The FIVE BIGGEST CHANGES that the “New Economy” will be making on Sponsorship in 2010

Continuing on with our series of blogs illustrating what this year's "Nifty 50" had to say about sponsorships in the coming year --- today, I'm going to start on a "series-within-the-series" on what the sponsor's had to say about sponsorships in the coming year. I'm going to focus on the what fifty (50) of the country's biggest sponsors had to say are the FIVE BIGGEST CHANGES that will be occurring in/with their sponsorships in the coming year. That said, for today, let's start on the FIRST of the five biggest changes…

1. Corporations will be ASKING FOR MORE "Bang for the Buck" for the same amount of money. If you're one of our reader's who's a "seasoned pro" in the world of sponsorship selling and you're starting to feel a bit "beat up" out there in selling your sponsorships – you're not alone! Based on the comments we heard back on this year's Corporate Survey – there're no shortages of sponsors out there "…ready …willing … and able…" to take full advantage of a "down economy." They're asking for "added value" for the same amount of money – and they're getting it.

Here's an example of what some of our "Nifty 50" had to say about this…
o "We're taking advantage of a down market and getting more for less – we're squeezing every deal we can to secure more benefits."

o "We are asking our partners to provide more added value and letting them know that the ROI will be more important than ever as we get closer to renewal time."

o "The economy has allowed us to do things we might not have been able to do because prices are low now. Some media is cheaper this year – but sponsorship possibilities are also cheaper than last year."

Forewarned is forearmed – and this is the kind of information that you're going to need to keep in mind when you're out "on the street" marketing your sponsorships and partnerships. The operative word here is "flexibility". You HAVE to be flexible when you sit down at the table these days. We're definitely in a BUYER's market (… and BOY do they KNOW IT!!).

But that's okay --- keep in mind that you're in this for the long haul. Over time, things always even out. The key is to stay alive with your sponsors. You're going to run into sponsor's that are going to "grind you" right now – but that's okay … you're going to grin 'n bear it … and give them the best service you possibly can in return. That's how you ride out the tide and come out of it on top.

Three Steps to Beat the Trend

So the economy has made the traction on the field a bit tougher. True enough.

But the wheels of business have got to continue to turn. It's not like companies out there can just "sit this recession out", right? Wish that that were true, eh? But honestly, who can afford to roll up into a ball and hide away until the economic skies become sunny again? Not many. (Hmmm… not any?)

(Remember the old saw: "The tough get going when the going gets tough?" – well here it is, folks.)

As I mentioned in my last blog – one of the top take-always from our interviews with fifty of the top corporate sponsor and advertisers in America is that 75% of 'em are planning on spending AS MUCH … or MORE … on their sponsorships in the coming year. So it's out there.

Now -- how do YOU get yourself noticed and move up in the line? Well… here are three ideas, three strategies that you can (and should) be thinking about as you start to think about bringing sponsors into your world.

1) You've GOT to be able to quickly and clearly explain and demonstrate to your potential sponsor how YOUR EVENT, your GROUP, your PUBLICATION, your BUSINESS are able to help your potential sponsor grow THEIR business.

2) Don't sell "exposure" – sell results. The three letters we heard time-after-time this year (in doing the Nifty 50 one-on-one interviews) are the letters "R-O-I" – which stands for Return on Investment. Your mission is to be able to clearly explain how if they give you "x" (as your sponsor), you'll be able to return them "2x" …. Or better yet … "4x"!

3) Can you GURARANATEE results? I know that sounds improbable, but you know… in some cases you can. In certain cases it's possible that (… in return for their sponsorship), you can offer up (or direct to your potential sponsor…) sufficient enough business to off-set their sponsorship investment with you.

For instance, let's say, as part of your business, you put on a meeting (or meetings). Well, this meeting (or meetings) has got be put on somewhere, right? A hotel meeting room perhaps?

