2010 ana/ieg survey research report sponsorship and events ... · 4 introduction and methodology...

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2010 ANA /IEG Survey Research Report Sponsorship and Events Measurement

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Page 1: 2010 ANA/IEG Survey Research Report Sponsorship and Events ... · 4 Introduction and Methodology Sponsorship has evolved a great deal since the time when the phrase “sponsorship

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2010 ANA/IEG Survey Research ReportSponsorship and Events Measurement

Page 2: 2010 ANA/IEG Survey Research Report Sponsorship and Events ... · 4 Introduction and Methodology Sponsorship has evolved a great deal since the time when the phrase “sponsorship

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Table of Contents

Executive Summary .........................................................................................................................3

Introduction and Methodology ..........................................................................................................4

Detailed Findings .............................................................................................................................5

The Need to Validate Results from Sponsorship Activities Has Increased ...............................5

Reasons for Sharing Sponsorship Results Internally ...............................................................6

Larger Companies Are More Likely to Measure Sponsorship Results ......................................7

Frequency of Sponsorship Measurement Varies Widely .........................................................8

A Minority of Marketers Has a Dedicated Sponsorship Measurement Budget .........................9

Percentage of Sponsorship Budget Spent on Measuring Returns .........................................10

Less Than Half Have Standardized Processes for Sponsorship Measurement .......................11

Metrics for Sponsorship Measurement................................................................................12

Value of Metrics in Sponsorship Measurement ....................................................................13

Those with Standardized Measurement Processes Are More Likely to Use Metrics ...............14

Satisfaction with the Measurement of the Return on Sponsorship Activities ..........................15

Companies That Have Standardized Measurement Processes Are More Satisfied ................... 16

Involvement of Sponsorship Partners in Measurement ........................................................17

Measurement Information Desired from Sponsorship Partners .............................................18

Outsourcing Measurement of Sponsorship Activities ............................................................19

Companies That Outsource Sponsorship Measurement Do So Half the Time .......................20

Importance of Partners’ Involvement Increases for Companies that Outsource .....................21

Ability to Gather Actionable Data for Future Sponsorships ....................................................22

Measurement of the Impact of Sponsorships of Customers and Non-Customers ..................23

Isolation of Sponsorship Measurement ...............................................................................24

Conclusion ....................................................................................................................................25

About the Respondents .................................................................................................................26

About the ANA ..............................................................................................................................27

About IEG .....................................................................................................................................27

Additional ANA Resources .............................................................................................................28

Appendix A: Additional Charts ........................................................................................................29

Appendix B: Firmographics ............................................................................................................31

Appendix C: Questionnaire .............................................................................................................36

Page 3: 2010 ANA/IEG Survey Research Report Sponsorship and Events ... · 4 Introduction and Methodology Sponsorship has evolved a great deal since the time when the phrase “sponsorship

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Executive Summary

The survey findings reveal that virtually all firms utilizing sponsorship programs attempt to measure the returns from these initiatives at least some of the time. About three-quarters of these firms (72%) attempt to measure the returns from these sponsorship programs more than half of the time. However, only 42% have a standardized process for measuring these returns.

Only 37% of firms have established a dedicated budget for measurement of the returns from sponsorship initiatives. Among those firms with a dedicated budget for measurement, the amount spent is, on average, equivalent to 2.3% of the amount spent to acquire sponsorship rights.

No single metric has attained anything close to universal acceptance as a measurement of the effectiveness of sponsorship initiatives. The most commonly used metrics are “product or service sales” (used by 61%), “TV logo exposure” (55%), “lower customer acquisition cost” (49%), and “lead generation” (48%). Of these four most commonly used metrics, the only one that the vast majority of users agree is extremely or very valuable is “product or service sales” (93%). It is noteworthy that the second most commonly used metric—“TV logo exposure”—is the lowest rated in terms of value.

At present, satisfaction with the ability to measure the returns from sponsorship initiatives is relatively low—only 14% are highly satisfied with their ability to measure sponsorship return on investment (ROI) and only 18% are highly satisfied with their ability to measure sponsorship return on objective (ROO). It is noteworthy that satisfaction levels with ROI and ROO measurements are well above average among those firms that have developed a standardized measurement process; however, even among these firms there is wide room for improvement in this area.

The majority of firms (62%) feel it is extremely/very important for their sponsorship partners to participate in measuring the results of these initiatives. Most commonly, these firms would like their sponsorship partners to provide them with information concerning audience demographics, audience research on sponsor recognition/recall, and audience research on attitudes toward sponsors.

Outsourcing the measurement of the returns from sponsorship initiatives is limited to about one-third of firms (34%). Those firms that outsource measurement do so, on average, about half of the time.

The low level of satisfaction with the ability to measure ROI and/or ROO for sponsorship initiatives notwithstanding, the great majority of firms (75%) feel their attempts to measure the effectiveness of their sponsorship programs deliver actionable data for aiding future decision making in this area.

