Introduction To Professional Sport PDF

**PROFESSIONAL SPORT** Defining Professional Sport: - Professional sport is defined by athletes receiving compensation for their performance, and it operates within a highly commercialized and entertainment-driven industry. - Leagues and teams are the primary structures, often operati...

**PROFESSIONAL SPORT** Defining Professional Sport: - Professional sport is defined by athletes receiving compensation for their performance, and it operates within a highly commercialized and entertainment-driven industry. - Leagues and teams are the primary structures, often operating as franchises within a larger league system (e.g., NFL, NBA, MLB, NHL).   Unique Aspects of Professional Sport - **Interdependence** - Central premise differentiating professional team sport from any other business - The need for teams to compete and work in partnership simultaneously - Teams depend on one another to produce the games that constitute the product - League think - Pioneered and most effectively implemented by the NFL - The notion that teams must recognize the importance of their competition and share revenues to ensure that their competitors remain strong - Some teams sacrifice the potential for higher revenue in the interest of league stability - Eg. Patriots and Bengals sell a disproportionate amount of NFL-licensed merchandise, but the money from these sales is pooled and shared equally among all 32 NFL teams - Collective bargaining agreement - Revenue sharing in major leagues - NFL is set up so that all teams share national media revenue equally; no separate local media contracts are allowed - MLB is set up to where teams share national media contracts, but keep local media revenue - Local revenue disparity between large-market teams (eg. New York Yankees) and small-market teams (Eg. Kansas City Royals) - Luxury tax - Teams with disproportionately high payrolls pay a tax to MLB and the collected luxury tax is then shared among teams with lower payrolls - A device used to tax the teams that spend the most (or spend too much as defined by the CBA) on player payroll; those taxes are then shared - **Structure and Governance** - Each professional sport has its own structure and system of governance, called the league office, which usually involves: - League commissioner - Board of governors or committee structure composed of the team owners - Central administrative unit that negotiates contracts and agreements on behalf of the league and assumed responsibility for scheduling, licensing, record keeping, financial management, discipline and fines, revenue-sharing, payments, marketing, promotional activities, developing and managing special events, and other functions such as coordinating publicity and advertising on behalf of the teams as a whole - Cultivation of a minor league is becoming increasingly popular among other major professional sports leagues - Labor-Management Relations - Baseball\'s Antitrust Exemption - The MLB is exempt from the Sherman Antitrust Act, which prevents companies from monopolizing markets - Court ruled that baseball was local and did not involve interstate commerce, this exempt from antitrust laws - Prevents the creation of competing baseball leagues - Gives MLB teams significant leverage over cities - Allows MLB to control team relocation decisions - Collective Bargaining - A process used to negotiate work terms between labour and management; all active league players are in a bargaining unit and thus form a collective unit (labour) for negotiating and bargaining with the owners (management) - National Labour Relations Act - Free Agency - The ability of players, after fulfilling an agreed upon number of years of service with a team, to sell their services to another team with limited or no compensation to the team losing the players - Implementation began in the mid 1970s - Relative freedom of all professional team sport players have to move from one team to another - Negotiated item in the CBA - Salary Caps - Agreements collectively bargained between labour and management that establish a league-wide team payroll (salaries, bonuses, and incentive clauses) threshold that cannot be exceeded in most cases; the salary cap is typically set using a percentage of league gross revenue as a starting point - Ensure parity between large- and small-market teams as well as between owners whose resources may vary considerably - Only the MLB does not have a cap - WNBA, NFL, and NHL operate with hard caps, meaning no exceptions exist to the collectively bargained cap amount - Player draft - Aims to be an equitable system for distributing new talent among all league members - Provides each professional sport league with a mechanism for the team with poor records to have an advantage over teams with winning records in acquiring talented new players   Role of the Electronic and New Media - Drive popularity - Generate additional revenue for associated teams - Broadening the reach of professional team sport - No single factor has influenced the popularity of sport, the escalation in player salaries, free agency, and the growth and increase of corporate involvement in professional sport more than television       Revenue Sources for Professional Sports Teams - Media contracts - National television contracts - The MLB, NBA, WNBA, NHL, MLS all permit their member teams to negotiate local television contracts for regular-season games - Agreements made between professional teams and local TV stations and regional sports networks that provide teams with additional media revenue beyond what they receive from the national television contract - Future ability to increase rights fees may be lessened because of: - Leagues having their own networks - Sponsorship dollars were diminished by COVID19, and now corporate sponsors are more discerning than ever in deciding whether and how to spend their marketing dollars - Leisure and entertainment offerings have never been more fragmented and diverse - Alternative delivery options (smartphones, tablets) are changing the way people consume live sport events - Gate receipts - Concessions - Home team retains most of the gate receipts, but depending on the league, a portion is given to the league to cover their operating expenses and a portion may be given to the visiting team - Licensing and merchandising revenues - Generated when leagues and teams grant merchandise and apparel manufacturers the right to use their names and logos - Leagues and teams receive a percentage of the selling price - Increasingly lucrative source of revenue - Licensing programs distribute the revenues equally among the teams - Market for merchandise has become saturated - The ability to continue to increase licensing revenue depends partly on the growth and demand for league-licensed video games and the demand for U.S. league-licensed products overseas - Sponsorship - The acquisition of rights to affiliate or associate directly with a product or event to derive benefits - Most leagues and teams have more than 100 sponsorship agreements in place - Revenue per agreement has dropped in recent years - Signage visible in the sport venue and on television for local broadcasts only - Virtual signage - Signage that is generated by digital technology and placed into a sport event telecast so it appears that the sign is part of the playing surface or adjacent to the playing surface   Future Challenges Facing Professional Sport - Maintaining labour-management relations - Managing new technology - Dealing with globalization - Sales and distribution of broadcast and other media rights outside of the country of origin - Merchandise sales outside of the country of the team identified on the merchandise - Corporate partnerships that can be activated outside the country of origin of the corporate entity - Exhibition contests, regular season games, and tours played outside of the continental United States and Canada by U.S. professional leagues and teams and by college conferences and their respective teams - Extending social media content outside the national boundaries of the country that produced the content   Career Opportunities in Professional Sport - Executive positions - Chief executive or operating officer (CEO/COO) - Responsible for the day-to-day functioning of the entire organization, both on the field (performance) and off the field (revenue generation) - Chief financial officer (CFO) - Responsible for the organization\'s accounting and financial planning - Chief marketing officer (CMO) - Responsible for coordinating the marketing mix among communications, ticket sales, and corporate sponsorship and partnership sales - General counsel - Responsible for overseeing all legal matters associated with the team including player contracts, liability issues, and marketing contracts - General manager - Typically responsible for acquiring, developing, trading, and releasing talent and creating aa development system for young players - Player personnel positions - Player personnel - Involved in identifying, evaluating, and developing potential and current players - Typical jobs include scouting - Medical, training, and team support - Aid in the physical and mental preparation and readiness of the players - Responsibilities include medical care, treatment of injuries, rehabilitation, dental care, nutrition, strength training and conditioning, career counseling, and after-care programs - Coaching staff - Primarily concerned with coaching, managing, and training the players on their rosters - Player education and relations - Tasked with educating players on issues such as financial management, substance abuse, nutrition, image management, and additional higher education - Other responsibilities may include working as a liaison between the team and players with respect to player appearances