Presented by:

Gaurav sharma
Sponsorship is a process by which a
company, organisation or individual
provides an individual organisation with
funds, products or services for commercial
advantage.

Sponsorship is a business relationship and

should be mutually beneficial to the
sponsored individual and the sponsoring
company.

Most companies seek a return to their

support or investment, ranging from
goodwill within the community to more
complex benefits such as media exposure,
increased sales and brand awareness.

Sponsorship is about building a long term

relationship. The longer it lasts, the more
its worth.
• There are many different reasons why companies enter the
sponsorship marketplace, ranging from brand awareness to
satisfying a Chief Executive’s personal passion!
• Here are a few of the most common objectives that companies
seek from sponsorship programme:
• To increase sales
• Develop customer loyalty
• Heighten brand awareness
• Develop new market
• Develop business to business relationships
• Launch new brands
• Broaden customer base
• To develop community relations
• To change or revitalise brand image.
• The bulk of major sports sponsorship deals in the UK and
Europe are shared amongst the following industry sectors:
• Automotive
• Consumer Electronics
• Clothing
• Information Technology
• Fast Moving Consumer Goods (FMCG)
• Tobacco
• Alcohol
• Financial Services

• These are not the only industries and athletes may have to
think outside the box for companies to approach.
• Brand/Corporate image: attempts to create a personality and style
which distinguishes a product from another in the market and allows,
for example, premium pricing.

• Customer relations: sports sponsorship can open dialogue

between companies, showing the sponsor as a global player worthy
of recognition and suitable to do business with. Sponsorship can
also provide suitable hospitality vehicles to meet and do business
with clients.

• Employee relations: sports sponsorship can encourage company

pride and loyalty to help attract and retain staff.

• Community relations: sponsorship can show that a company cares

about it community and is prepared to invest in its future and the
welfare of its citizens.

• Brand/Corporate awareness: seeks to put a name in front of the

consumer so that he will give it favourable recognition when exposed
to other, specific marketing messages.
• The biggest sponsorship deal in football belongs to
Juventus.

• They get £15m a year.

Manchester United now have the

second largest sponsorship in the world
behind that of Italian side Juventus, who
have a deal with Tamoil worth in excess
of £15 million per year.
• AIG - Official kit sponsor
• Nike - Official kit manufacturer
• AirAsia - Official airline
• Audi - Official automobile and dugout seat provider
• Betfred - Official gambling partner
• Budweiser - Official beer
• Tourism Malaysia
• On 23 November 2005 Vodafone ended their £36 million,
four year shirt sponsorship deal with Manchester United.
• Manchester United now have the second largest
sponsorship in the world behind that of Italian side
Juventus, who have a deal with Tamoil worth in excess
of £15 million per year.
For the Sponsor

• PUBLICITY –The sponsor's name will be brought to the attention of the public.
An event may be named after the sponsor, or the sponsor's name will be
prominently displayed on advertising boards or on the shirts of the players. The
sponsor's name will be seen on the TV and in newspapers, and will be heard
on the radio and in everyday conversation.

• FINANCIAL - Companies who put money into sponsorship are able to reduce
their tax bill.

• IMAGE - It is good for a sponsor's image to be linked with a popular, healthy

pastime like sport. It is also good to be associated with success (e.g. if a great
athlete like Steve Cram is seen to be wearing Nike running shoes, then people
will assume that Nike shoes are the best and will buy them). Companies will
pay the top athletes many thousands of pounds to wear their goods.
FOR THE SPORT

• EXTRA INCOME - In professional sport, sponsorship means that big prize money can be paid and
events can be organised on a very large scale without the spectators having to pay huge admission
prices. In amateur sport, sponsorship often means the difference between an event or team surviving
or having to fold. The extra income can be used to pay for new kit, or for transport costs which
otherwise would be too expensive for the players to afford. Other expensive items are league entry
fees and registrations, hire of facilities and payment of referees. Some or even all of these items may
be paid for by the sponsor.

• RAISES STANDARDS - If a team is sponsored it may attract more or better players, thus raising the
quality of the team. If an event is sponsored it will be better organised and may be able to expand to
allow more teams/players to take part. Sponsorship often means a team or athlete can receive high
quality coaching. In some cases sponsorship has allowed athletes to give up full-time work and
concentrate on their sport. The top track and field stars are able to do this. Skaters torvill and dean
were able to become world champions after Notts County Council's sponsorship enabled them to
give up work.

• STATUS - Being sponsored gives a team status. If a company is prepared to give money to a team,
then people will tend to think that the team must be a
THANK YOU