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Abstract

The purpose of this research study was to examine the effect of sports sponsorship on the promotion of sports events. While scholars have explored the main reasons why corporations sponsor sports events, they have not illustrated the overall effects of sponsorship on the promotion of the events and the factors affecting these outcomes. For this study, a quantitative approach with the use of a questionnaire was adopted; data were collected from 400 managers and organisers of sports events. The research questions addressed how the brand image of the sponsors improves when they sponsor sports events and what effect sponsorship has on the success of the events. Our findings showed that businesses that sponsor sports event gain improved brand image, increased exposure to customers and increased sales. Sports event managers and individual players also benefit from sponsorships. The study findings indicated that sponsors give technical, expert and financial support in exchange for improved brand awareness and brand image, which ultimately increases their revenues.
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nt. J. Business Innovation and Research, Vol. 22, No. 2, 2020 191
Copyright © 2020 Inderscience Enterprises Ltd.
The effects of sponsorship on the promotion of
sports events
Mohammed T. Nuseir
Department of Business Administration,
College of Business,
Al Ain University of Science and Technology,
Abu Dhabi Campus, P.O. Box 112612, Abu Dhabi, UAE
Email: drmnuseir@yahoo.com
Abstract: The purpose of this research study was to examine the effect of
sports sponsorship on the promotion of sports events. While scholars have
explored the main reasons why corporations sponsor sports events, they have
not illustrated the overall effects of sponsorship on the promotion of the
events and the factors affecting these outcomes. For this study, a quantitative
approach with the use of a questionnaire was adopted; data were collected
from 400 managers and organisers of sports events. The research questions
addressed how the brand image of the sponsors improves when they sponsor
sports events and what effect sponsorship has on the success of the events. Our
findings showed that businesses that sponsor sports event gain improved brand
image, increased exposure to customers and increased sales. Sports event
managers and individual players also benefit from sponsorships. The study
findings indicated that sponsors give technical, expert and financial support in
exchange for improved brand awareness and brand image, which ultimately
increases their revenues.
Keywords: sponsorship; sports marketing; sports sponsorship; promotion of
products.
Reference to this paper should be made as follows: Nuseir, M.T. (2020)
‘The effects of sponsorship on the promotion of sports events’, Int. J. Business
Innovation and Research, Vol. 22, No. 2, pp.191–207.
Biographical notes: Mohammed T. Nuseir is an Associate Professor in
Business and Marketing with a cross-cultural background and possessing
superior academic and training experience at multinational academic institutes
and corporations. He holds academic degrees from American and Canadian
universities along with his professional experience in training senior
management levels in a wide variety of fields such as e-marketing strategies,
marketing management, social media, international business, sales and human
resources management. In addition to his experience in teaching UG and
graduate level students and his experience in conducting specialised training
programs, he has been supervising Master and PhD students. Moreover, his
work extended to research papers, where he has published many papers in
collaboration with some fellows in peer-reviewed regional and international
business journals, with a focus of topics that aim at organisational development
and international organisations operating in Jordan and the ME region.
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1 Introduction
The importance and popularity of sports over the past 50 years have given rise to a new
industry, the sports industry. The past three decades have seen significant growth in this
industry (Saeed et al., 2014). The fantasy sports industry relies highly on efficient
customer relationship management (CRM) for much of its success. The ability for a
provider to deliver quick, accurate and descriptive information to its consumers will
result in customer loyalty and retention (Smith et al., 2010).
Major sports events have become an important feature of global business and sports
sponsorship has increased because professional sports organisations cannot function
effectively without the revenues generated from commercial activities (Faed et al., 2012).
Sports organisations rely on the sale of telecasting/broadcasting rights, sponsorship
income and ticket sales to hold sports events. The present study focused on the revenue
stream generated from sponsorship because it is a major source of funding for many
sports organisations. In 2017, expenditures on sports sponsorship were approximately
USD 16.62 billion in North America; this number is expected to reach USD 19.88 billion
by 2021. Total worldwide sponsorship spending in 2012 was USD 40 billion and is
predicted to reach USD 62.7 billion by 2018 (Statista, 2018).
Sports sponsorship plays a significant role in promoting and financing various games
(Houghton et al., 2014). Donlan (2014) explained that, although sports sponsorship
significantly helps to build consumer-based brand equity, a range of factors, including the
strength of the sponsor-event and the leverage of activities affects it. According to him,
the most successful sponsorships contribute to brand quality and brand loyalty. Koronios
et al. (2016) claimed that sports sponsorships promote various sports through the
provision of funds as well as sponsors’ products and services.
A special strategy known as ‘event marketing’, which has developed over the past
three decades, has been adapted to promote companies’ products and services when an
event is sponsored. According to BusinessDictionary.com (2018), “event marketing is the
activity of designing or developing a themed activity, occasion, display, or exhibit (such
as a sporting event, music festival, fair, or concert) to promote a product, cause, or
organization.” A sub-theme of event marketing is ‘marketing through sports’, in
which major sports events like the Olympic Games, the Union of European Football
Associations (UEFA) Champions League, the World Marathon Majors and the
Fédération Internationale de Football Association (FIFA) World Cup are sponsored and
live advertisements of companies’ products and services are shown continuously. This is
a big boost for marketing (Lynn and Close, 2011).
