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Journal of Business Research 67 (2014) 1018–1025

Contents lists available at ScienceDirect

Journal of Business Research

Sponsorship effects on brand image: The role of exposure and


activity involvement☆
Reinhard Grohs a,⁎, Heribert Reisinger b
a
University of Innsbruck, Austria
b
University of Vienna, Marketing Department, Oskar-Morgenstern-Platz 1, A-1090 Vienna, Austria

a r t i c l e i n f o a b s t r a c t

Article history: Sponsorships capture a significant proportion of marketing budgets. In firm evaluations of the effectiveness of
Received 16 November 2010 sponsorship engagements, image improvements represent the most important company objective. This study
Received in revised form 11 August 2011 develops and tests a framework for explaining how exposure and activity involvement moderate the effects of
Accepted 14 October 2011
event image, event–sponsor fit, and event commercialization on sponsor image. Using empirical data collected
Available online 22 August 2013
at a large sporting event with multiple sponsors, the authors show that increased sponsorship exposure reduces
Keywords:
sponsor image if respondents perceive a low fit between the event and sponsor or high levels of event commer-
Sponsorship cialization. Involvement in the sponsored activity improves the sponsor's image, in that the effect of event com-
Sponsorship effectiveness mercialization is positive for highly involved persons. This paper concludes with some reasons for the findings,
Sponsor image formation implications for the choice and design of sponsorships, and further areas for research.
Sports © 2013 Elsevier Inc. All rights reserved.

1. Introduction commercialization is less clear. Lee, Sandler, and Shani (1997) sug-
gest that increased commercialization might harm sponsor image,
The humble beginnings of sponsorship as a marketing communica- but McDaniel and Mason (1999) cannot find empirical evidence of
tion tool in the 1970s led to a period of rapid growth in the 1980s and this proposition. Confusion also remains about the role of two im-
throughout the 1990s (e.g., Meenaghan, 2001). Increased sponsorship portant components of consumer responses to sponsorship; expo-
activities and expenditures paralleled a deepened understanding of sure to the sponsorship and involvement in the sponsored activity.
what sponsorships could and could not achieve. This growing body of This study aims to clarify the (moderating) role of sponsorship expo-
knowledge fostered a shift in sponsorship objectives; modern sponsor- sure and activity involvement in the sponsor image formation process.
ships are particularly successful in changing or strengthening con- No prior research investigates the moderated relationships of event
sumers' perceptions and brand images, because of their credibility image, event–sponsor fit, event commercialization, sponsorship expo-
(Balasubramanian, 1994), ability to create goodwill toward the sponsor sure, and activity involvement, and this study thereby contributes to a
(Crimmins & Horn, 1996; McDonald, 1991), and avoidance of blatantly richer understanding of the mechanisms underlying sponsor image for-
obvious commercial intentions (Quester & Thompson, 2001). When mation. The following sections provide a theoretical rationale for the
companies support specific activities, the image of the sponsored framework, describe the hypotheses, and then detail the empirical test
event can transfer to the sponsor and benefit the image of that spon- of these hypotheses in relation to a large sponsored sporting event,
soring company (Gwinner, 1997; IEG, 2003). Consequently, managers with many different sponsors and respondents with varying levels of
rank the promotion of corporate and brand image as their most im- sponsorship exposure and activity involvement. From a theoretical per-
portant sponsorship goals (e.g., Schnittka, 2011; Tomczak, Mühlmeier, spective, developing and testing a framework of sponsor image, drivers,
Brexendorf, & Jenewein, 2008). and moderators enhances understanding of conditions in which spon-
Existing research confirms that sponsor image is a function of the sor image improvement is likely. Companies can benefit from the find-
image of the sponsored activity and the fit between the event and ings that provide suggestions about how to conceptualize and execute
the sponsor (e.g., Gwinner & Eaton, 1999), though the role of event sponsorship programs to improve firm images effectively.

☆ The authors thank two anonymous reviewers and the editor of this special issue 2. Sponsorship research: literature review and hypotheses
for helpful comments and suggestions. This research received funding from the
Jubilaeumsfonds grant no. 8568, Austrian National Bank (Oesterreichische Nationalbank). 2.1. Brand image
⁎ Corresponding author at: University of Innsbruck, Brand Research Laboratory and
Department of Strategic Management, Marketing and Tourism, Universitaetsstrasse 15,
A-6020 Innsbruck, Austria. Tel./fax: +43 512 507 7210, +43 512 507 2842.
According to Aaker (1992, pp. 109–110), brand image is “a set of
E-mail addresses: reinhard.grohs@uibk.ac.at (R. Grohs), heribert.reisinger@univie.ac.at associations, usually organized in some meaningful way.” Associations
(H. Reisinger). constitute pieces of information consumers hold about a particular

