Transcript Sports Marketing

Chapter 1
What Is Sports and
Entertainment Marketing?
1.1 Marketing Basics
1.2 Sports Marketing
1.3 Entertainment Marketing
Sports and Entertainment Marketing
© Thomson/South-Western
Sports Marketing
Learning Targets:
 I can describe the basic concepts of
marketing.
 I am able to explain the Marketing Mix.
 I can define the Six Core Standards of
marketing.
Sports and Entertainment Marketing
© Thomson/South-Western
Key Terms:
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marketing
marketing mix
product
distribution
price
promotion
discretionary income
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WHAT IS MARKETING?
 Marketing
 Process through which goods and services move from
concept to the customer. It includes the coordination of
four elements called the “4 P's of marketing”:
(1)
(2)
(3)
(4)
Product
Place or (Distribution)
Price
Promotion
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Simply stated Marketing is the creation and maintaining of a satisfying
exchange.
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Continued…
 Creation – product/service development.
 Maintenance – it must be continuous.
 Satisfaction – meets the needs/wants of
businesses and customers.
 Exchange – businesses and customers both give
and receive something of value.
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Satisfying Customer Needs
 Identify your customer
 Identify needs/wants of your customer
 Develop superior products
 Operate your business profitably
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Sports and Entertainment Marketing
Marketers of sports and entertainment
marketing must assess;
 consumer demand
 the competition
 the financial valuation of the goods and
services they offer
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THE MARKETING MIX
 Marketing Mix
 Describes how a business blends the
following four elements:
 Product
 Distribution (Place)
 Price
 Promotion
aka – the Four P’s of Marketing
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 Product
 what a business offers to satisfy needs/wants.
 goods and services
Can be either tangible or intangible or both.
 Distribution (Place)
 the locations and methods used to make products
available to customers.
Ex: Online, mail order, Bricks-N-Mortar
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 Price
 amount customers pay for products.
Amount that is listed on the price tag, ticket, bill, etc.
 Promotion
 ways to make customers aware of products.
 encourages customers to buy.
Ex: advertising, publicity, personal selling, and
public relations.
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Marketing Mix Considerations
 Satisfying Customers
 Must satisfy customers needs/wants by
1. Offer what they want
2. Offer when they want it
3. Offer where they want it
4. Offer it at a price (affordable) they are willing to pay
 Discretionary / Disposable Income
 the amount of money individuals have available to
spend after paying for necessities
Striking the right balance between price, distribution and
promotion is important.
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A Marketing Mix Example in the
Sports Industry – Super Bowl
 Product a championship game offered by the NFL between
the best in the AFC vs the best team in the NFC.
 Distribution includes the location of the host city and ticket
sales.
 Price – consumer costs extend beyond ticket prices and
include travel and lodging expenses.
 Promotion involves media outlets and related-product
contests.
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In class Assignment / Bell Ringer / Exit Slip:
Opening Act pg. 4
Work with a partner or work solo.
Read – answer what it is asking. Email your answers to:
[email protected]
[email protected]
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Michael Jordan - NIKE
Michael Jordan - NIKE
Bo Jackson - NIKE
Tiger Woods – NIKE
LeBron James – Beats by Dre
Wade and Barkley – T Mobile
Jeter, Woods and Federer - Gillette
Johnny Football – Snickers
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Barkley and Harden - Footlocker
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Read
Page 9 & 10
Be ready to discuss tomorrow.
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CORE STANDARDS OF MARKETING
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 Distribution
 Distribution involves determining the best
way to get a company’s products and
services to customers.
Examples: In stores, online, via mail order
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 Marketing-Information Management
 gathering and using information about
customers to improve business decision
making.
Example: Telemarketers calling you and
asking you various questions.
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 Pricing
 the process of establishing and
communicating to customers the value or
costs of goods and services.
Price is typically linked to consumer demand.
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 Product/Service Management
 designing, developing, maintaining, improving and
acquiring products or services to meet customer
needs.
Examples:
Sony comes out with
bought out
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 Promotion
 using a variety of communication forms, including
advertising, to distribute information about
products, services, images and ideas to achieve a
desired outcome.
Examples: Sales ads, Commercials on TV.
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 Selling
 any direct and personal communication with
customers to assess and satisfy their needs now
and in the future.
Examples: Sales and customer service representatives.
Progressive Insurance
Best Buy
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 Financing
 A company must budget for its own marketing
activities and provide customers with assistance
in paying for the company’s products and
services.