in the community - Video support staff - Producing and editing videos, purchasing and maintaining video hardware and software products, supervising and coordinating satellite feeds, coordinating all broadcasting that originated at the home facility, filming games, and maintaining the team\'s library of game films and player evaluation videos - Stadium and facility staff - Maintenance and repair of the playing surface and preparing the team\'s offices, locker rooms, training facilities, practice facilities, and playing fields - Business positions - Ticket sales - Focus on selling season tickets, partial season tickets, and group tickets - Target individual , group, and corporate ticket purchasers - Good first position in professional sports - Corporate sales - Target specifically corporations and may sell corporate sponsorships, luxury suites, or club seats - Game experience - Enhancing the experience of people who attend games, overseeing the music, video boards, and public address messaging during a game - Advertising - Designing and writing advertising copy and strategically placing advertisements in a variety of media - Promotions - Focus on providing optimal experience to spectators - Overseeing all promotional activity that occurs on the field of play or in the stands during the game - Community relations - May be a part of the public relations or marketing department - Responsible for creating and administering grassroots functions such as clinics and other charitable events that the team sponsors - May implement league-wide programs such as the NBA\'s Read to Achieve program - Media relations - Assisting and working with the media by providing necessary information for game coverage and publicity - Often involved with overseeing the team\'s social media activities and publications such as media guides, yearbooks, and game programs - Database marketing coordinator - Focus on building databases of information about the team\'s customers so that the team can more effectively serve its customers and better meet their needs - May include overseeing the marketing research efforts - Hospitality coordinators - Responsible for game-related needs of corporate clients, club seat holders, and luxury box owners - Includes coordinating the provision of food, beverages, and any other special needs (e.g. internet) required - Ticketing - May or may not include the ticket sales staff - Manage the ticket inventory, ticket distribution, printing, accounting game-day box office sales, complimentary tickets, and the financial settlement for the visiting team - Sports data analysts - Analyzing performance data of potential new recruits, evaluating team and individual players\' performance metrics to aid player development, or analyzing opponents\' performance data to inform the game plans and scouting reports - May also analyze business data to inform decisions about ticket pricing strategies, customer relations campaigns, or marketing strategies **SPORT MANAGEMENT AND MARKETING AGENCIES** History & Background - A business that acts on behalf of an entity involved in the sport industry - Sport related entity is often a client - A person, a corporate brand, property, media company, or concept represented by a sport agency - Actions an agency may undertake include: - Representation - Negotiation - Sales - Licensing - Marketing - Management - Strategy - Experiential activation - Content creation - Measurement - Bears the responsibility to protect and uphold the best interest of its individual clients - In the early 1900s as professional sports grew increasingly prominent athletes began to receive compensation for endorsing products and agents began to emerge - Early agents such as Christy Walsh and C.C. Pyle - Independent athlete-agent pairings continued until the 1960s - Mark H. McCormack founded the first agency - In-house groups functions commonly overlap with those of agencies - A collection of employees who work directly for a property or brand to provide services similar to those commonly performed by outside agencies   Functions of Sport Management and Marketing Agencies   - Corporate brand Function Strategic planning Sponsorship and licensing solicitation Event creation Contract negotiation Marketing activation CSR and grassroots programs Content development Financial planning and brand/legacy building Research, insights, and measurement Talent Property Media company - Strategic planning and management - Consultative services to clients regarding business, marketing, and promotional decisions to best meet the clients\' objectives - Sponsorships - Often handled in-house - Seek outside assistance in strategic functions such as determining the value of their sponsorship offerings and soliciting and securing sponsors - Similarly, corporations often employ an agency to help identify sport and entertainment properties that may assist them in achieving their corporate goals and objectives - Sponsorship and licensing solicitation - The agency works on behalf of the client to sell rights, assets, or other inventory for commercial benefit - Endorsement opportunities - Personal appearances - Product placements - Book contracts - Movie and television roles - Interviews and feature stories - Presence in video games - Assists in the sale of that stakeholder\'s marquee inventory such as entitlement - Associating the name of a sponsor with the name of an event, facility, or similarly unique offering in exchange for cash or other considerations - Derive maximum value - Event creation - As digital and social media become primary sources of information, the sport industry must get involved, often by creating new events that offer compelling content - Providing an immersive digital experience for consumers while still ensuring they tune into traditional live sports programming - Physical experiential events remain key to creating meaningful connections with consumers, particularly the next generation of fans - Can be amplified with social and digital media - Fill inventory - The assets that a sport property has to sell - Assist media companies, properties, and corporate brands in working through the creation and execution of these new opportunities and offerings - Contract negotiation - Involves representing a clients in contract discussions - Could involve: - An athlete and a team - A corporate sponsor and an athlete - Many other combinations of parties - Typically highly sensitive - Require deep knowledge of the sport marketplace and a honed skill set - Agencies are sometimes incentivized in contract negotiations with a compensation structure that is linked to the final financial terms of the agreement that is being negotiated - Two main types of agreements - Playing contracts - Negotiated between an athlete\'s agent and the team that seeks to employ the athlete - Agent\'s free structure is different in each sport league, it is typically dictated by the collective bargaining agreement - A legal contract between an employer and a union representing the employees - The result of an extensive negotiation process between the parties regarding topics such as: - Wages - Hours - Terms and conditions of employment - Multiyear agreement - Commonly affects player-agent relationships - Fees can range anywhere from 2-10% - Marketing and endorsement contracts - Agent fee structure is not regulated by leagues - Typically ranges from 10-20% - Marketing activation - Many stakeholders hire agencies to manage, activate, and market their existing events - Often called activations or experiential marketing - Event management and marketing agencies are often involved in: - Golf and tennis tournaments - Festivals - Bowl games - Other special sport and lifestyle events - May involve any of the following areas: - Hospitality and entertainment - Fan engagement - Sponsorship and ticket sales - Licensing and merchandising - Content production - Public relations - Promotion - Brands often task agencies with creating and executing exciting and innovative experiential events to engage fans and to help entice them to become consumers and product advocates - Content generation related to activation - Sites such as YouTube, Facebook, and Instagram - Corporate social responsibility and grassroot programs - Community and philanthropic programs are considered grassroot programs - Programs targeted to people at a primary involvement level, usually participants rather than spectators - Designed to create an initial involvement or engagement to eventually build a following for a product, service, or organization in an organic way - CSR increase - Agencies have been tasked with responding with programs that give back to society - Help their clients enjoy various tangible and intangible benefits such as: - Image enhancement - Enhanced reputation - Increased sales - Brand loyalty - Positive word of mouth - Goodwill - Content development - The growth and proliferation of cable, satellite, pay-per view, social, digital, and mobile media have created many opportunities and outlets for developing and producing programming - Recognized surrounding opportunities and have aggressively moved to capitalize on them - Fan consumption habits have changed - Content is still king, but that content is no longer limited to live games on linear television - Social media is increasingly becoming the preferred content consumption channel for fans - Athletes have recognized the power of their social media voices and channels, spurring the creation of agency offshoots - Financial planning and brand and legacy building - Highly specialized service of financial planning involves: - Accountants - Financial planner and advisors - Investment specialists - Portfolio managers - Today\'s business world has forced agencies to evolve their offerings from simply traditional financial management to more