SPONSORSHIP CAN ONLY BE SUCCESSFUL IF YOU WIN ON THE TRACK

A sponsorship program that is totally dependent on success on the track is asking for trouble. There can only ever be one winner on the track and regardless of a team or driver’s ability, there is no guarantee of success.  Therefore a sponsorship program has to be independent of performance.  It has to survive on its own merits and be much deeper than just racing.  Indeed, in reality most sponsors are not that successful on the track, yet their sponsorship programs are extremely successful because they are not results-dependent.  In addition, success on the track is no guarantee to success off the track.  If a team or driver does well racing, the marketing benefits are only realized if the sponsor has a program in place to take advantage of them.

SPONSORSHIP IS EXPENSIVE

The cost of sponsorship has to be compared to a number of criteria. Costs need to be reviewed against objectives and benefits and also compared to other medias that achieve the same objectives and benefits. A good sponsorship should represent value for money.

SPONSORSHIP IS JUST FOR BIG COMPANIES

Whether a sponsorship is suitable for a business depends on the objectives a business sets for the sponsorship. High profile international television exposure is not appropriate for every company.  The key is to establish whether a sponsorship can benefit a business and then to tailor the sponsorship to the objectives for the bushiness.

SPONSORSHIP DOESN’T PROVIDE A GOOD RETURN ON INVESTMENT

If a program is set-up and run correctly it can provide an excellent return on investment, more so than other traditional advertising and marketing mediums.  The return has to be compared to objectives.

THE EFFECT OF SPONSORSHIP IS INTANGIBLE

Analyzing the effectiveness of a sponsorship is not easy and can be quite subjective and intangible.  However, it is possible to quantify the effectiveness of a sponsorship if it is measured against its objectives.  One must also remember that the true effectiveness of every marketing medium, including conventional television advertising, is subjective and difficult to clearly quantify.