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THE EFFECT OF SPORTS PROGRAMME SPONSORSHIP ON THE CORPORATE IMAGE OF SELECTED ORGANIZATIONS

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THE EFFECT OF SPORTS PROGRAMME SPONSORSHIP ON THE CORPORATE IMAGE OF SELECTED ORGANIZATIONS

 

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND TO THE STUDY

The international popularity of sports characterized by high level of participation calls for proper development of the nation’s sports industry. This is due to the fact that sports play prominent role in the growth and development of many countries (Ogunbiyi, 2004).The organization and administration of sports require adequate human and material resources. Onuchukwu, (2003) defined competitive sports as those physical activities which individuals or teams indulge in with the sole aim of winning the other individuals on teams  for the purpose of emerging victorious and overall champions. Human and material resources needed in sports can only be provided with funds. Ibikunle (2004) noted that sports require a huge capital outlay. There is need for sports administrators to scout for individuals, firms, government e.t.c, to support sports in the provision and maintenance of facilities, equipment and supplies and recruitment of sports personnel. Most of the famous developed and developing countries of the world have at one point in time on the other associated with sports and excelled in different sporting endeavors e.g. Brazil, Germany, France and a host of others became very popular internationally through their excellent performance in sports, (Mohammed, 2002). In Like manner, Nigeria South Africa, Nigeria, Ghana to mention but a few African countries have gained international recognition by virtue of their excellent performances in international sports. One way by which funds can be made available for effective execution of sports programmes and events is through sponsorship. According  to Pope, (2008), sponsorship refers  to the provision of resources (money, people, equipment) by an organization (Sponsor) directly to an individual, authority, or body (sponsee) to enable the latter to pursue some activity in return for benefits contemplated in terms of sponsor’s promotional strategy, and which can be expressed in terms of corporate marketing or media objectives. Apart from government, sports organizers scout to secure sponsorship for their sporting events. Ibikunle, (2004) noted that some business organization like Coca-cola, Nigerian Breweries Guinness, Mobil e.t.c have contributed to the improvement of sports participation in major competition. Sponsors of sports competitions always plan to promote sports and their products or services. Sponsorship can be viewed as part of profit maximizing behavior of a firm of which the primary notice is to increase sale. The sponsor’s aims are often  purely commercial and profit maximization (Gratton  and Taylor, 2004). Pope (2007) categorized the sponsorship objectives for  business as broad corporate objectives (image based, marketing objective, promotion, increased sales) and media objectives (cost effectiveness, reaching target markets). Turco, (2004) emphasized that the primary objective of corporation engaging in sponsoring is increase public and target market awareness of the company and its products or services. Companies have classified corporate sponsorship in variety of ways as function of public relations, advertising, sales, promotion and personal selling, as well as a hybrid from communication (Mescon, 2001). However, the flexibility provided by corporate sponsorship indicates that its desires consideration as an independent element of the promotion mix. Some companies have already began to recognize events marketing as an independent component by establishing separate events marketing department. Corporate sponsorship can provide many of the same benefits that are provided by other promotion alternatives. Contranting the attribute of corporate sponsorship with other elements of the promotion mix yield and interesting comparison. Advertising and corporate sponsorship both offers geographic target market and cost flexibility. Flexibility in advertising is provided through the use of different type of media and different type of media  and different size of aids while corporate sponsorship provides flexibility through different  event (Gardner and Shuman, 2004).

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