Sponsor Question

glamisrnr

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What is the average price for sponsors, I dont really know how to word this, what do you charge money wise for a sponsor? I have none at this time and am starting to look around and would like to know an average starting price.
 

jonpfive

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It's all relative to your particular situation. Experience, past success, class you race, tv coverage, team/driver marketability etc. For someone just starting out with little or no prior experience, especially in the current economy, you should be taking whatever you can get. In Sportsman classes where costs are typically much lower, product sponsorships or even discounts can go a very long way. It will also depend on the market reach of the company you are approaching for sponsorship. There really is no set value or starting point but rather you have to show the company that you will generate more value (in terms of advertising dollars) than they give you as sponsorship.

When creating your proposal make sure to use correct grammar and spelling, that is huge. Very few companies will throw their money and/or products at someone who does not take the time to do these simple things. Your initial proposal should be somewhat streamlined; basic series info and schedule, bio of you and your team highlighting any past racing experience, and a brief breakdown of different levels of sponsorship (Primary, Associate, Secondary Associate, etc). You want enough info to get their interest, but not so much that it bores them and they toss your proposal into the trash. There is a lot of time and effort that goes into a quality proposal, be patient and realize that you will likely get responses (not necessarily "bites") on less than 5-10% of proposal you send out. Once you do get a "bite", again be patient. A lot of the sponsorships you see at the track started out much smaller than they currently are. They grow as a sponsor sees value for their company or as they become more comfortable with you and your team.

There is much more to it than this but hopefully it gets you started. Good luck with your efforts.
 

GunnSlinger

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.. do a search for.... "this how you get sponsored" ... GREAT WRITE UP!!

other than that it's all about being a good business man...
 

Bridges

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It's all relative to your particular situation. Experience, past success, class you race, tv coverage, team/driver marketability etc. For someone just starting out with little or no prior experience, especially in the current economy, you should be taking whatever you can get. In Sportsman classes where costs are typically much lower, product sponsorships or even discounts can go a very long way. It will also depend on the market reach of the company you are approaching for sponsorship. There really is no set value or starting point but rather you have to show the company that you will generate more value (in terms of advertising dollars) than they give you as sponsorship.

When creating your proposal make sure to use correct grammar and spelling, that is huge. Very few companies will throw their money and/or products at someone who does not take the time to do these simple things. Your initial proposal should be somewhat streamlined; basic series info and schedule, bio of you and your team highlighting any past racing experience, and a brief breakdown of different levels of sponsorship (Primary, Associate, Secondary Associate, etc). You want enough info to get their interest, but not so much that it bores them and they toss your proposal into the trash. There is a lot of time and effort that goes into a quality proposal, be patient and realize that you will likely get responses (not necessarily "bites") on less than 5-10% of proposal you send out. Once you do get a "bite", again be patient. A lot of the sponsorships you see at the track started out much smaller than they currently are. They grow as a sponsor sees value for their company or as they become more comfortable with you and your team.

There is much more to it than this but hopefully it gets you started. Good luck with your efforts.

"best of luck" amigo...
Just realize it doesn't happen overnite to any degree..."
It's all about building relationships for the "long haul" not one nighters so to speak.
Demonstrate how you will GROW / BRING RESULTS / SPEAK TO THEIR CORPORATE MESSAGE and will be there next year and the next...
S.
 

baja619

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An easy way out is to ask them how big they want to be. Like as in how big of a presence can we produce together. Run some numbers and than approach again with several levels of involvement.

You had better have your presentation in order that spells out how they will see definitive ROI. And you better have a PROs Professional Program that delivers results.
 

D4D

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The biggest thing, especially today in the current state of the economy and all that is exposure, sponsors are going to pay you for the exposure that you can get them. That is why you see a lot more sponsors and big dollars in short course versus desert, desert just does not usually deliver the type of exposure that short course will. It is the same reason that you do not see big sponsor in the buggy classes in short course, because until this year there was very little if any TV for the buggy classes.

A big mistake is to ask for too much or too little money in a proposal. Before you ever get to that point you should have a number of conversations with a sponsor so that you fully understand their needs, desires, goals and budget. That way you can cater your proposal to that company and their needs. A sponsor wants/needs to get a return on their investment with you so be realistic.
I get proposals from time to time that ask for HUGE amounts of money and there is very little in the way of a return and at the same time I get proposals that ask for to little which to me shows that the program is most likely selling himself short or not worth the investment.
I am not sure what class you are racing but I would look at the exposure that class recieved over the past year and then 2 years ago. This includes all forms of media, all forms of media have different values and every company uses a different formula to determine that for themselves. I would then suggest picking a front runner in the class, a mid pack guy and then a back marker and then be honest with yourself and decide where you think you will be this year. Us those drivers exposure to buld an idea of how much exposure you may get.

