Strategies to increase event revenues through sponsoring
July 5, 2019 |
by Elisabeth Treffler
Conferences , Exhibitions
Regular events pose different challenges when it comes to creating sponsorship packages. If they take place annually or semi-annually, the packages are usually uncomplicated. But what happens when the events take place monthly or weekly? How do you create sponsorship programs? Do you sell the entire season as one package? Or do you sell them individually per event? Follow these tips to create compelling sponsorship programs for your recurring events.
1. Try to establish partnerships instead of simple sponsorship.
Ideally, if the events are recurring weekly, you would like a sponsor to be committed for the duration of your event season. If the event is a regular one, with no end time in the future, you may need to split sponsorship offers quarterly or otherwise specify a period. But if your event runs for a certain number of weeks or a season, finding sponsors who become real partners will save you headaches because you won’t have to find new sponsors during the current season.
How to find sponsorship partnerships:
Find organizations that are consistent with the mission of your event. Many companies are looking for ways to show their “softer” side. For example, if you know a company that markets its Children’s Foundation and that fits a key aspect of your event, suggest a partnership.
Consider the demographics of your target group and coordinate with organizations that are interested in this group.
Contact the marketing department of companies and tell them why your event is suitable for them.
2. Make it easy to say yes to sponsorship
In order for you and the sponsor to become partners, they may need to offer certain services. An event planner who will help the sponsor to coordinate his needs with local government commissions or the city for regular events and obtain approvals would be one option. The sponsors would certainly like to work with such a person.
Consider these sponsors as business partners and you will be more successful in attracting them. Try the following:
- Help them with city ordinances or licenses that are important for your event. Of course, this is not usually the responsibility of an event organizer, but sponsors will appreciate your efforts.
- Create a tailor-made sponsorship plan for each company and their needs Find out what the sponsors’ needs are or what problems they have and who their ideal customer is, and create packages that sponsors can identify with.
- Introduce the new sponsor to a long-time sponsor who could be beneficial to his business or help him understand what it is like to work with you.
3. share relevant event data of the entire participant trip with your sponsor
Before signing the sponsorship agreement, make sure that the sponsors have the data they need to understand the value of your event in terms of the target audience present. Ideally, they will sign a contract that will cover the entire season of your event, but even if this is not the case, it is a good idea to provide this important data throughout the period in which you are hosting the event. People do business with those they know, like and trust. By providing up-to-date information, you can build trust.
Keep the following in mind when communicating with sponsors:
- Give them the demographic information and data they need to make an informed decision.
- Ask if you can send them the event information that they want to keep in mind for next year, next week, season, etc.
- Establish an ongoing partnership. Keep sponsors up to date with current data regarding event participants. Budgets and business requirements change. Stay in touch and provide up-to-date data and ROI calculations.
A no today could turn into a yes tomorrow.
4. Focus on making the sponsor visible to attract new sponsors.
If you contact a company that has never sponsored anything before, it may not have all the materials and resources it needs. Look for ways to help make sponsoring your event as easy as possible.
This may also be the case if you are trying out a creative new event sponsorship idea that is out-of-the-box. The targeted sponsor may not have the necessary branding and resources to manage and successfully apply this new type of sponsorship.
Look for ways to help him to do these things at a reasonable price.
- Use your existing community relationships to ask for favors and help potential sponsors. Sponsors love recurring events because they often mean recurring revenue.
- Make recommendations for mutually beneficial relationships.
- Meet with the marketing team/manager to understand what they need. So you guarantee a win-win situation.
- Explain to the sponsor what visibility they can expect on the website, print media, event app, and other marketing and communication channels. It may be attractive for the sponsor if you agree to take care of the physical branding materials, such as stage decoration.
5. Be honest about your recurring audience profile
Is your recurring event one that attracts a new audience every week or are they the same people every time? This will be important for sponsors. For sponsors who sell a product or service that has a long sales cycle, it can be advantageous to have the same audience every week because they can start building and reaching a new customer base. For sponsors seeking brand recognition, a consistent audience is also an advantage.
However, some sponsors will be reluctant to hold weekly events because they are the same group of attendees. These sponsors will often be companies where the customers’ needs for a business transaction are satisfied for a longer period of time. Once they have satisfied consumers’ needs, they will no longer be able to do business with the same group of people in the future.
Be honest about your event participants so that your sponsors do not wonder about your audience. It is better to lose someone in the early planning stage than just before the sponsorship contract is to be signed.
Ideas on how to see your audience from the sponsor’s point of view:
Analyze your event participants so that you know if they are the same people or a changing audience.
Find out as much as possible about your event participants. Do they come from outside or do they live at the venue?
Track traffic patterns, data flow, attendance, and other important data so you can provide sponsors with as much information as possible. For example, if your potential sponsor is interested in local attendees and you get more of them during the week, you can aim for a weekday partnership and outsource the weekends to someone else, giving sponsors the broadest possible reach for their ideal audience.
6. Study Calendar of Events
If you contact sponsors for recurring events and hope to work with them seasonally or for several weeks, you can check the local calendar of events. What else happens during the time you are hosting your event? Are the sponsors you want to work with involved in these other events? Is it perhaps not possible for you to participate in your event?
If this is the case, you don’t have to pull the sails before you even start. Instead, come to the meeting with ideas for potential sponsors on how to participate in both events. Being prepared by doing your homework means you are more likely to make a sponsorship deal.
Examine and understand the following:
Review your local calendar of events and note events that are targeted at the same demographic as yours. Look at the sponsor lists that go with it.
Identify any sponsorship activity that the company has confirmed at other events, on their website or in social media.
Explore the reach of other events and compare them to yours. What do they offer, what do you not do, and what do you offer that others lack? Who gets more local participants? Who has more visitors? With the help of analysis, you can identify overlaps and potentials for sponsors.
7. Work towards long-term sponsorship contracts
Costs are lower if you can get a sponsorship commitment for the entire duration of the event. If not, try to ensure the largest possible time period, for example, a monthly or six-week agreement. The added security is a big advantage for your event and saves you money on printing, sponsor presentations, and other administrative and marketing issues.
Beneficial for sponsors to commit to your event for a longer period of time. Give them something they want in return for their commitment.
Think of exclusivity offers. What can you offer them exclusively?
Consider multi-year discounts. If your event lasts several years, it will be easier for sponsors to say yes to several years. However, if they are required to pay the entire sponsorship years in advance, it is not “easy” to say yes. So prepare a realistic payment plan.
With the help of doo, participant data from registration, communication or on-site can be professionally collected, evaluated and integrated into your internal CRM system. This data is the basis from the acquisition to the negotiation of your sponsoring contracts. The doo guest management solutions help you to fulfill both participant and sponsor interests.
Let us advise you!