A Blueprint for Strategic Sponsorship

By Janus Kodadek

Executive Summary
Given the authentic passion and loyalty that many consumers possess for sport, music, art, and
entertainment, marketers have long embraced sponsorship as a means to develop brand equity.
Most early sponsorships were driven by Chairmans whim, and focused on gaining exposure and awareness,
often through logo displays and branded signage. For many organisations, this is still the dominant approach,
but more commonly, contemporary sponsorships attempt a more integrated approach, with a focus on
consumer engagement and the achievement of multiple objectives, short and longer term.
Sponsorship remains an important option in a marketers toolkit, with new approaches that address and
capitalize on the changing market context. Moreover, used strategically, sponsorship can offer a competitive
advantage in the current market environment.
This report outlines a five-step blueprint to guide marketers in creating effective strategic sponsorship
platforms. Drawing on diverse perspectives, this methodology offers a holistic approach that incorporates
best practice principles from integrated marketing communications; experiential and digital marketing; service
dominant logic; brand and sponsorship strategy; and real world insights from a range of senior-level brand
marketing and sponsorship professionals, coupled with illustrative case studies of innovative sponsorship
activations.

Authenticate: Clearly define goals and objectives for the sponsorship, leading with strategic
business objectives. Anchor the sponsorship in consumer insight to ensure that the sponsorship
platform is relevant and authentic to the target consumer base.

Correlate: A strategic sponsorship platform requires fit for p urpose, that is, congruence
between the strategic objectives set forth in the first step and choice of partner. Such fit will
ensure the relationship will deliver the raw materials needed to achieve success. Foster a true
partnership, ensuring that the strategic goals of both parties are viewed as equally important.
Based on reciprocity, the sponsor-rights holder relationship becomes a marketing alliance rather
than a transactional arrangement.

Collaborate: Assets and activations that are created collaboratively between sponsor and rights-
holder enable the brand to use the property as a conduit through which it connects with the
target audience. This allows the brand to create a b ond with the audience, rather than simply an
association with the property.

Activate: Having completed the planning process, activation is where the sponsorship comes to
life for the consumer, offering the opportunity to innovate products and services, foster
differentiation, communicate a brands proposition, stimulate consumer engagement and co-
creation.

Evaluate: In a strategic approach, evaluation should focus on determining if pre-existing
objectives have been achieved.

Blueprint for Strategic Sponsorship

Introduction

The whole reason you go into a partnership is to do something different from the normal channels.
The modern consumer has so much grasping his/her attention that you have to have added value,
and partnerships are a great way of finding that added value.
Managing Director, Sponsorship Agency

Given the authentic passion and loyalty that many consumers possess for sport, music, art, and
entertainment, marketers have long embraced sponsorship as a means to develop brand equity.
Most early sponsorships were driven by Chairmans whim, and focused o n gaining exposure and awareness,
often through logo displays and branded signage. For many organisations, this is still the dominant approach,
but more commonly, contemporary sponsorships attempt a more integrated approach, with a focus on
consumer engagement and the achievement of multiple objectives, short and longer term.
Sponsorship remains an important option in a marketers toolkit, with new approaches that address and
capitalize on the changing market context. Moreover, used strategically, sponsorship can offer a competitive
advantage in the current market environment.
Since the mid-1990s, rapid innovations in technology and widespread access to the Internet have profoundly
altered marketing communications, shifting power from the marketer and channel to consumers. This change
has given consumers unprecedented control over the messages they receive and the ability to avoid those
messages that are unwelcome. Traditional marketing communications tactics, where messages are simply
pushed at consumers, have become increasingly less effective as consumers embrace the opportunity to be
active participants in defining their relationship with brands. As access to information has democratized,
media has become fragmented.
Many brands have embraced the concept1 that the perception (or value) o f a brand is jointly created based
on both what the brand communicates about itself, as well as the consumers own experience of the brand.
Also called co-creation, this occurs whenever consumers interact with a companys touch points or
products. Sponsorships can provide experiences and messages that can be used to enrich consumers own
interpretation (co-creation) of the brand.
Experiences are inherently personal and unique to each individual, subject to interpretation and affect based
on that persons collective knowledge and past experiences. If a consumer experiences a brand in a
memorable way (positive or negative), he o r she is more likely to share the experience and take action. An
experience cannot be skipped over like a television commercial. The ultimate goal is to create marketing that
does not feel like marketing, where the brand resonates as a relevant and authentic part of a consumers life.
Todays sponsorship is both strategic and versatile; it can drive a brands entire marketing program, propel
strategic value for an organisation, be centred at the heart of employee engagement programs and reduce
costs through partner synergies.
1

Service Dominant Logic: Customers are no longer seen as buying goods or services, but rather products that provide a service.
The value of that service is determined by and dependent on need and consumer experience. For example, a customer would
buy a pen, however according to service dominant logic, the customer is actually purchasing an instrument to enable him or her
(or another consumer) to write. The value of that instrument is dictated by both need (real or perceived) and the unique
experience of using that instrument. This redefines value as co-created between the brand, product and consumer.

