Sport Marketing Book Summaries PDF

Sport Marketing book summaries Chapter 1: The special nature of sport marketing ◦ The NBA and Global Marketing Strategy ◦ Recognized product had to grow before marketing could help ◦ Established stricter drug policies, salary caps, and revenue sharing to grow the product...

Sport Marketing book summaries Chapter 1: The special nature of sport marketing ◦ The NBA and Global Marketing Strategy ◦ Recognized product had to grow before marketing could help ◦ Established stricter drug policies, salary caps, and revenue sharing to grow the product ◦ Began working with broadcasting companies to expand national and global reach ◦ Weathering Recessions ◦ Most industries will be impacted by recession, sports included ◦ To try to keep ppl coming, ticket prices were reduced, payment plans made, special incentives (meetings w coaches) ◦ The competitive marketplace ◦ Everyone is fighting to get more money ◦ Different leagues in the same sport tend to fight about who is number one ◦ Media challenges ⁃ Developing media tech allows for faster and more in-depth coverage by media ⁃ Consumers more time and money cautious than ever ◦ Grassroots Stress ⁃ Rural area high school sports struggled w/ funding, but were able to pull program back together ◦ Sports Marketing Defined ◦ Sports marketing— all activities designed to meet the needs and wants of sport consumers through exchange processes ◦ Activities of consumer and industrial product and service marketers who were increasingly using sport images and personalities to sell beer, cars, and a whole range of other products ◦ Marketing of sport ⁃ Professional team does this ◦ Marketing through sport ⁃ Corporate sponsors do this ◦ Marketing Myopia in Sport ◦ Marketing myopia-lack of foresight in marketing ventures ⁃ Theodore levitt ◦ Focus in producing and selling goods and services rather than identifying and satisfying needs and wants of consumers and their markets ◦ The belief that winning absolves all other sins ◦ Confusion between promotions and marketing ⁃ Promotion (advertising and special events) is a part of marketing  ◦ Ignorance of competition inside and outside sport ◦ Short-sighted focus on quick-return price hikes or sponsorships rather than long term investments in relationship marketing ◦ Poor-quality research ◦ Poor sales and service ◦ Arrogance and laziness ◦ Failure to adapt to industry, market, and consumer change Change in the Profession Robust improvements in sales ◦ Inbound sales approach -waiting to take ticket orders ◦ Outbound sales approach -proactive approaching of the customers ⁃ WHAT SHOULD BE USED ⁃ Easier w/ technology Institutionalization of Knowledge and Training ◦ Better internship programs, better journals/magazines, organizations Broadening diversity ◦ Slowing digressing from white males Uniqueness of Sport Marketing ◦ Sport Product ◦ Product-any bundle of combo of qualities, processes, and capabilities that a buyer expects will deliver want satisfaction ◦ Should have: Playful competition, typically in game form Separation from normal space and time Regulation by special rules Physical prowess and physical training Special facilities and special equipment ◦ Additional elements can include: An intangible, ephemeral, experiential, and subjective nature Strong personal and emotional identification Simultaneous production and consumption Dependence on social facilitation Inconsistency and unpredictability Core-product control beyond marketer's hands Sport Market ◦ Many sport organizations simultaneously compete and cooperate Product salience and strong personal identification lead many sport consumers to consider themselves experts ◦ Demand tends to fluctuate widely ◦ Sport has almost universal appeal and pervades all elements of life Sport Financing ◦ Pricing the individual sport product unit by traditional job costing is difficult ◦ The price of the sport product itself is invariably small in comparison with the total cost paid by the consumer ◦ Indirect revenues are frequently greater than direct operating revenues Sport Promotion ◦ Widespread media exposure is a double edged-sword ◦ Media and sponsors emphasize celebrities Chapter 2: Strategic Marketing Management This chapter introduces the basic elements for strategic marketing leadership, emphasizing the need for a comprehensive, strategic, and creative marketing plan that combines both strategy and tactics. The chapter outlines a five-step marketing planning process: o Develop vision, position, and purpose o Develop strategic goals and objectives o Develop a marketing mix plan o Integrate the marketing plan into the broader organizational strategy o Control and evaluate all elements of the marketing plan A SWOT analysis (strengths, weaknesses, opportunities, threats) is a key technique for understanding an organization and its environment: relies on data-based marketing (DBM) and customer relationship management (CRM) systems to provide market intelligence. The chapter discusses the importance of recognizing trends and the challenges of forecasting the future. It emphasizes the importance of setting both broad goals and specific, quantified objectives. A key element of the marketing plan is the ticket marketing, sales, and service plan (TiMSS), based on the idea that ticket sales are the foundation of a sport business's revenue. The chapter also highlights the importance of understanding and segmenting consumers based on their level of involvement. Chapter 3: understanding the sports consumer Socialization, Involvement, and Commitment o Environmental and individual factors influence how and how much ppl become involved w and committed to the sport o Socialization: “process by which ppl assimilate and develop the skills, knowledge, attitudes, and other equipment necessary to perform social roles” o Socialization demands three types of involvement w sports Behavioral involvement o Hands-on doing o EX: playing at practice or in competition Cognitive Involvement o Acquisition and knowledge about a sport Affective involvement o Attitudes, feelings and emotions a consumer has toward an activity o EX: Pep rallies and pregame festivities o Commitment: frequency, duration and intensity of involvement in a sport ◦ Movement up escalator indicates deeper commitment The "escalator" concept in sports marketing depicts consumer progression to higher levels of engagement with a sport, either as fans or players. Focus areas: prioritize existing consumers, grow casual fans into more avid ones, and attract new fans. Upward movement: Signifies increased commitment, engagement, and spending. Examples: attending more games, purchasing better equipment, or engaging in additional activities. Reflects emotional, time, and financial investment in the sport. Marketing implications: Satisfy the needs of different consumer clusters to encourage upward movement. Leverage consumer intentions to increase attendance or participation. Downward movement: Indicates reduced commitment and engagement. Examples: decreased attendance, lower spending, or dropping