Why Would a Company be Interested in Sponsoring a Group like Mine?

This is the third concern that my friend James raised in our recent taped interview for his Inner Circle members. It's a little bit similar in nature to his first concern (…which was, "Is it Hard to find Sponsors?"), but I think it takes that first question a bit deeper.

It probably shouldn't surprise us when we read that Company "X" is paying $1.5 million a year to sponsor an NBA or NFL team, but hey (…you're thinking…), you're not the LA Lakers, right? You've got a group of 65 association members that gets together once a month to talk about wine! (Or some such subject…)

Well … I'm guessing this probably won't come to you as a "news flash" – but your group probably won't net you $1.5-million dollar-a-year sponsorships … but it's very possible that it could net you $20,000 a year … $30,000 a year … or more.

The truth is – you might be extraordinarily surprised by how much a company might be willing to spend to sponsor your group, your speaking tour, or your newsletter.

And the reason why is in the numbers.

In fact, let's just take your wine association (referenced above) as our example to demonstrate this very point.

Let's say you've built a "herd" of 65 wine lovers (… I think they're called "Oenophiles", aren't they?) Let's say each member of your group spends -- on average, $60 a month buying various wines. (That comes to what… $15 a week? Not really all that much considering what a good bottle of wine costs these days, right?)

But let's say you've got a bunch of cheap-o wine drinkers for members. Okay -- let's do the math. 65 members spending $60 a month on wine = $3,900.00 a month. Multiply that times 12 months a year and you're clocking in at just shy of $50,000. Hmmm… not bad (…especially for cheap-o wine drinkers!)

Now these members of yours have to buy their wine from SOMEBODY, don't they? You think there might be a liquor store (…or 70) in your community that wouldn't mind being the "preferred vendor" to your Wine Club? Heck – why not? Think about it from their perspective -- without buying a single newspaper ad or Penny Saver page … you've walked them straight into a potential windfall of $50,000. Seems like a "no-brainer" don't you think?

All they need to do, in return, is provide you with a modest sponsorship check (…or better yet, eradicate your monthly wine expenses for your personal and Club needs by providing you with "in-kind" product!) Now you’re thinking!

No, they probably won't give you a $70,000 sponsorship check – but they might give you a $7,500 one. Afterall – they probably have a 2x (or greater) mark-up on the wine they sell … which means that they're pocketing $25,000 on the $50,000 worth of wine your members are consuming each year. That means they’ve made $25,000 for doing what…? Right – NOTHING! You did all the work!

You walked them into your Club and literally handed them a check for $50,000. That’s got to be worth something. If not to one liquor store … then maybe to another. But trust me … someone will "get it".

And that’s just ONE sponsor. Let me ask you … what goes great with wine? That’s right – CHEESE! Why not look for a market that specializes in gourmet foods to come aboard as another of your Club’s sponsors? There’s no rule that says you can only have one sponsor, right?

That’s the ticket