The funding of sports events can be extended to various levels, from small-town or
city-level events to world-level competitions such as the Olympics Games. As an
example of the latter, Toyota signed an eight-year, USD 1.64 billion deal with the
International Olympic Committee in 2015, covering the years 2017 to 2024 (Sport
Business, 2016). The other four firms involved in the top five sports sponsorship deals
of 2015 were AB InBev [USD 1.4 billion deal with the National Football League for
six years (2017 to 2022)], Nike [USD 1 billion deal with the National Basketball
Association (NBA) for eight years (2017/2018 to 2024/ 2025)], Adidas [USD 940 million
deal with Bayern Munich for 15 years (2015/2016 to 2029/2030)] and Verizon
[USD 400 million deal with the NBA for three years (2015/2016 to 2017/2018)]. Some
firms sponsor many games, while others extend financing to one or two specific sports.
For instance, the sport of cricket is sponsored mostly by PepsiCo, Toyota, Coca Cola and
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he effects of sponsorship on the promotion of sports events 193
Adidas. The major sponsors of soccer are Coca Cola, Nike, Adidas and Telecom. Rugby
is sponsored by Coca Cola, Unilever and Adidas, while golf is sponsored by Rolex,
Anheuser-Busch, Emirates, MasterCard and Coca Cola (PRO Sports, 2015).
The relationship between sports sponsorship and the marketing of companies
products and services is very strong. The commercialisation of sports has increased
the promotion and sponsorship of sports events. The involvement of businesses in
sponsorship programs results in increased brand awareness and a strengthened brand
image. Doshybekov et al. (2016) explained that engagement in sports sponsorship
ensures that sports organisations obtain the financial assistance they need to enhance the
quality of the sports events. On the other side, sponsoring businesses achieve both
tangible and intangible benefits, including boosting brand exposure and communicating a
positive image of the business to stakeholders. Studies conducted by Bocşe et al. (2012)
and Kwak et al. (2011) revealed that supporters are emotionally attached to the sport
when they attend sports events. Multinational corporations use this at layout attachment
as an opportunity to associate their products and services with the events.
While several studies have reported on the effects of sports sponsorship on business
development and sales, few researchers have studied the effects of sponsorship on the
promotion of sports events. The present study was undertaken to assess the effects of
sponsorship on the promotion of sports events.
This study was undertaken to bridge this gap, especially as it applies to the UK. The
objective of the present study was to answer the following questions: Does sponsorship
of sports events enhance the performance of sports organisations? And, how are sponsors
benefitting from sponsoring?
The paper is structured as follows: Section 1 introduces the subject of sports
sponsorship, Section 2 reviews sponsorship literature and Section 3 discusses the chosen
research methodology. Section 4 gives the results of the statistical analyses, Section 5 is
the discussion of the study while Section 6 presents the conclusions.
2 Literature review
Yupin and Goldfarb (2015) stated that the sponsorship of sports events is not a new
phenomenon. Ancient Greece sponsored the athletes of the first Olympic Games in
776 BC. Since then, sports sponsorship has gradually developed to involve an impressive
range of businesses. In recent years, the sponsorship of sports has steadily increased and
the amount of money invested has increased exponentially. As Koronios et al. (2016)
pointed out, the growth in sports sponsorship has been fuelled by an increased awareness
by sponsee (the sports organisers) and the sponsors (the businesses) about marketing
techniques, the use of mass media technologies and the benefits that accrue to both
parties. The emergence of new technologies has facilitated the popularity of sports events
around the world. The commercialisation and globalisation of sports have resulted in
several favourable circumstances for the businesses sponsoring the events and for the
sports organisations holding the events. The former has found that it is the best way to
reach the masses, while the latter have identified sponsorship as the best way to obtain
generous resources. Filis and Spais (2012) stated that sponsorship is the investment by a
company to create business relationships with the sports industry and individual teams.
This approach is also used to target specific groups. Sports sponsorship is popular
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because it allows businesses to expose their investments to spectators who are customers
of their products and services. Spectators give importance to the role of the sponsor of a
sporting event and they feel somewhat obliged to the business for sponsoring their
favourite game. Thus, indirectly, they are motivated to buy the products or services of
that business.
2.1 Exchange theory
Reams et al. (2015) argued that one of the most preeminent theoretical views on sports
sponsorship is given by exchange theory. There are two basic tenets of exchange theory:
the first suggests that sponsorship involves the exchange of assets between two parties,
while the second suggests that the assets exchanged by parties must be equitably valued.
Thus, give and take happens simultaneously, while both parties benefit.
According to Amoako et al. (2012), the sponsee give benefits to the sponsor by
increasing brand awareness and enhancing brand image, which are associated with
increased sales. The sponsor benefits from revenues and other services (Chirilă and
Chirilă, 2016). By investing in sports sponsorships, businesses not only enhance their
brand exposure, but they also help sports organisations to nurture talent (Renard and Sitz,
2011). Singh and Bhatia (2015) believe that by agreeing to sports sponsorships, firms not
only boost their brand exposure but also increase brand image among team supporters.
On the other hand, the use of sponsorship also promotes sports events.
Both parties involved in a possible sports sponsorship can conduct a cost-benefit
analysis before making their final decision (Singh and Bhatia, 2015), which may
strengthen their bond and help to sustain their sponsorship deal.
2.2 Sports sponsorship as a marketing tool
According to Czuchry et al. (2009), large businesses, as well as small to medium-sized
businesses that are attempting to manage rapid growth, must use innovative approaches
and strategies. Wonglimpiyara (2018) argued that using dynamic tools as innovation
enablers can help to effectively and efficiently maximise the success of emerging
businesses. Due to the benefits that businesses enjoy, their sponsorship of sports events
has increased enormously especially over the past 30 years (Singh and Bhatia, 2015). The
growth of sponsorship as a marketing tool is impressive. According to Yupin and
Goldfarb (2015), the increase in sponsorship budgets over the years demonstrates that
businesses consider the sponsoring various sports events to be proper investments. Faed
et al. (2012) stated that a wide range of sports sponsors has emerged, including
government agencies, non-profit organisations and corporate businesses. According to
them, the Olympic Partner Program received USD 957 million from sponsors in 2012.
