Sports Marketing - Chapter 5 Notes

Sports Marketing – Chapter 5 (chp 11) – Promotion

 

Promotion – The most visible of the marketing functions

-       Communication with a customer through advertising, publicity, sales promotion

-       Tied to a companies image (Nike: the best and highest quality)

 

Image – How a company wants the public to perceive it

 

 

Promotional Plan

            You must decide on a target market; use demographics, geographics, psychographics, etc

            Decide on the medium to be used; print, radio, TV, internet, billboards

 

There are four categories to a promotional plan: (Promotional Strategies)

 

1.    Publicity – Sponsoring of events and getting a companies name in front of customers. Ie College Bowl games, golf tournaments, other sporting events.

2.    Sales Promotion – An action or communication that encourages a customer to buy a product. Ie. Give aways, deals or discounts

3.    Personal Selling – in person, face to face. Informal settings, less pressure. Tougher to say no. Ie. Corp box, dinner, golf outings, etc.

4.    Advertising – Paid communication between the product maker (seller) and the customer (buyer or audience). It will clearly explain the product and the desired out come. ie information or purchase or future sale or change.

 

 Market Research

 

            Most affective when dealing with a mass market

            -Mass Market – Broad categories of people

- Finding the answers to key questions are the keys to formulating the connection between developing the product and actually selling it to the customers.

            -Market Research – The process of determining what the customer wants

-       The use of information to improve the product

-       Look for data patterns to determine customers needs, wants, or demands

-       Data mining – Digging up data needed to make decisions

-       There are five steps to the scientific method of problem solving:

o   Step 1 – Define the problem

o   Step 2 – Analyze the situation

o   Step 3 – Develop the process for collecting data

o   Step 4 - Collect, organize, and analyze the data

o   Step 5 - Determine the solution to the problem

 

 

 

Marketing Plan

 

-       A written component of a strategic plan that addresses how the company will carry out the key marketing functions. It can be simple or detailed.

-       The initial key component is the Mission Statement.

o   The mission statement names the company’s area of expertise, nature of business, what they do, and reason for the company’s existence.

o   It contains your company values – beliefs that your organization’s members hold in common and endeavor to put into practice. These values guide your employees in performing their work.

o   It can be a one sentence, clear, concise statement that says who the agency is, what it does, for whom and where.

o   Key words: to provide, by, through

+++ Nike’s Mission Statement – “ To bring inspiration and innovation to every athlete* in the world”

*(if you have a body, you are an athlete)+++

 

16 components of a Strategic Marketing Plan (these are done in order)

1.    Mission of the business – Mission Statement

2.    Goals of the Business – What does the Co. want to accomplish by marketing this product.

3.    Product Planning – What event, product, or service will be marketed?

4.    Marketing-Information Management- Who are the co. direct and indirect competitors and what are they doing? Who are the potential customers? Ect.

5.    Distribution System – How will the company’s product get to the customer?

6.    Pricing – what is the best price for the product?

7.    Promotional Strategies – How will the company use advertising, publicity, personal selling, and sales promotion to position the product in the minds of the customers?

8.    Financing – What is the estimated income from the product? What are the costs involved in marketing the product?

9.    Purchasing – How much can a team (or company) afford to pay its players or other assets (web sites, celebs)

10.  Risk Management – What is the legal liability that the company might incur?

11.  Selling – How will the direct sale of tickets and related merchandise be handled?

12.  People – Who is responsible for each segment of the plan?

13.  Internal Communication Systems – How will one department communicate with the other departments within the organization?

14.  Timeliness for implementing the Plan – What is the scheduled date for the action to commence? What has to get done and in what sequence.

15.  Intervals of Review and Evaluation – What can be done better, cheaper, faster, and more efficient. What problems could come up?

16.  The Future – Where is the business going and what is needed to stay on top