Page 4: 2010 ANA/IEG Survey Research Report Sponsorship and Events ... · 4 Introduction and Methodology Sponsorship has evolved a great deal since the time when the phrase “sponsorship

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Introduction and Methodology

Sponsorship has evolved a great deal since the time when the phrase “sponsorship can’t be measured” was an accepted “fact.” Today, accountability has become a vital skill for sponsorship marketers. However, much of what passes for sponsorship measurement misses the mark.

In order to gain critical insights into how companies are measuring the results of their sponsorship and/or event marketing initiatives, and to identify issues, trends, and developments that will inform measurement decision making and help to improve marketers’ ability to determine success, this survey was conducted by the ANA in partnership with IEG.

The survey was conducted online during May 2010 among a sample of 102 client-side marketers in companies that are involved in specific initiatives for sponsorship and/or event marketing and actively measure the return from these initiatives at least some of the time. Further, in order to be eligible for inclusion in the survey, a respondent had to be directly involved with, or knowledgeable about, his/her firm’s sponsorship initiatives.

Respondents to this survey were asked questions related to “sponsorship and/or event marketing” initiatives. In the interest of conciseness, this report references this subject only with the term “sponsorship.” The reader will understand that this is an abbreviation of the phrase actually presented to the respondents.

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Nearly half of the marketers surveyed (49%) report that their firms’ need for validated results from sponsorship initiatives have “increased a lot” over the past few years. Another 30% report that this need has “increased a little” during this period. Almost no one said their firm’s needs in this area have decreased.

Change in Need for Validated Results for Sponsorship and/or Event Marketing Initiative in Past 1-2 Years

Q8. How has the need for validated results for your sponsorship and/or event marketing initiatives changed in the past 1-2 years―increased a lot, increased a little, remained the same, decreased a little, decreased a lot?

Base: Total Sample

N = (102)

Source: ANA, 2010

Increased a Lot49%

Increased a Little30%

Remained the Same16%

Decreased a Lot2%

No Answer3%

Increased (Net) = 79%

NOTE: May not add to 100% due to rounding

Detailed Findings

The Need to Validate Results from Sponsorship Activities Has Increased

Although the need to validate results has significantly increased, marketers focused on sponsorship and event marketing have not responded to the challenge of committing to developing consistent best practices to address the issue. They run the risk of not getting their fair share of marketing budgets to effectively drive results.

Gerald JohnsonCMO

Magic Johnson Enterprises

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Reasons for Sharing Sponsorship Results Internally

Importance of Reasons to Have Results from Sponsorship and/or Event Marketing Activity to Share Internally

Q9. How important is it for you to have results from sponsorship and/or event marketing activity to share internally for the following reasons—extremely important, very important, somewhat important, not too important, not at all important?

Base: Total Sample

N = (102)

Source: ANA, 2010

56% 51% 45%

34% 33% 39%

90% 84% 84%

Justify Expenditures to Senior Personnel

Demonstrate Results to Departments/Lines of Business

That Funded the Activity

Demonstrate Results to Areas Impacted by the Sponsorship

Extremely Important Very Important

Top-2-Box Ratings on 5-Point Scale

All respondents were presented with three reasons for sharing the results of sponsorship initiatives internally and asked to rate the importance of each. The three reasons were:

• Justify expenditures to senior personnel

• Demonstrate results to departments/lines of business that funded the activity

• Demonstrate results to areas impacted by the sponsorship

All three reasons were assigned relatively high importance (extremely or very important) by the vast majority of the marketers surveyed. The findings suggest that the goal of justifying expenditures to senior personnel is slightly more important than the other two reasons.

Accountability reigns supreme in all aspects of marketing. This survey should serve as a wake-up call to marketers, urging them to define ROI/ROO metrics for success and hold themselves accountable, as upper management is sure to do.

Bob LiodicePresident and CEO

ANA

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Among those respondents in firms that measure the returns from sponsorship initiatives, about one-third (35%) reported that their firms “always or almost always” measure the returns from these activities. About another one-third (36%) said their firms measure the results of these activities “most of the time.” In other words, the great majority of firms (72%) measure the returns from sponsorship initiatives most, if not all, of the time.

Larger firms (those with annual revenues of $5 billion or more) measure the results of their sponsorship initiatives more often than do smaller firms. Among the larger firms surveyed, 49% reported measuring their sponsorship initiatives “always or almost always” versus only 25% of the smaller firms.

Frequency of Measuring Returns from Sponsorship/Event Marketing

SQ4. How often does your company actively measure its return from its sponsorships and/or event marketing activities?

Base: Total Sample

N = (102) (40) (33)

Source: ANA, 2010 NOTE: May not add to 100% due to rounding

Less Than Half the Time

About Half the Time

Most of the Time

Always/Almost Always 35%25%

49%

36%40%

30%

12%15%

6%

17% 20% 15%

TotalSample

RevenueUnder

$5 Billion

Revenue$5 Billionor More

72%65%

79%

Larger Companies Are More Likely to Measure Sponsorship Results

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Frequency of Measuring Sponsorships and/or Event Marketing

Q7. How often do you measure your sponsorships and/or event marketing?

