Transcript Document 7140219

Sports Marketing Profile
Categories of Sports
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Section 3.1 – Sports
Marketing Profile - Objectives
Define sports
marketing
Identify key events
in the history of
sports marketing
Name careers in
sports marketing
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Section 3.1 –
Sports Marketing Profile
Sports Appeal and Marketing
People spend time and money
on sports because they feel
excitement and are entertained
by the competition and
spectacle of sports
Sports marketers sell sports,
games, and services to these
fans.
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Section 3.1 –
Sports Marketing Profile
What is Sports Marketing?
Characteristics of Marketing:
– Marketing: Process of developing, promoting, and
distributing products, or goods and services, to satisfy
customers’ needs and wants
– Sports Marketing: All the marketing activities designed
to satisfy the needs and wants of sports consumers
• Might focus on the sport, or other activities that revolve
around sporting event (ex. Planning, Promotion,
Financing, and Sponsorship)
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Section 3.1 –
Sports Marketing Profile
Two Major Components of Sports Marketing
The Marketing of the
Sport
– Promotion of events
trough media, radio, or
online advertisements
The Marketing through
the sport
– Manufacturers promote
their products by using
connections to sports
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Section 3.1 –
Sports Marketing Profile
A Brief History
In 1923, Wilson Sporting Goods signed professional golfer
Gene Sarazen to a deal that lasted until Sarazen passed away in
1999
– Longest running endorsement deal in sports history
William “Bill” Veeck was inducted into the Baseball Hall of
Fame for his innovations in sports marketing
– Promoted activities and events surrounding game that would entice
fans to return to more games
– Names on jerseys, ballpark giveaways, exploding scoreboards
Linking athletes to corporations was the brainchild of agent
Mark McCormack
– Founder of International Management Group (IMG)
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Section 3.1 –
Sports Marketing Profile
Rank
Industry
Size in billions of dollars
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Real Estate
850.0
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Retail Trade
639.9
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Health Service
443.4
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Construction
277.6
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Utilities
205.3
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Sports
152.0
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Insurance Carriers
115.4
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Legal Services
100.5
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Auto repair, services, parking
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Section 3.1 –
Sports Marketing Profile
Careers in Sports Marketing
Growth of the sports industry, new sports, and more than 20
new leagues has led to an increase in sports marketers
Examples of sports marketing careers:
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Journalists
Sporting Good Retailers
Scriptwriter
Producer
Ticket agent
Luxury-box sales representative
Food and merchandise sales representative
Group-ticket salesperson
Section 3.2 – Categories
of Sports Objectives
Identify the different categories of sports
Differentiate between amateur sports and
professional sports
Discuss the significance of international sports
Explain the significance of women’s sports
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Section 3.2 –
Categories of Sports
Sports and sporting events can be classified into the
following categories:
Amateur
High school
College
Professional
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Section 3.2 –
Categories of Sports
Amateur and Professional Sports
Sports consumers may enjoy certain classification of
non-professional sports more than professional sports
Reasons:
– Enjoy watching family & friends compete
– Interested in local schools
– Classification more competitive
Consumers can be interested in all classifications or
levels of a sport
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Section 3.2 –
Categories of Sports
Amateur Sports
Amateur Athlete: a person who does not get paid to play a
sport
– Examples: high school, college, or rec player
– Not being paid is the only limitations regarding being an
amateur athlete
Amateur sporting events attract a large number of fans,
attention, and money
Many communities have youth leagues, senior leagues, and a
variety of other athletic organizations that attract people who
want to participate and watch
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Section 3.2 –
Categories of Sports
Amateur Sports
Young Amateur Sports
Youth tournaments in major
cities attract many people
– Families and Friends
– Sponsors (local business) that
are aiming to attract a target
market to their product
– Colleges and universities
attempting to attract
teenagers to their schools
Recreational Sports
Involvement may begin in
peewee leagues as early as 5 or
6 years old
Organizations such as Boys &
Girls Clubs of America, YMCA &
YWCA, and AAU encourages
young people to get involved in
sports
– Cannot function without
funding from local businesses
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Section 3.2 –
Categories of Sports
High School Sports
Many high schools and communities put much effort and enthusiasm
into their sporting events due to impact they have on community
morale
The National Federation of State High School Associations (NFHS) set
guidelines and make sure that students benefit from a balanced
educational and athletic experience
Movies such as Remember the Titans and Hoosiers demonstrate the
power that high school sports have on a community
Regional influences, natural resources of a specific climate and
geographic location encourage the popularity and development of
specific sports
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Section 3.2 –
Categories of Sports
Section 3.2 –
Categories of Sports
College and University Sports
Sporting events at the college level are very popular and
extremely competitive in all regions
– More popular than professional sports in some areas
Sports offered by schools may be impacted by:
– Range of interests of student body
– Size of population
– Competitive nature of school
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Section 3.2 –
Categories of Sports
College and University Sports – cont.