Blueprint for Strategic Sponsorship


Brands first tried to talk to consumers while they were walking down the road. Then the savvier brands
thought we need to interact with these people. Now, its moved beyond that, where consumers are
deciding what brands do and how they operate. So, the savviest brands are looking first and foremost to
their consumers and trying to understand their consumers through the medium of social media which is
even easier to do now. Then they can twist their own activities to that, to function to that, to co-create.
Thats why sponsorship is great its great for co-creation.
Managing Director, Marketing Agency

A Blueprint for Strategic Sponsorship

The following outlines a five-step blueprint to guide marketers in creating effective strategic sponsorship
platforms (Figure 1). Drawing on diverse perspectives, this methodology offers a holistic approach that
incorporates best practice principles from integrated marketing communications; experiential marketing;
service dominant logic; brand and sponsorship strategy; and insights from a range of senior-level brand
marketing and sponsorship professionals.
The steps that follow should be considered fluid and not necessarily linear. As an organization goes through
the strategic process, new ideas will likely arise, requiring that the organisation reiterate the relevant steps as
needed.

Figure 1: Blueprint for Strategic Sponsorship

Blueprint for Strategic Sponsorship

AUTHENTICATE

Lead with Business Objectives

The organisation must clearly define goals and objectives for the sponsorship a seemingly obvious step that
is sometimes overlooked. A starting point would be analysing overall organizational goals, strengths, and
needs in light of what outcomes the sponsorship could deliver (Figure 2).












Figure 2: Some potential outcomes of strategic sponsorship

By linking sponsorship objectives to delivering on overall organisational objectives, the sponsorship will
directly support (and become a driver of) the organisations value creation strategy.

Through partnerships you can reach more customers

For example, if expansion of the brands global
than
you wouldve done on your own. You can get into
footprint is identified as an o rganisational goal,
categories and pick up attributes that will allow you to
corresponding sponsorship goals might be gaining
create future platforms. You can migrate to future
access to new markets or channels, and/or
areas and share knowledge, R&D, etc.
inspiring new product and service lines relevant to
Director, Strategy Agency
those markets. Partnering with another entity that
has established equity within a desired target
market may shorten or circumvent the process of developing brand awareness. Alternatively, having
developed equity and expertise in those markets, the partnered entity could provide critical market
intelligence. These advantages, in turn, may allow the organisation to expand more rapidly into this new
Blueprint for Strategic Sponsorship

market, providing inroads, incremental marketing exposure and ultimately gaining new customers.
The most cost-effective sponsorships platforms will
achieve multiple goals for the organisation externally
and internally. For example, Marketing might focus
on building relationships with customers through the
sponsorship, while Human Resources could use it to
encourage employee loyalty, thereby improving
workforce retention.

Rights holders who have a strategic vision and want to

achieve success in different parts of the world will look
beyond the cash to certain brands, understanding the
value they bring over and beyond the cash. We have no
representation in a lot of the markets in which we want
to grow. Partners are key to gaining access, fully
aligned with our global marketing plan.
Marketing Director, Sport Rights Holder

In order to achieve multiple goals, it is necessary to

secure buy-in from a range of internal stakeholders (Board, management and employees), and commitment to
use the sponsorship within their own functional area. Their departmental needs and concerns must be
understood and addressed and, whenever possible, their requests represented in negotiations of rights and
assets. By considering these opportunities from the very beginning, internal stakeholders can become key
ambassadors for the sponsorship, thereby reducing friction, fostering support and encouraging ideas and
utilisation from across the business.

Ground the Sponsorship in Consumer Insight

Anchoring the sponsorship in consumer insight at the onset will ensure that the sponsorship platform is
authentic and relevant to the target consumer base. Using deep knowledge about the target consumer as a
foundation to guide sponsorship choices should inspire potential sponsorship properties and activation
programmes to consider.
If a sponsoring organisation has truly intimate insights into the target market, it can develop initiatives that
deeply engage consumers, fostering brand connection and loyalty. To get the needed depth of insight, brands
will need to look beyond demographic surveys and syndicated research. Such insights include psychographics,
an understanding of customer motivations, self-definitions, group norms, and peer influences; as well as an
honest appraisal of the customers psychological relationship and experience with the brand, property and
competitor brands.

