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Finally, a shirt sponsor for Les Bleus?

In mid-April, on the same day that the NBA announced it would be the first of the big US sports to adopt jersey sponsorship, across the Atlantic in a Bordeaux suburb French rugby luminary Bernard Laporte launched his bid to become President of the FFR, which if he is elected could see France become the last major rugby nation to sell its national team’s shirt to a sponsor.

After the NZRU sold the previously sponsor-free All Blacks shirt to AIG for five years in 2012, Les Bleus became the only major national rugby team who choose to take the field with unbranded shirts. Laporte proposes to change that.

Laporte’s is a classic sports federation rationale: selling the shirt sponsorship will create a big new revenue stream, which he estimates at €5m-€10m per year, to help fund French grass roots rugby development. But this is much more than a commercial decision for the FFR: it will require a major philosophical pivot.

In March last year FFR head of marketing Bernard Godet told L’Equipe that the FFR had received three unsolicited shirt sponsorship offers for Les Bleus, but that the bids had been “rejected outright without studying them” because the French national team shirt is “a symbol….We remain committed to this principle and we are very proud, even if the All Blacks gave in. We are the last ones.”

When the NZRU sold AIG the All Blacks’ shirt sponsorship in 2012, France became
the last major rugby nation to choose to take the field without a shirt sponsor

And earlier this year Mr Godet told Le Monde that the FFR will not “yield to the sirens’ money” and “sell our soul…The French shirt is ultimately a kind of flag, not to be tainted with a brand of coffee, or car, or olive oil” - although he also revealed that the FFR was considering selling the sevens, women’s and youth teams’ shirts to a sponsor.

A big philosophical gap then. But unbridgeable? Maybe not. In a classic piece of realpolitik, Laporte has also proposed that the shirt sponsorship should be sold only to ‘a beautiful French flagship brand’, building a Touboniste bridge between his and the FFR’s position.

We’ll have to wait until the end of this year to find out if Laporte’s Presidential bid is successful. But if it is, with 44 manifesto measures to push through he will be a very busy man. And the shirt sponsorship idea is not one of the 44 measures in Laporte’s manifesto, so could readily be de-prioritised in the inevitable politicking of the election or its aftermath.

There’s no doubt that were it to become available there would be high demand for the French shirt sponsorship given the popularity of rugby in France, the size of the French economy, the domestic and international media visibility of the shirt, and the cachet of becoming the first shirt sponsor of Les Bleus.

However, restricting the opportunity to French brands will reduce the value of the opportunity to the FFR, by driving down demand and competition from international brands who, as the All Blacks’ deal with AIG demonstrated, would surely be interested.

So for a French-only deal the lower half of Laporte’s estimate of €5m-€10m per year is about right, benchmarked against what other major rugby countries generate for their shirt sponsorships and, as our sponsorship evaluation model Synergy Decisions demonstrates, the fact that a sponsorship has varying values to brands in different categories.

Only time will tell if Les Bleus finally break with tradition. But in the meantime, it’s worth taking a look at the commercial proposals in Laporte’s manifesto – in particular the concept of pooling the commercial rights of the FFR and the clubs. Now that would be radical.

Valuing Rugby World Cup 2015 Sponsorship: A 5-Step Guide to Sponsorship Event Measurement

It's not long now until Rugby World Cup 2015 kicks-off and sponsors start to see a significant return on investment...

…at least that's what they hope.

If you already know whether their event sponsorship endeavors will be likened to a World Cup win or group-stage knockout then you can stop reading now. Otherwise, this 5-step guide to sponsorship event measurement should help you understand how to deliver, measure and evaluate a high-ROI event sponsorship of any scale.

RWC Image 2

So, using Rugby World Cup 2015 as a case study, let’s outline an approach which could help…

RWC Partners Image

By the way, this guide brings to bear much of the thinking already shared in the Synergy Decisions white paper.

Step 1: Understand the Pathways to Value

In the context of event sponsorship and Rugby World Cup 2015, this means understanding that the event could deliver value through different Pathways. Brands like Canterbury and Heineken will have similar rights, but will be using them to deliver different objectives. The rights will drive different levels of value accordingly.

That said, let’s consider some of the Pathways through which Heineken could drive value:

  1. B2C Brand Awareness (e.g.pitch-side branding to reach a global audience via extensive TV coverage)
  2. B2B Hospitality (e.g. hosting and building relationships with trade contacts to increase listings in the on and off trade)
  3. Data Capture (e.g. recording fan contact details through at-event activations)
  4. Experiential (e.g. campaigns to connect with fans at the stadium)
  5. Pouring rights (e.g. increased sales at all 48 matches at the expense of competitors such as Guinness)

Heineken Experience

Step 2: Identify the Value Drivers for Each Pathway

This is crucial. Rugby World Cup 2015 sponsors must know which metrics influence how much value is being created within each specific pathway. Sponsors should ask whether their value drivers are, for example:

1 - Talking to business customers – If so, how many do we need in our hospitality suite at each match? Of the business clients who join, what share do we want to be “high” value? Of those who are “high” value, how many do we need to convert into sales?
2 - Data capture – If so, how many details do we need to collect at each match? How many are attending each match? What is the likelihood that a new contact converts to a sale? What is the value of that sale? How quickly do we need to follow up?
3 - Maximizing at-event sales – If so, how many sales do we need to make? Where can we sell at the ground and how many sales staff can we deploy? At what cost?
4 - Etc. … (In the interest of time I’ll refrain from listing the 30+ different Value Drivers we’ve worked on at Synergy over the last year, but you get the idea!)
The earlier brands map out these questions, the easier it’ll be to:

• find where and how value could be created pre-campaign
• change course and track progress during-campaign
• evaluate performance post-campaign

Step 3: Build a Model

Having successfully navigated Step 2, it’s time to enter Excel and use the value drivers to create a model which helps us understand the value created within each Pathway. Let’s say that Heineken, for example, is trying to understand the Data Capture Pathway. The global beer brand’s model could be structured to make calculations using inputs like:

• # matches at which we have experiential rights
• # attendees (by match)
• % attendees engaged in experiential
• % attendees engaged who share data / contact details
• % post-match contacts converted to sale
• £ lifetime value of average contact converted to sale

Step 4: Find the Best Possible Inputs and Assumptions

With a strong Step 1, Step 2 and Step 3 in support, finding and measuring the metrics that matter should feel less like a scrum and more like a kick from under the posts. Whether it be through consumer surveys, brand trackers, data records on the ground, web analytics, or a combination of all of the above, the key to sponsorship measurement is inputs and assumptions you can adjust but believe in.

Dan Carter

With our Heineken / Data Capture example in mind, imagine that they have one pop-up activation per match. Heineken could then track performance through, for example, conducting consumer surveys at each of the 48 Rugby World Cup 2015 matches.

Step 5: Interrogate the Model

Once the detail is done and dusted, better decisions can be made more easily with the help of a user-friendly dashboard, which could look something like:

Dashboard2

As any Rugby World Cup-winning team will tell you, most of the hard work is done before the main event. Tough questions are asked, different tactics tested and weights lifted before the Final event itself.Likewise, sponsorship event measurement must be grounded in strategic analysis ahead of time, and a commitment made to analyse and gather the necessary data to find scenarios, sensitivities and breakeven points. With a clear sense of how to drive maximum value, CMOs and Sponsorship Managers alike can send staff out onto the marketing field-of-play confident their team will perform.

 

I hope you’ve enjoyed this quick guide on how to take a more structured approach to understanding the value of event sponsorship. If you’d like to talk in more detail feel free to email Synergy at tom.gladstone@synergy-sponsorship.com