Almost all companies that currently sponsor sports events do so according to their
capacity and status. The range of sponsees includes sports organisations at the highest
levels and individual athletes at the lowest rank. Sponsorships may be targeted to
seasonal competitions, small sports events or local tournaments. Sponsorship in global
sports events provides opportunities for the international marketing of companies’
products and services. Koronios et al. (2016) believed that sponsorship has become one
of the most popular tools for marketing communication within the corporate sector
and has become an important part of the marketing strategy of any organisation.
Organisations invest heavily in marketing communication and promotional activities
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he effects of sponsorship on the promotion of sports events 195
because they are sure to receive increased returns from this business action (Doshybekov
et al., 2016).
The ever-increasing cost of advertising has shifted the focus of businesses to
sponsorship. Changes in communication technology and fierce competition have urged
businesses to look for alternative ways of promoting their businesses.
Hutchinson et al. (2016) believed that businesses use sponsorships in different ways,
including sponsoring sports and cultural events. Sports sponsorship has the potential to
make positive a contribution to the sports industry as well as to society and has therefore
become an important part of the promotional mix of businesses. Sports is an unforced
domain in which businesses are ready and willing to invest.
Sponsoring businesses must develop a strong bond with their audiences (Tsiotsou
et al., 2014). The strength of the relationship between sponsors and sports organisations
determines the success of the sports events (Nufer and Bühler, 2010; Renard and Sitz,
2011). Similarly, Zaharia et al. (2016) proved that sports sponsorship is a co-marketing
alliance as well as a strategic partnership between sports organisations and businesses.
Yupin and Goldfarb (2015) have suggested that the increasing importance of sports
sponsorship has urged researchers to further investigate how it serves as a promotional
tool.
2.3 Effects, objectives and advantages of sponsorship
The sponsorship of sports event carries many advantages and benefits to both the
sponsoring companies and sports organisations.
2.3.1 Effects on and advantages to sports organisations
Monetary resources are the basic requirements needed to arrange and manage all sports
activities. Sponsorship in sports is aimed at providing financial assistance to event
organisers for successful events. Reams et al. (2015) reported that sponsorship has been
linked to the success of many sports events, without which they would have failed. Kwak
et al. (2011) stated that sponsors’ withdrawal of their sponsorships has affected the
operations of individual clubs. The authors pointed out that there could be various
reasons for a sponsor to pull out of a sports event. For example, if the event promotes
values that are negative or that conflict with the mission, vision and values of the
sponsor, the sponsor is likely to withdraw their sponsorship.
There is a clear line of distinction between sports sponsorship and advertising
Sponsorship may involve technical or financial support for the event organisers
(Doshybekov et al., 2016). The characteristics of sponsorship are different from those of
advertising and need to be recognised before being integrated into the promotional
campaign. Sponsors come on board based on the needs of the event. For example, media
sponsors offer their support for creating awareness of the event through their outlets,
while others may offer products used in the sports activities (Bohnsack et al., 2016).
The objectives of sports sponsorship can be achieved if they are aligned with the
overall marketing strategy of an organisation (Singh and Bhatia, 2015). Koronios et al.
(2016) suggested that sponsorship is used as an important part of fulfilling the
corporation’s social responsibility. Sponsors want to be part of the community and
sporting events provide an avenue for the business. Sponsorship has the potential to
develop effective relationships with the local community and the public. Moreover, it is
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also a highly effective and credible tool for promoting products and services. Changes in
marketing trends and the needs of consumers are changing the way marketing tools are
used and implemented by businesses. To maximise the benefits of sponsorships, it is
important for a business to integrate them with their overall marketing plans.
2.3.2 Sponsor’s sponsorship objectives
In the current era, sponsorship of sports events has shifted from a tactical to a strategic
approach by businesses. The market for sponsorship is very competitive and challenging.
Hence, to sustain a competitive advantage, it is important for businesses to carefully
evaluate the effectiveness of advertising through sports sponsorship. Investment in sports
sponsorships should be made only after careful consideration. Renard and Sitz (2011)
recommended that sponsorship decisions should be made after strategic planning.
Businesses have a variety of objectives for getting engaged in a sponsorship. The
objectives can be classified into media objectives and corporate/brand objectives.
Media objectives include cost-effectiveness and reaching a large target market, while
corporate/brand objectives as identified by Nobles (2017): motivating consumers to
retail, driving sales, lead generation, increasing brand awareness, brand engagement,
increasing brand sentiment, increasing brand preference and increasing/maintaining
employee morale and engagement.
However, the primary target for sponsorship is the customers. Lucas (2015) stated
brand objectives of sports sponsorship as changing customer attitude, establishing and
raising brand awareness, building brand loyalty, brand differentiation, quality image,
increasing corporate revenue and profits and improving workforce motivation.
The basic objective of any business is marketing and promotion of products and
services. Promotion is a broader term than traditional marketing and advertising as it
involves all forms of marketing communication (Farrelly, 2010). Promotion is one of the
most effective strategies used by businesses to communicate their products and services
to their target audiences (Tsiotsou et al., 2014). Promotion strategies play an important
role in differentiating a business from its competitors (Filis and Spais, 2012) and
achieving an edge over its competitors (Bohnsack et al., 2016). Sports sponsorship has
emerged as a very effective strategy for brand promotion and marketing in recent
years (Honglei et al., 2015). Businesses are aware of the importance of promoting their
products and services to their customers to face the present competition (Yupin and
Goldfarb, 2015) and satisfying their customers by managing the marketing mix in a
creative manner (Chirilă and Chirilă, 2016). The growth of sponsorship allows sponsors
to achieve the objectives listed above, because there is a positive relationship between
sports event promotion and brand equity (Tufail et al., 2014).
