Hostname: page-component-745bb68f8f-hvd4g Total loading time: 0 Render date: 2025-02-06T01:55:48.814Z Has data issue: false hasContentIssue false
  • English
  • Français

What Drives Renewal of Sponsorship Principal/Agent Relationships?

Published online by Cambridge University Press:  03 March 2004

FRANCIS FARRELLY  and
PASCALE G. QUESTER
FRANCIS FARRELLY
Affiliation:
Monash [email protected]
PASCALE G. QUESTER
Affiliation:
The University of [email protected]
Get access

Abstract

The relationship between advertising agencies and their clients has been the subject of some research, including studies conceptualizing it from an agency theory perspective. The increasingly important relationship between sports (or art) properties and their sponsors, on the other hand, while recognized as crucial for the long-term success of the sponsorship agreement, has remained shrouded in mystery, with little or no research aiming to establish and understand the antecedent of sponsorship renewal. This article reports on an exploratory dyadic study examining the effects of market orientation, trust, and commitment on the principal's willingness to renew the sponsorship relationship. The leading sponsorship property in Australia, the Australian Football League (AFL), and its major sponsors provided the empirical context for this study.

Type
Research Article
Information
Journal of Advertising Research , Volume 43 , Issue 4 , December 2003 , pp. 353 - 360
Copyright
© Copyright © 1960-2003, The ARF

