Why Do Marketing Relationships End? Findings from an Integrated Model of Sport Sponsorship Decision-Making

Journal of Sport Management, Forthcoming

53 Pages Posted: 25 May 2017

See all articles by Jonathan A. Jensen

Jonathan A. Jensen

University of North Carolina at Chapel Hill

T. Cornwell

University of Oregon - Charles H. Lundquist School of Business

Date Written: May 23, 2017

Abstract

With firms spending $60 billion on sponsorship annually, it has become an integral part of the marketing mix and is necessary for the survival of many sport organizations. Despite the importance of these partnerships, conditions that may jeopardize what can be a long-term relationship for both sides are under-researched. Utilizing survival analysis modeling to examine a longitudinal dataset of 69 global sponsorships, the purpose of this research is to isolate factors that predict the dissolution of such partnerships and test a dynamic, integrated model of sponsorship decision-making. From the perspective of the sponsoring firm, congruence and high levels of brand equity were found to reduce the hazard of dissolution. Results indicate that economic conditions, such as an inflationary economy, are a statistically significant predictor of sponsorship dissolution. Increased clutter was also detrimental, with every one sponsor added increasing the hazard of dissolution, demonstrating the importance of exclusivity in global sponsorships.

Keywords: Commercial Sponsorship, Relationship Marketing, Survival Analysis Modeling, Olympic Games, FIFA World Cup

JEL Classification: M3, M31, M37, M21, C14, C24, C25, D22, Z33

Suggested Citation

Jensen, Jonathan and Cornwell, T., Why Do Marketing Relationships End? Findings from an Integrated Model of Sport Sponsorship Decision-Making (May 23, 2017). Journal of Sport Management, Forthcoming . Available at SSRN: https://ssrn.com/abstract=2972682

Jonathan Jensen (Contact Author)

University of North Carolina at Chapel Hill ( email )

308 Woollen
Chapel Hill, NC 27599
United States

T. Cornwell

University of Oregon - Charles H. Lundquist School of Business ( email )

1208 University of Oregon
Eugene, OR 97403-1208
United States

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