Being a part of a relevant moment in consumer’s lives through an indirect way, such as sponsored events can expand and deepen a brand’s association with its target market. Regular encounters with brands may also affect consumer’s brand attitudes and beliefs.
Example – IEG Sponsorship Numbers
Events – Objectives
1. To identify a specific target market
Customers can be targeted based on various factors such as geographical, demographical, psychographic, or behavioural.
2. To improve the prominence of the brand
Event sponsorship grants sustained exposure for a brand which is a necessary condition for reinforcing brand prominence.
3. To generate essential brand image associations
Events have affiliations that aid to create or augment brand associations.
4. To improve corporate image
Sponsoring events can enhance judgments about the company and make it more amiable and esteemed.
5. To create experiences and instil feelings
The feelings induced by an exciting or fulfilling event may obliquely link to the brand.
6. To commit to social causes
Cause-related marketing involves sponsorships for nonprofit organizations and charities; this builds the brand’s goodwill in the eyes of the consumers.
7. To encourage employees through rewards
Various events include luxurious accommodation tents and other specialized services or activities only for their sponsors and their guests. These specialized amenities incite goodwill and build important business contacts. From an employee perspective, events possibly act as an incentive and build cooperation and morale.
A major portion of local grassroots marketing is event marketing, which successfully communicates characteristics and benefits along with a sense of attachment with the brand through unique and exciting experiences.
Here the basic idea is not to sell something but to describe how a brand can add value to a customer’s life experience. Several firms create their events and experiences such that they gather consumers and media attention and engagement.
Companies even attempt to build a strong image by inviting potential customers to visit their offices and factories. Several companies are also creating off-site product and brand experiences.
Example: Mercedes Stadium
Inaugurated in August 2017 the Mercedes Stadium acts as a replacement for the Georgia Dome. It serves as the home stadium of the Atlanta Falcons of the National Football League (NFL) and Atlanta United FC of Major League Soccer (MLS). Mercedes bought rights for naming the Falcons’ stadium in 2017, for a recorded sum of $324 million across 27 years.
Passengers flying to Atlanta’s Hartsfield-Jackson Airport can evidently see it as the logo on the rooftop is supposed “the biggest Mercedes-Benz logo on the planet” according to a blog post by Dieter Zetsche, chair of Mercedes-Benz owner Daimler.
Example 1 – GoPro Gives Media Hands-On Access To Its New Toys
GoPro went quid pro quo for the launch of its HERO5 camera, Karma drone and new accessories and software solutions. Instead of taking the traditional way of conveying the features of its products through a press event, the brand exposed journalists, influencers and athletes at a small interactive “day camp” in Squaw Valley, CA.
At the camp, the guests were allowed to use the items at their own pace giving them a hands-on experience. Influencers and media representatives were invited to capture footage from a variety of adventure activities like mobile ziplining, horseback riding, cruiser bike rides, archery, wall climbing, mini-golf, hiking, etc along with the opportunities to use the Karma drone at various launch points throughout the camp.
Press representatives were also given access to an editing room with computers and GoPro editing software to keep the attributes of their experience fresh and their readers updated. The approach paid off as the event had 320 attendees, including U.S. and international press, and generated over 500 million impressions in the U.S. alone.
Example 2 – Victoria’s Secret Fashion
The Victoria’s Secret Fashion Show is a yearly promotional event that is sponsored Victoria’s Secret starring its range of lingerie. Victoria’s Secret from 1995 to 2018 used the show for advertising its goods in a high-profile setup. Here the models that are contracted by the company are known as Victoria’s Secret Angels and are the chief participants at the event.
The epic fashion show has been influential in the business’s success. It has dramatically grown since its inception in New York in 1995, to the grand televised function that it is now. In total, 2,500 stories published internationally translated to more than 4.5 billion media impressions.
Their fashion shows aim to draw people to their stores, and the event certainly yielded success as they observed a $1.2 billion profit in 2015, which further rose in 2016. The 2016 fashion show recorded spending
Example 3 – FIFA World Cup
The World Cup is recorded as the world’s grandest sporting event, with 3.4 billion people watching the monthlong, quadrennial tournament. 1 billion people have watched the 2014 World Cup Final between Argentina and eventual champion Germany, according to FIFA records.
$1.18 million was the price for the most costly ad in the U.S. during the final match of the 2014 World Cup, according to Standard Media Index. $177 million was the advertisement revenue gained by Univision during the 2014 World Cup, per Standard Media Index. ESPN made $65 million and ABC $47 million. The event made much more money and acted as a valuable platform for several brands to get recognition.
$20 million which included the “$3 million fantasy bra” worn by model Jasmine Tookes.
Example 4 – Red Bull
Red Bull breaks records with Stratos mission featuring skydiver Felix Baumgartner Red Bull Stratos was a mission that featured an Austrian skydiver Felix Baumgartner diving from a height of 128,000 feet (about 24 miles) up in the stratosphere from a high-altitude balloon.
The stunt took place on 14 October 2012. It was part of Red Bull’s mission to “transcend human limits” and comprised of a team of specialists from various domains including aerospace medicine, engineering and pressure suit development. The experiment is recorded as Red Bull’s most high-profile stunts till date and set a benchmark for the brand as well.
Recovering some of its expenses by licensing to CBS for around $1 million helps with the television cost. 30-second ads were reported to sell for about $200,000 during the hour-long fashion show. The fashion show was cancelled in 2019 in the very year when its organizer, Edward Razek, resigned under public pressure which resulted in declining ratings and sales.