| Course | MT243 Sport Sponsorships and Sales |
|---|---|
| Unit | Unit 8 |
| Paper type | Valuation and pricing memo |
| Length | About 880 words, 6 pages double-spaced |
| Format | APA 7 student paper |
| School | Purdue University Global |
| Program | BS in Business Administration |
| Updated | October 2026 |
Free sample paper for MT243 Unit 8
Five Thousand Seven Hundred Dollars of Exposure and Sixty-Two Thousand of Price: A Unit 8 Valuation and Pricing Memo
[Student Name]
Purdue University Global
MT243: Sport Sponsorships and Sales
Unit 8 Valuation and Pricing Memo
[Instructor Name]
[Date]
The Harbor Point Marathon Weekend, Corbett's Market and every figure, rate and cost are composite and illustrative; the sources cited are real.
To: Partnership Director, Harbor Point Marathon Weekend From: Partnership Coordinator Re: Valuation and pricing of the recovery package for Corbett's Market
Purpose
Corbett's Market, the regional grocer, has asked for a price on the finish-line recovery package, which would carry its new store-brand nutrition line. This memo values each asset in the package by the method that suits it, adds a premium for category exclusivity and recommends a list price and a floor. The figures are calculated by a short script in the appendix, so they can be updated if the package changes.
Crompton (2004) warns that sponsorship valuation based only on exposure, counting how many people saw a logo, misses most of what sponsors actually buy, which is the chance to change what people do. This memo uses exposure methods only for the assets that are mainly exposure, and a cost-replacement method for the asset that is mainly behavior.
The Valuation Table
Eight assets are valued.
Recovery-zone signage. About 35,300 finishers and family members pass through the zone. At a cost per thousand of $6, a rate comparable to outdoor event signage, the signs are worth about $212.
Two dedicated emails. Each goes to the 39,000 opted-in runners. At $40 per thousand sends, a typical rate for a targeted list, the two emails are worth $3,120.
Social posts. Six sponsored posts on the event's channels, with about 92,000 impressions in total last year, at a $6 cost per thousand, are worth about $552.
Livestream logo time. The recovery zone appears on the livestream for about 1,140 seconds, before an average minute audience of 8,700. Treated as thirty-second advertising spots at a $22 cost per thousand, the raw media equivalency is $7,273. The memo discounts this by 75 percent, to $1,818, because a logo in the background of a broadcast is not an advertisement: it carries no message and viewers are watching the runners.
Together these four exposure assets total about $5,700.
Finisher bag sampling. Every finisher, about 13,300 last year, receives a bag. The package puts one sample of the grocer's new nutrition line in each. The grocer's own in-store sampling, with a staffed table and a product sample, costs about $3.10 per sample delivered. Valued at that replacement cost, the bag sampling is worth $41,230.
Expo booth. A 10 by 20 booth at the event's rate card, $3,520.
Hospitality. Ten VIP tent passes at $95, $950.
Guaranteed entries. Twenty race entries for the grocer's employees or customers at the average entry fee of $75, $1,500.
Totals and Premium
The eight assets total $52,902 in tangible value. The package also includes exclusivity in the grocery category, so no other grocer may sponsor any part of the event. Mullin et al. (2014) treat category exclusivity as one of the main benefits sponsors pay for, because it keeps a competitor from sharing the same audience. The memo adds a premium of 15 percent for exclusivity, bringing the value to about $60,837.
Almost four-fifths of the package's value is a product in a runner's hand, not a logo in a runner's view.
Why Replacement Cost for the Bags
The bag sampling is valued by what the grocer would otherwise pay to put a sample in a customer's hand, because that is the alternative it actually faces. Valuing the bags by exposure would make no sense: a sample is not seen, it is used. The method has a limit. A sample in a finisher bag may be less effective than one handed over by a staff member in a store, since there is no conversation and some bags are not opened for days. If the grocer believes event samples are worth half as much as in-store samples, the package value falls to about $37,000 with the premium.
Recommended Price
The memo recommends a list price of $62,000, slightly above the calculated value to leave room for negotiation, and a floor of $40,000, below which the event should decline. The floor covers the exposure assets, the booth, hospitality and entries at full value, about $11,700, and the bag sampling at about two-thirds of the in-store rate, about $27,500, with no premium. Selling below that would give away the event's most valuable asset at less than the grocer's own cost.
Limits
Every method used here has limits. Cost per thousand rates are borrowed from other media and may not match how people attend to event signs. Media equivalency, even discounted, measures what an advertisement would cost, not what a logo achieves. And replacement cost assumes the grocer would otherwise sample in stores at the same scale. Meenaghan (2001) argues that sponsorship can carry goodwill that advertising does not, which none of these methods captures.
Appendix: The Script
A short script reads the asset list, quantities, rates and discounts from a spreadsheet, calculates each asset's value and the totals, and prints the table. Changing the number of finishers or the sampling cost updates every figure.
