1. COLLEGE AND AMATEUR SPORTS Marketing College Athletics Economic Impact of College Athletics Amateur Sports

2. Popularity of Amateur Sports Professional athlete is someone who earns a living participating in a sport Amateur athlete is someone who does not get paid but plays for the enjoyment, challenge, or both –35 Million kids play in organized sports –7.8 Million participants in high school sports –460,000 NCAA student-athletes

3. Market Segmentation Market segment is a group of individuals within a larger market that share one or more characteristics Divides the marketplace into smaller interest groups

4. Psychographics –focus on characteristics that cannot be measured, such as attitudes and lifestyle choices. Consumers frequently make decisions based on emotions. Example: sports fans spend more money on clothing with a teams logo right after the team has a big victory Demographics –focuses on information that can be measured, such as income, profession, gender, and education Example: males, $50,000+ income, college educated Market Segmentation

5. Geographics –divides markets into physical locations, such as eastern, northern, southern, and western regions of the United States or the urban and rural areas of a state Example: US, South, Texas, Austin, 78738

6. Marketing and Sponsoring Amateur Sports There are millions of amateurs, which marketers see as millions of consumers Provides significant income for manufacturers –Athletic apparel Team uniforms, shoes, equipment, etc. Fan jerseys –Gaming –Minivan and sport utility vehicle –Etc.

7. Collegiate Licensing Company Top Merchandise Sales 2013-2014 RankSchool 1Texas 2Alabama 3Michigan 4Notre Dame 5Georgia 6Florida 7LSU 8Florida State 9Texas A&M 10North Carolina

8. Collegiate Licensing Company Top Apparel Licensees 2013-2014 RankCompany 1Nike 2Knight Apparel 3Gear for Sports 4Addidas 5Top of the World 6Colosseum Athletics Corporation 7Twins Enterprise 8VF Imagewear 9College Concepts 10Outerstuff Ltd.

9. Collegiate Licensing Company Top Non-Apparel Licensees 2013-2014 RankCompany 1EA Sports 2Wilson Sporting Goods 3Rawling Sporting Goods 4Tervis Tumbler Company 5Balfour 6Northwest Company 7Team Beans 8Logo Chair 9Wincraft 10Herff Jones

10. Local Promotion of Amateur Sports Local business support amateur sports because: –Promotion is good for the local team (many times a high school team) –Image of being an active participant in the community –People that attend the event will frequently shop with businesses that advertise in the sports program

11. Effects of Collegiate Sports A winning team has economic implications for school, community, region, and state Fan expectation Promotion of organization’s goods and services

12. Winningest D1 Football 1. Michigan: 915-328-36 2. Notre Dame:882-310-42 3. Texas: 881-346-33 4. Nebraska: 874-361-40 5. Ohio State: 862-319-53 6. Oklahoma: 850-317-53 7. Alabama: 850-325-43 8. Tennessee: 811-367-53 9. USC: 805-327-54 10. Georgia 777-410-54 Updated as of 9/29/2014

13. NCAA National Collegiate Athletic Association (NCAA) is the governing body of most college and university athletic programs NCAA creates guidelines for recruitment, gender equity, scholarships, gambling prohibitions, and many ethical issues The overall goal is the promotion of college athletics with a focus on the integrity of the athletes and their game

14. Joining the NCAA Must meet the following conditions: Obtain accreditation by the recognized accrediting agency of its region Offer minimum required sports for men and women (one in each of the three traditional seasons) Complies with all NCAA rules Cooperates with the NCAA enforcement program and accepts penalties imposed by that program

15. NCAA as a Sponsor Magnet The NCAA attracts sponsors that support intercollegiate athletics financially and provide business and personnel expertise These advertising dollars support the NCAA Championship, as well as allow expansion of NCAA programs for young people

16. NCAA Revenue 2011 – 2012NCAA Revenues$912.8 Million

17. NCAA Growth

18. NCAA Division 1 Schools –340 schools Biggest student bodies, largest athletics budgets, most number of scholarships –Requirements 7 sports for men 7 sports for women 2 team sports for each Division 1-A or Football Bowl Subdivision (FBS) –85 scholarships per year –15,000 minimum attendance requirements per home game –128 schools –11 Conferences Division 1-AA or Football Championship Subdivision (FCS) –60 scholarships per year –No attendance requirements –122 schools –15 Conferences15 Conferences

