A recent study reveals that sponsorship spending in Canada has surged to record levels. The Canadian Sponsorship Landscape Study indicates that a total of $4.68 billion was dedicated to sponsorships in Canada last year, with professional sports, grassroots sports, and non-profit organizations being the primary beneficiaries. The study was presented at the SponsorshipX event 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 investments post-pandemic. Brands have shown a 17% increase in commitments to rights fees compared to 2024, despite a four percent inflation rate. This trend signifies a shift towards digital channels to engage younger audiences, particularly those under 40.
The survey gathered insights from 114 brands, 50 properties, and 24 agencies. On average, a brand allocated $10.2 million to sponsorships in 2025, with five participants investing over $100 million each. The typical brand was engaged in 20.1 sponsorship agreements that year.
O’Reilly pointed out that the rise of new leagues such as the Northern Super League and Professional Women’s Hockey League, along with the introduction of the WNBA’s Toronto Tempo, has contributed to the sponsorship upsurge. The growing interest in women’s professional sports has attracted Canadian brands, although prices for sponsorships have escalated beyond market values.
Despite the increase in rights fees, the study revealed a concerning trend of stagnant activation spending. Activation spending refers to additional investments made to promote the sponsorship beyond the rights fees. O’Reilly expressed disappointment in the flat growth of activation spending, as it may diminish the effectiveness of sponsorships in the long run.
Overall, the study reflects a dynamic landscape in sponsorship spending in Canada, driven by a mix of traditional and digital engagement strategies to connect with diverse audiences.