How Can Sponsorships Empower Your Sportsbook Marketing Strategy?
In the past year, sportsbooks have seemingly been the hottest commodity in the sports partnership market. Currently, more than 25 of the 32 NFL teams have at least one sports betting or daily fantasy sport sponsor while almost every team in the NBA currently works alongside a sportsbook. Today, we will dive into how these kinds of partnerships can be a huge benefit to your sportsbook.
Primary Types of Sponsorships
Jersey Sponsorships
One great way to partner with a sports team is through jersey sponsorships. Having the logo of your sportsbook seen by millions of viewers depending on which team you partner with will drive an immense amount of new users to your site. In the 2022-23 season, the Washington Capitals became the first team in the big four (NFL, NBA, MLB, and NHL) to take a jersey sponsorship with a sportsbook. Since landing this sponsorship, Caesars Sportsbook has become one of the biggest players globally in the sports betting space.
Stadium Naming Rights
Stadium naming rights are a much more pricey way for a sportsbook to partner with a team, however, it will also have a much bigger impact on bringing new bettors to your platform. Out of the big four sports leagues, only two teams have partnered with sportsbooks or casinos for the naming rights to their stadiums. The Miami Dolphins play in Hard Rock Stadium and the New Orleans Saints in Caesar’s Superdome. Both Hard Rock and Ceasers are two of the biggest names in the industry. Being able to market your sportsbook on such a large scale such as stadium naming rights is a pricey but quick way to bring yourself to the forefront.
Digital Advertising
Many sportsbooks in the industry have the marketing budget to get their logo on a team’s jersey or their name attached to an entire stadium, however, a more affordable option that will still bring your sportsbook massive growth is digital advertising. A memorable online ad or television commercial can be just as effective as the two previously mentioned methods and has a much better chance of going viral than a simple jersey placement or stadium naming rights.
The Benefits for Sportsbooks
Brand Visibility
One of the biggest benefits that you gain from partnering with a sports team is brand visibility. Whether it is through your logo being on a jersey, your name on a stadium, or an ad that is affiliated with a certain team, a partnership with a team from a big four league will not only make your sportsbook appear more reputable, it will also almost guarantee you become one of the major players in the industry. Along with this, it will move mountains in growing your online presence.
Bringing in New Bettors
Going hand in hand with the benefit of your brand being much more visible, partnering with a sports team will also bring in countless new bettors to your platform. Fans of the team that you partner with will be much more likely to choose your sportsbook compared to competitors as you are aligned with their favorite team. Along with this, a partnership of this kind brings your brand to your target consumer. Data has shown that dedicated sports fans who will notice things like new logos on jerseys, new names on stadiums, or a commercial with their favorite players are also much more likely to partake in sports betting and be the ideal customers for sportsbooks.
The Benefits for Teams and Leagues
Financial Gains
The main benefit of sports entities partnering with sportsbooks is financial gain. Sponsorships and televising deals are the lifeblood of what makes these leagues so profitable. However, sportsbooks have a unique edge over other frequent sponsors of these sports teams or leagues like banks or financial institutions. While fans may not want to focus on their banking while watching a big game, what they will want to do is be even more involved in the event by placing a bet.
How These Funds Are Used
The funds teams or leagues make from these partnerships are used to pay for various expenses the team incurs throughout the season. This could be giving a star player a massive contract extension or even minor stadium renovations.
Regulatory Considerations
When partnering with an organization as massive as a sports franchise or league, it is important to keep in mind the regulatory guidelines you must operate inside of. Along with this, it is important to look into the gambling laws in a particular area that you are interested.
Example of Sponsorships Done the Right Way
Arguably the most notable and well done ad from a sportsbook to date is FanDuel’s ongoing series with Rob Gronkowski “The Kick of Destiny” . This ad allows bettors to place a free bet on if the former New England Patriots tight end would make a field goal on Super Bowl Sunday. If bettors chose correctly, they would win a free bet. Doing a promotion like this on arguably the biggest sporting stage of the year with a well known legend makes this such a well done partnership. While FanDuel does not have stadium naming rights like some of its competitors, innovative ads like this keep them at the forefront of the industry.
Another example is a star-studded commercial for BetMGM that featured Tom Brady and Wayne Gretzky.
Having arguably the biggest name in NFL and NHL history endorsing your sportsbook will undoubtedly get countless eyes on your platform and bring an immense amount of new customers to your sportsbook.
The Future of Sponsorships
As sports betting continues to become more legal and grow as an industry across the world, partnerships between sportsbooks and sports entities will continue to grow. This is still a very young industry, relatively speaking and as it keeps becoming more ingrained in sports culture, sportsbooks will continue to capitalize on these strategic partnerships.
Partner with LSports
Ready to take your sportsbook to new heights and unlock the vast opportunities of the digital landscape? LSports is your go-to partner.
Let’s discuss how our innovative sports betting data solutions can propel your business forward. Together, we can build something that stands out and leads to success.