Marketing

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Marketing and Commercial Sponsorship
Mandy Smith-Nethercott USAFE/A7SPM
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Topics

• Why Market?
• Marketings Role in Services
• Keys to a Successful Services Marketing Plan
• Sponsorship Advertising
• USAFE Services Programs/Promotions
• AFSVA Programs/Promotions
• References
• 2004 AF Customer Feedback USAFE Results

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Why You Need to Market

• What the Competition is Doing
• Est. Annual Revenues Spent on Sales Marketing
• 3 Less than 1
• 45 1-5
• 25 6-10
• 22 11-20
• 5 More than 50

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Why You Need to Market

• Sales are Not Made on Price Alone
• Whats Most Important in Buying Decisions
• Best Quality
• Fair Price for Quality
• Ease of Purchase With no Hassles
• Great Customer Service
• Lowest Price
• No Market Leader is the Lowest Price Brand

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Why You Need to Market

• Audiences Forget 90 of What They See Within 2
  Weeks
• Power of Repetition
• Creates Top-of-Mind Awareness
• It Takes 22 Impressions to Move the Mind From
  Total Apathy to Purchase Readiness

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Why You Need to Market

• Existing Customers are the Most Likely Source of
  Referral and the Only Source of Repeat Sales
• 60 of Your Marketing Effort Should Be Here
• It is 6 Times More Expensive to Attract a New
  Customer as it is to Keep a Current Customer

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• Your Marketing Partner

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Marketings Rolein Services

• Partnership is the Key
• Include your Marketing Partner/Director in
  Planning Meetings/Staff Meetings/Flight Meetings

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Where Marketing Fits in the Organizational
Structure
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Marketings Rolein Services

• Make Flyers?
• Change Marquee Letters?
• Take Pictures?
• Do PowerPoint Slides for Commander?
• Not even close!

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Marketings Rolein Services

• Develop, Implement Analyze Market Research
• Corporate PRISM
• Customer Feedback
• Local Surveys
• Develop Marketing Goals, Objectives and
  Strategies
• Make Marketing a Key Team Partner

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Marketings Rolein Services

• Advise Managers on Marketing and Promotional
  Strategies
• Identify Target Markets
• Determine Effective Ways of Reaching Those Markets

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Marketings Rolein Services

• Determine Effectiveness of Current Initiatives
• Measurements/Goals
• People, Participation
• Dollars, Register Rings

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Marketings Rolein Services

• Plan and Implement Marketing, Promotional and
  Publicity Campaigns for Flight- and Squadron-wide
  Events

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Marketings Rolein Services

• Coordinate Implementation of Marketing Plans
• Obtain Sponsorship to Support Events
• Utilize Advertising Program to Off-set Costs of
  publishing

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10 Steps To An Effective Services Marketing Plan

• Step 1 - Identify trends and examine your local
  environment
• Step 2 - Examine potential opportunities and
  threats to your program
• Step 3 - Determine the strengths and weaknesses
  of your program
• Step 4 - Ask yourself, What business am I in?
• Step 5 - Identify who your customers are and what
  they need
• Step 6 - Identify your marketing goals
• Step 7 - Determine the best marketing mix
• Step 8 - Select appropriate marketing strategy
• Step 9 - Develop a plan of action
• Step 10 - Monitor program and evaluate results
  revise as appropriate

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• AF Corporate PRISM

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Corporate PRISM

• Weighted survey answers representative of entire
  base population
• Survey accomplished every 2 years
• Next data available end 2005
• Used to define AF leisure markets
• Provides demographics, market size/share, and
  improvements
• 13 facility/program areas in survey

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Corporate PRISM

• Demographics charts define installations
  population characteristics
• Market analysis charts evaluate market size and
  share of installations programs/activities
• Improvements charts identify customers wants and
  needs and the potential gains
• Detailed inquiry charts give the frequency and
  location of visits

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Corporate PRISM

• Used by managers to assess customer needs,
  increase participation, and make sound business
  decisions
• Groundwork for additional research
• In-house surveys
• Focus groups
• Needs assessment studies

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• AF Customer Feedback

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Customer Feedback

• Benefits
• Assess satisfaction
• Prioritize problem areas
• Develop marketing strategies
• Baseline for comparison of previous years data

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Customer Feedback

• Annual measurement of customer satisfaction
• Analysis tool for managers

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Customer Feedback

• Measurement Variables
• Customer Service
• Facilities
• Equipment
• Value
• Overall Activity Rating

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Customer Feedback

• Overall Services Grade
• Satisfaction/Importance Attributes
• Demographics

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AF Customer Feedback

• Comparison of Annual AF Findings
• FY04 FY03 FY02
• Customer Service 83 83 82
• Facilities 80 80 80
• Equipment 80 80 79
• Value 81 80 80
• Overall Activity 81 80 79
• Overall Services 74.49 73.65 73.40
  
• Results indicate a slight but steady increase in
  satisfaction

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Customer Feedback FY04 AF Activity Averages

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Local Surveys

• Provide Customer Satisfaction Reviews
• Program Specific Feedback
• Targeted Concern Feedback

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Local Surveys

• Interactive Customer Evaluation (ICE)
• FREE Web-based electronic comment card system
• joyce.mussey_at_osd.mil
• Opinion Meters
• Comment Cards
• Paper
• Web