inclusive and expansive consideration of overall brand management and legacy building - Capitalization and diversifying of athletes\' earning power by creating their own companies and ventures - Research, insights, and measurements - Evaluation and documentation - Research and insights - Sport industry spending has become increasingly mainstream and garnered higher corporate marketing budgets - Caused the need for accountability across stakeholders and agencies to grow exponentially - Responsible for showing that programs are successful and worthy of investment - ROI analysis - A method by which the output or outcome of an investment is calculated in light of the dollars or resources spent on that investment to determine the investment\'s relative success - Postevent impact study that involves research conducted after an event ends to determine the effect the event had on the sponsor\'s objectives or on the community in general - Research and analysis are essential in assisting decision makers in justifying a program\'s cost, value, and relevance   Types of Sport Management and Marketing Agencies - Full-service agencies - Offer the greatest breadth of functions and touch all or most of the four key stakeholder groups - Handle core functions such as: - Strategic planning - A systematic process of envisioning a desired future and translating that vision into broadly defined goals or objectives and a sequence of steps to achieve them - Sponsorship solicitation - Event creation - Contract negotiation - Marketing activation - Research and measurement - Often employ: - In-house attorneys - Accountants - Sales personnel - Public relations personnel - Creative personnel - Management information services personnel - Client representation - Event and venue management - Global brand partnerships - Media and digital content - Serving as an advisor and consultant to rightsholders - Negotiating the sale of content rights - Creating and producing content series and events for sale or distribution - Handling the distribution of programming - General agencies - Those that fall between the expansive scope of work performed by full-service agencies and the narrow scope of work undertaken by specialty agencies - May have the objective of becoming full-service agencies - Others find themselves best suited for their current offerings with no intention of significant growth - Examples of services include: - Athlete, coach, and broadcaster representation for all off-field/court business and marketing activities including: - Licensing - Endorsements - Broadcaster contract negotiation - Media placement - Promotions - Speaking engagements - Personal appearances - Corporate consulting and property marketing including: - Comprehensive strategic planning and implementation of integrated marketing programs for consumer products or service corporations - Online or ecommerce fulfillment companies, manufacturers, retailers, and sport and entertainment management organizations - Services include: - Sponsorship negotiations and evaluations - Media packaging - Licensing - Merchandising - Cross promotional ties - Hospitality and event management including: - Turnkey programs across: - Hospitality - Event and experience management - Promotional coordination - Licensing - Onsite and retail merchandising for top sport and entertainment events - A product or service offering that a vendor executes without further involvement from the purchaser (client) - Specialty agencies - Specialized in one specific type of service or caters to a specific stakeholder clientele - Some agencies focus on: - Talent representation - Consulting brands about their sport marketing platforms - Research and evaluation - In all forms of media - In-house groups - Internal sport or sponsorship department of corporate brands - Responsible for sport functions on behalf of the products and divisions of the parent company - Only have one company \-- themselves \-- to answer to - Function as gatekeepers in reviewing opportunities - Individuals or groups responsible for controlling the flow of proposals or solicitations to the decision maker - Work with other units of the corporation to cerate or implement sport and lifestyle programming to achieve corporate objectives - Some corporations elect to rely solely on an internal department for all agency functions - Majority retain one or more agencies that work in daily collaboration with the internal team   Careers in Agencies - Diverse and require a wide range of skills and abilities - Challenging and varied - Focused on a candidate's potential, which is generally determined by the: - Level of preparedness for the interview - Eagerness to contribute and be part of a team - Flexibility to work evenings and weekends - Perceived demeanor or cultural fit within the organization as a whole - Communication, problem solving, and sales experience are prioritized - Business degree with a marketing background is preferable, as well as a sport management degree with several business electives - Contains both generalists and specialists - Skills can be classified as: - Organizational - Strategic planning capabilities - Supervisory skills - Ability to design and manage research projects - Operational layout and management skills - Technical - Excellent written communication and social media engagement/awareness - Budgeting, pricing, and forecasting knowledge - Computer skills \-- both PC and Mac based - Comprehension of demographics, target marketing, and geocoding - Knowledge of accounting and reporting - Legal knowledge and familiarity with contracts, risk management, liability, etc. - Comprehension of marketing, promotions, public relations, and sponsorship - People - People oriented - Listening skills - Ability to network - Presentation and public speaking - Negotiation skills   Challenges Facing Agencies - Uncertainty in client base - Many decisions fall well outside of agencies\' control - Decisions to simply select new representation - Brand electing to step back from sports due to a shift in wholesale strategy or a new CEO with a different perspective - Employees dedicated to clients that leave may be more vulnerable than others - Lack of control over clients - In-house vs outsourcing - Dismission of an agency to bring the function in-house - Agency would then have to cut personnel and budgets due to losing the account - Loss of employees - Hired for the in-house team - Idea of more control - Conflicts of interest - Firms represent a wide variety of clients across the sport landscape - Inevitable that some of these parties will occasionally come into conflict - E.g. free agent vs several teams - Mergers and acquisitions - Allow agencies to reach critical mass quickly and provide a fully range of services to existing clients while strengthening their appeal to new prospective clients - Struggle of assimilating existing companies into the overall culture of the agency - Labour unrest - Cutting costs during non-revenue-generating periods - May be opportunities and challenges for agencies - Talent management agents often maintain their staff but refocus their efforts to marketing and endorsements where opportunity still exists for the athlete to generate revenue - Labour stoppages - Lockouts - Economic challenges - Banking and automotive industries have traditionally been reliable, large-scale spenders on sport sponsorship, and their reductions have been noticed - Overall budget scrutiny with companies implementing cost-cutting measures - Global spread of COVID-19 - Innovation is crucial - Must become more focused on creating business solutions using marketing platforms - new opportunities for products and brands that have limited or no previous sport marketing experience - Quick adjustments - Different incremental offerings when selling sport products - Expand client bases as deal lengths shorten and contract amounts decrease   LECTURE NOTES   SPMA & Marketing Functions - Businesses that act on behalf of a sport-related stakeholder, commonly referred to as a client (e.g. talent, properties, brands, media) - E.g. - Wasserman - full service agency - IMG - full service agency - Boras Corporation - specialty agency   3 Types of Agencies 1. Full service 2. General 3. Specialty   SPMA & Marketing Functions - Strategic planning - Sponsorships and licenses - Financial and investment planning - Event creation, management, marketing - Research and evaluation - So clients know what they are paying for - To help us make better decisions - E.g. Vanier Cup research - 35.2% women fans - 65% fans 45+ - Game and fan fest priorities - Contract negotiations - Negotiation is a purposeful conversation - Marketing activation - CSR/engagement   Negotiation Fundamentals - Negotiation is a purposeful fundamental - Both sides have stated positions (1) - Both sides have underlying interests (2) - Motivations factors that affect positional acts - Both sides seek to gain from agreement - Both sides should try to EXPAND THE PIE - Try to get as much of the pie as you can - How can I make things better for you that also makes things better for me (better for everyone)   Next steps from midterm - Internalize and go from there - If not happy or confused, go talk to Prof.   5k Negotiation   E.g. Guerrero Jr. +/- 25M/Season \[+/- term\] - How do we expand the pie for him? - Think of the length of the contract - 8 year conditional contract for 200M - Incentives - Bonuses through completion - Mutually beneficial - Opt-outs +/- Toronto/Endorsements - You sign here for 25+++ you\'re now the face of the brand +/- Captaincy/Legacy/Hall of Fame   E.g. \[your name here\] +/- 5k bonus \[+10k value?