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.

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

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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:


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 me at

Sponsorship Valuation: Standing up for the Sponsors  

Sponsorship valuation is driven by rightsholders. The simple fact is that they tend to be the ones paying for the analysis, and whoever pays the piper calls the tune.

It makes complete sense for the rightsholders to be leading this particular charge. They have sponsorship properties to create and sell. They not only need to know where to price them but also need to be able to justify that price during the sales process.

A whole industry has grown around this proposition. In fact, just yesterday ESP Properties, a new “super-agency” born out of IEG, GroupM and Two Circles was formed to focus on exactly this. They will be taking the fight to IMG, CAA, Wasserman, Repucom and the many others who all have their sights trained firmly on this space.

There is no doubt that these are all great agencies doing some pretty sophisticated things to help rightsholders better understand and maximise the amount of money they can command for their sponsorship properties on the open market. Because, at the end of the day, the value of a sponsorship property from the rightsholder’s perspective is the same as the value of a house: it is worth what someone is willing to pay for it…and you only need one party to be willing to pay that. Effectively that means that rightsholder consultants are like estate agents, helping the rightsholders determine the “list price” based on market benchmarks and the property’s features (rights) and helping them find a buyer.

Estate agents boards offer property in Brighton

But in this rush to help the rightsholders monetise their properties, who is helping brands understand the value of their sponsorship, independently and without any conflicts of interest?

This is particularly important, because, as we argued in our Synergy Decisions White Paper, a sponsorship does have a real, economic value to the sponsor: the increase in the company’s value as a result of increased revenue or decrease costs.  But this value is entirely contextual of the sponsor and their activation campaign.

To put it bluntly, the exact same sponsorship property with the same basic rights would have a completely different value to Coca-Cola, McDonald's, P&G, Samsung, Panasonic, Visa, Toyota, Bridgestone, Omega, GE, Dow, Atos.  That’s because each of those companies has different business models, audiences, products, routes-to-market, marketing channels, purchase drivers and competitive environments.

Further, the exact same property would be worth a different amount to the same brand depending on how effectively they activated it. For example, I don’t think it’s too controversial to say that the London Cycle Hire scheme could have been worth far more to Barclays (and no doubt will be worth far more to Santander) had they done more with it.

The challenge for brands is to determine the economic value their sponsorship does or could create. And this requires a completely different approach to the one that rightsholders use – one like Synergy Decisions.

Why ‘Top-Down’ Is Better Than ‘Bottom-Up’ For Sponsorship Activation

Most brands know sponsorship is a great way to connect their brand to their target audience. Most brands strive to deliver great campaigns and activation programmes. Most brands take a ‘bottom-up’ approach to campaign activation.

Most brands get activation wrong.

But why is this the case? More importantly, what can brands do about it?

In simple terms, a ‘bottom-up’ approach to campaign activation mean brands (in this order);

1. assess the sponsorship rights at their disposal

2. devise the activation programme to leverage those rights

3. articulate a campaign idea to connect the activation programme to the brand

Successful brands take a ‘top-down’ approach to campaign activation, meaning they start from the top with the campaign idea itself. Only once the blue sky thinking has been done do thoughts shift towards grounding the central thought that connects the brand, asset and target audience to an activation programme and sponsorship rights. Implementing a ‘top-down’ approach is the only way to ensure the brand tells a rich, compelling and coherent  campaign story.

P&G’s “Proud Sponsor of Mums” tagline has proven fertile ground for rich campaign ideas to connect brand, target audience and asset. The brand’s global sponsorship agreement with the International Olympic Committee enables the company to take the Olympic Games to the 4 billion consumers worldwide served by P&G brands. For the London 2012 Olympic Games, the consumer goods company created the Nearest & Dearest platform, which supported the friends and family of all the athletes in the lead up to and during the Games. Rights were also put to use in “The Hardest Job is the Best Job - Raising an Olympian” campaign, which brought to life the dedication of mums across the world in helping their kids to achieve their dreams. First channelled through digital and social media platforms 100 days before the Opening Ceremony, P&G leveraged every asset available to maximise the sponsorship.

Capital One’s overarching campaign idea to 'Support the Supporters' has been brilliantly brought to life through their sponsorship of the Football League Cup, better known as the Capital One Cup.

Stepping in to help Shrewsbury Town FC increase stadium capacity ahead of their Round 4 tie against Chelsea is a good example of an activation linked to a great campaign idea.

By its very nature, the League Cup presents Capital One with the opportunity to activate at each round of the competition, helping the brand uphold its commitment to supporting the supporters through great activation.

In another example from this season, Capital One gave Nottingham Forest FC fans the chance to unite and pay their respects to Forest legend Brian Clough. The Nottingham-based credit card company handed out over 1,000 iconic green jumpers, synonymous with ‘Cloughie’, to all Forest fans who travelled on the official supporters’ coaches to White Hart Lane for the tie against Tottenham Hotspur in September. The gesture struck the right chord amongst players, fans and media alike, helping reinforce Capital One’s commitment to the territory of ‘Support’.

BMW’s “Drive Your Team” campaign and branded content at the 2014 Ryder Cup also stood out for all the right reasons. Not only did it represent the brand and product values, it gave fans high-quality, emotive and selective content to help them get behind their team by using the #DriveYourTeam hashtag.

BMW has a rich heritage in golf, sponsoring the Ryder Cup and other golfing tournaments, and kicked off their 2014 Ryder Cup campaign with an integrated social activity, including a full BMW Twitter profile takeover, followed up with a fan competition (for Ryder Cup tickets), live content and finally rounded off the activation with a series of celebratory images.

Brands that put first things first and implement a ‘top-down’ approach will continue to create the showcase campaigns of tomorrow. Ultimately, brands which go ‘bottom-up’ may risk ending up at bottom of the pile…

What Sponsors Need to Know at the Negotiating Table

How do you know if you have succeeded in a negotiation?

Whatever way you look at it, it is impossible to answer this question without understanding value and what you are willing to pay. Imagine Facebook sitting at the negotiating table with WhatsApp with nothing but gut instinct saying they want to pay $19.4bn. What if WhatsApp wanted $20bn, $25bn, or $30bn? Clearly, Facebook will have done their research (strictly speaking, an investment bank will have done their research for them in the form of thousands of pages of analysis). But can we honestly say that the sponsorship industry takes the same approach?

Before entering any negotiation, sponsors should know their:

• target price and terms (what you’re hoping for)
• walkaway price and terms (what you will reject)

Often sponsors go into negotiations with one or the other. Often these conditions are based on a gut feeling; not an understanding of sponsorship effectiveness and expected value.

So how do we know when to walk and what to target? It’s critical to do early research based on firm inputs and assumptions, especially to ensure you don’t overpay for the asset in question. By knowing your own range, better sponsorship decisions will be made.

However, the impact of understanding value doesn’t stop there. Even if a sponsorship represents good value – that is to say the deal price on offer is below the walkaway price – there might be better alternatives. A sponsor should generally not accept a worse resolution than it’s best alternative. So, if you want to be sure you’ve succeeded in a negotiation, you need to understand the value of the rights on the table and what else your money can buy.

The current “here’s the package; here’s the price; and then we arm-wrestle a bit based on gut instinct” approach to sponsorship negotiation has to change. That does not mean every deal must be preceded by thousands of pages of analysis, but it does mean brands must spend more time thinking about value, and what they will pay before walking away.