Base: Total Sample

N = (102)

Source: ANA, 2010

By Event44% Quarterly

4%

Annually9%

Varies by Sponsorship and/or Event

35%

Based on the Season When Event Occurs

3%

Constantly Measure

Sponsorship Portfolio

4%

Other1%

Frequency of Sponsorship Measurement Varies Widely

Relatively few firms reported that they measure their sponsorship initiatives on a fixed periodic basis (4% quarterly and 9% annually). Most commonly, these initiatives are measured on an event basis (44%). About one-third of the firms surveyed (35%) report that their measurement program varies by event.

One survey participant reported that his/her firm doesn’t have a standard for measurement because business units don’t set objectives, making it difficult to measure ROI, ROO, or return on assets (ROA).

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The establishment of a dedicated budget for measuring the impact of sponsorship initiatives is the exception rather than the rule. Only a minority of the marketers surveyed (37%) report that their firms have established a dedicated budget for this purpose. Larger firms have shown a much greater propensity than smaller companies for establishing a dedicated budget (49% vs. 33%). In addition, B-to-C firms are more likely than B-to-B firms to have dedicated measurement budgets (43% vs. 33%).

A Minority of Marketers Has a Dedicated Sponsorship Measurement Budget

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Among those firms that have a dedicated budget for measuring the results of their sponsorship initiatives, on average, the budget is equivalent to 2.3% of the dollars spent to acquire sponsorship rights.

Less Than 1%37%

1% - 5%40%

6% - 10%5%

11% or More3%

No Answer15%

Amount Spent on Sponsorship and/or Event Marketing Measurement as a Percent of Amount Spent to Acquire Sponsorship Rights

Q10a. How much does your company spend on sponsorship and/or event marketing measurement as a percent of the amount spent to acquire sponsorship rights?

Base: Company Has a Dedicated Budget

N = (38)

Source: ANA, 2010

Mean Percent:

2.3%

NOTE: May not add to 100% due to rounding

Percentage of Sponsorship Budget Spent on Measuring Returns

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The findings indicate that only a minority of firms (42%) has developed a standardized process for measuring the return on its sponsorship initiatives. Larger companies are significantly more likely than smaller firms to have developed standardized processes for measuring the return to these initiatives (58% vs. 38%).

Not surprisingly, the great majority of those firms that always or almost always measure the return from sponsorship initiatives (72%) has installed standardized measurement processes.

Less Than Half Have Standardized Processes for Sponsorship Measurement

Just as with measuring the effectiveness of any other aspect of your organization, sponsorships must be measured. An ongoing commitment has to be made to put as much rigor as possible around these metrics and evaluation. This is an iterative process requiring modeling exploration, benchmarking year-over-year, and continuous dialogue and alignment with your key internal stakeholders.

Karen UhlerSenior Marketing Manager

Sponsorships, Promotions, and Consumer Public RelationsAllstate Insurance Company

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The most commonly used metrics for measuring ROI and/or ROO of sponsorship initiatives are “product or service sales” (mentioned by 61% of the respondents) and “TV logo exposure” (55%). Mentioned to a slightly lesser extent are “lower customer acquisition cost” (49%) and “lead generation” (48%).

Metrics Used to Measure ROI and/or ROO

Q5. How does your company measure ROI and/or ROO of sponsorship and/or event marketing?

Base: Total Sample

N = (102)

Source: ANA, 2010

61%

55%

49%

48%

46%

46%

46%

42%

41%

39%

38%

31%

3%

Product or Service Sales

TV Logo Exposure

Lower Customer Acquisition Cost

Lead Generation

Response to Sponsorship/Event-Related Promotions/Ads

Response of Employees/Internal Constituents

Awareness of Brand

Response of Trade/Channel Partners

Attitudes Toward Brand

Entertainment of Key Customers/Prospects

Awareness of Company/Brand's Sponsorship

Amount of Media Exposure Generated

Other

Metrics for Sponsorship Measurement

Additional metrics used to measure ROI and/or ROO include the following:

• Feedback via social media

• Value brought from sponsor

• Number of people attending event

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In order to measure how marketers perceive the value of the metrics they are currently using to measure ROI/ROO, those respondents who reported using a given metric were asked to rate its value on a 5-point scale. The findings reveal that the metrics seen as being of greatest value are “product or service sales” and “attitudes toward brand.” The metrics with the lowest value ratings are “TV logo exposure” and “response of employees/internal constituents.” It’s interesting to note that while TV logo exposure is the second-most used metric, it rates near the bottom in terms of its value.

Value of Various Metrics for Evaluating ROI and/or ROO

Q5a. You indicated your company uses the metrics listed below to measure ROI and/or ROO of sponsorship and/or event marketing. Please rate the value of each of these metrics in your evaluative process―extremely valuable, very valuable, somewhat valuable, not too valuable, not at all valuable.