Property Creation

Property creation is an increasingly attractive and innovative alternative to a traditional sponsorship platform
especially in crowded markets and with brands
The most innovative ideas come, not from sponsorship,
seeking to utilize their consumer insight to build
but rather property creation. Tapping into the
customer intimacy or show that they are
authentically entrenched in a subculture.
personality of the audience and creating a [property]

that reflects that personality Brands are moving more
Creating a proprietary brand property, such as a
into ownership, event creation and experiential.
grassroots sport competition or insider content
Creation, full stop. Not feeling the need for a traditional
series can be very resource intensive and may not
partnership to secure what they think they want to do.
be an appropriate or feasible solution for every
Entertainment Director, Integrated Agency
brand.

However, property creation offers a brand many benefits: total ownership over implementation; control over
every element of the experience; potential to offset some of the financial liability by selling sponsorships to
non-competitive brands; and reducing risk by allowing the brand to fully control the choice of o ther brands
affiliated with the property, reducing access to non-compatible partners.
Blueprint for Strategic Sponsorship

Case Study | Gatorade REPLAY

Utilising Consumer Insight to Create Passion-driven
Marketing Programs

In January 2009, Gatorade created an event reuniting the original players of
two rival American high school teams (now in their mid-30s) to replay the tied final game from their senior
year, breaking a sixteen-year deadlock in a full-contact, regulation football game. The companys aim was to
reignite athletic excitement and rekindle product sales in men over thirty, 70% of whom do not exercise
regularly.
They called the event REPLAY.
Bringing together the Easton Area Red Rovers (Easton,
Pennsylvania) and the Philipsburg Stateliners
(Philipsburg, New Jersey), Gatorade used the re-
training of the amateur athletes as a visceral backdrop to seamlessly demonstrate the products functional
benefit (fuelling athletic performance) and showcase its value proposition. The experience became a catalyst
for athletic achievement through multiple, coordinated mediums.
Originally broadcast through a series of web episodes, fans all over the world watched as the teams
experienced the opportunity of every athletes dreams: a second chance at victory. Capturing the personal
struggles and achievements of various players, viewers were introduced to the Gatorade Sports Science
Institute (GSSI) through a series of training camps and programs developed to get the players back into game
shape. The GSSI included coaching from Eagles head coach Andy Reid and all-pro running back, Brian
Westbrook, at the Eagles training facility. The training program, entitled Eight Weeks to Glory, was available
online, along with a Facebook application that helped followers reunite their own former teams.
As Game Day grew near, the culture of the two rival towns was further highlighted, with some of the original
cheerleaders and marching band members joining to support their respective teams.
Tickets for the rematch sold out in 90
minutes, as 15,000 enthusiastic fans came
out in unseasonably warm 32C (90F)
weather to watch. The 104th meeting of the
two teams was led by honorary coaches,
Gatorade athletes and NFL quarterbacks
Peyton and Eli Manning. The Phillipsburg
Stateliners broke the 16-year tie, winning 27-12.
Based on a $225,000 paid media spend, the campaign reportedly generated over $3 million in media
coverage, partially driven by frequent coverage in sports news roundups. Regional product sales grew by 63%.
The original online web episode series was made into a documentary TV series broadcast to 90 million
households on Fox Sports Net.
Winning two Cannes Lions, a Brand Experience and an Effie Award, the campaign inspired thousands of
athletes to petition to be selected for future seasons. Two subsequent seasons pitted rival hockey and
basketball teams for epic rematches. All told, the REPLAY series continued to affirm Gatorades significance to
both professional and amateur athletes.

Blueprint for Strategic Sponsorship

Brands will need to understand and capitalise on

new channels of communication, methods of
consumption, and expectations around when, where
and how consumers buy and use products and
services. Age, gender and location no longer o ffer
reliable indicators of what a consumer may desire or
purchase, nor of skill with digital technology.

