Does anyone have more sponsors than Real Salt Lake?
Posted by ZA on June 12, 2009
Sponsorship deals are a way for professional sports teams to collect additional revenue, beyond ticket sales and concessions. Large professional teams can bring in millions of dollars per year from these type of sponsorships. But not every sponsorship deal is a revenue generator, many today are in-kind deals where a team trades sponsorship rights for services. For example, a team might receive free, or reduced rate, airline travel by providing a sponsorship package to an airline.
These in-kind sponsorship deals are valuable for teams and the sponsors who receive them, but they are probably not going to get the same level of exposure that cash paying sponsors will receive. But teams have plenty of sponsorship opportunities to sell, from naming rights deals on their stadium all the way down to logo inclusion in a game program. With this plethora of opportunities to wheel and deal on trading services for sponsorships, many teams are cutting down on expenses by lining up a multitude of in-kind sponsors to cover many of their team needs (i.e.- expenses).
One professional team that is having success signing these in-kind sponsorships is Real Salt Lake. Real is an MLS team that has deals with over 20 sponsors, with more than half of those being new for 2009. Real Salt Lake has divided their sponsors into three categories based on dollars contributed (or traded) for their deal. Real has landed a few sponsor partnerships which are offsetting costs associated with running a team or stadium. Waste Management, Xinsurance, Cricket Wireless, Allied Sign and JetBlue are all sponsors of Real Salt Lake who can also provide a valuable service (in-kind) to the club. By signing sponsors who can do that, the team can reduce their expenses.
These type of exchange of services sponsorship deals are nothing new. In-fact I’ve traded tickets for sponsorships at events for well over a decade. But with budgets tight in the current economy it makes a lot of sense for both teams and vendors to look into arrangements like this.
Real Salt Lake sponsorships:
American First Credit Union
Les Olson Co
Mountain American Credit Union
Rocky Mountain Voice
Salt Lake Regional Medical Center
Siegfried & Jensen
Waste Management Inc
Workers Compensation Fund
[Assist: Sports Business Daily]