Music 4.5 Social Music slides, Mark Ashelford, Lee & Thompson

1. The basic human need for music and sharing -
managing and monetising fans; a 3-way case study
Mark Ashelford, Lee & Thompson
#m4pt5
Event partners
#socialmusic
Music 4.5 is
organised by

2. The Icon, the Pop Star and the Tour
Three Case Studies of Social Media in
Sponsorship Deals
Presented by Mark Ashelford
@LeeAndThompson

3. Sponsorship 1.0
• Endorsement period of 1 to 3 years;
• Limited by territory;
• Annual fee (no royalty);
• Fixed number of ‘service days’ per year for PR events and
creating visual assets;
• Exclusivity by product category – limited to public
activities;
• Benefit of the endorsement arrangement is intangible.

4. Sponsorship 2.0
• Additional social media undertakings – not part of
service days?;
• Social Media Rights are “worldwide”;
• Assets include products of social media activities;
• Social Media Activities are public activities (cf.
exclusivity);
• Possible to measure increase in social media activity.

5. The Icon - Profile
• Internationally famous, instantly recognisable;
• Does not depend on ‘unit sales’ for his business;
• Generally does not tweet;
• Hugely busy.

6. The Icon – The Deal
• £1M per year sponsorship fee;
• 2 to 3 commitment days (roughly valued @ £250k);
• Agreed to accept a social media ‘day’ in lieu of one PR
event:
o Facebook likes to direct people to webchat event;
o Webchat interview @ home;
o Post chat on Facebook;
o Brand gets to use the interview as an asset.

7. The Pop Star – Profile
• International pop act – the hot new act;
• Massive twitter following, very specific demographic;
• Signed to a Major Record Label;
• Has own merchandise;
• Zero free time.

8. The Pop Star – The Deal
• 1 year term;
• Band to tweet about new product range;
• No commitment days;
• Specific Social Media Commitment:
o Tweets per month
o Facebook likes
o Instagram posts
• Royalty per unit sold equivalent to a signature product;
• Exclusivity specific about no competing products referenced
through social media (but allowed to create own
merchandise).

9. The Rock Tour – Profile
• International rock band;
• Millions of records sold over several decades;
• Regularly touring – massive fanbase;
• About to undertake another world tour.

10. The Rock Tour – The Deal
• Tour Sponsorship c. £2M;
• Sponsorship Fee allocated to tour branding and attendees;
• Brand want to create a social media campaign:
o request campaign to fanbase;
o redirects to a new campaign portal;
o band ‘feedback’ through twitter;
o the assets to be used during the tour.
• Additional social media fee c. £500K

11. In summary
Social Media Activities in sponsorship deals can have
equivalence to:
• Service Days;
• Additional Rights;
• Branding on Product.
And should be valued accordingly!

13. Thank you to our event partners
#m4pt5
#smartradio Music 4.5 is organised by