How sponsorship return is measured?

[Superyandao]

http://www.channelnewsasia.com/stories/cor...1097555/1/.html

 

"StanChart said that on the first day the deal was announced, it already saw a return of some US$8 million - just through media coverage alone."

 

Can anyone explain how this is being measured?

 

[Darryn]

You take the coverage x the price to buy that if it were an ad.

 

For example (let's keep simple ok)

 

3 minute news clip on CNA.

 

To advertise on CNA costs $600 per 15 seconds (totally pulled from backside, but if memory serves is there somewhere)

 

So you go 12 x $600 = $7,200.

 

Then depending upon you calculation some people multiply by a factor of 3, 5 or 7 because this is editorial, which is more valuable than advertising because people believe and respect it more.

 

 

 

Same for print, lets say you get a full page coverage in Straits Times with picture, that would cost about $35,000 to buy...so that is added to the sponsorship value

[Freestylers09]

we are talking coverage for around the world

 

so advertised in such way

 

hmm just like broadcast rights is few hundred millions but use sponsorship to cover the broadcast around the world

 

worth it isnt it?