Concert Sponsorships

Overview:Concert Sponsorships have been around for a long time, even before Neil Young over 20 years ago. Since 2003 the concert tour sponsorships have skyrocketed over 75% and gaining $1.04 billion in 2008. (Miller) When a company sponsors different concerts and events it is really a great way for them to advertise their brand. As well as, captivate the audience so they can become consumers of their brand. Along with companies, radio stations also come to concerts and broadcast before the show starts and have giveaways and hand-outs trying to build up an audience to listen to their station. Another great reason this works is, the company who is sponsoring the event can directlythe consumer they want such as Jaegermeister will reach a male demographic and Conexion Corona will reach a Hispanic demographic.(Miller)

Reasons to use:
One of the biggest advantages of sponsoring a concert is advertising by association with whoever is performing and the audience they attract. As well as stepping ahead of all the clutter that surrounds the youth on a regular day to day basis. This is one of the most creative ways to advertise and to help build brand awareness to those people in the audience who might be unaware. Even back in 1992 the President of Anheuser- Busch said concerts must be fully integrated with advertising.(Teinowitz) For example back in 2002 Saturn sponsored the Goo Goo Dolls summer tour to make their cars more appealing to the youth. (Greenberg) The Saturn Ion was the car they were putting in front of the youth at the concert to target them while they were having fun. (Greenberg) They also had other media promotions as well as meet and greets for the consumers to participate in.With record labels struggling, falling CD sales and illegal downloads on the increase, there has been a huge push for live music generating serious revenue. As a result the live music business is changing and growing at a steady rate. Promoting these events online is even more beneficial because it creates a more one-on- one feel for the consumer. They can also watch the concert on repeat or as many times as they would like. This push for live digital media greatly benefits the sponsor of the event. The audience is repeatedly being exposed to your message. Not only are the attendees seeing the sponsor name and logo but not home viewers are watching as well. (Carter, 19)
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These are some examples of concert posters with sponsorships on them. The Goo Goo Dolls and Saturn Ion, Kenny Chesney is always sponsored by Cruzan Rum and Lady GaGa is being sponsored by Ovation Productions and Smart Buddy.

Limitations are not really an issue when it comes to sponsoring a concert because most of the time it is just giveaways, contests, and hand-outs. Where the company might be limited is if they sponsor something where they will not target the audience they are trying to attract. For example Jack Daniels is not going to be sponsoring a Jonas Brothers concert because what middle school teenager is going to become brand loyal to an alcohol when they are not of age.

The money being spent on concert sponsorships is an insane amount. Whether it be from the promotional giveaways and hand-outs or the contests that the consumers can participate in, companies are spending an incredible amount to get their product out there. According to IEG, sponsorship spending on music tours, concert series and venues is expected to total $754 million in 2005, up from $695 million in 2004. (Waddell) The fact that those number are over five years old proves my point exactly, that the dollars companies put into their advertising just at concerts alone is insane but crucial for them to exceed their competitors and reach the consumer.

Reach & Frequency:
Reach is key to grabbing an audiences attention, and frequency is key to keeping their attention and turning them into loyal consumers. There are a few great summer concert tours to advertise for, such as the Vans Warped Tour, The Bamboozle Music Festival, and Lollapolooza because fans of the music follow them all over the country. It is a prime example of reach and frequency, because the first time they go to one of this concerts its the first time they will be reached by the advertisement, yet when they keep traveling from show to show the frequency of seeing the message rises.

Picture from Lollapolooza and all the people that were reached by the advertising messages

Companies are trying to make an impact on the consumer everyday and in almost every way possible. So building a solid relationship with the consumer where they like to have fun, i.e. a concert, is a great way to impact them. Another way this works is by word of mouth between the consumers and the people they communicate with.

Audience Qualities:
Qualities of the audience is the first thing that needs to be taken into consideration because it would be pointless for a company to advertise to an audience that had no interest or use for its product. The company also should have something in relation with the concert itself. For example, Live Nation, who is one of the worlds largest concert promoters, have made a sponsorship alliance with Coca-Cola so their products can be the drink served at 78 of their 84 concert venues.(Ebenkamp) This was a smart move for Coke because people clearly are interested in their product and will buy it while at the concert. This will influence a Coca-Cola product purchases later on after the consumer leaves the concert.


Consumers respond to the concert sponsorships by becoming a consumer of the brand they were exposed to. The way they respond can be in different ways, such as going out and purchasing the product, telling others about the product and many others. This is a win for the sponsor because if their sales start to rise, they know they are targeting the audience they want.

Ebenkamp, Becky. (2009, October6). Coke gets extra fizz from Live Nation deal.

Greenberg, Karl (2002, June). Saturn puts Goo Goo Dolls summer tour in its orbit for ion launch. Brandweek, 43(25), 14. Retrieved April 10, 2010, from ABI/INFORM Global. (Document ID: 130244791).

Meg Carter. (2009, June). VERTICAL FOCUS LIVE MUSIC: Let's rock. New Media Age,19-23. Retrieved December 13, 2010, from ABI/INFORM Global. (Document ID: 1761607561).

Miller, S.. (2008, March). I'm With th e Band: Brands Jump on Summer Tours. Brandweek, 49(13), 7. Retrieved April 11, 2010, from ABI/INFORM Global. (Document ID: 1466299841).

Teinowitz, Ira, & M andese, Joe. (1992, March). A-B's Media Grab. Advertising Age, 63(9), 1. Retrieved April 11, 2010, from ABI/INFORM Global. (D ocument ID: 92214).

Waddell, R. (2005). Tour Sponsorship Growth Expected. Billboard, 117(6), 5-18. Retrieved from Academic Search Complete database.