The Wide World of Sports and Entertainment Industry Segments

What is an industry? An industry is a group of organizations involved in producing or handling the same type of product or services. There are several major industries and new industries have started to emerge. Industries are further defined by sub-divisions. Example – country, rock, top-40, and hip-hop are all sub-divisions of the music industry.

Industry Standards These are guidelines and goals set for different entertainment industries. Research is conducted to determine “industry norms”, or the average expectation within an industry. Example – the standard expectations travelers have when they stay at a 3 star hotel (pool, fitness center, room service, internet access, etc.)

Marketing Decisions for an Industry Marketing decisions are based on industry standards, norms, and trends. Example – Organizers of a basketball camp would check industry standards to determine the following: what will be taught at the camp the amount of insurance to carry to cover possible injuries the number of days it would run the overall cost basic organization etc. . .

College Sports There are a variety of industry trends in college sports: Paying players Football Team Rankings (BCS) Concussions / Other injuries No Pass No Play Rules Athletics Conferences (Big 12, SEC, etc.) Recruting

Professional Sports There are a variety of industry trends in professional sports: Large Player Salaries Free Agency vs. Player/Team Loyalty Athletes in Entertainment (movies, commercials, etc. Concussions/Other Injuries Steroids/Other Performance Enhancing Drugs Personal Conduct Rules

The Television Industry TV networks are constantly searching for programs that produce high ratings. American Idol Contracts with Professional Sports Leagues Award Shows (Grammys, Emmys, etc.) New primetime shows (Lost, Two and a Half Men, CSI, etc.) By accomplishing this, TV networks are able to bring in more money from advertisers and other sponsors.

The Music/Concert Industry The concert industry may be facing a crisis when it comes to marketing its superstars. Few musicians of today have to universal appeal that previous musicians did. The Beatles, Elvis, The Rolling Stones, Selena, etc. Paul McCartney (Beatles) 2001-2004 concerts brought in more than $100 million each Ticket prices averaged between $300-$400 Top Artists Now Various Artists whose concerts may sell out, but their average ticket prices are less than $100 Also experiencing a trend of combination concerts where the multiple groups split the profits

The Music/Concert Industry cont. . . The industry is much more segmented than ever before: Hip-Hop, country, rock, top-40, contemporary, etc. With a more segmented audience, it will be harder for modern day musicians to earn the money and the status that previous musicians did. The concert industry must be aware of these trends and be prepared to make adjustments.

State and County Fairs A specialized industry that has made dramatic changes to remain relevant. This industry is turning to a younger marketing group for fresh ideas on how to reach younger audiences. Successful state fairs have utilized technology to increase awareness: Online advertising Online ticket sales Special-topic news releases Updated times and locations

Thinking Critically Answer the following: Using the internet, list 5 current industry trends for your favorite sport or other form of entertainment: Based on your research from the above question, write a 3 step plan for how you would react to one of the trends listed above: