Thank you to guest author Vivanista for sharing the following article on soliciting and keeping corporate sponsors.
- Corporate Sponsorship
What do the 2010 Winter Olympics, the Robin Hood Foundation Benefit, Justin Bieber’s World Tour, and the San Francisco Symphony’s Ball all have in common? If you guessed that they’re all impressive social events attended by thousands of people, you would certainly be correct. But there’s more! These grand festivities could not achieve such distinction without their long list of corporate sponsors. The 2010 Olympics enlisted support from Coca-Cola, McDonald’s, and Visa to name a few, while The Robin Hood Benefit partners with Bank of America. Justin Bieber’s concerts are presented by XBOX 360, while the Symphony’s Ball works closely with AT&T and BlackRock. Corporate sponsorship can instantly boost any event’s reputation and good name, and the services and products that a corporate powerhouse can offer are vast and valuable. Countless nonprofits, charities, and philanthropic organizations are jumping at the opportunity to receive corporate sponsorship, but very few are actually closing the deal. Why are so many organizations getting rejected? Because they are soliciting these corporate foundations in the wrong way.
Contrary to what most believe (or I should say want to believe) corporate foundations very rarely partner with smaller associations out of the kindness of their hearts. The most important concept one must accept if they want corporate sponsorship is that big companies want exposure above all! Corporate sponsorships for the corporation are all about marketing, branding, and product placement. If you’re going to use a corporation’s goods and services, then they reserve the right to market to your supporters and followers, and reach out to a new audience. There has to be a mutual benefit – why be involved in a “partnership” if both parties cannot expect significant gains for their respective groups? Corporate sponsorship is no longer strictly an altruistic gift to a nonprofit organization or good cause; it is a component of the corporation’s overall marketing strategy. It is not a donation; it’s a business deal.
Once your organization has accepted this fact, then you can begin to strategize about how to approach a corporate giant. There are a few key ideas that one should keep in mind:
1. Know Thyself!
The first step before you even begin to research corporate sponsorships is to take a hard look at your own organization. You have to know exactly what your group is capable of offering and able to put together. Review your finances and annual reports (the sponsor will most likely ask to see these). Because the sponsor is focused on reaching out to your followers, you have to determine whom your audience is – what is its composition and size, and most importantly, its wants and needs? For example, you wouldn’t have Tyson sponsor an event for vegetarians. You have to know your industry and how you can serve as the vehicle for the sponsor to extend to your peers. Learn about all areas of the field and develop a secure team with the same goals and aims in mind as well as a similar approach. Sponsors like to see consistency and a cohesive unit who will work efficiently to get the job done.
2. Do Your Research
When researching which sponsors you would like to reach out to, you should start by looking at the sponsor list of events or organizations similar to yours; this will give you an idea of the kind of corporations you should be looking out for. Again, you always have to keep in mind the company’s exposure, its image, its brand. Select your partners based on brand fit. After choosing a list of sponsors you would like to reach out to, do your homework. Know the corporation’s mission statement; understand their own goals and aims as a company. Personalize each appeal to each company. Each and every sponsor has something different to offer and a unique marketing strategy. Companies want NEW and EXPANDED ways of reaching the public and they’re going to look to you to offer these sorts of options.
3. Keep It Short and Sweet
When it comes to the actual act of soliciting a company or corporation, remember to keep it short and sweet. Phone calls and letters should be focused and to the point. Your team should concentrate more on what the corporation will receive and how it will benefit, and less on what you need from them. Sponsors want to know what will be required of them to invest and the gains that they will receive in return. Keep a time line in mind – solicit sponsors early so that they can fit you into their budget outline. This might mean approaching companies in the months before their budgets are fixed. Be creative and try to bring something to the table that only your organization can put forward, but only suggest ideas that you can realistically execute when it comes down to it.
4. Communicate! Listen! Deliver!
Once a sponsor has brought you on as a partner, you should outline exactly what your event will entail, as well as the corporate goods and services needed in order to make the event go off without a hitch. In turn, you should also outline the recognition that the sponsor will receive up front; do not wait for them to bring it up. Lay out all the opportunities for them to be “seen” (invites, banners, posters, t-shirts, program books, advertisements, tents, billboards, staging, tables, receptions, food, web logos/links, newsletter recognitions, annual reports, letterheads, envelopes). The next step is to listen. After hearing the event details and the opportunities for brand and product exposure, the sponsor will likely have a specific manner in which they would like to be marketed. Adjust your plan to the sponsor’s needs. Strong communication is key! Your sponsors will choose how, when, and where they will be presented, so you need to be in constant communication so that you can deliver exactly what they want. Supply exactly what you promise (AND compensate for the areas where you lacked if, at the end of the day, you cannot give what you originally said you would).
5. Maintain the Balance
Though it may seem as if corporate sponsorship centers around the corporation, your group’s focus has to be balanced. You must give as much attention to the sponsor as you are the consumer and your own group. Take notice of how the consumer is receiving the sponsored items as well as the attention that your own group is getting. It is pretty widely accepted that if the consumer likes the host organization, they will like the sponsor (even if they do not realize it initially). Successful events maintain a harmony between the consumer, the organization, and the sponsor. Don’t ambush or smother your supporters with sponsor propaganda, but do no leave them wondering who sponsored the event. Remember to maintain your own organization’s good reputation and professionalism as you fundraise.
6. Follow-Up
Your connection with the sponsor does not end once the event has finished and all your guests have gone home. Your sponsor is going to want to hear from your organization long after the party is over. Keep sending them information on your organization and keep the conversation flowing and active. Add them to your newsletter recipients. Thank the sponsor for their help and let them know how their services aided the event. Give photos of the festivities (highlighting exactly how their brand was represented) and let your sponsor know how much money was raised for your cause (the more figures you can give them the better). The incentive behind following-up is that it shows the corporation that your organization is committed and will see a project through to the very end. Cultivate a relationship with the sponsor and they will not be hesitant to use you again in the future. Create a buzz around your organization in the corporate world.