Base: Use Respective Metric to Measure ROI/ROO

Source: ANA, 2010

93%

52%

64%

78%

76%

52%

75%

65%

81%

64%

75%

66%

Product or Service Sales

TV Logo Exposure

Lower Customer Acquisition Cost

Lead Generation

Response to Sponsorship/Event-Related Promotions/Ads

Response of Employees/Internal Constituents

Awareness of Brand

Response of Trade/Channel Partners

Attitudes Toward Brand

Entertainment of Key Customers/Prospects

Awareness of Company/Brand's Sponsorship

Amount of Media Exposure Generated

Top-2-Box Ratings on 5-Point Scale (“Extremely/Very Valuable”) Base: Varies

Value of Metrics in Sponsorship Measurement

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In general, those firms that have a standardized measurement process for ROI/ROO tend to use virtually all metrics to a greater extent than those firms without a standardized measurement process. The greatest gaps between these two market segments relate to their reliance on the metrics of “attitudes toward brand” and “amount of media exposure generated.”

Those with Standardized Measurement Processes Are More Likely to Use Metrics

Metrics Used to Measure ROI and/or ROO

Have Standardized Measurement

Process

Do Not Have Standardized Measurement

Process

Difference

Base: All Respondents (45) (54)

% %

Product or Service Sales 63 59 +4

TV Logo Exposure 58 54 +4

Lower Customer Acquisition Cost 49 50 - 1

Lead Generation 56 46 +10

Response to Sponsorship/Event-Related Promotions/Ads 56 41 +15

Response of Employees/Internal Constituents 53 44 +9

Awareness of Brand 56 41 +15

Response of Trade/Channel Partners 47 39 +8

Attitudes Toward Brand 56 30 +26

Entertainment of Key Customers/Prospects 44 37 +7

Awareness of Company/Brand’s Sponsorship 47 35 +12

Amount of Media Exposure Generated 44 24 +20

Other - 4 -4

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Satisfaction with Company’s Ability to Measure ROI and ROO from Sponsorship/Event Marketing Programs

Q3/4. How satisfied is your company with its ability to measure ROI/ROO from your sponsorship and/or event marketing programs―completely satisfied, very satisfied, somewhat satisfied, not too satisfied, not at all satisfied?

Base: Total Sample

N = (102)

Source: ANA, 2010

2% 3%

12%15%

46%47%

60%65%

Satisfaction with ROI Measurement

Satisfaction with ROO Measurement

Somewhat SatisfiedVery SatisfiedCompletely Satisfied

14%18%

Top-3-Box Ratings on 5-Point Scale

Although the majority of marketers surveyed report being at least somewhat satisfied with their firm’s ability to measure ROI and ROO for sponsorship initiatives (60% and 65%, respectively), only a small number expressed a high degree of satisfaction; only 14% and 18% said they were “completely” or “very” satisfied with ROI and ROO measurement.

Satisfaction with the Measurement of the Return on Sponsorship Activities

The survey clearly shows the importance placed on measurement and accountability by those in event marketing and sponsorship, but it also demonstrates how much further most companies need to go in developing the means to reliably prove the return on objectives and return on investment of their expenditures in this area.

Jim AndrewsSenior Vice President/Editorial Director

IEG

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There is a clear-cut relationship between the installation of a standardized process for measuring the return of sponsorship initiatives and satisfaction with the ability to measure ROI and ROO.

Satisfaction with Ability to Measure ROI from Sponsorship/Event Marketing Programs

Total Sample Have Standardized Measurement Process

Do Not Have Standardized

Measurement Process

Base: All Respondents (102) (45) (54)

% % %

Completely/very satisfied (net) 14 28 4

Completely satisfied 2 5 -

Very satisfied 12 23 4

Somewhat satisfied 46 60 33

Not too satisfied 30 9 48

Not at all satisfied 8 2 13

No answer 2 - 2

Satisfaction with Ability to Measure ROO from Sponsorship/Event Marketing Programs

Total Sample Have Standardized Measurement Process

Do Not Have Standardized

Measurement Process

Base: All Respondents (102) (45) (54)

% % %

Completely/very satisfied (net) 18 37 4

Completely satisfied 3 7 -

Very satisfied 15 30 4

Somewhat satisfied 47 49 44

Not too satisfied 25 12 37

Not at all satisfied 6 - 11

No answer 4 2 4

Companies That Have Standardized Measurement Processes Are More Satisfied

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Importance for Company’s Sponsored Property and/or Event Marketing Partners to Help Measure Results

Q11. How important is it that your company’s sponsored property and/or event marketing partners help the company measure results of its involvements with them?

Base: Total Sample

N = (102)

Source: ANA, 2010

Extremely Important

28% Very Important

34%

Somewhat Important

26%

Not Too Important

9%

Not at All Important

2%

No Answer 1%

Extremely/Very Important (Net) = 62%

About six-in-ten marketers surveyed (62%) feel it is “extremely” or “very” important for their event marketing partners to help in the measurement of the results of these initiatives. Another one-quarter (26%) said their partners’ involvement is “somewhat” important.

Involvement of Sponsorship Partners in Measurement

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Information Firms Would Like Sponsorship/Event Partners to Provide in Order to Measure Results of Their Involvement

Q11a. You indicted that it is important that your company’s sponsored property and/or event marketing partners help the company measure results of its involvements with them. What information would you like them to provide in this regard? (Please select all that apply.)

