services and products have been acknowledged previously. The promotion mix for service firms has traditionally emphasized advertising and personal selling. Sales promotions or "below the line" promotions such as competitions (Peattie and Peattie, 1995) have never been popular in the marketing of services. Although sponsorship is not considered in the group of traditional measured media, service firms have utilized sponsorship as a communications vehicle. Sponsorship may have attracted services marketers due to its ability to communicate the image of the service provider. Rushton and Carson (1989), in their analysis of the marketing of services, find that the points of difference in the promotion of services include aims, methods, messages, and techniques as follows: * Methods of promotion based on having a physical product are automatically precluded for services. Without a physical substance there can be no promotion based on display of the product itself. * A service has no physical appearance itself and so relies heavily on promotional activity and material to provide an image. This is usually based on creating an appropriate image for the provider of the service--the service organization is often something more tangible. * Promotion is, of course, also used to help create images for tangible products--but while the purpose of image building is the same for both services and goods, creating an image for something intangible is different from creating an image for something tangible. …

Sponsorship in North America: A Survey of Sport Executives

Abstract: * Keywords: Sponsorship, North America, Trends Executive Summary The present study consisted of a questionnaire mailed to 250 sport executives associated with professional sport teams and sport properties in North America. Qualitative methods were also utilized through telephone interviews with executives in sponsoring corporations. Participants in the study were asked to indicate where sponsorship dollars would be directed over the next three years. A clear majority of team/property executives and sponsors were of the opinion that national level sport competition would receive the majority of sponsorship dollars. Others responses were divided as to whether regional or local competitions would be more successful. Some (8.6%) of the corporate sponsors thought that international sponsorships would begin to attract dollars away from the North American market for multi-national corporations. The sport executives were also requested to predict changes in corporate spending on sport sponsorship over the next two years. Both the team/property respondents and the sponsors forecast increases in spending in the 6-10% range. On the team/property side, only 11% anticipated a decrease in sponsorship funding. The estimate from those respondents put that decrease in the 10-15% range. Similar data were obtained from the sponsor side as well. Just over 8% of sponsors anticipated decreasing their expenditures on sponsorship. Collectively, these data are a bit more conservative when compared to the forecast of Chicago-based International Events Group that projected a 15% growth rate for sponsorship spending during 1998. Respondents were asked which specific sports would attract sponsorship allocations. Golf and women's sport in general were highly rated by both groups. Sponsors, while noting its value, were a bit less optimistic about women's sport in general than were team/property respondents. The maturity of the NBA and the broad appeal of the NFL were also reported by both groups of subjects. Major League Baseball was well situated in the minds of both constituencies, but sport executives and several sponsors noted baseball as decreasing in influence. Furthermore, NASCAR continued to exert its influence across-the-board. However, one sponsor commented: "We have 50 team cars now: how much more can we stand?" After years of media attention touting soccer as the sport of the future, it seems that the future has yet to arrive in the minds of these sport executives. Using a scale of 1 to 9 (1 = very undesirable; 9 = very desirable), respondents from both the team/property side and from the sponsors side were asked to rate the importance of several factors believed to be desirable in sponsorship packages. Overall, sponsors rated the items higher than did the sport executives. Four items were rated above eight by the sponsors while only one was rated as high by the team/properties. The most notable discrepancies were in the provision of hospitality opportunities and in ties to current ad campaigns. These data seem to indicate that teams and properties need to direct additional attention to the needs of the sponsor in these areas. Both sport executives and sponsors clearly identified the factor of driving quantifiable sales as a key factor in sponsorship arrangements. Introduction Corporate spending on sponsorship increased dramatically during decades of the 1980s and 1990s and has been projected to reach $17.35 billion (US$) in 1998. In North America, 1998 spending on sponsorship was projected to rise to $6.8 billion from over 4,800 companies, Europe added $5 billion, Pacific Rim businesses spent $3.3 billion, and Central and South America were to contribute $1.25 billion. Sponsorship spending seems to be growing at double digit rates in regions other than North America, yet North America clearly represents a mature market where in other regions international sport sponsorship is still experiencing significant increases and growth. …

Sports Sponsorship Evaluation: A Behavioural Analysis

Abstract: Keywords: Sponsorship, Behavioural Measures, Evaluation, Behaviour Modification Executive Summary Investment in sponsorship has increased dramatically over the past decade, a growth that shows every sign of continuing in the foreseeable future. Researchers are generally in agreement that sponsorship can increase consumers' awareness of a brand or an institution, and can improve knowledge of the relationship between a brand and a sponsored event. Yet although managers are arguably more interested in the behavioural consequences of sponsorship, comparatively few researchers have examined this question. Instead, managers have assumed awareness and image measures bear a strong and direct relationship with behaviour, although the evidence in support of this view is arguably tenuous. This paper outlines an alternative to the cognitive paradigm that has dominated advertising and sponsorship practice and research: the Behaviour Modification Perspective. Based on the twin notions of respondent and operant conditioning, the Behaviour Modification Perspective provides a framework for viewing sponsorship in two ways. First, respondent conditioning pairs an event or a team with a brand, facilitating transferral of the former's characteristics to the latter. Second, operant conditioning views sponsorship as a reinforcer, or reward, of existing purchase behaviour; serving to maintain patterns of behaviour in an established market. This more general theory of Consumer Behaviour is related specifically to promotion in Ehrenberg's Awareness-Trial-Reinforcement model, which represents a possible framework for managing or evaluating sponsorship. This model was thus used as the basis of a pilot study designed to examine how well the framework could explain the effect of sponsorship on consumers' behaviour. A sample of respondents drawn from a pool of contestants to a sponsorship-related competition was compared to a sample who had not been exposed to the event. As predicted, the results suggested that awareness of the sponsor was higher among users of the sponsor's product. When respondents were asked to indicate whether they would buy the sponsored brand or competing brands if they were making a purchase in this product category, their responses did not vary significantly across exposure to the sponsoring event or recall of the sponsor These findings suggest the sponsorship did not move respondents along the continuum to purchase behaviour, but rather reinforced the sponsored brand's place in the overall market structure. The consistency between these results and the ATR model suggests managers could make greater use of behavioural goals (rather than of the intermediaries assumed to lead to these). Furthermore, our findings suggest that specific calls to action such as those used in direct marketing or cause-related marketing could also be incorporated to enable more specific evaluations, and to ensure that managers can, finally, begin to appreciate the behavioural consequences of their sponsorship investments. Introduction The growth in sponsorship expenditure, both in real terms and as a proportion of promotion budgets, has been well-documented (see Meenaghan, 1988; Meenaghan & Shipley, 1999, for example). Otker (1988) and Meenaghan (1991) suggested that two factors promoted this growth: first, the increasing number of opportunities associated with sponsorship as event owners recognised the commercial potential of their events; and second, a growing disillusionment with mass media advertising and the clutter which arguably diminished the effectiveness of traditional media vehicles (see also Crowley, 1991; Thwaites, Aguilar-Manjarrez & Kidd, 1998). Meenaghan (1998) subsequently suggested that new technological developments and sponsorship's ability to reach consumers at leisure were on-going advantages that would continue to fuel its growth. Although managers may sponsor almost any event they choose, the vast majority of sponsorship contracts relate to a sporting event or team. …

