Introduction
Year on year, companies across the world spend billions to win a valued location to proudly pitch their brand name or logo. Be it on the jumper of Golfer Tiger Woods, the jersey of footballer Paul Pogba or the shorts of boxer Floyd Mayweather, its plays a significant role in the financing of sport, with the fans being the targeted catch.
Corporate sport sponsorship has been growing in popularity worldwide over the past several decades, moving from a philosophy of corporate donation to a key element of marketing strategy used by major corporations to create brand value and obtain a competitive advantage in the marketplace (Biscaia et al, 2009).
The overall aim of advertising, or is first cousin sponsorship, is to provide companies with an evidence based opportunity to improve their image, resulting in positive short, medium, and long-term outcomes.
While Sponsorship affiliations are not limited to just sports, there are substantially more partnerships between companies and sport related properties than any other property types (Bee, Dalakas, 2014).
Sport with its attached glitz, glamour and super-stardom, provides an attractive platform to reach huge audiences who are both loyal and hugely passionate as spectators, who directly participate in relation to their purchasing power and potential.
However, “the competitive nature of sports also creates an environment where fans can also develop similarly powerful negative sentiments targeted towards rival teams” and only “recently has attention shifted to how negative feelings towards a rival generate negative responses towards rival affiliated sponsors” (Bee, Dalakas, 2014).
It is to purpose of this essay to examine the area of sports sponsorship in relation to the effect of fan rivalry on sponsorship affiliation and the possible negative transference to rival sponsor brands.
In examining the primary congruence between brands and sponsorship properties, it will become evident that ‘perfect fit’, will in turn create the opposite effect for the sponsor in relation to aspects of the rival audience. In creating an understanding of the mechanics behind fan loyalty, this essay will provide clearer understanding of how exactly the ‘other-side’ plays a vital role on the overall branding success of sponsorship.
Sponsorship Advertising
The word advertising is a commonly used description that derives as many notions as there is ways of advertising. In today’s modern society, the public is submerged under a constant wave of targeted advertisement drives that dictate how one should dress, what one should eat, along with any other activity that involves the purchasing of products and services.
“In 1955 Bruce Barton, Chairman of international advertising agency BBDO described advertising as ‘the very essence of democracy’. I contrast H.G Wells described advertising as ‘legalised lying’, and in 1993, Northrop Frye described advertising as ‘a judicious mixture of flattery and threats”. (Tyrrell, 2017)
While extensively broad definitions of advertising exist, a general explanation lands on advertising being a “paid, mediated, form of communication from an identifiable source, designed to persuade the receiver to take some action, now or in the future. (Richards, Curran, 2002)
The focus of this essay will be in relation to the area of field sponsorship which comprises of where the “sponsorship stimuli involves “messages that are limited to the brand name or to a few words summarising the brands positioning platform” (Lardinoit, Derbaix, 2001).
Sponsorship is a form of advertising where a company pays to be associated with a specific event. It holds true to the objectives of advertising while employing a host to attach their brand or product.
An extremely lucrative approach played out across the globe, the sponsorship method of advertising is defined as “a technique which consists, for any organisation, in directly creating or supporting an event that is independent of that organisation, and associating itself with that event through the media in order to reach some marketing communication objectives”. (Derbaix, Gerard & Lardinoit, 1994).
The field sponsorship arena is a multi-billion euro industry that “involves the placement of sponsored messages, “usually a name or logo on sports equipment and billboards located around the event arena” (Lardinoit, Derbaix, 2001). Take for example the Etihad Stadium of English Premiership soccer team Manchester City whose naming rights where sold to Etihad Airlines for a staggering £400 million.
Marketers across the globe increasingly believe that sponsorship provides an effective alternative to traditional advertising and the figures certainly show confidence in its overall effectiveness.
Using Golf as an example, global spending on sponsorship had risen year on year since 2010. Statistics published by Statista on global sponsorship in relation to the golfing industry show a 2016 spend of 1.82 billion dollars.
