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Lecture 4 Sport & Event Marketing Summer School Sport Event Management Kedge Business School 2016 Lionel Maltese Maitre de Conférences Aix Marseille University – CERGAM IAE Aix-en-Provence Associate Professor Sport Event Management Kedge Business School Business Manager ATP – WTA Events and consulting Twitter : @lionelmaltese The Place to leverage and activate Sponsorship leverage can be defined as “the act of using collateral marketing communications to exploit the commercial potential of the association between a sponsee and sponsor.” Activational communications (or activation) can be described as “communications that promote the engagement, involvement, or participation of the sponsorship audience with the sponsor” (Weeks, Cornwell & Drennan, Psychology & Marketing, 2008) Focus on partnership resources PR services : often inside the partnership contract PR : stimulating business relationships event = network place Sponsorship : more B to C concept witch has an effect both sponsor and event brand Definition Provision of assistance either financial or in kind to an activity by a commercial organization for the purpose of achieving commercial objective (Meenaghan, 1983) Sponsorship involves two main activities (Cornwell and Maignan, 1998) : exchange between a sponsor and a sponsoree whereby the latter receives a remuneration (cash or in-kind contribution) and the former obtains the right to associate itself with the activity sponsored marketing of the association by the sponsor Sponsor support : financial or not SPONSOR SPONSORED Firm, non profit organization, institution… Entity : individual, group, oragnization, event… Area : sports, arts, environment.. Benefits for the sponsor : achieve communication objectives Media Sponsor Sponsored target Target PUBLIC Sponsorship & Corporate Sponsorship (CS) CS : altruistic support Corporate Sponsor : discrete support Cause Related Marketing (FCB, NBA Care, LiveStrong…) The most important : sports development support French examples : Suez, Total, Lagardere… Stewardship Definition : The program of fostering relationships with important stakeholders and publics by applying the concept of reciprocity, responsibility, reporting and relationship nurturing. Reasons for sponsorship development Originality : Young customer : zapping phenomenon Pleasant place Core targets : facilitated segmentation Communication tool : internal and external Barriers for the communication : Limitation of the advertising space TV regulation (ex : Naming) Indirect access with the media (through an event) Strategic approaches for sponsorship Passion approach : passion of a CEO (“The dancer of the President”) : RLD (Adidas – Om), Serge Kampf (Cap Gemini – BO) Opportunistic approach : link between a sponsorship project and a firm CEO (Sodexho / Cities – Thomson / Canal +…) Strategic approach : sponsorship integration with the global strategic communication or marketing strategy of a firm (banks, sport brands… ) Sponsors objectives More institutional sponsorship than brand / product communication : L’Oreal support for UNESCO to promote women (institutional sponsorship) Garnier (L’Oréal brand) support for Australian Open in Tennis (“brand” sponsorship) The first objective = IMAGE Notoriety of the brand Product valorization Social Responsibility (Lagardere Strategy at the beginning…) Brand or firm notoriety Sponsorship => notoriety (top of mind) augmentation => turnover augmentation Unknown brands : launching effects (Dia, Airness…) Brands reinforcement for holder ones When the brand stop important sponsorship operations => negative public reaction (ex : ONCE) Brand image valorization Brand – Product : Positionning reinforcement with sponsorship strategy (image transfer) Sponsorship tool to develop more social or dynamic image Examples : Groupama & Sailing sponsoring (dynamic) Playstation & Steve Fosset boat (social, authenticity, human…) Product valorization Proof : linking sponsorship ojectives with the supporting activity Examples : Nike, Adidas, Michelin… Peugeot Philips on the Ryder Cup (45 000 specataors / day) … Employee Motivation Internal communication : Firm culture Employee identification with the corporate organization Employee participation (sponsorship project) Sales Force dtimulation Examples : cycling team, sailing… Sales development Firms objective : selling but also changing target behavior Examples : Co-branding : adidas-RG Temporary work (agencies) UMTS – WebTV – PodCast through an event Activation axis Visibility Relational Sponsorship – Event Communication CRM Hospitality Services Marketing Entertainment Experiential Experiential Marketing Activation tools Billborads Printed supports Scoring Referees Media Supports Human Supports Cause Related Marketing PR Fans Web Marketing Web 2.0 Objects Mobile Maketings Stands Seminars Conferences Games Official Participation Involvement Special Events Naming Branding Visibility Relations Supplier CAUSE RELATED MARKETING Cause marketing or cause-related marketing refers to a type of marketing involving the cooperative efforts of a "for profit" business and a non-profit organization for mutual benefit. The term is sometimes used more broadly and generally to refer to any type of marketing effort for social and other charitable causes, including in-house marketing efforts by non-profit organizations. Cause marketing differs from corporate giving (philanthropy) as the latter generally involves a specific donation that is tax deductible, while cause marketing is a marketing relationship not necessarily based on a donation. Ethical Corporate Responsibility (Babiak & Wolfe, 2006) Discretionary Corporate Responsibility (Babiak & Wolfe, 2006) Event Stakeholders Classical Commercial Sponsorship Communication platform Donation CAUSE Financial Stakeholders Private or plublic organizations Stakeholders with legitimacy OGN Association Donation Process Cause identification : local aspects, fit with your main sponsors or cities… 2. Legitimacy with your OGN or association 3. Activation program 4. ROI or ROO for : 1. 1. 2. 3. Sposnors ONG Event CSR : ressources arrangement and synergies HOW ? Solutions : Corporate Social Responsability and Cause marketing Cross businesses (not easy…) using public – provate networks… Danger : impossible to put the offer or attractiveness on your website or business presentations… Relational business model and external control of your stakeholders sharing resources COMPETENCIES Cause-related sponsorship Private Sponsors Organization Public sponors Sports Institutions Club / event Athletes Relational – integrated Business Model Fans Suppliers Media COMPETENCIES awaraness communication Event or Club Partneship Resources VRIO Sponsor Event communication (sponoring resources) Linkage among resources Summary : being “sensemaking” ! Understand the sponsor needs (your customer !) : Targeting for your sponsor (sponsor day for instance) Linking your media planning with the communication strategy of your sponsors Selecting the media No concurrency between the brands… Being aware for new activations…. Making you sponsor dependant and not the contrary Relation Iron Cage = your content and your difference Using strategic FIT for your sponsor but You must be a “visionary” (strategic INTENT)