out of participation. Summary: Upward movement represents deeper involvement and loyalty, while downward movement reflects disengagement o Marketer needs to understand types of involvement and commitment that consumers represent o Ppl also influenced by environment and reshape the social, physical, and cultural landscape around them Environmental Factors o Significant Others -Family, coaches, teachers, peers o Cultural Norms and Values -Show different lifestyles -Different regions like different sports better o Class o Income, education, occupation OR inherited prestige/status o Certain sports have history of appealing to certain classes § Upper class: golf, polo, yacht o Race and ethnicity Ppl likely to excel in sports available through school/rec programs provided to them Other factors play into race o Gender and sexuality o Men more emotionally involved and involved in pregame rituals; women more likely to watch bc of others and more likely to work while watching o Culture in the global marketplace - Different cultures like different events o Market Behavior of Sport Firms - Much of fan behavior relates to the wins and losses of their favored teams and players  Individual Factors o Self-concept and social identity o Self-concept/social identity – interaction between internal and external self o and consciousness o Marketers ideally track fans across long stretches of time o Generally, changes over time o Stage in life or the family cycle o Adolescence, teen years, college years, single & independent, living w/ partner but no kids, etc. o Vary from person to person o Learning o Learning; acquisition of new responses to behavioral cues in the environment, occurring as the result of reinforcement o Learn -> feel -> do o Process info through advertising, develop feeling about product, purchase of product o May not apply to services o Feel->do->learn o Trigger of emotions, try the sport product, learn more about sport after the trial o More for sports services/products? o Used by most Nike ads o Do-> feel and learn o Perception o Perception: the process of scanning, gathering, assessing, and interpreting info in the environment o Employs five senses, but involves far more o Scarcity factor works big in trying to sell tickets o Motivation o Environmental stimuli may activate the drive to satisfy an underlying need o Motivational factors o achievement and self-esteem, -> winning does matter to players and fans o craft, -> developing/enjoying physical skill prompts interest o health and fitness, o Fun and festival, ->more than the game; people gather, eat/drink, buy merchandise o Eros -> sweaty bodies in motion is a sexual attraction o Affiliation or community ->Being w friends and family  o Eustress, risk, and gambling ->Addictive combo of euphoria and stress o Entertainment and escape ->Takes minds off everyday troubles Chapter 4: Market Research for Sport proper market research helps determine the best price for products and understand customer needs, that data-driven decision making is critical for success in the sport business Market research is defined as the process of providing insight and information about sports fans. It helps sport organizations understand their consumers and make informed decisions o not just about collecting data, but about using it to gain a deeper understanding of consumers. It involves analyzing and interpreting data to drive business strategies o provides an optimal price point and a range of suitable prices, giving decision makers flexibility. The 21st century has brought numerous data sources for deriving consumer insight, ranging from credit bureau data to social media opinions Syndicated data sources include: o Nielsen and Arbitron for media consumption data. o Scarborough for consumer behavior data within specific markets. For example, Scarborough data can be used to compare the shopping habits of a target population to those of the general population. o ESPN Sports Poll for profiling sports fans' interests, behaviors, and preferences. Custom research involves collecting data specific to a sport organization's needs and includes both qualitative and quantitative methods. o Qualitative research explores the reasons behind consumer behavior through methods like: § Focus groups. § Individual interviews. § Ethnography. o Quantitative research involves collecting numerical data through methods like: § Surveys. § On-site data collection. Other sources include: o Internal data from the sport organization's own records. o Online communities.  o Social media platforms, which can provide both qualitative and quantitative data. Users of Market Research market research is beneficial for various stakeholders o Sport Organizations: To make decisions on marketing, ticketing, and fan engagement strategies. o Corporate partners: To understand satisfaction and fulfillment of contractual terms. o Vendors: To ensure customer satisfaction with concessions and other services. o Premium seat holders: To understand needs and improve the hospitality experience. o Leagues: To perform market research across multiple clubs at a lower cost than clubs would pay if they performed research by themselves. o Sponsors: To determine the effectiveness of their investments and create a competitive edge. o Agencies: To provide information about the market to their clients. Applications of Market Research o Pricing: To determine optimal price points for tickets and merchandise. o Marketing: To develop effective marketing campaigns and promotions. o Ticketing: To create targeted ticket packages and offers. o Sponsorship: To measure the impact of sponsorships and ensure sponsor satisfaction. Market research helps in identifying key consumer segments and tailoring products and services to meet their specific needs. Performing the Right Research importance of conducting research for the right reasons, at the right times, and within appropriate budgetary constraints. Key tips for conducting effective market research: o Plan ahead since quality custom research takes time. o Have a clear sense of budget before starting a project. o Seek a research partner, not just a supplier, to ensure more insightful and cost-effective results. It is important to understand that market research is a cost center whose ROI (return on Investment) is frequently questioned, but customer feedback is essential for any sport-related business. Goal: use limited resources effectively to obtain the maximum benefit from market research projects. primary focus: addressing the business objective and providing actionable recommendations. -The role of market researchers has evolved and now includes a range of skills, from data management to survey design to data analysis. -Technology has greatly facilitated data collection and storage. -A balance between qualitative and quantitative research methods is needed to gain a complete understanding of the market. -Sport organizations often have limited budgets for market research, so planning and efficiency are important. Chapter 5: Market Segmentation market segmentation bridges