The sports and entertainment business each generate billions of dollars in revenue from items including merchandise, ticket sales, television deals and sponsorship. High-profile financial brands including Visa are always looking for ways to align their company with the likes of the Olympics and other high-profile sport entities and organizations. While the latter example and partnership is one that has been around for some time, there seems to be an uptick in financial service companies partnering with sport organizations, universities and other entertainment entities to rake in revenue, attract existing or new audiences and capture valuable data about these audiences to use and leverage within these sponsorships. Here are my thoughts on why that might be the case.
Chase has dabbled in sports business for quite some time, but now there seems to be a shift in how this company is involving itself in the entertainment space and how it leverages its products to connect with music, sports fans and potential consumers. For example, an event with recording artist Gary Clark Jr. appeared in my email inbox, and Chase customers had the opportunity to purchase presale tickets with their Chase's debit and credit card before non-Chase Customers. While Gary Clark Jr. is not on the top of any of my Spotify playlists, this communication piece and offer was noticeable considering the value it provides customers and most importantly--the access it gives them before the general public to see Gary Clark Jr. live.
Financial institutions have the power to leverage its products and even more so in the digital space, given that mobile and online banking have blossomed in recent years. Likewise, financial institutions have the ability to tie a product (in this case debit or credit card) into an overall experience--the hallmark of sports and entertainment, through a seamless transaction. Most people buy tickets to games and events through their debit cards and apps anyway so it makes sense to give Gary Clark Jr. fans and current Chase customers even more of a reason to purchase their tickets through Chase and this presale special.
Speaking of Chase, I had the opportunity to volunteer at the 2018 Laver Cup in Chicago in September, and one area of the Fan Zone that was immediately noticeable was the Chase Lounge. This elevated service was a premium experience that was unlike anywhere else on the Fan Zone grounds, and for good reason. Fans who purchased VIP tickets were allowed to experience this posh setting that included a bar and seating area. (remember, access) Again, a bank like Chase has the power to promote its products through experiences and rewarding existing and potential customers and fans. This is a strategic way to showcase its brand to a global audience, potential customers and tennis fans alike.
A lot of times, financial companies have a global audience, and this can be leveraged when working with a professional sports organization that may also be looking to broaden its fan base. PayPal recently signed a jersey patch sponsorship with the Phoenix Suns' as part of a larger, global sponsorship agreement. Below are a few ways PayPal is activating at Talking Stick Resort arena, home of the Phoenix Suns.
PayPal will be a payment option at Talking Stick Resort Arena point of sale terminals and at the Suns Team Shop in the arena, while fans will be able to access PayPal through the Official Suns Mobile App. The Suns will also make PayPal Credit available for Suns’ SixthMan members to purchase season tickets. PayPal Here card readers will be integrated at point of sale for chip, swipe, and tap payments, and fans will be able to pay with their Venmo balance throughout the arena.
This integrated sponsorship is smart on many fronts, but especially considering the importance of digital data that is used more than ever to make well-informed decisions related to marketing, ticketing strategies, promotions, guest services and other items related to a team's bottom line and fan experience.
Taking this team's Venmo example even further, allotting a certain amount of tickets on the Venmo app specifically for users to purchase at a slight discount is one way to provide special access to fans while also obtaining useful information for future ticketing promotions. Likewise, providing fans with a more seamless way to purchase tickets to watch and consume their team is a logical method to retaining and gathering fans within that team's state, but also around the world, given PayPal's footprint as a global company. As more proof that financial institutions are finding even more value in integrated sponsorships, Sun Life Financial serves as the Toronto Raptors jersey patch sponsor. Other jersey patch sponsor deals include Flagstar Bank and the Detroit Pistons, Lending Tree and the Charlotte Hornets and Western Union and the Denver Nuggets.
Colorado State and Public Service Credit Union unveiled a comprehensive partnership that not only made this deal one of largest college stadium naming rights transactions, but there was also an emphasis on the entire university. While banks living on university campuses is nothing new, this sponsorship that activates multiple touch points of the student, alumni and faculty experience on campus and fan experience at games is smart. This is another prime example of the value and versatility financial sponsors provide sport organizations looking to activate and go beyond signage at a major concert, festival or promotion during a game.
Shortly before finishing this write-up, I received an email about the Chicago Sports Commission's Business of Sport Speaker Series. The main topic of discussion? Banks partnering with Chicago sport organizations and universities including CIBC-Fire Pitch, BMO North America, the Bank of America Chicago Marathon, Wintrust Arena and Depaul Athletics. This speaker series topic is a glimpse into the future of sports and entertainment business, especially as technology is further integrated into these financial companies' products and services. I fully expect to see more banks and financial institutions partner with teams, universities and leagues as they look for more effective ways to reach their current and potential audiences with products that tie into the one thing sport and entertainment consumers still crave--live experiences.
Feel free to drop a comment or question below! I'd love to continue the conversation.
Add a comment…
Images