Sponsorship programs can drive brand name, provide an opportunity to reach to a
large target audience, enhance the image of an event and increase the awareness of
customers (Amoako et al., 2012). These result in increased ticket sales because,
according to Honglei et al. (2015), sponsorship is a communication tool that persuades
audiences to view a business positively. The increasing awareness of customers regarding
sponsorships has increased the imperative of businesses to better understand the
implications of corporate sponsorship.
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he effects of sponsorship on the promotion of sports events 197
2.3.3 Effects on and advantages to sponsoring firms
Sponsoring firms have their business and products marketed and advertised widely to the
spectators of games or through the electronic media. Sponsorship provides numerous
promotional opportunities to businesses, such as awareness of products and services
among the community and customers, leveraging contemporary advertising and
differentiating their brand from other brands. Sports sponsorship is a sophisticated and
versatile marketing tool that provides great potential to businesses. Sponsorships also
allow corporations to reach beyond national boundaries and connect with international
customers (Amoako et al., 2012). Other research has revealed that sponsorships could
enhance the promotion of sports events (Nufer and Bühler, 2010). There are also other
benefits to corporations, including market exposure and brand promotion.
Corporations invest in sponsorship programs to pursue various business objectives
and marketing strategies. Yupin and Goldfarb (2015) stated that there is a great impact on
the image of the brand if businesses are involved in sports sponsorship. Sponsors have a
greater influence on the arrangements of a sporting event when they sponsor it. For
example, they can ensure that their image is presented positively. When sponsors have a
well-known brand name, customers develop a positive and favourable attitude toward the
sporting event and they may be motivated to attend the sports event because a reputable
brand is sponsoring it. This may also have an impact on the intention of customers to
purchase the sponsor’s products or services (Tufail et al., 2014).
It is important for sports organisations and individual athletes to choose sponsors
that have a strong brand name and presence and that have a good fit with the sports
organisation and the event. An appropriate match between events and sponsors will
support both the promotion of the event and the sponsors’ products or services. The
selection of a sponsor that offers products and services related to sports adds even more
advantages to both partners (Tsiotsou et al., 2014).
2.4 Gaps and deficiencies of research in the field of sports sponsorship
Sports sponsorship is a relatively new field, so gaps in existing research exist. Although
the importance of sponsorship for sports events has been documented in the research,
empirical research related to the effects of sports sponsorship on the promotion of sports
events is needed (Bohnsack et al., 2016). The rapid growth of sports sponsorship
has triggered research in several key areas related to the objectives and rationale of
sponsorship investment, the evaluation of sponsorship and the management of
relationships between sports organisations and sponsors (Singh and Bhatia, 2015).
Doshybekov et al. (2016) stated that increasing managerial pressure on the
accountability for expenditures has increased the strategic importance of sports
sponsorship. Renard and Sitz (2011) recommended that sports sponsorship be considered
a part of integrated marketing strategies. Hence, sports sponsorship as a significant
component of strategic planning and implementation also needs systematic research.
Specifically, the following areas of sports sponsorship need further research:
The effects of sponsorship on the promotion of sports events and on the companies’
products and services.
The rational objectives of investing in sports sponsorships.
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Customers’ likeness quantum of the sponsorship who are also spectators or listeners
(for example, live, online, TV and radio) of sports events.
Strategic planning of investment in sports sponsorships covering the identification of
useful games, sports organisations, levels of events and the quantity of investment.
Understanding the mechanism for maximising returns from and the usefulness of the
investments.
The identification and evolution of standards by which sports organisations accept
sponsorships from specified companies, which should positively promote the sports
events.
3 Research methodology
This research used a quantitative research methodology with primary data collection via a
survey. Quantitative research has merits of numerical data and information, which can
indicate quantitative aspects of the problem being investigated while these data can also
be processed for testing of statistical significance. The data can be collected on selected
variables from a large population when appropriate sampling is put into practice.
Quantitative research consists of data collection through various forms of surveys:
online surveys, paper surveys, longitudinal studies, website interceptors, online polls and
systematic observations (Bernad, 2011; Bernad, 2011).
Potential respondents were sought from the official websites of sports organisations
in London, Manchester and Newcastle, UK. They were selected because they belonged to
sporting clubs within these cities that had well-established relationships with sponsors.
They were also selected based on the type of sponsorships they received. Sports facility
managers who had organised at least one big sporting event over the previous three years
were also eligible. Potential respondents were contacted via e-mail and telephone, were
introduced to the study and asked to answer the questionnaire via e-mail.
Four hundred and ten managers/organisers of sports events were recruited to this
study. One hundred and thirty soccer sports club event managers, 160 personal sports
managers and 110 sports facilities managers were surveyed using the study questionnaire
(Table A1). For ease of use, the questionnaire was designed using an online survey
tool. The survey took place between February 2017 and May 2017. Demographic
characteristics (age, gender, education level and job title) were also recorded for each
respondent.
Respondents were asked to give their opinion, on a 5-to-1 Likert scale (strongly
agree = 5, agree = 4, neutral/undecided = 3, disagree = 2 and strongly disagree = 1), on
the following statements (Table A1):
1 Sports sponsorship is an important part of sports events.
2 The perception of sponsors has an effect on the perception of sports events.
3 There is a logical connection between sports teams and sponsors.
4 The image of a team has an effect on the image of sponsors.
5 Overall, the attitude of participants toward sponsorship in sports events is positive.
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he effects of sponsorship on the promotion of sports events 199
6 Sponsorship would make me more likely to purchase tickets for sports events.
7 Sport sponsorship results in the promotion of sports events.
8 Sports sponsorship increases the awareness of sports events.
9 Sports sponsorship increases ticket purchasing for sports events.
10 The promotion of sports events on social media increases viewership.
11 Sports events organisers should choose their sponsors wisely.
The completeness of questionnaires was checked and deficiencies were addressed by
follow-up calls and e-mails. Data were tabulated and processed for the following
statistical analyses: descriptive statistics [mean and standard deviations (SD)], analysis of
variance (ANOVA) to assess significance and regression analysis to find relationships
between variables.