Base: Believe It Extremely/Very/Somewhat Important for Partners to Help Measure Results

N = (89)

Source: ANA, 2010

85%

72%

70%

67%

52%

37%

5%

Audience Demographics

Audience Research on Sponsor Recognition/Recall

Audience Research on Attitudes Toward Sponsors

Audience Research on Propensity to Purchase/Loyalty/Behavior Toward Sponsors

Audience Contact Information

Coupon/Promotional Offer Redemption Results

Other

Those marketers who stated that it is important that their sponsorship/event marketing partners help to measure the results of these initiatives were asked which specific information they would like these partners to provide. Most commonly mentioned was “audience demographics” (85%). This was followed, at a distance, by “audience research on sponsor recognition/recall” (72%) and “audience research on attitudes toward sponsors” (70%).

Measurement Information Desired from Sponsorship Partners

In addition, respondents listed the following as being information they’d like sponsorship partners to provide:

• Competitive awareness and data on other categories within the same sponsorship space

• Media pickup

• ROI

• Usage information of all sponsor benefits and exposure of other elements including merchandise and promotional materials

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At present, about one-third of the firms surveyed (34%) report that they ever outsource the measurement of their sponsorship initiatives. The propensity to outsource this function appears to be somewhat greater among B-to-C firms than B-to-B firms (41% vs 28%).

Outsourcing Measurement of Sponsorship Activities

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Degree to Which Firm Outsources Sponsorship/Event Marketing Measurement

Q6b. To what degree does your company outsource sponsorship and/or event marketing measurement?

Base: Outsource Sponsorship/Event Marketing Measurement

N = (35)

Source: ANA, 2010

Mean Percent of Measurement Outsourced:

44.9%

Less than 25% 31%

25% - 50% 34%

51% - 75% 9%

76% - 100% 26%

NOTE: May not add to 100% due to rounding

Those firms that are willing to outsource the measurement of their sponsorship initiatives do so, on average, about 45% of the time.

Companies That Outsource Sponsorship Measurement Do So Half the Time

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The proportion of respondents saying that their sponsorship partner’s involvement in the measurement process is extremely important or very important is significantly higher among those firms that out-source the measurement process than among those firms that do not (74% vs. 57%).

Importance of Partners’ Involvement Increases for Companies that Outsource

Importance for Company’s Sponsored Property and/or Event Marketing Partners to Help Measure Results

Q11. How important is it that your company’s sponsored property and/or event marketing partners help the company measure results of its involvements with them?

Base: Total Sample

N = (102)

Source: ANA, 2010

Extremely Important

28% Very Important

34%

Somewhat Important

26%

Not Too Important

9%

Not at All Important

2%

No Answer 1%

Extremely/Very Important (Net) = 62%

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The great majority of marketers surveyed (76%) feel that their firms are able to gather actionable data for future sponsorship decision making. The ability to collect actionable data is somewhat higher among those firms that outsource measurement than among those firms that do not (83% vs. 70%).

The good news is the we have access to and can collect data—the challenge and opportunity for us is to determine if it’s the data we really need, make sure we get it in a timely manner, and commit to doing something with it that showcases results against objectives.

Gerald JohnsonCMO

Magic Johnson Enterprises

Ability to Gather Actionable Data for Future Sponsorships

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Whether Company’s Sponsorship/Event Marketing Measurements Assess Differences in Impact on Customers vs. Non Customers

Q13. Do your company’s sponsorship and event marketing measurements assess differences in impact on customers vs. non-customers?

Base: Total Sample

N = (102)

Source: ANA, 2010

Measurements Assess

Differences 28%

Measurements Do Not Assess

Differences 62%

No Answer 10%

Only about one-quarter of the marketers surveyed (28%) report that the measurements of their sponsorship efforts distinguish between the impact on customers and the impact on non-customers.

Measurement of the Impact of Sponsorships of Customers and Non-Customers

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Whether Sponsorship/Event Marketing Measurements Attempt to Isolate Impact of the Activity vs. Concurrent Marketing Communications

Q14. Do your company’s sponsorship and event marketing measurements attempt to isolate the impact of the activity vs. other concurrent marketing communications?

Base: Total Sample

N = (102)

Source: ANA, 2010

Measurements Attempt to

Isolate Impact 42%

Measurements Do Not Attempt

to Isolate Impact

48%

No Answer 10%

A sizeable minority of the marketers surveyed (42%) report that their firms’ measurements of sponsorship initiatives attempt to isolate the impact of these initiatives vs. other concurrent marketing communications.

Isolation of Sponsorship Measurement

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The survey identifies a credibility gap when it comes to the agreed-upon need for measurement and accountability and the resources, strategies, and tactics employed to deliver against that need. Having identified the gap, the survey presents a significant question for the industry to answer: Why does the gap exist? There are multiple answers to that question. Certainly one of them is a lack of sophistication and/or means to develop proper measurement tools and systems among smaller and less experienced marketers. The survey identified that companies with revenue over $5 billion were far more likely to measure frequently, have a dedicated budget for measurement, and use a standardized approach to evaluating success. However, even large companies continue to struggle with issues such as isolating the impact of sponsorship and event marketing from other concurrent communications efforts, translating easily obtained “output” data such as exposure reports and web traffic into “outcomes” that prove the impact on the target market’s behavior, sales, and effect on broader business objectives, brand value, and profits. Until sponsors and event marketers fully embrace the idea that such outcomes can be determined—but only through customized approaches tailored to the specific objectives and market situations of each company or brand—there is likely to continue to be a gap between what marketers say they want and need and their ability to demonstrate true return on investment and return on objectives.

