Getting Corporate Sponsorships

GETTING CORPORATE SPONSORSHIPS What are corporate sponsorships? Corporate sponsorships are a form of advertising in which companies pay to be associated with certain events and organizations, such as nonprofits. When the sponsorship of a nonprofit or charitable event is involved, the sponsorship activity is often referred to as event marketing or cause marketing. Corporate sponsorships are not advertising, which involves paying for a message to be delivered to a specific audience (billboard, online media, etc.). And they are not a philanthropic donation like a grant to a nonprofit. How do I identify the right corporate sponsor? Sponsors that “have a heart” for your cause Sponsors whose product or services align with your donor base, client base, board members, or other sponsors Sponsors that have previously sponsored events or organizations like yours What questions should be asked before seeking a sponsorship? What financial level are they likely to sponsor? Who will sponsor from our current base? Who will help us acquire other sponsors? Will a sponsor hurt our brand? How can a sponsor’s brand help my organization? What types of organizations do they support? What dollar amounts do they sponsor? Is an in-kind contribution possible? Who should I contact? (don’t pitch the wrong person, never give your package to someone and ask them to pass it on) How can I get an appointment? (don’t sell over the phone) What are target market demographics? Do they want to participate in an event or just get exposure? What returns do they want? (logo placement, tickets, VIP, media, priority to other events) What location do they want? What is the value of your brand? What are your organization’s assets that have value to the sponsor? Steps to acquiring sponsorships 1 - Develop a compelling unique sponsorship package: Background: Introduction to organization, use of funds, profile of board, audience you reach (demographics, total numbers) Event details: date, day, time, location, current sponsors, ways for sponsors to participate Timeline: schedule for all activities (also include ad specs in the package if relevant) 2 – Find the correct person to pitch and build a relationship 3 – Develop a prospect list and a plan for each approach (including one person to call for each) (Two reasons you didn’t get the sponsorship: wrong play or the wrong person called) Developing an event that best fits your organization’s needs: Purpose: Fundraising vs. sponsor or donor development Donor base demographics Average age Average income Number of donors Location of donor base Time of year Assessment of any conflicts with another event that you produce, or events in the community Examples of Events 5/10 K run/walk Blood drive Family festival Fashion show Gala Golf tournament Networking event Poker tournament Street fair Job fair Giveaway event (toy drive) Wine & painting Wine & taste Workshops Bundled events annual one sponsorship price Honoring event State of the city Local heroes Building an event Date: watch for holidays and other large events in the community Type: what type works best with your donor base, board, community Sponsorship levels: determine the amounts to ask for each Financial planning: always do a P&L statement before planning an event - Identify the income centers Steering committee: have sub-committees for each major activity and a chair and co-chair KEY: sponsor and guest greeting committing Venue: is the venue an asset or liability? (location, traffic, parking, food, public perception, price, flexibility to work with you, unique, size) Outside advertising and PR podcast, print, radio, signage/banners Other key elements Promise deliverables Find the right person to approach in the company Always follow up…test, under promise and over produce Don’t put follow up in the sponsor’s court; if they are to get back to you have a date to follow up Reasons to sponsor or not sponsor Competitor is sponsoring with a larger sponsorship They don’t have the manpower to staff the event They know it’s a tax write off Event built for client entertainment Getting leads and making sales Developing relationships business development Community awareness Considerations Timetable to sponsor, printing, promotion, give them a closing date Never play them off against a competitor There are more events to sponsor than sponsors (discuss how you can work together & ask what they want) Understand their process to sponsor, dollar amounts that need board approval Be happy to get a relationship going with a small sponsorship, look to the long term Be flexible and willing to negotiate so the sponsor gets maximum value for their investment Have a follow up plan…be careful on how much money you spend for a thank you gift Types of closes This is our event how would you like to be involved? Some know, others you have to lead (ask can they see the benefit of sponsoring your event) The best close is you are offering them a way to get the most from their investment, relationship, community benefit, sales, awareness, Major brand sponsorship, even in kind can tell others that a company endorses you and has looked under your hood (due diligence)