National Collegiate Athletic Association: NCAA, is a national
organization that governs college athletics and oversees
important decisions pertaining to athletics
– Sets up rules and regulations that encourages legitimate, amateur
competition without unfair influence from businesses or individuals
– Regulates all collegiate athletics, including the marketing of sporting
events
NCAA created divisions to keep schools competitive
– Division I, Division II, Division III
– Based on student population, financial stability, and player
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ability
Section 3.2 –
Categories of Sports
College and University Sports – cont.
NCAA – cont.
– NCAA divisions have an economic impact on schools and
communities
– Higher divisions draw more spectators, which therefore provides
the universities with a greater opportunity to benefit from name
recognition
– NCAA Division I Men’s Basketball Championship tournament is
the most heavily marketed collegiate sporting event
• Potential markets can be people interested in buying schoolbrand apparel, or students interested in attending school
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Section 3.2 –
Categories of Sports
Professional Sports
Professional Athlete: an athlete who has the will and ability to
earn an income from a particular sport
– Income can be paid by team or by major corporations (ex race car
driver)
– In addition to team salary, major athletes can earn income from
corporations seeking endorsement services
Teams as Businesses
– The most costly and heavily marketed of all sports categories
– Goals of Teams: Get the best players  Win Events  Attract
fans  Fans purchase tickets and merchandise  Team makes
money
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Section 3.2 –
Categories of Sports
Other Sports Categories
Olympic Games
Athletes with disabilities
International sports
Women’s sports
Extreme sports
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Section 3.2 –
Categories of Sports
Olympic Sports
The first Olympic game was held in 776 B.C.
The Olympic Games were revived in 1890 by Pierre de Coubertin
The International Olympic Committee (IOC) plans the games and
oversees issues and decisions
Beginning in 1984, the IOC allowed 43 corporate sponsors to sell
“official” licensed Olympic products
The Amateur Rule was overturned in 1986, allowing professional
athletes to compete in Olympics
– Allowed NBA “Dream Team” to compete
– Responsible for the enormous boost in popularity of basketball on an
international basis
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Section 3.2 –
Categories of Sports
Paralympics / Special Olympics
The Paralympic Games are Olympic-style games for athletes with
disabilities
– Originally organized by Sir Ludwig Guttman for British WWII veterans
with spinal cord related injuries
In 1968, Eunice Kennedy Shriver organized the First International
Special Olympic games for individuals with developmental disabilities
– Currently Held in the same year as Olympic Games
Offers year-round training and competition in 26 summer and
winter Olympic style sports
Special Olympics currently serve one million people in more than 200
programs in more than 150 countries
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Section 3.2 –
Categories of Sports
International Sporting Events
ABC’s The Wide World of Sports provided advances in media
technology and globalized sports
Popular sports around the world include:
– Soccer (the World Cup)
– Biking (the Tour de France)
– Cricket
– Rugby
Each of these sports provides entertainment to the sports
consumer and new challenges to sports marketers
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Section 3.2 –
Categories of Sports
Women’s Sports
The status of women in sports has advanced in the 20th
century, especially in the last 20 years
– 1970-71 – 294,00 girls competing in high school athletics
– 1998-99 – 2,652,00 girls competing in high school athletics
As early as 1932, Olympic gold medalist Mildred “Babe”
Didrikson Zaharias not only excelled at most sports, she was
also an impressive sports promoter
– All around skills inspired men and women, as well as sports marketers,
when few women received public recognition for their athletic abilities
1973 Billy Jean King defeated Bobby Riggs in “The Battle of
Sexes” Tennis Match
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Section 3.2 –
Categories of Sports
Women’s Sports – cont.
The Battle of Sexes
– Billy Jean King vs. Bobby
Riggs
– September 20, 1973
– Houston Astrodome
– King def. Riggs 6-4, 3-6,
6-3
Section 3.2 –
Categories of Sports
Women’s Sports – cont.
On June 23, 1972, the enactment of Title IX, the
Education Amendment, advanced girls’ participation
in sports
– Title IX: law that bans gender discrimination in schools that
receive federal funds
– Budgets do not have to be equal, but they have to be
comparable
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Section 3.2 –
Categories of Sports
Extreme sports
Extreme Sports: Sports the involve non-traditional, daring
methods of athletic competition
– 1980s skateboarders, rollerbladers, stunt bikers, and
snowboarders of Generation X helped launch this new style of
sport
– Extreme sports are relatively new to sports-marketing efforts
– Corporations have begun to market products toward a new
target market by promoting extreme sport drinks, clothing, and
other merchandise
– Extreme sports is one of the many categories of sports whose
characteristics help identify target markets
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