Conclusion

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About the Respondents

Participating companies that agreed to be identified:

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Founded in 1910, the ANA (Association of National Advertisers) leads the marketing community by providing its members with insights, collaboration, and advocacy. ANA’s membership includes 400 companies with 9,000 brands that collectively spend over $250 billion in marketing communications and advertising. The ANA strives to communicate marketing best practices, lead industry initiatives, influence industry practices, manage industry affairs, and advance, promote, and protect all advertisers and marketers.

For more information, visit www.ana.net.

IEG is the world’s leading provider of independent research, consulting, training, and analysis on sponsorship. Founded in 1981, IEG provides corporations and properties with the strategies and tools to harness the sales and marketing power of sports, arts, entertainment, and cause marketing. IEG offers services that include sponsorship consulting, competitive intelligence, and valuation. Through its conferences, seminars, and webinars, IEG has trained more than 45,000 sponsorship executives worldwide.

For more information, visit www.sponsorship.com.

About the ANA

About IEG

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ANA Sponsorship & Event Marketing Committee: This group of client-side marketers meets quarterly to help ANA members build expertise in managing event marketing and sponsorship activities. This area is growing in importance and is now a $10 billion industry in North America, and growth has outpaced both advertising and promotion. More at www.ana.net/community.

ANA Marketing Insights Center: To find articles and presentations on a range of marketing topics, including sponsorship and event marketing, visit www.ana.net/mkc.

ANA Conferences: The ANA helps the marketing community stay abreast of cutting-edge trends and best practices via a comprehensive calendar of national industry conferences and members only conferences. Find more information at www.ana.net/events.

ANA Survey Research: ANA surveys and Research Reports are based on topics identified by the ANA and its membership as critical issues and emerging trends that nearly all marketers face today. To access Research Reports, which allow you to tap into members-only research and perspective, please visit www.ana.net/miccategory/index/id/surveyresearch.

ANA Peer-to-Peer Benchmarking: One of the best resources ANA offers is the ability to connect members with one another. If you are an ANA member and have interest in speaking with other members, please get in touch with your ANA membership representative through www.ana.net/membership.

Additional ANA Resources

Marketers are encouraged to tap into the various resources of the ANA to learn more about the marketing industry:

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Appendix A: Additional Charts

Whether Company Has Any Sponsorship and/or Event Marketing Activity Specifically Targeted to Hispanic Audiences

Q15. Does your company have any sponsorship and/or event marketing activity specifically targeted to Hispanic audiences?

Base: Total Sample

N = (102)

Source: ANA, 2010

Specifically Target

Hispanic Audience

34%

Do Not Specifically

Target Hispanic Audience

62%

No Answer4%

NOTE: May not add to 100% due to rounding

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Incidence of Respondent’s Company Having Any Sponsorship and/or Event Marketing Activity Specifically Targeted to Hispanic Audiences

Q15. Does your company have any sponsorship and/or event marketing activity specifically targeted to Hispanic audiences?

Base: Total Sample

N = (102) (18) ( 44) (26) (40) (33)

Source: ANA, 2010

34%

6%

46%

39%

23%

55%

Total Sample

B-to-Bs

B-to-Cs

Combo

Revenue Under $5 Billion

Revenue $5 Billion or More

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In which category of product or service does your organization primarily market?

Base: Those Answering %

Apparel, Footwear -

Automotive, Motorcycles 5

Beverage 5

Business and Professional Services 5

Consumer Durables 3

Consumer Electronics 1

Consumer Packaged Goods 2

Computers and Technology 9

Energy, Utilities 5

Entertainment, Media, Sports 3

Financial Services - Banking 7

Financial Services - Brokerage 1

Financial Services - Credit Cards 3

Financial Services - Insurance 10

Food 5

Health and Beauty 1

Healthcare 2

Manufacturing, Industrial Goods and Services 2

Pharmaceuticals 2

Real Estate and Construction -

Restaurants, Fast Food, Grocery Stores 2

Retail 5

Telecommunications 5

Tobacco 1

Travel, Transportation, Tourism, Hospitality 7

Other 8

Appendix B: Firmographics

Note: Tables in this section may not add to 100% due to rounding.

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Is your company primarily B-to-C, B-to-B, or an about equal combination of both?

Base: Those Answering %

Primarily B-to-B 21

Primarily B-to-C 50

About equal combination of both 30

Which of the following best describes your organization’s annual revenue?

