When brands consider sponsorship properties, they aim to maximise external opportunities – increased brand recognition, brand awareness, loyalty, customer numbers and most importantly, sales. However, during a downturn, when sponsorship budgets are questioned by CEOs and brand marketers alike, the internal benefits to a company of sponsorship activity are often forgotten, leaving work forces bereft of a cohesive brand identity and the motivation that goes with it.
Employee engagement has been the hot topic at recent sponsorship conferences and there couldn’t be a better time for it to come back into the spotlight. With morale in business at an all time low, while half of UK businesses maintain pay freezes and have put recruitment on hold, some businesses are seeing their sponsorships as opportunities to boost employee engagement and to inspire, enthuse and re-energise staff.
Why engage your employees?
Engagement is key to competitiveness and innovation. Motivated employees equate to increased productivity, increased effectiveness and increased retention. Particularly in consumer-facing brands, the employees reflect the brand and carry that brand image with them in everything they do. This principle applies equally from the top level CEO to the call centre worker – maintaining brand values at every level is crucial.
It’s not the winning; it’s the taking part
A case in point – Olympic sponsors seem slow to capitalise on the obvious benefits and value of such a unique asset. A massive 85% of organisations have no current plans for utilising the London 2012 Olympic and Paralympics Games to engage staff – shocking results when considering that employee engagement has been a key element to sponsorship activation for many years. This also demonstrates one of the reasons why 80% of industry experts believe domestic sponsorship of the London 2012 Olympics games does not represent value for money.
Engaged employees perform up to 20 percent better than less engaged employees and are 87 percent less likely to leave the organisation than employees with lower levels of engagement, so it’s certainly worth taking part in this activation method.
Carrying the torch
The Sydney 2000 Games was a significant moment for sponsorship and employee engagement.
As sponsors of the Sydney 2000 Olympics Games, Westpac developed a stakeholder engagement project that provided more than 5,000 clients, business partners, employees and consumers with the opportunity to experience the Games. Specifically for their employees, they developed ‘staff values’ programs where staff could nominate colleagues who show values inherent to those of the Olympics. This included anything from respect and fair play to determination and drive. The winners were rewarded with tickets to the games. In total Westpac gave away over 40,000 tickets, a significant proportion of which was allocated to staff. Furthermore, they successfully aligned the values of the Olympics with their business and staff, resulting in significant return earned on the investment through improved workforce morale and customer service.
Employee engagement is a top priority for Lloyds TSB who has taken inspiration from Westpac. As sponsors of the 2012 Olympics and with 68,000 staff, they want to get the most out of the £80m investment. With a huge internal communications project, Lloyds aim to inspire staff by bringing the values of the Olympics alive and relating them back to the business. They’re looking for employee participation and support through a calendar of events for staff, and through the launch of online magazines, intranets, giveaways, presentations, and competitions, Lloyds have managed to inspire its staff effectively and have received high-value of return on the investment. This is reflected by the Lloyds TSB MD that he would have gladly spent the amount invested in the Olympics on the resulting engagement program alone.
Use your imagination
It’s very tempting for brands to invest a lot of money into an event like the Olympics and only really engage staff through a couple of newsletters and some free tickets, but there is considerable opportunity lost by keeping employees uninvolved in the sponsorship.
Firstly, choosing the right property is important. How does it fit culturally? What are the opportunities for engagement? Where can broader marketing fit in? The partnership between British Gas and British Swimming is a fantastic example of this. Although the project is very consumer focused they communicate the partnership to their employees and engage them in unique ways. By communicating to employees the aims of the project, which includes supporting future talent and enabling pools to be more sustainable, they are increasing their respect and admiration for their company and making them proud to work for the brand.
Setting objectives will help keep any employee engagement program on track and will also help with measuring results. Only once objectives are set should an innovative and creative engagement program be developed to get employees involved.
Finally, measuring results is paramount. Employee engagement is easy to measure quantitatively or qualitatively using questionnaires, surveys, performance reviews, sales figures, online feedback and focus groups. A great example here is BT’s sponsorship of the Olympics. For them employee engagement is key. Through consistent objective setting and feedback sessions, they have created unique projects, including athletes engaging with staff to help motivate and inspire them. Such benefits filter down to staff at lower levels, and make sure there is a consistent amount of productivity rather than strong spikes and dips.
Sponsorship can be used to motivate, inspire and encourage. When property is linked harmoniously to a company’s vision and communicated to staff properly, employee engagement is maximised to it’s greatest effect.
Whether it’s a B2B brand pushing to increase customer loyalty, showcase their capabilities and build stronger relationships with their clients, or a B2C brand aiming to reach a mass audience and develop connections with customers, employee engagement must play an important part in any strategy. They are the guardians of your brand – if you inspire their participation, your business cannot fail to be enriched.