Sporting events can be extremely profitable for the right company or entrepreneur. Additionally, sporting events offer a worthwhile sponsorship opportunity to marketers who want to reap the benefits of being seen by attendees. Unfortunately, getting started won’t be easy – nor will it be cheap. After initial costs and plans are laid out, there’s even more to think about in terms of hosting, promotion, permits, zonings; and the list continues on.
If you think you can handle all the dilemmas that may (and probably will) arise, you’re ready to host your own sporting event. Sporting events can be extremely lucrative – in terms of promotion and financial gain. You will earn extra revenue, but only if you play by the rules.
Tips for Hosting Successful Sporting Events
A lack of community support can cripple an event. For example, if you’re hosting a marathon, you’re going to need access to the city’s streets. This can mean blocking traffic, which is guaranteed to upset some motorists. The only way to skirt this issue is to seek out support from local government.
People trust their elected officials, so check with the town/city/etc before selecting dates and locations for your event. Once you’ve established community support, make sure to advertise for a long time before hosting your sporting events. You could even score some brownie points if you put up signs days in advance (alerting motorists that roads will be closed, or traffic may be increased).
You’re going to need a lot of insurance – plain and simple. You’ll need to participate accident coverage, in case anyone is injured during the event. You’ll also want a strong liability policy, so you’re not left holding your checkbook if an attendee is injured. Most insurances are short-term, meaning they’re designed only to last the length of your sporting events.
If you’re planning to host a giveaway, you’ll also need prize insurance. For example, most golf events/tournaments offer a special prize for sinking a hole-in-one. The odds of a hole-in-one occurring are slim, but it is possible. When your prize is a new car or a substantial amount of money, the result can be financially devastating to the host, which is why prize insurance is needed. Hole in one insurance is designed to pay the value of the prize you’ve offered, should a hole in one occur and the prize be won.
Find Sponsorship As Soon As Possible
Most of your money is going to be made through sponsorship. According to Sponsorship.com, sponsorship spending saw a 6.2 percent markup from 2012 to 2013. Over $100 million was spent on sporting event sponsorship in 2013, and the numbers continue to grow. It’s staggering how lucrative sponsorship opportunities can be to the savvy businessperson.
Early sponsorship can help you achieve maximum funding so you can assure your sponsors get the attendees they were promised and your attendees get the experience they were promised. Big businesses love sponsoring endurance sporting events, such as marathons. Local businesses, such as vendors and beer distributors, should also be tapped.
Unsatisfied fans and attendees can ruin an event. If you hope to become a legacy, or you hope to host another event next year, you’ll need to keep the people happy. The easiest way to do this is by heeding this final piece of advice: remain honest and be transparent.
Be honest about who your sponsors are, and how many tickets you have left to sell. Be transparent in your pricing, and let fans know (ahead of time) what they can expect from your sporting events. This is going to ensure their happiness, and help you establish a legacy of good event planning.