Base: Those Answering %

Less than $1 million 4

$1 million - $10 million 3

$10 million - $50 million 4

$50 million - $100 million 3

$100 million - $250 million 4

$250 million - $500 million 8

$500 million - $1 billion 10

$1 billion - $5 billion 19

$5 billion - $10 billion 12

$10 billion - $25 billion 4

$25 billion - $50 billion 11

$50 billion - $100 billion 12

$100 billion or more 6

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Which of the following best describes your organization’s annual U.S. marketing and advertising budget?

Base: Those Answering %

Less than $250 thousand 12

$250 thousand - $500 thousand 3

$500 thousand - $750 thousand 1

$750 thousand - $1 million 1

$1 million - $5 million 7

$5 million - $15 million 15

$15 million - $30 million 15

$30 million - $50 million 9

$50 million - $100 million 15

$100 million - $200 million 6

$200 million - $500 million 7

$500 million - $1 billion 9

$1 billion or more 1

What is your job level?

Base: Those Answering %

CEO/President 2

Chief Marketing Officer 2

Executive Vice President 2

Senior Vice President 4

Vice President 17

Director 26

Brand or Product Manager 16

Assistant Brand or Product Manager 2

Associate Brand or Product Manager 1

Manager 14

Assistant Manager 2

Other 11

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In what functional area do you currently work?

Base: Those Answering %

Executive 3

Marketing 69

Advertising 5

Brand Management 9

Communications 5

Product Management -

Information Technology -

Procurement/Sourcing 1

Sales 3

Strategy 1

Research 1

Other 2

How many years have you personally been working in marketing/advertising?

Base: Those Answering %

Less than one year -

1 to less than 2 years -

2 to less than 5 years 7

5 to less than 7 years 7

7 to less than 10 years 17

10 to less than 15 years 19

15 to less than 20 years 17

20 to less than 25 years 17

25 to less than 30 years 14

30 years or more 2

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What is your gender?

Base: Those Answering %

Male 55

Female 45

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SCREENER QUESTIONS

PN: ASK SQ1 OF IEG SAMPLE ONLY

SQ1. Are you a client-side marketer or do you work for a firm that provides supportive services to client-side marketers (e.g., advertising agencies, promotion firms, public relations firms, media companies, consultants)?

F I am a client-side marketer

F I work for a firm that provides supportive services to client-side marketers [TERMINATE]

F Neither of these [TERMINATE]

SQ2. Is your company involved in specific initiatives for sponsorship and/or event marketing?

F Yes

F No [TERMINATE]

F Don’t know/not sure [TERMINATE]

SQ3. What is the extent of your personal involvement in the sponsorship and/or event marketing efforts of your firm?

F I am intimately involved in the planning and/or execution of these efforts.

F I am somewhat involved in the planning and/or execution of these efforts.

F I am not involved in either the planning or execution of these efforts, but I am fairly knowledgeable about what my firm is doing in this area.

F I am not involved in either the planning or execution of these efforts and don’t have very much knowledge about what my firm is doing in this area. [TERMINATE]

SQ4. How often does your company actively measure its return from its sponsorships and/or event marketing activities?

F Always or almost always

F Most of the time

F About one-half of the time

F Less often than one-half of the time

F Never [TERMINATE]

F Don’t know/not sure [TERMINATE]

Appendix C: Questionnaire

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MAIN QUESTIONNAIRE

Q2. Does your company have a standardized process for measuring its return on sponsorships and/or event marketing?

F Yes

F No

F Don’t know/not sure

Q3. How satisfied is your company with its ability to measure ROI from your sponsorship and/or event marketing programs? (ROI is defined as a performance measure used to evaluate the efficiency of an investment or to compare the efficiency of a number of different investments.)

F Completely satisfied (5)

F Very satisfied (4)

F Somewhat satisfied (3)

F Not too satisfied (2)

F Not at all satisfied (1)

F Don’t know/not sure

Q4. How satisfied is your company with its ability to measure ROO from your sponsorship and/or event marketing programs? (ROO is defined as a performance measure used to evaluate whether a marketing activity is achieving or exceeding the outcome of a desired marketing objective.)

F Completely satisfied (5)

F Very satisfied (4)

F Somewhat satisfied (3)

F Not too satisfied (2)

F Not at all satisfied (1)

F Don’t know/not sure

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Q5. How does your company measure ROI and/or ROO of sponsorship and/or event marketing? (Please select all that apply).

F TV logo exposure

F Product or service sales

F Lower customer acquisition cost

F Lead generation

F Response to sponsorship/event-related promotions/ads (example: coupon redemption)

F Response of trade/channel partners (example: increase display advertising)

F Response of employees/internal constituents (example: employee surveys)

F Attitudes toward brand (image, attributes, consideration, propensity to purchase, etc.)

F Awareness of brand

F Awareness of company/brand’s sponsorship

F Amount of media exposure generated (example: impressions and mentions)

F Entertainment of key customers/prospects

F Other (please specify) [SPECIFY REQUIRED]

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Q5A. You indicated your company uses the metrics listed below to measure ROI and/or ROO of sponsorship and/or event marketing. Please rate the value of each of these metrics in your evaluative process.

