Sponsorship as a form of marketing became rapidly popular recently. In a nutshell sponsorship is the monetary or in-kind assistance to a particular event with the intention to achieve a specified business goal. It is a new way to get more promotion and reputation for the company. while a cause that seems interesting rests, are the sponsorships .
By means of sponsorships, companies financially support an association, an activity, an informative website or any other cause that the company considers good.
Sponsorship is an agreement between a company, the sponsor, and another organization such as an event organizer. The sponsoring company will provide assistance to the sponsored company which will in turn presents the brand or product offered by the sponsoring company through a provision that is generally economic. This helps the sponsoring company improve its visibility, prestige and market position level.
Sponsorship differs from patronage. In patronage the main contributions of the company consists of a material or financial support to a person and work for activities in the public interest. However, the sponsorship seeks to obtain a direct benefit through this input.
The company will invest in whatever he deems necessary, which seems the best option. The advantages of this are the satisfaction of benefiting a cause that seems good in addition to improving the company image. At a time when competition is so great, sponsorships are one of the best way to make a difference in a time when conventional advertising does not have as much effect as expected and much less does make a difference.
The actions of sponsorship are based on tangible products according to the commercial benefit that can be obtained, while patronage is more intangible products or services. As mentioned above, the main objectives of sponsorship are based on creating a better image and positioning while also seeks to achieve greater business performance. Sponsorship is the best option that offers both.
When providing sponsorship, the following must be created:
- The general criteria for sponsorship management
- The conditions required in sponsorship
- The strategy that will be carried out along all the time sponsorship
- Actions to support the sponsorship through communication
Like all marketing methods, you must have a clear strategy of what you want to do and where you want to take that, after the end of the time of sponsorship, the results are expected or even better. That is why it is important that sponsoring companies also have the tools to track the results.