Tuesday, January 29, 2013

The perception of sponsorship as a marketing communication by consumers has not been explored. The article is looking to understand consumer perceptions of sponsorship in comparison to advertising. It does this through at Literature review and through a research study conducted by Meenaghan (1994).

Consumer perceptions of advertising
Consumer attitudes towards advertising are very ambivalent. Consumers are highly critical of advertising as they feel it is dishonest, deceptive and manipulative (Meenaghan, 2001). However, many consumers feel that advertising fuels the economy and sets a higher standard for living but negative attributes include the social effects like targeting vulnerable groups such as children.

Consumer perceptions of Sponsorship
From the research it was clear the consumers perception of sponsorship was a positive one. The goodwill factor was determined by how sponsorship could give support to areas which might not otherwise receive it. This factor was stronger when a consumer is emotionally involved e.g. supported the team or in categories such as social causes and environmental programmes.
On the other hand they saw sports sponsorship as brash, blatant, loud and obtrusive (Meenaghan, 2001) and that this area, along with the mass arts were the most exploited.

Negative aspects of sponsorship
1.Sponsor interference consumers resented any interference with the event or activity.
2.High-profile/grassroots activity there was a belief that sponsors were only interested in high-profile activities and ignored lesser known activities.
3.Ticket allocation some fans might not be able to get tickets as sponsors receive ticket allocations.
4.Degree of exploitation sponsors ability to go over the top with branding etc at events.

Sponsorship as a Rite of Passage
This is the notion that only big, successful companies that can afford to sponsor do, so therefore is a rite of passage.

Advertising as selfish
Advertising was seen that it served no interest other than that of the advertiser and that it was an omnipresent force from which escape was difficult Meenaghan, 2001).

Indirect/subtle
Sponsorship was seen as a more subtle marketing communication.

Perceived intent to persuade
Advertising was seen as being obvious and forceful in its objective to persuade people to buy a product, giving it a negative reaction. Consumers felt it was obtrusive in comparison to sponsorship. Whereas sponsorship was seen as being less forceful and quieter in nature, arousing less anxiety in consumers. Advertising was seen as trying to achieve a short-term sales increase with sponsorship in it more for the long-term brand awareness.

Image effects of sponsorship involvement
Using sponsorship make the company look like a more caring company. Advertising makes it look more selfish and less concerned with society.
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