(GumGum Sports is a proud partner of Front Office Sports)
Since the dawn of professional sports, sponsorships have been a critical part of the space. Sponsorships draw massive numbers of eyes to a sponsor’s logo or product and supply teams/organizations with a significant portion of their revenue. GumGum Sports estimates that the combination of TV and social media team sponsorships drives $3 billion alone in media value back to the league’s sponsors, nearly a 5x return on investment.
And that’s not even factoring in value from digital streaming or the viewers that are able to watch via an illegal streaming service. In GumGum Sports’ latest report, The Future of Sponsorships, details several key trends that sponsorship professionals should be keenly aware of:
- Artificial intelligence will quickly become an even bigger part of measuring the success of sponsorships by providing deterministic insights like sales uplift among rights holder fans vs. the general population.
- Somewhere between 40-60 percent of every leagues’ inventory is missing a significant portion of its overall value.
- The key to more accurate media value measurement is the ability to track data against a goal or industry standard. This gives those staff members involved in carrying out the actual campaign something to strive for.
As the world around the sports industry continues to change, so does the overall sponsorship space. Those organizations who chose not to change with it run the risk of not fulfilling their potential or achieving maximum revenue. Therefore, it behooves most professional sports organizations to understand how much room for improvement they actually have when it comes to securing and executing their various sponsorships.
To download the full report from GumGum, click here.