Any success in a sponsorship campaign comes from

simplicity. We can sit in ivory towers in W est London
dreaming up wonderful plans, forgetting that our target
audience is going to have three seconds of interaction
with our brand on a poster as they whip past in a car or
a train. Theyre not going to be privy to our brand
onions and things like that. I think that whatever you do
needs to boil down to consumer insight so they just get
it and not be too complicated.
Managing Director, Marketing Agency

CORRELATE

Ensure Fit for Purpose

Historically, the term fit referred to congruence of brand elements between property and sponsor or
celebrity endorser and sponsor. However, a strategic sponsorship platform requires fit for purpose, that is,
congruence between the strategic objectives set forth in Step 1, and choice of partner. Such fit will ensure
the relationship will deliver the raw materials needed to achieve success.
A successful partnership will rest on a foundation of clarity around the brands and rights holders DNA, brand
proposition and clear insight into the target audience.
The brand should make an honest appraisal of the target markets present relationship and experience
(positive or negative) with the brand, as well as the physical and digital assets needed to create engaging
activations. These insights will help the brand assess the fit of potential partners.
In evaluating properties, the sponsoring organisation should consider all factors relevant to the successful
outcome of the strategy. These include the propertys own brand, objectives, timeline and target audience.
Most importantly, however, is whether the
Ultimately, whilst a partnership needs to sit very well
partnership will be able to communicate and
alongside a brand strategy and be integrated into an
activate the brands proposition, as the sponsored
overall marketing strategy, if your consumers dont
property becomes the vehicle for connecting with
care about jazz music and youre going into a jazz
the target consumer.
partnership, youre not going to achieve anything.
Entertainment Director, Marketing Agency
Sometimes a brand, like RedBull, is already
embedded in a subculture and the appropriate partner is obvious, while other times the organisation wants
to develop new or deepen existing associations.

At this early stage, it is useful to consider activation plans and how to evaluate the success of the platform,
that is, which metrics will be used; both activation plans and evaluation metrics will help ensure that the
brand negotiates the required rights and assets.

Blueprint for Strategic Sponsorship

Youth is so much about doing it in a credible way not being in their face or too
commercial. Young people look at our partners who have been around since the
beginning as brands that get them and understand their lifestyle, music,
sports. W e work with our partners to come across in the most credible way
possible, as brands that are helping support the sports that [youth] are into.
Head of Partnerships, Sports Rights Holder

Activation Plan

Activation is the execution or implementation phase o f a sponsorship, in which consumers interact

with the brands touch-points and the sponsorship comes to life. Every aspect of activation from
initial concept, to production value, to integration with the sponsored property -- communicates a
message about the brand and its commitment to the audience. Considering activation along with
sponsorship goals at the very beginning of the planning process ensures that the proposed activities
directly support the identified business objectives.
In crafting an activation plan, an integrated approach (360 activation) offers the opportunity to
communicate through individual and coordinated touch-points over an extended period of time,
addressing a degree of media fragmentation from inception.
While promoting awareness of the partnership may be an important component to the brands goals,
badging, or sponsorship leveraging that simply displays the brands logo on a club jersey, event
collateral or on banners around the venue, should not be considered activation.
All too often, the environment and experience
of a sponsored property is too frenetic for
passive logo displays to make a significant
impact on the audience, especially considering
that the brands presence is only one amongst
several. Badging is a disruption that diminishes
the audiences experience with the event.

The best partnerships are when both parties sign the

contract and then put it away in a drawer and get on
with activating it, remembering what the reasons for
the deal were in the first place.
Marketing Director, Sport Rights Holder

Questions to help guide leveraging and activation

In her paper Last Generation Sponsorship, leading sponsorship expert Kim Skildum-Reid suggests that
selection and negotiation of a strategic sponsorship is likely to be guided by answers to questions like:

What do my target markets care about? Are there any events, sports, program, causes that they really
care about or which form part of their self-definition? (e.g. snowboarding, volunteerism, the high arts,
child safety)
What are the ways that my target market consumes that event (stadium, at home with friends, reading
about it in the paper?)
What are the best things about this event experience to my target audience? What are the worst things
about this event experience to my target audience?
Is my brand part of the experience? Could it be? How can we improve that experience?
What are the ways that my target market consumes my brand and competitor brands? What is their
brand experience?
Could that experience be improved using the unique benefits of sponsorship?
http://www.powersponsorship.com/free-stuff.html?re=1/LastGenerationSponsorship.pdf

