Sponsorship remains very critical to a very large part of the Economic ecosystem. It fuels the oil of production especially in key strategic sectors like entertainment, sports, philanthropy, technology and others.
If you take into consideration the fact that the above mentioned sub sectors form a critical part of the new economy which is today generating much more employment, contributing significantly to the GP and impacting infrastructure, tourism, hospitality and media you will begin to understand the very powerful nature of Sponsorship and CSR as we try to rebuild our economy.
Anywhere in the world, sponsorships provide that last mile push for massive events and in some others also provides the trigger momentum for these events which massively impact economies and people
The mathematics of these events never tally cos if you factor in the cost of production and ticket sales which is usually the primary source of revenue, you will see a huge gap that would be filled attimes by advertising and other such innovative revenue generating platofmrs but sponsorship provides very mostly that much needed ‘gap- filler’ and outlier gains for promoters.
For the Brand providing the sponsorship, what they get in return are quantitative and qualitative. Most brands especially local ones feed on the qualtitative cos their brand custodians are usually pulled from media, PR, advertising and such allied fields.
So what drives their sponsorship push is eyeballs, brand awareness, image and positioning.
But recently, Quantitative benenfits have started taking a more serious positioning in decision taking and this is being led by the banks and other such financial brands.
For the FMCG, Marketing has always been the leading lights in their sponsorships. They have tried to tie a nexus between marketing and sales, that is why the marketing people are the main drivers in FMCGs but even in that, marketing initiatives must impact in volumes of sales
Now CSR in the last twenty years have come into play as brands begin to see CSR as a below the line marketing strategy . An effective CSR policy would put your brand much more favourably in a powerful marketing position.
These now takes us to the general structure internally of Brands, marketing, CSR, PR in most of our local brands – this is a masterclass I will give one day based on my practical exoerience
In most brands except for maybe the FMCG, Brand custodians really do not have approving authority.. They defer to higher authorities who are mostly not marketing professionals but who will rely on them in taking final decisions which are usually based more on emotional, political and other such considerations.
This is so because the whole ecosystem even the professionals do not really see sponsorship and CSR as a strong marketing tool but rather see it as an instrument for dispensing favour and rewards.
This shows very clearly in the laissez fairez approach in building relationships within the space.
The brand custodian assumes a position of authority while the seeker of sponsorship goes into strict servitude.. His calls are not taken, he is summoned like a slave, spoken down to and generally just maltreated by people who usually do not even have the authority to sign off N5, 000
Now the man looking for sponsorship also not knowing the impact his project would have on the target brand will also go willingly into servitude cos he too is seeing himself as being favoured in the ecosystem.
Both sides can really not see their role in the bottomline hence the nonsensical relationship that breeds corruption, nepotism and favouritism amongst others.
I once approached the MD of a top tier Bank after I hadnt heard from his people and told him very clearly that N160m had passed thru my accounts within the last three months prior so what is the N10m that I was asking for that I am being humiliated like this.
I further told him that I had opened over 200 accounts in one day something that would cost him much more than that N10 in human capital cost , fuel and other logistics cost to achieve.
As a banker to banker he could see it but his people could not see it since I wasnt pulling in the eye balls a football match would pull in without the expected impact on revenues.
The MD did his maths very quickly and saw that I was more profitable than a Super Eagles match at N10 as against the N200m minus cost of activation they would shower on that one but with usually no direct impact on account opening or in the distribution of other ancillary products and services.
A Bank who sponsors me once gave a huge Afrobeat star N20m endorsement and when I enquired how many accounts where opened as a result, they were kinda sad.
It is the lack of cognitive understanding of the role of Sponsorship and CSR that would make a brand pick up a proposal and respond one year later to say – sorry we cant deal at this moment-the ignorance of the arrogant and that can be quite annoying.
A decision that could be taken within 24 hours now takes one year to arrive at with a terse email trying to strengthen the landlord – Tennant relationship.
Granted, the traffic from the demand side far outweighs the supply side thereby putting so much pressure on the supply side, the need for effective planning, strong communications on policy direction viz a viz sponsorship and CSR amongst others would largely dwindle the gray areas which allows for such humiliating relationship between both parties.
Brands must come to the realisation that they must begin to empower their custodians with robust budgetary and decision taking authorities but with necessary risk management and controls with performance management structure in place.
This would engender professionalism, maximising it within relationships in the space and also further impact the push towards profitability
And those on the demand side must also start pitching professionally and leave all this – na my guy strategy cos that is what leads to all the insults and humiliation.
In pitching you must align draw down objectives to the brands objectives. Work your network to be given a platform to pitch and professionally engage instead of the usual
Personally, I have blacklisted some brands due to their unprofessional approach towards the relationship.. You can’t keep treating me like an Ethiopian Eunuch and expect me not to fight for my dignity cos – if he no give you today, he go give you tomorow. It’s not begging for alms please.
Go with your sponsorship. I will only deal with custodians who respect what I’m bringing to the table and deals with me with the full dignity I deserve anything short of that, I move.
Thanks
Duke of Shomolu