19. NCAA Division II Schools –302 schools 52% public institutions, 48% private 4,500 average number of students 50% of student-athletes earn some type of athletically funded financial aid –Requirements 5 sports for men 5 sports for women 2 team sports for each 50% football and basketball games must be against DI or DII opponents No attendance requirements –24 ConferencesConferences –Other 36 Scholarships per year Do not have to sit out a year when transfer student

20. NCAA Division III Schools –445 schools 19% public institutions, 81% private 2,717 average number of students No athletic financial aid –Requirements 5 sports for men 5 sports for women 2 team sports for each No attendance requirements –45 ConferencesConferences –Other Do not have to sit out a year when transfer student Can not redshirt as freshman

21. FBS Conferences ConferenceFoundedMembers American Athletic Conference (The American)197911 Atlantic Coast Conference (ACC)195315 Big Ten Conference (Big Ten)189614 Big 12 Conference (Big 12)199610 Conference USA (C-USA)199514 Independents4 Mid-American Conference (MAC)194612 Mountain West Conference (MWC)199911 Pacific 12 Conference (Pac-12)195912 Southeastern Conference (SEC)193214 Sun Belt Conference (Sun Belt)197611

22. American Athletic Central FloridaMemphisTulsa CincinnatiSouth FloridaCal State ConnecticutSouthern MethodistSan Diego State East CarolinaTempleVillanova HoustonTulaneNaval Academy (2015)

23. Atlantic Coast Boston CollegeLouisvillePittsburgh ClemsonMiamiSyracuse DukeNorth CarolinaVirginia Florida StateNorth Carolina State Virginia Polytechnic Institute Georgia Institute of Technology Notre Dame *Wake Forest * Baseball only

24. Big 10 IllinoisMichigan StatePenn State IndianaMinnesotaPurdue IowaNebraskaRutgers MarylandNorthwesternWisconsin MichiganOhio State

25. Big 12 BaylorOklahoma State Iowa StateTexas KansasTCU Kansas StateTexas Tech OklahomaWest Virginia

26. Alabama at BirminghamMiddle Tennessee StateSouthern Mississippi Florida AtlanticNorth Carolina at CharlotteUTEP Florida InternationalNorth TexasUTSA Louisiana TechOld DominionWestern Kentucky MarshallRice Conference USA

27. Army BYU Navy * Notre Dame Independents

28. Mid-American East DivisionWest Division AkronBall State Bowling GreenCentral Michigan BuffaloEastern Michigan Kent StateNorthern Illinois Miami of OhioToledo OhioWestern Michigan

29. Mountain West Air Force Nevada, Reno San Jose State Boise StateNevada, Las VegasUtah State Cal State, FresnoNew MexicoWyoming Colorado StateSan Diego State

30. ArizonaColoradoStanford Arizona StateOregonUtah UC BerkeleyOregon StateWashington UCLAUSCWashington State Pacific 12

31. SEC East DivisionWest Division FloridaAlabama GeorgiaArkansas KentuckyAuburn MissouriLouisiana State South CarolinaMississippi TennesseeMississippi State VanderbiltTexas A&M

32. Sunbelt Appalachian State Georgia State Texas State Arkansas StateLouisiana, LafayetteTexas, Arlington Arkansas, Little RockLouisiana, MonroeTroy Georgia SouthernSouth Alabama

33. College Football Playoffs Rankings –Why so much emphasis? Early exposure promotes a team A highly ranked team builds excitement and strong attendance at games (which creates fan loyalty and national respect) Preseason rankings influence major television networks (more revenue for the team and its university) Helps recruiting

34. College Football Playoffs Final Rankings 1Alabama14UCLA 2Oregon15Arizona State 3Florida State16Missouri 4Ohio State17Clemson 5Baylor18Wisconsin 6TCU19Auburn 7Mississippi State20Boise State 8Michigan State21Louisville 9Mississippi22Utah 10Arizona23LSU 11Kansas State24Southern California 12Georgia Tech25Minnesota 13Georgia

35. #1 Has Lingering Effects A national championship brings favorable national recognition and increased potential for recruitment of top high school athletes Retailers carrying national championship sportswear will experience tremendous growth in sales

36. College Football Most Valuable Teams College Football Most Valuable Teams SchoolValuationRevenueProfit 1Texas$131M$113M$74M 2Notre Dame$122M$81M$48M 3Michigan$117M$91M$65M 4Alabama$107M$95M$53M 5LSU$103M$88M$50M 6Auburn$97M$75M$39M 7Tennessee$94M$70M$49M 8Oklahoma$93M$71M$43M 2014