\] - How can you expand the pie? - Use a threatening message of leaving (twisting the arm, may not work) - Ask the question of what you can go to get that 5k bonus - Either make a plan together or go in with a plan - Do things that aren\'t asked of you - How to make it beneficial for both sides? - How to gain more and make it more? +/- Availability/Responsibilities - Increase your availability - Be the person that stands out by doing more than others - Take on some leadership roles/managerial status +/- Sales /Commissions/Reward - If I hit a certain target/level, then can I be compensated?   What about First Offers? - What are your salary expectations? - something we may be asked - **Know what you are worth!!!** - Know entry level wages - Discuss how you think you\'re worth more - Discuss incentives   Lie, cheat, steal? When is It appropriate to? - Unmoral - Guard reputation with everything you have - Once you burn bridges and lie, it will damage your reputation - DO NOT EVER DO ANY OF THESE   What is a BATNA? - Best Alternative to a Negotiated Agreement - E.g. - Just take it and wait for another offer somewhere else - Go back and deal with it - Leave if it is your best alternative - What can you do to improve your best alternative? - Have an understanding of your market values around the industry   Getting \[you/Guerrero Jr.\] to say yes - First, value/manage the relationship - Second, know/learn what you are worth - Find what is reasonable for that job - Third, write their victory speech for them - Put yourself in their shoes - Fourth, manage the BATNAs (plural) **INTERNATIONAL SPORT** What is International Sport? - Consider: 1. Context in which an individual, organization, or event operates within the global sport enterprise 2. The degree to which \-- or the regularity with which \-- action by an individual, organization, or event focuses primarily on the global stage - Giants of international sport 1. Olympic Games 2. Paralympic Games 3. World championships - FIFA World Cup - Women\'s World Cup 4. Major annual international events - Tour de France - The Ryder Cup - Tennis Grand Slam - Multinational sport product and service corporations 1. Nike 2. Adidas - Sport marketing and representation agencies 1. Octagon 2. IMG - Sport facility design and management firms 1. Populous 2. Ellerbe Becket 3. Anschutz Entertainment Group (AEG) 4. Spectra by Comcast Spectator - May be difficult to assess the agree to which an organization is engaged in international sport, especially if it operates almost exclusively in one nations or is only occasionally involved with international athletes or clients 1. Examples of these types of organizations include: - NBA - WNBA - MLB - NHL - MLS 2. These leagues broaden their regional or national bases through marketing, branding, and broadcasting events to international audiences 3. Recruit and market international players in hopes of gaining new international fans, starting developmental leagues in various countries, and allow their athletes to play for their home countries during the Olympic Games or world championships   Expansion of International Sport - Growth is evident in: - Dramatic changes in the Olympic and Paralympic Games - International Olympic Committee (IOC) - Non-profit, international, multisport federation responsible for the governance of the Olympic Movement and its premier events, the Olympic Summer and Winter games, and the Youth Olympic Games. - Works closely with the National Olympic Committees, International Sports Federations, and organizing committees of the Olympic Games - Increased opportunities for women in sport - Passage of Title IX - A U.S. law that mandates equal opportunities for women and men in educational programs and activities that receive federal financial assistance - Challenged male privilege within the Olympic Movement and other international sport federations - Slow but steady growth in the participation of female athletes, as well as female coaches, officials, and leaders in sport - The redefinition of international sport - Latter part of the 20th century - Advent of corporate sponsorship associated with the Olympic Games - The Olympic games go corporate and professional - Reluctantly altered the rules governing corporate involvement for the 1984 Summer Olympic Games in LA - Allowed charging of significant fees for corporate sponsorships that included the use of the Olympic rings - Eliminated all references to the term amateur and allowed each IF to determine its own eligibility rules - Allowed professional athletes to participate - A shift in the balance of power - Power shift with each breakthrough victory by an individual, team, or nation - A single nation or region no longer dominates specific sports - Emergence of soccer as a worldwide obsession - Occurred in both men\'s and women\'s soccer - Despite scandals and fan violence, it has continues to expand its presence globally - FIFA expansion - The extension of international recruitment and marketing efforts - Recruitment of top players from nontraditional locations have accelerated - Leaders of most professional sport leagues scout the world for talent - Increasing number of international athletes who compete in elite professional sport leagues based in North America, Europe, and Asia continues to broaden the definition of what constitutes professional sport - This markets to new audiences at home while expanding their leagues\' and teams\' brands through the sale of broadcasting rights, team merchandise, and other product extensions overseas - Increased access to international stars has seen a corresponding drop in fan interest and attendance within regionally focused professional leagues - Major professional leagues in soccer, basketball, baseball, and ice hockey have formed new working agreements - Creating a climate of cooperation and a more orderly international transfer of players - Sport marketing as a global phenomenon - Internation expansion set off a flurry of activity in marketing - Successful and popular professional sport leagues have formed business partnerships to broaden themselves as worldwide brands - Introduction of countries from emerging economies as potential hosts for major global sport events - Brazil - Russia - India - China - South Africa   Current Issues in International Sport - Five principle entities in international sport 1. Professional sport organizations such as sport franchises, leagues, tours, and circuits 2. Professional athlete unions and professional athlete representatives 3. The Court of Arbitration for Sport (CAS), which adjudicates issues such as international athlete eligibility and breaches of fair play 4. WADA, an independent testing, research, and education organization that works to eliminate the use of banned performance-enhancing substances and techniques from international sport competition 5. Sport organizations and event sponsors that provide critical support and funding to athletes, organizations, and events -  - Governance of international sport 1. Governance refers to any pattern of rule withing organizations that is, to the systems institutions, and norms by which organizations are directed and controlled 2. Determines who has power, who makes decisions, how stakeholders make their voices heard, and how account is rendered (accountability) 3. Involved inclusiveness and representation 4. European Commission on Good Governance in Sport outlines three pillars of good governance: 1. Democracy - Involves stakeholder representation and power vested in the people, often through elections - Occurs when power is vested in the people and exercised by them directly or indirectly through a system of representation usually involving periodically held free elections 2. Transparency - Ensures decisions are openly communicated and understood by affected parties, promoting clarity and monitoring - Based on the free flow of information - The process by which decisions made are known to individuals affected by these decisions so that individuals understand the decisions and can monitor them 3. Accountability - Requires organizations to justify actions to stakeholders, either internally or externally, depending on decision impact - The notion of organizations having to answer and justify their actions to their members - Can be internal or external - The most prominent stakeholders include: 1. Athletes and participants 2. Parents 3. Coaches 4. Officials 5. Volunteers 6. Teachers and educators 7. Executives and leaders 8. Governments 9. Corporate sponsors 10. Media 11. Other sport organizations 12. Communities 13. Spectators - When athletes are not involved in decision making and power distribution and when external investigation and reporting agencies are limited, athletes become more vulnerable and subject to unfavorable conditions 1. This situation can create a culture of fear, and it can result in mental health issues, sexual abuse, emotional abuse, and more - A steward is a person or agency assigned to serve and protect the best interests of sport - Gambling, match fixing, and bidding for international sport events 1. Allure of personal financial game 2. Match fixing is an illegal activity in sport in which the outcome of competition is predetermined and goes against the rules of sports 1. Often motivated by gambling where bettors give money to players, coaches, or officials to arrange the outcome of the game - Environmental sustainability 1. Defined as the conditions of meeting the needs of the present without compromising the ability of future generations to meet their own needs 2. The Olympic Games are an example of where the IOC is responsible for ensuring they are held in a sustainable manner - Gender inequality in international sports   Guidelines for Future Leaders in International Sport Management - Studying abroad - Fundamental skills - Avoiding ethnocentrism - Evaluating other cultures based on your own culture and assuming your own culture is superior - Respectful of existing hierarchies - Patience - Ability to listen - Enhance marketability by acquiring basic knowledge of: - How a sport operates internationally - How the specific rules of the game are applied - How the sport is structured - Where the locus of power resides with sport (politically as well as on the field of play) - Primary trade treaties and agreements such as the World Trade Organization (WTO) and the United States-Mexico-Canada Agreement (USMCA) - WTO - an intergovernmental organization that regulated and facilitates international trade between nations - USMCA - a free trade agreement among these three countries that aim to grow North American economy through a mutually beneficial win for North American workers, farmers, ranchers, and businesses - Networking   Lecture   BATNA - Best Alternative to a Negotiated Agreement   Textbook Says - Two factors in determining whether a sport is international - The context - The degree (regularity) to which action by an individual\], organization, or event focuses primarily on the global stage   International Sport - Buffalo Bills??? - Sunk Toronto\'s hopes for an NFL team with the Toronto Series - CFL - Global combine - International recruitment - International streaming rates - Priceless - Internationalize audience - IFAF - International Federation of American Football - Monitoring and implementing doping protocols   Expansion and Growth of International Sport - It was back in ol\' 72 - USSR vs. USA Basketball - Controversial USSR win - USSR vs. Canada (Summit Series) - Canada won - 8 game series - What did we learn in 1972? - International competition is there - Munich Olympic Games - LA Olympic games (1984) - Era of professionalization - Dream Team - Competed in \'92 - Barcelona Olympic Games   EXAM PREP Expansion of international sport was due to: A. Dramatic changes in the Olympic games B. Increased opportunities for women in sport C. Redefinition of international sport as a business D. International recruitment/marketing E. Introduction of emerging markets - ANSWER: ALL OF THE ABOVE, all could be considered correct   Current Issues in International Sport - Good, bad, and ugly - Good - Global marketplace - Access to content due to of lack of borders - It\'s good, but it is not good for everybody - E.g. the CFL - Rather than priceless, is it worthless? - Bad - Governance (/ethical) - Ugly - Environmental impact of international sport - Olympic games - World championships   Innovation in International Sport - Something that is new - Marshallism 2.0 - Hope is not a strategy (First half of course) - A good coach is a good thief **EMERGING DEVELOPMENTS IN SPORT MANAGEMENT** New Realities - AI - VR - AR   Artificial Intelligence - May conjure stereotyped images - Can assess many types of data to derive insights - Training computers to mimic aspects of human intelligence, including processing the human language - Machine learning - Algorithms trained to find patterns in data and self-adjust to those patters with more data - Chatbot - Algorithmically trained bot that can detect patterns in language to simulate dialogue with website visitors - Prepared to respond to certain questions in certain ways - Over time it learns the responses to typical questions that fit best with customers - Challenges - Barriers to adoption include logistics such as data preparation and choosing a strategy and software that will scale as the organization or the volume of data grows - Company culture may be preventative - Communicating to nontechnical personnel - Creating usable AI insights for entry-level personnel - AI for hiring practices - Biases may be embedded in the algorithms   Virtual Reality and Augmented Reality - VR - Computer technology capability built to imitate an environment or create three-dimensional imaging with artificial sensory stimulation - Entirely new digital reality - Immersive - Benefits the player side and business site in sport - Athletes can prepare for game like situations in a safe and controlled environment - Anticipation and reaction time - AR - A technology that superimposes a computer-generated image on a user\'s view of the real world, thus providing a composite view - Pokemon Go - Enhance play with information currently unavailable in the existing environment - Supports athletes and revolutionized sport fanship - Access to data on players while they play the game - Stats and interviews - Immersing in a new reality vs. supplementing an existing reality - Challenges - Cost of development, maintenance, and equipment - Limitations with graphics - Eye strain - Organizational culture may prevent teams from fully utilizing technology   Streaming - A way to make content available to the public for viewing - Done live online or captured for offline viewing - Ability to watch on a TV, computer, or mobile device - Success can be attributed to the popularity and prevalence of mobile devices - Access to fast and reliable Internet connection is important - Popular sport streaming services: - WatchESPN - Facebook Watch - Fox Go   Esports - Electronic sports - Video game competitions between individual players or teams - Esport stakeholders - Tier 1 - Game developers and publishers - Players - Teams and franchise owners - Leagues - Tournament and league organizers - Tier 2 - Event managers and promoters - Marketers - Broadcasters - Educational institutions - Tier 3 - Coaches and managers - International fans - U.S. fans - Children and parents - Gamblers - Differentiating esports from traditional and nontraditional sports - Traditional and nontraditional sports emphasize the use of gross motor skills - Esports emphasizing fine motor skills as the form of physical exertion - Physical attributes in correlation with their performance vs performance and ability to compete regardless of physical attributes - Gender related differences are less evident in esports - Esports do not require access to a specific type of facility and the equipment is minimal - Benefits associated with esports participation - Cognitive focus - Social engagement - Physical activity and fitness - Therapy - Relaxation - Career preparation - Esports revenue is made up of 6 types of revenue streams: - Sponsorship revenue - Media rights revenue - Game publisher fees - Merchandise and ticket revenue - Digital revenue - Streaming revenue - Esports as a career - Brand marketing manager - Business development manager - Business operations manager - Communications and public relations manager - Engineering manager - Esports event manager - Game designer - Lead product identity designer - Live operations manager - Principal revenue strategist - Product manager - Senior product analyst - Software engineer - Technical producer - Visual designer - Interscholastic and intercollegiate esports organizations - Colleges and universities offering esports clubs and varsity teams - Future of esports - Arenas dedicated to esports - State-of-the-art gaming facilities - Will rival the biggest traditional sports leagues in terms of future opportunities   Fantasy Sport - A type of online game play that allows users to assemble a hypothetical or imaginary team composed of real-life sport players and play against other users for a chosen amount of time, whether a single day or an entire season - Traditional fantasy sport - A fantasy sport game that covers an entire season, for which users draft players and assemble a team prior to the season and then adjust their lineup through the season with the players they have drafted - Daily fantasy sport - Represents the shorter version of traditional fantasy sport where users can draft players before the real-life games start and create a unique lineup every day based on matchups, injuries, or favourite players, and as the name implies, the game can be completed within the course of one day - Fastest-growing means of consuming sport - Key driving factors - Growing interest form millennials - Operators\' aggressive advertisements and sponsorships - Vendors\' rewarding partnership and strategic collaborations with different stakeholders - Key operators - CBS - ESPN - Yahoo - DraftKings - FanDuel - Revenue generators - Participation fee - Premium service fee - Sponsorship - Advertising   Sports Betting - Wagering money on the outcome of sport events - Traditional fixed-odds betting - Wagers are placed before the start of an event - In-play/live betting - Wagers can be placed during an event - Exchange betting - This technique uses fixed odds but no bookmakers - Two parties bet; one backs a selection, and the other one lays that selection - Spread betting - A wager chooses a higher or lower number than the bookmaker\'s posted spread   LECTURE SLIDES AND NOTES   Gambling  - Good  - Interesting  - Bad and   - Ugly    The Good  - E-sports  - Sport?  - US 189.3B in revenue   - Sponsorships, media rights revenue, merchandise, streaming revenue  - SPMA career opportunities  - Inclusion needs to be developed  - Social engagement  - Therapeutic benefits  - Physical fitness  The Interesting  - Ai and Ar and Vr  - Chatbot functionality  - Ar overlays  The Bad  - Fantasy sport    The Ugly  - DFS and Gambling  - Players being suspended for gambling    What defines sport?  - An activity which involves...