Post on 16-Dec-2015
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Chapter 1Chapter 1
Introduction to Sports Introduction to Sports MarketingMarketing
Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved.
McGraw-Hill/Irwin
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Broad Marketing DomainsBroad Marketing Domains
• Primary Focus of Marketing Efforts
– Marketing through Sports
– Marketing of Sports
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Marketing Through SportsMarketing Through Sports
• Traditional Strategies– Sports as a Marketing Platform
• Reaching Similar Target Market• Sports Incorporated within the Marketing Mix
– Product– Distribution (Place)– Price– Promotion
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Marketing Through SportsMarketing Through Sports
• Sponsorship Strategies– Traditional
• Coca-Cola and the Olympics
– Venue Naming Rights• AT&T and AT&T Park (San Francisco Giants MLB
Stadium)
– Licensing• Anvil (t-shirts) and NFL (Super Bowl logo shirts)
– Endorsements• Tag Heuer (Watches) and Tiger Woods
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Marketing of Sports ProductsMarketing of Sports Products
• Examples of “Sports Products”– Access to Spectator Sports Events
• Tickets or Media-based access to the British Open
– Access to Participation Sports Venues• Membership to Gold’s Gym
– Sporting Goods and Apparel• Nike Golf Clubs and Golf Shirts
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Local EventsLocal Events
• Draw Fans from Small Geographic Area
• Promote Using Local Media
• Examples– Minor League Team– High School Sports– Local Amateur Competitions
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Regional EventsRegional Events
• Little National or International Interest
• Marketers Attempt to Move Event Up
• Examples– Most Collegiate Sports Teams– (Most) Marathon Races
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National EventsNational Events
• Large Portion of One or Two Countries
• Often Large Media Presence
• Examples– Stanley Cup Playoffs (Ice Hockey)– BCS (College Football) Championship Game– NCAA Final Four (College Basketball)– The Ashes (England & Australia Cricket)
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International EventsInternational Events
• Appeal Transcends National Borders
• Large Media Presence
• Venue often Shifts Among Countries
• Examples– Ryder Cup Golf Tournament– World Cup of Rugby– Wimbledon Tennis Championships
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Global EventsGlobal Events
• Broadcast to Global Audience– Significant Rights Fees Paid by Broadcasters
• National Pride often a Consideration
• Few Events in this Top Category
• Examples– Olympic Games– World Cup of Soccer
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Participation SportsParticipation Sports
• Market the Idea of Participating– Play more Golf– Engage in More 10-Pin Bowling
• Market Venues– Build and Market a New Golf Course– Building Bowling Facilities in Casinos
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Most Popular Participation SportsMost Popular Participation Sports
• Drop in First Part of Table 1.1 (Page 8) – However many lines fit while providing ease of reading – maybe top 5 to 8
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Sporting Goods and ApparelSporting Goods and Apparel
• Sporting Goods – Equipment– Golf Clubs, Footballs, Exercise Equipment
• Apparel – Clothing– Participation-Based: Softball Uniform– Fashion-Based: Logo Shirt
• Category Will be Broadened in Chapter 2
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Why Teach Sports Marketing?Why Teach Sports Marketing?
• Huge Economic Impact
• Little Focus on Sports Industry in Curricula
• More Emphasis on the Bottom Line by Sports Entities (e.g. University Football)
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Evolution: Sports MarketingEvolution: Sports Marketing
• Marketing of Sports Taught First
• Marketing Through Sports Added
• Leisure Emphasis Early
• Leisure and Business Focus Today
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Components of Economic ImpactComponents of Economic Impact
• Direct Spending by Consumers– Tickets, Hotels, Restaurants, Gas, Rental
Cars, Wages Paid to Workers, Participation Fees (e.g. Ski Lift Tickets; Golf Greens Fees)
• The Multiplier Effect– Recognizes That Money Turns Over in the
Economy: (Typically between 1.3 and 3 Times)
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One-Day EventsOne-Day Events
• Event may occur over one day, but impact may cover extended period of time
• NFL Super Bowl
• Indianapolis 500
• Championship Boxing Match
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Multiday EventsMultiday Events
• Events encompass 2 or more days
• May be at single or multiple venues
• Examples– Olympics– Masters Golf Tournament– America’s Cup Yachting Regatta– World Cup of Soccer
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Participation Sports/Recreation Participation Sports/Recreation
• Local Resident Contributions– Restaurant, activity-based shopping
• Vacation Expenditures
• Participation Fees– Tournament entry, rental equipment
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Professional Team or ArenaProfessional Team or Arena
• Local Wages for Employees
• Tax Revenues
• Expenditures by Visitors
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Aggregate Economic ImpactAggregate Economic Impact
• Gross Domestic Sports Product (GDSP)
• Total Spent on Sports-Related Goods and Services in a National Economy in 1 Year
• Difficult to Measure– Estimate for USA in 2007 was approximately
$277 Billion
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Typical Organizational Chart – Typical Organizational Chart – MLB TeamMLB Team
Drop in Figure 1.3 (Page 17) Here
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Career OpportunitiesCareer Opportunities
• Internships– Variety of Positions– Often Unpaid– Establish Network of Associates - References
• Sales– Season Tickets, Group Tickets, Sponsorship– Suites, General Retail
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Other Career OpportunitiesOther Career Opportunities
• Advertising & Promotion
• Marketing Research
• Hospitality
• Facilities Management/Venue Operations
• Brand Activation
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Other Career OpportunitiesOther Career Opportunities
• Web Site Manager
• Public Relations
• Retail Store Operations
• Participation Center Management
• Agent
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Other Career OpportunitiesOther Career Opportunities
• Sponsorship Purchasing– Making Good Decisions– Investment Decisions
• Sponsorship Evaluation– Postevent Measurement– Estimation of Return on Sponsorship
Investment
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Looking for a Sports Job?Looking for a Sports Job?
• Check out the most recent job postings at: www.teamworkonline.com
• Register for weekly updates
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Career TrendsCareer Trends
• More Jobs
• More Job Applicants
• More International Opportunities
• More Focus on Selling Through Sports
• More Emphasis on Business Aspects