managerial analysis and action and is central to developing direct marketing and promotional strategies. market segmentation is essential for understanding consumers and developing effective marketing strategies Segmentation recognizes that consumers vary along different dimensions, allowing marketers to create specialized strategies market segmentation= the process of identifying groups of consumers who share similar characteristics and needs/desires The four common bases for segmentation are: o State of being (demographics) o State of mind (psychographics) o Product benefits o Product usage State-of-being segmentation includes measurable attributes such as geography, age, income, education, gender, sexual orientation, race, and ethnicity. State-of-mind segmentation considers consumers' attitudes, opinions, and lifestyles. Product benefits relate to the motivational factors that drive consumers to engage with a sport product, such as affiliation, achievement, status, health, and fitness. Product usage segmentation categorizes consumers by their level of consumption (e.g., heavy, medium, light users). successful marketing plans typically require integrating these different segmentation bases. -a relational approach to segmentation is most fruitful, which means evaluating segments based on the benefits they seek and then identifying their internal demographics, psychographics, and usage -Mass customization is possible via the internet, which enables tailored offers to individuals based on data gathered through social media and purchase history -Identifiability, accessibility, and responsiveness are critical issues in choosing whether to segment a market -Niche markets are defined as small groups of consumers with special needs or interests, and fantasy sports are given as an example of a niche market that has grown significantly -importance of using a DBM (data-based-marketing) system to distinguish marketable clusters - Customer Relationship Management (CRM): DBM systems are often integrated with CRM systems, providing a comprehensive view of customer interactions. CRM systems track all customer interactions with the organization, including complaints and other feedback. -heavy users are very important because of their higher rate of consumption Chapter 6 What is the sport product o The sport product is inconsistent from consumption to consumption o The core game or performance is just one element of a larger ensemble - Sport experience includes atmosphere of venue, equipment, apparel, music, concessions, pre- and post-game festival and in-game entertainment o the marketer typically has little control over the core product and consequently must focus efforts on product extensions What is your intention? How does this intention compare with probable results What is the symbolic potential of your action if understood? If misunderstood? The sport product: its core and extensions Game Presentation: Core Product - Game form: rules and techniques -> Each sport has unique special features that may make it especially attractive to certain consumers - Star Power: Players, Coaches, and Owners o Players and coaches are the key o Players are usually the most well-known, but coaches and owners can be stars too o As time has passed, players feel more comfortable setting stances and press is more comfortable exposing bad behavior  - Fan Behavior o Live spectators are fundamental to the sport product o Leagues establishing sportsmanship rules -> Best way to fans to follow code is to get them involved in making it - Equipment and Apparel o Equipment, apparel, and merchandise - Venue - Personnel and Process Product Extensions Memories Novelties and Fantasies Ticket, Programs and other print materials Hybrid Products and Electronic Products Organization Chapter 7: Managing Sport Brands What is Branding? o Brand - name, logo, symbols associated with a sport organization o Brand name, logos, marks and colors serve as starting point for the brand management process o Also involves emotional bonding with brand o One goal: create strong impression for consumers so they develop positive feelings for brand Importance of Brand equity o A set of assets and liabilities linked to a brand, its name and symbol that add or subtract from the value provided by a product or service to a firm and/or that firm’s customers Benefits of Brand Equity Factors other than winning are more predictive in creation of brand loyalty Brand equity creates brand loyalty o Less drastic revenue declines when the team loses -> When brand equity is high, revenue declines are less drastic over time o Ability to charge price premiums Higher brand equity = higher price o More corporate interest Corporations seeking sponsorships -> Sponsors consider strength of sport organization’s brand o Licensing and Merchandising Opportunities Easier to use brand name to enter another product class How brand equity is developed o Brand awareness The ability of a consumer to name the brand’s existence when its product category is mentioned Starting point of brand equity o Brand image Cumulative influence of all the associations with a particular brand -> Make associations strong and favorable o Sources of brand association with teams Marketing, promotion, and publicity can develop strong brand associations -> Logo, marks, nickname, mascot, owners, players, head coaches, rivalries, entertainment of event, stadium/arena Brand association based on benefits of consumption -> Nostalgic memories, social benefits, identification with a team Brand association in other realms of sport -> Sponsors, athletes, agencies, health clubs o How sponsors create brand associations Sponsors want to associate their product with sports brands to gain attention o How athletes create brand associations  Create strong, unique favorable associations to stand out o How agencies create brand associations Through people/brands they work for Chapter 8: Sales and Service Relationship Between Media, Sponsors, and Fans and the Sales Process Media Provide coverage and express opinions according to the interest that fans have in sports Media Influenced by attendance, website utilization and followers, twitter content/activity Media Influenced by credibility the sport organization has with its sponsors Fans and their support of organization attract sponsors Media coverage and interest function to create value for sponsors o Larger crowd = more exposure and value to sponsors What is Sale o Selling – process of moving goods and services from the hands of those who produce to those benefit from their use o Questioning process to assess needs to find product match o Four main factors cause customers to perform or fail to perform: Quality, Quantity, Time, Cost What do I have to Sell? o Sales inventory – available products and services available to the sales staff to market, promote, package and sell through the sales methodologies Direct Data-Based Sport Marketing and Sales o Direct Marketing – interactive process of addressable communication that uses one or more advertising media to