On November 7, business advisor Kevin-James Fenech signed an article in the Maltese newspaper MaltaToday about the many advantages of investing in sports sponsorship to position a brand. Indeed, Fenech argues that traditional marketing and branding has become too “blunt” and “ineffective”, in his terms.
The reasons for such a resolution are that today’s advertising landscape is a lot more fragmented than it used to be, hence the difficulty of reaching one’s target. While companies used to choose between the traditional mass media (print, TV, radio…), the increase in the numbers of media in general have made this decision more difficult.
In order to catch the eye of their target groups, businesses are thus starting to take a closer look to sports sponsorship as a marketing strategy. Leading marketers select a sport, a team and/or a player that will share the same values as the company’s brand. They believe this strategy is the best way to stand out and to connect with customers since it has been proven that fans who are already passionate and loyal about their sport/team/player are more likely to be receptive to advertising campaigns. As a matter of fact, a 2014 McKinsey study revealed that companies that engage in sports sponsorship and have a system in place to measure sponsorship ROI comprehensively can increase returns by as much as 30%.
In addition, Fenech declares companies should first articulate a clear sponsorship strategy: defining the target and choosing the stages of the Consumer Decision Journey (CDJ) they want (‘awareness’ stage, ‘consideration’ stage, ‘purchase’ stage, ‘loyalty’ stage), etc. Fenech also emphasizes the need for businesses to invest as much to acquire the sponsorship rights as to activate the sports sponsorship.
By doing so, corporations would have a unique chance to position their brand and hit their target audience in a most effective way than with traditional marketing.
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