What are the reasons for sponsorships?

There are several reasons why sponsoring an event is a brilliant way to grow your business. If you’re looking to invest in a marketing strategy that will set you apart from your competitors, here are a few of those reasons.

• Brand visibility. When you sponsor an event, your brand imaging is highly visible to the often thousands of people who attend the event, many of which may not know about your brand. It’s a great opportunity to receive more press and social media mentions before, during, and after the event. You could also get featured ads and signs as well as radio promotions, which will increase your brand’s reach.

• Community engagement. People are inclined to support brands that are invested in benefitting their communities. Sponsoring an event supporting a nonprofit that benefits the community will show your potential customers that you support causes that are meaningful to them.

• Consumer perception. Consumers will also assume your brand is profitable and successful against your competitors when you sponsor a successful event. When your audience sees that your business can sponsor a high-profile event, they will positively view your brand and assume you are as successful as your sponsee. 

• Reach—and meet—your target audience. If you sponsor an event whose audience is similar to yours, you’ll position yourself front and center to your potential customers. Additionally, you are able to connect with your target audience face-to-face at the event, and you can make connections before and after in your marketing strategy. You can learn about their habits, personalities, and interests. This is a great opportunity to generate new sales leads before and during the event and to follow up with them after the event to connect further. 

• Return on investment. As mentioned above, investing in sponsorship for an event will put you in the position to learn about and connect with your target audience before, during, and after the event. If you effectively market your brand and connect with the attendees at a quality event, you can potentially attract and develop new and lasting customers. You’ll also reassure your existing customers of your brand’s authority against competition and engagement with your audience. This will in turn contribute to an increase in sales, as your customers (new and old) will be attracted to your business’ success at the event. 

• Business relationships. Sponsorship also gives your business a good opportunity to meet and collaborate with other non-competing companies, not only with your sponsee but also with the other companies present at the event. You’ll be able to meet with many small and large businesses that are participating, and potentially form relationships with them to collaborate in the future.

As you can see, there are several great reasons why your business should invest in the sponsorship of an event. Using a sponsorship in your marketing strategy will set you apart from your competition, and you have the opportunity to gain tons of reach, increased sales, and return on investment for your brand.

If this article piqued your interest and you’d like to become a sponsor for one of our events, reach out to us today! You can email us at

Sponsorship is the provision of resources by an organisation directly to an individual, event or organisation, to enable the latter to pursue an activity in return for benefits contemplated in terms of the sponsor’s promotion strategy and which can be expressed in terms of corporate, marketing or media objectives and can be used for commercial advantage. 

An important tool in the communication mix, sponsorships are important drivers in the overall running of any business venture. 

A few of the many reasons why sponsorships are sought after can include:

1. Brand Awareness: The most important ROI that sponsors are looking at growing is that of brand awareness. By sponsoring for an event or business venture, the sponsor is expecting the name, image and knowledge of their brand to target a large audience, introduce them to the brand and in turn win over a few potential clients in the process.

2. Brand Image: Very often sponsors are also made with the intention of invoking a positive perception of the sponsoring brand. To support, build or change a desired image, the sponsoring brand will look to invest in areas that can help them achieve this objective. Depending on the reach of the brand receiving the sponsorship, the sponsor will be looking to reshape their brand image among the target audience as well.

3. Media Coverage: A rather expensive but expansive consequence of a newly established venture, a wide media coverage range is a sure means of large scale marketing. For both the sponsor and the investee, a sound media coverage can help both parties establish a strong presence among those interested in their business.

4. Product Showcasing: An amazing opportunity to showcase products, both existing and new products to test its acceptance among a diverse crowd. The investor can use this as a chance to interact with a wider audience and help draw the crowd while at the same time use it to work to benefit in understanding the demand for his products.

5. A niche audience: By agreeing to a sponsorship, the investor has now entered a new territory, one that consists of a more niche market that is specific to the needs of the investee’s business objectives. Apart from being cost-effective, it is also a great improvement from older, more conventional approaches of marketing which are quite obsolete in today’s market scenario.

6. Differentiation: With sponsorships come the opportunity to engage in various product differentiation strategies. Open to a much larger audience now, an investor is more credible to take risks and work on going one step further with regards to gaining competitive advantage.

7. Identification with a particular lifestyle: Putting the needs of the select audience comes with the new territory. Understanding their needs, requirements and predicting future demand are a few ways to make the most of the longstanding relationship a sponsorship creates.

8. Merchandise: Offering merchandise on spot is a great way to engage in quick marketing and to understand the immediate response of the audience, their preferences and suggestions that can go a long way in the development of future marketing strategies.

9. Impact the bottom line: Driving sales through contests, special schemes and product awareness, a sponsorship opens up various beneficial long term advantages that can work in the best interest of all parties involved.

While the benefits of a sponsorship are numerous, it is important to understand the individual differences that may exist and that can prevent the benefits from outnumbering the weaknesses. Identifying, accepting and working on these differences is what forms the very foundation of a strong, long term and loyal sponsorship. 

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