Sports sponsorships can refer to the support of an organization to an event, league or a specific athlete. Though a company may sponsor by just providing their product to a player or event, money is usually given in exchange for the company name to be prominently displayed throughout play. Sport sponsorship has become big business in the 21st century. It can be the difference between whether or not an event takes place, or a chance to make someone into a millionaire.
Recognition
Whether it's Nike signing a $55 million contract with top tennis player Serena Williams or Proctor & Gamble becoming a major sponsor of the 2012 Olympics, sports sponsorship brings recognition. Proctor & Gamble will benefit from years of Olympic publicity and have their logo at multiple sporting events. Nike not only gains recognition every time Williams steps on the court, but it gave a boon for women's sports as a female made headlines receiving the kind of money only men athletes previously got.
Money
In the end, it's all about the bucks. According to "NY Sports Journalism," the NFL receives the largest amount in sports sponsorship per year -- $870 million in 2010. Of course, not all leagues need the kind of money the NFL does. In relative terms, a sponsorship of $10,000 could keep a local sports team just as happy, giving them a new field or updated locker facilities. For the individual, a sports sponsorship can also range from traveling expenses to multi-million dollar deals that will keep them set for life.
Other Benefits
An organization may get additional benefits from becoming a sponsor of an athlete or sporting event. An athlete may relinquish a trophy to be displayed prominently at the sponsor's business forever connecting the company to that player. A sponsorship may also be given to a charity event, allowing the organization giving money or product a chance to take at least part of its gift as a tax deduction. Sometimes, a sports sponsorship is just about pride, such as when a relative or friend wants to offer support.
Considerations
While sports sponsorships are a great idea for professional athletes, they may not be such a good thing for amateurs. Sponsorships can interfere with amateur eligibility if you are hoping to play college sports. While the NCAA does recognize the need for and allow athletes to take certain things such as equipment, anything taking anything construed as a payment for play can make a player permanently ineligible to play college sports in the future.
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