0148-2963/$ – see front matter © 2013 Elsevier Inc. All rights reserved.
http://dx.doi.org/10.1016/j.jbusres.2013.08.008
R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025 1019

brand, which comprise product-related or non-product-related attri- 2.2.2. Event–sponsor fit


butes; functional, experiential, or symbolic benefits; and overall brand The fit between a sponsored activity and a sponsor depends on con-
attitudes (Keller, 1993). Some brands position themselves as corporate sumer perceptions and consists of functional and image dimensions
social responsibility brands (Du, Bhattacharya, & Sen, 2007), that is, they (Gwinner, 1997). Functional fit is high if a sponsor's product might be
focus on social benefit associations. used at the event (e.g., a tire manufacturer sponsors a car race). Image
Sponsorships aim to improve brand image on these dimensions. fit is high if attributes associated with the event overlap with attributes
Socio-sponsorship, or the sponsorship of charitable organizations and associated with the sponsor (e.g., a prestigious car manufacturer spon-
causes, is particularly useful for changing social benefit associations sors a high-class golf tournament).
and overall brand attitudes (e.g., Dean, 2002; Simmons & Becker-Olsen, Most research suggests a positive relation between perceived event–
2006). Professional sports sponsorships instead primarily strengthen sponsor fit and perceived sponsor image (Gwinner, 1997; Meenaghan,
brand image by providing links to specific brand benefits and attributes 2001), according to the product match-up hypothesis from advertising
(e.g., Grohs, Wagner, & Vsetecka, 2004; Gwinner & Eaton, 1999). Sport research. This hypothesis states that prominent product endorsers are
events communicate a desired brand personality to the target market more effective if their image matches the product's image (Gwinner &
of the event, through the emotions and feelings that the event evokes Eaton, 1999; Ohanian, 1991). Stimulus relatedness also exerts positive
(i.e., user and usage imagery; Keller, 1993), as well as convey benefits, effects on consumer evaluations of an advertised product (Lynch &
such as prestige and status, that are inherent to certain types of sport Schuler, 1994). For example, Till and Busler (2000) report a positive
events (symbolic benefits; Keller, 1993). Brand image improvement influence of a perceived fit between a celebrity spokesperson and a
through sponsorship depends on influential factors related to the spon- product on consumer attitudes toward the endorsed brand. For spon-
sored activity, the sponsor, and the individual consumer. Fig. 1 depicts sorships, the match-up hypothesis implies that the degree of perceived
the effects of event image (a factor related to the sponsored activity), similarity between the sponsor and sponsored event exerts a positive
event–sponsor fit (related to the sponsor), event commercialization influence on consumer responses (Gwinner, 1997; Gwinner & Eaton,
(related to the sponsored activity), as well as sponsorship exposure 1999; McDaniel, 1999). In addition, d'Astous and Bitz (1995), Gwinner
and activity involvement (both related to the individual consumer) on and Eaton (1999), and Simmons and Becker-Olsen (2006) show empir-
sponsor image. ically that sponsor image improves when recipients perceive a high
event–sponsor fit. Therefore,
2.2. Drivers of sponsor image
H2. Event–sponsor fit positively affects perceptions of sponsor image.
2.2.1. Event image
Similar to brands, sporting events and art exhibitions share specific 2.2.3. Event commercialization
associations and characteristics. In line with Keller's (1993) definition Event commercialization refers to the sponsor-initiated commercial
of brand image, an event image includes the perceptions of an event, activity surrounding special events (Lee et al., 1997), including the
as reflected by the event's associations held in consumers' memory. communication activity of all sponsors in relation to the sponsored
Two theories are predominantly used to explain how event image event. Attitudes toward event commercialization reflect consumer
influences sponsor image: classical conditioning theory and the mean- reactions to these activities (Lee et al., 1997). Growing concerns sug-
ing transfer model (e.g., Cornwell, Weeks, & Roy, 2005). Using classical gest that well-known events are losing their identity by becoming
conditioning research in advertising, Speed and Thompson (2000) over-commercialized (e.g., Lee et al., 1997; Murphy, 2007), which
suggest that pairing a sponsor (conditioned stimulus) with an event may cause spectators and consumers to develop negative attributions of
(unconditioned stimulus) results in event associations becoming at- sponsorships (Dean, 2002). Rifon, Choi, Trimble, and Li (2004) find that
tached to the brand in the consumer's memory. The meaning transfer an attribution of self-serving company motives (e.g., enhancing company
model (McCracken, 1989) implies that cultural meanings move to a profits or reputation) is related to consumer perceptions of corporate
brand that is linked to a widely accepted symbol with a particular mean- exploitation. Although no detailed analysis describes the relationship of
ing. In a sponsorship context, meaning transfers to the sponsor by a link event commercialization, corporate sponsorship exploitation, ascribed
of the brand to the sponsored event (Gwinner, 1997), through their si- company motives, and attitudes toward sponsors, several authors posit
multaneous presentation. Several empirical studies also support the that increased event commercialization harms the overall consumer
image transfer concept in a sponsorship context (e.g., Otker & Hayes, experience and triggers negative attitudes toward the sponsor (Dean,
1987; Stipp & Schiavone, 1996). Therefore, 2002; Lee et al., 1997; Rifon et al., 2004). Of the few empirical assessments
of the effects of event commercialization (e.g., Cornwell et al., 2005),
H1. Perceptions of the event image positively affect perceptions of the McDaniel and Mason (1999) find no direct effect on sponsor image. In
sponsor image. line with attribution theory though, the present study maintains:

H3. Event commercialization negatively affects perceptions of sponsor


image.
Sponsorship
Exposure 2.3. Moderator analysis
Event Image H1 + H4 +/0 H5 _ H6 _ 2.3.1. Sponsorship exposure
Sponsorship exposure refers to the amount of time spectators re-
H2 + Sponsor ceive exposure to a sponsor message (Sandler & Shani, 1989). Exposure
Event-sponsor Fit
Image might occur directly during the sponsored event or in the mass media
H3 _
after the event. In line with classical conditioning theory, which posits
Event H7 _ H8 + that more pairings increases the strength of the association between
Commercialization an unconditioned and conditioned stimulus (Pavlov, 1927), the impact
Activity of event image on sponsor image should be greater at higher levels
Involvement of sponsorship exposure. The meaning transfer model remains silent
about specific effects of exposure (McCracken, 1989). In a conceptual ar-
Fig. 1. Proposed model of sponsor image formation. ticle, Gwinner (1997) discusses potential moderators of the meaning
1020 R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025

transfer process in sponsorship but indicates no effect of level of expo- relevance of the activity (Lardinoit & Derbaix, 2001; Zaichkowsky, 1985).
sure during a single event. The next propositions therefore involve com- Activity involvement can be conceptualized as interest in the event
peting hypotheses, both of which are plausible (Armstrong, Brodie, & (Lardinoit & Derbaix, 2001) or in the underlying activity, such as sports
Parsons, 2001). Competing hypotheses can be useful (e.g., Sawyer & (see Lascu, Giese, Toolan, Guehring, & Mercer, 1995). Higher levels of ac-
Peter, 1983), particularly if prior knowledge implies two or more rea- tivity involvement increase awareness of event sponsors and knowledge
sonable explanations. of the event–sponsor link (Grohs et al., 2004; Johar, Pham, & Wakefield,
2006).
H4. Sponsorship exposure positively moderates the relationship be- The elaboration likelihood framework provides a rationale for a
tween event image and sponsor image, such that the impact of event moderating effect of activity involvement on the relationship between
image perceptions on sponsor image perceptions is more positive at event–sponsor fit and sponsor image. Higher activity involvement in-
higher levels of sponsorship exposure. creases elaboration on the content of the event and processing of related
activities, such as the sponsorship (Petty & Cacioppo, 1986). If preexisting
H4competing. Sponsorship exposure does not moderate the relationship attitudes are congruent with the sponsorship, the person unthinkingly
between event image and sponsor image, such that the impact of event accepts the sponsorship information (Priester & Petty, 2003); if not, the
image perceptions on sponsor image perceptions is independent of the greater processing by highly involved spectators likely leads individuals
level of sponsorship exposure. to scrutinize sponsorship information and reflect on their preexisting at-
titudes, such as, for example, a negative perceived fit between the event
The elaboration likelihood framework provides theoretical reason- and sponsor (e.g., Priester & Petty, 1995). This kind of pre-existing knowl-
ing for a moderating effect of sponsorship exposure on the impact of edge then reduces the credibility of the sponsorship or acceptance of
event–sponsor fit on sponsor image. High exposure increases the likeli- sponsorship information (Priester & Petty, 2003). Consequently, higher
hood of central information processing (Petty & Cacioppo, 1986). Brief activity involvement should have a negative influence on the effect of
exposures do not prompt spectators to elaborate on the content of the event–sponsor fit on sponsor image:
sponsorship message, because the message is not a focal point of atten-
tion. However, consistent exposures may cause a person to form new H7. Activity involvement negatively moderates the relationship be-
memory associations and relate that new information to existing atti- tween event–sponsor fit and sponsor image, such that the impact of fit
tudes, knowledge, and feelings. In the process, the person likely rehearses on sponsor image perceptions is less positive at higher levels of activity
cognitive content beyond the persuasive message (Greenwald, 1968). If involvement.
preexisting attitudes are congruent with the sponsorship, the observer
should forgo effortful message scrutiny; otherwise, preexisting ar- The concept of goodwill suggests a positive influence of activity in-
guments may be more persuasive than memory associations, such volvement on the relationship between event commercialization and
that a spectator might question the substance of a persuasive message sponsor image. When people appreciate the benefits of sponsorship
(Priester & Petty, 1995). Priester and Petty (2003) show that informa- for activities with which they are highly involved, they feel grateful to
tion from an untrustworthy endorser prompts thoughtful elaboration, sponsors and show more goodwill toward the company (Meenaghan,
whereas information from trustworthy endorsers often gets unthink- 2001). If a sponsor appears to be exploiting the event though, these in-
ingly accepted. volved persons likely reject the company. According to Dees, Bennett,
In sponsorships, more exposure increases the likelihood of reflecting and Villegas (2008, p. 82) highly involved people are “extremely sensi-
on preexisting attitudes (e.g., perceived fit between event and sponsor) tive to the behavior of corporate sponsors with respect to the treatment
and elaborating on the message content if the message is not intuitively of their preferred activity, and they will react positively or negatively
credible. If these attitudes appear inconsistent with the sponsorship according to this behavior.” Empirically, Dees et al. find a significant pos-
message, the recipient rejects the sponsorship (given that preexisting itive correlation between involvement and goodwill and hence find on
attitudes toward the sponsor are reasonably stable). The influence of average a positive relation between the two constructs. Thus activity in-
event–sponsor fit on sponsor image thus depends negatively on addi- volvement should moderate the relationship between event commer-
tional exposure: cialization and sponsor image positively:

H5. Sponsorship exposure negatively moderates the relationship be- H8. Activity involvement positively moderates the relationship be-
tween event–sponsor fit and sponsor image, such that the impact of tween event commercialization and sponsor image, such that the im-
fit on sponsor image perceptions is less positive at higher levels of spon- pact of event commercialization on sponsor image perceptions is less
sorship exposure. negative at higher levels of activity involvement.