(1) physical exertion, (2) skill, (3), organized competition between individuals or teams, and (4) codified rules or regulations  **SPORT MARKETING** Marketing - Critical aspect of sport management - More than just selling - Includes elements of: - Selling - Advertising - Public relations - Sponsorships - Community relations - BUT is by no means limited to these actions - Collection of practices that transform basic activities into commercial enterprises - The process of designing and implementing activities for the production, pricing, promotion, and distribution of a sport product or sport business product to satisfy the needs or desires of consumers and to achieve the company\'s objectives - Infuse the premise of: - Relationship marketing - Exchange and interactions between economic partners, service providers, and customers - Service marketing - Consideration of how service encounters affect customers\' perceptions of service quality - Social marketing - Requires that marketing practices promote the welfare of consumers and are in the best interest of society - Cultural sensitivity - Pertains to a keen awareness, understanding, and respect for the culture of consumers - Why is sport marketing unique? - Aspects of sports are intangible - Sport involves emotions - Sport is subjective and heterogenous - Impressions, experiences, and interpretations vary - Generally socially consumed - Sport experiences and events are inconsistent and unpredictable   Developing a Sport Marketing Plan - marketing mix - Comprises the elements of product, price, place, and promotion; sport marketers modify, customize, or manipulate these elements to achieve marketing goals and objectives - Product - A tangible object or intangible service or experience that satisfies consumers\' wants or needs - Price - The value of a product and the costs consumers incur to obtain it - Place - The distribution channels that allow consumers to access or obtain a product - Venue - Location - Time - Date - Promotion - The integrated activities that communicate, inform, persuade, and motivate consumers to purchase a product - Steps involved in customizing the four Ps accordingly: - Determine the purpose of the sport marketing plan - Why does the entity exist? - What is the entity striving to achieve? - Clearly define measurable goals and objectives - Identify and analyze product attributes - Mindful of dimensions that form the sport product - Athletes and coaches competing - Tangible goods - Support services - The event itself - The core product is the actial competition - Product extensions are the ancillary items such as: - Mascot - Music - Half time entertainment - Concessions - Bands - Cheerleaders - Product life cycle - The life span stages of a sport product: - Introduction - Growth - Maturity - decline - Analyze market conditions - Forecast and anticipate necessary changes - SWOT analysis - A management technique available to sport marketers to help them assess the internal strengths and weaknesses or an organization and the external opportunities and threats that it faces - Strengths - Internal factors that are advantageous to the sport organizations ability to achieve its marketing goals and objectives - Weaknesses - Internal factors that are disadvantageous and may prevent a sport organization from achieving its marketing goals and objectives - Opportunities - External factors or conditions in the environment that may enhance a sport organizations ability to achieve its marketing goals and objectives - Threats - Unfavourable, external factors in an environment that could interfere with a sport organization\'s ability to achieve its marketing goals and objectives - Position the sport product - The process of establishing a sport entity in the minds of targeted consumers - Seeks to create an image of a sport product to differentiate it from others - Distinctive images based on: - Consumers - Signs and symbols associated with the sport - Design and benefits - Price - The place where the product is consumed - Rebranding - Changing an entities colours, logo, or brand name - May be evolutionary or revolutionary - Branding - The process of using a name, design, symbol, or any combination of the three elements to help differentiate a sport product from the competition - Elements of branding: - Brand awareness - Consumers recognition and recollection of the brand name - Brand image - Consumers perceptions and beliefs about a brand that shape their attitudes - Brand equity - The value the brand contributes to a product in the marketplace - Brand loyalty - The consistent or repeated purchase of one brand over others in its product category - Segment and target consumer groups - Grouping according to common characteristics relative to the sport product, service, or event - Market segmentations - The process of identifying smaller and viable clusters of sport consumers who may exhibit similar wants, needs, and interests regarding sport - Demographic segmentation - Clustering sport consumers based on: - Age - Gender - Race or ethnicity - Education - Household income - Geographic segmentation - Breaking down into groups based on region of the country or state or zip code - Psychographic segmentation - Appealing to consumers\' attitudes, interests, and lifestyles - Purchasing behaviour segmentation - Groups based on their frequency of product usage - Package the sport product - Bundling the salient attributes of the product and presenting them in the best possible manner to appeal to the target consumers - Sport sponsorship - The exchange relationship whereby entities acquire the rights to affiliate or associate with sport to achieve marketing benefits - Ambush marketing must be avoided - When a company who has not paid a rights fee to become an official sponsor attempts to unofficially create an association with a sport property - Price the sport product - Based on four factors: - Consumer - Demographics - Psychographics - Purchasing behaviours - Media preferences - Competitor - Analyze competitor\'s prices and consumer\'s perception of them - Company - Analyse the cost the company incurs to produce the product and set a minimum price to cover the costs - Materials - Equipment - Salaries - rent - Climate - External factors - Laws pertaining to pricing - Government regulations - Economic situation - Political situation - Promote the sport product - Four key elements - Open and honest communication with the public - Images and messages that are socially responsible - Cooperation with the public and response to their interests - Good faith relationship with the public - Promotions mix - Advertising - Publicity - Sales promotions - Public relations - Community relations - Media relations - Personal selling - Sponsorship - Athlete activism - Place the sport product - Distribution - The various channels necessary for consumers to access the event or experience - Physical location - Ticket distribution - Evaluate the effectiveness of the sport marketing plan - Obtaining feedback - Adjust accordingly   Market Research - The systematic process of obtaining, analyzing, and interpreting data or information to evaluate and improve marketing practices - Important information includes: - The product (its history, successes, and failures) and the respective organization - Targeted consumers (their attitudes, perspectives, purchase behaviours, demographic profile) - Social, cultural, and economic trends of the environment - The organization\'s direct and indirect competitors   Future of Sport Marketing - Internationalization - Rapid decline of cable and satellite subscribers - Heightened social, political, and cultural consciousness of athletes, fans, and spectators - The rise of VR - Growth in esports - Increased use of data analytics - Increased cost of attending sport events - New platforms   LECTURE SLIDES AND NOTES   Sport marketing vision  - "The overarching purpose of marketing is to facilitate a socially responsible relationship between a sport organization and it's consumers"  - We are associated with sport organizations through sport marketing    Sport marketing  - "Designing and implementing activities for the production, pricing, promotion and distribution of a sport product or business product to satisfy the needs or desires of consumer and to achieve the company's objectives."  - Season tickets/flex packages  - Junior jays   - bat flip?    Marketing mix  [The product:]  - The game  - Merch  - Tailgating    [The price: ]  - Dynamic (can change minute to minute)  - Variable  - Premium level spaces     [The place:]  - Where the event is being held  - What is the online experience  - What is the ticket buying experience  - Customer service  - The employees who work there    [The promotions:]  - Hockey night in Canada  - Looney dog day  - Bobbleheads  - "Bobblehead games are associated with a 9.8% higher attendance"    Unique aspects  - Sport is intangible  - Sport involves emotions  - Sport is unpredictable  - Sport is perishable    Developing a marketing plan  - [1) Determine the purpose] of the sport marketing plan (Review mission, vision and value statements)  - [2)Analyze product attributes]  - [3)Analyze market conditions]  - SWOT  - 4)[Position/brand the product]  **[T/F BRAND = LOGO?]**  - 5\) Segment and target consumers  - 6\) Pricing the product  - 7\) Packaging the product  - 8\) Promote products  - 9 Distribute product  - 10\) Evaluate the plan (KPI? ROI? WL&L?)  **TAKE ME OUT TO THAT [BOBBLE HEAD GAME]**  - Bobble head games are associated with a 9.8% higher attendance rate **SPORT SALES AND CONSUMER BEHAVIOUR** Consumer Behaviour - Made up of processes involved in the: - Search - Selection - Purchase - Use - Reuse - Of products, services, and experiences - The set of actions a consumer makes before, during, and after a purchase   Understanding the Individual - Market segment - A portion of the population that is distinctive in terms of its needs, characteristics, or behaviour - Target market - A market segment identified as the focus of an organization\'s marketing efforts - Consumer needs and motivation - Participant motivation - Three key motives: - Achievement motivation - Emphasis on the competitive elements of a sport program - Nearly always require an element of social comparison - Extrinsic rewards - Rewards given to a person by someone else - Medals - Trophies - Competitive all-star events - Social motivation - Images of athletes enjoying themselves before and after a sporting event - Two important elements - People can train with a group and thus do not have to train alone - Socializing often continues after events and this is not limited to the event or training session itself - Mastery motivation - Skill development - Learning - Personal challenge - Intrinsic rewards - Rewards a person receives from the experience itself - Less about winning and more about challenging themselves - Spectator motivation - A way to escape from every day life and a diversion from stress or boredom - Desire for drama and excitement - Eustress - Positive levels of arousal provided to sport spectators - Consumer perceptions - The process by which a person selects, organizes, and interprets stimuli to create a meaningful picture of the world - Consumer attitudes - Consumer involvement can be characterized as a combination of people\'s interest in a sport product and the degree to which they consider the product and important part of their lives - Cognitive component (beliefs about the s Overall attitude Affective component elings about the spo Behavioral component ions toward the sport) - Loyalty, involvement, identification   Group Influences on the Sport Consumer - Different people influence each person, and everyone values the opinions of different groups - Reference groups - People and groups who influence one\'s values, norms, perceptions, attitudes, and behaviours by providing a valued point of comparison - Direct reference groups - Require face-to-face interaction - Friends and family - Culture is the largest of the direct reference groups - Indirect reference groups - Do not require contact, but can be highly influential - Groups a person aspires to be a member of - Consumer socialization   Situational Influences on the Sport Consumer - Situational influence comprises five categories - Physical surroundings - Geographic location - Décor - Sounds - Smells - Lighting - Weather - Crowding - Social surroundings - Effects of the physical presence of others - Task requirements - Context of purchase - Temporal influences - Seasonal - Time of day - Antecedent states - Anxiety - Excitement - Hunger   Consumer Decision Making in Sport - Motives, perceptions, attitudes and experiences that are uniquely their own - Then people are influenced by reference groups and subcultures - Need recognition - The perception of a difference between a desired state and the actual situation; the first stage of the decision-making process -  - Service quality - An indication of how well a delivered service conforms to the customer\'s expectations in terms of what the customer is receiving and how the service is delivered through the interaction between the customer and service provider - Customer satisfaction - Technical quality - Concerned with what the customer is actually receiving from the service - Functional quality - Concerned with the way the service is delivered   Sport Sales - Generating revenue - The revenue-producing element of the marketing process for sport organizations - Four main revenue sources: - Sponsorship and advertising - Media rights - Ticketing and hospitality - Licensing and merchandising - Sales is an area very closely related to consumer behaviour - Strong understanding of: - Demographic information - Psychographic information - Direct sales - Sales strategies that target consumers directly via one-on-one interaction - Extremely data driven - Identification of target market segments - Consumer data can be collected through a variety of methods: - Conducting focus group interviews - Online or in-person surveys or polls - Reading and analyzing comments   Challenges and Issues in Sport Consumer Behaviour and Sales - Intensive market competitions - Increased disparities in disposable income - Generational difference in lifestyles - Heightened corporate social responsibility, social justice, gender equity, environmental protection, and long-term community development relating to mass sport participation, sport cultural formation, and promotion of social value and personal well-being - Sport globalization - Sport virtualization - Esports   LECTURE NOTES   MAKE THE FIRST OFFER MAKE ETHICAL DECISIONS   Consumer Behaviour - Helps you understand how personal, group, and organizational factors influence consumer decisions and how people make purchase decisions   Why do people go to sports games? - Entertainment - Socialization - Eustress - Aesthetic aspect - Surroundings and environment - Passion   Needs and Motivations - Participation \[e.g. Brock Badgers\] - Achievement - Trophies, medals - Social - Team gatherings - Community involvement - Mastery - Honour roll - Hall of fame - Rewards - Spectatorship \[e.g. Buffalo Bills\] - Diversion - BIRGing! - Basking in reflected glory - Social - Eustress   Perceptions and Attitudes - Perception is a process by which a person selects organized, and interprets stimuli to create a meaningful picture of the world - **New perception \--\> New attitude** - Can perceptions or attitudes be changed? - Attitude is everything - And... - Cognitive component - Beliefs about the sport - Affective component - Feelings about the sport - Behavioural components - Actions toward the sport   Groups and Decision Making - Decision process - Need recognition \--\> information search \--\> evaluation of alternatives - External influences - Reference groups - People you aspire to be life - Socialization - The people you grew up with, family     Internal influences Motives Perceptions Attitudes Experiences Involvement Identification Situational influences Physical surroundings Social surroundings Task requirements Temporal perspective Antecedent states Decision process Need recognition Information search Evaluation of alternatives Purchase Postpurchase evaluation External influences Reference groups Socialization Subcultures Marketing efforts     Sport Sales and Challenges - Always Be Closing, pushing {does not like this one} - Overaggressive sales tactic - ABC Always be calling - ABC Always be confident - Successful salespeople must be confident in themselves and also in the product or service they are selling - Must know your product inside and out - ABC Always be competitive - ABC Always be clear eyed - Wins and Losses and lessons - Know consumers - E.g. needs/motivations - E.g. perceptions/attitudes - E.g. decision making timelines **ANALYTICS IN THE SPORT INDUSTRY** Sport Analytics - The process of collecting and analyzing data to influence decision making and enable players, teams, and organizations to perform to their maximum potential - Relatively shot but active history - Managers and teams have actively used statistics and analytics and performed better than expected which as attracted increased attention on sport analytics - Based in mathematics and statistics concepts   The Sport Analytics Process - Collect data - Primary data - The data the analyst directly collected for a specific purpose - Secondary data - The data someone else collected and then gave to the analyst - Quantitative data - A numeric representation of an amount - Data management - A process that includes the collection, storage, and distribution of data - Analyze data - The examination of data to explain events - The data must first be validated to ensure the analysis is conducted on accurate data - Check for common errors such as incomplete or missing observations - Data from multiple sources are often merged or appended into a single source - Analysts can: - Use models to discover useful information - Describe the relationships among variables - Reach conclusions - Analytical models - Descriptive analysis - Mean - Standard deviation - Variance - Range - Multiple linear regression - Hierarchical modeling - Analysts often use numerous models - Communicate results - Provide tremendous decision making insights - Models are not perfect, so analysts must communicate the quality and identify limitations of their conclusions - Pythagorean win percentage expectancy - First developed by Bill James for MLB - Example of predictive analysis - Predicts a teams winning percentage based on number of points scored and allowed - PF\^2/PF\^2+PA\^2 - PF denotes points scored for the team - PA denotes points scored against the team - Collect data - Four variables are needed - Team wins - Team losses - Team points for - Team points against - Analyze data - Winning percentage - Wins / wins + losses - Pythagorean win expectancy - RS\^2 / RS\^2+RA\^2 - RS is runs scored - RA is runs allowed - Full analysis - Calculate each team\'s actual winning percentage - Sort the data from lowest to highest actual winning percentage - Calculate each team\'s Pythagorean winning percentage expectancy - Calculate the difference in each team\'s actual winning percentage and Pythagorean percentage expectancy - Communicate results - Tables and visualized formats   Sport Analytics Techniques - Analytical models differ from statistical models - Statistical models test predetermined relationships or hypotheses - Analytical models find patterns in data to describe or predict events or outcomes such as game outcomes, points scored, or revenues collected - Regression - A statistical analysis used to describe the relationship between one or more dependent and one or more independent variables - Useful to describe complex systems because it can measure effects of numerous factors that simultaneously affect an outcome - Bayes\' rule - A formula named after Reverend Thomas Bayes that can be used to predict the probability of an uncertain outcome     Lecture Notes   ABC - Always be Charles - Always be curious - With respect to analytics - Always be critical thinkers   Moneyball - The Big Idea(s) - The Big Implications - Stats that are undervalued?   