effect, at any location, a measurable sale, lead, retail purchase or charitable donation Total Inventory Plan: The Club Sandwich o Meat: full-season ticket holders o Cheese: partial plans o Tomato: Groups  o Onion: Advance sales o Pickles: walk-up, day-of-game o Lettuce: community promotions o Proportions: o 50-65% Season ticket equivalencies (full and partial plans) o 15-25% Advance Sales (telemarketing, web, social media) o 10-25% Group sales o 5% Day-of-game and walk-up sales Pricing Basics o Product elements that require pricing Hard or soft goods, tickets, memberships, daily usage fees, concessions, content, access for corporate entities, image, hospitality, premium seating, exclusive association, commercial time and exposure o Price, Cost and Developing a Cost Index - Satisfaction = benefit – cost - Cost is biggest (and most seen) aspect o Yield Management and Pricing Strategies Secondary Ticket Market o Secondary market is growing o Secondary market sells tickets often for less o Why season tickets are going out of style o Internet has made customization king o Issue of buying more than is wanted/needed at a lower price has given way to buying what’s wanted at a higher price o Secondary markets have ability to offer package with events from everything in the same market o Package flexibility w/ different seats for different prices from secondary markets o Possible future battle between sports organizations and secondary ticket suppliers Aftermarketing, Lifetime value, and the importance of retaining customers o Aftermarketing – relationship between marketer and the customer after all the marketing and sales efforts have been completed o Customer’s Lifetime Value (CLTV) – present value of expected benefits minus the obligations associated with the customer o Sport organizations should develop customer retention programs that encompass: Customized content/treatment, satisfaction surveys, sponsoring special events, database of current customer, website w/ special content for members, newsletter, etc. o Some people will always leave for one reason or another Chapter 9 Sponsorship, Corporate partnerships, Role of Activation What is sponsorship? o Promotional licensing: encompasses sponsorship and corporate partnership Sponsorship: acquisition of rights to affiliate w a product/person/organization for the purpose of deriving benefits related to the affiliation or association - EX: retail opportunities, purchase of media time, entitlement, contests/sweepstakes, endorsements, logo placement, etc. Sponsorship in the Marketing Mix o Marketing Mix: Product, Price, Promotions, place, public relations o Role of promotions is to inform and persuade the consumer and influence purchasing decision o EX: Hospitality - Combines personal selling, positioning, promotion - Exclusive seating, lodging, transportation, on-site activities o Activation: bring brand to life by creating ways for brand to interact w target market Growth of Sponsorship o Coincided w ban on tobacco and alcoholic drink ads - Regulation went into effect 2010 that banned cigarette and smokeless tobacco sponsorships in any sporting events o Advertising costs (Especially on TV for premier shows) continues to rise o Sponsorships have been effective, so sponsorships costs have risen o Additional sponsorship opportunities created by new sport offerings - EX: More sport tv channels, tech developments to allow portability of sport, new sport offerings (MMA), sport video games, globalization of sport What does sport sponsorship have to offer o Sport sponsorships attempt to reach target consumer through their lifestyle - Conveys messages immediately and credibly - Ppl are more likely to be relaxed and more receptive o Certain events enable marketer to reach specific segments (heavy users, shareholders, investors, etc.) Corporate Objectives o Objectives achieved in multiple ways - Provide ROI/ROO/ROE [ ROO (Return on Objective): Measures how well a campaign achieves its specific goals (e.g., brand awareness, lead generation, or community engagement). Metrics: survey results, website traffic, social media engagement, etc. Focuses on non-financial success, such as improved brand perception or community support. ROE (Return on Experience): Evaluates the impact of a campaign on customer experience, including satisfaction, emotional connection, and engagement. Metrics: feedback, surveys, social media sentiment, and qualitative data. Aims to create memorable, positive experiences to build long-term customer relationships. Relationship to ROI: ROI focuses on financial returns, while ROO and ROE assess qualitative and goal-oriented success. Together, they provide a comprehensive view of a campaign’s effectiveness.] o Increasing Awareness - Increase awareness or educate about company/benefits o Influencing public perception - Image transfer makes businesses as a marketing communications tool - Potential is greatest when o Association exists between target group of company and target group of sport, between desired image of company and image of sport, between product characteristics promoted and credibility of sport entity o Establish associations w particular market segments o Becoming involved in the community - Position the company as concerned citizen trying to put something back in the community o Building Goodwill - Corporations that deliver unique opportunities (entertainment, tickets, hospitality) for key clients are perceived potentially as good business partners o Generating Media Benefits - Advertising and publicity related to promotional efforts surrounding product/event  - Equated with ROI - Measured in # of impressions o Showcasing unique product features, technologies, or advantages - Sponsors of particular sport properties to promote unique product features or tech innovations o Achieving Sales Objectives - Increase market share, sales volume, and profitability - Also can deal w product usage o Creating Exclusivity - When sponsorship fee is high or commitment is long term, exclusivity is integral to licensing - Opportunity to increase sales while denying competitors same opportunity to interact w potential purchasers o Gaining Opportunities in hospitality and entertainment - Play role in packaging of sponsorship and promotional licensing programs o Sponsor constructs unique benefits and opportunities o Securing entitlement or naming rights - Always consider: # of impressions; opportunity for local/regional/national coverage; tax considerations; brand exclusivity and brand building; PR and community involvement; hospitality; activation platforms; Sponsor activation o Creates interactive platform between target market and product brand is wishing to promote o biggest risk is at implementation stage o social media as activation - Becoming more important as consumers turn away from traditional methods o Evaluating and ensuring sponsorship effectiveness - Moved to art (experience) and science (data-driven business decisions) of marketing - Adjustments must be made when necessary Selling sponsorships o Strategic planning steps Make