Corporate sponsorships are very special events.

The popularity of televised sporting events has made everyone aware of the investments that corporations will make to promote their products to the public. The Federal Express Orange Bowl, Nike Golf Tour and Virginia Slims Women's Tennis Tour are only a few examples of corporate sponsor support.

However, event sponsorship is not limited to sporting events. Ben and Jerry's Newport Folk Festival, the Budweiser Rock Concert Series and the Continental Winterfest Boat Parade don't have the appeal of large television audiences, yet these companies have successfully associated their names with nationally or regionally popular events.

Events of any size can attract corporate sponsor support. Today, many park and recreation agencies have recognized the value of corporate sponsors in funding local programs such as the Nations Bank Starlight Musicals in FortLauderdale, Florida, or the Daily Herald Hole-In-One contest in Schaumburg, Illinois. Understanding the value that potential sponsors are seeking is an important first step in developing their support. The degree to which the sponsor's needs are met will determine the amount of financial support they contribute to the event. View sponsors as your customers and design a proposal that will meet their needs and appeal to their marketing goals.

Why Companies Sponsor Events

Events provide sponsors an opportunity to increase public awareness of their image, service or product in a method that differs from the more conventional television, radio and print advertising. The public's positive awareness of a product or service can be enhanced when it is associated with a successful event This is particularly evident in local community events, where sponsors benefit by showing support for their community; or in targeted events, such as Earth Day, where the sponsor can connect their image with a specific cause.

Event sponsorship greatly increases marketing opportunities, because events bring out very specific target markets that are not as easily identified in a mass market approach. Senior golf tournaments and college spring break games are examples of specific target marketing through events. Groups in specific demographic groups, with specific interests are readily available and on site. Smaller companies who often do not have the budget for traditional media advertising can benefit from an event's television, radio and newspaper exposure. As the main or title sponsors, companies are identified in all event-related media campaigns.

Sponsors can also use concert tickets and hospitality tents to entertain key clients or corporate executives. This is particularly important to the corporation's advertising and sales departments.

Creative merchandising techniques are almost endless when integrated with the marketing of an event or the event itself. On-site product sales and sampling of new products during the event can enhance revenue and create excitement for newly introduced products.

Pre-event promotions on retail packaging, in store displays or coupon giveaways are common methods to increase retail sales at a locations other than the event site. Event producers should consider these options from the potential sponsor's point of view. Making suggestions to promote retail sales will indicate an understanding of what the potential sponsor hopes to accomplish.

Design Events to Create Sponsorship

The number of sponsors that can be used to support an event is directly related to the number of sponsorship opportunities that are designed into the event. For example, rather than limiting a sponsor to a single game, Major League Baseball will use different sponsors for the pre and post game shows, the seventh inning stretch, home run awards, and retain the title sponsor for the actual baseball game.

Event and festival producers should have the same concept in mind during their planning process. Every opportunity to include sponsors should be considered. Multiple stages, musical acts, theme tents, display areas, individual activities, and contests are all areas for potential sponsor sales. When the City of Broomfield, Colorado, a town of 25,000, hosted their annual Broomfield Days event, McDonalds, Pringles Potato Chips, and the local television station sponsored three different stages and the main event was sponsored by the area's Home Builders Association.

It is the responsibility of the event producer to conceptualize and plan the event. However, flexibility must be built into the event during the planning process. Most sponsors will have their own ideas for improving the event or expanding their opportunity for marketing and promotions. As the sponsor becomes part of the planning process, the producer must realize the sponsor's value and work to meet their goals, as well as the event's goals.

Identify Potential Sponsors

As the event is being conceptualized, producers should identify the types of businesses that may be interested in sponsorships. Corporate sponsors come in three basic categories:

(1) Local businesses whose primary interest is being recognized as part of the community. These sponsors generally are looking for an opportunity to increase business and are often the primary sponsors of small community events.

(2) National or regional companies with offices in the local area. These sponsors usually have greater resources to contribute toward sponsorships and will show interest in specific outcomes of the sponsorship, whether it be positive image enhancement or increased sales. Regional sponsors will often work closely with local retail outlets to offer increased sales opportunities.

