1. Data-Based Marketing and the Role of Research in Sport Marketing
chapter 5
Data-Based Marketing and the Role of Research in Sport Marketing

2. Objectives
To appreciate the components and the importance of a data-based marketing information system and the role of customer relationship management (CRM)
To understand the various research methodologies and approaches most commonly used in sport marketing
To recognize the internal data sources available to sport organizations and the most effective ways to build a database

3. A Data-Based Marketing Approach
It involves the integration of all data files pertaining to the customer base.
It integrates those files into one database that provides a 360-degree view of each consumer, detailing every interaction and communication that they have had with the sport organization.
It facilitates contact with current, past, and potential customers.
This enables the sport organization to target offers and initiate communication based on an understanding of the targeted consumer’s history (transactional or otherwise) with the organization.

4. Data-Based Management System (DBM)
A comprehensive system that captures essential demographic, psychographic, and product usage information on customers and potential customers for the purpose of enabling direct marketing strategies
Characteristics of an effective DBM system:
Centralized
Retrievable
Integrated (accessible to multiple users)

5. Customer Relation Management (CRM) System
CRM expands on the basic customer demographic, psychographic, and product usage data captured in a DBM system.
Ideally, it captures all transactions, inquiries, and interactions between the customer and the organization.

6. Role of the Web in DBM and CRM
DBM and CRM systems have to be fully integrated into the entire e-marketing program of the sport organization.
The Web site of the team or organization has to be
a major source of information;
interesting and entertaining for the fans or customers of the organization;
a major source of information on ticket sales, plans, and special promotions; and
a springboard for launching sales and transactions.
Consequently, data on all fans or customers and prospective customers who visit the organization’s Web site need to be captured and incorporated into DBM and CRMs.

7. Elements Needed for a Solid Database and Direct Marketing Strategy
Identifying and using data sources
Coding the data
Collecting contact information
Using customer or fan loyalty programs
Updating and cleaning the data
Creating online and offline direct marketing campaigns

8. Stakeholders: Those Who Touch the Product
Buy or use a ticket
Watch game telecasts
Listen to games on the radio
Buy apparel, videos, and publications
Visit league or team Web site
Complete an all-star ballot
Coach or play the sport at a youth or adult league level
Buy from a league or team partner
Play in fantasy leagues
Participate in a fan loyalty program
Participate in a league or team promotion
Enter to win an online sweepstakes
Enter to win a contest at a community event

9. Role of Market Research
What does the organization want to know?
What is the best way to find it out?
How can they use it?

10. General Market Data Size of the market
The demographics of individuals residing or working in the critical trading radius
The purchase behaviors and consumption patterns of those residing or working within the market
The level of spectatorship or participation in a sport broken down by demographic categories
Data on future trends

11. Data on Past, Present, and Future Customers
Names, addresses, addresses, and phone numbers of consumers
Frequency of purchase or attendance, use of product type and quantity of product purchases, and dates of purchase or attendance
Method of payment, location where product was purchased, and lead time
Media used or source of awareness
Pattern of consumption

12. Data on Competitors Price lists Product lines Promotional strategies
Description of services
Comparisons among all similar organizations

13. Internal Data Sources Sales records Inquiries Accounting records
Letters or phone calls of praise or complaint
Web site registrations

14. Secondary Data Sources
Census reports
Census-based demographic reports
State or local agencies
Public libraries
Chambers of commerce
Trade associations
Research services
Trade or scholarly publications

15. Primary Data Sources: Importance
Communicate with the target market.
Assess your position in the market.
Establish a demographic profile of the audience.
Initiate data-based marketing efforts.
Benchmark and evaluate operational elements.
Gather information essential for sponsorship renewal or solicitation of new sponsors or for determining reaction to new concepts, products, or services.

16. Types of Primary Data Collection
Personal observation
Focus groups
Surveys and questionnaires
On-site surveys
Mail surveys
Telephone surveys
Web site surveys
surveys
Video Interviews
Personal interviews (identify or not identify)
Community intercepts
Protocol research
Panel of experts
Mystery fan
Open letter
Integration

17. Common Problems in Market Research
Sampling: How many people should I survey to be accurate?
Reliability
How dependable are my findings?
Where should demographic questions be placed in a survey?
Randomness: How can I be assured of a random population for the survey?