One study carried out by Levin, Joiner, and Cameron (2001) on the “The Impact of Sports Sponsorship on Consumers’ Brand Attitudes and Recall found that “recall was higher for brands exposed through logos that for brands exposed through traditional adds”.
While the sponsorship industry grows year on year, the question must be asked regarding rivalries within competitive sport and its impact on sponsorship affiliation with opposing teams and individuals.
Connecting with the Audience
The goals of event marketing include the building of a brands awareness, enhancing brand attitudes and in to a lesser extent the making of sales at events, alongside the overarching objectives of top-of mind, aided brand recall, and attitudinal outcomes in relation to sponsorship strategies.
Much of the sponsorship literature is concerned with conceptualising and testing congruence between brands, sponsorship properties, and audience attributes. (Pokrywczynski, Brinker, 2014)
Concepts such as ‘fit’ and ‘match-up’ play an important role in cementing a relationship between the sponsor and the audience, and understanding of the brand by ‘fans’ and the identification of common attributes.
Chien et al (2011) study models of fit across properties, arguing that a coherent sponsorship portfolio lends itself to consistent branding because audiences can understand a brand vis-s-vis its association properties that share common attributes, eg., charity, rebelliousness, athleticism, cultural advancement. (Pokrywczynski, Brinker, 2014)
One of the central tenets of sponsorship research is that congruency between sponsor and event improves memory for the sponsor-event relationship and facilitates other aspects of communication. (Cornwell et al., 2006)
Pokrywczynski, Brinker, (2014) identifies the practical implications of congruence is that the effectiveness of a sponsorship (either in terms of sales or brand attitudes) hinges on how an audience cognitively processes that relationship among sponsor, property, and the consumer.
NASCAR auto racing provides a good example of the sponsor – audience relationship, “where fans seek out sponsors, hours before races to experience products, ask questions, and collect samples and promotional products” these types of audiences are “referred to as ‘avid fans’ (Pokrywczynski, Brinker, 2014).
While certain events might allow for a carnival interaction with fans as in the case of NASCAR, other sporting arenas are more susceptible to fierce fan rivalry, where any association with the ‘other side’ brings a distinct line in the sand, them, or us reality.
Take for example the Premiership soccer team Manchester United, one of the biggest sporting clubs of its kind in the world, who in 2014 signed its seven-year, $559 million contract with Chevrolet.
While the relationship between Manchester United and Chevrolet would no doubt pass the congruency test in relation to United fans, there is a wider audience to consider. Indeed, Manchester United have a massive fan base across the globe, but as an entity they also have their avid haters.
Simms (2007) identified Manchester United as being one of the most identified football teams worldwide, ranks as one of the top ten most hated brands in the United Kingdom. It is this dilemma of attaching a brand to a product that while offers unique advertising opportunities, also places the sponsor with associations to ‘the other side’.
Sponsorship and Fan Loyalty
In the sports context, (Biscaia et al., 2009) suggests “team loyalty represents a form of psychological connection to a team resulting in a consistent and enduring positive behaviours and attitudes towards a team” and “should include attitudinal and behavioural dimensions”.
In terms of behavioural loyalty, it’s in relation to game attendance and the extent of attendance at games and events, the consistency and extent of engaging with the team through media, along with the purchasing of merchandise. Ones attitudinal loyalty involves the psychological functions relating to their commitment and preference towards a team.
A loyal behaviour is often related to a strong attitude toward the team, yet the games may be attended because the person was offered a session ticket. As such, true loyalty only exists when a consumer regularly purchases the product and displays a strong attitudinal disposition toward a particular brand and its products. Biscaia et al, (2009).
Focusing on jersey sales and match attendance throughout the 2016 – 2016 Premiership season will provide a helpful synopsises at existing behavioural loyalty within the English Premiership, substantially high levels of merchandise purchasing and game attendance is present as seen below below.
Manchester United broke their own record of highest number of shirts sold in a season (2016-15). Manchester United official replica shirts recorded massive 40% increase to 8.5 million sales, with team members, Pogba and Ibrahimovic dominating shirt branding sales. Other high selling Premiership teams included Chelsea FC at 1.65 million sales, Arsenal at 1.25 million sales and Liverpool FC at 1 million sales. (Totalsporttec, 2017)
In relation to fan attendance at Premiership games throughout the 2017 season, over 12million individual attendances where recorded over a total of 340 games (Worldfootball.net, 2017).
