Sponsorship of Health Tourism Events

…the rationale and motivation – and determining the ROSI

This is an “ever-evolving” EMVIO document

See: EMVIO Entities - in Health Tourism - https://www.dhirubhai.net/pulse/emvio-entities-health-tourism-constantinides-m-d-ph-d-/ .

NOTE

For the “definition and scope” of Contemporary Health Tourism (a.k.a. Internet Century Health Tourism – with both terms now, represented by ht8) - in bullet point form - see: https://www.dhirubhai.net/pulse/health-tourism-few-bullet-points-constantinides-m-d-ph-d-/ .

Also included is a short reference to the “then” and “now”.

NOTE

Content for this article was extracted from the relevant Section (titled “Sponsorship”) of the eBook “Internet Century Health Tourism” (the management textbook on the subject).

In this article, thoughts on securing Sponsorship focus on Events (the “Conferences, Exhibitions [Shows] and B2B Meetings” combos).

CRITICAL EYE articles

By being a “critical eye” (through the CRITICAL EYE articles), my aim is to catalyze optimization and rationalization.

The expression “with a critical eye” means: involving careful judgment (Merriam-Webster dictionary).

making the Bottom Line the Top Line

…but, aim to read the whole article because “the devil is in the detail”

Getting potential sponsors to sponsor (always a challenging task) is becoming ever more challenging.

To convince and persuade them, we need to provide them with a very clear rationale.

And we need to cast our net ever wider.

The Contemporary Health Tourism Ecosystem Stakeholder Base is extremely broad.

And so is the Potential Sponsor Base (think beyond the usual cohort).

Many potential sponsors have not realized that they are in fact Health Tourism Stakeholders – we need to point it out to them.

In addition to the most obvious Sector-supporting Industries (such as hospitality, travel, investment and finance, real estate and construction and “media”) a number of less-obvious industries may well find it to their advantage to be associated with Health Tourism.

In fact, practically every industry (excluding, possibly, the tobacco and other industries selling health-damaging products and services) should be regarded as a Health Tourism stakeholder and potential sponsor.

It is the responsibility of the team tasked with securing a sponsorship to ensure that the sponsor organization will get its money’s worth.

Resistance and reluctance on the part of prospective sponsors is overcome by providing a credible rationale and motivation.

During difficult times, if we cannot get the usual few “high cost” sponsorships – find a way to make sponsoring “financially painless”.

Get sponsors to sponsor (for example) one session – as opposed to the entire event.

Get them to sponsor a speaker (event organizers are finding it ever more difficult to bear the cost of “Invited and Hosted” speakers).

Segment and Customize the pitches to make them sector / industry specific – providing relevant supporting arguments – and credible justification for the “investment”.

The Event organizer should clearly indicate what return on sponsorship investment (ROSI) the sponsor should expect – and how this ROSI will be achieved.

More specifically, how the Event will satisfy the expectations of the sponsor.

Put another way, ensure and satisfy the sponsor’s Objectives and expected Key Results - of the “investment”.

Savvy sponsors now know that the objective way to determine the success of an Event, is to ensure it is associated with a set of OKRs – and to look at the Event Report and the “achieved” Key Results (outcomes).

The OKRs should also ensure that provision is made for the Sponsor gets the “promised” return on sponsorship investment (ROSI.

Finally, identify and make your pitch to the person or persons in a company / organization / corporation who listen to pitches and make the decisions to sponsor (which I find is the most difficult part of the exercise).

Sponsorship as a Strategic Concept and Practice

…an inalienable part of Health Tourism

Right at the start, I need to point out that Sponsorship is of such importance to – and an inalienable part of - Health Tourism, that it has designated a Strategic Concept and Practice.

understanding “Corporate Sponsorship of an Event”

…usually a “Conference, B2B Meetings and Exhibition” combo

Corporate Sponsorship of an Event is a form of marketing in which a company pays for the right to be associated with an “event” – which, in the case of Health Tourism, usually means a “Conference, B2B Meetings and Exhibition” combo.

Corporate sponsorships are a tool used to form brand identity and brand image via increased visibility.

The common “template” for this type of corporate sponsorship entails a collaboration between the “sponsoree” (one who is sponsored – Wiktionary) and a sponsor corporation, in which the latter funds an event staged by the former in exchange for recognition.

Corporations expect to have their logos and brand names displayed alongside of the “organization” undertaking the event, with specific mention that the corporation has provided funding.

Corporate sponsors also expect some measurement of the exposure they received – or will receive - (for example, how many social and business media posts carried their logo).

Return on Sponsorship Investment (ROSI)

…and how this ROSI will be achieved

The Event organizer should clearly indicate what ROSI the sponsor should expect – and how this ROSI will be achieved.

More specifically, how the Event will satisfy the expectations of the sponsor.