In Search of a New Defender: The Threat of Ambush Marketing in the Global Sport Arena

Abstract: I: Introduction In the landscape of current sports, sponsorship has become one of the key revenue sources for meeting costs and making profits. The concept of "official sponsorship" developed to match corporations with sporting events, initially fostered a strong, mutually-beneficial relationship. Corporations sought to use sport as a method of communicating to potential clients about their products or services through signage and/or product exclusivity in the arena. Sports organizations, on the other hand, sought to use their desirability with these firms to create necessary funds for the successful operation of their organization. Beginning as early as A.G. Spalding and the concept of "official sponsorship" (Levine 1985), sport and commercial entities have been inextricably linked. In the last 15 years, however, the role of sponsorship has changed dramatically. The 1984 Olympic Games crystallized the interdependence of sport and corporate entities. Peter Ueberroth, in an attempt to raise significant dollars to subsidize the Olympic Games, offered corporations the ability to affiliate themselves with the Olympic Games and the Olympic teams in an unprecedented number of ways. While extracting millions of dollars from these sponsors, Ueberroth created a "corporate Olympics", with various corporations competing much as the amateur athletes were. The result of the 1984 Olympic Games was a dependence upon corporations for funding of sport, but also a dependence upon sport by corporations for global exposure. Through the efforts of first Adi Dassler, of adidas, and later Ueberroth, the Olympics became the prime location for effective marketing through sponsorship. After 1984 and the success of the "corporate Olympics", sponsorship exploded. The cost of sponsorship to the commercial client increased tremendously: as sport organizations sought to meet rising costs, they began to extract larger sums from prospective corporate clients for affiliation. Sport organizations also became savvy to the tremendous impact that sport sponsorship can have upon consumers, and demanded higher prices for their unique media. In addition, the exponential growth of media outlets (satellite and cable sports channels, the Internet, etc) and the growth of global viewership all lead to increases in media demands and sponsorship costs. This new interdependence between corporate funding and sporting events bred a new kind of sponsorship landscape, out of which the concept of "ambush marketing" was born. Tactics described as ambush marketing have altered the view of sponsorship both positively and negatively, and have forced the development of new marketing tools. Ambush marketing has changed the face of sport and sport sponsorship. Ambush marketing has been defined as the "direct efforts of one company to weaken or attack a competitor's official association with a sports organization acquired through the payment of sponsorship fees. Through advertising and promotional campaigns, the ambushing company tries to confuse consumers and to misrepresent the official sponsorship of the event" (Bean 1985). However, ambush marketing also incorporates efforts that are not aimed specifically at a competitor, but whose end result does, in fact, impact official sponsorships. "In a broader sense, rather than such direct and intentional misrepresentation, ambush marketing refers to a company's attempt to capitalize on the goodwill, reputation and popularity of a particular sport or sporting event by creating an association without the authorization or consent of the necessary parties" (McKelvey 1993). Finally, ambush marketing has also been formulated to incorporate tactics that, to date, require no consent or authorization and are wholly legal within the parameters of current advertising law, but have the effect of weakening a sport branded name or concept through the advertising message. …

Youth Awareness of Tobacco Sponsorship as a Dimension of Brand Equity

Abstract: Introduction This paper reports findings from a study that examined the effects of tobacco sponsorship on cigarette brand familiarity in a market segment of 14-year-olds in New Zealand. The objective of the paper is to clarify issues concerning the reach and effects of tobacco sponsorship in under-age markets, and to help inform sport managers, sponsors and policy makers about these issues. A conceptual framework is developed for treating sponsorship-derived brand awareness as a component of brand equity. This is intended to help explain how tobacco sponsorship communications can build brand market value by associating the sponsoring brand(s) in the minds of their target populations (in this case a youth segment) with particular kinds of sports, sport events and personalities (Aaker, 1991, 1996; Keller, 1993). The market rationale for building cigarette brand awareness among youth is that they are the principal group that initiates smoking. Even though smoking uptake occurs at different rates in different national settings, youth are universally the population that starts smoking and the population most at risk (Nath, 1982; US Department of Health and Human Services, 1994; Roemer, 1993; Pan American Health Organization, 1992; Toxic Substances Board, 1989). European figures, for example, indicate that 90% of adults smoking today started in their teens, 60% of them before the age of 14 (BASP, 1991). During smoking uptake, "starters" tend to consume the brands most readily available. Once a smoking habit is achieved, however, smokers become more brand-loyal. Industry figures indicate that ten per cent or less of committed smokers switch brands in any given year, with many switching to a lighter version of the same brand. In European markets, cigarettes have 66% overall brand loyalty, the highest of any product category (BASP, 1991). Building brand awareness among youth is a matter of strategic importance for the tobacco industry. The market value that is realized by converting "starters" into loyal customers can be expressed using standard loyalty measures of recency, frequency, and lifetime customer value (Stone, 1997). A single pack per day habit means that a brand-loyal smoker will reliably purchase a pack each day, every day, for as long as he or she smokes. Over ten years this amounts to 3,650 pack-purchases. Most smokers need to raise their nicotine doses to maintain the same levels of stimulation, and smoking rates initially tend to increase with age. A loyal, heavy smoker (two to three packs/day) would yield 21,900 to 32,850 pack-purchases of a brand over 30 years of smoking. This sort of loyalty value begins by cornering the awareness market of youth and achieving brand saliency and use among starters. To make the transition from experimentation to regular use, a brand must also have the right image for the target market--typically of independence and social sophistication for most youth as well as a sufficiently strong nicotine content to signify maturity (McCracken, 1992). Sponsorship and Cigarette Brand Equity Tobacco companies have experienced restricted access to advertising media over the last two decades as a result of growing prohibitions internationally, but sponsorship restrictions have lagged behind, leaving sponsorship as a medium of choice for reaching targeted consumer groups. Of 98 countries with tobacco control legislation today, 88 have regulations that restrict advertising, while only 26 have regulations limiting or prohibiting tobacco sponsorship. Tobacco companies have made good use of this legislative imbalance and are among the largest investors in sport and event sponsorship globally (Sparks, 1997b). Despite industry claims that sponsorship does not cause people to smoke, it is doubtful that tobacco investment in sponsorship has no social consequences. A parsimonious and heuristic way of representing the effects of cigarette sponsorship is in terms of its contribution to the sponsoring brand's image and awareness among youth. …

