Page 2: Sponsorship
To promote products to niche markets, organisations have to develop strategies that meet the needs of smaller market segments within a larger market. Products have to be delivered in a flexible way that closely meets the needs of each customer. To appeal to a target audience within a niche market, an organisation needs a communication strategy that will help it to achieve its marketing objectives. The target audience may be existing customers or those who make or influence buying decisions.
Sponsorship is the financial or material support of an event or activity by a donor or an unrelated organisation. It associates an image, type of product or brand with a particular function. Sponsorship is all around us and relates to all kinds of activities from music to sport. It is part of the sponsoring company’s below the line marketing budget.
Sponsorship is one type of public relations activity. The purpose of public relations and publicity is to create a favourable image of the organisation to the outside world. In recent years sponsorship has grown in importance. On the one hand it has enabled organisations to communicate with highly specialised target audiences, while on the other hand it has provided valuable support for events. Independent recognised that sponsorship would help the business to be taken seriously by its target market.