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1-1 Chapter 1 Introduction to Sports Marketing Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin.

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Presentation on theme: "1-1 Chapter 1 Introduction to Sports Marketing Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin."— Presentation transcript:

1 1-1 Chapter 1 Introduction to Sports Marketing Copyright © 2010 by The McGraw-Hill Companies, Inc. All rights reserved. McGraw-Hill/Irwin

2 1-2 Broad Marketing Domains Primary Focus of Marketing Efforts –Marketing through Sports –Marketing of Sports

3 1-3 Marketing Through Sports Traditional Strategies –Sports as a Marketing Platform Reaching Similar Target Market Sports Incorporated within the Marketing Mix –Product –Distribution (Place) –Price –Promotion

4 1-4 Marketing 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

5 1-5 Marketing 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

6 1-6 Spectator Sports Drop Figure 1.2 from top of page 5 here

7 1-7 Local Events Draw Fans from Small Geographic Area Promote Using Local Media Examples –Minor League Team –High School Sports –Local Amateur Competitions

8 1-8 Regional Events Little National or International Interest Marketers Attempt to Move Event Up Examples –Most Collegiate Sports Teams –(Most) Marathon Races

9 1-9 National 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)

10 1-10 International 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

11 1-11 Global 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

12 1-12 Participation 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

13 1-13 Most 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

14 1-14 Sporting 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

15 1-15 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)

16 1-16 Evolution: Sports Marketing Marketing of Sports Taught First Marketing Through Sports Added Leisure Emphasis Early Leisure and Business Focus Today

17 1-17 Economic Impact Drop In Table 1.2 Here (Bottom of Page 11)

18 1-18 Components 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)

19 1-19 The Multiplier Effect Drop Box 1.2 In Here

20 1-20 One-Day Events Event may occur over one day, but impact may cover extended period of time NFL Super Bowl Indianapolis 500 Championship Boxing Match

21 1-21 Multiday 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

22 1-22 Participation Sports/Recreation Local Resident Contributions –Restaurant, activity-based shopping Vacation Expenditures Participation Fees –Tournament entry, rental equipment

23 1-23 Professional Team or Arena Local Wages for Employees Tax Revenues Expenditures by Visitors

24 1-24 Aggregate 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

25 1-25 Typical Organizational Chart – MLB Team Drop in Figure 1.3 (Page 17) Here

26 1-26 Career Opportunities Internships –Variety of Positions –Often Unpaid –Establish Network of Associates - References Sales –Season Tickets, Group Tickets, Sponsorship –Suites, General Retail

27 1-27 Other Career Opportunities Advertising & Promotion Marketing Research Hospitality Facilities Management/Venue Operations Brand Activation

28 1-28 Other Career Opportunities Web Site Manager Public Relations Retail Store Operations Participation Center Management Agent

29 1-29 Other Career Opportunities Sponsorship Purchasing –Making Good Decisions –Investment Decisions Sponsorship Evaluation –Postevent Measurement –Estimation of Return on Sponsorship Investment

30 1-30 Looking for a Sports Job? Check out the most recent job postings at: Register for weekly updates

31 1-31 Career Trends More Jobs More Job Applicants More International Opportunities More Focus on Selling Through Sports More Emphasis on Business Aspects

32 1-32 Closing Capsule Aspiring sports marketers should not confuse it with playing a game. It is a job, one that demands time, energy, commitment and knowledge.

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