Sponsorship Levels Are a Menu, Not a Wishlist
How to price sponsor tiers so businesses actually say yes.
For the recent cannonball at Historic Stonington, there was a mix of sponsors who had been involved with the organization for a long time and some who were brand new this year. If you're not familiar with this concept, a sponsor of a nonprofit event agrees to give a certain amount of money and exchange to be listed as a sponsor for the event. They are not just contributing money. In fact most of this money is not tax deductible because what they get is advertising. There can be a wide range of what that means, depending on your organization, but I think that the most important part of this is to make sure that there is a wide spectrum of options available. Because if you're in a smaller community, you want not only the local bank and investment firms, but also landscapers and plumbers.
In kind donations can also be translated into a sponsorship. Whatever business your organization is already working with you could approach them and offer a sponsorship for a reduced rate that you pay for the service you are already receiving.
Sponsorship is not a donation. Say that to yourself a few times before you build your tiers, because it changes everything about how you price and pitch them.
A sponsor gives your event money. In exchange, you give them advertising
a shoutout on social
a logo on the website
their name on the step-and-repeat
a mention in the program.
That's a transaction, not a gift, and it's why most of that money is not tax-deductible. The business isn't donating to your mission. They're buying visibility in front of your donors, and your donors are exactly the customers they want. Once you actually believe that, pricing gets a lot easier. You're not asking for charity. You're selling a product.
Build a menu, not a wishlist
At this year's Cannonball at Historic Stonington, the sponsor list was a mix of longtime supporters and brand-new businesses who'd never sponsored anything before. It happened because there was a wide spectrum of price points for them to say yes to and there were personal asks from board members and staff.
In a small community, you don't just want the bank and the investment firm. You want the landscaper, the plumber, the guy who does your HVAC. Those businesses want in - they live in the same town as your donors - but they might not be writing a $5,000 check, yet. Give them a $250 or $500 tier that still gets them a real, visible placement. The range matters more than the top number. A prospectus with one $10,000 "Presenting Sponsor" tier and nothing else isn't aspirational, it's a filter that keeps most of your community out.
What each tier should actually deliver
Whatever your tiers are called, be concrete about what the business gets at each level, because that's what they're buying:
Top tier gets top billing — name or logo on everything, a dedicated social post, signage at the event, tickets to attend. Mid tier gets meaningful but smaller placement — grouped logo mentions, one social shoutout, maybe a program ad. Entry tier gets the basics - name listed on the website and in the program. Every tier should feel like it's worth the price, not like a consolation prize.
The move nobody uses: convert in-kind relationships into sponsorships
Here's the one most organizations leave on the table. Look at every vendor you already pay for services - the printer, the caterer, the florist, the rental company, the tent guy. You have an existing relationship and an existing budget line with them. Approach them with a specific offer: sponsor the event at a reduced rate, and you'll pay them for the service using that sponsorship instead of your regular budget.
Price your tiers like a menu: a low-dollar option so the plumber can say yes, a mid-tier so the growing local business can say yes, and a top tier for the bank that wants its name on the step-and-repeat. Then look at your vendor list and find the sponsors you're already paying - you just haven't asked them yet.
