Why Fintech Companies Engage in Sports Sponsorships

Why Fintech Companies Engage in Sports Sponsorships
NuColombia Cycling Team

FinTech companies have increasingly become prominent sponsors in the sports world, using such partnerships to enhance their brand visibility, engage with a wider audience, and associate their services with the positive and dynamic image of sports.

Here are a few notable examples of sports sponsor deals by FinTech companies:

Intuit and the Los Angeles Clippers: Intuit, known for products like QuickBooks, TurboTax, and Mint, secured the naming rights for the Intuit Dome, the future home of the Los Angeles Clippers. This partnership, announced in 2021, helps Intuit connect with sports fans and leverage the Clippers' community initiatives.

NuBank and Flamengo: NuBank, the largest independent digital bank in the world, based in Brazil, partnered with Flamengo, one of Brazil's most popular football clubs. This partnership involves NuBank offering co-branded Flamengo debit and credit cards, tapping into the passionate fan base of Flamengo to expand its customer base and enhance brand loyalty.

And of course Nubanks recent sponsor deal with of a professional cycling team Nu Colombia

Trade Republic and RB Leipzig: Trade Republic, a German mobile brokerage company, entered into a sponsorship deal with RB Leipzig, a prominent Bundesliga team. The partnership focuses on brand visibility and engaging fans with innovative financial solutions, emphasizing smart investing among a younger, tech-savvy audience.

PayPal and Phoenix Suns: PayPal entered into a partnership with the Phoenix Suns NBA team, becoming their official payment partner. This deal allows PayPal to integrate its payment technology into the Suns' business operations, including ticket sales and merchandise purchases.

Starling Bank and Team GB: Starling Bank, a UK-based digital bank, became the official banking partner of Team GB for the Olympic Games. Although not a club team sponsorship, this partnership illustrates the broad approach fintech companies are taking to associate with sports. It aimed to increase Starling Bank's national visibility by aligning with the values of excellence and teamwork represented by the British Olympic team.

Chime and Dallas Mavericks: Chime, a financial technology company offering banking services, became the official jersey sleeve sponsor of the NBA's Dallas Mavericks. This partnership aims to increase Chime's brand visibility and connect with the Mavericks' fan base through shared values of innovation and community engagement.

Curve and AFC Bournemouth: Curve, the London-based financial technology company that consolidates multiple cards into a single smart card and app, became an official partner of AFC Bournemouth, a football club competing in England's Championship at the time of the partnership. The deal includes branding on matchday and training kits, aiming to raise Curve's profile among football fans.

Mercado Pago and CONMEBOL Libertadores: Mercado Pago, the fintech arm of Mercado Libre, became an official sponsor of the CONMEBOL Libertadores, South America's most prestigious football club competition. This partnership allows Mercado Pago to showcase its payment solutions to millions of football fans across Latin America, enhancing the fan experience with convenient digital payment options.

Zelle and Major League Baseball (MLB): Zelle, a digital payments network, partnered with Major League Baseball to become the official payment partner for MLB. This partnership involves integrating Zelle's payment technology into MLB's digital platforms, offering fans a convenient way to pay for tickets, merchandise, and concessions at stadiums.

Why Fintech Companies Engage in Sports Sponsorships

FinTech companies choose to sponsor sports teams and events for several strategic reasons:

  • Brand Visibility: Sports events attract large audiences both in person and via broadcast, providing fintech companies with significant exposure. This visibility can be particularly beneficial for fintechs looking to establish or enhance their brand recognition in competitive markets.
  • Customer Engagement: Sports sponsorships allow fintech firms to engage with potential customers in a dynamic environment. They can offer targeted promotions, exclusive deals, and interactive experiences that foster a stronger connection between the brand and consumers.
  • Brand Association: Associating with sports teams or events can imbue the fintech brand with attributes such as teamwork, excellence, and innovation—qualities that are highly regarded in sports and can positively reflect on the sponsoring company.
  • Market Expansion: For fintech companies looking to enter new markets or demographic segments, sports sponsorships offer a direct channel to introduce their services to a diverse and engaged audience.
  • Innovation Showcasing: Fintech firms can use these partnerships to showcase their technological innovations, such as contactless payments at stadiums or exclusive app features for fans, demonstrating their value proposition in practical, relatable ways.

Through these sponsorships, FinTech companies not only achieve greater brand visibility but also align themselves with the values and passions of sports fans, creating a powerful platform for growth and customer engagement.