SBJ/March 27 - April 2, 2006/SBJ In Depth

The changing sponsorship, advertising and marketing model

World Congress Panelists
Roger Adams
Senior VP, marketing, Home Depot
Dockery Clark
Director, sports and alliance marketing
Miller Brewing
Karen Jones
VP, advertising, branding and promotions
DHL
Michael Lynch
Senior VP, event and sponsorship marketing
Visa USA
Woody Thompson
Senior VP
Octagon Worldwide
For all the talk about the explosion in rights fees for sponsorship and television, gate revenue has actually grown faster in the U.S. sports market than either sponsorship or television. Ticket sales also represent the largest piece of the sports marketplace, about two-thirds of total revenue.

A look at the trends in terms of where sports dollars flow reveals that the market as a whole is healthy but faces some challenges. The sports industry continues to drive sponsorship spending in the United States, commanding more than two-thirds of overall corporate commitments last year. But entertainment and cause-related sponsorships are both growing faster than the sports segment.

In terms of media and advertising, sports has grown at about the same rate as the U.S. advertising market as a whole and represents about 13 percent of the U.S. ad market. But cable television and the Internet are taking up a larger piece of that pie, with radio and print growing at a much slower rate both for sports and the market as a whole.








In this section:

U.S. sponsorship spending
U.S. sports market
Trends in U.S. television sports advertising by category
Total U.S. ad spending
Sports ad spending


U.S. sponsorship spending (billions $)

Source: SportsBusiness Journal analysis of "IEG Sponsorship Reports"

Back to top


U.S. sports market (billions $)

Source: SportsBusiness Journal research; Pricewaterhouse Coopers

Back to top


Trends in U.S. television sports advertising by category (millions $)

* Includes banks, credit cards and financial advisors
** Includes sit-down and fast food
Source: SportsBusiness Journal analysis of Nielsen Media Research data

Back to top


Total U.S. ad spending (billions $)



Projected growth in total ad spending by category, 2006 vs. 2004

Back to top


Sports ad spending (billions $)



Projected growth in sports spending by category, 2006 vs. 2004

Back to top


Return to top

Related Topics:

In-Depth

Video Powered By - Castfire CMS Powered By - Sitecore

Report a Bug