Rugby’s Financial Future: how the SARU Deal Highlights the Need for ROI in Sponsorship
|Published
The ongoing debate within SARU over a potential R1.3 billion equity deal with Ackerley Sports Group has sparked discussions about financial sustainability in South African rugby.
The controversy surrounding this deal shows the importance of sponsorships as a critical revenue stream for sports organisations.
For brands, sponsorships offer significant returns in the form of visibility and fan engagement, but measuring the exact ROI can be complex.
Two major sporting events on 28 September in South Africa—Kaizer Chiefs vs. Mamelodi Sundowns and the Springboks vs. Argentina test match—demonstrate the value that sports sponsorship can deliver.
“By tracking every mention of a brand's name or logo, sponsors get the data they need to measure their exposure, audience reach, and return on investment which helps them make smarter decisions about their sponsorship strategies,” Joe Hamman, Director of Novus Group said.
“Similarly, brands looking to attract sponsors can demonstrate their value by showcasing the assets that appeal to major sponsors. This serves as a proof point, providing concrete evidence of their ability to generate significant exposure and deliver measurable returns,” Hamman added.
The Kaizer Chiefs vs. Mamelodi Sundowns soccer match
The match attracted a whopping 3.26 million viewers on SABC 1 and SuperSport, with nearly half (46%) of the audience being female.
The game’s top sponsors saw major returns:
- Kappa: R1.9 million in advertising value
- Vodacom: R1.6 million
- Absa, Toyota, and SuperSport: Each generating over R1.5 million in exposure
Springboks vs. Argentina Rugby Championship
The test match on the same day drew 447,341 viewers.
Interestingly, 53% of those viewers were women, and 72% were aged 50 and older.
For brands like Castle Lager, this translated into big returns with over R8.2 million in advertising value from logos, signage, and media mentions.
Other top performers included:
- FNB: R3.4 million
- Nike: R3.1 million
- MTN: R3 million
Hamman further said, "These matches highlighted the importance of knowing who’s engaging with your brand. Our service provides real-time insights into the demographics and impact of exposure, giving sponsors the data they need to measure their investment's true value and refine their strategies for maximum impact."
BUSINESS REPORT