Corporate Sponsorship and Organisational Strategy: Bridging the Gap

Abstract: Introduction Despite the increasing role that sponsorship is taking in the financing of sport organisations and events in all parts of the world, very little systematic research has been undertaken to investigate the strategic nature of this type of activity. This is not to say that attempts have not been made to investigate the objectives which corporations hope to achieve from sponsorship. On the contrary, a large number of studies on the sponsorship of sport have been conducted in Europe (for example, Boulet, 1989; Meenaghan, 1991; Otker, 1988; Quinn, 1982; Simkins, 1986; Thwaites, 1993; 1994; 1995; Waite, 1979; Witcher, Craigen, Culligan, & Harvey, 1991), North America (for example, Copeland, Frisby, & McCarville, 1996; Kuzma, Shanklin, & McCally, 1993; Stotlar, 1992; Thwaites, Aguilar-Manjarrez, & Kidd, 1998; Wilber, 1988) and elsewhere (for example, Abratt, Clayton, & Pitt, 1987; Abratt & Grobler, 1989; Pope & Voges, 1994; Scott & Suchard, 1992; Shilbury & Berriman, 1996). Nevertheless, the focus of these studies has not been on the manner in which sponsorship objectives are formulated or their links with broader corporate strategies. This is regrettable as, over the past 20 years or so, sponsorship practices have changed considerably. In the 1970s this type of activity was considered to be an aspect of philanthropic giving. In the early to mid 1980s, sponsorship was evaluated according to a more direct sales-oriented approach. In the late 1980s and 1990s, sponsorship is starting to be integrated with a corporation's overall strategic positioning, as marketing is becoming more integrated with other facets of corporate operations (Cornwell, 1995; Wilkinson, 1993). Nowadays, rather than being an undervalued element of marketing or promotion that is distinct from business-wide strategy, sponsorship has begun increasingly to be viewed as an activity that contributes to the attainment of corporate level strategic objectives (Meenaghan, 1999). As Mescon and Tilson (1987, p.50) point out, the "giving of precious business dollars is being tied ... more closely to corporate strategic plans, goals, and objectives". Nevertheless, despite the importance now placed by corporations on sponsorship as a promotional and strategic tool, and rapid increases in expenditures on sponsorship, there is little empirical evidence or analysis of the influence of organisational strategy on sponsorship initiatives. Although sponsorship is perceived as a strategic investment, most of the existing research on the subject has simply provided what amounts to "check-lists" of desired outcomes. However, theories of strategy are considerably more involved than objective-setting. Consequently, the central objective of this paper is to analyse in more depth the integral relationships between corporate sponsorship activities and organisational strategies. In order to situate this study in the context of previous efforts to identify the strategic rationales behind sponsorship activity, the next section provides a brief commentary on the existing literature on this aspect of corporate sponsorship. Following this, the theoretical underpinnings behind the assertion that sponsorship and broader strategic objectives should be linked are reviewed. This section of the paper is followed by an account of the method that was employed to collect and analyse the data used for this study. The findings and a discussion thereof are then outlined. This is followed by a brief concluding section that highlights the implications of these results for managers of both corporations and those organisations that are seeking sponsorship support. Theoretical Background Sport sponsorship has frequently been described as a strategic activity (Cornwell, 1995; Cousens & Slack, 1996; Gilbert, 1988; Otker, 1988). Sponsorship is strategic because it involves an allocation of resources to achieve corporate objectives and because it can align an organisation with its environment (Haley, 1991). …

