Why Sports Sponsorship Is Valuable for Corporate Tech Companies


mlb mastercard tech sponsorships sports
mlb mastercard tech sponsorships sports
Are sports sponsorships worth it for corporate tech companies?

Whether you’re in the largest NFL stadium, or a local minor league baseball stadium, all teams are profitable with the help of corporate sponsorships. From the stadium billboards, to small free giveaways, businesses are constantly trying to reach fans and make an impact on them at a sporting event. But with the threat of the second-screen, and the impact of a comfy couch in front of an HDTV, companies are having to be more and more creative about integrating technology into the sporting event space to incentivize fans to still attend sporting events in person.

But which sponsors are really making that impact, and are standing out amongst the multiple sponsors for the average fan in attendance?

Connectivity

Wi-Fi seems like something that would be a baseline in today’s stadiums, but with the rapidly changing technology, sporting venues have a hard time keeping up. Connectivity is very important at sporting events, having fans even leave games early if they are unable to meet their basic needs of being able to post to social media. But, what most fans don’t realize is what companies are doing, on top of having a good connection to Wi-Fi. Companies like Cisco, are providing connectivity to more than 200 venues around the globe, ranging anywhere from NBA venues to large football stadiums around the world. But Cisco takes that one step further, and offers fans in the stadium live, low-delay video to the thousands of devices in the sporting venue, known at StadiumVision.

On StadiumVision Mobile, Cisco raises the bar when it comes to engaging fans, giving fans access to demands, like views of alternate camera angles, on-demand access to replays, viewing out-of-town games that are being played at the same time, as well as trivia contests. Cisco tries to balance the fan that wants to enjoy their in-game experience, but gives them the opportunity to stay connected at times when there are things like commercial breaks.

The largest reason for technological companies to invest in providing connectivity like this is due to the investment they receive in return through to main routes. On the forefront, companies will gain signage throughout the venues, allowing for fans to associate their company with the good time they had in the venue. But on a deeper level, by providing an asset like this to stadiums, companies like Cisco, SAP, Intel, IBM, and HP, are connecting with fans on a whole new level, building important bridges with potential customers and, ultimately, improving the fan experience.

Beacon Technology

Beacon Technology is most likely nothing new to fans for the in-game experience, but if you aren’t familiar with it, it is definitely an integration to know as it is the future of sporting events.

Most sponsors are trying to figure out how to use the beacon technology system; and in what venues, as currently it has been rolled out within NCAA Football and the MLB in full force. Beacon technology allows for small transmitters that use Bluetooth Low Energy technology to pinpoint where a fan is located within a venue and provides relevant information via mobile devices. Information can range anywhere from rewards for future game tickets, to discounts on food near your seats. There are barriers to entry for sponsors in this technology, though, as customers have to turn on Bluetooth, accept location services on the app, and opt-in to receive in-store notifications.

Companies like Coca-Cola hope that with the Apple iBeacon system, they could deliver deals that stand apart from the advertising overload, specifically at the 2014 World Cup. Similarly, some teams think that the iBeacon technology can even lead to an increase in their ticket sales. “Mobile and digital experiences are paramount to our fan experience,” according to San Francisco Giants’ Chief Information Officer, Bill Schlough, when discussing the iBeacon technology, “and they have played a role in the fact that we’ve had 246 straight sellouts.”

The number of beacons can range from ballpark to ballpark, but AT&T Park reports to have 19 iBeacons throughout their venue. As of September 2014, the Miami Dolphins were the first in the NFL to join the iBeacon craze within Sun Life Stadium, using the technology along with their mobile application. Yet, with teams being reliant on the mobile application download, fans may be hesitant to use the technology, even with the discount incentives, as mobile applications take up space on your mobile device and may be used sparingly.

[fanmob id=”348c2ee3-55bd-4d36-b7a5-5012444a24f3″]

Wearable Technology

Sure, we’ve all seen the FitBits and variety of fitness-tracking bands for those who try and keep track of their daily habits. We’ve also seen wristbands used in other ways, such as RFID wristbands at music festivals to allow for a phone-free, wallet-free atmosphere to record all of your activities. But sponsors like American Express and the Ryder Cup try to take those technologies one step further, using RFID technology in the tennis and golf sporting space, giving fans access to activities and digital interactions through the wristbands. American Express has shown their use of the RFID technology through the MyOpen Pass wristband, allowing fans to collect experiences, like photographs and tennis swing analytics, and sending their information in a personalized e-mail. The Ryder Cup used the RFID technology in a similar way, while also incorporating cashless payments and prizes for those who used their wristband at the check in spots.

No bags? No problem.

Throughout the larger sporting events like NCAA Football and the NFL, most stadiums are prohibiting large bags to be brought into the stadium. For the female demographic, most times, condensing your purse into one pocket is a difficult task when attending games. But, with the new iOS 8 release, Apple and more specifically Apple Pay, are streamlining this system to create an easier experience within the game for all fans. For the 2014 World Series between the San Francisco Giants and Kansas City Royals, MasterCard has introduced the ability to make payments on your phone for ballpark food and beverage concessions, eliminating the need for a wallet or a purse.

So, the question that still may be lingering is: Are sports sponsorships worth it for companies looking to get into the technological space?

Although you may not realize it while you are at a sporting event, your affinity for a sponsor may gain positive ties due to the simplest technological advancement you see and engage in, even if it does not directly link to sales based on the investment. The indirect benefits of companies who break the technological barrier are much deeper than the ROI, but, rather, allow their company to separate from their competitors. Large corporate tech sponsors will no doubt continue to associate themselves with sports and entertainment properties; and what’s most important for these sponsors is the ability to engage interest of fans throughout the venue space, rather than just being a company name up on the big screen.