Your Value Proposition Sucks!

Hold up! Before we get into this, don't take all of this personally 🤬 We've all made this mistake... and it's not even our fault. No one taught us otherwise, so what were we supposed to do?

Once you learn this mistake, you'll probably be kicking yourself thinking about all the opportunities lost... BUT we live and we learn. So don't stress, today's a new day and there are an unlimited amount of businesses out there just waiting for you to approach them without doing this silly thing 😋

Grande Mistake

The biggest mistake that's destroying your chances of landing sponsorship is that you're not offering enough value compared to the amount of money you're asking for (read this until you understand it).

There is a disconnect.

Imagine you walked into a store to buy a bottle of water and when you went to pay for it, the store clerk says, "Just the water? That will be $1,000". You'd leave the water on the counter and never return to that store because they tried to rip you off. The value of the water is not worth $1,000 in this case.

This is what we're doing when asking for sponsorship. We're providing very little value (like the bottle of water) and asking for a lot of sponsorship. So it's no wonder they say no. Can you blame them?

Because we know that we're offering very little value to businesses (we don't actually know what to offer them), we become desperate. Almost like a beggar hoping that someone will take pity on us.

This is a weak play that's going to make businesses run in the opposite direction, just like we do at shopping centres when direct salespeople try to stop us to sell charity, gym memberships or those weird wire head-scratchers things.

As a motorsport athlete, it's time to STOP going hat-in-hand to businesses and asking them to spare some change for your racing career.

Instead, we need to provide their business with so much value that sponsoring us becomes an opportunity that they don't want to miss out on.

This Is Where You're Dropping The Ball

❌ You Think Your Proposal Is About You

❌ You Don't Really Care About The Sponsor's Business

❌ You Care More About Your Racing

❌ You Don't Offer The Sponsor Genuine Value

❌ You Don't Understand The Businesses Needs

Ultimately, we are more concerned about our needs and wants instead of the sponsor's needs and wants.

Kind of like a used car salesman who's only thinking about the commission they'll make on selling you a car, and not interested in your needs and wants. We naturally tend to avoid these types of people because they have their best interests in mind and don't really care about us.

We need to flip that on its head and care more about the sponsor than ourselves because without the sponsorship, there is no racing.

"Your Number 1 Job Is To Provide Businesses With As Much Value As You Possibly Can.

The More Value You Give Them, The More Sponsorship You Can Ask For.

It's As Simple As That."

It all starts with you giving first ✅

Business 101

To provide value to businesses, we need to get a better understanding of what businesses want. Businesses are there to make money and they want to make more money every year- that means that their business is growing.

💰| Value Proposition

• How fair is the exchange that we are making with the business?
• If we get more out of the sponsorship deal than the business does, then the value proposition is good for us and bad for the business. Visa versa.
• We should aim for a value proposition where both the sponsor and the athlete get the same amount of value from the deal. A win-win situation.
• If we want to keep our sponsor happy though, we should provide them just a bit more value than we are getting.

💰| Liability

• A business expense. The business is giving us sponsorship money but not getting much value in return.
• Businesses are always looking for ways to reduce expenses so that they can make more money.
• We do not want the sponsor to think of us as an expense to their business.

💰| Asset

• An investment where businesses make more money compared to what they spend.
• When we provide more value back to the sponsor compared to what they sponsor us, then we become an asset to their business.
• We always want the sponsor to think of us as an asset.

💰| Return On Investment (ROI)

• The difference between what the business spends and what they get back.
• If they sponsor us $10,000 and we provide them with $11,000 in value, then the ROI is:

11,000 - 10,000 = 1,000

1,000/ 10,000 = 0.1

0.1 x 100 = 10% ROI

• They received 10% more value compared to what they sponsored us.

Ways To Provide More Value To Businesses

💸| Drive Sales For Your Sponsor

• Use a % of the sponsorship money they give you to run ads directing people to your sponsor's website, where they can purchase your sponsor's product/service

💸| Guarantee Massive Brand Exposure

• Use a % of the sponsorship money they give you to run ads promoting your sponsors business to thousands of people

💸| Generate Leads For Your Sponsor

• Use a % of the sponsorship money they give you to run ads where you collect people's information that is interested in your sponsor's product/service