I think the global epidemic has come to an end, but the impact of the pandemic, which has brought a new concept to the sports industry for over two years, needs to be evaluated in all areas of the various sports industries. perspective. From sports law to sports organization content, from sports media to the digital sponsorship process, this is today’s topic.
Is traditional sports sponsorship becoming a thing of the past?
Personally, I’m optimistic about the future of sports sponsorship and investment. We believe it will not only return to previous levels, but will also return in a more efficient, more digital and more data-driven way. I think the question is how to plan a new global sponsorship architecture for the sports industry.
Digital Sponsorship Revolution in Sport Management and the Beginning of Digitalization
Digital transformation in the sponsorship industry began long before the pandemic. In the 2014 sports sponsorship digital market, there were already digital competitors trying to do the same by digitizing the sponsorship industry. But then the market wasn’t ready. I still clearly remember that the sponsorship manager of a third league German football club laughed at us at a conference when the issue of digitization of sports management was raised at the Ajax Academy in the Netherlands in 2012. He said professional sports organizations wouldn’t use digital sponsorship tools and wouldn’t need additional sponsors anyway. The year is 2022 and it’s hard to confirm that you’re wrong. Fast forward to 2022 and the digitization of the sponsorship industry will continue altogether. Companies currently investing in the latest trending sports technology show that they are ahead in digital sponsorship.
How technology is transforming sports sponsorship
In recent years, technology has transformed the sports industry. Assistive technologies such as the soccer video assistant referee (VAR) and the tennis Hawkeye system have changed the rules of the game. In addition, new distribution channels and formats have had a major impact on how live sports are consumed by fans.
Social media has allowed brands to significantly expand their reach and make their image more global. New applications such as virtual reality (VR) and augmented reality (AR), holograms, or exclusive online content such as Formula One’s virtual paddock club are entering the business world of people’s daily lives and sports organizations. ..
These developments offer an important opportunity for sports sponsorship. First, you can use new digital advertising rights in addition to your existing physical rights. The partnership between Amazon Web Services (AWS) and the National Football League (NFL) immediately comes to mind. This sponsorship not only created additional marketable rights, but was also in perfect harmony with the value of AWS digital brands, enhancing the fan experience by providing additional insight into sports. increase. A clear win-win-win …
Second, digitization extends the scope of traditional sponsorship by replicating the same content across multiple channels. Third, digitization allows sponsorship managers to make better decisions based on measurable data. The importance of this cannot be overestimated. Sponsorship has always been, competing with other forms of marketing. Many of these have long had complex audiences and access to the data they provide, but even reliable measurements of sponsorship’s predictive reach have long been difficult to obtain. Finally, the sponsorship management process is also becoming more and more digital. This significantly reduces transaction costs and allows brands and rights owners to focus their time on activating sponsorship rather than managing it. To be sure, sponsorship is still a people-based business, and I don’t think it will change. The human intuition behind the sponsorship decision cannot be completely replaced by algorithms or other artificial intelligence. However, the process of identifying potential opportunities for the partnership candidate list, the contact process, and all administrative tasks after signing the contract can be almost completely digitized.
Summary summary: You can see the process of digital sponsorship in all areas of sports. Expectations of companies investing in sports are no longer the same as before, and mutual benefits seem to be on different platforms. We’ll be expecting you.