A recent study reveals that sponsorship spending in Canada has reached record levels. The Canadian Sponsorship Landscape Study indicates that a total of $4.68 billion was invested in sponsorships in Canada last year, with professional sports, grassroots sports, and non-profit organizations being the key beneficiaries. The study was presented at SponsorshipX, a branding and sponsorship conference in Toronto.
Dr. Norm O’Reilly, a professor at the University of Florida and one of the survey’s authors, highlighted the impact of inflation on sponsorship spending post-pandemic. Brands increased their commitment to rights fees by 17% compared to 2024, despite a four percent inflation rate. O’Reilly emphasized the shift towards digital channels as a primary means to engage younger demographics, particularly those under 40.
The survey, now in its 20th year, gathered insights from 114 brands, 50 properties, and 24 agencies. It revealed that the average brand allocated $10.2 million to sponsorships in 2025, with some investing over $100 million. On average, brands engaged in 20.1 sponsorships that year.
O’Reilly attributed the sponsorship growth to the rise of new leagues like the Northern Super League and Professional Women’s Hockey League, along with the introduction of the WNBA’s Toronto Tempo. He noted the increasing support for women’s professional sports among Canadian brands, leading to higher sponsorship prices.
Despite the surge in rights fees, the study raised concerns about stagnant activation spending. O’Reilly pointed out that while rights fees have significantly increased, activation spending has remained flat, potentially impacting the effectiveness of sponsorships. The goal of achieving a one-to-one sponsorship activation ratio, reached in 2023, has regressed, signaling the need for a renewed focus on sponsorship activation strategies.