Revisiting Relationships
The 2024 Association Benchmarking Report, produced by Naylor and Association Advisers, revealed that generating non-dues revenue remained the foremost challenge for associations for the second consecutive year. In order to combat this, associations are increasingly looking to create more carefully tailored sponsorship packages for companies, hoping to foster mutually beneficial, long-term relationships which align their objectives and values.
Today, individuals, corporations and associations are more value-driven than ever before, and this is reflected in a changing approach to sponsorships. Both companies and associations are looking for partners who share their perspectives on key societal concerns, such as sustainability, diversity and social responsibility. This alignment goes beyond simple exposure to branding – like logos and slogans – and seeks instead to foster genuine connections and collaborative efforts that further these values and make a tangible impact. In consequence, sponsorships are evolving from transactional relationships into more strategic, meaningful partnerships.
Similarly, associations are approaching sponsorships with a renewed focus of generating a meaningful return on investment for their partners, as well as memorable experiences for their members. The same Naylor Association Benchmarking Report pointed to a lack of member engagement as one of three key barriers to generating non-dues revenue, and associations are considering how to address this. As a result, there has been a move away from some of the more traditional methods of sponsorship of events, as associations seek higher levels of engagement with their members, and strive to discover ways of providing greater benefit for their partners.
The Nursing Organizations Alliance (NOA) is an example of one such organisation that overhauled their approach to sponsorships. They began by surveying their member organisations to understand how sponsors and exhibitors could help them enhance the attendee experience at their Fall Summit.
Next, they conducted focus groups and individual interviews with existing sponsors and exhibitors, in order to guide the customisation of future sponsorships to more directly address their pain points and needs.
NOA then created a menu of 10 sponsorship opportunities that partners could select from, each focusing on the attendee experience and sponsor ROI, rather than static logos and printed program ads. They then collaborated with potential sponsors to generate a series of custom sponsorship ideas that would create mutually beneficial outcomes.
Included in their various offerings were opportunities for year-long engagements that provided sponsors with more comprehensive, ongoing access to NOA’s member organisations, as well as facilitating the distribution of sponsorship funds to other NOA programs and events.
Beyond the Booth
According to Community Brands’ 2024 Event Planners Study – based on a study of over 500 professionals who plan events for associations, corporations, government organisations and nonprofits – event planners are reporting a reinvigorated interest in levelling up the attendee experience and the quality of exhibitors and sponsors.
Instead of allocating sponsorship spending to activities such as booth sponsorships, welcome breakfasts, gala dinners, and other typical event experiences, associations and their partners are looking to create more impactful moments, designed to “surprise and delight” event delegates.
“Surprise and delight” is an attendee-centric approach which seeks to exceed expectations with unexpected, positive – often personalised – experiences. At association events these could be anything from a pop-up art, interactive installation at the convention centre to gourmet food trucks and virtual reality stations.
The central aim of this strategy is to increase value to association members. This enhanced value could take the form of a unique experience, professional development opportunities, the fostering of a sense of community and connection, and so much more. The opportunities are endless and, importantly, personalisation comes into play. Companies must consider how their sponsorship caters to the specific needs and interests of an association’s membership base and identify experiences which not only yield the most value to members, but provide benefits which can be passed onto sponsors.
Andrea Diaz, Partnerships and Sponsorships Manager for The Association Specialists, an association and conference management provider, says that when seeking alignment between sponsor and association, she does not only consider the fit from the lens of the sponsor, but that of the event attendee too.
“I also look at it from the delegate’s perspective. If I were the director of X and I have the buying power, what do I want to see displayed on the booths? Who do I want to speak to? And what are the products and services that are going to add value to my team? Putting on the ‘delegate hat’ is a helpful exercise in thinking outside the box,”
By customising their contributions and engaging directly with their audience’s unique needs, sponsors not only improve the event experience but build stronger relationships between associations and their members.
At the heart of these developing trends is a desire on the part of associations to provide their sponsors with genuine, tangible results.
Expanding Partnerships
During the pandemic it became clear that too many associations had been reliant on attracting sponsors for one-off, in-person events that occurred a few times per year at most. In these times, bringing people together for large, in-person events proved impossible, leaving many organisations with a serious revenue problem. This involved a re-think and these days associations are increasingly looking to diversify their offering to sponsors and provide them with more distributed, year-round engagements with their membership base.
The Canadian Marketing Association, for example, offers potential sponsors the following on their website: “Year-long strategic investment with high-degree of flexibility” and opportunities that are “Personalised to [a company’s] specific marketing objectives”.
These year-round touchpoints are often digital, and associations are building out sponsorship packages – usually personalised to the sponsor – that provide them with access to their members via channels like newsletters, social media takeovers and a myriad of other marketing mechanisms.
Additionally, platforms are emerging to help associations engage their members in many different ways. For example, Member Lounge by Grype Digital is an AI-powered engagement platform for associations, designed to help develop a connected community with personalised membership experiences. Through online portals such as this, sponsors can share content specifically tailored to an association – creating benefits both for themselves and those consuming these materials.
And since associations often do not have the resources required to meet the needs of every member, at all times, this can also be a win for the association. As Bruce Rosenthal, a strategic advisor and consultant to associations, puts it, “If members can get good information from the corporate partner, why not? Partner with those companies, bring them inside the tent, and put it all together under the Association’s umbrella.”.
Results-Driven Return
At the heart of these developing trends is a desire on the part of associations to provide their sponsors with genuine, tangible results. As the world of marketing measurements becomes ever more sophisticated, companies are increasingly able to examine the real-world impact of their sponsorship spend.
With these developments, the so-called vanity metrics – such as total number of event attendees, social media mentions, event app downloads, etc. – are falling by the wayside and sponsors are more often looking for direct engagement with high-value contacts, and actionable leads.
In some cases, this means that sponsors are no longer looking for visibility across the entire association but are honing their focus on a select number of key members who more acutely align with their ideal customer profile, or those who hold significant decision-making power within their organisation. To reach these individuals in a more strategic and personalised way, sponsors are more inclined to allocate their resources to smaller VIP-specific events such as board meetings or executive lounges.
New Opportunities
The evolving sponsorship landscape offers significant opportunities for both associations and their sponsors. By prioritising enhanced experiences for their members and genuine return-on-investment for their sponsors, associations are positioning themselves as crucial conduits for value. Meanwhile, sponsors are focussing on fostering goodwill amongst their target audience, and hoping to see more tangible results.
Looking to the future, associations need to approach the sponsorship process with a long-term vision, a desire for value alignment, and customizable, creative, offerings which will engage their members and entice potential sponsors.