Policy statement
THE AGR POLICY ON ENDORSEMENTS AND SPONSORSHIP
Introduction
1. This paper explains AGR’s new policy on:
- endorsement of external products and services
- sponsorship of external products and services
- endorsement of AGR products and services
- sponsorship of AGR products and services
Background
2. During its long history AGR has frequently been approached to endorse products and services operating within the graduate recruitment industry. The trend is for more requests and offers to be made.
3. It is easy to see why. AGR has developed a powerful brand over the years. And yet, the association has, by and large, resisted such overtures.
4. Meanwhile endorsements and sponsorships have become part and parcel of commercial and, indeed, public life. Many trade associations and professional bodies have embraced this as a means to raise funds, some to a significant extent.
5. On occasions, AGR has allowed its brand to be used to endorse products and services. The circumstances have invariably been driven by requests to AGR and not the other way round. With the exception of conference sponsorship, these arrangements have not involved financial remuneration.
6. But times change. AGR is ambitious to expand its services and influence that to do so requires additional funds. While membership subscriptions and conference fees continue to be the main sources of income, other revenue streams must be identified.
7. Taking all of these factors into account, the AGR Board of Directors, has reviewed the somewhat ad hoc approach to endorsements and sponsorship. A new, more strident approach has been adopted and this is detailed below.
Purpose behind endorsements and sponsorship arrangements
8. There are three main drivers:
- To influence standards/quality of graduate recruitment practice
- To raise the AGR profile and develop brand/product or services
- To raise funds to finance the development of member services
Criteria for the endorsements of external products and services
9. Arrangements will not be entered into lightly. AGR may advertise its desire to offer endorsements and when it does these will be open to competition. However, the Board reserves the right to enter arrangements on the basis of opportunism – the right request at the right time and place.
10. The following criteria will be applied:
- Demonstrable, tangible benefits to AGR and its membership
- Not all arrangements will involve money. Contra deals will be considered as long as AGR can identify benefits for its members
- Alignments with key drivers in the market – what meets our members needs now and in the future?
- Active engagement in shaping the service or product
- The reputation of the organisation seeking endorsement or offering sponsorship
- The association will avoid holding an extensive list of endorsements at any one time as this only serves to devalue the brand. Exclusive arrangements will be considered very carefully and any such arrangement will be time limited.
- It would be generally inappropriate to endorse more than one service or product of a similar type at the same time.
- AGR will avoid striking deals that are :
- cash only
- lacking in integrity
- ill thought out
- not in the best interests of a majority of our members
Criteria for sponsorship of external products and services
10. AGR is unlikely to advertise for external sponsorship opportunities, so requests will be driven by external organisations. When approached, AGR will apply the following criteria:
- tangible benefits to AGR and its members
- alignment with the key drivers in the market and the business
- active engagement
- reputation of the organisation and the product or service
Criteria for endorsement of AGR products and services
11. AGR may occasionally seek the endorsement of an external organisation for one of its own services or products e.g. endorsement of a research publication or conference. AGR would normally initiate the arrangement by either advertising openly or making a direct approach to an appropriate body.
12. Such arrangements will be dependent on the following criteria:
- tangible benefits to AGR and its membership
- reputation of the organization and the appropriateness of their endorsement to the product or service
- the added value that external endorsement would bring.
Criteria for sponsorship of AGR products and services
13. For some years AGR has sought sponsorship for its annual conference and a tried and tested formula is now in place. This is based on open competition for named activities. This form of sponsorship clearly benefits the members as it helps to keep the cost of attending conference down. It also adds credibility to the event by having businesses associated with it
14. Similar practice will be adopted for other sponsorship opportunities as identified by AGR, but these will be kept within reasonable bounds. The criteria to be adopted will be the same as listed under 12.
How will endorsements and sponsorships be decided?
15. The Board of Directors have voted to establish a new company “AGR Consultancy Services Ltd” to manage ‘commercial’ activities including sponsorships and endorsements. Other activities that will come under the auspices of this new company including the agr Standard.
16. AGRCSL will have four directors - the three officers of AGR, chair, vice-chair, financial director and the chief executive. They will be specifically responsible for negotiations before obtaining ratification of the full AGR Board.
What procedures will apply?
17. When AGR advertises for endorsements and sponsorships, it will be via the AGR website and E-bulletins.
18. However, it is envisaged that most proposals will originate from external organisations seeking AGR endorsement or sponsorship. In determining the suitability of any proposal, the criteria described above will be applied by the directors of AGRCSL.
19. In the first instance, all approaches should be directed to the chief executive. Lobbying of Board Members will not be acceptable practice.
20. The Board of Directors may choose from time to time to publish guidance on the specific kinds of endorsements and sponsorships they may be interested in. This information would be communicated to members through the usual channels – Graduate Recruiter, e-bulletins etc.