Answer to Question #196575 in Marketing for charles

Question #196575

From a marketing standpoint, what are the advantages and disadvantages of sponsoring a branded area on a networking site, such as the Playskool Preschool Playgroup, to engage a target audience?

Expert's answer

Sponsoring a branded area on a networking site

Advantages and disadvantages of sponsoring a branded area on a networking site

Implementing the appropriate marketing strategy on a networking site, such as sponsorship, can help brand a company’s image and drive sales. There are many advantages of sponsoring is building awareness. The main benefit of sponsoring an event, a charity, or a project is that it creates awareness of a company’s image, thereby exposing the company to a different extent and a broader consumer/audience. This then provides the audience with positive cooperation. When an audience is looking to make an inquiry or a purchase on a networking site, they are more persuaded to choose your company over the competitors. Another advantage of sponsoring is that there is combined expertise. If a company decides to sponsor an event or charity on a networking site that is in line with its goals and values, sponsoring assists the company. It helps a company position itself as an expert in what they do. With the increase in the number of people using the internet and social media platforms, sponsoring a branded area on a networking site exposes the spaces to other companies nominated for the achievements. It also depicts their philosophy and dedication. The main aim is facilitating their growth, is achieved, and their message that is different from their competitors is spread and reaches a broad audience (Gwinner & Eaton, 2013).

Sponsoring a branded area on a networking tool is a perfect targeting tool. A company knowing its target audience or market is a significant part of the marketing strategy. It can lay down its ideal customers; it can be a difficult task to reach its audience. Suppose a company sponsors a branded area on a networking site which is more likely to attract its ideal audience or customers. In that case, the company’s brand is exposed to the target market. The most possible disadvantage of sponsoring a branded area on a networking site is that it may lead to controversies. It is essential to understand that the actions of any person or the company of the branded area that is sponsored will be linked to its sponsor. However, before sponsoring an organization or an event, the sponsor makes sure that they remain professional and accountable. However, one can run into some challenges sometimes. There are many instances their sponsoring partners damage a company’s brand. A company should also be keen on the sponsorship association they choose to work with for their goals and objectives to be achieved and avoid cases where their brand is damaged. Another disadvantage of sponsoring a branded area on a networking site is that there is no assurance or guarantee of returns. For all marketing strategies, not only sponsoring, there is usually no guarantee of return on investment. Therefore, a company is advised to calculate the necessary steps they intend to take for it to get what it considers a good exposure for the sponsorship support. It is also vital that the company might end up with no returns or benefits (Gwinner & Eaton, 2013).

Sponsoring is a great marketing strategy that enables a company to build its brand image and displays the company as an expert in what they do. It is a marketing strategy that can reach a broad audience and drive the company’s sales. However, a company should be careful about the sponsorship organization it chooses, and it should also take calculated steps to ensure that they benefit from the sponsorship.


Kevin P. Gwinner & John Eaton, (2013). Building Brand Image through Event Sponsorship: The Role of Image Transfer.

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