The Dynamics of Sport Sponsorship: The Case of English Professional Football

Abstract: Section 1: Introduction Sport sponsorship is big business. Recent estimates suggest that the sponsorship market worldwide was worth $18 billion in 1997 (SRi, 1998). Sport is the dominant sponsorship medium accounting for an estimated 60% to 70% of all sponsorship spend. Within total advertising expenditure, sport sponsorship is a small but not insignificant component that continues to grow quickly, currently representing around 4% of the total advertising budget. Sponsorship expenditure on individual sport events can be very high, especially for those events with a global audience. The 1998 FIFA World Cup Finals held over five weeks in France attracted 12 global brand names as official sponsors--Adidas, Budweiser, Canon, Coca-Cola, Fujifilm, Gillette, JVC, MasterCard, McDonald's, Opel, Philips and Snickers. Each official sponsor paid 20 million [pounds sterling] to earn the designation "official sponsor". However, it is estimated that the total advertising and promotion expenditures of the 12 official sponsors during the World Cup totalled around 500m [pounds sterling] (Marketing News, July 9 1998). Given its growing importance as a revenue source in sport, it is not surprising that sport sponsorship has become a key area of research within the field of sport management. So far much of the focus of this research has concerned the attractiveness of sport sponsorship as a communications medium. Evidence is accumulating from survey studies of selected cross-sections of corporate sponsors such as Thwaites (1995) on the sponsorship of English professional football and Copeland, Frisby and McCarville (1996) on the sponsorship of Canadian sport at different levels. These surveys provide considerable empirical evidence on general corporate attitudes at a specific point in time to the various aspects of the sport sponsorship process--corporate objectives, the selection process and evaluation. There has, however, been little emphasis in the research on the changing patterns of sponsorship in individual sports over time. Why do specific types of sponsors enter and exit individual sports? A theory of the dynamics of sport sponsorship is required. A first attempt to provide a theory of the dynamics of sport sponsorship is to be found in Slack and Thwaites (1997). They argue that the theory of mimetic isomorphism drawn from organisational theory is applicable to the sport sponsorship process. Mimetic isomorphism is the process by which organisations achieve conformity through imitation. Slack and Thwaites follow Haveman (1993) in suggesting that the dynamics of the imitation process can be modelled as density-dependent. The applicability of the theory of mimetic isomorphism to sport sponsorship has been tested empirically by Scannell (1997) who examined the sponsorship of football clubs in England. Scannell concludes that there is little empirical support for the density-dependence model. The objective of the present paper is to argue that mimetic isomorphism provides a useful starting point but density-dependence is too limited as an explanation of the dynamics of sport sponsorship. A more general theory of the dynamics of sport sponsorship is suggested in which mimetic isomorphism is considered within the context of the exchange relation involved in the sponsorship process. In particular it is suggested that the entry and exit of sponsors from a sport is not only a process of imitation but can also be affected by exogenous changes in the attractiveness of that sport as a sponsorship medium. A general theory of the dynamics of sport sponsorship has considerable practical relevance to sports marketing professionals. Given the importance of sponsorship revenues within sport, it is crucial to understand the reasons for changes in the attractiveness of individual sports to different types of corporate sponsors. A general theory of the dynamics of sport sponsorship can provide a framework for sports marketing professionals to assess why a specific business sector is moving in or out of an individual sport. …

Measuring the Impact of Sponsorship

Abstract: Introduction Sponsors are increasingly concerned about what results they are getting for their sponsorship dollars. In the 1980s when sponsorship was the "hot" marketing tool, corporate involvement boomed. Properties "came-a-callin'" and companies were willing to answer that call. Accountability seemed less an issue than the chance for corporate chieftains to exercise their egos. The chance to sidle up to big name stars or to have one's company associated with a major cause or event, irrespective of the value of that alignment to the company, was often overpowering. As the 1990s draw to a close, the scenario has changed. Big money still chases sponsorships, but with a twist. The value of sponsorships is being called into question much more often than in the past. Every aspect of the marketing mix, from advertising to direct marketing to sales promotion to couponing is under intense scrutiny and sponsorship is no exception. In fact, sponsorships are under a particularly strong microscope. And no wonder. The cost of sponsorship can be staggering. Olympic sponsorship 20 years ago (prior to the Los Angeles games) could be had for $5 to 10 million. Today, rights fees fetch $40 million. World Cup sponsorship in 1996 was upwards of $35 million. Several years ago, Coca-Cola paid a whopping $250 million to be the official soft drink of the NFL. Obviously, many sponsorships are not played out on a nationwide or worldwide stage. Rights fees can be much more modest than the multi-million dollar asking prices described above. Nevertheless, marketing managers still have to justify their allocation of marketing dollars to sponsorship. The cry now heard in more and more corporations is: "Just what are we getting out of these sponsorships, anyway?" Marketing directors and even CEOs are being challenged to justify their forays into event marketing and to quantify the value of their sponsorships. So, how does one go about determining what a sponsorship is doing for a company? How does one determine whether or not a sponsorship is returning anything to the bottom line? It seems to us that one difficulty that event marketers have in trying to figure out just what their sponsorships are doing is that they are either unable or unwilling to find out the answer! In some instances, the feeling is that there is no real accurate gauge for determining success, especially if the sponsorship is pursued as a means of "improving relationships" or "boosting employee morale". These seemingly "soft" criteria are considered by some in the field to be impossible to measure. Yet another reason for avoiding measures of effectiveness is fear! Some event marketers try to avoid solid measurement because they worry that the answer will not be to their liking (a phobia we in the advertising business also suffer from on occasion). They know in their "guts" that the sponsorship was beneficial, but avoid trying to quantify these feelings for fear of being proven wrong. Ironically, the slower we pursue measuring the value of sponsorship, the quicker we may hasten sponsorship's demise. If we do not provide fair and objective estimates of the effects of sponsorship, there may be less money available for sponsorship activities as marketing dollars are allocated elsewhere--perhaps to those areas of marketing that can demonstrate effectiveness. Evaluating a sponsorship is not usually straightforward. * There may be imperfect or even conflicting evidence as to what happened. * There may be a problem deciding what is the relationship between cause and effect. * Because other elements of the marketing mix may be active at the time of the sponsorship, isolating the effects of the sponsorship may be problematic. * Because one sponsorship may work differently from another there may be no all-purpose solution for measuring impact. Despite these problems, we should not give up. …

Audience Characteristics and Event Sponsorship Response: The Potential Influence of Demographics, Personal Interests and Values on Brand Awareness and Brand Image

