Technology and Event Sponsorship

This essay examines the impact of technology and the internet on event sponsorship, exploring how digital tools have transformed the way companies engage with consumers, build brand awareness, and generate revenue through sponsorship. It analyzes case studies of successful event sponsorships, highlighting the benefits of leveraging digital platforms and strategies.

ESSAY
(To what extent, and how, has technology and the internet impacted upon event
sponsorship)

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
CONCLSUION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
In the recent competitive environment has become very important for company to
implements digital transformation. Internet, mobile applications, email etc. help organisations in
increasing productivity and engaging with consumers in better manner. Event sponsorship is the
activity in which company invest some amount on particular occasion in order to gain some
additional benefits. These additional profits include increase sales revenue, improve brand image
etc. Each firm aims to raise its profit and want to develop healthy relationship with consumers so
that they retain in business for longer duration. Sponsorship provides such benefit to company
and create positive image in the mind of views of that event. Present study will explain the extent
to which digital technologies and internet impacted on event sponsorship.
MAIN BODY
Asper the view of Thorpe, (2017) Technological advancement has significant impact on
economic development of business. In the recent time many companies are taking support of
digital technologies and internet in order to attract new consumers and investors as well. Digital
technologies create opportunities for business. Sponsorship is the investment by one person for
accessing commercial association with particular activity or to get high return over invested
amount. Event sponsor can be defined as firm that provides funds for an event in exchange of
some valuable things. One of the main agenda of sponsoring some event is to move the
organisation forward. There are many sponsorship events that have different values for business.
The Bronze package, silver and Gold package are several packages of patronage. Each package
has different benefit and create opportunities for the firm. For example: TechCrunch disrupt
conference event was sponsored by New Relic which is cloud based software programs. Initially
all participants were asked about new product development and then sponsors have arranged
food and drink for all invited people. This sponsorship helps New Relic in building strong
relationship with target audience and knowing about needs and preferences of consumers. That
has supported business in taking right action to improve its products and that has improved
satisfaction level of consumers to great extent.
McKelvey and Grady, (2017) argued that Digital technologies provide that opportunities
to sponsor partners and help them to get additional values in exchange of this sponsorship.
Before sometime when these digital techniques were not in use, at that time investors were not
having interest in investing in such kind of events because they were able to generate money out
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of it. Sponsors invest in only such plans in which they believe they can get rewards to great
extent. Internet and digital applications have changed the scenario of market and people can
enjoy games and can view live matches. This is the tool that helps companies to have dialogues
with consumers. Sponsorship creates opportunities and provide a platform through which
enterprises can exchange information with consumer and can build strong relationship with
them. This is the great platform through which promotion of products and services can be done
significantly. Now –a-days companies are taking assistance of digital marketing tools that aids
them to reach to target audience most easily and attracting more customers towards the brand.
Digital technologies and internet has positively impacted event sponsorship. For
example: FIFA world cup has leverage their sponsorship by using internet tie- ins. FIFA world
cup 2018 was now sponsored by McDonald’s, Vivo, Budweiser, Hisense, Luci etc. One of the
main agenda of McDonald’s to sponsor FIFA world cup was to raise its awareness among people
and attract more consumers towards the brand. Authorities have planned to broadcast this event
on internet and digital sites as well. Now people were watching that sport live, this increases
chances for sponsors to highlight their brand name. Digital activities have helped companies in
raising engagement with fans and enhancing brand awareness as well.
According to Rumpf and Breuer, (2016) One of the main reason of sponsoring event is to
get marketing benefits. In the recent time, each event is being telecasted on television and social
networking sites. Millions of viewers watch such events. It is not possible for each person to
attend such big event hence most of the people take support of social networking sites or internet
to watch such kind of interesting occasions. Sponsors get opportunities to be visible and get
connected with millions of consumers. On other hand Juska, (2017) stated that digital
technologies fail to make connection with viewers because when person watch any even live on
social sites of any other platform then individual pay less attention of sponsors hence digital
technologies don’t impact on event sponsorship.
As per the view of Delia, (2017) Digital technologies have boosted the sponsorship to
great extent. There are 60billion exceed sponsorship spending as compare to previous years. For
example: Red bull spend a lot in sport events. In the year 2006 Red bull has sponsored Metro
stars and have named it “The New York Red Bulls”. After sponsoring this team, Red Bull has
gained massive popularity and sales of company has increased greatly. Now 18-29year people
are interested to buy such products which now has become the key target audience of Red Bull.
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Internet has developed connection among people, now citizens of one country can get connected
two other person of other nation easily (The impact of digital media on sponsorship campaigns, 2014). In
the recent time people take interest in live matches whether it is cricket or any other game. There
are many big sporting events occur that are telecasted live. Such events gain worldwide attention
from mass audiences. For example: Premier League game was telecasted on television and social
media. It has around 4.7 billion viewers, that means if companies sponsor such sport events then
it would get benefit of getting connected with such a large audience.
Juska, (2017) stated that Digital technologies such as social media has become the
popular place or platform, most of the sport lovers use social sites during live sporting events.
They not only watch it live but also share it or post it. That is the reason that now most of the
business units are sponsoring such big occasions because they get promotional opportunities.
Digital technologies and internet has encouraged event sponsorship to great extent. Furthermore,
when firm sponsor any team or any event then it becomes sign of prestige. Employees feel so
happy that they are working with the great business unit (How Sport sponsorship is joining the digital
age, 2018). Use of digital technologies supports enterprises in exposure of logo that enhances