A similar theoretical rationale supports a moderating effect of spon-


sorship exposure on the relationship between event commercialization 3. Method
and perceptions of sponsor image. Exposure increases the likelihood of
elaboration (Petty & Cacioppo, 1986); by reflecting on event commer- 3.1. Event and sponsors
cialization and the potential exploitation of the event by the sponsor,
the spectator develops skepticism about the sponsorship. Therefore, For the empirical test of the hypotheses, the focal event was the
the influence of event commercialization on sponsor image is affected Beach Volleyball World Tour in Klagenfurt, Austria. This study focuses
negatively by additional exposure: on sports sponsorships, because more than two-thirds of all sponsor-
ship money goes to sports (Crompton, 2004; Meenaghan, 1998). The in-
H6. Sponsorship exposure negatively moderates the relationship be- ternational, large-scale event also supports comparisons of different
tween event commercialization and sponsor image, such that the impact sponsors, all of which receive standardized sponsorship packages. This
of commercialization on sponsor image perceptions is more negative at event lasted for several days and therefore exposed different spectators
higher levels of sponsorship exposure. to different amounts of sponsorship. The four main sponsors analyzed
for this study were Seat in the automobile industry, Nokia as a mobile
2.3.2. Activity involvement phone brand, Red Bull energy drinks, and Zipfer beer. The commercial
Activity involvement is genuine enthusiasm caused by a strong and activities of these sponsors included banners at the volleyball courts
solid interest in a specific activity that results from the perceived personal and the event location; company stalls that promoted products, held
R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025 1021

lotteries, and engaged in other communication activities; and sponsor- involvement, and perceived event commercialization, as well as their
ship information listed on the event and sponsor websites. perceptions of the fit between the event and sponsors and sponsor
images for the four sponsors. Before the fit and sponsor image items, re-
3.2. Measures spondents learned that the four companies were sponsors. The sample
comprises 214–218 respondents per sponsor; eliminating cases with
Event image and sponsor image for each sponsor needed to be missing values resulted in 180–185 usable responses per sponsor (over-
operationalized to assess the magnitude of image transfer. Developing all, 729 responses).
image scales for sponsored activities and sponsors is cumbersome; In addition, 240 other people, per sponsor, received a short, fictitious
Hansen and Scotwin (1995) therefore argue for individual image scales press release about the Beach Volleyball World Tour, summarizing the
for each sponsor, depending on the sponsored activity and industry event and mentioning the four sponsors, three months after the event.
type. Using established image scales (e.g., Aaker, 1997, brand personal- These respondents, selected by means of convenience sampling, had
ity; Malhotra, 1981, product concepts) may distort the findings, because similar demographic characteristics to those of the spectators at the
image transfer takes place only in the image dimensions that the spon- event (42% men, mean age = 25.7 years). In personal interviews, they
sored event represents. The Beach Volleyball World Tour, for example, responded to the same questions and indicated whether they had seen
probably can improve a sponsor's image in terms of perceived youthful- reports about the event on television (yes/no). Respondents also noted
ness (an item from Malhotra, 1981) or excitement (Aaker, 1997), but overall attitudes toward sponsor brands on a three-item, seven-point se-
not enhance perceived stability (Malhotra, 1981) or sincerity (Aaker, mantic differential scale (“bad/good,” “negative/positive,” “unfavorable/
1997). Furthermore, image transfer depends on the product category. favorable”; Simmons & Becker-Olsen, 2006). These answers validated
Beach volleyball tends to be associated with speed, so this image dimen- the sponsor image dimensions in a MIMIC model. After eliminating
sion might transfer to a car manufacturer sponsor, whereas the dimen- respondents who failed to complete the questionnaire, the sample
sion would not be applicable to a beer brand sponsor. Hence, measuring consisted of 234–236 responses for each sponsor (overall, 939 responses).
the sponsor image individually for each sponsor with distinctive image
items is necessary. Finally, the event image for each sponsor needs to be 3.4. Measure validation
measured with corresponding image items for the sponsor, to ensure
correct assessments of the image transfer from the event to the sponsor. The data from the respondents questioned after the event indicates
This study therefore uses a separate image scale for each sponsor and a the validity of the image dimensions. A MIMIC model was estimated
corresponding scale to operationalize the event image. with LISREL 8.51 for each sponsor with the respective image dimensions
To construct image scales, McDonald (1991) suggests a qualitative as direct causes of overall attitude toward the sponsor and the three over-
pretest to elicit the relevant image items, whereas Speed and Thompson all attitude items as reflective indicators of the construct (e.g., Jöreskog &
(2000) propose starting from established scales (Aaker, 1997; Malhotra, Goldberger, 1975). The next step eliminated any non-significant image
1981) and selecting the items that suit the purpose of the study. The dimensions in an iterative process, starting with the one with the lowest
present research combined both approaches. For each sponsor, the t-values (e.g., Diamantopoulos & Winklhofer, 2001). The revised models
authors generated image items using the repertory grid method with showed an acceptable fit for all four sponsors, and the variance explained
a sample of eight respondents who had some affinity for sports events (R2) in the latent attitude toward the sponsor construct was at least 43%.
and the sponsor brands (e.g., Embacher & Buttle, 1989; Marsden & The fit indices, variance explained, and retained image dimensions are in
Littler, 2000). These items were supplemented with items from previous Appendix A.
image scales (Aaker, 1997; Gwinner & Eaton, 1999; Malhotra, 1981). One The authors assessed the reliability and validity of the reflective
of the authors and a professional sports event organizer selected the final multi-item scales for event–sponsor fit for each sponsor, event com-
set of items by agreement, in line with the objectives of the sponsoring mercialization and activity involvement. Confirmatory factor analyses
companies. Respondents rated sponsor image for all four sponsors, and showed composite reliabilities equal or greater than .87, and average
also indicated how these items related to the sponsored event, on variance extracted estimates of at least .57 for all scales and sponsors,
seven-point semantic differential scales. Appendix A provides the indicating good psychometric properties (Bagozzi & Yi, 1988; see
image items for each sponsor. Appendix B). Evidence of discriminant validity exists, because the aver-
The measure of event–sponsor fit relies on a five-item, seven-point age variance extracted estimates are greater than all squared correlation
rating scale from Speed and Thompson (2000). Perceived event com- estimates between constructs (Fornell & Larcker, 1981; cf., Appendix B
mercialization was assessed with a five-item, seven-point rating scale and Table 1: the smallest AVE estimate 0.57 is greater than the largest
based on work by Lee et al. (1997). To measure sponsorship exposure, squared correlation coefficient between constructs 0.542 = 0.29).
items asked respondents how many days they had spent at the Beach
Volleyball World Tour event. For activity involvement, respondents pro- 3.5. Model estimation
vided self-assessments of their involvement with beach volleyball on a
modified, five-item, seven-point rating scale (adapted from Laurent & The tests of the proposed hypotheses used moderated regression
Kapferer, 1985; Zaichkowsky, 1985). The questionnaire items for these analysis (e.g., Du et al., 2007; Homburg & Fürst, 2005). Data from
four constructs appear in Appendix B.