Okay – there's a start. Will there be any sleeping rooms blocked as a result of your meeting? (Members, students, attendees flying in staying over for the meeting…?) If so, you've now got some guaranteed business to offer up in return for a hotel's sponsorship.

(NOTE: It's fairly standard in the lodging industry that most hotels will "trade" you the cost of your meeting room in exchange for the income that property will get from selling room nights to your participants. Which is certainly fine, but could you do better? In today's economic environment, you'd be wise to shop your business around.

There are a lot of hotels out there – and the hotel/meeting industry has been slow to rebound from the economic downdraft. So if you've got a decent room night block to be able to offer up … find out who's hungry. When you put your bid out – let prospective hotels know right up front what you looking for not only complimentary meeting space but an event sponsorship (… or "hosting fee") of "$x".

I don't know – maybe 8 out of the 10 hotels you put the bid out to will turn their noses up at your offer. But two very well could be looking at floors of empty hotels over the dates of your event and would be willing to sit down and discuss this. (And all you need is ONE, right?!)

Now maybe you can't guarantee a complete return on their investment --- but can you certify that they'll at least get part of their sponsorship investment back … with the potential of tapping into an audience that gives them every reasonable expectation of being able to seize a profit from the incremental business that comes as a result of being a central part of your business?

Well – that's a start. And you know what … even being able to show your prospect that you can guarantee that they'll get at least a part of their investment back puts you ahead of the vast majority of the other folks soliciting their sponsorship business. (Fact is – even the organizations that have been selling sponsorship for YEARS get caught up in selling "exposure". Selling "touches" --- when they should be selling "dollars".

So sell "dollars" – it's a language just about EVERY business out there understands!

Half Full….Half Empty – You Decide

In my last blog, I kicked off a "series" on what our 2010 "Nifty 50" had to say about their sponsorship spending budgets for the coming year, and as you'll recall – the news wasn't good. In fact, as I noted – in the fifteen years since we started the bi-annual NSF Corporate & Industry Survey, this is the worst forecast we've ever seen. Fully 25% of our "Nifty 50" (fifty of the top corporate sponsors in the US…), flatly admitted that they'll be investing less in their sponsorships in 2010 than they did last year. (And we know that last year was a sobering stretch…)

So if you're a doom 'n gloomer – than we've given you fodder for saying that the glass is half-full. However, for the optimists out there – that means that 75% of our "Nifty 50" are planning on spending "As Much … or More" on sponsorship in the coming twelve months.

The one point that came out time-and-time again is that there is money out there to be spent on sponsorship. The corporates clearly recognize that sponsorship is a great way to present, promote and tie their product/services into their key, target market.

So next up --- on Thursday's blog, I'm going to start giving you the "inside edge" – tips from our Nifty 50 on how you can stand apart from the others and get the deal.

See you back here on Thursday….

Welcome to 2010...

Welcome to the New Year --- hope things have started off well for you … and that 2010 will see you landing some truly significant sponsorships!

We're heading into the final month leading into our annual event, the National Sports Forum. This year we'll be taking the show to Baltimore – with an expected audience of somewhere in the 600-700 range. This is, as you might imagine, a crazy month for all of us at the Forum as we do our best to tend to all of the final details. You have to be extra careful as this is when things can start to slip through the cracks.

For us – most of our sponsorship selling for the coming Forum is finished. Now it's time for us to focus on the activation of our sponsorship programs. We'll re-check all of our sponsorship agreements – make sure we haven't forgotten anything or left anything out. Our goal is to always deliver more than what the sponsor was hoping for – but at the very worst, you don't want to overlook delivering all the things you promised.

We'll be covering the final steps leading up to the 2010 NSF in this month's blogs. Things are coming together nicely – should be a lot of fun!

Auld Lang Syne

And then there was one (week) left standing! Hard to believe that we're already to the tail-end of 2009, but as we start to put the "wraps" on this year --- here's wishing you and yours a very wonderful New Year!