4 Results
4.1 Descriptive statistics
Male (53%) and female (47%) respondents ranged of various ages (young, medium and
old) and had various levels of education from secondary school to postgraduate.
Respondents held a variety of positions in their respective clubs or sports organisations.
Nearly half of them (46%) were public relations officers. About 42% of respondents
received individual sponsorships, 34% received club or team sponsorships and
23% received single event sponsorships. Responses to the eleven statements (number,
percentages, weighted averages and SD) are presented in Table 1.
The overall averages of respondents’ opinions about various statements varied around
4.0 (3.39 to 4.16) against a total of 5.0, which indicated a higher level of agreement
compared with disagreement. Greater numbers of respondents either strongly agreed or
agreed to the various statements compared with the numbers who were neutral. The total
number of respondents who disagreed or strongly disagreed was far less than the number
who agreed or was neutral (Table 1). There was no statement for which the number of
respondents who disagreed was higher than the number who agreed.
Five statements received the maximum number of agreements, with a weighted
average of more than 4 against the maximum value of 5.0. These statements were:
Sports sponsorship is an important part of sports events.
The perception of sponsors has an effect on the perception of sports events.
The image of a team has an effect on the image of sponsors.
Sponsorship would make me more likely to purchase tickets for sports events.
Sports sponsorship increases ticket purchasing for sports events.
A maximum number of respondents (322: 148 strongly agreed and 174 agreed, 81.8% in
total) agreed to the statement ‘the perception of sponsors has an effect on the perception
of sports events’, while only 2.8% of them disagreed and 15.5% were neutral (Table 1).
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The weighted average for this statement was highest (4.16) with an SD of 0.802, which
revealed comparatively less variation. A majority of respondents agreed (81.8%: strongly
agreed 37.6%; agreed 44.2%) with the statement ‘sports sponsorship is an important part
of sports events’, whereas 2.8% disagreed. Approximately, 15% of participants refrained
from giving any opinion on this statement. The weighted average of opinion was second
highest (4.12) for this statement, indicating that survey participants consider that the
perception of sponsors affects the perception of the sports event. The agreement of
respondents’ opinion on the statement ‘the image of a team has an effect on the image of
sponsors’ was 76% compared with disagreement of 5.4% of respondents, with a weighted
average of 4.03. The statement ‘sponsorship would make me more likely to purchase
tickets for sports events’ attracted 75.5% agreement, while only 5.9% disagreed, with a
weighted average value was 4.02. Regarding the statement ‘sports sponsorship increases
ticket purchasing for sports events’, 109 respondents highly agreed while 194 agreed
(77.6% in total). However, opposing participants were just 13 in number (3.4%). The
three statements: ‘there is a logical connection between sports teams and sponsors’, ‘sport
sponsorship results in the promotion of sport events’ and ‘sports sponsorship increases
the awareness of sport events’ had 70.4%, 68.1% and 65.2% agreement of opinion,
respectively, while their respective weighted averages were 3.91, 3.83 and 3.81 (Table 1).
These three statements remained intermediate in attaining the favour of survey
participants. The statements receiving the least level of agreement and weighted average
values in descending order were ‘sports events should choose their sponsors wisely’,
‘overall, my attitude toward sponsorship in sports events is positive’ and ‘the promotion
of sports events on social media increases its viewership’, with respective weighted
average values of 3.68, 3.61 and 3.39. The proportions of respondents who agreed with
these statements were 62.5%, 57.1% and 50.3%. The proportion who disagreed was very
low, but more participants reserved their opinion than disagreed.
The descriptive statistics indicated that all 11 statements were relevant to sports
sponsorship. However, differences of opinion were recorded when participants responded
to the various statements. Their replies highlighted diverse opinions related to sports
organisations, sponsoring businesses and spectators.
4.2 ANOVA and regression analysis
ANOVA and regression analyses were conducted to test the effect of sports sponsorship
on the promotion of sports events and to test the relationship between the dependent
variable (‘the promotion of sports events on social media increases its viewership’) and
the independent variables (statements 1–10 in Table 1). The correlation was considered to
be significant when the P-value was less than 0.05.
Regression analysis indicated that the performance of sports sponsorship depends
upon variables such as sponsoring events by companies. Therefore, relationship exists
between sports sponsorship, the logical connection between teams and sponsors,
the image of teams and sponsors, the attitude of stakeholders (teams, sponsors and
participants), the motivation of purchasing tickets, the promotion of events, the increase
in awareness and the choosing of sponsors wisely. However, the strength of the
relationship was greater and statistically significant with respect to a logical connection
between sports teams and sponsors and the wise selection of sponsors (as the P-values
were higher for the other variables, those relationships could not be assessed as
significant) (Table 2).
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he effects of sponsorship on the promotion of sports events 201
Table 1 Respondents’ opinions on the 11 statements about sports sponsorship
Number of parti cipants r espo nding (%)
5 4 3 2 1
Statements
Strongly a gree Agree Neut ral Disa gree Strongly disagree
Weig hted
average
Stan dard
deviation
1 Sports sponso rship is an important p art o f sports events . 135 (34.3) 183 (46.4) 68 (1 7.3) 4 (1.0 ) 4 (1.0 ) 4.12 0.796
2 The perception of sponsors has an effect on the perception of
sports even ts.
