A recent study revealed that sponsorship expenditure in Canada has reached an all-time high. The Canadian Sponsorship Landscape Study indicated that a record $4.68 billion was allocated to sponsorship activities in Canada last year, benefiting professional sports, grassroots sports, and non-profit organizations the most. 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, emphasized that inflation has become a significant factor post-pandemic. Despite a four percent annual inflation rate since the COVID-19 outbreak, brands increased their commitment to rights fees by 17 percent compared to 2024.
The study highlighted the shift towards optimizing sponsorship strategies, particularly targeting younger Canadians under 40 through digital channels. A total of 114 brands, 50 properties, and 24 agencies were interviewed for the survey, marking the 20th year of its implementation.
On average, a brand spent $10.2 million on sponsorships in 2025, with some respondents investing over $100 million. The typical brand engaged in 20.1 sponsorships 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, contributed to the sponsorship surge. Women’s professional sports have gained momentum and attracted significant interest from Canadian brands, leading to increased sponsorship prices.
However, the survey raised concerns about activation spending remaining stagnant while rights fees soared. Activation spending refers to additional investment beyond rights fees to enhance the impact of sponsorship. O’Reilly expressed disappointment in the stagnant activation spend, noting that the industry had previously aimed for a one-to-one sponsorship activation ratio, which has regressed from the standard set in 2023.
