SECURING MO ’MONEY Building Proposals that...
Transcript of SECURING MO ’MONEY Building Proposals that...
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Monday March 30, 2015
SECURING MOSECURING MO’’ MONEYMONEY
Building Proposals that Sell
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Mobile Devices
Staying connected in the session
Twitter:
#partnershipgrp
#sec2015
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4
Session Agenda
� Industry trending and background
� Defining the proposal and its importance
� Essentials of a sponsorship package
� Building the package
� Wrap-Up
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Get Inspired -Get Insight
Get IN!
THANKS TO ALL OUR SPONSORS
Copies available throughout today and tomorrow with 10% going to Rotary projects
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Three Studies
1. 2014 Canadian Sponsorship Landscape Study
2. 2014 Consumer Sponsorship Rankings
3. 2014 Canadian Youth Sports Report
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Get Inspired -Get Insight
Get IN!CANADIAN SPONSORSHIP LANDSCAPE STUDY 2014
• Ohio University – Norm O’Reilly
• Sponsorship Marketing Council of Canada
• TrojanOne
• Canadian Sponsorship Forum
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Get Inspired -Get Insight
Get IN!•Since 2006 the industry has grown over 60%
•Now $1.78 billion – 18% to Amateur Sport
•16% is spent on local sponsorships
•75% of decisions come from Marketing and Communications Departments
•29% of brands marketing budgets last year were spent in sponsorship and experiential marketing
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Get Inspired -Get Insight
Get IN!CANADIAN SPONSORSHIP LANDSCAPE STUDY
• From the property side reporting –sponsorships ranged from $2K to $2.1M
• Average largest sponsorship to the properties was $178,000
• Average overall was $45,000 per agreement
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@SMCC_CCC
#SMCCBF
Research Secrets – The Why and How Behind Sponsorship2014 Consumer Sponsorship Rankings
Canada’s Foremost Consumer
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Get Inspired -Get Insight
Get IN!2014 CONSUMER SPONSORSHIP RANKINGS
(CSR 2014)
• Study conducted in April / May 2014
• 2005 completed interviews
• 12-15 minute average interview
• English and French
• National representation (age, province, gender)
• +/- 2.2% at the 95% confidence level
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MOST ACTIVE SPONSORS IN CANADA
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TOP PERCEIVED SPONSOR BY INDUSTRY
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INDUSTRY RANKINGSTOP SPONSORS – INSURANCE COMPANIES
Manulife scored highest in Ontario, and slightly higher with those with HHI over $100K
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INDUSTRY RANKINGSTOP SPONSORS – MEDIA COMPANIES
Rogers scored highest in Ontario (almost nothing in Quebec), and with those aged 30-49
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INDUSTRY RANKINGSTOP SPONSORS – TRAVEL COMPANIES & AIRLINES
Air Canada was the top travel sponsor across all demographic breaks and scored highest in Ontario
and Quebec
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WHO SHOULD SEEK SPONSORSHIP?
% of people who believe the following entities should seek corporate sponsorship as a source of revenue
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2014 CANADIAN YOUTH SPORT REPORT
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Get Inspired -Get Insight
Get IN!
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Get Inspired -Get Insight
Get IN!Canadian Youth Sport Report
Really important, 84% of the parents interviewed could name at least 1 brand associated to sport
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Defining Proposals
Definition
� The ask
� The recap
� The overview
� The investment
� The legal
� The partnership
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Definition
& The Importance of “The Proposal”
� The list of benefits and assets
� The summation of all that has come before
� The blueprint for fulfillment and activation
� Can be “passed up the ladder” to be sold
� Can be leveraged in-house where necessary
� The insurance if people change
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Traditional Proposals
� Handshake and try to recall
� Document about you and why you needmoney and an ask “the warm and fuzzy appeal document”
� Letter of agreement / donation letter
� Stock produced glossy package with folder
� Gold – Silver – Bronze “packages”
� Direct Mail / Email blitz version
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Customized Proposals
Why customize:
� BMO deluge
� Pepsi vs. Coke with
Canada Games
� Are Reitman’s and
RONA looking for the
same benefits?
� Semi template
� Save on printing costs and
design
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Customized Proposals
Why customize:
� Deliver what the sponsor needs in the budget they have to spend – what if they have $7,500 and your packages are $5000 and $10,000?
