North American-based companies will spend an estimated $1.04billion (€0.66b) to sponsor music venues, festivals and tours this year, a 4% increase from $1b (€0.63b) in 2007, according to Chicago-based IEG Sponsorship Report.

The increase is partly due to bundled offerings for sponsorships such as Citigroup’s Citi Cards multi-year deal with Live Nation that was announced in February and includes tour presentation and venue naming rights, pre-sale ticket offers and VIP hospitality. The deal is reportedly valued at close to $100m (€63m). Part of the continued growth in live music sponsorship is also reflected by the spate of new regional and national festivals, all of which are actively marketing partnerships.

 “The live music industry is seeing more interest from both established companies and smaller, more niche players, all of whom are aligning with music to gain a point of differentiation,” says IEG’s senior editor William Chipps. “We’ve seen spending on live music go gangbusters over the last few years, and while this year it’s slowing down a little bit, it’s largely tied to the economy so it’s not a cause for alarm.”

 Internationally, the market for sponsorship is predicted to rise by 14.8% this year, from $37.9b (€23.9b) to $43.5b (€27.5b), with spending rising in Europe alone by 10.4% from $10.6b (€6.7b) to $11.7b (€7.4b). Sport accounts for over two thirds of the spending, with entertainment, tours and attractions the next most popular draw.