Abstract: Introduction The corporate practice of sponsoring sporting events has existed since the turn of the century and has recently become one of the fastest growing areas of advertising and promotion (Ukman, 1995). However, despite its long history and current growth, sport (or event) sponsorship has yet to receive the same type of rigorous research attention as other areas of marketing communication (Cunningham & Taylor, 1995; Gwinner, 1997). The body of literature on sport marketing is somewhat disjointed, ranging from research focusing on effects (e.g. Crimmins & Horn, 1996; Javalgi, Traylor, Gross & Lampman, 1994), research that accounts for the influence of audience characteristics, such as demographics, and differences in related attitudes and/or media behaviors (e.g. Burnett, Menon & Smart, 1993; Stipp & Schiavone, 1996), as well as work focusing on specific psychological traits and/or states (e.g. Pavelchek, Antil & Munch, 1988; Tuan Pham, 1992). The research reported here attempts to replicate and extend these previous efforts using data from a two-stage random phone survey to examine audience characteristics impacting consumers' ability, motivation and opportunity (AMO) to process and respond to event sponsorship advertising regarding official sponsors in two product categories from the 1996 Summer Olympic Games. The Olympics have become a highly desired marketing communications vehicle for a number of reasons, including the international scope and appeal of the event, as well its two week duration (Chalip, 1992). Aside from the event telecast, the Games can generate related media coverage that can heighten event interest and provide additional exposure opportunities for its sponsors (e.g. the Coca-Cola torch run). Therefore, the uniqueness of the Olympics, with its relative infrequency, prestige and human drama, provides a potentially large and highly involved audience, with whom brands try to build an affinity by paying large sums to become official sponsors (Schreiber, 1994; Stipp & Schiavone, 1996). And while there is data to support that Olympics sponsorships can be effective (Crimmins & Horn, 1996; Stipp & Schiavone, 1996), little is known about the influence of audience demographics, personal interests and values on such outcomes. Literature Review Sport Sponsorship Corporate sponsorship of a sporting event is a specific form of sport marketing, which is a more general strategy capitalizing on the interests of sport-involved consumers. Sport marketing is usually characterized by advertising (often containing sport-related themes and/or concurrent promotions) placed in and around sport-oriented media. The sponsorship of a specific sporting event, on the other hand, is a quasi-philanthropic practice involving "a cash and/or in-kind fee paid to an event property ... in return for access to the exploitable commercial potential associated with that property" (Ukman, 1995, p.1). Sponsorship rights fees paid across all categories of events worldwide were estimated at $10 billion in 1994 (Ukman, 1995, p. 2), with almost $3 billion accounted for by North American sports sponsorship (Ukman, 1995, p. 14). These figures do not include expenses incurred to leverage these sponsorships with any additional marketing communication support. Sponsorship characteristics can vary in terms of the following factors, all of which are associated with specific communications objectives: * target audience, e.g. consumers, employees, business-to-business; * the type of property sponsored, e.g. arts, causes or sporting events; * the scope of the property's appeal, e.g. international, national, regional, local; * the amount of mediated arena signage exposure, ranging from events with no arena signage, such as the Olympics, to highly-cluttered event venues, such as NHL hockey; * the number of sponsors involved and the level of financial commitment of each sponsor, e. …

Insights into the Roles Adopted by the Recipients of Unsolicited Sport Sponsorship Requests

Abstract: Introduction Sponsorship has become an important component of the marketing communication mix given the potential it offers for achieving a number of objectives (e.g. awareness, sales, image enhancement, and corporate hospitality) and targeting a broad range of constituencies (Crowley, 1991; Irwin and Sutton, 1994). Evidence indicates that firms are becoming more heavily involved in sponsorship, in particular sport sponsorship, and that the diversity of industrial sectors involved in sponsorship activities has also increased (Meenaghan, 1998). For example, it is reported that the global sponsorship market in 1997 was worth an estimated US $18.1 billion (Sponsorship Research International, 1998). In the last ten years the market has more than trebled from a 1987 figure of US $5.6 billion. It is estimated that on average, between 60% and 70% of worldwide sponsorship expenditure is devoted to sport (Sponsorship Research International, 1998). According to Meenaghan (1998) the successful utilisation of sponsorship by early sponsors such as tobacco companies, brewers and motor manufactures has encouraged companies in other industry sectors to enter the market. For example, computer firms, financial institutions, electronics firms, retailers and detergent manufacturers have endorsed this form of communication in recent years. This increased sponsorship by firms is due, in part, to governments in many countries being unable to continue to meet the demands for sports funding. As a result of this, sporting bodies and other organisations have redirected their requests for support to the corporate sector, leading to the growth of sponsorship activity (Berrett, 1993; Slack and Berrett, 1995). Thus, competition for corporate funding has increased and firms nowadays receive large numbers of unsolicited sponsorship requests. For instance, McCook, Turco and Riley (1997) point out that the company, PepsiCo, receives approximately 500 requests per annum. This growth in activity has made it increasingly difficult for organisations to select the most suitable proposal. The selection process is critical, since inappropriate decisions may affect the company's brand and/or corporate image, waste managerial efforts and dilute financial resources. In addition, the cost of association with a sporting activity may represent a significant level of expenditure. For example, Adidas paid 20 million [pounds sterling] just for the right to be one of the official sponsors of the 1998 Football World Cup (Edwards, 1998). Given that a company's resources are finite, a large number of proposals will inevitably be declined. This evidence strongly indicates that sponsorship selection is an area of increasing importance and that those sporting organisations who are able to increase their understanding of the selection process will enhance their chances of creating a successful proposal. One approach that has been used to enhance our understanding of sponsorship choice is to draw upon concepts of the organisational buyer-behaviour literature, since this area is already relatively well developed. This approach promotes the examination of buying centres and the roles played by the members involved in the decision-making process. It helps to explain why and how decisions are taken. Given the overwhelming amount of requests that are rejected, the point of entry into the decision-making process represents a key area. In this respect, a person receiving the original enquiry assumes particular importance as they can, for example, decline a proposal on receipt or, at the other extreme, authorise acceptance. It is surprising that little research has been conducted to investigate the activities of the recipients of sponsorship requests, given their importance in the decision process. The primary purpose of this study is to investigate the activities of the recipients of unsolicited sport sponsorship requests in their role as gatekeepers. …

The Brand Management Efforts of a Niche Specialist: New Balance in the Athletic Footwear Industry

