Newspapers / Philanthropy Journal of North … / July 1, 1998, edition 1 / Page 12
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Corporate Giving 12 Philanthropy Journal of North Carolina July 1998 Benefits for corporations, nonprofits Event sponsorships require careful planning Cash and in-kind gifts help compa nies market themselves. By Emily Brewer Approximately $6.8 billion in cor porate funds is available to sponsor charitable events, according to an estimate by the International Events Group, a firm that tracks corporate sponsorships. Both corporations and nonprofits may benefit from sponsorships. The nonprofit may receive a package of cash and in-kind gifts that can cover substantial portions of an event’s budget. The corporation benefits from the advertising and association with the event and the nonprofit. “The sponsor is essentially buying into the event’s marketing and adver tising campaign,” says Janet Hart. She secured from NationsBank a mid- six-figure titie spon sorship when working in Miami as executive director of the Coconut Grove Fine Arts Festival in 1996. Lance Helgeson, managing editor of the lEG Sponsorship Report, says; “Sponsorship offers something that tradi tional advertising (such as tele\dsion, radio and newspapers) cannot. It allows the company to associate their //T I he sponsor is essentially buy ing into the event's marketing and advertising campaign." Janet Hart product with the attributes of an event. “Take a festival, for example, w’here people are having a good time. Then add the company w'hose products get associated with the fun time,” Helgeson says. “And there’s the added benefit of helping out an organization or a com munity'." To target their ads effectively, the corpora tion vtII want to know all about the event and the demographics of the people it attracts. The sponsorship process needs to start early in order tor cor- A 10-STEP GUIDE porations to work the funding into their annual bud- See next page, get, usually set in the fall. Seventy percent of sponsorships are for sporting events ranging from large events such as the summer Olympics and the World Cup to a com munity little league tournament, says Helgeson. For more help lEG, Inc, offers a line of products to help nonprofits get sponsors and learn about the system. Tke Spon.sordex is a book that helps non profits target the right sponsors to whom td pitch their sell. They also pubUsh a bimonthly newsletter, the lEG Sponsor Report, that tracks trends in sponsorship and covers deal structures. In addition, the firm’s Valuation Service helps the nonprofit define the assets of the event and help them bring in the most revenue. The organization also holds a nation al conference and regional confer ences for companies and nonprofits. International Events Group Phone: (800) 834-4850 E-mail: ieg@sponsor5hip.com Web: http://www.sponsorship.com Driven to give Chevrolet ties brands to nonprofits with affinity marketing Chevrolet bonds specific models with each market's interests and favorite causes to make a marriage of convenience. Bi' Joan Alford Chevrolet is going a step beyond parent company General Motors’ cor porate giving by ahgning car models with nonprofits that reflect their buy ers’ interests. Consumer research has helped Chevrolet and other companies zero in on their cus tomers’ interests and favorite causes. By supporting these nonprofits, Chevrolet has found another avenue for advertising its brands while working to strengthen customer loyalty. It’s called affinity marketing and is pro\'ing to be a success ful tool for both nonprofits and Chewolet. “As affinity partners, we associate ourselves with people, causes and activities to establish a relationship with potential customers.” says Dan Hubbert. assistant manager for sales and marketing communications at Chevrolet headquarters in Detroit. “It’s certainly very smart that Chewolet has aligned itself to core markets,” says Richard Honack, adjunct professor of marketing at J.L. Kellogg Graduate School of Management. “They’ve always been ahead of the game when it comes to affinity marketing and they have the right to look for affinity groups that match their market.” Although Ford, Chrysler, and other major automakers provide overall corporate dollars for commu nity projects such as education and environmental causes, no others define their individual model markets through affinity marketing with non profits as extensively as does Chewolet, “Using the Web to align brands makes them more of a member of the community',” says Charles Rubin, co author of Guerrilla Marketing Online and Guerrilla Marketing A.S affinity partners, we associate ourselves with people, causes and activities to establish a relationship with potential customers. " Dan Hubbert Onliiw Weapons. “People see that they're concerned with things other than money. It ci-eates a warm fuzzy' cachet of being a good citizen.” Good sports ChevTolet is an overall sponsor of the U.S. Figure Skating Association and the U.S. Soccer Federation. Cavalier, a lower-priced model in the Chevy lineup with a 65 percent share of female buyers, is targeted as the skating association’s main affinity brand. Cavalier marketers approached the association about sponsorship. “Chewolet became one of our cor porate partners in the 1996-97 com petitive season,” says