Blueprint for Strategic Sponsorship

Case Study | Carling Beer

Improving the festival guest experience through creative brand
activation

A long-standing presence at live music events, Carling created a unique way to weave
the brand into the summer festival tradition beginning in 2003. Noting that an inevitable, but unpleasant
aspect of the festival goers' experience was the warming of one's beer in the sun, Carling created a
memorable integration called 'Beer Amnesty.'
The goal was simple: encourage product trial and conversion by getting as many ice-cold Carlings as possible
into the hands of as many people as possible who are loyal to other brands, at a time and a place when they
would consider a change. The concept focused on a beer swap at various summer festivals where Carling
replaced attendees warm, unopened cans of beer (regardless of brand) with an ice-cold can of Carling free
of charge.
The campaign resulted in the distribution of
nearly 4000 cases of beer per weekend, and
reached over 250,000 people across a festival
season. The campaign was so successful that
it was repeated annually for years.
Building on the original concept, Carling
continued to imagine unique ways to indulge
fans. Starting in 2007, the company organized extremely intimate performances for a handful of lucky music
lovers (approximately seven each session) from the back of a chilled Carling fridge truck prior to a band's
festival performance. That year, The Maccabees performed a Strike Cold Session at Reading Festival. At
the 2008 Rock Ness Festival, Carling staged a surprise live acoustic set by Andy Burrows of the band
Razorlight.






After years of success at festivals, in 2008, Carling took the concept mobile for a tie-in at retail. Over the warm
summer months, the Carling Beer Amnesty truck visited Asda stores, offering shoppers the opportunity to
swap packs of just-purchased beer for chilled Carling as they left the store.

Blueprint for Strategic Sponsorship

10

Furthermore, awareness of the brand name or logo has little value if the consumer is unfamiliar with
the product or service, brand ethos or value proposition. The best activations weave the brands
presence into the property in a way that showcases its value proposition, seamlessly engaging with
consumers and making the best aspects o f the experience better or reducing the negative aspects of
the experience. For example, Carling recognised that one of the undesirable results of a beautiful
sunny day at a music festival is the inevitable warming of ones beer and used their sponsorship o f
various music festivals as an opportunity to ensure that guests always had a cold Carling to hand.
By considering the various means through which the target audience consumes the property (i.e. on
site, at home, in print or online, broadcast o r internet videos), a seamless narrative or experience can
be created.
However, as with any campaign, not all marketing tactics will be appropriate and brands must choose
those that best integrate with the property, meet the goals, budget and timeline.

Establish Evaluation Metrics

Thats really what partnerships are all about: giving

someone the experience that they want, rather than the
one we think they might want. Thats what the
partnership enables. There is a role to be played, but its
one that enhances viewers experience and enhances
their view of the brand. If you cant do either of those,
then just dont go there.
Entertainment Director, Marketing Agency

At this early stage in planning the

strategy, the organisation should also
create evaluation metrics against the
defined strategic objectives. From these
metrics, the organisation can sketch out a
rough roadmap for the sponsorship by
clearly defining standards for success.
These standards can be communicated to all involved in the sponsorship, encouraging shared
momentum towards achieving goals. It will also be helpful to embed regular evaluation points, so that
misguided or faltering efforts can be detected early, thereby allowing for responsiveness to changes
in the strategy or market environment.

Rights and Assets Negotiation

Rights and assets should be negotiated specifically to support the needs of the activation plan. This
will guarantee the brand has access to the required raw materials to execute the plan; it will also
allow the rights holder to sell unused rights and assets to other partners, rather than going unused
entirely. As addressed in the next section, the most impactful assets will likely be those that are
collaboratively designed.
Fit with a propertys other partners is important as well. Once a partnership is established, the brand should
consider the ramifications of affiliation with brands that become connected to it through that partnership. If
there is a collective fit, reframing the o riginal partnership into a networked relationship may offer
opportunities for multi-way value creation.

Encourage Reciprocity

True partnerships are based in reciprocity. Reciprocity acknowledges that brand value positive and negative
-- flows both ways and that both partners are responsible for and judged by the sponsorships outcomes.
A true partnership relationship ensures that the strategic goals of both parties are viewed as equally
important. Partners are empowered to achieve their own goals by utilising the assets of the other partner or

Blueprint for Strategic Sponsorship

11

collaborate to create new assets as needed. Based on reciprocity, the sponsor-rights holder relationship
becomes a marketing alliance rather than a transactional arrangement.
Reciprocity also allows for flexibility. In the fast-paced and ever-changing market environment, the
partnership must remain flexible enough to evolve its strategy and deliver resources as needed. By avoiding a
rigidly defined set of available assets, partners can take advantage of appropriate opportunities swiftly as they
arise.