list of all assets in inventory Establish list price for each item Conduct research to identify prospects that would likely be interested Establish packaging prices Determine real cost of sponsorship (full values of tickets, promotions, print and point of sale pieces, web development, social media campaigns, signage, other activation costs Establish sales strategy Initiate 8-step sales process Order in which categories and potential sponsors are presented is critical (large first) Talk to competitors o Eight-step sponsorship process Research category and top prospects within category Schedule meeting w sponsorship decision maker at brand within the category you are targeting Listen 80% of time and sell only when you have to Close w you are going to determine whether you see a fit Create marketing partnership proposal Present proposal as draft Negotiate final deal and get signed agreement Introduce client to activation team Chapter 10: Promotion and Paid Media Advertising Media for the Sport o Signage Electronic/printed messages or logos that identify a sponsor o EX: banner, street-pole attachment, billboard, scoreboard, dasher board or rink board, electronic message boards and posters Also includes logo placement opportunities o EX: race cars, uniforms, hats, Not a spoke, scripted or consistent message; IT’S MORE OF AN IMPRESSION Only an element of integrated sponsorship purchase o Endorsements Athlete who uses fame to help a company sell or enhance image of the company, products, or brands Styles - Explicit mode: I endorse this product - Implicit mode: I use this product - Imperative mode: you should use this product - Copresent mode: athlete appears in some setting w product First occurrence: Honus Wagner, 1905, baseball Select endorser who will be popular w target market - Use Q score: measurement of personalities, characters, licensed properties, programs and brands Minimizing risk of celeb endorsers - Tie compensation to product sales through bonuses and stock options - Retired athletes over current athletes - “Make sure they’re dead” o Print Media Newspapers, magazines, - Timely and published regularly - Lower cost brochures,  posters, - Declining in popularity programs, - collectible - PR tool point-of-purchase displays, - includes posters and programs - pocket schedules direct mail pieces, - reaches only the ppl the organization wants to other forms of print collateral GUIDELINES - HEADLINE MUST CATCH ATTENTION and offer reward for reading on - Headline and visual element must complement each other - Body copy needs to be specific, readable, and support headline - Call to action o Electronic Media Radio - Powerful and relatively inexpensive audio message - Usually 30 second spots - Good copy, announcer w following, appropriate action noise/music is key - Streaming media via internet - Podcasts are DIFFERENT o Complementary/extension of reach to radio o Type of digital media consisting of episodic series of radio, video, PDF files that can be subscribed to and downloaded TV - Better reach and ability to convey message - More expensive - Hi-def, slow-mo replays, variety of programming have increased - sport-viewing experience - Commercial structures o Story line—telling a story; beginning, middle, end o Problem and solution—presenting viewer w prob to be solved by sponsor’s product o Chronology—deliver message through series of related scenes in order of occurrence o Special effects—use of striking device, aka unusual sound/pictorial technique o Testimonial: well-known figure or unknown person vouches for value of product o Satire: sophisticated wit to point out human foibles o Spokesperson—on camera announcer who attempts to sell by personal, intimate selling  o Demonstration—demonstrate product’s effectiveness, value, appeal o Suspense: story w high level of drama to build curiosity until end o Slice of life: person needs to make decision; shows how decision was worked o Analogy: convey message through comparison with something else o Fantasy: using caricatures/special effects to create fantasy surrounding product o Personality: actor talks about product, reacts to use, demonstrates enjoyment Scoreboards LED signage Public address systems Billboards, blimps, buses. 40-foot-tall cows - Billboards o Stationary or moving o Moveable is better (draws more attention) - Blimps o Catch attention - Get creative w them Promotional concepts and practices o Hallmark event Major one-time event (or annually recurring event) of limited duration, developed to enhance awareness and profitability Intended to: o Promote host organization, promote sponsors of event, create unique hospitality opportunities for sponsors, promote growth for sport, promote event as revenue generating opportunity, attract media interest, promote destination o Internet Sites, web pages, blogs and more Ppl that don’t live nearby can increase affiliation Content produced for followers o Sales promotions Price-oriented o Discounting, special pricing, value-added concepts (all you can eat) Non-price oriented o Special events, giveaway items, tangible incentives Make sure season ticket holders aren’t excluded (offer coupons to merchandise/concessions Long-term effects of price promotions o Sales promotion activities can overshadow advertising efforts instead of reinforcing them o Attendance is usually lower for the event immediately following a promotion (means fans are cherry picking the deals) Focus on atmosphere, not core product Promotional Components o Theme What does the customer want; does our product fit the consumer; how will the competition affect our objectives; what is the competitive consumer benefit; how will marketing communication make the benefit believable to the consumer; what should the personality of the brand be; how will the consumer define the product; what are the main communication and action objectives; what contact points should be used to reach the consumers Make sure it can’t be turned against you in negative way o Product sampling Ppl love free stuff Gives them a taste so they’ll hopefully buy Combine w couponing to drive sales o Open house Promote sale of membership/ticket packages at same time o Coupons, vouchers, and discount codes Must be appropriate for image of organization Coupons/vouchers usually in print Discount codes usually online o Contests and sweepstakes Most ppl don’t expect to win, but it is exciting o Premiums and giveaways Premium: something in addition to the dame EX: concert, firework display, etc. Ppl love free giveaway items Ultimate goal: keeping consumers on the escalator and moving them up o Staircase v Escalator Four levels of non-consumers: Non-aware non-consumer; unaware of existence Aware non-consumer: aware, but chooses not to participate Media consumer: aware of sport, but does not consumer it directly (consumes it indirectly through media) Misinformed non-consumer: aware of product and wishes to consume it directly but does not bc of misinformation Light users Medium Users Heavy users o Promotional planning model Promotions must be arranged and directed