Sponsorship from a Different Perspective: How Sponsorships Impact the Playing Performance of Professional Athletes

Dayton, Ryan

Sponsorship from a Different Perspective: How Sponsorships Impact the Playing Performance of Professional Athletes

Persistent URL

https://dspace.allegheny.edu/handle/10456/54883

Author(s)

Dayton, Ryan

Date Issued

March 18, 2022

Abstract

In the most general of terms, sponsorships have been a major instrument used by corporations to increase company profits and reach their respective goals. For over a hundred years, companies have worked alongside top celebrities, major causes or organizations, and noteworthy events. While the many types of sponsorships have been proven to be an effective strategy for companies across the globe, this study will analyze sponsorships from the perspective of the sponsee. Geared specifically towards athlete endorsement, a sub-category of celebrity sponsorships, this paper will add to the limited literature from the sponsee’s point of view. By using data from the PGA Tour and Titleist, this study will use the PGA Tour as the platform to examine the effects of sponsorships on athlete performance. Considering the beneficial factors of sponsorships including financial compensation, physical capital, and mental stability; the presence of sponsorships is expected to positively impact the performance of professional golfers on the PGA Tour. Eight statistical outcome variables will be used to shine light on how sponsorships can impact the playing performance of these professionals. The presence of sponsorships will be regressed against these eight outcome variables to better understand the efficacy of sponsorships in regards to the athlete. The findings of this study conclude Titleist specific sponsorship positively impacts the performance of their sponsored athletes. Thus, players in partnership with Titleist perform at a higher level and earn more earnings on the PGA Tour than non-Titleist sponsored athletes. Additionally, demographic variables prove to be more significant in who receives Titleist sponsorships than outcome variables.

Major

Economics

Honors

Business and Economics, 2022

First Reader(s)

Bianco, Timothy P.