Case Study | London 2012 Olympics

Lloyds TSB, Visa Europe and Samsung m-commerce three-way
partnership

The London 2012 Olympic Games offers an excellent example of a three-way strategic partnership between
Lloyds TSB, Visa Europe and Samsung to pioneer mobile phone commerce (m-commerce) contact-less
payments. The service was made available via a specific Samsung handset, linked to a Lloyds TSB bank
account with transactions processed by Visa. Provided complementary to Visa-sponsored athletes, the
handset was also available for consumers to purchase along with a Visa-enabled SIM card. The service was
first introduced during the run-up to the games, and could be used at retailers in and out of the Olympic
Village for speedy, low-value payments. In the ten weeks leading up to and including the Games, the number
of contactless transactions in the UK doubled according to Visa Europe; during the Games, Olympic venues
accounted for 15% of contactless transactions in the UK.
The three Olympic sponsors leveraged the 2012 Games as a globally relevant backdrop to showcase the
power of mobile payments. The program positioned each brand as an innovator and key player in the
transformation of retail purchasing and payments, while contributing directly to the divergent, but synergistic
strategic objectives of each partner: Lloyds TSB supported the commercial launch of its m-payments service;
Samsung continued to demonstrate its positioning as technological leader, while also supporting demand and
sell-through of Samsung mobile handsets; and Visa Europe was confirmed as the go-to choice for customers
interested in accessing pioneering products and services, while executing millions of transactions during the
Olympic Games. By 2020, Visa expects that nearly 50% of all network transactions will be conducted via
mobile.
All three partners centred their brand in the discussions regarding
mobile innovation at a time when many organisations are looking to
increase their brand awareness through mobile and Smartphone
applications and associated products. The partnership also o ffered a
natural launching point for dialogue in the media as each step of the
partnership was developed and publically announced.

Blueprint for Strategic Sponsorship

12

Sponsorship as a Marketing Alliance

A marketing alliance yields benefits for both partners through collaboration and a focus on creating new
value together. This is in contrast to a relationship existing solely for straight exchange of value, in which one
or both organisations get back something in exchange for what they put in (for example, revenue exchanged
for rights access).
Elevating a sponsorship relationship to a marketing
alliance may offer a sustainable competitive
advantage by providing:

Mutual value through collaboration and

access to the assets and capabilities of the
other. Both organisations realize a
contribution to superior customer value,
advancement towards strategic goals,
and/or reduction of costs.

Equity one looks to be more scientific about it. Is

there a benefit to both parties in the partnership? Is
there equity in Brand X that Brand Y could benefit
from and vice versa, because then we have the
foundation of a partnership that works. Is there an
area of business that the two can collaborate on that
allows them to reach people that they havent
reached before?
Head of Partnerships, Financial Industry

Durability created through mutual commitment, that is, the recognition by each partner that the
other brings unique assets and capabilities (and those gained or created from the interplay between
partners) that will enable the alliance to accomplish objectives neither can do alone.

Barriers to imitation preventing competitors from duplicating these assets and capabilities because
they are created by collaboration between two unique entities. Contributions from different entities
would arguably create different assets/capabilities.

First mover advantage created because alliance partners may be better able to respond to the
quickly evolving market and intense competition, and can generate tailored resources to deflect
challenges and capitalize on opportunities.

Marketing alliances can be particularly advantageous if strategic goals align, while competitive goals remain
divergent. For example, a beverage company and a football club may have similar strategic goals (such as
adding value to the consumer offering to drive sales) and can work collaboratively to achieve this; however, a
beverage companys market offering does not compete with that of a football club. Additionally, partners are
able to learn from each other and apply learning to their respective businesses without jeopardizing any
proprietary skills.
In order to develop a marketing alliance, the parties must ensure strategic compatibility (not just congruency
between intangible brand elements) and convergence of goals. Further, the relationship structure must foster
commitment, trust, and opportunities for both parties to gain value from synergies, moving away from a
transactional, fee-and-ROI-driven relationship.

Blueprint for Strategic Sponsorship

13

COLLABORATE

Collaboration offers p artners an opportunity to create shared assets and activations that are inherently
unique and that neither could produce alone. This is a key advantage, because such assets provide a
barrier to imitation.
Assets and activations that are created collaboratively between sponsor and rights-holder enable the
brand to u se the property as a conduit through which it connects with the target audience. This allows
the brand to create a bond with the audience, rather than simply an association with the property. It
also protects the integrity of the property, by ensuring that activations are a natural and seamless fit,
enhancing the audiences experience of the
property rather than being disruptive.
Even if youre a massive organisation, creating a brand
that people are going to talk about and be

If the p latform is intended to have breadth, the

ambassadors for in the real world is key. If you have
parties should consider and design amplification
people talking about it, saying its amazing, and you
get five emails from people who dont know each other
methods in line with strategic objectives. Content
talking about it in the same day, thats when it gets
creation and digital technologies (such as
exciting. Theres just so much out there, I dont think it
applications and social media) all offer
can just be about media spend. It can be a small
opportunities to amplify or extend the consumer
campaign, but if its really clever, there you go. Its
experience b efore, during, and after activation.
harder, but its putting a lot more pressure on
Consumers have become a marketing channel of
creativity and originality, rather than money.
their own, sharing information, experiences and
Director, Marketing Agency
opinions through social media, blogging and other
Internet channels -- even across geographically and culturally divergent areas. A single brand interaction
now has the potential to multiply into thousands, effectively creating reach and cost efficiencies.

