Some Areas We Considered in Planning an Event • Conceptualizing the event • Marketing & Management • Human resources • Event administration • Control & budgets • Event logistics • Staging the event • Evaluation
What is Sponsorship • It is a commercial relationship • There needs to be demonstrate tangible benefits for both sponsor and event • For the sponsor it must be more profitable than other forms of promotional opportunities • Sponsors have a limited budgets • What makes your event worthwhile
Trends influencing the Growth of Sponsorship • Growth & increased popularity of events themselves • Particularly globalized televised events – Sporting & Cultural • Sponsors can reach consumes while they are having a ‘good time’ – thus establishing a positive bond • Ability to tap into niche market demographics • Increased use of relationship marketing • Consumer cynicism re traditional advertising • Rising costs & lower results of traditional advertising • Global financial downturn will impact event sponsorship – both + & -
Why Sponsor • First you need to ask the question – how does sponsorship fit within the marketing plan for the company/event?
Why sponsor Sponsorship can • Increased awareness of company and product • Increase product identification with a particular lifestyle • A means of product and market differentiation • A means of entertaining key clientele • A merchandising opportunity • Building product or corporate image • Opportunity to represent commitment to a particular community • Lock competitors out of an activity • Demonstrate product attributes • Generate sales
Is sponsorship appropriate for an event • Sponsorship is not appropriate for all events • Does the event have some benefit that can be offered to potential sponsor? • Does the target audience approve of commercial sponsorship? • Are there companies that would not be suitable sponsors? • Does the event organisation have people with the expertise and time to construct and produce sponsorship packages? • Does the event have a policy on sponsorship?
Events – Development of Sponsorship Policy • The event’s history of sponsorship and their approach to it • Event’s definition of what constitutes sponsorship V’s grants or donations • Event’s objectives, processes & procedures for seeking sponsorship • Rules for sponsorship • E.g. are there companies you will not deal with & the rationale • Procedures for the dealing with sponsorships • How will this information be shared as part of the events shared vision
Identifying appropriate sponsorship • Sponsorship is normally part of corporate marketing strategy • Market intelligence • How do you find out corporate strategies? • Annual reports • Company announcements • Networking • Event opportunity analysis • Realistic self assessment of sponsorship opportunity
Develop the Sponsorship Strategy • Profiling the event’s audience • Creating the event’s asset register • What assets does the event have? • E.g. Naming rights, opportunity to sell product, venue signage, exclusivity, sponsor networking opportunity etc • Building the event sponsorship portfolio • Sole sponsorship, tiered levels of sponsorship, sponsors negotiate and leverage own benefit • Matching event assets with potential sponsors • The sponsorship approach • Presenting the proposal – (see next slide) • Knowing who makes the decisions?
Sponsorship proposal • How will sponsorship reach the targeted audience • E.g. Naming rights, banners or posters, merchandising or Logo in programmes etc • What publicity is planned • How is the targeted to the targeted audience • What networking opportunities are there • What opportunities for product sales or demonstration target market are there? • Entertainment opportunities for sponsor • Price – is it cost effective with other forms of promotion
Points for an Successful Proposal • Sell benefits – not features of the event • Address the sponsor’s need not those of the event • Tailor the proposal to the business category • Include promotional extensions • E.g. Not just the asset purchased but all benefits of sponsorship – such as hospitality etc • Minimise risk • Present proposal in terms of total impact
Sponsorship business plans • Formalising the agreement • What are the quantifiable outcomes for the sponsorship package • Timelines • Forecast of sponsorship costs - Budget • Human resource costs • Areas of accountability • Evaluation
Servicing the sponsors need • Understand the sponsor • Making the sponsor feel special • For example meeting celebrities • Acknowledge the sponsor at every opportunity • Sponsorship launch • Media monitoring • Professionalism
Control • Making sure what happens is what was planned to happen • Comparing what was planned to what is happening – and returning it to what was planned • Control affects every aspect of events management • Project Management • Logistics • Human resources • Administration
Control • Control requites two complimentary activities • Information processing • Feedback on what is happening
Control • Establishing standards of performance and ensuring they are realized • Identifying deviations from Standards of performance • Correcting deviations
Controls • Operational controls • Used for the day to day running of the event • Organisational controls • Relate to the objectives of the event organisation For example is the event profitable
Budget • The plan expressed in numbers • Includes costing, estimated income & allocates financial resources • Compare actual costs & revenue with projected costs & revenue
Budget • Costing • Estimating income – Revenue • And allocation of Financial Resources • Cash Flow • This is why you did the accounting unit !!!!
Legal • The legal responsibility of the event organiser • The legal identity of the event • Who has ownership and legal liability • The need to minimize legal liability • You need legal advice !!!!!!!
Contracts • Legal agreements between parties • Events may have numerous contracts with • Entertainers • Venue • Sponsors • The media • Re the of trade marks and logos • Etc, etc
Risk Management • All areas of the event needed risk management - Including • Administration • Marketing and public relations • Health and safety • Crowd management • Security • Transport
Development of the risk management plan • Identification of potential dangers • Work – what exactly are people required to do • Can you run test events? • e.g. smaller sporting events leading up to major sport events • Is the risk internal to the event organisation or external? • What is controllable by the event company? • Fault Diagram – What if this happens – what is the impact – how can we prevent it • Contingency plans • Scenario development • Consultation
Risk Management Planning • The evaluation of risk • How likely is something likely to occur? • What happens if it does occur?
Control of Risk • Control of risk – you can • Cancel and avoid the risk • Diminish the risk • Reduce the severity of risks which do eventuate • Devise backups and alternatives • Distribute the risk • Transfer the risk
Some specific event risks • Crowd management • And crowd control • Alcohol & Drugs
Logistics • Getting everything into place
Supply logistics • Supply of customers • Marketing • Ticketing • Queuing • Transport • Supply of product • Transport • Accommodation • Artists need • Supply of facilities • Security • Power • Water • Contractors
Event site logistics • Flow of audience, artists and equipment around the site • Communication • Amenities • Consumables • VIP and media requirements • Emergency procedures
Event Shutdown • Removal • Cleaning • Contract acquittal
The logistics plan • Would normally cover • A general contact list • A site plan • Schedules including timelines and bar charts • Emergency plan • Subcontractor details, including all time constraints • Onsite contacts including security and volunteers • Evaluation sheets
Staging events • The term ‘staging’ originates from the presentation of plays at the theatre • The main concerns of staging are • Theming and event design • Choice of venue • Audience and guests • Stage • Power, lights and sound • Audio visuals and special effects • Catering • Performers • Crew • Hospitality • The production schedule • Recording the event • Contingencies
Evaluation • Is the process of critically of observing, measuring and monitoring the implementation of an event in order to assess its outcomes accurately
When to evaluate events • Pre-event assessment • Market research of the event • Benchmarking against similar events • Setting targets • Monitoring the event • Ticket sales • Monitoring the budget • Monitoring for quality control • E.g. Dispersal of cleaning staff to match crowd patterns • Post-event evaluation • The gathering of statistics and data on the event and analysing them in relation to the event’s mission & objectives
Report to stakeholders • The host organisation • Did the event achieve its objectives? • Sponsors • What information would sponsors want ? • Funding bodies • Tourism bodies • Did the event generate tourism • Tourist numbers • Tourism spend • Bed nights
Evaluation procedures • What data is needed • How, when and by whom is are to be gathered • How is it to be analysed • What format to use in the final reporting • Where could data come from • Observational techniques • Feedback meetings • Questionnaires and surveys • Economic impact studies • Media monitoring and evaluation