148 (37.6) 174 (44.2) 61 (1 5.5) 9 (2.3 ) 2 (0.5 ) 4.16 0.802
3 There is a logica l connect ion b etween s ports teams and spo nsors. 115 (29. 3) 161 (41.1) 86 (21.9) 26 (6.6) 4 (1.0 ) 3.91 0.930
4 The ima ge of a tea m has an effect on the image of spon sors . 130 (33. 3) 167 (42. 7) 73 (18.7) 16 (4.1) 5 ( 1.3) 4.0 3 0.894
5 Overall, the attitude of participants toward sponsorship in sports
events is positive.
98 (24.9 ) 127 (32.2) 100 (25. 4) 54 (13.7) 15 (3.8) 3.61 1.114
6 Sponsorship would make me more likely to purchase tickets for
sports even ts.
132 (33.8) 163 (41.7) 73 (18.7 ) 15 (3.8) 8 ( 2.1) 4.01 0.929
7 Sport spo nsorship results in t he p romo tion of s ports even ts. 113 (28.8) 154 (39.3) 85 (2 1.7) 30 (7.6) 10 (2. 5) 3.84 1.009
8 Sports sponso rship increases t he awaren ess of sp orts even ts. 117 (29.9) 138 (35.3) 90 (2 3.0) 35 (8.8) 11 (2. 8) 3.8 1 1.0 52
9 Sports sponsorship increases the ticket purchasing for sports
events.
109 (27.9) 194 (49.7) 74 (18.9 ) 10 (2.6) 3 ( 0.8) 4.02 0.802
10 Spo rts events organisers sh ould choose th eir sponso rs wisely. 75 (19. 1) 170 (43.4) 101 (25.8) 39 (9. 9) 7 (1.8) 3.68 0.953
11 The promotion of a sports event on social media increases its
viewership.
67 (17.1 ) 130 (33.2) 103 (26. 3) 74 (18.9) 18 (4.6) 3.39 1.112
202
M
.T. Nusei
r
Table 2 Calculated parameters of ANOVA and regression analysis
Regression analysis Analysis of variance (ANOVA)
Statements
Coefficients Standard error (SE) T stat. P-value F ratio Fisher (P-value)
1 S ports sponso rship is an impo rtan t part of sp orts events. 0.036 0.080 0.44 0.657 3.1 3 0.0152
a
2 The perception of sponsors has an effect on the percep tion of
sports events.
0.081 0.0 81 0.99 0.322 1.10 0.356 0
3 There is a logical connection between sports teams and sponsors. 0.117 0.058 2.01 0.045
a
3.14 0.0149
a
4 The image of a team has an e ffect on the ima ge o f sponso rs. 0.039 0.066 0.59 0.559 0.2 8 0.8906
5 Overall, attitude of participants toward sponsorship in sports
events is positive.
0.073 0.0 50 1.45 0.147 1.67 0.156 2
6 Sponsorship would make me more likely to purchase tickets for
sports events.
0.002 0.0 62 0.03 0.978 1.58 0.180 1
7 Sport sponsorship results in the promotion of sports events. 0.088 0.051 1.74 0.083 2.61 0.0353
a
8 S ports sponso rship in creas es th e awarenes s of spo rts events . 0.046 0.050 0.91 0.364 1.3 9 0.2364
9 S ports sponso rship in creas es t icket p urch asing for spo rts events . 0.099 0.068 1.46 0.144 3.71 0.005 7
a
10 Sports event s organisers sh ould c hoos e th eir spo nsors wisely . 0.6 79 0.051 13.36 0.000
a
47.44 0.0 000
a
Note:
a
Sta tist ica lly si gnif icant .
T
he effects of sponsorship on the promotion of sports events 203
The results of the ANOVA were different compared with those of the regression analysis.
Only five variables out of ten were evaluated as non-significant due to higher Fisher
values: the perception of sponsors, the image of teams, the attitudes of participants and
motivation toward the purchase of tickets; the remaining five variables were statistically
significant (Table 2).
5 Discussion
The cited literature has indicated that sports sponsorship positively influences all
stakeholders: the sports organisations, the businesses involved in sponsoring and the
participants in and spectators of the sports events (Donlan, 2014; Houghton et al., 2014;
Koronios et al., 2016; Lynn and Close, 2011). An overwhelming majority of study
participants also agreed that sports sponsorship has positive effects on all participating
parties. Sports sponsorship enhances brand image and brand awareness (Singh and
Bhatia, 2015); sports clubs receive significant financial help (Doshybekov et al., 2016)
and spectators increase their emotional attachment to the brands sponsoring their
favourite sports (Bocşe et al., 2012; Kwak et al., 2011). Brand awareness and brand
image are key aspects of sponsorship and the sponsoring of sports events has emerged as
a highly effective marketing tool for companies (Yupin and Goldfarb, 2015).
Sports sponsorship results in increased brand awareness. The replies of study
participants provide further evidence to this theory because a majority of them agreed
while fewer than 10% disagreed. Reams et al.’s (2015) exchange theory explains that
sports sponsorship works because sports organisations get funding for their events while
companies benefit from marketing and selling their products and services (Amoako et al.,
2012; Chirilă and Chirilă, 2016; Renard and Sitz, 2011).
Our statistical analyses further support the idea that key factors such as a link
between sponsorship and the promotion of companies’ products and services, effective
side-by-side marketing, customers likeness, financial support of sports organisations and
increased ticket sales are very important considerations when businesses are deciding
whether to undertake a sponsorship.