ACTIVATE

Having completed the planning phases, it is time to put the sponsorship into action. As mentioned
earlier, activation is where the sponsorship comes to life for the consumer.
As discussed earlier, there are multiple outcomes that can be achieved through strategic sponsorships
and that the most cost-effective sponsorships will be focused on achieving outcomes in more than one
functional area or channel. Sponsorship activation can offer the opportunity to innovate products and
services, differentiate from the competition, communicate the brand proposition and invigorate relevance to
a particular segment of consumers, stimulate engagement with the brand and offer opportunities and raw
materials for consumers to co-create brand meaning and value.
Blueprint for Strategic Sponsorship

14

Case Study | LIVESTRONG (Nike)

Stimulating Consumer Engagement and Co-Creation at the Tour de
France

Using Lance Armstrongs 2009 return to professional cycling as a platform, LIVESTRONG and Nike developed a
fully-integrated campaign to raise awareness of cancer and spread messages of hope and encouragement.
The partners utilized multiple mediums - bought, owned and earned - to communicate and engage with
consumers.
A series of three short films entitled "It's About You" shared the stories of pro and amateur athletes and other
inspirational people -- all cancer survivors. The films aired to a mass audience, and culminated in a dedicated
primetime episode of ESPNs Sportscenter. Sixty-four million households tuned in.
Drawing on the tradition of writing inspirational messages with chalk along the course of the Tour de France
to cheer on riders, LIVESTRONG and Nike encouraged a global audience to participate and contribute their
own messages o f support and encouragement.
At Lance Armstrongs first USA competition, the Amgen Tour of California, and at all of Armstrongs
subsequent races leading up to the Tour de France, fans received packets of yellow chalk and were
encouraged to write notes of support on the pavement.
Simultaneously, social media networks
collected messages o f courage, hope and
action from an international audience.
These were then added to the physical
messages at the Tour via a chalk-spraying
hydraulic robot called Chalkbot. Using the
pavement as a canvas, Chalkbot drove in
front of cyclists and printed messages on
the course.
The vibrant yellow messages, standing out against the dark road, were integrated into the Tour de France
broadcast coverage as the riders cycled over them. Each message contributor received a GPS-tagged image
(with LIVESTRONG and Nike branding) of their message printed on the course. In all, 36,000 messages were
submitted digitally with thousands printed along the Tour de France course. After the tour, the New York
Times printed a full-page advertisement featuring messages printed by Chalkbot.

The campaign won a Cannes Lion award, and increased LIVESTRONG sales by 46% during the campaign
period. In addition, the campaign increased the LIVESTRONG Facebook community by 95% and Youtube
channel subscribers by 54%. Nike donated $4 million dollars to the cause.

Blueprint for Strategic Sponsorship

15

EVALUATE

Sponsorships historically have focused evaluation efforts on tactics, examining how well a campaign was
managed rather than the value delivered to the brand.
In a strategic approach, evaluation should always focus on determining if pre-established objectives have been
met that is, return on objectives (ROO) rather than return on investment (ROI). Poorly defined objectives
will result in poor evaluation opportunities.
If the brand has established actionable evaluation metrics as suggested in Step 1, it will already possess a
roadmap with clear measures of success at various points. Regular, unbiased evaluation offers the possibility
of honing, re-directing, or eliminating efforts that are not on track to achieve the desired outcomes. In
addition, this process offers the flexibility needed to respond dynamically to new information, feedback,
emerging technologies and changing strategic or market conditions. Evaluation also helps gauge the
effectiveness of a particular property or communication touch-point, and can be used to ensure that
investments (rights fees, assets, talent, and product) remain in line with likely returns.

Conclusion

Sponsorship in todays market environment is evolving toward a more integrated approach than has been
used in the past. Strategic sponsorship both responds to, and capitalizes on, the dynamic current market
context and offers a competitive advantage in this context.
The five-step methodology outlined above is designed to give marketers a flexible, integrative and responsive
approach to designing strategic sponsorships. Based in solid research and illustrated with exciting real-world
examples, this methodology is a practical process for marketers seeking to create innovative applications of a
time-honoured marketing instrument.

