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Sponsorship is now a major part of the sporting world, and without it, I strongly believe that not only would the companies Sponsoring a sports team and athletes miss out on vast potential revenue streams and brand awareness but also certain sports that are looking to grow their global profiles through sponsorship would be impacted negatively.
My research has also taught me that without vital sponsorship money, there would be less development in sports infrastructure from the grassroots level up to the professional sporting arena.
Sports are a major part of almost every culture on the planet, and for those sports to not only survive, but also thrive, they need constant cash injections.
The most effective way of obtaining these funds is through lucrative sponsorship deals with the right kind of brands that can help take those sports to the next level while promoting their brands at the same time.
Let’s dive straight in to discover more about how sponsoring a sports team in the modern world can impact a business when done correctly.
How does a business benefit from sponsoring a sports team or athlete?
Whether it’s a small house removal or plumbing company with just a handful of employees that sponsors a local Sunday league football team, or a multi-billion-dollar soft drink company like Coca-Cola that sponsors a world-class athlete or my favourite Premier League team, sponsorship deals, no matter how big or small, have many wide-ranging benefits for that business.
Over the past decade or so, I’ve kept a close eye on some of the sporting world’s biggest sponsorship deals, and frequently notice how each new deal seems to be bigger than the last, which is sometimes hard for me to comprehend because of how much money a company is willing to spend to raise awareness for its brand.
However, the saying goes, “You have to spend money to make money,” which is exactly what these companies do when spending vast sums of money on securing exclusive sponsorship deals.
The main reason why companies sponsor teams is to advertise their brand and any products or services they sell. It’s the easiest way to get their brand out there to the masses, usually via television, sportswear, billboards, sports stadium pitch-side advertising hoardings, social media platforms, and website advertisements.
I’ve also noticed how companies today use various other strategic campaigns as part of their sponsorship deals via SEO and other content marketing, affiliate marketing, and podcasts.
Influencer marketing using well-established personalities who already have a substantial global following is also now a big part of raising brand awareness via sponsorship deals.
Sponsoring a sports team or athletes generates enormous visibility and can help that brand become more successful. Brands are careful about which athletes or teams they sponsor to foster a sense of trust and create a positive impression of their brand in the best possible way.
How do iGaming companies Sponsor a Sports Team?
One of the ways I’ve seen how sports betting operators use the sponsorship strategy is to strike up partnerships with major sports teams. Their brand logo is often plastered either on the front of that team’s jersey as the primary/principal sponsor or somewhere else, perhaps on the sleeve.
Let’s take a quick look at an example of how sponsorship might benefit a brand in this way.
Anyone who supports that football team, for example, is likely to think back to the sports betting brand that currently sponsors their team before searching online for another site that might be worth their time.
Those people, myself included, are more likely to trust a brand that sponsors their favourite team and will have more confidence to sign up and start playing/placing sports bets on that site, rather than one they randomly stumble across while searching online for sports betting sites. There are no shortage of sites accepting sports bets, but actually knowing where to bet on sports in the USA is a lot more of an ‘art’ than simply clicking the top result on Google.
You want the best odds, the most worthwhile bonuses, and creative new ways to place a wager – not just a simple transaction. Brands like Time2Play offer the best resources for sorting through the noise and finding the best options on the market, but it never hurts to see your MVPs endorsing a brand, either.
With that in mind, the importance of Sponsoring a sports team cannot be underestimated, no matter the price, and they can often be very costly.
What are some of the biggest sponsorship deals in history?
High-profile athletes and some of the world’s most iconic sports teams have become rich through shrewd sponsorship deals over the past thirty years. Let’s take a quick look at a few examples I have found:
- Tiger Woods and Nike: $105 million
- David Beckham and Adidas: $160.80 million
- Derrick Rose and Adidas: $185 million
- Steph Curry and Under Armour: $215 million
- Rory Mcllroy and Nike $250 million
- Roger Federer and Uniqlo: $300 million
- Lionel Messi and Adidas: $1 billion
- LeBron James and Nike: $1 billion
- Cristiano Ronaldo and Nike: $1 billion
- Michael Jordan and Nike: $1.3 billion
Final note
These are just ten of the biggest sponsorship deals I found. I’ve also found countless other multi-million-dollar sponsorship deals.
Over the coming years, we will no doubt continue to see even bigger, record-breaking sponsorship deals being penned between the world’s most successful brands and the sporting world’s most iconic individual athletes and teams. It’s something I know I will be keeping a close eye on.
