2021 Trends Report - 04 Data-Led Sponsorship
With many industries struggling last year, brands were looking to cut costs (or at least justify them). This meant those working within a brand’s marketing department needed to substantiate their spending, particularly around sponsorship. In the past, sponsorship has provided brands with old, unreliable metrics – such as media values – which are now under attack. In contrast, media owners such as Google and Facebook provide measurable returns to brands through accurate ad targeting based on the data they capture. Consequently, brands will increasingly be looking for sponsorship to provide the same rigour. As a result, sports organisations need a more sophisticated approach to how they use data. This will allow them to one up digital and data-led marketing by commercialising the fan directly. Furthermore, rights holders that do activate digitally on top of traditional sponsorship rights can help commercial partners to see greater returns on investment. Agency CSM Sport & Entertainment have realised this through CSM Engage. The platform has the ability to develop partnership performance deal models for rights holders and their sponsors. Account Director at CSM Engage, Jason Steele, concludes, “If rights holders accelerate themselves to become true media owners they could service performance marketing and entertain very fruitful commercial models whereby partnerships are incentivised on performance (via CPA or affiliate based models). An important move if rights holders need to generate new and diversified revenue streams.”
This is an excerpt from the 2021 Trend Report. Sign up to the newsletter to receive a link to the full document (attached inside the welcome email).