“Measure what matters:” The importance of events

Chapter 7 of “measure what matters” analyzes why companies place such values on sponsoring events.  The obvious reason many people would say is for publicity.  The more people who see the company’s name (especially if it’s plastered on signs everywhere), the more aware people become of company.  Author Katie Delahaye Paine offers three distinct reasons.

The first reason companies and businesses participate in events and is to launch new products.  She uses the term “test drive” because it gives consumers and potential customers a chance to see the new products up close to they can have direct contact with it and experience it.  Therefore, if the company produces a high-quality product, they have a good chance of attracting customers with this tactic.

The second reason, as Paine says, is to “drive affinity between customers and the brand.”  Essentially, by sponsoring an event, a company is trying to establish a relationship with consumers.  It shows they may care about the same cause or sport, etc.  Sponsorship is one way for a company to show support for something.  If consumers feel the company is caring and showing support for the same thing they are, a relationship is more likely to occur. 

The third reason is, as one might expect, to “reach new markets and customers.”  This is probably the most self-explanatory of the three.  Obviously, by putting a company’s name out for people to see, it promotes relationship building.  According to Paine, if a company has a presence at some events, if goes a long way in establishing a company in a specific marketplace.