Here is our five-step process to help you decide what to sponsor and how to get the most from your investment:
 

1. Define the sponsorship objectives: Before diving into sponsorship opportunities, it’s crucial to outline clear objectives. What do you hope to achieve with your sponsorship? Common goals include raising brand awareness, building or enhancing brand image, promoting a new product, or demonstrating corporate social responsibility. For instance, a company aiming to highlight its commitment to sustainability might sponsor an environmental event or a green initiative. Clearly defined objectives will guide your sponsorship decisions and help measure the success of your investment.

2. Agree the strategy: Once the objectives are set, the next step is to develop a strategy that aligns with your broader marketing activities and business goals. How will the sponsorship complement your current marketing efforts? If your business is launching a new product, you might choose sponsorship opportunities that allow for product demonstrations or sampling. Ensure that your sponsorship strategy integrates seamlessly with your existing marketing campaigns to create a cohesive brand message. 

3. Define the target audience Understanding your target audience is pivotal in selecting the right sponsorship opportunities. Who are you trying to reach? What are their interests and where are they most likely to engage with your brand? For example, if your target audience consists of young, active individuals, sponsoring a local sports team or event might be more effective than sponsoring a business conference. Tailoring your sponsorship to the preferences and behaviours of your target audience will enhance engagement and maximise the impact of your investment..

4. Develop the tactics: With your objectives, strategy, and target audience in place, it’s time to get into the tactical details. Decide what type of event or cause to sponsor – sports, arts, education, business events, etc. Establish a budget that considers not only the sponsorship fee but also the ancillary costs such as promotional materials and event activation. Additionally, ensure that the timing of the sponsorship aligns with your business calendar. For instance, sponsoring an event during your peak sales season might yield better results than during a quieter period.

5. Consider what resources: Successful sponsorship requires more than just financial investment. Evaluate the resources needed to activate and leverage your sponsorship fully. This includes additional PR and marketing efforts to publicise your involvement, potential impacts on staff time for event planning and execution, and opportunities for corporate hospitality. For example, a sponsorship deal might offer opportunities for your team to host clients at the event, providing a valuable networking platform. Ensuring you have the necessary resources to support your sponsorship will help you maximise its benefits.

Whether you choose to sponsor a local roundabout, a community football team, a leading trade event, or a national TV show, following this process can help you derive significant value from your sponsorship investment. By clearly defining your objectives, aligning your strategy with broader business goals, understanding your target audience, planning detailed tactics, and ensuring adequate resources, you can create impactful sponsorships that enhance your brand and drive business success. Even without the mega budgets of global giants, strategic sponsorship can yield substantial rewards, helping you build brand awareness, foster positive associations, and ultimately drive growth.