Monday, April 26, 2010
Music Sponsorship Spending To Total $1.09 Billion In '10
North American-based companies will spend $1.09 billion to sponsor music venues, festivals and tours in 2010, a 4.2 percent increase from the $1.08 billion spent in '09, according to IEG Sponsorship Report, the world's leading authority on sponsorship.
Chicago, Ill (PRWEB) April 26, 2010 -- North American-based companies will spend $1.09 billion to sponsor music venues, festivals and tours in 2010, a 4.2 percent increase from the $1.08 billion spent in '09, according to IEG Sponsorship Report, the world's leading authority on sponsorship.
In a positive sign for music properties, the increase outpaces IEG SR's projected 3.4 percent rise in total sponsorship spending and represents the third largest increase in spending among the major property types, following causes (6.1 percent) and entertainment tours and attractions (5.7 percent).
"Music remains a vital passion point for consumers, and marketers are increasingly aligning with music events, tours and venues to tap into that passion," said William Chipps, IEG Sponsorship Report's senior editor.
As in years past, much of that growth is driven by new and incremental spending on big-ticket sponsorships, with auto, apparel, beverage, cameras, insurance, technology companies leading the charge.
For example, Canon U.S.A., Inc. this year signed a new partnership with the Bonnaroo Music & Arts Festival, Red Bull aligned with Live Nation, and Sony Computer Entertainment America Inc. sponsored last weekend's Coachella Valley Music and Arts Festival on behalf of its Bloggie handheld camcorder.
In addition, Live Nation late last year announced a six-year partnership with The Coca-Cola Co. that spans multiple assets including concerts, content, hospitality and the concert producer's online ticketing and e-commerce operations.
While national music festivals and tours have found success securing corporate partners, many regional and local events continue to struggle, Chipps said.
"While the economy appears to be rebounding, many marketers continue to take a cautious approach to sponsorship by focusing on large, established properties that provide broad reach."
Credit:IEG Sponsorship Report