3.3. Data collection Table 1


Descriptive statistics and correlation matrix.a

The interviews either took place directly at the event or afterwards. Mean EI ESFIT ECOM SEXPO AINV
In the latter case, respondents received information about the Beach Sponsor image (SI) 4.7 0.21⁎ 0.54⁎ 0.01 0.07⁎ 0.26⁎
Volleyball World Tour to refresh their memory and indicated whether Event image (EI) 5.8 0.12⁎ −0.18⁎ 0.16⁎ 0.41⁎
(and how) they had seen the event. For the former, the data were collect- Event–sponsor fit (ESFIT) 4.1 0.04 0.14⁎ 0.28⁎
Event commercialization 3.6 −0.04 −0.04
ed through personal interviews held on all five days of the tournament,
(ECOM)
at different times of day, and in different locations within the event Sponsorship exposure (SEXPO) 1.5 0.40⁎
arena. The event organizer confirmed that the sample demographics Activity involvement (AINV) 3.8
represented the spectator distribution reasonably well (57% men, mean a
All variables were measured on seven-point rating scales except for sponsorship expo-
age = 25.1 years). Respondents first assessed the length of their stay sure (measured in days); N = 1668.
(in days) at the event thus far, their image of the event, activity ⁎ Correlation is significant at the .01 level.
1022 R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025