Abstract: Introduction One per cent per year--the overall US market share growth goal recently stated by New Balance CEO Jim Davis (Steven David, Product Marketing Manager, New Balance, personal interview, August 18, 1998). Such a goal would be quite modest for one of its larger publicly owned competitors. But for New Balance Athletic Shoe, Inc, a privately-owned manufacturer in the highly-competitive athletic footwear industry, this represents a significant brand management challenge. No longer can the company be content to serve its loyal base of "baby boomers" (40- to 55-year-olds), it now must court "Generation X" (25- to 35-year-olds). This study illustrates the brand management efforts of a niche specialist, New Balance Athletic Shoe, Inc. Based in Boston, Massachusetts, USA, New Balance is a privately-held corporation whose 1998 estimated revenues of $550 million amounted to less than industry leader Nike spent on advertising in that year. While particular interest is paid to the branding efforts of New Balance, its efforts are analyzed in comparison to those of the three market leaders, publicly-owned corporations Nike, Reebok, and Adidas. This case study is comprised of five sections. The first section provides a brief overview of brand theory. The second section highlights the current status and trends of the athletic footwear industry in the United States. Using brand theory, the third section presents a summary of the brand management practices of Nike, Reebok, and Adidas. Based on this analysis, the fourth section provides a detailed account of how New Balance manages its brand to differentiate itself from its competitors. The case study concludes by offering conclusions about the brand management efforts of a niche specialist in a fiercely competitive industry. While derived from the athletic footwear industry, these conclusions are also salient for the broader sporting goods industry. An Overview of Brand Management The effort to create and manage brands is a practice widely studied by marketers throughout the world. Keller (1998) defines a "brand" as a name or symbol attached to a product that allows for differentiation from similar product offerings. For example, both the Nike name and the ubiquitous swoosh logo are components of the overall Nike brand. The goal of brand management is to continually build on the strength associated with a brand, thus developing brand strength, or equity. The set of assets (both positive and negative) that consumers attach to a particular brand constitute "brand equity" (Aaker, 1991). Many researchers have undertaken efforts to dissect brand equity into different components and dimensions. Perhaps the most widely-accepted model for understanding brand equity was presented by Aaker (1991), who suggested brand equity is comprised of five components: 1) Brand awareness 2) Perceived quality 3) Brand loyalty 4) Brand associations 5) Other proprietary brand assets The remainder of this section will focus on describing these five components as a basis for analysis of brand management practices in the athletic footwear industry. Brand Awareness Brand awareness is the starting point in the development of brand equity. It represents the consumer's ability to recall a brand name when given a product category (Aaker, 1991). For example, when a person is asked to name a brand of basketball shoes, they are more likely to mention Nike, Reebok, Converse or Adidas than they are to name LA Gear or Spalding. According to Keller (1998), brand awareness is important to brand strategy for three reasons. First, awareness of the brand ensures the brand enters the consumer's consideration set when looking to make a purchase. Second, brand awareness can affect choices within the consideration set. If one brand has a larger presence through advertising, it may be considered more favorably. …

Perspective an Interview with Alan Pascoe

Abstract: Introduction Alan Pascoe won European and Commonwealth Games gold medals as a 400 metre hurdler and an Olympic silver medal in 1972 as a member of Great Britain's 4 X 400 metre relay squad After a successful career as an athlete he built his company, API, into one of the largest sport marketing companies in the world API has held the rights to events such as the European Athletics Championships and the Commonwealth Games Their corporate clients have included Visa, Reebok, Lucozade Sports, Lloyds TSB, and Allied Dunbar In 1998 Pascoe sold API and formed a new company Fast Track, which has been appointed by British Athletics to run its televised sports events Here he talks to Trevor Slack of De Montfort University about how he built API, the challenges he sees for Fast Track, and his views on some of the current issues confronting the sport sponsorship and marketing industry TS: Between 1984 and 1998 you built API into one of the most successful sport marketing companies in the world Can you tell me how you were able to do this and what factors contributed to your success? AP: Although I formed APA, Alan Pascoe and Associates, (as it was then) in 1984, in actual fact I had been in the business, working with a company called MSW Promotions, for six years prior to this time 1984 was a watershed in that at the end of 1983 I brought MSW from the owner and re-branded it as APA As a result APA had an existing raft of business and 12 staff when we started out Some of those businesses would surprise people, because they were not sport related For example, I did a huge series of road shows for Fisons Pharmaceuticals which promoted an anti-asthma product and probably that taught me more about the business than any other promotion with which I have been involved It was sort of a finishing school for me because we literally did everything ourselves from devising the promotion, setting it up, taking it on the road, organising the catering, and the demonstrations, right the way through to actually presenting part of the series, bringing in celebrities, doing all the press and PR and wrapping the whole thing up that night, travelling on the next morning, then repeating it all the next day! We eventually did this for 28 venues It still ranks as the most successful marketing and promotional campaign within the pharmaceutical industry in this country Apart from this, we went out and were very successful, very quickly, in establishing the company as the UK's leading operation We beat out IMG and West Nally when we took a 3 million [pounds sterling] risk on the first British Athletics contract We also were successful in introducing Rotary Watches, who'd had a bad experience in motor racing, into ice skating, athletics, and basketball It is still the highest profile the company has ever had and at the same time it established international televised ice skating competitions in Britain and set basketball on the road So we started off with some existing contracts and quickly developed a very broad base of business Gradually I increased the number of the account teams and with that we were able to bring in further quality in terms of the people that ran those parts of the business for me So the key aspects of the company's development, in practical terms, were courage, good sales, calculated risk, and long hours of hard work Behind all of that I always had somebody running the financial side of the company, Edward Leask himself an ex-Olympic sailing competitor Having Edward enabled me to be at the forefront of running the client side of the business, particularly in that first part of the development of what was originally APA and what later became API It enabled me to stay very much up front with the clients, the media and the sports events This was important both from a new business perspective, but also on a day to day operating basis …

Audience Characteristics and Event Sponsorship Response: The Potential Influence of Demographics, Personal Interests and Values on Brand Awareness and Brand Image. (Audience Characteristics and Sponsorship Response)