References
Crompton, J. L. (2004). Conceptualization and alternate operationalizations of the measurement of sponsorship effects in sport. Leisure Studies, 23(3), 267-281. https://doi.org/10.1080/0261436042000183695
Meenaghan, T. (2001). Understanding sponsorship effects. Psychology & Marketing, 18(2), 95-122. https://doi.org/10.1002/1520-6793(200102)18:2<95::AID-MAR1003>3.0.CO;2-H
Mullin, B. J., Hardy, S., & Sutton, W. A. (2014). Sport marketing (4th ed.). Human Kinetics.
What the MT243 Unit 8 assignment asks for
Unit 8 asks students to value a sponsorship package and recommend a price in a memo to a decision maker. The prompt expects each asset valued by a method that suits it, such as cost per thousand for signage, list rates for email, discounted media equivalency for broadcast logo time or replacement cost for sampling, with the method's limits stated. Add any premium, such as category exclusivity, separately and explain it. Recommend a list price and a floor below which the property should decline. Memo format, addressed to a named reader, is standard, often with a valuation table and an appendix showing the calculation. Four pages in APA 7 is typical, citing at least three sources on sponsorship valuation or evaluation.
Inside the MT243 Unit 8 example
The memo opens with its header and purpose, then cites Crompton on why exposure alone misses what sponsors buy. Four exposure assets are valued in turn, and the livestream's raw equivalency of $7,273 is cut by three quarters, marked by a margin note on not inflating numbers. Finisher bag sampling is valued by replacement cost, followed by the booth, passes and entries. Totals and the exclusivity premium come next, with Mullin and colleagues, and the highlighted line notes that most of the value is a product in a runner's hand. A section tests the replacement method at half the in-store value. The price section sets list and floor with a second note, and limits and a script appendix close it.
MT243 Unit 8 rubric: what earns full points
Valuation memos earn credit for choosing the right method for each asset, showing the calculation, stating limits and recommending a defensible price. Using one method for everything, especially raw media equivalency, loses points. Graders reward discounting exposure figures with a stated reason and using replacement cost or similar methods for assets that change behavior. A sensitivity test, such as valuing samples at half, shows judgment. The price section should give both a list price and a floor, with the reasoning for each. A table whose totals add up, an appendix or script that reproduces them and accurate citations of valuation sources complete the marks. Brevity counts as well, since the partnership director will read it minutes before meeting the grocer.
Common MT243 Unit 8 mistakes, and how to avoid them
Students often value an entire package with media equivalency, which inflates logo exposure and ignores assets like sampling or hospitality. Another frequent gap is a price with no floor, leaving the property no basis for walking away. Some memos present a single figure with no method shown. Others forget the exclusivity premium or apply it without explanation. Check every multiplication, since one wrong rate changes the price, and state each rate's source so the director can defend it to the buyer. Send the package's assets and audience counts, and a writer can choose the method for each, build the table and set a list price and floor.
Get an MT243 Unit 8 example written to your instructions
Valuation needs quantities, so paste in whatever your Unit 8 case gives: audience counts, asset lists, rate references, comparable deals, even rough estimates. Add the prompt and rubric. Each asset is valued by a method suited to it, computed and checked, with limits stated beside the figures. It arrives in 24-48h; the first custom sample costs nothing. The paper above is an original model document written by our desk, not a submitted student paper and not an official Purdue University Global document.
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MT243 Unit 8 questions, answered
What is media equivalency and why is it criticized?
It prices sponsor exposure as if the same seconds or column inches had been bought as advertising. It is easy to compute and widely reported, but it counts exposure rather than attention or effect, and treats a glimpsed logo as equal to a crafted message. The sample uses it once, discounts it heavily, and states those limits beside the figure.
How is cost per thousand applied to sponsorship assets?
Estimate the impressions an asset delivers, divide by a thousand, and multiply by the rate paid for comparable media. The weak point is always the impression count, so the sample names each count's source and avoids multiplying crowd estimates by assumed repeat views. For assets that deliver something other than exposure, such as sampling, a different method fits better.
Why set a floor price as well as a list price?
Because negotiation will happen, and a property that has not decided its walk-away point tends to concede past it. The sample sets the floor at tangible value, the sum of what the assets demonstrably deliver, and lists above it by the exclusivity premium. Everything between the two is room to negotiate on terms rather than on value.
Where can I find a free MT243 Unit 8 sample paper?
You can read the complete MT243 Unit 8 valuation and pricing memo on this page. It values a marathon's recovery package for a grocer asset by asset, adds an exclusivity premium and recommends a list price and a floor.
Why does the MT243 Unit 8 sample discount the livestream value?
A logo in the background of a race broadcast is not an advertisement. It carries no message and viewers are watching runners, so the memo cuts the raw $7,273 equivalency by 75 percent to $1,818.