Marketing Communications - Chapter 19 ppsx

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All rights reserved.
PowerPoint Presentation by Charlie Cook
The University of West Alabama
Eighth Edition
Event and Cause
Sponsorships
CHAPTER
19
1. Understand event sponsorships and how to select
appropriate events.
2. Appreciate the reasons underlying the growth of event
sponsorships
3. Know what factors a company should consider when
selecting an event to sponsor.
4. Understand how and why companies ambush events.
5. Appreciate the importance of measuring sponsorship
performance.
Chapter Objecves
After reading this chapter you should be able to:
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6. Recognize the nature and role of cause-related
marketing (CRM).
7. Appreciate the benefits of CRM programs.
8. Understand that accountability is a key consideration
for cause-oriented as well as event-oriented
sponsorships.
Chapter Objecves (cont’d)
After reading this chapter you should be able to:
© 2010 South-Western, a part of Cengage Learning. All rights reserved. 19–3
© 2010 South-Western, a part of

Cengage Learning. All rights
reserved.
19–4
Sponsorship Marketing
Sponsorship Marketing
•
Sponsorship
Sponsorship

Is an exchange between a sponsor [such as a brand]
Is an exchange between a sponsor [such as a brand]
and a sponsee [such as a sporting event] whereby
and a sponsee [such as a sporting event] whereby
the latter receives a fee and the former obtains the
the latter receives a fee and the former obtains the
right to associate itself with the activity sponsored
right to associate itself with the activity sponsored

Is the marketing of the association by the sponsor
Is the marketing of the association by the sponsor

Both activities are necessary if the sponsorship fee is
Both activities are necessary if the sponsorship fee is
to be a meaningful investment
to be a meaningful investment
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Cengage Learning. All rights
reserved.
19–5
Why the Growth in Sponsorships

Why the Growth in Sponsorships
•
Sponsorships
Sponsorships

Help firms to avoid the clutter in advertising media
Help firms to avoid the clutter in advertising media

Help firms respond to consumers’ changing media
Help firms respond to consumers’ changing media
habits
habits

Help firms gain the approval of various constituencies
Help firms gain the approval of various constituencies

Can enhance brand equity by increasing consumer
Can enhance brand equity by increasing consumer
awareness and by enhancing the brand’s image
awareness and by enhancing the brand’s image

Enable marketers to target their marcom efforts to
Enable marketers to target their marcom efforts to
specific geographic regions and lifestyle groups
specific geographic regions and lifestyle groups
© 2010 South-Western, a part of
Cengage Learning. All rights
reserved.
19–6
Event Sponsorship

Event Sponsorship
•
Event Sponsorship
Event Sponsorship

Is a form of brand promotion that ties a brand to a
Is a form of brand promotion that ties a brand to a
meaningful athletic, entertainment, cultural, social, or
meaningful athletic, entertainment, cultural, social, or
other type of high-interest public activity
other type of high-interest public activity
•
Factors in Selecting Sponsorship Events
Factors in Selecting Sponsorship Events

Image matchup
Image matchup

Target audience fit
Target audience fit

Sponsor misidentification
Sponsor misidentification

Clutter
Clutter

Complement other marcom efforts
Complement other marcom efforts


Economic viability
Economic viability
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Cengage Learning. All rights
reserved.
19–7
Event Sponsorship (cont’d)
Event Sponsorship (cont’d)
•
Creating Customized Events
Creating Customized Events

Choosing to develop events rather than sponsoring
Choosing to develop events rather than sponsoring
existing events
existing events

Provides a brand total control over the event
Provides a brand total control over the event

Can be more effective but less costly
Can be more effective but less costly
•
Ambushing Events
Ambushing Events

Occurs when companies that are not official
Occurs when companies that are not official
sponsors undertake marketing efforts to convey the
sponsors undertake marketing efforts to convey the

impression that they are
impression that they are
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Cengage Learning. All rights
reserved.
19–8
Event Sponsorship (cont’d)
Event Sponsorship (cont’d)
•
Measuring Success
Measuring Success

The brand marketer must specify objective(s) that the
The brand marketer must specify objective(s) that the
sponsorship is intended to accomplish.
sponsorship is intended to accomplish.

In measuring the results, there has to be a baseline
In measuring the results, there has to be a baseline
against which to compare some outcome measure.
against which to compare some outcome measure.

This baseline is typically a premeasure of brand awareness,
This baseline is typically a premeasure of brand awareness,
brand associations, or attitudes prior to sponsoring an event.
brand associations, or attitudes prior to sponsoring an event.

Measure the same variable (awareness, associations,
Measure the same variable (awareness, associations,
etc.) after the event to determine whether there has

etc.) after the event to determine whether there has
been a positive change from the baseline level.
been a positive change from the baseline level.
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Cengage Learning. All rights
reserved.
19–9
Cause Sponsorships
Cause Sponsorships
•
Cause-Related Marketing (CRM)
Cause-Related Marketing (CRM)

Entails alliances that companies form with nonprofit
Entails alliances that companies form with nonprofit
organizations to promote their mutual interests.
organizations to promote their mutual interests.

Based on the idea that a firm will contribute to a
Based on the idea that a firm will contribute to a
cause every time the customer undertakes some
cause every time the customer undertakes some
action that supports the firm and its brands
action that supports the firm and its brands
•
Requirements for Successful CRM
Requirements for Successful CRM

Fit
Fit

—Does t
—Does t
he brand naturally related to the cause?
he brand naturally related to the cause?

Accountability
Accountability
—Will t
—Will t
he CRM yield sufficient returns
he CRM yield sufficient returns
on investment or achieve non-financial objectives
on investment or achieve non-financial objectives
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Cengage Learning. All rights
reserved.
19–10
Cause Sponsorships (cont’d)
Cause Sponsorships (cont’d)
•
Benefits of Cause-Related Marketing (CRM)
Benefits of Cause-Related Marketing (CRM)

Enhances corporate or brand image
Enhances corporate or brand image

Thwarts negative publicity
Thwarts negative publicity

Generates incremental sales

Generates incremental sales

Increases brand awareness
Increases brand awareness

Broadens customer base
Broadens customer base

Reachs new market segments
Reachs new market segments

Increases sales at retail level
Increases sales at retail level
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Cengage Learning. All rights
reserved.
19–11
KitchenAid’s
CRM Program
Figure 19.1
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Cengage Learning. All rights
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19–12
Tyson’s
Share Our Strength
CRM Program
Figure 19.2
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Cengage Learning. All rights

reserved.
19–13
Nabisco Brands CRM program required
a Ritz-brand proof of purchase
Figure 19.3