SPONSORSHIP VALUE ANALYSIS
FOR THE CALIFORNIA "SPRAGG BAG"
DEMONSTRATION VOYAGE





The pricing for the California "Spragg Bag" demonstration voyage is based on numerous news stories and media coverage received for the 1996 demonstration voyage in Washington State.

Joyce Julius and Associates completed an analysis related to the amount and value of the exposure three of their clients (K-Mart, Texaco, and Havoline) received from their involvements with the CART/PPG Indy Car World Series during the months of July - August using their NTIV methodology.  When used as a benchmark, the NTIV analysis will provide a meaningful evaluation of exposure received for the California "Spragg Bag" voyage through all aspects of this sponsorship program.  This analysis is summarized as follows:

Exposure Summaries
 
 
 
 

July, August Totals - K Mart
 
 
1  Section  Exposure Time # ofArt./ Mentions  Impressions CP:30/NTIV
1) National Television  7:24:20  67 108,014,282  $5,931,646.00
2) Local Television  NTIV  NTIV  3,393,000  15,404.22
3) National Radio NTIV  NTIV  6,408,000  29,092.32
4) Local Radio NTIV  NTIV  5,678,100 25,778.57
5) Event Site & Local Market NTIV  NTIV  39,604,500  179,804.43
6) Team Sources  NTIV  NTIV  0.00
7) Cross-Corporate Adv.  NTIV  NTIV  0 0.00
8) Print NTIV  218  60,935,988  263,315.38
1 Total  7:24:20  295  224,033,870  $6,445,040.92

                                                    
 
 
 
 

 July, August Totals - Havoline
 
 
. Section  Exposure Time # of Art./ Mentions Impressions  CP:30/NTIV
1) National Television 5:20:00 98,357,182 $4,076,338.00
2) Local Television NTIV NTIV  3,798,500  17,245.19
3) National Radio  NTIV NTIV  6,408,000 29,092.32
4) Local Radio NTIV  NTIV 5,678,100 25,778.57
5) Event Site & Local Market NTIV  NTIV  39,604,500 179,804.43
6) Team Sources NTIV NTIV 0 0.00
7) Cross-Corporate Adv. NTIV NTIV  129,120,000 586,204.80
8) Print NTIV  200 48,363,174 208,839.59
Total  5:20:00 204  331,329,456 $5,123,302.90

 

 
 
 
 
 
 

July, August Totals - Texaco
 
 
. Section  Exposure Time # of Art./ Mentions Impressions  CP:30/NTIV
1) National Television 2:30:11  43  108,332,612   $2,870,638.00
2) Local Television NTIV NTIV  3,240,500  14,711.87
3) National Radio  NTIV NTIV  6,408,000  29,092.32
4) Local Radio NTIV  NTIV 5,678,100 25,778.57
5) Event Site & Local Market NTIV  NTIV  39,604,500  179,804.43
6) Team Sources NTIV NTIV 0.00
7) Cross-Corporate Adv. NTIV NTIV  130,320,000  591,652.80
8) Print NTIV    116 37,958,258 167,058.73
. Total  2:20:11  159  331,541,970 $3,878,736.72

 

"Spragg Bag" sponsorship pricing can also be supported using an analysis of local, national, and international publicity received for the April 24 through April 30, 1996  100-mile"Spragg Bag" demonstration voyage in Washington State.  A summary of this television and press coverage can be found website Media Coverage.

Using the NTIV methodology and projecting past Washington State "Spragg Bag" voyage media coverage to include national television and national press coverage that will be received for the 30 to 60 day California "Spragg Bag" voyage, a sponsorship value range comparative to the K-Mart, Texaco, Havoline values is projected to easily be achieved for a "Spragg Bag" sponsor.

Another comparative sponsorship analysis can be gathered from publicity received from the several attempts to circle the globe in hot air balloons.  A Los Angeles Times story (12/26/95) stated that Dutch balloonists planned to spend $4,000,000 to $5,000,000 with help from corporate sponsors and that Richard Bransonís ICO Global Challenge, was expected to cost over $5,000,000.

In December 1998, Branson and Steve Fossett received national and international television coverage for the Global Challenge and front-page coverage in The New York Times, Los Angeles Times, and newspapers around the world during its aborted eight-day voyage.  Significantly, this voyage received 40 MILLION HITS on its website during this eight-day adventure.  This is more than the number of hits the giant portal, Yahoo, receives in an average month.

"Spragg Bag" sponsors should expect to equal and perhaps surpass this number of website hits during its 30 to 60 day California voyage.  At $25 CPM/banner hit this could be an $800,000 value to an e-commerce sponsor.  The New York Times (3/22/99) reports that Internet retailers currently spend between $20 and $40 to acquire a new customer.

An April 3, 2000 Los Angeles Times story states that the average bid price for advertisers on the GoTo.com website is 17¢ per keyword hit.  Some GoTo.com advertisers pay over $1.00 per website hit.  When our publicity generated website equals the 40 million hot air balloon hits that would be worth $6,800,000 to our sponsor at 17 cents per keyword hit on their website.  At a value of over $1.00/hit generated by GoTo.com, this would total $40,000,000 for one of our sponsors.

In March 1999 the Bretling Orbiter was the first hot air balloon to circumnavigate the globe.  The trip took 18 days at a cost of over $5,000,000 to its sponsor.  Again, this voyage received widespread national and international network and local television coverage.  Photos of the balloon appeared for several days on the front page of the New York Times, on the cover of Time, and a cover story in National Geographic, among other widespread media coverage.

Pepsi paid $5,000,000 to have Russian cosmonauts float a four foot replica of a Pepsi can (the same size as the diameter of a "Spragg Bag" Peace Flag sponsorship circle) outside the MIR space station for a TV commercial.  Pizza Hut will pay over $1,000,000 for its ad to appear on the side of a Russian rocket for a few minutes of exposure before it is launched into space.

These sponsorship values are summarized as follows:
 
 
K-Mart Cart World Series  NTIV Value  $6,445,050 
Texaco Cart World Series NTIV Value  $3,878,736
Havoline Cart World Series NTIV Value  $5,123,302
Dutch balloonists Sponsorship Value $4,000,000 + 
Richard Branson-ICO Global Challenge Balloon Value  $5,000,000 + 
Bretling Orbiter  Sponsor Value  $5,000,000 + 
Pepsi-MIR Space Station  Sponsor Value $5,000,000 
Pizza Hut - Russian Rocket  Launch Value $1,000,000 +

 
 
 
 
 
 

Over $6,000,000 has been invested over the past ten years to develop the "Spragg Bag" technology and team.  Local, national, and international media coverage has been documented for the 1996 "Spragg Bag" voyage.

Past media coverage, and comments from Time magazine, the San Francisco Chronicle, KGO-TV (ABC) and others (see Media Comments) indicate that the media impact for the California "Spragg Bag" voyage will create many millions of dollars in sponsorship value.

Because of the significant political and environmental issues surrounding water politics in California, the Middle East, and around the world, the "Spragg Bag" voyage is expected to become the environmental event of the decade.

THE CALIFORNIA "SPRAGG BAG" DEMONSTRATION VOYAGES WILL HAVE AN IMMEDIATE AND BENEFICIAL IMPACT ON THE WORLD ENVIRONMENTAL STAGE.