FMV
Fair market value (FMV) is the price a sponsorship asset would be sold for on the open market in an arms length transaction between two unassociated parties both operating in their own commercial interests.
The strength of a market valuation is that it is grounded in commercial reality, considering each asset relative to what the market has demonstrated it is prepared to pay for similar assets. Furthermore, a market valuation considers the entire value on offer including but not limited to brand reach, reputational benefits, audience access and community integration.
The industry's only independent sponsorship market valuation. Free from vested interest. Free from commercial bias.
Methodology
FMV Index™ valuations are built around three core inputs, processed through a sponsorship strength scorecard and calibrated using market regression analysis. The model is reviewed and recalibrated quarterly as new verified deal data is added to the database.
Inputs
The Sponsor surveys brand and marketing leaders to identify the sponsorship attributes that matter most to those with budget allocation authority. These insights underpin the FMV Index™ Sponsorship Strength Scorecard.
The Sponsor analyses which attributes consistently convert into signed deals - identifying the factors that sponsors actually pay for, not just those they say they value.
The Sponsor maintains a database of 250+ verified sponsorship deals across top European football leagues, secondary divisions and additional sports and entertainment properties. Deals are included where submitted directly by rights holders or brands, or where reported by three or more independent credible sources (e.g. The Athletic, BBC, Financial Times).
Scorecard
Each property is assessed across three core categories - Reputation, Awareness and Contribution - each with sub-categories and individual data points. The scorecard produces a relative strength rating for every asset evaluated.
Reputation
Brand equity covering the asset's perceived value on and off the pitch.
- ·History
- ·Quality
- ·Infrastructure
- ·Cultural Relevance
Awareness
The scale and consistency of attention the asset commands across audiences and media.
- ·Reach
- ·Frequency
- ·Demographics
- ·Engagement
Contribution
The asset's wider social and institutional standing beyond commercial performance.
- ·Environment
- ·Inclusion
- ·Status
- ·Community
Regression
The relationship between the 250+ verified deal data points and their corresponding sponsorship strength scores is analysed using market regression analysis. This examines how transaction price varies with sponsorship strength across the dataset.
The resulting model is applied to each asset's individual strength score to calculate a specific fair market value range - grounded entirely in what comparable assets have demonstrably commanded in the open market.
Where verified deal data for a comparable segment is unavailable, this is clearly stated and an indicative valuation is provided free of charge.
Valuation Standards
FMV Index™ valuations are conducted in accordance with the principles of IVS 105 - Valuation Approaches and Methods. These are independent market regression valuations.
Independence
The Sponsor is independent. We have no vested or commercial interest in the outcomes of our valuations. We do not buy, sell or recommend sponsorships on behalf of brands or rights holders, and we are entirely privately owned - under no pressure from parent organisations or shareholders with a stake in the result.
Where subjective assessment is required - as it is in any intangible asset valuation - that subjectivity is completely unbiased.