From Logos to Lasting Value: The New Era of Sports Sponsorship

Executive Summary

The sports sponsorship playbook has expanded. Where once it was a one-way focus on brand visibility, today it’s about shared value, including:

• Diversifying fan bases through partners with new and/or complementary audiences.
• Investing in community and athlete development to create enduring goodwill.
• Enhancing fan engagement through data, technology, and storytelling.
• Aligning with cultural trends that extend sport into broader entertainment ecosystems.

From Pure Revenue Plays to True Partnership

For decades, sports sponsorships followed a predictable script. Brands paid rights holders a fixed or variable sum of capital in exchange for visibility, hoping a logo on a jersey or a name on a venue would spark consumer interest. That model, once effective, is quickly becoming outdated against the backdrop of today’s sophisticated industry.

Modern sponsorships are no longer one-way transactions. They are multidimensional partnerships that help sports organizations reach new consumer audiences, elevate the fan experience, nurture athlete development, and tap into cultural relevance.

Generating revenue remains a major driver of sponsorship strategy, of course, but the most forward-thinking teams and leagues are now exploring the broader possibilities of partnership in the context of community expansion and long-term value creation.

Today’s Channel Change unpacks the wider and wiser aperture of modern sports sponsorship, spotlighting some real-world examples of this next-level thinking.

Diversifying Audiences

Few case studies illustrate the evolution of sponsorship more vividly than NASCAR , where I served as Chief Operating Officer and a Board Member from 1995-2006. For more than 30 years, NASCAR’s naming-rights deal with R.J. Reynolds’ Winston cigarette brand defined the sport. The “Winston Cup” became synonymous with NASCAR, helping the auto racing body earn ~$15 million – $40 million annually in the late 1990s and early 2000s, while television viewership grew nearly 45% during the same period. The partnership helped professionalize the sport and elevated it into a national broadcast property.

As external pressures – namely government regulation – ended the relationship, the leadership team confronted a structural challenge: NASCAR’s audience was aging, predominantly male, and increasingly saturated. To reposition for growth, we sought commercial partners with younger, more diverse consumer bases.

Today, NASCAR’s partnership portfolio reflects this pivot. It includes Ally Financial, a digital-first bank appealing to millennials and Gen Z; ŌURA , a wearable technology company with a customer base that is 50% female and largely made up of people aged 25-34; and iRacing.com , an esports simulator with a youth racing series for 13-16-year-olds.

A similar strategy is playing out within Formula 1 . As the competition’s audience expands, women now represent roughly 41% of F1’s 827 million global fans, up from ~33% in 2017 – teams and the sport’s new all-female feeder series are attracting non-traditional sponsors like beauty and wellness brands. Just last year, cosmetics brand Charlotte Tilbury Beauty became an official partner of women’s racing series F1 ACADEMY – the brand’s first ever global sports sponsorship. Charlotte Tilbury uses its platform to highlight F1 Academy’s drivers, deliver a message of empowerment, and inspire young women to pursue opportunities in motorsport.

And that’s just one example. British skincare brand ELEMIS is the Aston Martin F1 Team ’s first-ever official skincare partner. The company is not only helping the team connect with more female fans, it’s also turning Grand Prix weekends into part of its brand experience, offering spa treatments and exclusive skincare kits to VIPs and setting up a pop-up spa at the trackside hotel.

These activations go far beyond logo placement. They expand the reach of a sport’s intellectual property to new demographics, embedding sponsors into its community. At the same time, the sponsors are adding exciting new dimensions to the sport’s culture by reimagining things like the race-day experience. Brand affiliation is one thing, but the thoughtful tactics both sides use to organically engage newcomers are just as important.

Supporting Athletes Beyond Competition

Athletes are the lifeblood of any sport, yet their careers are short, and retirement can be jarring. Research shows that anxiety and depression affect former elite athletes at more than twice the rate of the general population, while over 65% experience severe financial stress or bankruptcy within a few years of retirement.

Some sponsors are stepping in to address these challenges with resources beyond capital. Insurance brokerage firm Gallagher , which has an international portfolio of partnerships spanning football, rugby, soccer, and more, has created a unique internship program for active professionals. Initially piloted with the NFL’s Atlanta Falcons , it has since expanded to the NWSL's Chicago Stars FC , offering athletes hands-on experience in sales, brokerage, and corporate operations.

For Gallagher, the program provides access to motivated talent and rich storytelling opportunities that authentically tie back to the company’s mission of providing risk management products and services that help secure people’s futures. For athletes, it offers critical preparation for life beyond competition. This dual benefit strengthens goodwill with fans while positioning Gallagher as a brand that genuinely invests in athlete welfare.

Enhancing the Fan Experience Through Technology

Perhaps the most visible shift in sponsorships in recent years is the influx of technology companies partnering with sports leagues to transform the game itself, as well as the way fans view it.

In 2021, Oracle became the official cloud and analytics partner of The Premier League , introducing real-time insights like formation tracking, momentum indicators, and live win probability. These features resonate with younger audiences accustomed to data-rich environments through video games, second screens, and betting.

Amazon Web Services (AWS) adopted a similar approach in the Bundesliga and NFL, where its Next Gen Stats contextualize everything from completion probabilities to player top speeds. Every metric doubles as a commercial for AWS’s capabilities, but in a way that enhances (rather than interrupts) the fan experience.

The most radical example comes from Formula E , where the title sponsor is woven into the race itself. ABB , the Swiss engineering group, didn’t just affiliate itself with the motorsport championship, it developed two features that have become distinct hallmarks of the series while also showcasing the power of electric vehicle technology:

• Attack Zone: a designated track area that grants drivers a temporary power boost from 300 kW to 350 kW. Because the zone sits off the racing line, drivers risk losing track position, adding a new layer of strategy and drama to every event.
• Pit Boost: an emerging feature that introduces ultra-fast charging stops, showcasing ABB’s real-world EV technology while mirroring the tactical intrigue of Formula One’s pit stops.

These innovations have helped Formula E attract younger audiences by introducing video game-style excitement. This has translated into online momentum over the last 12 months, as social media-based video views grew 13% year-over-year, social media engagements rose 12%, and followers increased 10%. ABB, meanwhile, tests its charging solutions in a high-performance environment while demonstrating leadership in the clean-energy transition.

From Exposure to Shared Value

As rights holders evaluate potential sponsorship opportunities, they are now looking for more than short-term liquidity over three to five years; they are seeking partners that can onboard newer and more diverse fans who will provide value over their entire lifetime. The question is no longer “How much will this deal pay us?” but rather, “How much value will this partnership create for our fans, our athletes, and our long-term growth?”

When done right, everyone wins: brands gain relevance, sports gain reach, and fans gain richer, more meaningful experiences.

Disclaimer: There can be no assurance that historical trends will continue. Information included herein relating to market characterization is based on Bruin Capital’s subjective determinations that it believes are reasonable, but others may disagree with such characterization. Other market participants may make different determinations based on the same underlying data. There can be no assurance that Bruin Capital will be able to source partnership opportunities, successfully implement its business strategy or that any holding will generate a return of or on capital. Our views and opinions expressed herein are current as of the date of this article and are subject to change.