Minor Sponsorship - reasons for the company
Discussion
Watching IOM TT races and there's loads of sponsors who get a tiny logo on the bike or leathers. The chances of a viewer seeing that logo are so remote, there can't be much TV benefit for the company.
So what are the main reasons they do it?
Is it normally a personal contact to the rider/driver and they're helping them out. Then maybe a bit of publicity in the local paper etc?
Or do these small sponsorships pay off for the company?
Cheers!!
So what are the main reasons they do it?
Is it normally a personal contact to the rider/driver and they're helping them out. Then maybe a bit of publicity in the local paper etc?
Or do these small sponsorships pay off for the company?
Cheers!!
I think quite a bit of sponsorhip at this level is just small businesses trying to claim tax relief based on the proprietor's interests and hobbies.
Smaller businesses may also be involved in a small way with the rider/team through product support or technical assistance so part of their "reward" is a logo on the bike.
Like any form of advertising, it is often quite hard to guage how effective it is.
Smaller businesses may also be involved in a small way with the rider/team through product support or technical assistance so part of their "reward" is a logo on the bike.
Like any form of advertising, it is often quite hard to guage how effective it is.
Not only that, but the sponsorship allows small businesses to visit as hospitality and network effectively with new contacts and like minded businesses. You could have links to your sponsored race team through the 'news' section of your business website and create competitions and events etc.
It's probably more about the financial side (as Eric mentioned) and this aspect, rather than a microscopic logo on the car.
This attitude can then be scaleable as you get larger, for example Eddie Stobart having had a box at Newcastle Utd, a WRC team, sponsoring Widness RL and a Polo team and owning any number of race horses and private jets. When you want that £100m Tesco haulage deal, being able to fly, wine and dine people at prestigious sporting events becomes an effective leverage tool.
It's probably more about the financial side (as Eric mentioned) and this aspect, rather than a microscopic logo on the car.
This attitude can then be scaleable as you get larger, for example Eddie Stobart having had a box at Newcastle Utd, a WRC team, sponsoring Widness RL and a Polo team and owning any number of race horses and private jets. When you want that £100m Tesco haulage deal, being able to fly, wine and dine people at prestigious sporting events becomes an effective leverage tool.
good answer 10 pence, on a personal level re the tiny stickers that don't get noticed & don't have anything to do with the bike:
i put my name on a local riders bike for a small fee.
this is of course vat deductable & comes off before profits are taken into account.
i then have a legit reason to go & watch a race on the (my) company, paying for everything via the company (ie before the tax man has his cut)
i've never done it myself as but i imagine thats why a lot of people go through with it.
i put my name on a local riders bike for a small fee.
this is of course vat deductable & comes off before profits are taken into account.
i then have a legit reason to go & watch a race on the (my) company, paying for everything via the company (ie before the tax man has his cut)
i've never done it myself as but i imagine thats why a lot of people go through with it.
They are able to help out and if the owner/marketing director/etc have an interest in the sport, they may be willing to hand over a few quid. You can also use images on your own marketing & adverts, I guess.
It's now the case in F1 (I know, hardly minor, but bear with me) where some companies actually do more business by being involved than they would ever hope to gain from being seen on the side of an F1 car. Check out Sauber's Club One, they are a range of sponsors who don't even want to be on the side of the car. They stump up purely for the networking chances.
http://www.sauberf1team.com/en/sauber_club_one.cfm
It's now the case in F1 (I know, hardly minor, but bear with me) where some companies actually do more business by being involved than they would ever hope to gain from being seen on the side of an F1 car. Check out Sauber's Club One, they are a range of sponsors who don't even want to be on the side of the car. They stump up purely for the networking chances.
http://www.sauberf1team.com/en/sauber_club_one.cfm
Most of my sponsors I act as a go between, giving them heads up for new business & generally being a 3rd party contact for them. The logo's & livery are there as a secondary to this in all honesty.
You would be amazed how much business can made at a race track & through meeting other like minded people. I have been retained by my major sponsors for the past five years as they see it beneficial to their business, which it clearly is.
It's also nice to supply my sposnors with a nice poster print for the office wall of the car in action with their livery on at the end of year.
You would be amazed how much business can made at a race track & through meeting other like minded people. I have been retained by my major sponsors for the past five years as they see it beneficial to their business, which it clearly is.
It's also nice to supply my sposnors with a nice poster print for the office wall of the car in action with their livery on at the end of year.
JustNeil said:
They are able to help out and if the owner/marketing director/etc have an interest in the sport, they may be willing to hand over a few quid. You can also use images on your own marketing & adverts, I guess.
It's now the case in F1 (I know, hardly minor, but bear with me) where some companies actually do more business by being involved than they would ever hope to gain from being seen on the side of an F1 car. Check out Sauber's Club One, they are a range of sponsors who don't even want to be on the side of the car. They stump up purely for the networking chances.
http://www.sauberf1team.com/en/sauber_club_one.cfm
We pitched the same idea to Lotus last year !It's now the case in F1 (I know, hardly minor, but bear with me) where some companies actually do more business by being involved than they would ever hope to gain from being seen on the side of an F1 car. Check out Sauber's Club One, they are a range of sponsors who don't even want to be on the side of the car. They stump up purely for the networking chances.
http://www.sauberf1team.com/en/sauber_club_one.cfm
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