I get asked a lot why sponsor valuations are so important. In one word, CONFIDENCE. In fact, most people who take my workshop tell me that it is the #1 benefit of having a formal, trusted valuation process.
On one hand, I’m pleased that MLSE was able to cement a deal for $800,000,000 with Scotiabank for the 20-year naming rights to the formerly named Air Canada Centre (ACC). The deal speaks volumes about the importance of connecting with existing or potential customers on their turf and legitimizes sponsorship as a vehicle to get this done. It also shows the importance that companies place on branding and how competitive it is in getting in the hearts and minds of Canadians.
Naming rights for municipal facilities are increasing significantly across the country. While it’s important to generate much needed revenue, municipalities also need to consider the impact that the “fit” plays in community support for naming rights initiatives.