Corporate college sports sponsorships in the U.S. will hit an all-time high of $515 million this year, according to independent research firm IEG.
That projection represents a 12.5 % increase over the $458 million spent on college sports sponsorships last year. The increased spending in the college sports sector would outpace the 11.7% growth the annual IEG Sponsorship Report projected for the overall sponsorship industry.
“The college-age demographic is attractive to corporations,” said William Chipps, IEG Sponsorship Report senior editor in a statement. “College athletic departments are becoming more sophisticated in how to package and sell sponsorships.”
Bundled media buys through third party aggregators such as Host Communications and CBS Collegiate Sports Properties clearly indicate the trend, according to IEG.
IEG cited the Big Ten Conference’s new TV network as an example of the increased sophistication in the college sports business.
IEG also pointed to State Farm Insurance as a prime example of growing corporate involvement in college sports. State Farm is an NCAA partner, holds title sponsorship of the Missouri Valley Conference basketball conference and sponsors sports programs of more than 75 colleges and universities.
State Farm also signed a four-year deal with ANC Sports Marketing earlier this year that gives the company signage on basket support arms in more than 40 college arenas. That mirrors Allstate Corp.’s Good Hands program through Van Wagner Sports Group that gives it signage on field goal nets at more than 55 college football fields.
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