Key considerations when negotiating sports sponsorship agreements, with a spotlight on women's sport 

Key considerations when negotiating sports sponsorship agreements, with a spotlight on women's sport 

Overview

Deloitte’s recent report predicts that global revenue generated by elite women’s sport will reach at least US$3 billion this year, representing a 25% increase on the 2025 figure. This highlights women’s sport as not only a fast-growing independent industry, but also a rich commercial opportunity, particularly for brands looking for new and innovative sponsorship arrangements.

This article discusses some of the key factors sponsoring brands and rightsholders in the sports industry should consider when putting pen to paper on new sponsorship agreements, with a particular focus on women's sport.

But first … the importance of a proactive brand activation strategy

Alongside a set of watertight and comprehensive legal provisions, a clearly defined and agreed activation strategy for the lifetime of the sponsorship is key. This is essentially an active marketing strategy to ensure meaningful engagement between the brand and its target audience, through direct, interactive experiences facilitated by the rightsholder.

The parties involved in the sponsorship should discuss and define clearly what they want to achieve from the partnership, which will provide an anchor for all future discussions. Simple initiatives, such as "meet-and-greets" with players, prize draws and "pop up" stalls for direct engagement may prove more effective than static advertising campaigns. It is often the players who make sport the spectacle it is and attract a loyal and constant following. Access to those players can therefore help create meaningful content and foster stronger relationships with sponsoring brands. Innovative use of player social media and rightsholders' own content channels are also increasing in popularity, particularly in women's sport, as the focus on celebrity and sporting status generates higher levels of consumer engagement.

First-mover partners in women's sport are now reaping the rewards of having already established relationships with the relevant rightsholders in a market that is attracting increasing viewership and strong fan loyalty. Compared with the more saturated market in the men's game, sponsors in women's sport can benefit from a more engaged rightsholder. The challenge now is to build on the recent momentum, and sponsorship is recognised as an area that is ripe for having an important role to play in that regard.

Key points to consider when negotiating a sports sponsorship agreement

A successful brand sponsorship arrangement should be supported by a robust, pragmatic set of legal terms that are clear and easy to follow. Given the typically long-term nature of sponsorship agreements, these terms should provide sufficient flexibility and procedural steps to mature with the sponsorship arrangement and adequately cover its evolution.

From our experience, parties to sports sponsorship deals benefit from spending time considering and drafting for the following legal points when negotiating sponsorship agreements at an early stage. 

1. Sufficient contractual flexibility. Women's sport is experiencing rapid growth and, as a result, it is important to build in provisions that address scenarios in which the arrangement is performing strongly, or may need further review.   

  • When an arrangement is performing well, important provisions might include:

    • key performance indicators agreed at the outset, or a mechanism to agree them included in the contract;
    • performance-based payment structures and incentivising milestones;
    • where appropriate, exclusivity provisions (or consent mechanism) to protect the partnership benefits; and
    • rights of first refusal in relation to other sponsorship opportunities (e.g. other teams, tournaments or venues).

  • Where an arrangement is not performing as expected, important provisions might include:

    • the ability to review the fees and payment structures;
    • suspension rights allowing the use of the brand or certain activation strategies to be partially suspended or restricted; and
    • a clear dispute resolution procedure, which sets out an escalation route to try to resolve the dispute before more formalised legal procedures need to be resorted to (and agreement on what these are – be it mediation, arbitration, or the exclusive jurisdiction of a particular court).

2. Address predictable 'what if' scenarios. Brands often fail to include provisions that address circumstances that may arise later in the term of the agreement, despite these circumstances being foreseeable from the outset. For example, women's sport is likely to undergo competition, league and/or team restructures or developments, given the speed at which the game is evolving. Discussing how these changes will be handled (perhaps via a review mechanism or a governance structure) will mean the parties can be clear on the steps that need to be taken if these events occur.

3. Brand control. Brands will be aware that a sports sponsorship agreement involves the licensing of one of their most valuable assets: their trade marks. This can have a direct impact on a company's reputation and the goodwill generated from its customers (both in B2B and B2C scenarios). It is therefore vital to ensure that the brand is comfortable that they can retain control over how their brand is used and positioned in the sponsorship arrangement. This can be achieved by including: (i) approval rights; (ii) a guaranteed seat at the table for future discussions under the arrangement; (iii) clearly defined parameters for the scope of any intellectual property licence, including ensuring that it is non-sub-licensable and that any goodwill generated is owned by the brand; and (iv) good levels of co-operation by the rightsholder in relation to any claims of intellectual property infringement from third parties.

4. Force majeure. The agreement should also contain a well-drafted force majeure clause, potentially with a broader definition than standard boilerplate wording so as to account for actions taken by the relevant league or governing body. Any agreed force majeure clause should also include a termination right, giving the parties a degree of flexibility in prolonged circumstances beyond their control.

Both rightsholders and brands should feel encouraged to enter the sports sponsorship market. Women's sport in particular presents a unique opportunity to partner with rightsholders earlier in their development and, in doing so, build sustainable long-term relationships. Partnerships do not always have to begin at the elite global level; they can start on a smaller or more local scale, whether through grassroots sport, schools or charity projects, and, coupled with innovative brand activation strategies and flexible but well-considered contractual arrangements, make for an attractive sponsorship investment.

Travers Smith recently sponsored a Synonymous Sport event, focusing on sports sponsorship in the women's game

On 2 June 2026, we sponsored an informative invitation-only round table event at the London Stadium, hosted by Synonymous Sport, a marketing agency championing targeted sponsorships arrangements in sport. The event focused on sports sponsorship in the women's game and the activation strategies that can be used to maximise such arrangements, bringing together C-suite leaders from both the brand and rightsholder communities. The event was a huge success and this article builds on the discussions that took place across the afternoon. Attendees benefitted from Rosie Westley, a leading member of our cross-disciplinary Sports Practice, contributing to a panel session that focussed on the legal points identified in this article. We are grateful to Synonymous Sport for the opportunity to sponsor such a high calibre event and look forward to doing so again in future.

How we can help

At Travers Smith, we are act for both brands and rightsholders with their commercial contract negotiations, drawing on our cross-practice expertise to help achieve commercially focussed outcomes. If this is an area in which we can assist your business, please get in touch with any of the contacts listed below and visit our Sports Practice page for more information. Our firm also advises on M&A and investment opportunities, as well as governance and litigation matters, across the sports sector.

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