Sports and Entertainment Marketing

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Sports and Entertainment Marketing

• Chapter 1
• What is Sports and Entertainment Marketing?

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Chapter 1.1

• Marketing Basics

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What is Marketing?

• Planning and executing the conception, pricing,
  promotion, and distribution of ideas, goods, and
  services to create exchanges that satisfy
  individual and organizational objectives
• Put Simply
• Create a Product
• Market the product for as long as it exists
• Meet the needs of your customers
• A mutually beneficial exchange relationship
  exists
• Customers give money, businesses give a produt

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The Marketing Mix

• Defines how a business will go about a marketing
  plan
• Blends the 4 Ps of Marketing
• Product
• Distribution (Place)
• Price
• Promotion

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Product

• What a business offers customers to satisfy needs
• Can be a product such as basketball shoes
• Can be a service like video rentals
• Market First vs. Product First
• Can you think of an example of each?
• DVD BurnersMarket First
• Singing Wide Mouth Bass product first
• Which is a more sound business practice?

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Distribution (Place)

• Locations and methods used to make products
  available to customers.
• What are a few of these methods?
• DirectDell, Gateway,
• InternetAmazon.com
• IndirectDepartment Stores, Grocery Stores
• CatalogueEastbay
• What are some advantages of each of these?

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Price

• The amount customers pay in exchange for your
  product or service
• What happens if
• Price too low?
• Price too high?
• What are a few things that keep price levels
  fair?
• Anti-trust laws
• Competition
• Technology..more efficient production methods

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Promotion

• Ways to encourage customers to purchase products
  and increase customer satisfaction
• Can include
• Advertising
• Publicity
• Personal Selling
• Public Relations

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Key Marketing Functions

• Page 6 in Text
• Product/Service Management
• Distribution
• Selling
• Marketing-Information Management
• Financing
• Pricing
• Promotion

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Chapter 1.2

• What is Sports Marketing

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What is Sports Marketing?

• Opening Act (pg. 9) discussion
• Spectators of sporting events are potential
  consumers of a wide array of products
  examples????
• Definition -- finding out customer interests and
  planning a good or service that they will buy,
  using sports to market the product

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The Target Market

• What is a target market?
• Specific Group of people you want to reach
• How do you find a target market -- demographic
  research
• Age, education level, attitudes/beliefs,
  income(disposable)
• People buy because of past experience, referral
  by family/friends, id with an attitude what
  else????

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Spending Habits of Fans

• Research these habits to maximize profits on
  items purchased at sporting events
• Price willing to pay for a ticket
• depends on interests, national importance of
  event, popularity of athletes, rivalry, etc.
• What affects price your willing to pay for team
  merchandise?

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Marketing Strategies

• In order to be competitive today, companies need
  to stay ahead
• Use creative promotion to attract attention
• Other strategies
• Logos on clothing
• Creating New Sports
• X Games
• Gross Impression
• Timing

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Marketing Strategies

• Gross impression -- number of times per
  advertisement, game, or show that a product is
  associated with an athlete, team, or entertainer
  (subtle)
• logos on uniforms
• brands used on tv, movies, etc.
• Motorola Headsets during NFL games
• Timing
• fans want to id with a winner
• streaks
• continued winning records
• trends must be monitored
• marketing needs to be unique

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Chapter 1.3

• Entertainment Marketing

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Entertainment For Sale

• We all have a limited amount of free time and
  disposable income
• Entertainment Marketing is aimed at getting us to
  spend both of the above in specific places

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What is Entertainment?

• Whatever people are willing to spend their time
  and money viewing instead of participating in
• Movies, the Arts, Sporting Events, TV, etc..
• Our personalities will control what we feel is
  entertaining

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Modern Entertainment Marketing

• Early 1900s- Theater, Concerts, Ballet were the
  major forms of entertainment
• The only forms of marketing were posters,
  newspapers, magazines, and word of mouth
• 1927- First movie with sound in the USThe Jazz
  Singer
• 1928- Mickey Mouse is animated10 years later,
  Snow White is first full length animated movie
• 1955- DisneyLand opens in California

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Change Accelerated

• Technology has contributed to the explosion of
  Entertaiment Marketing
• Radio, TV, Internet, Billboards, Busses, Taxis,
  Corporate Sports Stadiums (United Center)
• The Big Eye in Every Room
• Television provided access to the homes of
  consumers
• In 1945, only 9 stations and 7,000 working TV
  sets in the US
• American Association of Advertising formed
• 1946- NBC and Gillette stage first major sports
  event
• Heavyweight Boxing.considered a Major success
  because 150,000 people watched!!

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TVs Influence on Marketing

• TV added Real Life..sound and movement to
  marketing
• The Rate for TV ads became tied to the number of
  viewers a program attracted
• By 1996, 223 Million TV sets in the US
• Advertisers spent 42.5 Billion on television ads
  in 1996

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Chapter 1.4

• Recreation Marketing

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Recreational Sports

• Aimed at steering consumers away from home based
  entertainment
• Golf, Tennis, Hiking, Bowling, etc..
• Travel and Tourism also considered recreational
  activities
• Recreation is defined as Renewing or
  Rejuvenating your mind and body with play or
  amusing activity
• Recreational Activities those involved with
  travel, tourism, and amateur sports not
  associated with an educational institution

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Not for the Couch Potato

• Many Rec. Sports require an investment of both
  time and money
• Need to purchase equipment, join leagues,
  practice, etc
• What recreational activities are popular among
• Teens
• 30s
• 60s

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A Better Image

• Want to Go Bowling???
• Most Popular Rec sport in US
• 55 mil people bowled during 1997
• Most will watch bowing on TV
• Huge market for advertisers
• The sport lacks excitement and youth
• Tiger Woods credited with saving golf

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Travel and Tourism

• The worlds largest industry
• Employs 130 Mil people worldwide
• Defined as traveling for pleasure, either
  independently or Tour-based
• Vacations, honeymoons, family reunions (most
  given reason for traveling), etc.
• Data Mining
• Gathering information about customers
• When, where, and how people travel
• Can gear promotions and advertising around the
  data

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Niche Travel

• Traveling or touring for a specific reason
• Visiting all the Museums in Europe
• Touring National Parks in the US
• Visiting all Baseball stadiums in the summer
• Spring Break Packages for students
• Packages/Tours are put together to meet the needs
  of its clients