Abstract: * Keywords: Event Sponsorship, Involvement, Demographics, Values and Interests Executive Summary Paper previously presented to the 1997 American Marketing Association's Special Summer Conference, Dublin, Ireland. The study examines consumer response to event sponsorship, focusing on the effects of demographics, personal interests and values. Although these variables are generally regarded as the strategic rationale behind using a sponsorship strategy, little is known about their role. The corporate practice of sponsoring sporting events has existed since the turn of the century and has recently become one of the fastest growing areas of advertising and promotion. The research reported here attempts to replicate and extend previous sponsorship effects research efforts using data from a two-stage random phone survey to examine audience characteristics impacting consumers' ability, motivation and opportunity (AMO) to process and respond to event sponsorship advertising regarding official sponsors in two product categories from the 1996 Summer Olympic Games. Despite often being classified as non-traditional media, in terms of certain strategic elements, it seems likely that sponsorship operates like traditional advertising in terms of persuading and informing consumers. Consequently, it seems important to use consumer demographic data, in conjunction with information on their personal interests and values, to explain (sports media consumption patterns and advertising response. Data for examining these hypotheses were collected using a two-stage telephone survey design (pre-/post-event). A stratified random sampling technique was used to select a list of names and telephone numbers for adults 18 years of age and olden Potential respondents represented each of the 48 contiguous United States, according to each state's proportion to the total US population. The pre-event stage of the survey was conducted beginning June 12, 1996 and concluded one month prior to the opening ceremonies of the 1996 Summer Olympic Games. The second stage of the survey began on August 5, 1996, following the closing ceremonies and continued for two weeks. Data were analyzed using both linear and logistic regression, in addition to chi-square. All of the hypotheses received at least partial support. For example, respondents' patriotism and general interest in spectator sports significantly affects their involvement with the Olympics, which subsequently influences the hours they spend viewing the telecast and their ability to link sponsors to the event. Their ability to link a sponsor's brand to the event significantly impacts brand image for sponsors in both of the product categories examined here (as it did with brand awareness for the soft drink sponsor). Results also suggest that both sponsors enjoyed an advantage over their competitors, in terms of brand awareness. Overall, the results suggest that consumers, the significant majority of whom are likely to be sports spectators, may indeed be open and responsive to marketing communications in a sports context. As with traditional advertising, demographics, personal interests and values all seem to play an important part in this process. For example, in terms of demographic variables, gender is found to have a significant impact upon total hours respondents spent viewing the event telecast, along with post-event brand awareness for both sponsors and post-event brand image for the official credit card sponsor. Age is negatively related to their ability to link the official credit card sponsor to the event, with older consumers being less likely to make the link. Education significantly impacts post-event brand awareness and post-event brand image for official sponsors in both credit card and soft drink categories. Introduction The corporate practice of sponsoring sporting events has existed since the turn of the century and has recently become one of the fastest growing areas of advertising and promotion (Ukman, 1995). …

Assessing the public profile of major sports events : a case study of the European Short Course Swimming Championships.

Abstract: The paper assesses the public profile of a major sport event through television evaluation. Because bids to host international events are often dependent on public subsidy, which requires that the event is considered high profile, a model for profile evaluation is necessary. The research concentrates on the European Short Course Swimming Championship staged in Sheffield (UK) in December 1998. It analyses the audience size, percentage share and television rating of the event in four countries across Europe. The results show some surprising findings for what is considered to be a minority sport such as viewing figures eclipsed those of some international rugby matches as well as prestigious events in rugby league and cricket. It demonstrates that such events have a stronger than expected value to sponsors and that such a profile assessment is a useful tool for future bidding strategies.

Is It Possible To Replace A Successful Sponsor

Abstract: Keywords: Replacing Successful Sponsors Executive Summary As the sponsorship industry matures, many firms are facing the prospect of having to replace well-established, successful sponsors This can be seen as problematic both by the property owner tying to persuade a new partner that a sponsorship agreement can offer a significant return on investment, and the firm looking for an opportunity to enter into a sponsorship agreement is it, however; as significant a problem as it appears? The issue for management in this situation is that many of these events have become victims of their own success In some cases, although a number of different sponsors have supported the event over several years, one sponsor has made a particularly outstanding impression, such as confectionery giant Mars with the London Marathon in other situations just one sponsor has dominated over an extended period, as has been the case with Beefeater Gin and the Oxford and Cambridge Boat Race This paper looks at the nature of each of these relationships to assess how, in each case; the situation has been addressed The London Marathon case was unusual in that the most recognised sponsor, Mars, was not in fact the last one chronologically to support the event The brand, however, has enjoyed many years associated with the Marathon for the simple reason that it delivered against the two most critical criteria; synergy between the event and the brand, and a successfully targeted exploitation Several sponsors down the line, Flora took on the opportunity having also identified a perfect fit between exercise and healthy lifestyle The brand then proceeded to integrate the event into all areas of the marketing mix to form a central theme for their annual brand planning and thereby create a programme focused on specific communication needs Different objectives were set each year to keep the relationship fresh and allow it to evolve but, most importantly, on-going research has been implemented feeding back on a regular basis to judge performance against objectives The findings of the research have enabled the team to assess where the programme is working most effectively and develop the programme accordingly It has also allowed the brand to react quickly to opportunities such as the chance to work with the Diana Memorial Fund in 1998 Combining these factors has encouraged Flora to renew the contract twice and still continue to reap rewards from their investment City of London fund managers Aberdeen Asset Management used similar techniques to address the issue of Beefeater's domination of the Boat Race The event and its public profile and values presented the company with a huge opportunity to leverage the reputation of a relatively unknown brand In a period of just weeks, Aberdeen created a campaign that allowed the firm to address the need to increase the awareness of the company and its inherent values to a very specific audience Research was again key in setting benchmarks as well as the need for quick relationship building with media that had traditionally supported the event, such as the BBC and national press A vital, but often ignored, audience of employees was also directly targeted ensuring that the event is supported both at home and abroad by what are, it is hoped, the sponsor's greatest advocates In both cases, the synergy between event and sponsor together with clear objective setting, careful on going analysis of activity, and investment in exploitation have proven to be the fundamental elements to the success of the programme Is It Possible to Replace A Successful Sponsor? The sponsorship industry is still in its relative infancy, particularly when compared with PR, advertising and other elements of the marketing mix As it matures, however, many sponsors, encouraged initially to develop long-term alliances, are at the stage of terminating their contracts, often after long and successful relationships …