Put another way, ensure and satisfy the sponsor’s Objectives and expected Key Results - of the “investment”.

sponsoring an Event associated with OKRs

…clearly indicating the “value proposition” for the Sponsor

I have repeatedly pointed out that the objective way to determine the success of an Event, is to ensure it is associated with a set of OKRs – and to look at the Event Report and the “achieved” Key Results (outcomes).

The OKRs should also ensure that provision is made for the Sponsor to get the “promised” ROSI.

effect of the Transformation and Repurposing of Health Tourism on Sponsorship

…an expanded Industry (supply side) addressing a broader Market (demand side)

As a consequence of Transformation (from Conventional to Contemporary) and Repurposing (from a “need” to a “want”), Health Tourism, now, has a broader and more diverse – yet, well-defined and integrated stakeholder base.

This is because Contemporary Health Tourism is as much about health as it is about tourism, travel, hospitality and a host of other Sector-supporting services.

In short, the sponsor will be addressing stakeholders in a particularly broad Economic Sector.

Stakeholders are all the Individuals (natural entities), Groups and Legal Entities who have a vested interest in the sector, are affected by it or can influence it.

As justified by the definition, as stakeholders, I also include individuals (from diverse industries, sectors and disciplines) who can add value and can benefit – but who may not be directly involved in the provision of health-related services.

I likewise, include a selection of legal entities and industries & sectors which are not be directly involved in the delivery of Health Tourism services, for the same reason (i.e., they add value and can benefit).

See below.

an expanded Industry

…the supply side stakeholders

Contemporary Health Tourism, thanks to the “transformation”, is associated with an expanded supply side (Industry), addressing a broader demand side.

a broader Market

…the supply side stakeholders

Contemporary Health Tourism, thanks to the healthification of society and ht8, has a much broader supply side.

With ht8, every traveler / tourist is a potential Health Tourist.

Sponsoring an entire Economic Sector

…with an amazingly broad Stakeholder Base

On a number of occasions, I have reiterated that it needs to be clearly pointed out to Prospective Sponsors that they are not merely sponsoring an event - but an entire Sector with an amazingly broad Stakeholder Base.

Thanks to ht8, Health Tourism has become an attractive lifestyle choice - and where every Traveler / Tourist is a potential Health Tourist.

And now, there is a correspondingly expanded supply side to address this market.

the "decision-maker" and "purse-string-holder" when it comes to Sponsoring

…because Sponsorship as an “Investment” and a Business Transaction & Arrangement

When it comes to seeking sponsorship, a big challenge is to identify and locate the relevant decision-maker and purse-string-holder.

This is because for sponsors, Sponsorship is an “Investment” and a Business Transaction & Arrangement.

So, who in a company / organization / corporation listens to pitches and makes the decision to sponsor?

Finding out is the big question and challenge.

the Criteria used to decide who / what to Sponsor

…starting with Due Diligence

Due Diligence:

· an investigation, audit, or review performed to confirm facts or details of a matter under consideration (Investopedia)

·?a systematic way to analyze and mitigate risk from a business or investment decision (Investopedia)

·?the investigation or exercise of care that a reasonable business or person is normally expected to take before entering into an agreement or contract with another party (Wikipedia)

· the detailed examination of a company and its financial records, done before becoming involved in a business arrangement with it (Cambridge Dictionary)

· research and analysis of a company or organization done in preparation for a business transaction (Merriam-Webster Dictionary)
        

As a start, Sponsors perform a “due diligence” exercise before providing money – because, as has been pointed out, “sponsorship” is an Investment and a Business Transaction & Arrangement.

Consequently, the organization seeking a sponsorship contribution needs to be well prepared and ensure it has its house in order.

Then, the sponsor will consider the benefits to be gained by sponsoring – and what value to assign to the benefits – vis-à-vis the investment.

ensuring the Sponsor gets a “good” return on investment

…the need to clearly demonstrate the “value proposition”

Before making a sponsorship “pitch”, it is important to know what the sponsor expects in return (i.e., what is the return on investment?).

It is the responsibility of the “entity” seeking to attract sponsorship to ensure that the sponsor organization will get its money’s worth.

In other words, there is a need to clearly demonstrate the “value proposition”.

One way to demonstrate the value proposition is to point out that this lies with the benefits of associating a brand with Health Tourism (the subjects of “Health” and “Tourism” always attract attention).

Many potential sponsors have not realized that they are in fact Health Tourism Stakeholders – we need to point this out to them – and the value associated with sponsoring – and showcasing themselves to broader market than they had in mind.

associating Brands with Health Tourism

…through sponsorship

Several “brands” in a number of industries have aimed to associate their products and services with popular activities which have a global appeal, such as golf, soccer (football) and Formula One racing.

