7 Thesis from CCI how it is going to look like Bled/CCI...Launching the first European-wide Flashmob...
Transcript of 7 Thesis from CCI how it is going to look like Bled/CCI...Launching the first European-wide Flashmob...
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Session 3
Sponsorship Trends:
7 Thesis from CCI how it is going to look like
Dr. Patrick Cotting, [email protected]
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 1
From Price to Value:
„Not the Price of a Sponsorship Property is important,
but its Value to the Sponsor.“
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Why Companies Sponsor …“9” & “10” Ratings 10 means “extremely important”
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Why Companies Sponsor …“9” & “10” Ratings 10 means “extremely important”
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Strategic Philanthropy
Sporadic Sponsorships
Marketing Partnerships &
Cross-Promotions
Strategic Sponsorships & Partnerships
Economic Value
Social Value
low high
high
low
NOT PRICE, BUT VALUE: Sponsors maximize social and economic value
© The CCI Matrix
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 2
From one department to multiple departments:
„A NO from one department might
be a YES from another.“
Trend 2
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
systematic approach
Supportive Sponsorship/
Good Citizenship/ Corporate Social Responsibility/
Ownerships
Commercial Sponsorship & Marketing Partnerships
Foundation/ Board
Marketing & Media
Image relevant Sponsorship & Partnerships
Corporate Communication
NOT ONE DEPARTMENT, BUT MULTIPLE The Organization is getting more complex
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 3
From Exposure to Sharing
„It is not just about visibility. It‘s about content.“
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
THE OLD DAYS – EXPOSURE IS KING
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Differentiated
Positioning Value
For Sports Property
Indifferent
Low Value for Sports Fan High
Hearing
Seeing
Watching
Experiencing
Sharing
© The CCI Positioning-Value Model
DEVELOPMENT
THE NEW DAYS
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Idea / Creative Approach from me
Bringing the commercial spot into REALITY
Launching the first European-wide Flashmob contest: Let people do sth together for 90 seconds
Related to the actual Swatch campaign
Link to an upcoming sport event (FIFA World Cup ‚06)
Teasing the event
Crossmedia approach
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
http://www.swatch.com/zz_en/shootmyride.html
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 4
From MEDIA as Gatekeepers to MEDIA as Partners
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Alinghi was renting a « Rendez-vous » space every Wednesday evening at prime time on Eurosport.
156 different episodes produced and
broadcast. Commercial ads before and after the
program for the official sponsors of Alinghi.
Alinghi paid a flat fee to Eurosport to
get the space, the commentary, the marketing and ad rights and the distribution to 115 million households.
Each episode was watched by an average
of almost one million consumers.
The Example Alinghi TV - Eurosport
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 5
From CASH to IN-KIND:
“It is much easier to find a sponsor that pays in material, services,
know-how, marketing... “
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Advantages Challenges
The Club/ Federation gets new sponsors: more B-2-B companies are getting into the sponsorship market.
Event organizer can reduce significantly his costs in manpower, material, insurances, print costs, marketing costs etc.
Maximizing revenues and
increasing efficiency.
What is the value of „in-kind“ value: what shall be given in return -> rethinking the models how to sell sponsorship.
ADVANTAGES AND CHALLENGES OF IN-KIND CONTRIBUTIONS
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Players Salaries
Renting Facilities/
Stadium
Advertising, Promotions, Marketing, Merchandising
Articles
Security
Equipment
Logistics ...
Who might be willing to cover these costs
in exchange for Marketing,
Communication and/or Business rights?
EXAMPLE: Expenditures of a Ice Hockey Club
Private Equity companies Staffing companies
Government
Media companies, Ad agencies, Event Management agencies Members (let them be viral)
Security companies
Technical companies
Logistics, Travel service companies
EXAMPLE: Expenditures of a Ice Hockey Club
Players Salaries
Renting Facilities/
Stadium
Advertising, Promotions, Marketing, Merchandising
Articles
Security
Equipment
Logistics ...
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Example 2: Motivate Sponsors to thank the Fans...
REAMONN (Supergirl)
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Quest for the Best Goodwill Balls
Fan-Tastic
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 6
From a Sponsorship Policy to a Revenue Policy
“Sponsorship is just one option, out of a range of potentially even more important revenue sources“
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Revenue from Price
policy
Revenue from Memberships
programs
Revenue from
Investments and Capital
gain
Revenue from Merchandising,
Shop, Restaurant,
Library, Product sales
Donations: - Money - in-Kind* - Time
*can be material, know-how, products, services, media value...
Private Persons
Companies
Donations: - Money
- in-Kind* - Time
Revenue from Sponsorship Activities
Service: - Money - in-Kind
- Services - Information
Direct
Indirect
Fiscal deductions
after donations
Exoneration Tax
Revenues resulting from
Marketing activities
Subsidies from
the Lottery
Donations Public Financing
THE REVENUE OPTIONS: The need to develop a Revenue Strategy
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Trend 7
From Companies that invest into sport
to companies that invest into the fans...
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Wrapping-UP
© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Old New
Price
One department
Exchange
Gatekeeping
Cash
Exposure
Sponsorship
Sport
THE FUTURE Summarizing the Shift
Value
Multiple departments
Relationship
Partnering
In-kind value
Community
Finance/Revenue Strategy
Fans
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© IIHF 2010 | Proprietary and confidential Dr. Patrick Cotting, [email protected]
Contacts
Dr. Patrick Cotting
CCI COTTING CONSULTING LTD.
Zurich / Fribourg / Madrid
[email protected] / +41 79 637 04 19
www.cci-cotting.com