Example:
Note – customers are more likely to make a purchase
when they have more than one payment option.
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In class Assignment / Bell Ringer / Exit Slip:
ENCORE! pg.11
Read and Answer #3
Due (start of class) – 9/5/14
Email to – [email protected]
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#3
Purchased Four Reds Tickets
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Financing – used credit card (had to pay in full), half-off deal
Pricing – $24 per ticket (half-off face value)
Promotion – REDS email alert, newspaper
PSM – updated customers on ½ half tickets
Distribution – received by mail (could have picked them up at Will Call)
Selling – email from REDS ticket office
MIM – had to give personal information (name, address, phone #)
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Flyers
Basic rules for creating a successful Flyer • Be Readable
– Utilize clear Fonts and Scripts
– Utilize a short, Catch Phrase
• Informative
– Answer: Who, What, When, Where or Date, Time, Location, Cost
• Eye Catching Design
– utilize pictures and bright colors
• Call to Action
– Go online, Call #, Text, Make Purchase, Sign Up
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Lesson 1.2
Sports Marketing
Learning Targets
 I can identify sports marketing
strategies.
 I understand the importance of target
markets.
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Terms
 Sports Marketing
 Target Market
 Demographics
 Gross Impression
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WHY SPORTS MARKETING?
 Sports Marketing
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using sports to market products/services
 Target Market
 Specific group of people you want to reach (your “Target”)
How do we identify (know) our market?
 By researching their Demographics
 Demographics
 Quantifiable statistics (data) of a given population….common
characteristics of a specific group
 age, gender, location, income level, education level, ethnicity,
home ownership, marital status
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Gross Impression
 Marketing strategy used by businesses
 the number of times per advertisement, game, or
show that a product or service is associated with
an athlete, team or entertainer is shown.
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Timing
 Businesses musk act when
 Fans want products and services
 Teams Wins
 Addition of Popular Players
 Trends/Styles change
 Marketing efforts will change
 Winning/Losing
 Positive/Negative Press
 Trends/Styles change
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Emotional Value
 connections to teams, players based on
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Tradition
Family
Where you live
What you know (like/watch)
Emotions - major factor in what consumers BUY, why
they BUY and when they BUY.
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THE VALUE OF SPORTS MARKETING
 it is a multi-billion-dollar global industry
 Businesses know there is money to be made.
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New Sports Creates Opportunities
 for businesses to make money.
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Frisbee Golf
Extreme Sports (X-Games)
UFC
Aero-ball
Futsal
FootGolf
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So Many Channels
 High profile sporting events generate strong
promotional revenues for broadcasters.
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Bowl Games
Rivalry Games
Preseason Tournaments
Championship Games
How many sports channels do you have?
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DIRECTV
Fioptics (Cincinnati Bell)
Dish Network
Time Warner Cable
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In class Assignment – 30pts:
Read pages 17 - 22
Page. 24-25
 Answer questions 1-12, 14,16 and 17
Type your answers in Microsoft Word – Printout and turn in (place in your
paper in your Class Bells Bend) before leaving class.
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Lesson 1.3
Entertainment Marketing
Learning Targets
 I can define entertainment.
 I can explain the impact ratings has on
marketing and sports teams.
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Terms
 entertainment marketing
 entertainment
 ratings
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What Exactly is Entertainment?
 entertainment
 whatever people are willing to spend their
money and spare time viewing rather than
participating in.
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Watching NFL Sunday Ticket.
Attending a concert at Riverbend.
Attending a Camels Athletic event.
Going to the movies.
Sports and Entertainment Marketing
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ENTERTAINMENT FOR SALE
 entertainment marketing
 influencing how people choose to spend
their time and money on entertainment.
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The Big Eye in Every Room
 Television changed the marketing of
entertainment in a profound way.
 Ratings
 Number of viewers the program attracted.
 Commercials
 Advertising spots purchased by businesses to
promote their products/services during TV and Radio
broadcasts.
Note: Ratings is the main factor in pricing commercials.
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Change Accelerated
 Technology advancements/improvements have
facilitated the distribution of sports and
entertainment to the masses.
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Internet
Blogs
Steaming
Smart Phones (iPhone, Galaxy, etc.)
Note: technology has increased the success rate of reaching
Target Markets.
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Technology and Customer Feedback
 Marketers, Teams and Fans utilize
technologies to communicate.
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Web Sites
Blogs
Texting
Facebook
Twitter
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