(3) National sponsors. These sponsors are interested in large events that have national appeal. In most cases, it is not worthwhile to consider pursuing national sponsors unless the event will be televised. National corporations will, however, cooperate through regional offices if the event has regional appeal.

Selling Event Sponsorship

All proposals designed to solicit sponsorships should be in written form. The proposal should be typed, bound and presented in a well-organized, business style. Keep in mind that while the event may be exciting and entertaining in itself, it must also be a sound business decision for the sponsor.

The proposal should present the event in business terms that will individually address the sponsor's needs. Include the type of media and a range of exposures that the sponsor will receive. Describe the target market of the event in specific demographic terms. If data and pictures are available from past events, include them in the proposal. Include ideas for on-site marketing, promotional signage and sales opportunities, while letting the sponsor know that other opportunities exist and that you are interested in incorporating their ideas into the event.

Some event planners seek sponsors by using videotapes of previous events, although video does not offer the advantages of a written proposal. Video cassettes should be used only in conjunction with a written proposal and during an oral presentation.

One of the most important aspects of proposal process is determining the value of the sponsor package. The value to the sponsor should not be confused with the cost of producing the event. Keep in mind that the potential sponsor will evaluate the proposal as it compares to other advertising and marketing programs available to them.

Pricing the sponsorship proposal should begin by evaluating the media exposure that the sponsor will receive. Consider the number of spectators and participants who will attend the event. Preevent signage, logos on t-shirts, brochures, posters, and other items that will be valued after the event should also be considered.

Sponsorships can be divided into levels or categories: title sponsors, event sponsors, activity sponsors, etc. Each sponsorship category should have its own price range listing the benefits associated with sponsorship on that level. There will be some overlap, but make sure that each category has distinctly different benefits. Price the sponsorships from title sponsorship down to the lowest and least expensive category. Specific dollar values should not be listed in the proposal. Since negotiations are an integral part of sealing sponsorships, price ranges for the entire event should be listed in the cover letter that is included with the proposal package.

Mass mailing proposals is a costly and inefficient way to reach potential sponsors. Identify key prospects for each sponsor category and mail directly to the individuals that are most likely to make the sponsorship decision. Make a personal phone call to schedule an appointment no more than four days after the written proposal has been received. When making personal sales presentations, dress in appropriate business attire. Remember, you are there to talk about how the potential sponsor will invest their money. Don't oversell the event from the producer's point of view; present the sponsorship in terms that will benefit the sponsor. Do not take any more time than is necessary and do not expect the potential sponsor to make a decision immediately. Offer to make a follow up call, giving time for the client to evaluate the sponsorship proposal.

Always pay close attention to the client's comments, whether they are positive or negative. You will find the information invaluable in presenting future proposals.

Written Agreements

Regardless of the sponsorship's value, its terms must be in writing. This agreement may take the form of a formal contract or may be spelled out in letter form. Every specific detail of the sponsorship negotiation should be included. Payment terms, signage, sale or give away items, tent space and location, media exposure, and post-event data should not be overlooked in the written agreement.

Including a "first right of refusal" is important part of the written agreement. It shows the sponsor that you have complete confidence in the event's success. It also indicates that you intend to meet your obligations and that the sponsor will receive their anticipated benefits. The cost of future sponsorships should not be included as part of the refusal right.

Evaluation

The evaluation process plays two important roles in managing and producing special events. Similar to all recreation programs, special events should have a post-event evaluation process that considers marketing, logistical operations, fees, and program content. Each sponsorship agreement should be evaluated in this manner. The same business-like approach should be considered by breaking down each item of the agreement with numerical data.

After the evaluation is completed, schedule a meeting with the sponsor to determine if their sponsorship goals were obtained. This forum presents the perfect opportunity to begin discussing the sponsor's interest in future events.

The financial support gained through corporate sponsorships for programs and events has become increasingly important to park and recreation departments of all sizes. Although the magnitude of the events and the value of the sponsorships vary greatly, the method used to develop sponsor support remains the same. Sponsorships do not develop overnight A relationship of trust must be built between the event producers and the sponsors. Business relations must be nurtured and respected. If you always give the sponsor more than you promised and involve them in the decision making process, you will begin to build the network that will continually provide financial support to your organization.