This article provides tips and guidelines on how to partner with companies to obtain free product or funding. Also known as sponsorships, these partnerships are used by athletes and hobbyists to support their activities in their area of specialty.

For the Weekend Hobbyist or Competitor: Getting Corporate Sponsorships

It is a common misconception that sponsorships are only provided to athletes who compete in high-profile events. In reality, almost anyone who regularly participates in public activities has the ability to obtain free product or, in some cases, even funding from corporate sponsors.

Perhaps you compete in local skateboarding or snowboarding shows. Or you may teach cooking classes, organize museum trips, or manage a car enthusiasts' club. If you are in contact with others who are united around similar interests, sponsorship opportunities may be available to you.

Sponsorships: An Investment, Not A Gift

Traditionally, sponsorships are used by professional athletes and motor sports teams as a means of funding their competitive activities. In return for this funding, high-profile personalities provide their sponsors with valuable brand exposure. From the perspective of the sponsor, the money spent on sponsorships is generally considered a marketing investment rather than a gift or donation. This is an important distinction: Sponsoring companies do not give away money or product, but trade them for brand exposure.

An extreme example is NASCAR racing: Reputable drivers command millions of dollars to place a prominent logo decal on their racecars. The corporate justification for the expense is brand exposure. That racecar functions like a television commercial: over time everyone who watches NASCAR, on TV or at the event itself, becomes familiar with that logo. The effect is magnified by the many interest groups, web sites, and magazines that circulate photographs of popular racecars.

In the last 20 years, sponsorships have become an increasingly popular way for companies to let the public know about their products and services. As consumers continue to avoid commercials through DVRs and satellite radio, companies have to find new ways to make their products visible to the public.

Generally, sponsorship marketing benefits the consumer and the corporation. With corporate funding, events and competitions simply have more to offer. In Los Angeles, we have the Staples Center and the Home Depot Center. Without the ample corporate funding of Staples and Home Depot, Los Angeles sports teams and fans would be limited to less modern, less expansive facilities. On a smaller scale, think of a local 5-K run fundraiser that partners with a bottled water manufacturer. The water company provides refreshments to competitors in return for having its logo placed on the finish line banner.

How Can Sponsorships Help Me?

Anyone who is in a public position of influence, no matter how small scale, has the ability to partner with a corporate sponsor. Direct access to consumers, particularly consumers who are united around a specific interest, is valuable to companies with products and services to sell. If the event in which you participate is covered by the local cable channel, newspaper, or special interest magazine, your chance of securing a sponsorship is even better.

Big sponsorship dollars are reserved for unusually high-profile competitors–for example, teen snowboarding phenoms or championship hot rod drivers. For the rest of us, sponsorship compensation will likely be free or discounted product from the supporting company. Skateboarders need protective gear, wheels, and other accessories. Marathon runners need athletic shoes and sportswear. When you're buying gear or equipment anyway, sponsorships can reduce your out-of-pocket costs.

One thing to keep in mind: if you are competing in amateur sports events, you may be subject to restrictions on the acceptance of money or product from sponsors. Research this thoroughly before pursuing any corporate relationships. Start by checking your rule book or asking the governing organization in charge of the events.

Choosing Companies to Approach

Without an organized framework, the sponsor search can be complicated and time-consuming. Your highest probability targets are those companies that provide products or services related to your activity or interest. What companies want from their sponsees (that's you) is access to people who are potential purchasers of their products or services. For example, a tofu company wants access to vegetarians and a baby stroller retailer wants access to pregnant women. Conversely, a wheelchair manufacturer has no interest in triathletes.

A few basic tips will help you focus in the right direction:

• Think about the activity in which you participate and make a list of the products/services you use. If you train or prepare for events, include the products/services you use in training as well.
• Think about your fellow sportsmen or hobbyists. How are they similar? Do they enjoy certain activities together? For example, fine wine enthusiasts often enjoy gourmet foods as well. Make a note of those activities and what types of products and services they require.
• Think small. McDonald's and Coke aren't potential targets. Instead, look in the phone book for local, independently-owned companies that either make or supply the types of products you use.
• Think about the people you know. If you know any small business owners, talk to them about the programs they use to grow their businesses. They just might be interested in partnering with you.

The Pitch

Once you have created a list of target companies, you can begin making phone calls. If you are approaching small, independently owned operations, you will probably need to make contact with the owner or onsite manager. In a larger company, you might be directed towards the marketing or promotions staff.

In these situations, it's best not to shoot from the hip. Instead, write out a script that includes a polite introduction of yourself and a brief summary of your proposed partnership. If you don't know whom to speak with, ask who is in charge of marketing programs for the company. This process will take perseverance, as some people may feel caught off-guard by the unsolicited phone call. Once you make contact with the decision-maker, ask her directly if you can set up a time to discuss the opportunity in detail. Just in case you catch someone with time on his hands, be prepared to pitch your idea on the spot.

The pitch is your explanation of why a company should invest in you and your activity. You may be asked to present your case via conference call, written document, or face-to-face meeting. Even if the company doesn't request it, you should create a written proposal that outlines your argument. If nothing else, it will keep you focused on the details you need to convey.

The most effective approach is a well-structured argument that clearly presents some basic, relevant information. This is where many would-be sponsees get sidetracked; your objective is NOT to ask for and receive free stuff. Your objective is to present a low-cost exposure opportunity that will: a) enhance awareness of the company's products; and/or b)create a positive image of the company itself.

The objective of your pitch should be to communicate the following:

• The Benefit to the Company
• Media Coverage if any
• Your Offer
• Your Activity
• Your Audience

Descriptions of your activity and your audience should be relatively straightforward. Structuring your offer and defining the benefit, however, take a bit of creativity.

Let's assume you teach cooking classes at the city recreation center four nights a week. You've decided to approach a local gourmet food store or family owned market to arrange for free or discounted ingredients to support your classes. In return, you offer to distribute store coupons or flyers to your students.

This program offers several relevant benefits to the store. Your students are potential or existing store customers. You, as a teacher, can effectively endorse the store and its products to these students. Knowing the store is donating items to their classes, those students will likely appreciate the store's support of their interest in cooking. Plus, flyers given out in class have more impact than direct mail flyers. They reach the students in a more receptive mindset—when they are thinking about food, not when they are sorting through their junk mail.

As in the example above, the benefits should be defined in terms of exposure and image. The key is to clearly explain how the sponsoring company's logo, name or likeness will be presented to your audience, and how this presentation will create positive feelings about the company.

What to Expect

Let's be realistic: You will meet some resistance as you seek out these partnerships. Some owners and managers are simply not open to nontraditional marketing programs. Don't try to force them to come around; it just isn't worth your time.

Others will be receptive to your pitch, but reluctant to commit. Your best strategy is to remain flexible. Be willing to start small in order to develop a level of trust between you and your sponsor. Remember that sponsors will expect something back from you in return for their funding, so be ready to prove you can deliver. You can always expand the relationship over time. Take what you can get in the beginning, even if it's only discounted product—it's better than paying full price for the stuff you'd be buying anyway.