This is a time of year when a lot of folks sit down to set goals for themselves in the coming year. So while you're at it … why not add a sponsorship sales goal to that list?

There's no time like the present to set your course for your desired destination. And nothing says you have to make that journey alone. So definitely -- why not make plans to bring a sponsor (…or two … or three…) with you as you teach to, write to, speak to … and market to … your readers, customers and audiences?

Godspeed to you in 2010 --- and farewell to a wonderful 2009. Happy New Year!

Off to "Viva Las Vegas"

This is going to be a VERY sponsorship analytical weekend coming up for me this weekend --- as I depart for Las Vegas and a meet-up with my friend and research partner-in-crime, Jim Kahler of Ohio University.

Every two years since we first began the National Sports Forum some 15 years ago, the NSF has presented (at the conference...) the findings culled from the information-packed interviews with fifty (50) of the top sponsors in America. We reach out to all KINDS of "household names" – from Bank of America ... to Anheuser-Busch ... to Pepsi-Cola ... Giant Eagle and Sharp Electronics... to name just a small handful.

Under the direction of Mr. Kahler, who is Ohio University's Executive Director of their Center for Sports Administration, we'll wall ourselves off from humanity for three days and dissect the findings of all fifty of these surveys.

When finished, we'll have one of the most current and up-to-date recaps of what sponsors like ... what they don't like ... what they really would like to see you putting in their sponsorship proposals ... and how the "new economy" is impacting their business moving into 2010 and beyond.

The findings of all this will be presented at the 2010 National Sports Forum coming up in Baltimore, MD in February. (www.sports-forum.com) However, in the coming weeks, I'll be sure to share with you some special findings (...give you all a "sneak peak" of what the sponsors are thinking (...and spending money on...) out there.

Stay tuned!

A Word About Sponsor Referrals

Nothing "sells" your sponsorships better than a happy sponsor. And of course nothing makes a sponsor happier than having their expectations met.

So first order of business here is to make sure that you're taking great care of your existing sponsors. (Let me ask you – do you even know what their "expectations" are? Hmmm… good question, eh? Well ... there's not time like this moment to have a sit-down with your existing sponsors and ASK them!)

And speaking of "...ASK them..." --- that's my word today (...well, actually ... that's two words…), on getting Sponsor Referrals. You've got to ASK for them!

Of course the best time to ASK for them is when you're successfully delivering results for your existing sponsors. You've worked hard to build a strong rapport with your sponsor --- which means that you're there for their success, and they're there for your success. If you've done a good job, it's a good partnership. So why not mention to your sponsor that your event (...program, publication, speaking business, etc.) is really taking off thanks to sponsors like them. ("Thank you!") And your plan is to continue growing your sponsorship family with companies just like them.

That said, you'd sure appreciate it if they would feel free to recommend your event to any of their co-horts that are looking to grow their profile within your industry.

Sometimes that'll be enough to have them bringing up a couple potentials. But more times than not, they'll just smile, nod and say they'd be happy to. That's okay – you’re now "on record" with them that you're looking to add a couple additional sponsors and you've "deputized" them to help you in your search.

Now that you've got their verbal "buy-in" ... see if how, moving forward, you can't start helping them to help you.

What do I mean by that?

Easy – keep an eye out for any particular sponsorship "candidates" that you might have an interest in tapping into that are coming into contact with your current sponsor.

For example – let's say you notice that your current sponsor is also a sponsor of "XYZ" conference. (This conference attracts similar "types" of attendees as you do…) That said, are there any OTHER sponsors to this "XYZ" conference that you think might be a great fit for your event?

Great! Simply put the bug into your existing sponsor's ear that you'd welcome an introduction into one of the decision-maker's at this other sponsor's company. Ask your sponsor if they wouldn’t mind grabbing you a name, or better yet ... a business card into this potential sponsor's decision-maker.