� Feels like a partnership and they appreciate the personalization
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Proposal Contents
What You Have To Sell
� Are you aware of what you have to sell?
� Do you have an inventory of assets?
� Your benefits must be “beneficial”
� Select the appropriate benefits that will
assist the sponsor in achieving their goals
� Define how each will actually benefit
the sponsor
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Can you build a proposal for $20,000 or $2,000 of real value and show them how this will deliver better results for the $20,000 or $2,000 than what they are spending on TV, radio, out of home, newspaper?
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What You Have To Sell – Bundling or Packaging
� Often sponsors do not know what they need or what you have so they go to the lowest common denominator… less dollars
� You know your property (hopefully) better than anyone and can bundle the right inventory items to meet the sponsor’s objectives
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What You Have To Sell
� Selling “a la carte”
� If you do this you minimize your revenue
� Sponsors often do not see tangible results – you are selling a product, not being a “partner”
� You sell product for its market value though you might / or should get more money for it (through tiered inventory for bundling)
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Get Inspired -Get Insight
Get IN!GAME CHANGERS
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Proposal Contents
Discovery Sessions
�What are they?
� Meetings with prospect
� Must determine needs, budget and objectives
� Build the relationship
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Proposal Contents
Discovery Sessions
�Why are they essential to building a proposal
� You cannot customize without a discovery
� Takes longer but gives you better success short and long term
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Building the Proposal
� Cover Page – What goes here?
� Your logo
� Their logo
� Title of proposal
� Presented to
� Presented by
� Date presented
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Table of Contents
� Pretty basic
� Outline what is included in the documentby page number
� Make it neat and clean
� Not essential but suggested
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Proposal Contents
About You…The Sponsor
�This is the first page of your proposal (after cover/table of contents)
�It is all about them
�Everything you learned about them in the discovery
�Essential section, focus on them
�May be several pages long
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About You…The Sponsor
� Talk about their objectives, their reasons for interest
� Discuss how you propose in general terms how to achieve these goals
� Outline budgets figures
� They are the focus!
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About You… The Property - Seller
� This is one page about you
� This is one page about you
� This is one page about you
� Understand, overall it is NOT about you…it is about the sponsor
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About You… The Property - Seller
� Cover off how you have customized this program for them based on the area you are presenting
� Must be customized to outline what they receive
� Remember – one page
� Each benefit should be extrapolated upon as to why it will benefit them…why do they want this benefit… coach them
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The Offer of Benefits
Should be grouped if possible into benefit groups such as:
� Hospitality
� At event
� Outside of event
� Employee engagement
� Media exposure
� Unique benefits
� Signage
� Tickets
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The Offer of Benefits
� Should be numbered for ease of reference
� Start and end with hot button benefits
� Be explicit about what they get with the benefit and what they don’t (activation costs such as they must produce the banners to your specs, food and beverage is above and beyond etc.)
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The Investment
� The total value of the bundled list of benefits should be shown…this package is worth $27,256.97
� The investment should be 85% (rounded) of the value… your investment is $23,200.00 + GST
� Note the GST element
� Why 85% of value?
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The Legal and Closing
� Important to have a sign off section
� To be legal and binding, both need to sign
� This is your security
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The Legal and Closing
� If you have a lawyer, consult with them, possible use a sponsorship specific lawyer
� Make sure the value and the investment are clear
� Review the format we sometimes recommend
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The Legal and Closing
� Include terms of payment such as:
� Total amount paid annually on March 1
� Equal monthly payments
� Staggered payment schedule
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Value Added Elements
Glitz and glamour…
� on site
� “dressing room”
� celebrities
� mocked up signage
� pizza box presentation
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Wrap Up
The 10 Take Aways
1. Know what you have to sell
2. Know the value of your assets
3. Ensure a discovery session is done prior
4. Customize the proposal
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Wrap Up
The 10 Take Aways
5. Do not sell / pitch a stock package
6. Make the proposal about the sponsor not about your organization
7. Ensure the benefits you offer will assist them to meet their goals, not yours
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Wrap Up
The 10 Take Aways
8. Show the value in dollars and the investment
in dollars
9. Ensure it is detailed and covers all
parties legally
10.Deliver in format the sponsor needs/wants
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Get Inspired -Get Insight
Get IN!
THANKS TO ALL OUR SPONSORS
Copies - $45 online… today:
$25 cash copies from me during SEC 2015 while supplies last
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Questions?
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Thank you!
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