NEW: ROSI 2.0 - INCREASE YOUR PARTNERSHIP SUCCESS BY 20%
Dear Sports Business Community!
Across the globe, brands and advertisers spend over €38BN in sponsorship every year as they look to leverage the unique association with sport and entertainment platforms within their marketing mix strategies. However, the C19 crisis has accelerated - more so than ever before - the importance of delivering maximum efficiency with reduced investments.
Many companies do not effectively quantify the impact on sales of these investments, neglecting the main component of the bottom line. 15% of average marketing budget is not being measured to sales and more over a 68% potential error in ROI has been calculated when not using the right inputs or models. In addition, many are ignoring the long term impact of these investments on sales, which is on average, 47% of the total impact due to Sponsorship.
This means that brands leave a significant amount of revenue on the table - several marketing industry case studies across the globe prove that brands can improve their sponsorship ROI by 20%, on average, by rigorously optimizing their current evaluation process. The end result is a risk of having your sponsorship budget reduced or cut completely.
Sponsorship investments offer three key opportunities. Are you getting enough out of your portfolio?
THE SOLUTION – ROSI 2.0
Nielsen has refined its state-of-the-art Return on Sponsorship Investment Model (ROSI) that is able to incorporate inputs across multiple touchpoints - both tangible and strategic to quantify sponsorship performance and therefore help your brand within the entire sponsorship decision making and evaluation life cycle.
Going into 2020, there is an inherent uncertainty as to how the landscape will evolve, something which even major players acknowledge. As Peter Hutton, Director of Global Live Sports Partnerships and Programming at Facebook, puts it: “The rules aren’t really clear yet. There is plenty of uncertainty about where the industry will go and at what pace”.
A COMPLETE SOLUTION TO UNDERSTANDING THE FINANCIAL RETURN ON SPONSORSHIP INVESTMENT
ROSI 2.0 allows brands/ advertisers to compare sales based short and long run ROI in order to make better decisions about where to allocate spend, enabling growth and reducing waste in Sponsorship Investment. Measurement & activation is enabled by Experienced Sponsorship Consultants, Best in Class Exposure Data, and Advanced Technology of World’s Largest ROI Measurement Practice.
ROSI 2.0 for complete and accurate measurement of sponsorship investment
BUSINESS QUESTIONS ANSWERED
With ROSI 2.0, you can answer business questions like
- What is the sales based Return on Sponsorship Investment in total and for each of my properties?
- How does my ROSI compare to traditional media investments in total and by each marketing channel?
- What is the % of my sales that is driven by sponsorship in total and for each of my properties?
- How much of the impact of my Sponsorship is driven in the short versus long run horizons?
- How is my Sponsorship activation driving sales and what is its Return on Investment?
ROSI 1 & 2.0 Working together
Are you interested in which instruments you can use to maximize your ROSI significantly? Please PM me.
My best wishes go out to all of you, stay safe!
Lars Stegelmann | +49 171 645 3311 | [email protected]
#nielsensports #sportsbusiness
Commercial Director, EMEA at KORE Software, Sports Alliance & Hookit
4 年Lars, I totally agree that many sponsorships can improve by 20%, with a more robust evaluation process. I would also add that getting all internal stakeholders to buy-in and commit to delivering inputs (at strategic reporting periods) is vital to this success.?