Factors Influencing Grant and Sponsorship Revenue for Festivals

Abstract

This article contributes to event management theory and practice, and more generally to sponsorship research, by examining grant and sponsorship revenue for festivals. In particular, a number of factors that appear to influence the amounts and sources of external revenues are examined for significant differences. Data obtained from 260 festival managers in Australia, Norway, Sweden, and UK are compared with respect to their events' revenue sources, ownership, and other factors thought to influence revenue. Statistical tests reveal that festival size (i.e., attendance), professionalism (as measured by staff members), and the "fit" between event and sponsor (as measured by type of event correlated with different sponsors and grant sources) significantly affect festival revenue. It is argued in the conclusion that by applying certain strategies festival managers can enhance their external revenue generation and support. Future research needs and theory development are discussed in the conclusions, focused on a new set of propositions derived from the analysis.