The Institute of Sports Sponsorship: Its Role in an Evolving Industry

Abstract: Keywords: Market Trends, Recent Research, Problems for Smaller Sports Introduction The Institute of Sports Sponsorship (ISS) was founded in 1985 to represent the interests of a number of companies involved in the rapidly evolving business of sports sponsorship. Since that time, and with the growth in size and complexity of the sponsorship market, the Institute's membership has grown and its range of activities has developed. Membership is open to sponsoring companies and to service providers in fields such as sponsorship consultancy, research and legal advice. The objectives of the Institute are to represent members' interests to government, to sport, the media and other key audiences and to raise the understanding, profile and esteem of the business of sports sponsorship. The development of our role has run parallel with the growth of the business of sports sponsorship, from [pounds sterling]30 million in 1980 to [pounds sterling]353 million in terms of contract fees (IPSO-RSL Sportscan, 1998). In this time we have also seen an increasing recognition by sport that it needs to better understand this potential source of income and to partake more professionally in the business. Our members' interests are well served by any raising of this professionalism. The ISS has a mission to promote the interests of individual sponsorship practitioners working within sport and commerce. By raising the profile of sponsorship and by improving understanding of its value, we can help ensure that executives working in this field are accorded the same regard and status as colleagues in allied specialities such as advertising and public relations. We also have an important role to play in the development of training and education programmes for those already in the business and for those contemplating entry. Discussions are currently underway with related bodies, such as the European Sponsorship Consultants Association (ESCA) and the Incorporated Society of British Advertisers (ISBA) to develop appropriate educational literature, one-off seminars and introductory courses and also longer-term programmes. We would welcome the opportunity to work in partnership with appropriate academic institutions in the development of these activities. Defending rights A number of our member companies are in so-called "sensitive" industries for sponsorship, including tobacco and alcohol. We represent their interests and defend their rights to market legal products in a responsible way. In the case of tobacco we have to accept that sponsorship will be phased out by legislation by 2003 for most sports and by 2006 for "global" sports. Our interest now is in helping sport to manage that transition - not just those sporting bodies directly affected but those others which may suffer indirect effects. I sit on a government task force which seeks to help sport replace tobacco sponsorship and I know that the loss of [pounds sterling]8-10 million a year (excluding investment in Formula 1) from the overall market place can cause market distortions. How much greater distortions would be caused by the loss of sports sponsorship by alcoholic drinks' brands -- estimated to account for [pounds sterling]50-60 million annual spend on contract fees alone? Happily, I do not believe that alcohol sponsorship is under threat of a ban and the companies involved can point to a good record of voluntary restraint and responsibility in the execution and exploitation of their sponsorships. However the industry cannot be complacent for there are lobby groups in Europe who would argue for restrictions and reductions. The ISS will resist strongly in the interests of sport as well as commercial freedom. Much of the work of the ISS is focused at the "top" end of sport, representing the interests of members such as Coca Cola, Bass, and Lloyds TSB who are involved in high-profile and expensive sponsorship activities at national and international levels. …

Insights into the Roles Adopted by the Recipients of Unsolicited Sport Sponsorship Requests. (Recipients of Sport Sponsorship Requests)

Abstract: * Keywords: sport sponsorship, unsolicited requests, buying centre, gatekeepers Executive Summary Evidence indicates that competition for sport sponsorship has increased and firms are receiving large numbers of unsolicited requests. Firms receiving sponsorship requests find themselves spending more time and effort in replying to proposals, and sporting bodies seeking sponsorship are faced with higher levels of rejection. These changing circumstances mean that understanding how decisions are taken, once requests are submitted, is an issue of increasing importance to both practising managers and sponsorship seekers. In this context, the recipient of the sponsorship request assumes particular importance as this individual can decline a proposal on receipt, or at the other extreme, authorise acceptance. Surprisingly, despite this key role, little research has been conducted to investigate the activities of the recipients of sponsorship proposals. This study seeks to address this deficiency by using concepts from the organisational buyer-behaviour literature to investigate the activities of the recipients of u nsolicited sport sponsorship requests in their role as gatekeepers. The study addresses the following two research questions: how do companies manage unsolicited sports sponsorship requests; can different types of gatekeeper roles be found within a firm? Given the paucity of studies investigating these issues, exploratory research was undertaken using qualitative techniques. Semi-structured in-depth interviews were conducted with representatives of 14 companies involved in sponsorship activities in the United Kingdom. Findings confirmed that firms receive large numbers of sponsorship requests that are often too long, too descriptive and not tailored to the needs of the target companies. Findings also revealed that the role of the gatekeeper comprises several activities including initial screening, filing, replying to requests, and highlighting the key benefits of the request before a sponsorship meeting. The study identified six different types of gatekeeper role, distinguished in terms of the activities they undertake, and the power and influence they have over the final decision. These roles are labelled as conduit, standby / understudy, orientator, orchestrator, outsider, and authoriser. The study highlights several implications for practising managers and sponsorship seekers. Practising managers need to recognize that in order to reduce the number of requests they receive and increase the likelihood of proposals suiting their objectives, they need to provide guidance to potential sponsorship seekers. This can be done through clear communication of objectives, the naming of a recipient of sponsorship requests, and explicit dissemination of information regarding decision timetables. In addition, they must examine and reflect on their selection processes and assess each type of gatekeeper role. Sponsorship seekers need to conduct investigations into their target companies during the development of their proposals and to develop a clear understanding of the role of the gatekeeper in the decision process. Establishing a good working relationship with these individuals may increase their chances of being supported. Introduction Sponsorship has become an important component of the marketing communication mix given the potential it offers for achieving a number of objectives (e.g. awareness, sales, image enhancement, and corporate hospitality) and targeting a broad range of constituencies (Crowley, 1991; Irwin and Sutton, 1994). Evidence indicates that firms are becoming more heavily involved in sponsorship, in particular sport sponsorship, and that the diversity of industrial sectors involved in sponsorship activities has also increased (Meenaghan, 1998). For example, it is reported that the global sponsorship market in 1997 was worth an estimated US $18.1 billion (Sponsorship Research International, 1998). …