The Future of sports sponsorship and Advertising

Sports sponsorship and advertising have undergone significant transformations in recent years, and this trend is set to continue. With the ascent of digital platforms and changing consumer behaviours, sports sponsorship and advertising are likely to be impacted in a number of ways.

Future of sports sponsorship?

The future of sports sponsorship is likely to be moulded by several key trends that are expected to continue in the coming years. These trends include:

• ?Increased use of data

?As the amount of data available to sports organizations continues to grow, sponsors will be able to use this data to create more targeted and personalized campaigns. This will help sponsors to reach their desired audience more effectively and efficiently.? With more consumers accessing sports content online, companies are increasingly turning to digital channels to reach their target audiences.?

• Growth of digital channels

?With the increasing popularity of online platforms and social media, sports organizations are likely to focus more on digital channels for sponsorship and advertising. Brands can use these platforms to engage with fans and create a more authentic connection. Social media platforms such as Facebook, Twitter, and Instagram are now key players in the sports advertising space, with brands using these platforms to draw in fans and build relationships with consumers.

• Rise of esports

?Esports is rapidly growing in popularity and has become a significant industry in its own right. As a result, sponsors are expected to invest more in esports sponsorships to reach younger audiences. Esports is a rapidly growing industry that is attracting significant investment from sponsors and advertisers. Brands are recognizing the potential of eSports to reach younger audiences and are investing in sponsorships and advertising campaigns that target a respective demographic. According to a report by KPMG, the eSports industry in India is expected to grow to INR 11,900Cr by 2025 (KPMG ).

• Increased emphasis on sustainability and social responsibility

Sponsors are becoming more aware of the importance of sustainability and social responsibility. As such, they will be looking for sports organizations that share their values and are committed to these issues.

• Continued globalization

?As sports become increasingly popular around the world, sponsors will be looking for opportunities to reach global audiences. This will require sports organizations to develop strategies that can effectively target audiences in different regions.

Future of sports advertising?

The future of sports advertising is also expected to be influenced by several key trends that are likely to shape the industry in the coming years. These trends include:

• Increased use of technology

?Technology is transforming the way that sports are consumed and experienced, and advertisers will need to keep up with these changes to remain relevant. For example, virtual and augmented reality technologies are becoming more popular and could be used to create more engaging and immersive advertising experiences.

• Personalization

?Consumers are increasingly looking for personalized experiences, and advertisers will need to use data and analytics to create customized campaigns that resonate with their target audience. Customization in advertising will surely generate a profitable response.

• Greater focus on social media

?Social media platforms are becoming more important for sports advertising, as they provide a way to reach younger audiences and engage with fans on a more personal level. Advertisers will need to develop strategies that take advantage of the unique opportunities that social media provides.

• Emphasis on storytelling

?Consumers are increasingly looking for authentic and meaningful experiences, and advertisers will need to use storytelling to create emotional connections with their audience.

• Increased emphasis on diversity and inclusion

?Advertisers are becoming more aware of the importance of diversity and inclusion and will need to create campaigns that reflect these values.

Some of the data and graphs indicate a positive outlook for the future of Sports sponsorship and advertising in India, with the potential for continued growth and investments in the sports industry.

• Indian sports sponsorship crosses INR 9000 Crore in 2019: report by GroupM's ESP properties. (ESP )
• The 2023 GroupM ESP report highlights the growth of sports sponsorship in India, with on-ground, team, and franchise rising by INR 3021Cr. (ESP)

The future of Sports sponsorship and advertising in India appears to be quite promising, given in the context of the country's increasing interest in sports and growing economy. The Indian government's initiatives to promote sports and build world-class sports infrastructure in the country have also helped attract more investments in sports sponsorship and advertising. The Future of sports sponsorship and advertising will likely be characterized by a growing emphasis on digital channels, data analytics, virtual and augmented reality, eSports, and sustainability and social responsibility. Sponsors will need to adapt to these trends in order to reach their desired audience and generate effective results.