In order to undertake a sponsorship valuation, you need to separate the tangible from the intangible sponsorship assets.
Tangible Benefits
The Tangible benefits are the number of quality impressions, that is, the number of people exposed to each element of the sponsorship. For example, the branding on an athlete’s shirt, sponsor branding on the exterior and interior of a building, a sponsor’s name on directional road signage, inclusion of the sponsor’s name in advertising and PR campaigns, social media posts, tickets etc.
Media rate cards and other standard marketing valuations are then used to place a value on the tangible benefits.
Intangible Benefits
The intangible benefits include the geographical reach of a property, the prestige of a property, and sector exclusivity.
Defining value
Combining the tangible and intangible assets defines the sponsorship value.
