Decreasing efficiency of measured media: Costs for traditional advertising continue to increase while ratings and readership decline. On top of that is an even more basic problem: Consumers are not paying attention to ads. Sponsorship, on the other hand, provides opportunities for embedded advertising, a fail-safe delivery system where messages are incorporated right into the action.
Changing social priorities: Buyers are demanding to know where a company stands before they purchase its products. Making the world a more healthy, happy and livable place is prerequisite to achieving consumer affinity. Sponsorship, which aligns companies with community responsibility and improved quality of life, is precisely the kind of statement consumers respond to. When a company sponsors, it is providing something for its customers – not making a media conglomerate richer.
High consumer acceptance: While traditional media is less effective than ever, much of the new media alienates consumers. For example, 75 percent of Americans view phone solicitation as an invasion of privacy. And, 69 percent of consumers who buy or rent movies on video are annoyed by advertising before the film according to a Gallup survey conducted for Advertising Age. On the other hand, public response to sponsorship has been overwhelmingly positive. Sponsorship is viewed favorably because it is seen as a form of marketing that gives something back – something that benefits someone else in addition to the marketer.