Strategic Naming Rights with Purpose: CoBank’s Charitable Investment
Victus Advisors analyzes CoBank’s $5 million donation for naming rights of livestock arenas at Denver’s National Western Center.
Client
CoBank
Sector
Sponsorship & Brand Development
Project
Valuation Analysis for CoBank’s Proposed Gift to the Western Stock Show Association
Year
2021
Client Challenge
CoBank sought to evaluate the fair market value of a $5 million charitable donation to the Western Stock Show Association (WSSA). In exchange, the WSSA offered naming rights to the new livestock and auction arenas. CoBank wanted to ensure the agreement provided adequate commercial value while aligning with its mission of supporting agriculture and rural infrastructure.
Approach
Victus Advisors conducted a thorough valuation analysis of the proposed donation agreement. This included assessing the commercial value of naming rights and sponsorship assets such as on-site signage, media exposure, hospitality tickets and intangible benefits like charitable goodwill. Victus utilized demographic and socioeconomic analysis, market comparisons, and projected exposure metrics to assign value to the tangible and intangible aspects of the agreement.
Benefits to Client
Victus provided a detailed breakdown of the $5 million donation, assigning approximately 26% to charitable goodwill and 74% to commercial value over a 35-year horizon. Recommendations included refining contract language for “perpetuity,” optimizing on-site signage visibility, and creating an annual activation plan to maximize media exposure and audience engagement. This analysis ensured CoBank’s investment would deliver both tangible benefits and alignment with its mission.