Strategies developed w entire range of attendees in mind First time attendees, parents w children, price conscious, partial plan holders, group attendees, season ticket holders Level 1: nonpattern attendees or light users  No attendance pattern Motivated by opponent, weather, day of week, giveaways, social interaction, etc. Interest, distance from stadium, financial resources may/may not be factors Mostly consists of light users Most room for potential Level 2: Multiple attendees or Medium users Multiple attendees attend bet 10-30% of home games May/may not purchase partial plans Offer different benefits at different price points to increase attendance Level 3: Frequent attendees and heavy users Must include all benefits offered to other groups plus exclusive attraction for only this group Defectors—descending the escalator Ppl may overcommit or other factors may influence (losing team, availability of tickets on 2nd market) Putting it all together: an integrated promotional model o As a marketing platform: Establish foundation and brand for future applications Create environment that will build equity Develop blueprint to emulate in future campaigns Create market buzz through grassroots and guerilla marketing activities Create content and conversation on internet o As a revenue platform: Develop sales platform for increased ticket/sponsorship/broadcast sales Built attendance by increasing other revenue streams (parking, hospitality, facility rentals. Food/beverage sales) Create series of owned events in which team is promoter to cross-promote other venue events o As an entertainment platform Create memorable experience Deliver new broadcast and internet opportunities/features Strengthen emotional connection and create bond between sport product & fans Chapter 11: public relations What is PR o PR: Strategic communications process that builds mutually beneficial relationships between organizations and their publics o Also defined as: interactive marketing communications strategy that seeks to create a variety of media designed to convey the organizational philosophies, goals, and objectives to an identified group of publics for the purpose of establishing a relationship built on comprehension, interest and support o Emphasis on non-sponsorship; lack of sponsorship enhances credibility of message o Can involve anybody in the sports world o in sports, usually deals w media relations and community relations o Media Relations Media relations: communicating w the news media verbally or through other vehicles Designed to formulate and shape favorable opinion through the mass media Approaches: Reactive o Respond to questions, queries, and requests from media o EX: interviews, appearances, autographs, photos, profiles, etc. o EX: request for statement about or reaction to situation involving organizational policy/business activity Proactive o Point of initiation is the organization rather than external entity o EX: Contact media about story pitches and feature ideas o WHAT PR PROFESSIONALS WANT Interactive o Developing mutually beneficial relationships w media and assisting them on variety of issues o Building long term relationships o Community relations Achieve corporate public relations objectives related to enhancing public understanding and gaining public approval Implementation: - Player initiated Presence of players attracts sponsors, garners media attention, attracts audience\ - Team initiated Design certain games as community nights - League initiated Aim for long-term fan development Allow athletes/organizations to be seen through different lens  Corporate philanthropy: intended to position the company in the mind of the stakeholder EX: Orlando Magic Youth Foundation, KPMG Chip4Charity w Phil Mickelson, Yankees HOPE week Public relations in the sport marketing mix o PR/media opportunities are great to highlight sponsorships Sport Public Relations in the Digital Age o Direct interaction on social/digital media is effective way to stay connected to fans, share info, showcase personalities, describe charitable initiatives, promote partnerships Public Relations Functions o Informing and communicating Compilation, presentation, and dissemination of product/organizational info to the public Provide statistical data to media Publishing programs, brochures, sales support materials, manuals; maintain and update websites; develop video content; contribute to social media; answer public inquiries Hometown feature important bc: Provides common denominator for residents of the athlete’s hometown and university May prompt residents of the area to attend an athletics contest at the university or apply for admission May assist the athletics department in recruiting future athletes from town/region o Shaping and Enhancing image Organization attempts to demonstrate to the public that its products are well made, services are first-rate and vital to the industry, and organization itself contributes to community o Promoting Employee Relations Employees are usually first line of contact; should know management’s position on variety of issues EX: employee newsletters, brochures, docs explaining organizational policies; ongoing orientation program, email updates, staff meetings, special topic luncheons, o Gaining Political or popular support Education (in PR): developing comprehension, understanding info, applying info in appropriate context o Recruiting and developing business Image construction and reconstruction and refinement Make place look appealing Primarily done through personal selling  PR programs help organization attract corporate sponsorships by informing the potential corporate partner or product’s history o Launching new products or innovations Effective PR campaign vital to launch to ensure ppl are aware of product, understand benefits, understand why product is important to them o Generating and Collecting Feedback PR ppl gather data on public attitudes, econ indicators, consumer preferences, political/societal events the organization is involved in o Coping w Crisis PR personnel develop strategic response that maximizes effectiveness of response to alleviate crisis and minimize lasting damage Sport, Television, and Entertainment Influence on sports PR o Used to be just the sport games that attracted attention o Creation of Monday Night Football and ESPN did wonders for sports o Growing tech helped them garner more attention o More programs feature sports stars Kathy Woods Roles of a PR professional o Building Relationships Maintain relationship w the press Trust is most important element o Communication Clear, concise, timely o Creating PR plan Plan to spell out strategy Objectives, tactics, deadlines, etc. o Balanced strategic approach React to requests and be proactive to suggest ideas Balance of traditional/digital and social media o Making the pitches Know audience, deadlines of media o Managing the story Try to be involved in more than interview and follow-up; follow story throughout process Allows to correct for inaccuracies, make suggestions, emphasize key points o Manage