SEM II-2.01Negotiate Sport/Event Contract

Goal of Sport/Event Contract Negotiations

Ultimate goal is gain the sponsorship contract!

Build Trust with the sponsor Make sure both parties are “winners”

Ground Rules for Effective Negotiations

Do your homework• Know your alternatives or BATNA (best

alternative to a negotiated agreement) in case the deal does not happen.

• Know your counterpart• Know the Standards

Double and Triple Think-anticipate what the other party wants (double) and anticipate what the other party thinks you want (triple).

Ground Rules -Con’t.

External listening-actually listen to the other party.

Make an aggressive first offer.› Present multiple, equivalent, simultaneous

offers.› But NO more than 3 offers at once!

Negotiation Fear

Move beyond “positions”› Not be intimidated or intimidating› Own you Power-”position power” never

assume because someone has titled position that he/she is the “all power”

Factors to Research before Negotiating

Always know the BATNA, in case you aren’t successful.

Trademarks Merchandising Company status Terms of contracts Past sponsorships

Items to be Included in Negotiations

Fee and Payment Schedules Exclusivity Lead time Reach Brand Positioning On-site sales Signage Product Placement Ticket Discounts or Premium Tickets Etc.