Canadian brands’ sponsorship investments surged 58% from 2023 to 2024, hitting an estimated $2.56 billion. Adding activation spend pushes the industry past $4 billion for the first time, according to the 19th annual Canadian Sponsorship Landscape Study (CSLS) presented at the SponsorshipX Changemakers Summit in Toronto on Thursday.

The study was developed in partnership with marketing consultant IMI International, the Sponsorship Marketing Council of Canada and T1 agency. Industry partners also include SponsorshipX, PandoPartner and the Association of Canadian Advertisers.

The CSLS, based on a survey of 5,220 respondents, draws on both academic and industry resources to provide information and expertise for sponsors, properties and agencies.

The study shows that the rise in sponsorship investments reflects a blend of market recovery and fresh opportunities: slowing inflation and the full rebound of live events post‑pandemic, plus new digital tools and AI boosting efficiency and ROI. Today, brands are far more focused and confident in their sponsorship decisions than they were a few years ago, the report states.

Growth in major sports properties, new leagues and emerging categories such as women’s sports have widened the field, while newer entrants, including platforms like TikTok, are diversifying the brand mix, according to the report. Broader trends like Gen Z influence, national pride and even political motives are also shaping where and why brands invest.

The study also finds that in 2024, approximately $2.56 billion was spent on sponsorship rights. Professional sports remains the top category, with a share of around 23.4% of investment; that was followed by 13.2% in cause marketing; 8.9% in entertainment, tours and attractions; 7.7% in education; 7.6% in media; 6% in art; 4.6% in festivals, fairs and annual events; and 1.9% in Olympic, grassroots and amateur sports.

Among sponsors, 60.6 % plan to increase spending on women’s sport properties in the coming years.

Compared with 2022‑2023 data, the study shows a shift toward national properties, driven by geographic tensions. Brands in Canada now favour properties with provincial/national reach.

Measurement

According to the study, 2024 marked the start of the “optimization era” in sponsorship. Survey findings reveal a shift toward smarter, data‑driven decision‑making, driven by improved ROI, digital efficiencies, AI, expanding sports properties, demographic shifts and new brand entrants.

Both brands and properties reported their strongest ROI results in over a decade, with nearly one in four brands (23.8%) indicating they were “very satisfied” with the return on their sponsorship investments.

The study also shows that brands are putting more emphasis on measuring the impact of their growing sponsorship investments. Both brands and agencies are also leveraging more advanced research and measurement tools. Budgets allocated by brands for sponsorship evaluation more than quadrupled from 2023, and nearly doubled the previous record set in 2019.

When it comes to measurement, agencies are employing an increasingly broad mix of advanced methods, including training NFP clients to collect data through social media, websites, affiliations, direct communications and audience metrics.

Additional measurement tactics include brand engagement online, brand mentions and social‑media engagement via social listening, media impressions from on‑field visibility and advertising, shifts in awareness, brand equity and purchase intent, in‑person engagement, interaction opportunities, fan count at events and number and value of sponsorships sold.

Channels

In 2024, brands spread their investments – both rights fees and activation – more evenly across property categories and tactics. Advertising, hosting/hospitality, product sampling and branded content led the budgets that comprised a broad mix of investments.

Brands were asked which method delivers the best business results for their followers. They ranked first‑party advertising highest, followed by social media, creating branded content/events within the sponsored property, co‑promotion and athlete endorsements/promotions.

Additionally, agencies report they’re increasingly guided by data and analysis when shaping strategy. The most valued aspects today are content and data‑focused (digital ads, broadcast exposure, logo rights, database access), while traditional perks – exclusivity, hospitality and ownership of branded areas – have fallen in importance.