In short – help your existing sponsor's keep their antenna up for you with other potential sponsors. (Now don’t forget ... the key here is to be sure that you're making your existing sponsors "deliriously happy"! Do that and no doubt they'll be more than happy to spread a little love your way!)

Good luck!

There're Sponsorship Opportunities in Everything (cont.)

One of my recurring themes in our biweekly blogs is harping on the fact that there are truly all kinds of opportunities going on out there with our events.

For instance, most conferences, seminars, trade shows, association gatherings and the like have someone on hand snapping pictures, yes? They're up there in front of the room getting candids of the keynote speaker in mid-sentence ... they're tucked away in corners snapping off cameos of members/attendees networking with one another. And there're bound to be lots and lots of small "staged" group photos – members and guests standing there smiling at the camera in groups of four-to-six. Great stuff for the upcoming newsletter and brochure!

But don't overlook a great opportunity here...

If you've got any kind of sizeable group ... say 50 or more ... have a photo area set aside in the general congregating area complete with a backdrop screen identifying the event (or association) you're all attending. (Backdrops with a "wallpaper pattern" of the group's logo or name are pretty common out there. You can get these done easily via most signage companies. The ones we use at the Sports Forum are BlueMedia – www.bluemedia.com, and trust me, they're awesome!)

But here's the kicker --- have your photo area "sponsored". Mix in the sponsor's logo into the backdrop "wallpaper pattern" of your event logo. (To see a great example of this – just tune into about ANY professional team's post-game news conference. NFL, Major League Baseball, NBA, NHL ... makes no difference ... they all have sponsored photo/TV interview backdrops now. They look great ... make your event look "big league", and are a great piece of sponsorable inventory!

Good luck!

Where were the Sponsors?

Last week in my blog posting I wrote about how I just got back from speaking at the 2009 Glazer-Kennedy InfoSUMMIT in Atlanta. It was a great opportunity and I certainly had a blast.

And I was glad to see, while there, that the GKIC folks had sold sponsorships to the InfoSUMMIT – as well they should. It was a great opportunity, a "natural" ... and no doubt a handsome revenue stream for GKIC.

But what I thought was interesting was ... here I was, the only speaker on the entire 3-day program that was addressing the topic of sponsorship. And at one point during my presentation I gave a "shout out" to the conference's sponsors ... asking them to kindly stand up and take a bow. And you know ... not ONE representative from any of the event's sponsors was in the room. There must've been 500 people in that ballroom and not one of 'em was a sponsor.

I don't know – I find that odd.

Here they were – five companies that had, no doubt, invested a lot of money to sponsor this conference, and not one of them turned up to learn more about how to best take advantage of sponsorship. (Even if just for curiosity-sake, I think I would've been there...)

Which is a "lesson" for any of our "BtyB.." blog readers that sponsor events. If you're going to do it ... do it! Don’t just write a check. To get the maximum return on your investment, roll up your sleeves and get involved. Participate, attend, learn ... don't just hang out at your booth or up in your room returning e-mails. (I would've understood if all the sponsors were networking out in their booths during my presentation; however, the Trade Show was closed ... so I truly have no idea where they were.)

We see this happen annually at our late-January/early-February conference, the National Sports Forum, (http://www.sports-forum.com/). Not with sponsors usually --- but with our trade show exhibitors. Here they pay all this money to be there and have a space at our show --- yet during the hours when the trade show is closed and all of our attendees are in breakout sessions --- instead of picking out a session to sit in on in order to learn about their client's problems (..problems by the way where they, the vendors, might have solutions for..), they're instead sitting in their booths reading USA Today or perched in a lounge chair returning e-mails or phone messages.

I just don't get it. We've had exhibitors over the years that attended our NSF breakouts literally thank us for allowing them access to the agenda programs. They said that sitting in and listening to their clients & prospects discuss their businesses (..and their problems/needs) was like, "…shooting fish in a barrel!".

So the lesson is: If you’re going to go to all of the trouble to be there ... be there!

