e-KMI.com, the e-zine for the karting industry


CLICK HERE

Sponsor Search
International Karting Industry Buyer's Guide
International Karting Industry Buyer's Guide


Kart Expo International
ExhibitorInformation and Show Directions

 
SPONSOR SEARCH
SPONSOR OR MARKETING PARTNER?
By Scott Pacich

As I write about my opinions as to how a racer should go about getting help for his effort, or how he should present himself, I find myself interspersing two terms. I sometimes use the term ‘Marketing Partner”, and sometimes use the term “Sponsor”.

In reality, I always try to refer to your benefactor as a Marketing Partner. It is because I believe you are in a partnership with a business, and it is your responsibility to help market that business. It sounds simple, but it really is true. It seems that the major racing organizations, NASCAR in particular, completely ignore that term and refer to their (and their terms) benefactors as Sponsors. To break it down a little bit, and perhaps clear up some confusion (or create more) as to which term to use we need to start at the bottom; the definition of each term.

SPONSOR: Someone who supports or champions something, like a supporter or benefactor. A sponsor can also be a benefactor, helping a person or institution financially. It is also defined as a backer, who helps someone by investing in them.

PARTNER: One who has a part in anything with another; a partaker; an associate or a sharer are other terms that fit. A secondary definition is: An associate in any business or occupation.

When you look at each definition, it becomes readily apparent that either one fits. But when you look a little deeper, and analyze each definition, little differences begin to appear. Let’s take a look at them.

A sponsor supports your racing efforts. He gives you money, or parts, or pays your way around the countryside as you go from race to race. The amount likely varies from the sublime to the ridiculous, but he is a backer of your racing effort and that is what is expected from him. Nowhere in the definition does it say that anything is expected of the race team to give anything back to the sponsor in return. Taken at face value, a sponsor gives you money to race (backs you) and expects nothing in return.

A partner, by definition, is someone involved with someone else on an active basis. Your partner too gives you money, or parts, or pays your way around the countryside as you go from race to race. Again, the amounts vary, but by definition, the partner expects something in return. Perhaps that requirement is an equal investment, but more likely than not the requirement is for some kind of service in return. In effect, he will be looking for you to share his investment in your team by you showing your car from him, doing promotional work or some other task that he may define.

So, you might ask, what is the real difference between a Sponsor and a Marketing Partner?

I don’t really believe that the differences are any more than subtle. In each case, a business is willing to give you some money to further your racing efforts. In each case, you (the racer) are expected to display some kind of presence of that investment on your racecar. You are expected to keep some kind of track of your use of that investment, and report back to the business on regular basis. You are required to act and present yourself professionally at all times while representing them.

Here is where I think the major disconnect comes into play.

I believe that for the most part, people view a Sponsor as someone who drops a load of cash in someone’s pocket, and goes and sits in a dark room watching their team race. I think that it has become “expected” that Sponsors will pony up the money whenever someone asks for it, and be content to let the race team manage that investment as they see fit. It seems to me that this is a throwback to the good old days of “Sponsorship” of backyard race teams, who wouldn’t let some “outsider” tell them what to do with THEIR race car. The attitude was, it’s mine and I’ll do what I want. You should just be happy I let you sponsor my car!

On the other hand, a Marketing Partner expects, no he demand that he be an equal participant in your race team. I believe that the Partner asks for, and should get commitments that go beyond the actual operation of the race team on the track. These commitments include everything I and any other person who writes for this newsletter have been talking about for years. Appearances, specific race attendance, shows and other non-racing events are all things that a Marketing Partner must include as part of the agreement. It might not have to be an equal investment by the race team, but it surely must be a commitment of time and effort to remain part of the Partnership.

NASCAR, as I said has embraced the term “Sponsor”. Every business that they have agreements with are “Official Sponsors”. Every business name that is on one of their race cars is a “Sponsor”. It is rare that you hear the term “Partner” used when discussing even the largest of deals that they might have entered into. Personally, I think this is a mistake because, in reality, NASCAR does almost as much for the businesses as the businesses do for them. In fact, I am not surprised in the least when I see statistical reports that relate the amount of media coverage a business receives due to their involvement with NASCAR far exceeds their investments. It is because of this that I think the term “Sponsor” is mis-used here.

So what is the point of all this?

I think that you have to be careful in choosing your terms when soliciting someone to support your race team. As I have stated, I think the term Sponsor implies someone who gives you money, and expects nothing in return. If this is what you are looking for, and I really hope there are not many race teams that operate this way, then perhaps you should tell everyone you’re looking for a Sponsor. And make sure that’s what you’re telling your prospective Sponsor. Make sure that you tell them up front that you’re looking for money from them, and you’ll put their name on your car but that’s it. Do that, and see how many offers you get!

On the other hand, if you use the phrase “Marketing Partner” in your search, you are already a step ahead of the game by identifying yourself as someone who is willing to participate. You want a Partner to SHARE in the race team, not be the sole benefactor without say. You imply that as a Partner, you are willing to put in the effort to give something back in return. By including the word Marketing in front of Partner (Marketing Partner), you are telling your prospective partner that you are going to help him market his business. You are going to help spread the word about his great company through Marketing by racing and making appearances. I think that this approach will result in more offers of a more interesting nature coming your way.

Is the utilization of “Sponsor” vs. “Marketing Partner” really that important?

I don’t think it’s that important when used in a newspaper article or in a television report. As I said when I started, in reality, the terms are almost interchangeable these days. T’s to the people like me that look into the smallest details of things that the differences really become apparent. I do think it is important to use the proper phrasing when approaching a business for money or goods to run your racing team. In that case, I think the use of the word “Marketing Partner” is the best way to go.

Good luck in your search for your Sponsor… oops, Marketing Partner.
 

About the author: Scott Pacich can be contacted at pacich711@cs.com.
Article used with permission of the author and courtesy of ‘Ernie Saxton’s Motorsports Sponsorship Marketing News’, 1448 Hollywood Avenue, Langhorne, PA 19047. Phone: 215-752-7797, Fax: 215-752-1518 or on the web at www.saxtonsponsormarket.com. A one year subscription is $69.95 US$. 
 

END
 

 View Past "Sponsor Search" Articles

Kart Marketing Group, Inc.
Post Office Box 101
Wheaton, IL 60189 USA
Telephone: 630-653-7368
Fax: 630-653-2637
Email: karting@msn.com

Copyright

Back to Home Page

Neatconcept, Inc