A recent survey reveals that sponsorship expenditure in Canada has reached record levels. The Canadian Sponsorship Landscape Study indicates that a total of $4.68 billion was allocated to sponsorships in Canada last year, with professional sports, grassroots sports, and non-profit organizations being the primary 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 trends post-pandemic. Despite a four percent annual inflation rate since COVID-19, brands have increased their commitment to rights fees by 17 percent compared to 2024. O’Reilly emphasized the shift towards digital channels to effectively engage younger Canadians under 40, noting the rising costs associated with these digital assets.
The study, in its 20th year, gathered insights from 114 brands, 50 properties, and 24 agencies. It was reported that the average brand invested $10.2 million in sponsorships in 2025, with some spending over $100 million. On average, brands engaged in 20.1 sponsorships that year.
O’Reilly attributed the sponsorship growth to the emergence of new leagues such as the Northern Super League, Professional Women’s Hockey League, and the WNBA’s Toronto Tempo. He emphasized the increasing support for women’s professional sports from Canadian brands, resulting in higher sponsorship prices.
However, the survey highlighted a concerning trend where activation spending has stagnated while rights fees have surged. O’Reilly expressed worry about the effectiveness of sponsorships when activation spending remains flat. He emphasized the importance of achieving a balanced sponsorship activation ratio for optimal results in the industry.