The Devil's in the Details

By the time you read this posting, we'll have just returned from our trip to Baltimore, MD and several days of "final walk-thru" meetings with all the various partners, hosts, suppliers and coordinators of our upcoming 2010 National Sports Forum conference (www.sports-forum.com). It won't be long now – in fact, we're just about exactly three months away from "Show Time"!

This will be my second trip into Baltimore in advance of our annual conference/trade show. And the reason why is that we want to make sure that EVERY DETAIL that we can think of has been taken care of. Oh sure – stuff always comes up. Always will. But as the headline above says: "The Devil's in the Details". We want to do everything we can to make sure that there are no surprises come our third and final trip into Baltimore next January.

And these details affect not only those operational components for our event – but making sure that all the special needs our sponsors are going to require are addressed and taken care of. Budweiser, for example – is our senior-most sponsor and they sponsor probably our highest traffic'd event, The Budweiser Gala. Got to make sure that the big details as well as the "little" details have been taken care of. (For instance, we'll be making arrangements to have all of Budweiser's competitor's tap handles removed from the hotel and at M&T Bank Stadium – the site of the Budweiser Gala.) We can't have Bud's competitor's stadium signs taken down, but we would if we could.

Another one of our sponsor's just signed a major sponsorship deal with one of the club's hosting us in B'more. We want to make sure that their new "product" is featured as part of the Stadium tour. One of our exhibitors, Fan Cans, supplies special "themed" trash cans for the Ravens at M&T Bank Stadium. Well ... since they're an exhibitor of ours … we'll want to make sure that their trash cans are prominently featured around the stadium that our attendees will all see during the Budweiser Gala tour.

Yes we have to make sure the buses are on site when needed ... and that the Printer has all of our copy for the Official Program ... but to this, we'll be keeping our sponsor's interests equally forefront in mind when we conduct our final walk-thru. No surprises makes for happy sponsors. (And happy sponsors renew!)

See you when we get back!

A Little Background...

For those of you that are new readers to our blog (…and that should include just about everybody… given that we just launched this a couple weeks ago…), we want to welcome you.

For logical reasons, most submissions that we're going to post will deal directly with Sponsorship issues; however, by way of background, for those of you that don’t know much about me or our company – sponsorship is only ONE of the things that we "tackle" here at Seaver Marketing Group.

Our "roots" are in the sports industry (…sports sponsorship and sports promotions to be precise), and we drew on these roots some fifteen years ago in launching our annual conference & trade show, The National Sports Forum.

The business of sports – for those of you that may not be sports fans out there … is huge – in fact, sports is now the nation’s fifth largest industry!

And our event, the NSF, gathers the top team marketing, sponsorship, sales, advertising and fan entertainment executives together each winter, (…usually the week leading into the NFL's Super Bowl).

Each year we draw together about 600-700 executives from across the industry -- the NFL, Major League Baseball, the NBA, NHL, Major League Soccer, the Minor Leagues, Auto Racing, Colleges, Horse Racing … you'll even find a handful of Sports Commissions there with us each year in attendance.

To this nucleus, we're joined by corporate sponsors, sponsorship agencies, event management firms … and a Trade Show hall that’s been (thank you!) sold out for years now.

And as you might imagine when you get a conference hall full of sports business executives together -- sponsorship is one of the PRIMARY topics we address each year.

I tell you all this so that you won't be surprised when you pick up a bit of a "sports theme" to many of my entries here. Sports currently accounts for about 65% of ALL sponsorship dollars spent each year – so it's the 3,000 pound gorilla out there in the sponsorship world.

As for our conference, the Sports Forum isn't open to the general public; however, should any of you be curious to learn more about the NSF—please feel free to take a tour through our website: www.sports-forum.com.

Again, thanks for joining us – we're delighted you found us! Here's looking forward to "talking sponsorship" with you (…even if there's a little bit of a sports flavor mixed in!)