Sports and Entertainment Promotion 10 Sports and Entertainment Promotion 10.1 Promoting Sports and Entertainment 10.2 Advertising and Placement 10.3 Publicity and Sales Promotions

Winning Strategies Velocity Sports and Entertainment promotional agency that specializes in sponsorship and event marketing focuses on the cross-promotional opportunities offered by sports and entertainment events Chapter 10

Lesson 10.1 Promoting Sports and Entertainment Goals Describe the goals of promotion. List and define four elements of promotion. Chapter 10

Terms advertising product placement publicity sales promotions personal selling Chapter 10

THE PURPOSE OF PROMOTION the process of making customers aware of a product, service, or event Chapter 10

Promotional Goals Increasing sales is the primary goal of promotion. Related goals include increasing customers’ usage maintaining customer loyalty building a fan base educating potential customers overcoming the hesitation of first-time buyers Chapter 10

Gaining New Fans – An Example To combat the declining audiences of the early 1990s, the USTA and the TIA took a number of initiatives. The associations created the Tennis Welcome Center partnership. offered fun, friendly introductory lessons By 2005, there were about 5.8 million new tennis players. Chapter 10

What is the goal of promotion? Chapter 10

PROMOTIONAL ELEMENTS The four elements of promotion are advertising publicity sales promotions personal selling Chapter 10

Advertising advertising product placement a paid form of communication delivered by a product maker or seller to consumers product placement a product integrated into the plot of a television show or a movie more discreet than advertising Chapter 10

Publicity publicity any unpaid media attention either positive or negative Chapter 10

Sales Promotions sales promotions additional incentives offered for a limited time to encourage consumers to buy a product Chapter 10

Personal Selling personal selling an in-person, face-to-face communication between a seller and a customer Chapter 10

List four elements of promotion. Chapter 10

Lesson 10.2 Advertising and Placement Goals List and describe the steps involved in developing effective advertising. Describe the use of product placement. Chapter 10

Terms tagline media strategy reach wear out frequency Chapter 10

ADVERTISING Advertising informs consumers about new products and services and helps consumers make comparisons among alternatives. Chapter 10

Step by Step Cost effective advertising requires: Set a measurable advertising goal. Develop the advertising budget. Create an advertising theme. Choose the advertising media. Create the message. Develop an advertising schedule. Measure the effectiveness of the advertising. Chapter 10

The Goal specific measurable Chapter 10

The Budget marginal analysis setting the advertising budget by estimating the point at which an additional dollar spent on advertising equals additional profit Chapter 10

percent of sales fixed sum per unit competitive parity share of voice directs a percentage of expected sales revenues to the advertising budget fixed sum per unit an advertising budget based on the expected number of units to be sold competitive parity designed to maintain the current share of voice share of voice maintaining a similar dollar amount or frequency of advertising as that of competitors Chapter 10

The Theme The Media tagline (theme) print broadcast/cable Internet a slogan that conveys the main message of the ad The Media print broadcast/cable Internet out-of-home in-home Chapter 10

media strategy choosing the media that will bring the most effective advertising message to the targeted consumer reach the number of people in the target market expected to receive the message through the chosen medium Chapter 10

The Message copy wear out the words to be spoken or printed in the advertisement wear out when advertising loses its effectiveness due to overexposure or poor message quality Chapter 10

The Schedule frequency concentration schedule dominance strategy the number of times the targeted customer is exposed to the media concentration schedule relying on a single medium dominance strategy a firm buys the maximum reach and frequency in one medium and purchases additional space in or time on other media Chapter 10

The Effectiveness response rate the number of customers who connect with and act in relation to the ad Chapter 10

It’s Showtime primetime when the largest viewing audiences are watching TV the most expensive time to advertise Chapter 10

Interactive Advertising Effective advertising will engage viewers and motivate them to take specific action. Digital communications can be used to create an interactive connection with potential customers. Chapter 10

List the steps involved in developing effective advertising. Chapter 10

PRODUCT PLACEMENT Product placement is a fast growing form of sales promotion used in films TV shows live theater Chapter 10

The Basics Product placement can be used to offset the need for traditional advertisements. 24 on the Fox network Ford vehicles used extensively Chapter 10

Who Pays? Three common ways that product placement deals might be constructed include fee basis A corporation will pay a fee to the film’s producers for prominent product placement. barter If a very expensive product is needed, it may be provided for use in the film in exchange for the prominent display of the brand name. Chapter 10

A corporation may make an agreement with a film producer to include movie promotion in its product advertising in exchange for placement of the product in the movie. Assuming they appeal to the same market, both parties will gain from the connection. Chapter 10

Name three ways product placement deals are constructed. Chapter 10

Lesson 10.3 Publicity and Sales Promotions Goals Define publicity and explain its role in creating a positive public image. Describe various types of sales promotions. Chapter 10

Terms goodwill publicist grass-roots effort viral campaign public relations (PR) trade allowances Chapter 10

PUBLICITY Although publicity is free, the message is controlled by the news media others that are presenting the message Chapter 10

Goodwill goodwill customers’ positive feelings about the business Chapter 10

Damage Control publicist damage control a person who is responsible for maintaining relations with the public and news media damage control an attempt to refute, justify, or downplay negative stories trying to focus attention on more positive stories Chapter 10

Grass-Roots Publicity grass-roots effort when an unknown person or event is propelled into the spotlight by fans viral campaign a promotion where a few online mentions turn into a real buzz about a movie propels the movie into a mega hit Chapter 10

astroturfing creating a fake grass-roots effort Chapter 10

Image is Everything public relations (PR) the arm of promotion that tries to create a favorable public opinion for an individual or organization Public relations focus on the future with the intent of creating a positive image of the business. Chapter 10

Professional athletes feel the pressure of being public role models while meeting athletic performance standards. Sports facilities and sports fans need to have a positive image to encourage visitors to attend games. Chapter 10

How is publicity different from other types of promotion? Chapter 10

SALES PROMOTIONS Sales promotions are marketing efforts that offer customers an additional incentive to buy a limited time to make the purchase Chapter 10

Consumer Sales Promotions directed at the final consumer temporary price reductions price-pak deals coupons special gifts contests rebates Chapter 10

Trade Sales Promotions directed at members of the distribution channel trade allowances offer short-term discounts to distributors and retailers for selling or participating in the promotion of a product trade contests point-of-purchase displays Chapter 10

Employee Sales Promotions push money an extra commission paid to sales persons who sell or push particular products Chapter 10

List three consumer sales promotions. Chapter 10

PERFORMANCE INDICATORS EVALUATED Define the target market. Explain the marketing strategy to increase sales of Disney merchandise. Communicate promotional ideas clearly to the judge. Chapter 10

Explain the value of the relationship with retailers who sell to target markets that watch Disney movies. Describe cooperative sponsorships and promotional strategies with other companies to increase sales of Disney merchandise. Chapter 10

THINK CRITICALLY How could a gift shop located in movie theaters near the exits help increase sales? What is the value of diversifying distributors of Disney merchandise? Chapter 10

How can Disney benefit from associating with other well-known and respected companies? Can sales of related merchandise increase attendance at the Disney movies? Explain. Chapter 10