How accessible is corporate sponsorship?
When you think of corporate sponsorship, large firms sponsoring major events might spring to mind. But is it accessible to small to medium sized businesses?
Corporate sponsorship is a type of advertising where businesses pay to be associated, or sponsor, certain events. Over recent years corporate sponsorship has been growing rapidly, even faster than the entire amount of corporate advertising in the 1990s.
Most of the large events are obviously sponsored by large companies. However, one of the reasons for the increase in corporate sponsorship is down to small to medium sized companies becoming involved. Up until quite recently, only large firms could afford the outlay to sponsor events. But today’s small to medium sized firms now sponsor everything from local football and rugby teams to business showcase events and awards ceremonies to help boost their profile in the local area and beyond.
Businesses can benefit from sponsorships in a multitude of ways. Harvey Meyer, a regular contributor to Nation’s Business lists a wide range of possible benefits:
“[Sponsorships] can enhance a company’s image and visibility; differentiate the company from competitors; help develop closer relationships with current and prospective customers; showcase products and services; unload obsolete inventory; and allow the company to compete more effectively against bigger firms that have much larger advertising budgets. In addition, tickets to sponsored events can be used as incentives for employees, vendors, and customers and to promote worker loyalty. And proponents say that if sponsorships are well-conceived and strategic, they can boost sales—both long-term and short-term—as they improve the community through the events they support.”
In addition to the financial and awareness benefits, corporate sponsorship of a non-profit organisation can also bolster community relations. A good community relations program can provide a reason for employees to be proud of the business. Also staff retention rates might improve, and it might be easier to attract sought-after, highly qualified employees to join the business. Small businesses can also make new contacts in the endeavours that can help in the future.
To conclude, small to medium sized companies will find that corporate sponsorship is very accessible and beneficial depending on what the individual business’s aim is. There’s a wealth of opportunities in this field of marketing for companies in all industries.
Read and comment on the original Inc. article.