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

REFERENCES

Anderson, E., and B. Weitz. “The Use of Pledges to Build and Sustain Commitment in Distribution Channels.” Journal of Marketing Research 29, 1 (1992): 18–34.Google Scholar
Baker, T.L., P.M. Simpson, and J.A. Siguaw. “The Impact of Suppliers' Perceptions of Reseller Market Orientation on Key Relationship Constructs.” Journal of the Academy of Marketing Science 27, 1 (1999): 50–57.Google Scholar
Burbury, R. “The Big Yield.” The Financial Review Magazine, February 2001.Google Scholar
Cadogan, J.W., and A. Diamantopoulos. “Narver and Slater, Kohli and Jaworski and the Market Orientation Construct: Integration and Internationalization.” Journal of Strategic Marketing 3, 1 (1995): 41–60.Google Scholar
CEASA. Sponsorship of Sport: Survey 1999 & 2000. Commercial Economic Advisory Service of Australia, 2001.
Cousens, L., K. Babiak, and T. Slack. “Adopting a Relationship Marketing Paradigm: The Case of the National Basketball Association.” Sports Marketing and Sponsorship 12, 4 (2001): 331–55.Google Scholar
Cousens, L.C., and T. Slack. “Emerging Patterns of Inter-Organizational Relations; A Network Perspective of North American Professional Sports Leagues.” European Journal for Sport Management 3, 1 (1996): 48–69.Google Scholar
Cornwell, B. “Sponsorship-linked Marketing Development.” Sports Marketing Quarterly 4, 4 (1995): 13–24.Google Scholar
Cornwell, T.B., D.P. Roy, and E.A. Steinard II. “Exploring Managers' Perceptions of the Impact of Sponsorship on Brand Equity.” Journal of Advertising 30, 2 (2001): 1–52.Google Scholar
Dasgupta, P. “Trust as a Commodity.” In Trust, D.G. Gambetta, ed. New York: Basil Blackwell, 1989.
Davies, M., and M. Prince. “Examining the Longevity of New Agency Accounts: A Comparative Study of the US and UK Advertising Experiences.” Journal of Advertising 28, 4 (1999): 75–89.Google Scholar
Dawes, J.A. “Market Orientation and Company Profitability: Further Evidence Incorporating Longitudinal Data.” Australian Journal of Management 25, 2 (2000): 173–200.Google Scholar
Dean, D.H. “Brand Endorsement, Popularity and Event Sponsorship as Advertising Cues Affecting Consumer Pre-purchase Attitudes.” Journal of Advertising 28, 3 (1999): 1–12.Google Scholar
Deshpande, R., J. Farley, and F. Webster. “Corporate Culture, Customer Orientation, and Innovativeness in Japanese Firms: A Quadrad Analysis.” Journal of Marketing 57, 1 (1993): 23–33.Google Scholar
Deshpande, R., and F.E. Webster. “Organizational Culture and Marketing: Defining the Research Agenda.” Journal of Marketing 53, 1 (1989): 3–15.Google Scholar
Eisenhardt, K. “Agency Theory: An Assessment and Review.” Academy of Management Review 14, 1 (1989): 57–74.Google Scholar
Ellis, S., and L. Johnson. “Observations: Agency Theory as a Framework for Advertising Agency Compensation Decisions.” Journal of Advertising Research 33, 5 (1993): 76–80.Google Scholar
Farrelly, F. “An Interview with John Moore, Marketing Director, Sydney 2000.” Sports Marketing Quarterly 6, 2 (1999): 12–14.Google Scholar
Farrelly, F., P.G. Quester, and R. Burton. “Integrating Sports Sponsorship into the Corporate Marketing Function—An International Comparative Study.” International Marketing Review 14, 2/3 (1997): 14–33.Google Scholar
Ganesan, S. “Determinants of Long-term Orientation in Buyer-Seller Relationships.” Journal of Marketing 58, 2 (1994): 1–19.Google Scholar
Gronroos, C. “Relationship Marketing: Strategic and Tactical Implications.” Management Decision 34, 3 (1996): 5–15.Google Scholar
Han, J.K., K. Namwoon, and R.K. Srivastava. “Market Orientation and Organizational Performance: Is Innovation a Missing Link?” Journal of Marketing 62, 4 (1998): 30–45.Google Scholar
Hunt, S.D., and R.M. Morgan. “The Comparative Advantage Theory of Competition.” Journal of Marketing 59, 2 (1995): 1–15.Google Scholar
Jaworski, B.J., and A.K. Kohli. “Market Orientation: Antecedents and Consequences.” Journal of Marketing 57, 3 (1993): 53–60.Google Scholar
Logan, M. “Using Agency Theory to Design Successful Outsourcing Relationships.” The International Journal of Logistics Management 11, 2 (2000): 21–32.Google Scholar
Mathur, L., and I. Mathur. “Is Value Associated with Initiating New Advertising Agency-Client Relations?” Journal of Advertising 25, 3 (1996): 1–11.Google Scholar
McKitterick, J.B. “What is the Marketing Management Concept?” In The Frontiers of Marketing Thought and Science, F.M. Bass, ed. Chicago: American Marketing Association, 1958.
Michell, P.C.N., and N.H. Sanders. “Loyalty in Agency-Client Relations: The Impact of the Organizational Context.” Journal of Advertising Research 35, 2 (1995): 9–22.Google Scholar
Mohr, J.J., R.J. Fisher, and J.R. Nevin. “Collaborative Communication in Interfirm Relationships: Moderating Effects of Integration and Control.” Journal of Marketing 60, 3 (1996): 103–17.Google Scholar
Morgan, R.M., and S.D. Hunt. “The Commitment-Trust Theory of Relationship Marketing.” Journal of Marketing 58, 3 (1994): 20–38.Google Scholar
Narver, J.C., and S.F. Slater. “The Effect of a Market Orientation on Business Profitability.” Journal of Marketing 54, 4 (1990): 20–35.Google Scholar
Quester, P., and F. Farrelly. “Brand Association and Memory Decay Effects of Sponsorship: The Case of the Australian Formula One Grand Prix.” The Journal of Product and Brand Management 7, 6 (1998): 539–56.Google Scholar
Quester, P., and B. Thompson. “Advertising and Promotion Leverage on Arts Sponsorship Effectiveness.” Journal of Advertising Research 41, 1 (2001): 33–47.Google Scholar
Rousseau, D.M., S.B. Sitkin, R.S. Burt, and C. Camerer. “Not So Different After All: A Cross-Discipline View of Trust.” Academy of Management Review 23, 3 (1998): 393–404.Google Scholar
Siguaw, J.A., P.M. Simpson, and T.L. Baker. “Effects of Supplier Market Orientation on Distributor Market Orientation and the Channel Relationship: The Distributor Perspective.” Journal of Marketing 62, 3 (1998): 99–111.Google Scholar
Slater, S.F., and J.C. Narver. “Market Orientation, Customer Value, and Superior Performance.” Business Horizons 37, 2 (1994): 22–28.Google Scholar
Spekman, R. “Strategic Supplier Selection: Understanding Long-Term Buyer Relationships.” Business Horizons 31, 1 (1988): 75–81.Google Scholar
Stipp, H., and N.P. Schiavone, “Modeling the Impact of Olympic Sponsorship on Corporate Image.” Journal of Advertising Research 36, 4 (1996): 22–27.Google Scholar
Street Ryan Research. A Report into Sponsorship in Australia, 1998.
Verbeke, W. “Developing an Advertising Agency-Client Relationship in The Netherlands.” Journal of Advertising Research 29, 6 (1989): 19–27.Google Scholar