How much will be invested in activating the sponsorship?
This question is as important for the sponsor as it is for the sponsored party.
The biggest payment
Activation is the biggest payment a property can receive.
A good activation:
- Promotes the sports property (club, league, athlete, etc.)
- Attracts interest from potential sponsors
- Develops new assets for the property
- Justifies the return when negotiating a renewal
The joint development of assets designed exclusively for the sponsor makes all the difference.
Heineken is one of the brands that has traditionally stood out for shining in the field of activation:
01) Consistency. More than 20 years raising a toast in the football space through its partnership with the Uefa Champions League.
02) Scope. Supporting multiple editions of the Women’s Champions League and the Euro has strengthened the brand’s authority in football.
03) Creativity. Always putting the fan at the center, the brand has developed actions and campaigns that are difficult to forget.
The right ratio
We often hear that the fee-to-activation ratio should be somewhere between 1:1 and 1:3.
What is the correct proportion?
It’s the same as asking: what should the production-to-media ratio be in an advertisement?
Unfortunately, it depends.
As a marketing tool, sponsorship serves business objectives, and every company has its own.
Heineken’s goal in F1 is not the same as that of the newcomer Louis Vuitton. Spotify’s goal with FC Barcelona in its first contract year is not the same as in its last.
So, it depends.
Beyond the objective, other factors such as timing and the number of markets being activated also play a role.
Before signing
It’s important to confirm that success is possible.
Is the activation budget enough to achieve the objective?
Worse than not signing a contract is signing a contract doomed to fail.
Activation allows us to do what matters most: deliver on our promises.
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