Rolex and Golf is merely one such example.

Contemporary Health Tourism (and its 8 Segments) is becoming an ever-more popular activity.

As already made obvious, thanks to ht8, Health Tourism has become an attractive lifestyle choice – for life - where every Traveler / Tourist is a potential Health Tourist.

Consequently, one can expect to see a number of brands wanting to be associated with the Health Tourism Sector – and its activities.

the Luxury Industries Sector as Health Tourism Sponsor

…thanks to Health Tourism Lux and Boutique Health Tourism

Contemporary Health Tourism, almost by design and default, is geared towards Luxury and Sophistication.

Furthermore, Contemporary Health Tourism includes two Classes which are associated with sophistication and relative exclusivity:

• Health Tourism Lux
• Boutique Health Tourism

Since we now have Health Tourism Lux, it should be obvious that the Luxury Industries Sector is a Health Tourism Supply Side Stakeholder.

From this fact, it should be obvious that the role of the Luxury Industries Sector will be that of Supplier and Sponsor.

Brands “associating” with Health Tourism Brands

…and with the Health Tourism Sector – as a whole

In Health Tourism, providers of Health-related services and providers of Sector-supporting services and products are “brands” in their own right.

When these brands achieve prominence and popularity you can expect to see brands in other sectors and industries wanting be associated with them.

Brands in diverse industries will, no doubt, also want to be associated with the Health Tourism Sector, as a whole.

the reason to be associated with Health Tourism

…increase exposure and, ultimately, increase revenues

An obvious question being asked – and needing an answer – is: why would brands want to be associated with Health Tourism?

The answer is, for the same reason that (for example):

• Accountants Ernst and Young sponsors art exhibitions
• British Airways and Citibank formed a partnership offering a credit card where the card owner automatically becomes a member of the British Airways Executive club

The purpose is to respond to the changing marketplace, enhance brand prestige (by association), increase exposure and, ultimately, increase revenues.

Another objective is, through the association of two strong brands, to bolster credibility and trust – and increase the “premium” consumers are willing to pay.

how to be associated with Health Tourism

…Sponsorship, Co-Branding and Alliances

Basically (and in short), association with sectors and their individual brands is achieved through:

• Sponsorship
• Co-branding
• Alliance Formation

Co-branding through Sponsorship

…the Science of Alliance

Co-branding (also called brand partnership) is when two companies form an alliance to work together, creating marketing synergy. This is well described in the book “Co-Branding: The Science of Alliance”.

Co-branding includes Sponsorship.

In fact, an article I have written is titled: “Co-Branding in Health Tourism - and the Science of Alliance”.

Alliance Formation through Sponsorship

…another way for a brand to be associated with Health Tourism

One other way for a brand to be associated with Health Tourism is by forming alliances with providers of services related to Health Tourism – and sponsoring these providers.

the Prospective Sponsors

…casting the net wider

It should be obvious that those who sponsor Health Tourism “initiatives” are by definition Health Tourism Sector Stakeholders.

The Health Tourism Sector stakeholders are all the Individuals (natural entities), Groups and Legal Entities who have a vested interest in the ecosystem, are affected by it or can influence it.

It is already known that getting potential sponsors to sponsor (always a challenging task) is becoming ever more challenging.

Because of this, we need to cast our net ever wider.

The Health Tourism Ecosystem Stakeholder Base is extremely broad.

And so is the Potential Sponsor Base (think beyond the usual cohort).

Many potential sponsors have not realized that they are in fact Health Tourism Stakeholders – we need to point this out to them.

the “less-obvious” Industries

…as Sector Stakeholders and prospective Sponsors

In addition to the most obvious Sector-supporting Industries (such as hospitality, travel, investment and finance, real estate and construction and “media”) a number of less-obvious industries may well find it to their advantage to be associated with Health Tourism.

Some of the “less-obvious” industries and industry players which come to mind are the:

• Luxury (Products and Services) Industries Sector (already referred to in this Paper in connection with Health Tourism Lux)
• Cruise Industry (Health Tourism Cruise)
• Accounting – Auditing Industry
• Pharmaceutical Industry
• Hospital Equipment Manufacturers and Distributors
• ??Private Equity Firms – and Financial Institutions (e.g., the RE departments of Banks)
• ·Law Firms
• Consultancies
• Software Developers and Vendors
• Medical Evacuation Services
• Private Health Insurers
• Real Estate – Construction and Development Firms
• Resort Owners / Developers
• Recruitment Agencies (Health Tourism Services Providers are beginning to look for people with Sector-specific experience or training)
• those involved in Web3 and its associated technologies

In fact, practically every industry (excluding, possibly, the tobacco and other industries selling health-damaging products and services) should be regarded as a Health Tourism stakeholder and potential sponsor.