expectations Create influential media opportunities o Media training and talking points Help prepare athletes/coaches for interviews Crafted responses to conceivable questions o Crisis Management Have pre-prepared plan Have a quick response (make it strategic and appropriate) Chapter 12: Social Media in Sport Building a presence on social media o Early presence on platform o Integrate social media into all marketing o Dedicated focus on social media Reasons social media is valuable in sports o Real-time interaction o Gives fans more access (real-time updates, special offers, fun stuff) o Creates more lifetime fans o Viral: sharing, liking, commenting for everyone to see o Drives behavior that drives business o Ppl want to interact and buy from brand What is social media o Platforms that enable users to interact digitally Building an audience o In-game and in-event Prompts around venue to encourage following/like social media o In-broadcast During the game Announcer reads enter-to-win contests and sweepstakes Postgame Analysts/announcers encourage viewers to follow the team Enabling the game to live on 360 degree photo for ppl to tag themselves in o Online, direct and digital marketing Reminders on web and direct marketing pieces (email newsletter, mobile apps) o Advertising Paid ads on social media Also advertising means that direct to social media o Share optimized content Tell a friend marketing: content is shared by friends, so subset of friends will like/follow the property o Segmenting audience Targeted accounts can be effective, but they require extra time, resources, content, access and interaction Engaging fans o Authenticity of voice Should sound like a person, not a website o Listening o Learning  See what works and what doesn’t on social media o Optimizing Testing elements: Time of post, audience targeted, type of content, surveys, polls, questions, links o Delivering Deliver what fans want and go extra mile to provide unique experience Driving behavior o For ppl that already love team: use balanced approach of breaking news, authentic insider info, sense of community Social Media Platforms o Go to where the ppl are o Social media management (SMM) platforms Help manage social media publishing and content development Content scheduling, content development, advanced analytics Avoiding Pitfalls o Manage access to accounts Know who has access, change passwords frequently and make them complex, clear rules on what can and can’t be discussed o Keep personal and official accounts separate o Reserve the right to delete but do so w caution Ppl usually have screen shot even before post is deleted o Own your mistakes Address mistake head-on w fans and followers Leveraging Players and talent o Fans gain access to hear directly from players o Players, owners and talent can help drive business objectives for their teams and media properties Chapter 13: Delivering and Distributing Core Products and Extensions Core Concepts: Effective distribution of the core event and extensions is essential for successful marketing. Distribution strategy includes maximizing channels to reach the target audience. Theory of Place: The venue’s location, layout, and image influence the overall experience. Key Elements of Place and Distribution: Facilities and Venues:  o Facilities create memorable experiences and community connections. o Design factors: accessibility, sightlines, comfort, and multipurpose use for diverse events. o Venue atmosphere (sights, sounds, smells) is crucial for fan engagement and brand affiliation. Marketing Channels: o Retail Distribution: Merchandise sold through team stores, online shops, and retailers. o Ticket Distribution: Tickets as revenue tools, including premium options and promotions. o Other channels: public access cable, webcasts, newsletters, mobile ticketing, and digital platforms. Experiential Aspects: Appeal to all five senses and consider pre-game, game, and post-game experiences. Distribution Challenges: Balancing fan experience with operational efficiency (e.g., concessions, sightlines). Adapting to evolving technologies and consumer preferences. Balancing cost, control, and adaptability in marketing channel decisions. Effective Distribution Elements: Understand consumer demographics, needs, and locations. Define core products (events, games) and extensions (merchandise, digital content). Leverage all available channels, including new technologies and community events. Use tools like the product-place matrix to align products with distribution outlets. Examples and Applications: Red Bull Arena: Enhanced accessibility with commentary for visually impaired fans. New Jersey Devils: Team store in the arena for impulse buying and awareness. University of Maryland: Loyalty point system to manage ticket usage and attendance. Summary: Effective delivery and distribution hinge on thoughtful venue design, optimized channels, and consumer-centric strategies to enhance the overall sport experience Chapter 14: Legal Aspects of Sport Marketing  Core Concepts: o Intellectual Property Law: Protects creativity and innovation to ensure a competitive marketplace. o Importance of Legal Knowledge: Essential for sport marketers to avoid legal liabilities in marketing activities. Key Areas of Legal Consideration: o Trademark Law: § Protects brand names, logos, and slogans from consumer confusion. § Includes secondary meaning, where non-distinctive marks (e.g., colors) are associated with a brand. § Infringement occurs when marks are used in ways that cause confusion. o Copyright Law: § Protects original works like broadcasts, logos, and promotional materials. § Includes the fair use doctrine for specific purposes like criticism or research. o Patent Law: § Protects new inventions, including sports equipment and training techniques. § Requires legal guidance for registration and enforcement. o Right of Publicity: § Protects an individual’s control over their name, image, and likeness for commercial use. § Athletes and celebrities use this to safeguard their commercial value. o Sport Marketing Communications: § Avoid deceptive practices and ensure accurate, non-misleading advertising. § Understand distinctions between commercial and noncommercial speech. o Ambush Marketing: § Involves associating with an event without official sponsorship. § Protection strategies include exclusive advertising rights and host city agreements. o Promotion Law: § Differences between sweepstakes, contests, and lotteries must be understood. § State laws vary on the legality and structure of promotional activities. o Emerging Issues: § Legal challenges related to athletes’ social media use and technological advancements. Key Takeaways for Sport Marketers: o Seek legal counsel for complex legal situations. o Protect intellectual property through trademarks, copyrights, and patents. o Understand promotion laws to avoid issues with contests and sweepstakes.  