Sponsorship & Social Media
Business: Edexcel IGCSE, topic 4.3.11
Sponsorship
Sponsorship involves paying athletes, celebrities or other organisations for them to advertise for a business.
Nike
- Nike pay lots of sportsmen and women to wear Nike clothing and Nike equipment.
- Consumers that see famous sportsmen/women wearing Nike may be more likely to buy Nike clothing.
- Roger Federer is sponsored by Nike and wears Nike tennis wear.
- Rory McIlroy signed a 10-year sponsorship deal worth $250m with Nike in 2013.
Celebrity endorsements
- Celebrity endorsements are similar to sponsorship and famous people may use a product or be seen doing something.
- Lenny Henry is a comedian that features in Premier Inn’s TV adverts.
Social Media
Firms can use social media for paid advertisements as well as for creating their own pages through which to share content. This is beneficial because it is an easy and relatively cheap way for businesses to promote their products.
Targeting an audience
- Social media can also be an effective way of making sure that a business targets the right people.
- Businesses can pay Facebook or Instagram to target a precise group of people in a particular age group, for example, 18-25 year old people living in London.
Changing adverts
- Social media adverts can also be updated and changed cheaply and easily which is another benefit.
Test yourself on Sponsorship & Social Media
Lenny Henry is a comedian who features in the Premier Inn adverts. What is it called when a celebrity is advertised as using a product or service?
Why do companies sponsor sportsmen and sportswomen?
Why do businesses use social media for promotion?
Businesses can pay Facebook or Instagram to aim adverts at a precise group of people in a particular age group. Which benefit of social media promotion is this?