Also you should spend a LOT of time preparring your proposal, a simple Google search will give you some great direction on how to prepare a proposal. Most likely the person you are speaking with at a company in the marketing manager/director but a lot of the time they will take your proposal and share it with bosses so their boss has a good idea how they are spending money and these are bosses that have never spoke to you, that proposal better make an impact on them. So do it right!

In the end most companies want to track a minimum of a 3.25 to 1 ROI in the current economy. Meaning that every dollar they give you they need to track and/or sell $3.25 in product related to your program.

Hope this helps a bit.
 

Chas Moore

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Figure out how much your season will cost, double that.
 

HDRA1

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The biggest thing, especially today in the current state of the economy and all that is exposure, sponsors are going to pay you for the exposure that you can get them. That is why you see a lot more sponsors and big dollars in short course versus desert, desert just does not usually deliver the type of exposure that short course will. It is the same reason that you do not see big sponsor in the buggy classes in short course, because until this year there was very little if any TV for the buggy classes.

A big mistake is to ask for too much or too little money in a proposal. Before you ever get to that point you should have a number of conversations with a sponsor so that you fully understand their needs, desires, goals and budget. That way you can cater your proposal to that company and their needs. A sponsor wants/needs to get a return on their investment with you so be realistic.
I get proposals from time to time that ask for HUGE amounts of money and there is very little in the way of a return and at the same time I get proposals that ask for to little which to me shows that the program is most likely selling himself short or not worth the investment.
I am not sure what class you are racing but I would look at the exposure that class recieved over the past year and then 2 years ago. This includes all forms of media, all forms of media have different values and every company uses a different formula to determine that for themselves. I would then suggest picking a front runner in the class, a mid pack guy and then a back marker and then be honest with yourself and decide where you think you will be this year. Us those drivers exposure to buld an idea of how much exposure you may get.

Also you should spend a LOT of time preparring your proposal, a simple Google search will give you some great direction on how to prepare a proposal. Most likely the person you are speaking with at a company in the marketing manager/director but a lot of the time they will take your proposal and share it with bosses so their boss has a good idea how they are spending money and these are bosses that have never spoke to you, that proposal better make an impact on them. So do it right!

In the end most companies want to track a minimum of a 3.25 to 1 ROI in the current economy. Meaning that every dollar they give you they need to track and/or sell $3.25 in product related to your program.

Hope this helps a bit.

nice write up
it is nice to see the bully dog logo on VH-1 i know pat and his crew have worked hard that little shoot hope to see some of that go back to bully dog
 

glamisrnr

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The biggest thing, especially today in the current state of the economy and all that is exposure, sponsors are going to pay you for the exposure that you can get them. That is why you see a lot more sponsors and big dollars in short course versus desert, desert just does not usually deliver the type of exposure that short course will. It is the same reason that you do not see big sponsor in the buggy classes in short course, because until this year there was very little if any TV for the buggy classes.

A big mistake is to ask for too much or too little money in a proposal. Before you ever get to that point you should have a number of conversations with a sponsor so that you fully understand their needs, desires, goals and budget. That way you can cater your proposal to that company and their needs. A sponsor wants/needs to get a return on their investment with you so be realistic.
I get proposals from time to time that ask for HUGE amounts of money and there is very little in the way of a return and at the same time I get proposals that ask for to little which to me shows that the program is most likely selling himself short or not worth the investment.
I am not sure what class you are racing but I would look at the exposure that class recieved over the past year and then 2 years ago. This includes all forms of media, all forms of media have different values and every company uses a different formula to determine that for themselves. I would then suggest picking a front runner in the class, a mid pack guy and then a back marker and then be honest with yourself and decide where you think you will be this year. Us those drivers exposure to buld an idea of how much exposure you may get.

Also you should spend a LOT of time preparring your proposal, a simple Google search will give you some great direction on how to prepare a proposal. Most likely the person you are speaking with at a company in the marketing manager/director but a lot of the time they will take your proposal and share it with bosses so their boss has a good idea how they are spending money and these are bosses that have never spoke to you, that proposal better make an impact on them. So do it right!

In the end most companies want to track a minimum of a 3.25 to 1 ROI in the current economy. Meaning that every dollar they give you they need to track and/or sell $3.25 in product related to your program.

Hope this helps a bit.

Lots of great info, I am gonna be racing in TORC SRT stock truck. The trucks with the numbers 800-899.
 
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