presence of firm in market. Reports of 2016 survey shows that 74% consumers know more about
any company after exposure into a branded event.
Tribeca Film festival is the most popular festival which was sponsored by AT&T in the
year 2014. Another example of event We Day which was sponsored by Microsoft. We Day was
the big event or the stadium size program which was organised to appreciate young people who
have contributed well in local and global community development. This has helped Microsoft in
raising its brand image and fulfilling its corporate social responsibility. In the year 2003 New
York city Marathon was sponsored by ING Group. This Marathon was broadcasted on
televisions and many social networking sites have become promotion partners. But later on it
was sponsored by TCS and now it is officially known as TCS New York city Marathon. By
sponsoring company has get huge opportunity and become able to connect with mass audience.
TCS knew that digital technologies will spread this event across the world and it would help in
promoting the brand successfully (Key sponsorship trends in the use of technology and data,
2019).
According to Thorpe, (2017) In the recent time companies are taking support of T.V,
newspapers and social sites to promote their brands. But use of internet and digital technologies
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have encouraged sponsors to invest amount in big events. As this is the great way to promote the
brand and raise brand image. This event sponsorship aids in raising engagement with consumers
and gaining more positive results as compare to traditional and non-traditional marketing tools.
For example: Rugby World cup 2015 was sponsor by social media Facebook and Twitter. There
were around 270 million videos of tournament which was downloaded and viewed by several
times. This has raised profit of Facebook, Twitter and these companies have planned sponsor
such kind of events in the future as well.
World cup 2014 was sponsored by Apple and Coca-Cola. It was assumed that iBeacon
technology will help in increasing ticket sales. Mobile applications, and internet give amazing
experience to fans. Furthermore, RFID technologies are used in many events, that gives amazing
experience to people to click photos etc. Sponsors continuously look for the exciting
opportunities that may help them in gaining attention of audience.
As per the view of McKelvey and Grady, (2017) event sponsorship helps in developing
vendor relationship. Furthermore, it is beneficial in making emotional connection with buyers
and making them positive towards the brand Before few years HubSpot’s have sponsored
INBOUND conference first time, but firm had to bear huge upfront cost. Though, cost of
sponsoring that occasion was too high but amount of return was also great. The main benefit of
this investment was lead generation, firm has become able to generate leads that later on
converted into end users. Whenever organisation sponsor any event, at that time it gets list of
people those who are participating inti. Furthermore, viewers those who are watching that event
live on their social sites or other platform. This helps the enterprise in connecting with people
and making them consumer of the entity. Digital transformation or use of internet has influenced
event sponsorship positively. As it helps in promoting the brand and getting high return over
investments. This event becomes the promotional activity for HubSport through which it has
made connected with mass audience and developed its brand image as well. This was the
occasion that has improved profitability and productivity of business unit to great extent.
According to Rumpf and Breuer, (2016) Statistical records of2011 show that 58% British
Fans look at the sport content via print media. Over period of time digital channels have
supported sponsors to reach to mass audience and create a positive image their mind. Digital
tools supported companies to emphases on each demographic element and reach beyond the
geographically area. Chairman of Sport industry group Mr. Nick Keller have relieved that cross
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media strategies encourage sport sponsors as it supports them to develop relationship with sport
fans and get more return over their invested amount on sponsorship. In this digital age sport
industry has received amazing opportunities, such kind of digital tools have benefitted sport
industry. By this way companies or sponsors become able to understand needs and taste of
buyers and offer them products accordingly. For example: O2 have sponsored England Rugby
team which is named as “Wear the Rose”. The main reason of sponsoring the team was to
combine traditional calls with sponsorship activation. O2 has received amazing virtual
experience from this investment. Hence digital technologies have impacted on event sponsorship
to great extent. On other hand Delia, (2017) argued that going global is the main benefit of
digital technologies and internet that encourage sponsors. For example, Liverpool Football club
has around 40 million followers on social media globally. It has make partnership with many
other brands that has helped in reaching to mass audience in new territories. In the year 2014 US
snack brand Dunkin’s Donuts has sponsored this club. Furthermore, Nivea has become sponsor
partner of Liverpool football club. By this sponsor event these companies have made connection
with global consumers and become able to expand their business across the world (Key
sponsorship trends in the use of technology and data, 2019).
CONCLSUION
From the above study it can be concluded that digital technologies and internet are
essential tools that supports business unit in market their products and services significantly.
Digital transformation allows firms to enhance customer engagement and increase revenues as
well. Digital technologies boost the event sponsorship to great extent, that encourages sponsors
to invest money in particular occasion with the intention to get more benefit. Internet, use of
social media support the companies in attracting new buyers hence sponsors are investing or
becoming sponsors of big events.
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REFERENCES
Books and Journals
Delia, E. B., 2017. A digital ethnography of fan reaction to sponsorship termination. European
Sport Management Quarterly. 17(3). pp.392-412.
Juska, J. M., 2017. Integrated Marketing Communication: Advertising and Promotion in a
Digital World.
McKelvey, S. and Grady, J., 2017. # JoinTheConversation: The Evolving Legal Landscape of
Using Hashtags in Sport. J. Legal Aspects Sport. 27. pp.90.
Rumpf, C. and Breuer, C., 2016. Digital technology and sport sponsorship. Critical Issues in
Global Sport Management. pp.266.
Thorpe, H., 2017. Action sports, social media, and new technologies: Towards a research
agenda. Communication & sport. 5(5). pp.554-578.
Online
How Sport sponsorship is joining the digital age. 2018.[Online]. Available through<
https://www.marketingweek.com/2015/04/22/how-sport-sponsorship-is-joining-the-
digital-age/ >
Key sponsorship trends in the use of technology and data. 2019. [Online]. Available through <
https://www.lawinsport.com/topics/features/item/key-sponsorship-trends-in-the-use-of-
technology-and-data-part-1-latest-innovations >
The impact of digital media on sponsorship campaigns. 2014. [Online]. Available through <
https://blog.optimy.com/impact-digital-media-sponsorship-campaigns/ >
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