2 One of Our Dilemmas No Uniform Definition of “Sport(s) Marketing” Thus, There Is No Agreement as to Exactly What Constitutes a Sports ProductThere Is Agreement that the Discipline Encompasses More than Putting Fans in Seats at Spectator Sports Events
3 Two Broad DomainsAs Noted in Chapter 1, there are two broad domains (categories of initiatives) germane to the discipline of sports marketing:Marketing of Sports ProductsMarketing through Sports by Creating a Sports Overlay (Platform)
4 Important Statement“attention to marketing tools is long overdue” in the marketing of sports products.
5 Products Germane to Sports Marketing Sports ProductsNonsports Products
6 Sports Product - Category 1 Spectator Sports (i.e. a football game)Live AudienceMedia-based Audience
7 Sports Product - Category 2 Participation Sports (i.e. golf)Attracting more ParticipantsGetting Current Participants to Play More
8 Sports Product – Category 3 SASSSporting Goods (Callaway Golf Clubs)Apparel (New Era Baseball Cap)Athletic Shoes (Air Jordan Shoes)Sports-related Products (Souvenir Program)
9 Nonsports Products Goods & Services not directly related to a sport Anything not Included as a Sports Product such as cars, clothes, soft drinks, & razorsNonsports Products Are Often Sold by Creating a Sports Overlay (or Platform)
10 Level of Integration Traditional Strategies Sponsorship-based Strategies
11 Traditional Strategies Employ the Basic Components of Marketing StrategyTarget Market SelectionCorresponding Marketing MixPricePlaceProductPromotion
12 Sponsorship-Based Strategies Employ an Official Sponsorship-based Relationship with a Sports EntityTraditional SponsorshipThree Special Forms of SponsorshipVenue Naming Rights (Building Sponsorship)Endorsements (Personal or Personality SponsorshipLicensing (Right to Use Intellectual Properties)
13 Basic Principles of Sports Marketing (Details in Box 2.2) Broad FocusMarketing of Sports vs. Marketing of SportsProductsSports vs. NonsportsLevel of IntegrationTraditional vs. Sponsorship Based Strategies
14 The Sport Marketing Matrix Drop in Figure 2.1 from Page 35
15 Mainstream Strategies Using a Traditional Strategy to Create a Sports Overlay to Sell Nonsports ProductsTarget Market – ad for Honda cars in Golf DigestProduct – Clothing feature golf graphicsPromotion – ad featuring golfers drinking PepsiDistribution – Hard Rock Café at MLB StadiumPrice – Discounts to Bar Patrons Wearing Participation Sport Uniform
16 Product-Focused Strategies Using Traditional Marketing Strategy to Sell Sports ProductsTarget Market – NBA Targeting Chinese FansProduct – New Titanium Golf ClubsPromotion – Newspaper ad regarding ticketsDistribution – Broadcast Available on WWWPrice – Bundling Tickets & Refreshments at a Bargain Price
17 Domain-Focused Strategies Using Sponsorship of a Sports Entity to Sell Nonsports ProductsTraditional – Coca Cola and the OlympicsVenue Naming Rights – Citi Bank & MLB StadiumEndorsement – Tiger Woods & GatoradeLicensing – Mattel & NASCAR
18 Sports-Dominant Strategies Using Sports-Based Sponsorship to Sell Sports Products (Least Common Domain)Traditional – adidas and FIFA (World Cup)Venue Naming Rights – Reebok StadiumEndorsement – Burton Boards & Shaun WhiteLicensing – Nike & the New York Yankees
19 “Sports Marketing”…is the implementation of proactive strategic initiatives designed to influence potential buyers’ preferences for an array of sports products or to otherwise create a sports overlay in such a way so as to have a positive impact on the sale of nonsports products.
20 Closing CapsuleWe have a comprehensive overview of the sports marketing environmentUsing the type of product sold and the level of sports integration, we have identified the four domains of the disciplineBest visualized with the 2 by 2 matrix
21 Closing Capsule The Four Strategic Domains Are: Mainstream Product-FocusedDomain-FocusedSports-Dominant
22 Closing CapsuleTo Determine a Marketing Initiative’s Location in the Sports Marketing Environment Matrix, You Need to Answer Two Questions:Is the product a sports product or not?Is there any indication that an official sponsorship of a sports entity exists?
23 Closing CapsuleChapter 3 Begins Our Examination of Marketing through SportsMarketing of Sports Products Will Begin with Chapter 13