Blueprint for Strategic Sponsorship

16

Additional Resources and Further Reading

Service-Dominant Logic | Robert Lusch and Stephen Vargo | http://sdlogic.net/index.html

Last Generation Sponsorship | Kim Skildum-Reid, Power Sponsorship| http://www.powersponsorship.com/free-
stuff.html?re=1/LastGenerationSponsorship.pdf

Co-creation: New pathways to value |Promise Communispace |
http://www.promisecorp.com/documents/COCREATION_REPORT.pdf

Defining Sponsorship | Shaun Whatling, Richard Gillis, Red Mandarin | http://www.amazon.co.uk/Defining-Sponsorship-Shaun-
Whatling/dp/0956178405

Brands and Music Manifesto, Frukt Source | Frukt| Report available by request from Frukt, http://www.wearefrukt.com/source

Additional resources available upon request from the author and listed in full research report.

Acknowledgements

The research outlined in this report is a summary of the findings reported in detail in A Strategic Sponsorship Approach to
Building Brands in a Service-Dominant Logic World, Henley Business School, MBA Management Challenge (2010), the result
of research into best practice strategic sponsorship approaches. The qualitative research involved over 20 organisations,
including leading brands, agencies and rights holders. The full research paper is available upon request from the author or the
Henley Business School Academic Research Centre.
The author would like to acknowledge the contribution of the director and board level professionals who participated in this
research, offering diverse perspectives into the challenges and opportunities of the industry from a variety of leading brands,
agencies and rights holders, including:

2cv.com

aegworldwide.com

allisports.com

essentiallygroup.com

fasttrack.com

jackmorton.com

lloydstsb.com

london-irish.com

octagon.com

pepsico.com

performanceresearch.com

anomaly.com

chelsafc.com

sponsorship.com

iris-worldwide.com

wearefrukt.com

mskmanagement.com

nba.com

prismteam.com

redmandarin.com

synergysponsorship.com

unilever.com

visa.com

wolffolins.com

Furthermore, the author would like to acknowledge Dr. Baskin Yenicioglu of Henley Business School for his support and guidance
in completing this research.

Blueprint for Strategic Sponsorship

17

About Janus K odadek

Janus Kodadek is a senior marketing professional with 12 years of experience in marketing and communications strategy in the
sport, fashion and FMCG (consumer goods) industries. With expertise in integrated marketing, orchestrating offline/traditional
and digital channels to build brands and engage consumers, Janus has worked with high profile brands including Nike, Glaceau
Vitaminwater, Pepsi, Heineken and presently works as an Industry Manager for Google, where she develops brand and
performance strategies for EMEA clients.

+44 7717 806 142 (mobile) | jkodadek@gmail.com | linkedin.com/in/jkodadek

Case study sources| Case studies included were developed from research respondents examples of best in class and innovative
sponsorship campaigns

All creative assets, trademarks, service marks, intellectual property and copyrighted materials remain the property of the copyright owner and are
provided within this report for reference purposes only.
Gatorade REPLAY

http://www.gatorade.com

Agency: TBWA\Chiat\Day

http://www.campaignlive.co.uk/analysis/1158391/
http://link.brightcove.com/services/player/bcpid1125919467?bctid=76509638001
http://www.guardian.co.uk/media/2010/jun/22/gatorade-ad-awards-cannes-lions

Carling Beer Amnesty

http://www.carling.com

Agency: Cake

http://www.cakegroup.com/music-pr/case_Study/Carling-Music.html
http://www.linkcommunication.co.uk/case_studies_office_workers_carling.html
http://www.campaignlive.co.uk/analysis/1127631/

London 2012 Olympics

http://www.visaeurope.com
http://www.lloydstsb.com
http://www.samsung.com
http://www.visaeurope.com/en/newsroom/news/articles/2012/contactless_payments_at_london.aspx
http://www.mobiletoday.co.uk/News/14144/Samsung_and_Visa_unveil_London_2012_Olympics_mobile_payment_app.aspx
http://www.guardian.co.uk/money/2012/jan/19/contactless-wave-pay-revolution
http://www.engadget.com/2012/05/09/samsung-and-visa-olympic-payment-announcement/

Nike L IVESTRONG
Chalkbot
Agency: Wieden + Kennedy

http://www.nike.com
http://www.guardian.co.uk/media/2010/jun/24/cannes-lions-cyber-nike-chalkbot
www.youtube.com/watch?v=5Jb-KT4r6NY

http://www.deeplocal.com/projects/10

Blueprint for Strategic Sponsorship

18