Sponsorship in 2023: Themes & Trends

Creative, agile and innovative, key players delivered outstanding campaigns around the rescheduled FIFA World Cup in Qatar and the UEFA Women’s Euros in England. As normal service resumed, sport events, cultural venues, summer festivals, community activities and media outlets all benefited from renewed sponsorship investment. Nowhere was this more evident than in Premier League shirt sponsorships, worth a staggering £462.5 million this season.

So what does 2023 hold? Below, are six themes that are likely to be significant in the sponsorship sector throughout the coming year.

This girl can: 2022 was the year that women’s sport smashed through the glass ceiling, as the England soccer team triumphed at the UEFA Euros 2022. With TV and live audiences breaking records, analysts estimated that the Lionesses would increase their sponsorship value tenfold as a result. How much better might that be if the team goes on to win the Women’s FIFA World Cup later this year in Australia and New Zealand. It’s not just women’s soccer that is on a roll, either. A report from SponsorUnited estimates that sponsorship deals across women’s sport increased 20% year-over-year (YoY) in 2022. With golf and tennis players also in demand, finance brands, apparel and media were among the key categories to back women. Looking ahead into 2023, there’s no reason why this momentum should stop now.

Insert your brand here: Sponsorship veterans are used to seeing investment from sectors come and go. Tobacco, alcohol, fast food and gambling have all, to varying degrees, been impacted by regulation. Oil and gas, meanwhile, is increasingly unwelcome in this era of heightened environmental awareness. For a while, it looked like crypto might save the day – but 2022’s reversal of fortunes for the sector has dented that dream. So which sectors are in a position to take up the slack? In no particular order, sovereign states, big tech platforms and digital media brands are options (think Spotify and Barcelona). Financial trading platforms also seem to be gaining more prominence at time of writing. Also look out for traditional sectors that have a new story to tell – for example drinks companies with low alcohol variants or auto manufacturers with EVs to ship.

Reflect on the company you keep: We mentioned this issue last year, but if anything the politics of sponsorship has become an even greater consideration going into 2023. It took the sustained brilliance of Lionel Messi to finally displace the anti-Qatar narrative that dominated the first week’s coverage of the FIFA World Cup. But for sponsors, the febrile atmosphere around the event should give pause for thought when entering new partnerships. The status of oil & gas in sponsorship is a long-running debate, but what about COP 27’s divisive decision to sign up Coca-Cola as a sponsor? How should rights holders feel about plastics production – even if brands are making commitments to go green? And is there soon to be a backlash against airline sponsors? Likewise, how should brands feel about David Beckham’s lucrative association with Qatar or Cristiano Ronaldo’s new Saudi Arabia deal? Brands claim that they take issues like the environment, gender equality, sexual orientation and ethnicity seriously – so they need to make sure this is also evident in their actions and associations.

Welcome to the metaverse: NFTs and the metaverse experienced something of a reality check in 2022; but it would be unwise to assume there is no opportunity here. The world of Ready Player One may be a few decades down the line, but Liverpool recently agreed a deal with Meta for digital metaverse apparel. FIFA has launched a virtual ecosystem on Roblox and the NBA has created a virtual experience on Meta’s Horizon Worlds. Elsewhere, IMG and Epic Games struck a deal to introduce 23 football clubs into Fortnite; and ITV has been creating metaverse experiences around shows like I’m A Celebrity. Remember how esports looked like a crazy proposition a few years ago? Well now it is hooking in huge sponsorship deals. With the gaming and VR sectors continuing to push the boundaries of digital experience, expect more brands to seek out sponsorships in the metaverse.

The reinvention of sport: In hindsight, Aussie tycoon Kerry Packer’s attempt in the 1970s to transform the structure of global cricket was decades ahead of its time. The creation of the Indian Premier League, its expansion in South Africa and the launch of The Hundred in 2021 are all examples of cricket reinventing itself. The UCI and ASO have been battling over the heart and soul of cycling for years, and now something similar is happening in golf, with the emergence of the Saudi Arabia-backed LIV Sport project. In football, rumours of a European Super League rumble on, while FIFA is now committed to launching a 32-team men’s Club World Cup by 2025. For sponsors, all of this activity adds a layer of complexity to deal-making. Is it right to back incumbent models and risk being shackled to a failing concept? Conversely, is there a danger in alienating fans by becoming attached to disruptive franchises? Careful due diligence, shorter contracts and a more diversified portfolio of partnerships all make sense. 

Doubling down on community: As we said at the outset, 2023 looks set to be a tough year for families across the UK (and around the world). With many people unable to feed or heat themselves, there has never been a better time for brands to stand up and be counted in terms of their community engagement. Sponsors that are active in education, wellbeing, charity, and initiatives that promote community cohesion will undoubtedly reap rewards in terms of reputation and brand affinity. With devolution, regional development and levelling up all still live topics, sponsors should think particularly about how they might support communities outside London and its backyard. The beauty of innovative and effective CSR these days is that a good story doesn't need to stay local anymore. Millennials and Gen Z love to share positive narratives via platforms like TikTok and Instagram.

Final thought 

Three questions for sponsors and agencies to ponder in 2023

Am I ready for the age of TikTok? How do I stay relevant as young audiences shift towards shortform digital content?

How effective is my company’s use of data? Does it inform creativity and innovation within my business? Or am I one mis-step away from a meta-style GDPR disaster?

Why does everyone love Patagonia and North Face so much? How can sponsorship help my brand embed positive attributes?