Moderate Growth Will Boost Sponsorship, But There’s A Wild Card

Posted on January 26, 2011


An insight to sponsorship of the World Universities Peace Invitational Debate (WUPID).

When WUPID was organized in December 2010, the global economy was characterized by significant uncertainty. Growth has however resumed following important injections, in many countries, of government stimulus spending aimed at counterbalancing the worst global recession in decades. Yet economies are advancing at different speeds and there is still the risk of a “double dip” in a number of countries including Malaysia.

In this context, H & G are again being confronted with difficult sponsorship management challenges especially among the private corporations. Indeed, fears of a double dip are hindering companies from an aggressive sponsorship spending, which in turn hinders H & G from articulating clear strategies e.g. spending on break night and adjudication subsidy, a major topic of discussion in recent debate summits or debate council meetings.

Even though the total amount of sponsorship received for 2010 has doubled if compared to year 2009, the amount of contribution received from private corporations continues to decline. It is essential to note however, that the increase in support from the Government has sharply increased by 100 percent and we hope that the increasing trends continue to 2011 or at least sustain in terms of the value received.

But the wild card will be if a general election were to be called earlier than expected. There would normally be an increased government spending in the run-up to an election which under normal circumstances would spur growth. But this would also mean that the government’s contribution to WUPID would be missed. This was an experience that WUPID went through during the general election of 2008.

This year (2011) however, based on recent reports by economists, H & G expects sponsorship from private corporations to do much better. As the nation’s economy continues to improve, we speculate that sponsorships from private corporations will be restored and make 75 percent of the overall sponsorship contribution received for 2011.

To further ensure the success of WUPID in 2011, H & G Strategic Communications shall also embark on outsourcing their sponsorship activities to successful sponsorship agencies to explore sponsorship opportunities from foreign private corporations, which has interests within the country.