Blockchain companies investing in sports sponsorship is projected to reach US$5 billion by 2026. Cryptocurrency, blockchain and NFT sports sponsorship investment is projected to increase by a massive 778 per cent compared to 2021. The next highest increase in sports sponsorship is 44 per cent for IT software and hardware. Retail, automotive, and energy sponsorship investment is expected to rise by seven per cent, five per cent, and four per cent, respectively.
Last year, the number of people in the world investing in crypto doubled to 100 million. Now, it’s estimated to be more than 220 million and many analysts expect that to double again next year.
It is an attractive space for rights holders as they look to shore up commercial programs to help recover from pandemic-driven losses in a category that barely existed a few years ago.
Of course, while awareness of blockchain companies is growing, sponsors are also focused on converting. That needs to be a key understanding for any rights holder looking to pitch a blockchain company.
However, while the space is overflowing with opportunity and possibility, rights holders do need to tread carefully. It is vitally important that they are not seduced and blinded by the money on offer at the expense of due diligence and properly vetting potential partners.
Eddie Fitzgibbon, Principal Consultant at Sports Rights Tech joins us to help understand and navigate the space. SRT is a specialist advisory business focusing on the intersection of technology, intellectual property and rights in sport and entertainment.
SRT have a unique understanding of the Web 3 and NFT space for sports and entertainment. Through their Web 3 and NFT Advisory Services, SRT are able to support rights holders and brands through a number of potential projects & use cases in this ever-evolving commercial opportunity.
Inside Sponsorship is the show that provides sponsorship professionals with advice, insights and news so that they can maximise their commercial programs and achieve best practice.
Content Grasshopper is a boutique marketing consultancy where I help clients, of all sizes, develop marketing that focuses on a ‘marketing through teaching’ approach to engage their target audience, demonstrate expertise, and build trust as a pathway to conversion or action.