Heather Linhart, communications coordinator for the United States Figure Skating Association. “They currently sponsor a variety of events including our Exhibition of Champions.” And there’s the perk of being where the action is. “Displaying vehicles at events is more subtie than advertising, going beyond television and radio,” says Hubbard. “You can reach people in various ways, but at events you’ve already got people there. It’s a more pleasant w'ay for people to see our product.” The Cavaher also spon sors the “Perfect 6.0” pro- gi-am: skaters w'ho've received the most 6.0 scores during the year receive a Che\y Cavaher. Olympic gold- medalist Michelle Kw'an recently w'on a red Cavalier convert ible. The Lumina, a family four-door sedan, piggy'backs on the sponsor ship. “Lumina aw'ards high school juniors and seniors not only on the ice, but in the classroom,” says Linhart. Students receive letter jack ets, award certificates and scholar ships. “They also help us arrange for vehicles to transport athletes,” says Linhart. “And as national partners, they receive, signage at events and meda buys on our televised events.” Drawing on the “soccer mom” tag, family vehicles Malibu and the new minivan. Venture, are models targeted to the U.S. Soccer Federation audience. “Soccer in this country is growing, kids are involved and the parents come out to the games,” says Greg Drozda, manag er of marketing and chent services for the federation, “it’s a very positive affilia tion for Chewolet and for us. It bridges * the gap between par ticipation and view'ership,” Amateur soccer teams may ask local Chevy dealers to request use of the mobile "Soccer Pa\ilion” from corporate headquarters. Besides advertising Chevrolet, the van is equipped to display wdeos with soc cer tips. Chewolet dealers also hold soccer-related give-aways. “We encourage our dealers to reinforce locally w'hat w'e’re doing nationally,” says Hubbert. Venture is also specifically aligned with “Concept: Cure” a fundraising program that includes designer-fashioned vans used as con test prizes to raise money for breast cancer. Fkr from retirement Lumina was chosen as the official car of the American Asso.ciation of Retired Persons’ biennial Convention last month in Minneapolis. “The Lumina division is an adver- ClitBH $pat - tiwr % -4 a; al -* TAHOE CampltU ipati fend tide C«mplettip«ts»rdprvt«i(BUe. CWyTrttlutpmU lei eti .IheChreyrteSlailendOptiahanbe' D«vilepiAf4r4inaii>leintfCkA5iu tiser in [AARP's] Modem Maturity magazine,” says Brent Councill, exhibits and sjionsor manager for A4RP. “We approached them to be an advertiser with us quite a number of years ago and it's proven to be a very' good working relationship.” The brand sponsored the first of three performances at the convention by actress/singer Debbie Rey'nolds. The Lumina was showcased at the door of the performance every night as well as in the convention's main entrance. They also purchased 1,800 square feet of exhibit space. “Chewolet also prowded us with 16 vehicles tor \TP transportation,” Councill says. Councill says the targeting by Lumina of the AARP’s 50-years-and- older membership isn’t the real draw. “Our convention is about lifestyles aiid factors that influence changes in life,” he says. “Lumina is more con sistent with income level, vyork sta- Look for CHEVY, page 17 BRIEFLY Races benefit Triangle Hospice Triangle Hospice received between $9,000 and $10,000 from the first-ever Hospice 275 races at Orange County Speedway last month to help meet the needs of terminally ill people and their families. The final tally was not in at press time. Arts council surpasses goal United Arts Council of Raleigh and Wake County raised $1.2 million to support the arts, generating 102 per cent of its 1998 campaign goal. Most of the money raised, $334,000, came from corporate giving, fol lowed by $258,000 in work place giving. Saint Mary's campaign successful Saint Mary's School in Raleigh has met its $16 mil lion goal for the "Continuing the Tradition of Excellence" campaign, which will fund scholarships, teaching hon ors, curriculum development, computer technology, library acquisitions and facilities. Guilford College exceeds goal Guilford College of Greensboro raised $ 1.02 million in this year's Loyalty Fund campaign, exceeding the $1 million goal. The campaign supports student scholarships, library acquisi tions and faculty projects. Guilford College, the third oldest coeducational college in the country, was founded in 1837. $200,000 raised for breast cancer research More than 5,500 participants helped raise some $200,000 for the Susan G. Komen Breast Cancer Foundation in the five-kilometer N.C. Triangle Race for the Cure, held June 6 at Meredith College. The event raised twice as much as last year. Chase, employees donate to UNCF Chase Bank and more than 2,(X)0 of its employees have given $560,CX)0 to the United Negro College Fund this year. The company matched the employees' contributions of $2(X),0(X) — more than dou bling last year's giving. The bank and its employees were honored at a reception where fund board member Colin Powell vras a guest speaker.
Philanthropy Journal of North Carolina (Raleigh, N.C.)
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July 1, 1998, edition 1
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