Presentation on theme: "Chapter 14 Sport Sales. Introduction Sales function accounts for the vast majority of revenues for any sport organization. Regardless of your position."— Presentation transcript:
History Certain myopias slowed the growth of the sports marketing profession. –One-size-fits-all packages, lack of foresight in marketing Evolution of marketing occurred through increased competition for the entertainment dollar and through professionally trained sport marketers.
Sales in Sport Setting Sales: Revenue-producing element of marketing Four ingredients to selling: Finding the customer Getting through to the customer Increasing awareness/interest Persuading customers to act on their interest Four factors to purchase: Quality Quantity Time Cost Selling point: The emotional presence and element of excitement that exists within sport
Sales Strategies and Methods: Database Marketing Creation and management of database that includes consumer demographics Ability to access, understand, and utilize information valuable to the maximization of sales efforts Utilize database to generate sales through direct mail, telemarketing, and personal sales Personal selling incorporates database into face- to-face, in person selling
Sales Strategies and Methods: Benefit Selling Promotion and creation of new benefits to offset existing perceptions of the sport product or service Understand which objections customers have to your product or service, and why Once benefits have been identified, they must be publicized and must be judged by the consumer to have worth or value Ex. flex books
Sales Strategies and Methods: Up- Selling Escalator concept –Sport organizations strive to move customers up the escalator from purchasing single-game tickets to mini-ticket plans to season ticket packages Sponsorship sales –Increase companys involvement with your sport organization Never be satisfied with simply renewing a customer at his or her current level of involvement
Sales Strategies and Methods: Eduselling Evolutionary form of selling that combines needs assessment, relationship building, customer education, and aftermarketing Monitoring consumer utilization and satisfaction through regular communication Proactively assisting customers in developing ways to better utilize and leverage their investment with the organization
What Makes a Good Salesperson 1.Laugh: A salesperson needs a sense of humor. 2.Make sure sale makes sense for prospective customer. 3.Dont take rejection personally. 4.Know as much as you can about the sales prospect. 5.Sales is about volumemake a lot of calls and see a lot of people. 6.Knock on old doors. 7.Consult, dont sell. 8.Develop the art of listening. 9.Believe in what youre selling and believe in yourself. 10.Close the sale: Ask customers what they want.
Sales Inventory: Ticket Inventory Season ticket equivalencies 50% Advance ticket sales25% Group sales20% Day-of-game/Walk-up sales 5% Club seats, luxury seats complete with catered food service, private seat licenses (PSLs), and VIP parking, among others
Sales Inventory: Advertising Inventory Electronic advertising inventory includes television, radio, and team Web sites Some teams have brought their television and/or radio rights in-house Team bears the production costs of its broadcasts but has the opportunity to retain all of the advertising sales Print inventory: In-game programs, media guides and newsletters, ticket backs, ticket envelopes, scorecards/roster sheets, and team faxes
Sales Inventory: Naming Rights Opportunity to sell entitlement of arena or stadium, practice facility, or the team itself New phenomenon resulting in a significant new revenue stream for sport organizations Includes clauses designed to ensure that sport organizations get back for free their ability to sell their facilitys name if the purchasing company becomes insolvent
Sales Inventory: Online Inventory Team and league websites provide attractive platforms for sponsors Banner ads, blogs, instant messaging applications, pop-up ads
Sales Inventory: Miscellaneous Rights Promotions – giveaway items, on/off field or floor experiences Community – school assemblies, camps, clinics, etc. Includes fantasy camps, off-season cruises with players, and road trips Have become increasingly creative in developing new inventory, thus generating new revenue streams by selling companies the opportunity to associate with their sanctioned events
Sales Inventory: Sponsorships The sponsorship sales process requires a great deal of up-front research, creativity, sales acumen, and patience. Sponsorships often entail a much larger emotional and financial commitment on the part of the potential customer. Process of selling sponsorship packages must allow the company sufficient lead time.