Sponsorship spending on fairs, festivals and annual events is expected to total $849 million in 2013 -- up 2.9% from 2012, according to IEG Research.
Much of the activity in the category is driven by beverage companies. Anheuser-Busch InBev, PepsiCo, Inc., The Coca-Cola Co., and MillerCoors are the four most active companies sponsoring fairs, festivals and annual events in terms of number of deals, according to IEG Research.
The percent totals for the top sponosors are Anheuser-Busch InBev 31%, Pepsico Inc. 24%, Coca-Cola Co. 19%, MillerCoors LLC 18%, AT%T Inc. 13%, Wells Fargo 12%, General Motors Corp. 12%, Ford Motor Co. 12% and Toyota Motor Corp. 12%.
The 2.9% increase lags IEG’s projected 5.5% increase for the entire sponsorship industry, as well as the year-over-year increase for sports (6%), entertainment (5.1%), causes (4.8%) and other property segments.Media & publishing companies are 9.9 times more likely to sponsor fairs and festivals than the average of all sponsors.
While year-over-year spending trails other sectors, fairs and festivals continue to draw interest from corporate marketers looking to build local presence, said William Chipps, IEG Sponsorship Report senior editor.
“Fairs and festivals continue to benefit from banks, auto dealerships and other categories looking to strengthen their local positioning,” Chipps said.
Three other factors fueling interest in events include the opportunity to reach consumers during the summer, a period when many people are difficult to reach through traditional media; the continued popularity of mobile marketing programs and a platform to support corporate social responsibility initiatives.