how-to Archives - Power Sponsorship

Sponsorship Leverage Trick: The Aerosmith Technique

The year was 1986, and Aerosmith were over – has-beens, ten years past their prime. That was, until old-school (old-skool??) hip-hop group, Run-DMC sampled one of their hits and they teamed up to make one of the best videos of a generation. That crazy combination reinvented and rejuvenated Aerosmith back into the stratosphere – literally, in the case of “Armageddon”. It also catapulted hip-hop into the mainstream, where it’s been ever since. What does this have to do with sponsorship? Well, nothing… if all of your investments are working. On the other hand, if you’ve got some old, tired, ill-fitting sponsorships – sponsorships that have run their course, sponsorships you never should have had – […] Read More

Four Other Reasons You Might Need a Sponsorship Consultant

The normal role of a sponsorship consultant is to offer expert strategic advice, generally based on a reasonably long history of doing good work for good clients. That’s certainly what I do most of the time. There are, however, other reasons you may want a sponsorship consultant – reasons that are a bit outside the norm, but every bit as strategic. I thought I might run through a few very useful – but somewhat different - ways to use a sponsorship consultant. Delivering bad news Come on, do you really want to be the one to tell the CEO that sponsorship of her pet project is a narcissistic crap-heap? I didn’t think so. Sometimes, everyone but […] Read More

How Do You Get a Fire-Sale Sponsor to Renew at a Realistic Level?

You shouldn’t have. You know you shouldn’t have. But you did. You sold a sponsorship at way below market value because time was getting short and so was your budget. Most sponsors won’t take up a fire-sale sponsorship. They know that their results come not from the sponsorship itself, but from the leverage they do around it. That takes time, so they don’t invest when they don’t have enough time – no matter how cheap. The sponsors who do take up fire-sale sponsors tend not to be very sophisticated and they expect the property to deliver their results, and can be some of the worst sponzillas around. That’s not the worst outcome of a fire-sale […] Read More

Introducing The Sponsorship Seeker’s Toolkit Fourth Edition!

If you follow this blog or my social media stuff at all, you know that a lot of the past year has been about writing and production of the Fourth Edition of the industry bestseller, The Sponsorship Seeker’s Toolkit. What started as an intended 20% rewrite quickly blew out to about 50%, with lots of new content on social media, new tools and techniques, and dozens upon dozens of amazing new case studies of sponsorship being done as well as it can be done. Whew! It’s now available through Amazon worldwide, as well as many other booksellers. You’ll notice a huge variation in price, so do shop around. In some regions, buying from Amazon and […] Read More

Sponsorship Benefits Every Sponsor Should Want

Sponsorship is an amazingly creative medium. Unfortunately, most sponsors still lack the imagination to really harness it. Either that or they are so deep in a rut that they can’t even see they’re going in the wrong direction. They negotiate the same types of sponsorship, and for the same boring benefits, over and over again. They buy logos and tickets and stock-standard hospitality, with the overriding assumption – and point of comparison – that it’s largely a commodity business and more is better. WRONG! Go ahead and negotiate some of those commodity benefits, but understand that’s not where your real marketing opportunity lays. Instead, concentrate your efforts on getting the type of benefit that can […] Read More

Sponsorship Sales Lie #61: Desire Equals Success

If you’ve been selling sponsorship for any length of time, you already know this is a myth. You know how much goes into a successful sponsorship sale, and please feel free to move along to some other blog. But judging by the hundreds of emails and messages and phone calls I get from sponsorship seekers looking for advice, I can attest that the vast majority really don’t get it. This is an example of an email I received last week (with identifying details removed) and is extremely typical of some of the approaches I get: “I have an idea for an event that is GROUND-BREAKING. NOTHING LIKE THIS HAS EVER BEEN DONE BEFORE!! I have […] Read More

The Must-Ask Sponsorship Research Questions

I recently had someone put a sponsorship research plan from Neilsen in front of me. This was a plan created to help sponsors and potential sponsors understand the target market and how to get value from them. It sucked. Sorry, Neilsen, but it really sucked. But I’m not just picking on Neilsen here. The plan looked just like dozens I’ve seen in the past few years and reflect what most sponsorship seekers think they and their sponsors need to know. Here’s the thing: You don’t need to ask 25 questions about someone’s demographics. They’re not that important… really. Demographics don’t get people’s arses on your seats, psychographics do – people’s motivations, priorities, lifestyle, and self-definitions. […] Read More

How Much Should You Budget for Sponsorship Leverage?

There has been a fair bit of chatter online about what the standard sponsorship leverage ratio should be. That is, how much incremental money should you budget for your leverage program, as a ratio to the sponsorship fee paid. People have offered up 1:1 (spend one dollar leveraging for every dollar spent on a sponsorship fee), 2:1, and 3:1 in the discussions. If you pay attention to IEG, you’ll know they recently reported an average leverage spend of 1.4:1 in 2009. And there are plenty of that media hail big leverage spenders as being at the vanguard of sponsorship. I disagree with all of that. Vehemently. Spending that much, incrementally, flies in the face of […] Read More

What Should You Do When Your Board Sets Unrealistic Sponsorship Targets?

If you’re a sponsorship seeker, at least one of these will sound familiar: Your organisation is planning an expansion or other costly activity, so your board increases your sponsorship target, or Your government funding is cut, so your board increases your sponsorship target, or Your donations have dropped, so your board increases your sponsorship target, or Your attendance has dropped, so your board increases your sponsorship target, or One of your competitors scores a big sponsorship, so your board increases your sponsorship target We have all been in this position at one time or another, but the current economic situation has everyone under pressure, and when many boards don’t understand how sponsorship works, and that sponsors […] Read More

Sponsorship Seekers Who Bully

I’ve blogged about Sponzillas – sponsors who bully – and in the spirit of fairness, I need to say that there are also some bullies on the other side of the equation. There is an echelon of very desirable properties that can – and sometimes do – bully potential sponsors. They know that if that sponsor doesn’t pay the money for whatever is on offer, someone else will. They offer standard, uninspired packages and refuse to offer anything creative, even if specifically requested by a potential sponsor. In their boldest manoeuvre, they may charge additional fees for bolt-on “benefits” that really only benefit the property. An example would be if an elite sports property required sponsorship […] Read More