Considering the levels of product purchasing and attitudinal disposition toward the individual team brands, substantial levels of ‘true loyalty’ exist within the Premiership example, and would be mirrored by other sporting brands across the globe including Golf, Tennis, American Football etc.
As stated by Biscaia et al, (2009) “attitudinal and behavioural loyalty has direct effect on attitudes towards sponsorship awareness and actual sponsor” while also stating that “an attitude is often defined as a psychological tendency that is expressed by evaluating a particular entity with some degree of favor or disfavor and attitudes can be formed through direct experience with an entity or exposure to knowledge and messages”.
Research has demonstrated that highly identified fans are more likely to attend games in person or follow their favourite team through the media and are also more likely to buy team related licensed merchandise Highly identified fans seemed to be, in effect, blinded by their affiliation with the favored team, and resulting dislike for the rival, these fans used their fan identity as the primary cue for forming attitudes and intentions. (Bee, Dalakas, 2014).
Applying a brand to a distinct team or player within an environment so heavily laden in behavioral and attitudinal loyalties will certainly produce positive brand attitudes within the congruent fit of sponsor and property, but negative attitudes by rival audiences towards said brand is surly seen to offset certain gains.
Sports provide an especially attractive situation for companies seeking to capitalise on affect transfer because fans are usually very loyal to and passionate about their favourite teams.
However, the competitive nature of sports creates an environment where fans can also develop similarly powerful negative sentiments targeted towards rival teams (Bee, Dalakas, 2014).
In a study, by Biscaia et al, (2009) on the relationship between team loyalty and attitudes towards the sponsor, findings pointed towards negative attitudes being developed towards brands who had deals with rival soccer teams.
Using social identity theory as a framework might be beneficial in understanding why fans would respond in such a way to sponsor associations with rival teams.
A broad explanation of social identity theory is in respect to a person’s sense of who they, based on their associations, e.g. social class, family, football team etc., which are an important source of pride and self-esteem. Groups give us a sense of social identity: a sense of belonging to the social world. (McLeod, 2008)
As individuals identify closely with one group, they increasingly view and categorise others on an in-group or out-group basis.
Such tendencies are especially strong for rival or competing groups where, due to the antagonistic relationship between the groups, the distinction between in-group and out-group or ‘us versus them’ is particularly clear (Bee, Dalakas, 2014)
Conclusion
While prior research has considered favourable sponsorship transfer effects, only recently has attention shifted to how negative feelings toward a rival generate negative responses toward rival-affiliated sponsors (Bee, Dalakas, 2014).
In relation to negative transfer effects, limited research does exist that confirms the impact fan rivalry can have on brands.
In a 2005 study of NASCAR racing fans by Dalakas and Levin (2005) it was found that fans of one driver reported negative attitudes towards companies sponsoring disliked drivers.
In a similar study, Bergkvist (2012) reported an overall negative transfer effect from a rival team to the sponsoring brand in the context of football in Sweden (Bee, Dalakas, 2014).
While there is a distinct lack of research regarding, what seems to this writer, an obvious and negative transfer risk, it seems some companies have identified this problem and altered their marketing strategies in response.
One such example cited by Bee, Dalakas, 2014 is that of Avis car rental, who launched a campaign to showcase their strong ties with the New York Yankees, while using the tagline “Not just corporate sponsors. Fans”. Very wisely, those spots only ran in New York and not elsewhere, where fans feelings towards the Yankees are less positive.
What can be identified from current research is that brands targeting large mainstream audiences, who need to avoid possible isolation by sub-groups, should look to possible non-sport advertising opportunities, where their brand is presented with far less negative transfer potential.
Messages targeted to a more general audience should also “focus instead on product benefits rather than sports sponsorship affiliations” (Bee, Dalakas, 2014) .
Bibliography
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