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Monsoon said on September 23rd, 2008 at 11:49 pm

Different sponsors have different views of ROI itself. This is as much the case in sponsorship as it is in advertising. In advertising for example, ROI is often measured in terms of impressions, changes to brand performance indicators from consumer research and sales. The idea of actual profit based reporting ROI is rarely achieved and most ad agencies would not be using that as the measure of success.

Personally, I think the sports marketing business shouldn’t try and achieve what the advertising business never achieved. We should define ROI is not a single figure of profit but instead it should be a serious of performance measures. This is what the advertising business does and it is more achievable.

Russell Scibetti said on September 24th, 2008 at 1:26 am

I understand what you are saying, but I have a couple of clarifications/comments. The number of impressions, impact on brand, etc are also very valuable measures. The two main categories of these types are ROO (Return on Objective) and Market/Media Value. These are not actually ROI – ROI is always bottom-line return on investment. You should definitely set objectives (they may be unrelated to profits) and measure your ROO, but this is distinctly different that ROI.

I also think that it can be a good idea to try and calculate ROI. What better method to ultimately indicate a sponsorship’s impact on yor business that its actual return. Is it difficult to measure this accurately? Absolutely, but I wouldn’t say its impossible. If you can measure your media value, ROO and ROI, then you’ve thoroughly evaluated the total impact of your sponsorship.

Thank you for your comment! I hope we can get more discussions going on the site!