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• CommercialSponsorship

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Sponsorship

• Designed to Help Enhance or Off-set Expense for
  Services MWR Programs
• Must be a Bona Fide Services Event
• Can Only be Used for MWR Elements
• Honor Guard, Lodging, Military Dining Excluded
• Does not Include Normal Day-to-Day Management and
  Overhead Operations
• Not a Budgeted Item

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Sponsorship

• Does NOT include Internal Services Events
• Conferences
• Evaluation Ice Breakers (LeMay, Eubank,
• Gold Key, Hennessey, etc.)
• Organizational Parties, Retirements, etc.
• Not Authorized for
• Other AF Organizations
• Private Organizations

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Sponsorship

• Approval Levels
• SV Up to 5K
• Installation CC Up to 25K
• MAJCOM SV UP to 50K
• MAJCOM CV 50K-100K
• HQ AFSVA/CC 100,000
• Per Sponsorship Agreement

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Your Role in Sponsorship

• Potential Sponsor Hit List
• Vendors
• Suppliers
• Plan Ahead
• Clear Communication of Needs with Marketing
• Return on Investment
• Sponsor Recognition
• Receives Promised Exposure

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Sponsorship Vs. Donations

• P.O.s prohibited from soliciting as official
  representatives of DoD, USAF, etc.
• Any Organization May Accept Donations
• Wives Club, CGOC, Squadrons
• Very Limited Recognition
• Reference AFI 34-201 for approval levels and
  limits

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Private Organizations

• Help in the Education Process
• Topic for Annual Letter to POs
• Monitor Fund Raising Activities
• Private Organization AFI 34-223

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Advertising Program

• AFMAN 34-416
• Authorizes Advertising for Open to Public
  Events in Civilian Media

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Advertising Program

• Purchasing Advertising
• Event Must be Open to Public
• Cannot Compete with Similar Event Held in Local
  Community
• Must be Infrequent
• In-kind Advertising and/or Funds Designated for
  Advertising under Commercial Sponsorship is
  permitted
• Must Coordinate with Public Affairs

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Advertising Program

• Can use NAF/Sponsorship Dollars to Purchase
  Restricted Media (Military Audience) for Services
  Programs
• Example
• AF Times
• Must use NAF Dollars to Purchase Ads Required for
  Solicited Sponsorship Package

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Advertising Program

• Selling Advertising Space
• Avoid Competition with Public Affairs
• Only sell on NAFI Funded Media
• Must be Unique to Services
• Examples
• Club Calendars
• Ball Field Fences
• Message and Menu Boards
• Golf Tee Signs
• Services Magazine

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• USAFE Services Programs/Promotions

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USAFE Specific Programs/Promotions

• Extreme Summer
• Project CHEER
• USAFE Idol
• Air Force Birthday Bash
• USAFE Club Membership Drive
• USAFE Youth of the Year
• USAFE Youth/Teen Talent Contest
• Youth/Teen Camps

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AFSVA Programs/PromotionsHighlights

• Football Frenzy
• AF Club Membership Drive
• Tops In Blue
• Stars and Strikes Bowling Promotion

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References

• AFI 34-264 Services Marketing and Publicity
  Program
• AFI 34-407 Commercial Sponsorship Program
• AFMAN 34-416 Commercial Sponsorship and Sale of
  NAFI Advertising Procedures
• AFI 34-223 Private Organizations
• AFI 36-3101 Fund Raising within the AF
• Para 19
• AFI 34-201 Use of Nonappropriated Funds (NAFS)
• Chapter 5.7.

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Air Force 2004Quality of Customer
ServiceCustomer Feedback Survey Results
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Aviano
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Croughton
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Fairford
50
Incirlik
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Izmir
52
Lakenheath
53
Mildenhall
54
Molesworth
55
Moron
56
Lajes
57
Ramstein
58
Rhein Main
59
Sembach
60
Spangdahlem
61
Stavanger
62
Quality of Facility
63
Aviano
64
Croughton
65
Fairford
66
Incirlik
67
Izmir
68
Lakenheath
69
Mildenhall
70
Molesworth
71
Moron
72
Lajes
73
Ramstein
74
Rhein Main
75
Sembach
76
Spangdahlem
77
Stavanger
78
Quality of Equipment
79
Aviano
80
Croughton
81
Fairford
82
Incirlik
83
Izmir
84
Lakenheath
85
Mildenhall
86
Molesworth
87
Moron
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Lajes
89
Ramstein
90
Rhein Main
91
Sembach
92
Spangdahlem
93
Stavanger
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Value for Price Paid
95
Aviano
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Croughton
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Fairford
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Incirlik
99
Izmir
100
Lakenheath
101
Mildenhall
102
Molesworth
103
Moron
104
Lajes
105
Ramstein
106
Rhein Main
107
Sembach
108
Spangdahlem
109
Stavanger
110
Overall Assessment
111
Aviano
112
Croughton
113
Fairford
114
Incirlik
115
Izmir
116
Lakenheath
117
Mildenhall
118
Molesworth
119
Moron
120
Lajes
121
Ramstein
122
Rhein Main
123
Sembach
124
Spangdahlem
125
Stavanger
126
Satisfaction
127
Aviano
128
Croughton
129
Fairford
130
Incirlik
131
Izmir
132
Lakenheath
133
Mildenhall
134
Molesworth
135
Moron
136
Lajes
137
Ramstein
138
Rhein Main
139
Sembach
140
Spangdahlem
141
Stavanger
142
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