respondents questioned during and after the event were used simulta- 4. Results
neously for hypotheses testing. The sponsor image for sponsor i rated by
respondent j (SIij) was a function of the event image as rated by respon- The descriptive results indicate very positive event image evalua-
dent j (EIj), event–sponsor fit of sponsor i rated by respondent j (ESFITij), tions, and sponsor image evaluations higher than the scale midpoint
and perceived event commercialization as rated by respondent j (ECOMj). (Table 1). An ANOVA with the type of study and each sponsor as inde-
The moderators were sponsorship exposure rated by respondent j pendent variables shows that sponsor image is significantly better in
(SEXPOj), activity involvement rated by respondent j (AINVj), and an in- the live condition (F = 96.15, p b .01) and significantly different across
dicator variable (STUDY) representing the exposure condition (data col- sponsors (F = 89.20, p b .01). No significant interactions emerge be-
lection during vs. after the event). The test of the hypothesized tween sponsor and condition (F = .64, p = .59).
relationships then used the following regression model (the multiplica- Table 2 contains the OLS regression results. The model fits the data
tive formulation accounts for the moderating effects; cf., Baron & Kenny, well (F = 71.50, p b .01) and explains 42% of the variance in sponsor
1986): image. Event image has a significant positive effect on sponsor image
(standardized β1 = .15, p b .01), in support of the image transfer concept
in H1. Event–sponsor fit is the most important driver of sponsor image
SI ij ¼ β0 þ β1  EI j
overall, with a significant positive effect on sponsor image (standardized
þβ2  ESFIT ij
β2 = .52, p b .01). That is, sponsors with higher perceived fit with the
þβ3  ECOM j
þβ4  EI j  SEXPO j event have a better sponsor image, in support of H2. The impact of
þβ5  ESFIT ij  SEXPO j event commercialization on sponsor image is not significant though,
þβ6  ECOM j  SEXPO j in contrast with H3.
þβ7  ESFIT ij  AINV j The interactions between event image and sponsorship exposure are
þβ8  ECOM j  AINV j not significant, in support of the alternate hypothesis, H4competing. The
þγ 1  SEXPO j þ γ 2  AINV j þ γ3  STUDY interaction of exposure and reversed event–sponsor fit has a significant
þγ 4  EI j  STUDY þ γ5  ESFIT ij  STUDY þ γ6  ECOM j  STUDY negative effect on sponsor image (standardized β5 = −.08, p b .01).
XI−1
Therefore, when event–sponsor fit is low, increased sponsorship expo-
þ δi  SDi þ εij ;
sure reduces perceived sponsor image, in support of H5. The interaction
i¼1
between sponsorship exposure and event commercialization has a sig-
nificant negative impact on perceived sponsor image (standardized
where STUDY = 1 if the data collection took place after the event and 0 β6 = −.05, p = .04), in line with H6, such that event commercializa-
if the data collection took place at the event. To separate main from tion has a more negative impact on sponsor image evaluations if spon-
interaction effects, the model includes the (non-hypothesized) direct sorship exposure is high. Contrary to H7, the interaction between
effects of sponsorship exposure and activity involvement on sponsor activity involvement and reversed event–sponsor fit is not significant,
image (Du et al., 2007). The main effect of the indicator variable but as predicted in H8, event commercialization has a more positive ef-
STUDY captures possible absolute differences in sponsor image between fect on sponsor image if activity involvement is high. The results show a
respondents interviewed directly at the event or after the event. The in- significant positive parameter estimate for the interaction between per-
teractions of the indicator variable STUDY and the three drivers event ceived event commercialization and activity involvement (standardized
image, event–sponsor fit and event commercialization control for moder- β8 = .06, p = .02). Furthermore, sponsorship exposure has a significant
ating effects of the exposure condition on the relationship between these negative direct impact on sponsor image (standardized γ1 = −.08,
factors and sponsor image. The dummy variables SDi, i = 1, …, I − 1 ac- p b .01); activity involvement has no significant direct impact.
count for potential differences across sponsors i = 1, …, I, such as those Significant differences in absolute sponsor image means depend on
due to dissimilar sponsor images before the event, the idiosyncratic the type of data collection (during vs. after the event; standardized
operationalization of sponsor images, external shocks, or other marketing
activities undertaken by sponsors during the event. Finally, εij is the error
term. Table 2
Moderated regression resultsa (dependent variable: sponsor image SI).
This model formulation assumes fixed effects of all explanatory var-
iables but shifting intercepts for the different data collection intervals Hypothesis Effect Parameter Standardized coefficient Significance
(γ3) and sponsors (δi). Therefore, the model calibration step pools the Constant β0 – p = 0.04
information over all sponsors. Because of the potential occurrence of dif-
H1 EI β1 0.15 p b 0.01
ferent numbers of observations per sponsor and pragmatic reasoning, H2 ESFIT β2 0.52 p b 0.01
the model postulates identical, independently distributed error terms, H3 ECOM β3 0.03 p = 0.42
and ordinary least squares (OLS) is used for the parameter estimation. H4/H4competing EI ∗ SEXPO β4 −0.01 p = 0.53
The analysis began with the calculation of an average index value for H5 ESFITb ∗ SEXPO β5 −0.08 p b 0.01
H6 ECOM ∗ SEXPO β6 −0.05 p = 0.04
the retained image items for each sponsor and the corresponding event
H7 ESFITb ∗ AINV β7 0.01 p = 0.84
image constructs. The averaged multi-item scales for event–sponsor fit, H8 ECOM ∗ AINV β8 0.06 p = 0.02
event commercialization, and activity involvement form a composite. In SEXPO γ1 −0.08 p b 0.01
line with prior research (e.g., Aiken & West, 1991; Cohen, Cohen, West, AINV γ2 0.04 p = 0.11
& Aiken, 2002; Du et al., 2007), the continuous variables of the moder- STUDY γ3 −0.08 p b 0.01
EI ∗ STUDY γ4 −0.03 p = 0.48
ated regression are mean centered.
ESFIT ∗ STUDY γ5 −0.04 p = 0.34
To study the interaction between event–sponsor fit and sponsorship ECOM ∗ STUDY γ6 −0.04 p = 0.29
exposure (or activity involvement), a reversal of the scale of the fit items SDSeatc δ1 0.16 p b 0.01
ensures ease of interpretation. High inconsistency results from high ex- SDNokiac δ2 0.34 p b 0.01
SDRedBullc δ3 0.07 p b 0.01
posure (activity involvement) and low event–sponsor fit. The interac-
F = 71.50, p b 0.01, R2 = 0.42
tion of high exposure (activity involvement) and low fit numerically
a
indicates high inconsistency on the part of the sponsor with the rever- N = 1668.
b
Reversed scale.
sal. If inconsistency is high, there should be a negative impact on spon- c
Coefficients for sponsor-specific dummy variables must be interpreted with respect to
sor image (H5, H7), reflected in negative parameter estimates for the the base level sponsor Zipfer; a significant positive regression coefficient indicates that for
respective relationships. the corresponding sponsor brand image is significantly higher than for sponsor Zipfer.
R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025 1023