o Avoid deceptive advertising and comply with consumer protection laws. o Respect athletes’ rights of publicity in marketing efforts. Examples and Applications: o LSU v. Smack Apparel: Demonstrated secondary meaning of team colors as trademarks. o Nike and Ambush Marketing: Showed how to navigate legal marketing while avoiding unethical practices. o NBA v. Motorola: Highlighted the impact of technology on intellectual property rights. o Nike's Banned Twitter Campaign: Highlighted legal risks in social media marketing. Summary: Sport marketers must understand legal issues, protect intellectual property, and navigate emerging challenges in a lawful and ethical manner to ensure effective and compliant marketing. Chapter 15: Putting It All Together Core Concepts: Interdependence of the Five Ps: Product, price, promotion, place, and public relations are interconnected and influence one another. Cross-Effects: Changes in one element affect others and the overall strategy. Control: Effective marketing requires control and measurement of all activities to achieve goals. Accountability: Clear metrics are essential to evaluate marketing effectiveness. Key Areas of Focus: Cross-Effects Among the Five Ps: o Product and Price: Product quality impacts pricing strategy (e.g., premium products justify higher prices). o Product and Promotion: Promotions enhance the product's perceived value. o Product and Place: Venue quality influences the product experience. o Product and Public Relations: PR shapes the product's reputation and acceptance. o Price and Promotion: Discounts and packages stimulate demand when promoted effectively. o Price and Place: Pricing should align with venue quality and location. o Price and Public Relations: Overpricing or underpricing affects brand perception. o Promotion and Place: Promotions linked to venues create unique experiences. o Promotion and Public Relations: PR enhances promotional campaigns and engagement.  o Place and Public Relations: Modern venues improve public perception and PR outcomes. Controlling the Marketing Function: o Clear Direction: All units must align with a strategic marketing plan. o Organizational Structure: Define clear roles and responsibilities for effective execution. o Planning System: § Mission statement guides marketing activities. § Measurable objectives ensure realistic and trackable goals. § Performance analytics measure success (e.g., ticket retention, attendance). o Specialization: Allocate resources based on organizational objectives and needs. o Performance Evaluation: § Use metrics like CPL, COS, ROI, and ROO. § Implement participative goal-setting, regular evaluations, and corrective actions. § Annual reviews should build upon past performance and contracts. Key Takeaways for Sport Marketers: Integrated Approach: Manage the five Ps in a cohesive manner for success. Strategic Alignment: Align marketing efforts with the organization's mission and objectives. Data-Driven Decisions: Use analytics to inform objectives and strategy. Effective Control System: Plan, execute, and evaluate marketing activities systematically. Adaptive Management: Adjust strategies based on data and market feedback. Staff Development: Invest in training to enhance marketing team performance. Examples and Applications: Team Catchphrases: Demonstrate integration of promotion, product, and PR (e.g., "Get Behind Your Team"). Brevard County Manatees: Example of linking performance to strategy using customer-focused checklists. University of Minnesota: Illustrates collaboration across departments for a unified goal. XFL: Example of failure due to ineffective marketing. Summary: Sport marketing is a complex, interconnected system requiring an integrated approach, strategic alignment, and robust control mechanisms. Chapter 15 emphasizes considering the cross-effects of the five Ps and using clear metrics to evaluate performance, providing a framework for managing all aspects of sport marketing to achieve organizational success. Pedersen, P.M. & Thibault, L. (2014). Contemporary Sport Management (6th Ed.). Human Kinetics Sport consumer behavior, chapter 13 Core Concepts Active vs. Passive Consumption: Differentiates between engaging in sports actively (participation) and passively (spectatorship). Individual Factors: Motives, perceptions, attitudes, involvement, and identification influence consumer behavior. Group Influences: Reference groups, socialization, and situational factors impact decisions. Decision-Making Process: Multi-step process influenced by individual and group factors. Key Areas of Focus Individual Factors Influencing Sport Consumption: o Motives: § Active Consumption: Skill development, health, fitness, fun, social interaction, excitement. § Passive Consumption: Entertainment, eustress, aesthetic appreciation, affiliation. o Perceptions: § Selective Attention: Focuses on stimuli aligned with needs and experiences (e.g., a gymnast focuses on techniques). o Attitudes: § Comprise cognitive (beliefs), affective (feelings), and behavioral (actions) components. o Involvement: § High involvement: Emotional attachment and investment. § Low involvement: Casual, less invested fans. o Identification: § Strong identification fosters loyalty, attendance, and merchandise purchases. Group Influences on Sport Consumers: o Reference Groups: § Direct: Family, friends, peers. § Indirect: Role models, celebrities, athletes. o Socialization: § Learning norms and values through family, coaches, and peers. o Situational Influences: § Temporary factors like weather, time, crowd presence, or venue conditions. The Consumer Decision-Making Process: o Need Recognition: Identifying a need or problem. o Information Search: Exploring options to meet the need.  o Evaluation of Alternatives: Comparing options based on attitudes and experiences. o Purchase Decision: Choosing a product/service and vendor. o Post-Purchase Evaluation: Assessing satisfaction and influencing future choices. Key Takeaways for Sport Managers: Customer Understanding: Insights into motives, perceptions, and attitudes aid in effective strategy development. Targeted Marketing: Segmentation helps craft promotional campaigns tailored to specific audiences. Enhancing Fan Experience: Identifying factors driving involvement and loyalty enhances satisfaction. Leveraging Group Influences: Utilizing role models and socialization fosters greater engagement. Strategic Communication: Clear, impactful communication shapes attitudes and increases involvement. Examples and Applications: Gymnastics Competition: Highlights selective attention affecting individual event perceptions. Liverpool Football Club: Demonstrates focus on consumer satisfaction to retain loyalty. Marketing Strategies: Align promotional efforts with consumer motives like entertainment or social interaction. Summary: Understanding sport consumer behavior is vital for developing successful marketing strategies and products. Chapter 13 provides a framework for analyzing individual and group factors, decision-making processes, and their influence on sport engagement. By leveraging this knowledge, sport managers can attract new consumers, retain existing ones, and improve overall satisfaction.