TV logo exposure

Product or service sales

Lower customer acquisition cost

Lead generation

Response to sponsorship/event-related promotions/ads (example: coupon redemption)

Response of trade/channel partners (example: increase display advertising)

Response of employees/internal constituents (example: employee surveys)

Attitudes toward brand (image, attributes, consideration, propensity to purchase, etc.)

Awareness of brand

Awareness of company/brand’s sponsorship

Amount of media exposure generated (example: impressions and mentions)

Entertainment of key customers/prospects

ExtremelyValuable

VeryValuable

SomewhatValuable

Not tooValuable

Not at allValuable

Don’tKnow/

Not Sure

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Q6A. Does your company ever outsource sponsorship and/or event marketing measurement?

F Yes [CONTINUE WITH 6B]

F No [SKIP TO Q7]

F Don’t know/not sure [SKIP TO Q7]

Q6B. To what degree does your company outsource sponsorship and/or event marketing measurement?

F Less than 25%

F 25% - 50%

F 51% - 75%

F 76% - 100%

F Don’t know/not sure

Q7. How often do you measure your sponsorships and/or event marketing?

F By event

F Quarterly

F Annually

F Varies by sponsorship and/or event

F We measure based on the season when my event occurs

F We constantly measure our sponsorship portfolio

F Other (please specify) [SPECIFY REQUIRED]

Q8. How has the need for validated results for your sponsorship and/or event marketing initiatives changed in the past 1-2 years?

F Increased a lot (5)

F Increased a little (4)

F Remained the same (3)

F Decreased a little (2)

F Decreased a lot (1)

F Don’t know/not sure

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Q9. How important is it for you to have results from sponsorship and/or event marketing activity to share internally for the following reasons?

Justify expenditures to senior personnel

Demonstrate results to departments/lines of business that funded the activity

Demonstrate results to areas impacted by the sponsorship (e.g., sales, marketing, brand manage-ment, HR, etc.)

Q10. Does your company have a dedicated budget for sponsorship and/or event marketing measurement?

F Yes [ASK Q10A]

F No [SKIP TO Q11]

F Don’t know/not sure [SKIP TO Q11]

Q10A. How much does your company spend on sponsorship and/or event marketing measurement as a percent of the amount spent to acquire sponsorship rights?

F Less than 1%

F 1% - 5%

F 6% -10%

F 11% or more

F Don’t know/not sure

Q11. How important is it that your company’s sponsored property and/or event marketing partners help the company measure results of its involvements with them?

F Extremely important (5) [CONTINUE WITH Q11A]

F Very important (4) [CONTINUE WITH Q11A]

F Somewhat important (3) [CONTINUE WITH Q11A]

F Not too important (2) [SKIP TO Q12]

F Not at all important (1) [SKIP TO Q12]

F Don’t know/not sure [SKIP TO Q12]

ExtremelyImportant

VeryImportant

SomewhatImportant

Not tooImportant

Not at allImportant

Don’tKnow/

Not Sure

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Q11A. You indicted that it is important that your company’s sponsored property and/or event marketing partners help the company measure results of its involvements with them. What information would you like them to provide in this regard? (Please select all that apply.)

F Audience demographics

F Audience research on sponsor recognition/recall

F Audience research on attitudes toward sponsors

F Audience research on propensity to purchase/loyalty/behavior toward sponsors

F Coupon/promotional offer redemption results

F Audience contact information

F Other (please specify) [SPECIFY REQUIRED]

Q12. Are you able to gather data, analyze it, and use findings to inform your future sponsorship and/or event marketing selection, negotiation, activation, and renewal strategies?

F Yes

F No

F Don’t know/not sure

Q13. Do your company’s sponsorship and event marketing measurements assess differences in impact on customers vs. non-customers?

F Yes

F No

F Don’t know/not sure

Q14. Do your company’s sponsorship and event marketing measurements attempt to isolate the impact of the activity vs. other concurrent marketing communications?

F Yes

F No

F Don’t know/not sure

Q15. Does your company have any sponsorship and/or event marketing activity specifically targeted to Hispanic audiences?

F Yes [CONTINUE WITH Q16]

F No [SKIP TO QV1]

F Don’t know/not sure [SKIP TO QV1]

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Q16. How, if at all, does your measurement of Hispanic targeted sponsorships and/or event marketing differ from sponsorships/events for the general market? Please write your answer in the space below. If you prefer not to comment please click NEXT.

PN: ASK EVERYONE

QV1. When we publish the results of this survey, can we identify your company as a participant? (It may provide value to you and other respondents to know which companies participated. All individual responses will be kept completely confidential.) If yes, please provide your company name below. Otherwise click NEXT.

QV2. Would you be willing to be interviewed by ANA Magazine on your responses to this survey? If yes, please provide your e-mail address below. Otherwise click NEXT.

[ADD EMAIL VALIDATION]

QV3. The ANA is creating a collection of marketing organizational charts so members can share best practices. If you would like to participate by submitting your marketing organizational chart please provide your e-mail address below, and we will follow up with you. Your company name does not need to be identified. If you do not want to participate, click NEXT.

[ADD EMAIL VALIDATION]