Sports sponsorship is an unforced domain in which businesses are ready and willing
to invest. Slowly but steadily, a strong bond between sports organisations, companies and
spectators develops, which benefits all stakeholders (Tsiotsou et al., 2014). Nufer and
Bühler (2010) explained that the strength of the relationship determines the effectiveness
of sports events, while Zaharia et al. (2016) proved sports sponsorship to be a
co-marketing alliance. When respondents to this study were asked to give their opinion
on these statements, they highly agreed and these responses were statistically significant
(Table 2). The brand name and customer perceptions of sponsors help in promoting
a sporting event among the spectators (Koronios et al., 2016). Customers’ trust of a
particular brand increases their likelihood of purchasing tickets for sports events (Tufail
et al., 2014).
The findings of our research have revealed that sponsorship has benefits for both
sponsors and sports organisations, which agrees with the findings of Tsiotsou et al.
(2014). Study results have shown a positive association between sponsorship and the
promotion of sports events. Our regression analysis supported a relationship between
variables, of which a few proved significant.
204
M
.T. Nusei
r
6 Conclusions
Our research was conducted to ascertain the effects of sponsorship on sports events
promotion and vice versa. The following conclusions were drawn from our findings:
Sponsorship significantly affects sports events as well as awareness of brand image.
Sponsorship is not only a source of financial assistance to sports organisations but is
also an important part of businesses’ promotion of their products and services.
There are positive associations and relationship between the sponsorship and
promotion of sport events.
Sponsorship is an important part of the promotional mix of sports organisations and
companies.
Sponsorship can be a powerful tool for marketing sports events as well as the
promotion of companies’ products and services.
Sponsorship is a popular medium for corporate communication.
The growth of sponsorship programs is associated with an increase in the use of
alternative ways to promote products and services.
Sports sponsorship is important from the perspective of the audience because it
promotes a distinct image of an event in their minds.
The increase in the cost of media advertising is an important factor affecting the
growth of sports sponsorship, which is expected to grow in the future.
Sponsorship programs are cost-effective.
The decisions to select sponsors for sports events need wise understanding and
planning, including taking into account the perspective of clients and customers.
The findings of the study have policy implications as well. It is important for sports event
managers and sports organisations to integrate sponsorships into their marketing and
promotional strategies. In addition, it is important for businesses to sponsor sports
events to enhance their brand image and communicate their marketing message to large
audiences.
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T
he effects of sponsorship on the promotion of sports events 207
Appendix
Table A1 Data collection questionnaire
Statements
5 4 3 2 1
Strongly
agree Agree Neutral Disagree Strongly
disagree
1 Sports sponsorship is an important
part of sports events.
2 The perception of sponsors has an
effect on the perception of sports
events.
3 There is a logical connection
between sports teams and sponsors.
4 The image of a team has an effect
on the image of sponsors.
5 Overall, the attitude of participants
toward sponsorship in sports events
is positive.
6 Sponsorship would make me more
likely to purchase tickets for sports
events.
7 Sport sponsorship results in the
promotion of sports events.
8 Sports sponsorship increases the
awareness of sports events.
9 Sports sponsorship increases the
ticket purchasing for sports events.
10 Sports events organisers should
choose their sponsors wisely.
11 The promotion of sports events on
social media increases its
viewership.
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... The involvement of businesses in sponsorship programs can result in a strengthened brand image. Sponsoring businesses achieve both tangible and intangible benefits, including communicating a positive image of the business to stakeholders (Nuseir, 2020). Sponsors of properties attempt to reach those property's consumer to try to enhance their brand image, improve brand equity, and/or drive brand sales, and these sponsors are willing to pay large sums to do so (Wakefield et al., 2021). ...
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Sponsorship has evolved to become a major component of corporate strategic plans. While there is an abundance of research on the benefits sponsorship provides brands, a significant gap exists in the literature understanding the impact sponsorship has on event attendees’ experience. Framed with the Consumer-Centric Sponsorship-Linked Marketing Communication Model, the current paper utilizes two studies to assess the impact of event sponsorship to enhance attendees’ experience and how that enhancement impacts attendee outcomes. Results of Study 1 indicated sponsor’s enhancement of attendees’ experience significantly predicted attendees WOM and purchase intention directed towards the sponsor. Study 2 findings suggested that sponsors’ enhancement of attendees’ experience also significantly impacted attendees event satisfaction and future attendance at the festival. The paper contributes to the sponsorship and events literature by exploring the bidirectional nature of event sponsorship in creating value for a variety of stakeholders.
... In marketing theory, for a sponsorship buyer, it is part of a set of promotional potentials. (Meenaghan, 1991;Nuseir, 2020) For the seller, sponsorship is the basis of obtaining financial and other resources for the functioning of a sports organization, realization of events, or professional growth of athletes. This paper aims to present the complexity of sponsorship goals from the perspective of the sponsorship buyer. ...
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The two-sided focus of sponsorship goals in sports is present due to the existence of two parties in the sponsorship relationship. The buyer of sponsorship and the seller of sponsorship have different goals, but they also have common goals related to the interest to realize the sponsorship according to the plan, as well as to achieve the maximization of the effects of the expectations of both parties. That common interest is of primary nature and leads to partnership. The separate goals of the participating parties are defined in such a way that mutual interest gets fulfilled. The goals of corporate sponsors are determined by motives, and in most cases they are external and opportunistic, that is, commercial. However, the goals can be also internal and altruistic, and as such focused on highlighting other benefits, such as building good relationships with employees and other participants in the value delivery chain that the sponsor promotes, including the public. The analysis that follows is based on literature research and already existing conclusions regarding the nature of goals and motives in sponsorship. The aim of this paper is to verify the existing conclusions of the focus of sponsorship objectives in sports. The content analysis method led to the conclusion that the goals of sponsorship in sports can be defined through the categories of market, society, relationships and clan. This confirms the conclusions of previous research.
