2. Sports & Entertainment Marketing

3. What is Entertainment? Entertainment: Whatever people are willing to spend their money and spare time viewing, rather than participating in.

4. What is Sports Marketing? Sports Marketing: All the marketing activities designed to satisfy the needs and wants of sports consumers.

5. Growth of the Sports Industry 11th largest of all U.S. industry groups Nation’s output for sports goods and services estimated at $213-350 billion annually How do we measure growth in the sports industry? Growth measured in….. –Attendance Figures –Media Coverage –Employment Figures (4.5 million jobs) –Global Markets –Sports Goods –Sports Information

6. Growth of the Sports Industry The sports industry generates estimates of 213 to 350 billion dollars per year in revenues. As ESPN founder Bill Rasmussen points out, “The games are better, and well the athletes are just amazing and it all happens 24 hours a day. America’s sports fans are insatiable.”

7. Growth of the Sports Industry Attendance is increasing: –The NFL experienced a record number of fans in the 2003 season (regular-season total paid attendance of 16,913,584 and the average of 66,328 per game were both all-time records) –The NBA 2003-2004 season also produced a record increase –MLB down 0.4% –NHL continues to decline slighty in attendance (16,591 to 16,533) and popularity –NASCAR continues to increase Sports Sponsorship Spending Exceeds $9 Billion Mark New Leagues (AF2, NWFL, NLL, WHA)

8. Growth of Sports Industry Sporting Good Industry –Sports Equipment (17.5 billion) Exercise equipment Golf Guns and Hunting –Recreational Vehicle and Water Scooters (17.9) –Sports Apparel (22.3) –Footwear (9.3) Collectibles and Memorabilia –1.2 billion at height in 1991 and now stable at 500 million Sports Information –3.2 circulation of SI –34% use Internet for sports Info –ESPN.com reaches 15 million unique users

9. The Impact of Sports and Entertainment Event HotelsConcessionsMedia Ticket Sales SponsorsRestaurants Venue Employees Transportation Other Recreation Security Services Local Merchants

10. Who is the sports Consumer? Consumers: People who use products Sports Consumer: Person who may play, officiate, watch, or listen to sports, or read, use, purchase, and or collect items related to sports.

11. Consumer/Customer? Customer: Person or organization that purchases products, but may not be the end user.

12. Brief History of Sports & Entertainment Marketing 1.Discretionary income: –Money left after all expenses have been paid. 2.Leisure Time: –Time away from work, allowing the individual to control how it is spent. 3.Transportation: –The ability to get to a location in a reasonable amount of time.

13. Brief History of Sports & Entertainment Marketing THE 1920’s Population: 106,521,537 Avg. H-H income: $1,236 Most cities provide public transportation (Trolley) Credit Cards become available Key inventions: –Television 1925 –Car Radio 1929 –Assembly line making cars affordable for the average person

14. Brief History of Sports & Entertainment Marketing 1870’s Baseball cards sold in pack of cigarettes Jesse Owens received free shoes in the 1936 Berlin Olympics from Adidas Jackie Robinson integrates baseball