γ3 = −.08, p b .01). Respondents questioned at the event show higher sponsors to making the event happen. Only in cases of high sponsorship
sponsor image evaluations. This finding is consistent with the ANOVA exposure do consumers seem to perceive companies as excessively
results. No significant parameter estimates appear for the interactions exploiting the event. Event commercialization even has a positive im-
between the type of data collection and the three predictors. Also in pact on sponsor image for highly involved spectators, who are particu-
line with the ANOVA results, the sponsor images for the four sponsors larly grateful for companies that sponsor an event they value highly
differ significantly, as indicated by the significant parameter estimates and for whom event commercialization makes the sponsorship more
for the sponsor dummies. salient.
Finally, sponsorship exposure exerts a significantly negative direct
5. Discussion effect on sponsor image. The excessive coverage of the beach volleyball
event (and their sponsors) in this study might annoy consumers,
5.1. Theoretical contribution resulting in less positive perceptions of the sponsor brand. These
short-term negative effects of increased exposure to one specific
Understanding how brand image change in sponsorship works is a sponsorship activity appear diametrically opposed to the potential
fundamental step toward the development of a comprehensive frame- long-term gains of continuous sponsorships. For example, studying
work of sponsorship effectiveness, measures, and drivers. The present sponsorships that last several years, Cornwell, Roy, and Steinard (2001)
research clarifies how sponsor image depends on various factors related and Quester and Thompson (2001) find a positive impact on sponsor
to the individual consumer, the sponsored event, and the sponsor. Three image perceptions.
factors exert a significant direct effect on sponsor image: event image,
event–sponsor fit, and sponsorship exposure. A positive event image 5.2. Managerial implications
and high perceived fit benefit sponsor image; higher levels of sponsor-
ship exposure reduce this value. Sponsorship exposure also interacts Managers can use the findings of the present study to increase their
with event–sponsor fit, such that a longer sponsorship exposure results ability to develop successful sponsorships. The results are not applicable
in a less positive sponsor image if event–sponsor fit is low. Similarly, to all kinds of sponsorships but offer useful guidelines for choosing and
longer sponsorship exposures result in more negative effects of per- executing effective sponsorships. First, sponsorships can transfer
ceived event commercialization. The impact of event commercialization meanings assigned to specific activities onto sponsors, independent
on sponsor image is positive for highly involved spectators though. of the recency of exposure to the sponsored event and of consumers' in-
This study presents empirical evidence that specific attributes and volvement with the activity. Even extending the proposed model to in-
characteristics associated with a sponsored event, such as excitement, clude the moderating effect of activity involvement on the relationship
energy, or coolness, can transfer to the sponsor. The results do not between event image and sponsor image produces virtually identical
point to an impact of the immediacy of a direct participation or the re- results; the parameter for the interaction term is not significant. There-
cency of the experience during the interview, as indicated by the finding fore, companies should realize they can use sponsorships to transfer as-
that the effect of event image on sponsor image does not differ significant- sociations from an activity among desired target groups, following the
ly between consumers who attended the beach volleyball tournament sponsored event.
and answered questions during the event and spectators questioned Second, firms should choose to sponsor events with which they share
three months after the competition ended. either a functional or an image fit. High fit benefits sponsor image for
The observation that increased sponsorship exposure does not ben- both more and less involved consumers. Furthermore, firms should
efit the positive effect of event image on sponsor image supports the communicate this link to exploit the full potential of sponsorships
meaning transfer model as a theoretical foundation for image transfer. (e.g., Cornwell, Humphreys, Maguire, Weeks, & Tellegen, 2006). In this
Classical conditioning instead would predict a stronger image transfer respect, integrated marketing communications may help establish or
in the case of increased exposure. These results are tentative but can strengthen the link between the event and the sponsor.
serve as a starting point for more detailed examinations, perhaps in con- Third, companies should not enforce excessive sponsorship expo-
trolled experimental designs. sure to increase their perceived images. On the contrary, exposure has
Event–sponsor fit is a key determinant of sponsor image. This robust a negative impact on sponsor image, especially if consumers perceive
finding aligns with previous studies (Crimmins & Horn, 1996; d'Astous a low fit or high event commercialization. Consequently, companies
& Bitz, 1995; Gwinner & Eaton, 1999). The comparison of different should take sponsorship exposure into account when deciding on
drivers of sponsor image provides strong evidence for the decisive rele- sponsorship communication, particularly for longer events such as
vance of an image-based or functional fit in sponsorships. The interaction the Olympics or soccer's World Cup. To counteract negative effects
of sponsorship exposure with event–sponsor fit also indicates that when of exposure, sponsors must manage perceptions of fit between the
spectators realize a potential misfit between the event and the sponsor, event and the sponsor, as well as event commercialization. Still, the ad-
their realization triggers a cognitive reaction. Thus the consideration of a equate amount of sponsorship exposure remains a complex issue, par-
recipient's attitudes, as induced by the longer exposure to a sponsorship, ticularly in relation to other effects of exposure, such as the positive
may be more important for persuasion than the positive effects achieved impact on sponsor awareness (e.g., Johar et al., 2006).
through constantly perceiving the event and the sponsor together. Fourth, activity involvement is an important factor; for highly in-
The results differ for activity involvement. In contrast with the elab- volved spectators, perceived event commercialization has a positive im-
oration likelihood model, this study does not indicate that perceptions pact on sponsor image. This knowledge could help companies make
of the sponsor are less positive when event–sponsor fit is low. Perhaps viable sponsorship decisions for or against specific events or activities.
involvement with the sport or event does not relate directly to elabora- This information also can help companies plan event commercialization
tion about the sponsor. Consumers highly involved with the sponsored in accordance with target groups' involvement levels.
activity also express higher goodwill toward sponsors (e.g., Meenaghan,
2001), which likely makes the sponsor appear more likeable and 6. Limitations and further research
trustworthy. Thus involved consumers avoid elaborating on nega-
tive preexisting information, such as a potentially low fit (Priester & The regression model allows for brand-specific differences in spon-
Petty, 2003), and accept the sponsorship message without scrutiny. sor image by including sponsor-specific indicator variables but assumes
The impact of event commercialization on sponsor image emerges fixed predictor effects. Additional studies should undertake more de-
as less negative than expected. Consumers generally do not oppose tailed examinations of specific brands and product categories. Perceived
event commercialization, because they recognize the contribution of event commercialization also might depend on the product category.
1024 R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025

Identifying why people regard certain communication activities as com- (continued)


Appendix A (continued)
mercialized might help companies ensure their sponsorship programs Sponsor Contrast Pole (1) Construct (7) MIMIC modelb
succeed. Red Bull Uncool Cool Chi2 (10) = 19.17, p = 0.04
This study touched on the theoretical foundations of image transfer (energy Drowsy Energetic GFI = 0.98
and contrasted predictions from the meaning transfer model and classi- drink) Pretentious Genuine SRMR = 0.018
cal conditioning theory. Further research should continue this endeavor Unhealthy Healthy CFI = 0.99
Unathletic Sportive
to tease out, in controlled environments, which mechanisms underlie Out Trendy
the transfer of associations from the event to the sponsor brand. Zipfer Unhealthy Healthy R2 = 0.44
Sponsorship exposure has a negative effect on sponsor image. A pilot (beer) Unsociable Sociable Chi2 (8) = 14.01, p = 0.08
study at the soccer Euro showed almost identical effects (findings avail- Unathletic Sportive GFI = 0.98
Outdated Up-to-date SRMR = 0.014
able on request). Cauberghe and De Pelsmacker (2010) observe a simi-
Mature Youthful CFI = 1.00
lar negative effect of increased exposure on brand attitude in the case of
a
sponsored advergames. Perhaps a non-hypothesized negative direct Respondents rated the (translated) items on a seven-point semantic differential scale. The
image dimensions in italics were retained because they showed significant positive load-
effect indicates an omitted mediator (Zhao, Lynch, & Chen, 2010). Re- ings on the latent attitude toward the sponsor construct.
searchers should investigate potential mediators (e.g., annoyance) to b
The MIMIC model goodness-of-fit measures resulted after eliminating image items that
understand how sponsorship exposure affects sponsor image. Exposure had nonsignificant loadings on the latent attitude toward the sponsor construct.
c
often correlates highly with activity involvement, and perhaps hardcore GFI—Goodness of fit index; SRMR—Standardized root mean square residual; CFI—
Comparative fit index.
fans are more dismissive of sponsorships. Although the correlation anal-
ysis in this study (Table 1) does not support this conclusion, this issue
needs further research.
The respondents reported a better sponsor image in absolute terms
if questioned directly at the event rather than after, which might indicate
recency and/or immediacy effects. This issue is important for sponsors.
Modeling customer holdout and hysteresis effects in the sponsorship Appendix B. Measures
context and accounting for unobserved heterogeneity among respon-
dents and sponsors thus would be fruitful (Johar et al., 2006). The present Construct Questionnaire items CRa AVEa
(translated)
analysis also does not include sponsorship leverage, or the dissemination
of sponsorship information through other communication tools. Further Event–sponsor fit –There is a logical connection Seat: Seat:
investigations might study the impact of leveraging strategies on sponsor Scale anchored between the event and 0.93b/ 0.72b/
at strongly “sponsor name”. 0.91c 0.67c
image. Distinguishing between direct and indirect effects of sponsorship disagree (1) –The image of the event and Nokia: Nokia:
leverage on sponsor image might be interesting. and strongly the image of “sponsor name” are 0.91b/ 0.68b/
Still to be explored is whether the observed effects generalize to other agree (7) similar. 0.92c 0.69c
sponsorships. In particular, the present study cannot identify which spe- –“Sponsor name” and the Red Bull: Red Bull:
event fit together well. 0.95b/ 0.78b/
cific element of the sponsorship mix influenced sponsor image percep-
–“Sponsor name” and the 0.93c 0.73c
tions. Other sports sponsorships (e.g., athletes or sports teams) may event stand for similar things. Zipfer: Zipfer:
lead to different results; other kinds of sponsorships, such as art exhibi- –It makes sense to me that 0.92b/ 0.71b/
tions or social events, also challenge the applicability of the present “sponsor name” sponsors 0.94c 0.77c
findings. The objectives for such sponsorships often differ from sports this event.

sponsorship goals. Event –I feel that the event was too 0.92b 0.68b
Overall, this research contributes to a comprehensive appreciation of commercialization commercialized because of 0.87c 0.57c
brand image formation through sponsorship. Although several issues Scale anchored the sponsors.
remain, the findings provide an assessment of conditions that influence at strongly –Because of the sponsors the
disagree (1) sport was pushed to the
brand image in sponsorships. Companies can use such knowledge to
and strongly background.
design and execute sponsorships to benefit their brand image. This agree (7) –Sponsors should not use the
study also advances the quest for a sound understanding of sponsorship event for their commercial
effectiveness. purposes.
–Instead of spending money
on sponsorship, the companies
should improve the quality of
Appendix A. Image scalesa for sponsors of the Beach Volleyball their products.
World Tour –The sponsors were too much
in the focus of the event.

Sponsorship exposure –How many days have you – –


Scale anchored spent at the Beach Volleyball
at 1 to 5 days World Tour in Klagenfurt so far?
Sponsor Contrast Pole (1) Construct (7) MIMIC modelb

Seat Uncool Cool R2 = 0.43 Activity involvement –Beach volleyball is important 0.93b 0.73b
(car) Slow Fast Chi2 (6) = 15.50, Scale anchored for me. 0.97c 0.86c
Traditional Innovative p = 0.02 at strongly –I like to engage in beach
Unathletic Sportive GFIc = 0.98 disagree (1) volleyball.
c
Outdated Up-to-date SRMR = 0.018 and strongly –Beach volleyball means a lot
Mature Youthful CFIc = 0.99 agree (7) to me.
Nokia Passive Active R2 = 0.44 –I am very interested in beach
(mobile Colorless Colorful Chi2 (6) = 39.07, volleyball.
phone Uncool Cool p b 0.01 –For me, beach volleyball is
brand) Traditional Innovative GFI = 0.95 exciting.
Out Trendy SRMR = 0.028 a
CR—Composite reliability; AVE—Average variance extracted.
Mature Youthful CFI = 0.97 b
During event.
Passive Active R2 = 0.54 c
After event.
R. Grohs, H. Reisinger / Journal of Business Research 67 (2014) 1018–1025 1025

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