Sport Analytics - The process of collecting and analyzing data to influence decision making that can enable players, teams, and organizations to perform to their maximum potential - Process - Data collection - Western Mustangs Receivers - Athlete/Self-evaluation scored \[0, 1, 2\] - WR/Coach evaluation scores \[0, 1, 2\] - Analysis and interpretation - Players are harder on themselves - Players try harder at the point of attack - Issue re: underperformers as starters - Does 1+1+1 = 2+0+1 - Communication to the key decision maker - ALL OF THE ABOVE ARE IMPORTANT   Pythagorean Win Percentage Expectancy - Not overly useful **SPORT COMMUNICATION** Sport Communication - A process by which people in sport, in a sport setting, or through a sport endeavor share symbols as they create meaning through interaction - Communication includes everything from a conversation to the presentation of a live televised event   Theoretical Framework of Sport Communication - Genres - Individual - How people learn - Why they behave as they do - Societal - How social systems function - Critical - How inequality is manifested - Interpretive - How meaning is discovered - No single approach to studying communication can adequately address the subject - Context - Interpersonal - Occurs between two people - Group - Takes place among three or more people - Organizational - Internally - Meetings - Memos - Externally - News releases - Website - Mass mediated - Takes place when information is shared with large audiences through print, electronic, or new media channels - Process - Involves multiple participants, the sharing of symbols in some form or another, and resultant interactions that are meaningful for those involved - Sport mass media - Those individuals and entities involved with delivering sport communication content through traditional print and broadcast channels - Elements - Sender - Message - Channel through which the message is delivered - Receiver - Noise - Elements that can impede successful communication - Effects - Varied results of communication regarding how it affects audience members and society in general - Uses and gratifications - Agenda setting - Innovation - Diffusion of information - Modeling - Cultivation   Strategic Sport Communication Model - Depicts the dynamics of communication and the various settings in which communication occurs in sport - Primary elements - Personal and organizational communication in sport - Personal - Includes intrapersonal, interpersonal, and small-group communication - Organizational - Includes intrapersonal, interpersonal, and small-group communication may occur in either an intraorganizational or an interorganizational setting - Communication skills - Writing and speaking - Organizing information - Mediated communication in sport - Traditional sport mass media - Mediated communication in sport is conducted through myriad mass media and social media endeavors, ranging from social media interactions by sport teams to fantasy sports apps and from sport television programs broadcast around the world to sports sections of local newspapers - Sport print communication - Communication through printed publications such as sports sections in newspapers, sports magazines, and books about sport - Over-the-top (OTT) delivery - The process by which a broadcast network, such as NBC Sports Gold or ESPN+, delivers its content directly to a consumer through an Internet app - This delivery can eliminate the need for the consumer to subscribe to a cable or satellite provider - Emerging and social media in sport - Most platforms are internet based - Mass media - Internet provides a two-way flow - Sport social media - Sport-specific use of web-based applications to share information, opinions, and experiences - Ephemeral social media - Sport-specific use of web-based applications in which the content (e.g. information, opinions, and experiences) is automatically deleted after a designated amount of time - Sport communication services and support - Sport public relations - A brand-centric communication function designed to manage and advance relationships between a sport organization and its key publics - Public relations refers to engagement with various groups of people, including the media, the community, employees, investors, donors, customers, and regulators - Models of public relations practice - One-way - Publicity and press agentry model - Do not seek input from their key publics - Concerned with pushing out messages that reach a wide audience - Public information model - Offer useful services to members of the mass media and the public by providing information in a credible manner - Two-way communication models - Based on the assumption that the most effective forms of communication require input from target publics - Give and take - Asymmetrical approach - Use information about a public in a scientific way to communicate more effectively and induce that public to behave as desires - Symmetrical approach - Employs planned information-gathering techniques to communicate more effectively, but recognizes that the outcome of the communication process will likely mean that both the organization and public will have to change their positions or behaviours   Media Relations in Sport - What do media relations specialists do? - Writing news releases - Planning news conferences - Managing game services - Careers in media relations   Community Relations Sport - Focuses on the promotion of charitable initiatives affiliated with the sport organization and the development of opportunities to directly engage with diverse stakeholders - What do community relations professionals do? - Creating, organizing, and executing charitable initiatives and other programs designed to involve the sport entity in community enhancement   Other Public Relations Positions - Corporate communications - Employee and volunteer relations - Digital media manager   LECTURE NOTES   Active Listening - Celebrating on Dallas Star in 2015 Canada (Team Ontario) beat US in football - Mud Bowl in 2006, Western Mustangs vs. Windsor Lancers - OUA quarterfinals - Western won - Rosebowl in Pasadena, California - USC vs. Illinois on New Years Day - \~50-20 - Spectator in 2008 with his dad - Shared experience   Definitions & Key Terms - Sport communication - A process by which people in sport, in a sport setting or through a sport endeavor, share symbols as they create meaning through interaction   Elements of Communication - Sender(s) - Message(s) (intended & actual) - Channel(s) - Receiver(s)   Audience & Persuasive Messages - **KNOW YOUR AUDIENCE** - Adapt the message to the audience - Show your audience how they benefit - Anticipate and overcome objections - Reinforce w. visuals/whitespace - Re: persuasive messages - Requests - Sales pitches - Corporate communications - Job applications, letters, resumes - E.g. Buffalo Bills Sales pitch in 2012 - Audience focus - Show benefits - Objections - Visuals   Sport Communication also Involves: - Encoding (S) - Decoding (R) - Feedback (R\--\> S) - Ask for clarification in the chance of miscommunication - NOISE (S&R) - More than noise generated from conversation - Physical and visual distractions   Email - Be clear, concise, efficient - Manage your own usage - Limit/no response if possible - Consider eliminating altogether   Communication Impacts & Outcomes - Unlimited effects - Uses and gratification - Agenda setting function - ESPN covering women\'s sport - Giving women\'s sport its own channel indicates it isn\'t important enough to be on ESPN1 - Diffusion of information   Social Media - Manage your own usage - Consider eliminating all together - Recognize making versus spending   Strategic Sport Communication Model (**NOT RELEVANT FOR EXAM)** - If we\'re not serving practitioners, we\'re not serving sport management - Intrapersonal communication\* - How we communicate to ourselves          Key Takeaways - **KNOW YOUR AUDIENCE** - **EMAIL BETTER** **FINANCE AND ECONOMICS** Current Financial Situation U.S. Professional Sport - Tremendous growth - Widening gap between high and low revenue teams - Revenue sharing as a solution to equalize financial differences - Profit = total revenues - total costs - Rely heavily on the media - Owners still claim to be losing money - Based on cost increases in areas such as team payroll, travel expenses, and coaching and staff salaries - Unable to control their spending on players and controlling player salaries - Negotiated agreements with players through the collective bargaining process, which helps control salaries through the imposition of team and individual player salary caps   Current Financial Situation of U.S. Collegiate Athletics - Rising costs - Do not produce enough revenue to cover their costs - Only 24 D1 athletic departments had revenues that exceeded costs - Profit only occurred because the university has provided institutional resources - Difficult financial future due to increases in costs of team travel, recruiting, equipment, coaches\' salaries, and grants-in-aid - Lost revenues from the shutdown of sport events in 2020 - Need to increase revenue - Turned to private donations, corporate sponsorships, TV, ticket sales, and merchandising for additional revenue - Largest single course of revenue in college athletics is the annual D1 men\'s basketball championship - Power Five conferences has affected collegiate athletics   Economics of Sport - One of the few academic disciplines that can be applied to almost any human action - Economics can help clarify issues such as the price consumers pay for a pair of shoes in a sporting goods store, the escalating salaries of NBA players, and the decisions made by a student-athlete to leave college early and play professionally - Key concepts - Defined as the study of how people within the sport industry deal with scarcity - Scarcity - The basic economic problem facing all institutions including sport - A sport product is co