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The purpose of this study is to investigate the correlation between sponsorship and the performance and development of early career athletes transitioning from junior level to professional sports, because this issue has not been fully explored in the Czech Republic. The reason is the almost absolute absence of financial or material support for such early-career athletes, when their transition from junior categories and the entire junior category is almost always exclusively financed and supported by their parents and families. We also emphasise the absolute absence of legislative provisions that would give supporters of such athletes at least a tax or other advantage. The research is based on research of Cardenas (2023), Hong and Fraser (2023) and Moolman and Shuttleworth (2023) and aims to assess how financial and material support provided by sponsors can enhance an athlete’s performance and long-term career trajectory. A mixed method approach was adopted, combining quantitative analysis through surveys and performance data with qualitative interviews. Data from 173 early career athletes from various disciplines were analysed using t-tests and ANOVA statistical methods to assess financial stability, access to better training, and community participation. Results indicate that sponsorship significantly contributes to better performance metrics, with sponsored athletes showing a 20% improvement in competition results compared to nonsponsored athletes. Furthermore, sponsorship financial support improved training opportunities and access to elite facilities, which was shown to increase athletes’ performance by 15%. However, some challenges related to sponsorship obligations, such as marketing commitments, were highlighted by athletes, underscoring the pressures that sponsorship can introduce. The implications of this study suggest that effective sponsorship strategies can play a vital role in an athlete’s career development, offering not only financial stability but also opportunities for personal branding and increased community engagement. Another implication is a possible consideration for legislators in the context of preparing a legislative framework enabling tax or other benefits for companies and organisations sponsoring or supporting these young athletes. More research is recommended to explore the long-term impact of sponsorship on athlete mental health and career sustainability, as well as the differences in sponsorship effects across various sports disciplines.
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Purpose – The purpose of this study is to single out the key variables in the sport sponsorship relationship, and more specifically to examine the impact of Team Achievement, Sponsor Recognition and Sponsor Altruism on two major behavioural outcomes, fans’ purchase intention and word of mouth communication. Design/methodology/approach – A quantitative method was adopted for the scope of this research and questionnaires were collected from fans of a prominent Greek basketball team. A total of 801 questionnaires were collected and interpreted by means of SPSS. Findings – The proposed model was supported by the empirical evidence. All (with the exception of one) research hypotheses were confirmed, either fully or partially (all or some of the distinct dimensions of our independent variables have a significant effect on all or some of the distinct dimensions of the dependent variables). Research limitations/implications –The sample used was predominantly individuals highly involved in the sports club and in basketball in general. As a result, the overall accuracy of the identified sponsors may have been different in case of a different population o sample, not so familiar with these two factors. Furthermore, the fact that the results came from only one type of sport and also from sport fans of a specific club, makes their generalization more sensitive. Originality/value – This research tests an integrated sponsorship model, well known in the respective literature. Nevertheless, the results draw not on the general opinions of fans regarding sponsors but on their opinion about the actual sponsors of the team they support.
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We now commonly see that sports sponsorship is used by companies as part of their marketing efforts. The question that comes to mind is: why should the companies be interested in sponsorship? One view is that if sports sponsorship is done properly, it can provide good opportunities for distinct marketing and competitive advantages, and also showing support for the event. It is also considered as one of the communication vehicles available, which is capable of helping to form a long-term relationship with the consumers. Brand building is another objective for using sports sponsorship. It is natural that different companies will not have similar objectives for sports sponsorship. Academic research in a number of countries has tried to understand the various reasons and objectives for sports sponsorship. However, in India, academic research on sports sponsorship is hard to come by. Therefore, for this paper, various objectives for sports sponsorship and related aspects were primarily identified on the basis of review of available literature from other counties. A questionnaire was designed containing Likert-type statements about sport sponsorship management while setting the objectives as well as importance attached to various identified objectives. Responses received from 248 respondents were analyzed and described using means and standard deviation. Statements about ‘strengthening/altering the company image as an objective’ and ‘likely benefits to be derived from sponsorship’ have been found to be more important. The statements on ‘monetary profit due to sponsorship’ and ‘utility of objective setting to measure sponsorship effectiveness’ are surprisingly lower down the order. Sponsorship objectives which turned out to be most important belong to three categories namely, media coverage, objectives related to product/service/brand, and general corporate objectives.
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Sponsorship, or the promotion of art and culture, has a long tradition and can be traced back to Gaius Clinius Maecenas (70–8 BC), who supported major poets of his days for mainly altruistic reasons (Bruhn 2010). The German term Mäzenatentum has its origins in his name (Hermanns and Marwitz 2008). Support was also provided when the sponsor’s name was not explicitly mentioned. Corporate giving can be considered a further development of patronage (Porter and Kramer 2003) and includes the systematic support of health facilities, universities, and operas, among many others.
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The growth of sport sponsorship has led to an increase in the number of studies measuring sponsorship outcomes in different sport settings. Most studies, however, have focused on understanding the factors leading to purchase intentions. A more accurate assessment of sponsorship effectiveness would come through measuring actual purchase behaviors. The purpose of this study was to examine a sport sponsorship model that included awareness, fit, attitude toward the sponsor, past purchases, purchase intentions, and actual purchases. Data were collected via longitudinal web surveys conducted with soccer fans from the United States. The results of a structural equation model provided evidence that the relationships among the analyzed sponsorship outcomes did not have a significant effect on actual purchase behaviors. The discussion includes questions about the impact of sponsorship variables such as awareness, fit, attitude toward the sponsor, purchase intentions, and past purchases on actual purchase behaviors.