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1、What Is Sports And Entertainment Marketing ?Chapter 11.1 Marketing BasicsObjectivesYou will be able to describe the basic concepts of marketing.You will be able to describe the seven key marketing functions. What Is Marketing?Marketing is planning and executing the conception, pricing, promotion, an
2、d distribution of ideas, goods, and services to create exchanges that satisfy individual and organizational objectives. The American Marketing Association Marketing is the creation and management of satisfying exchange relationships.Marketing MixThe Marketing Mix describes how a business blends the
3、four marketing elements of Product, Distribution, Price, and Promotion.The Marketing MixProduct What a business offers a customer to satisfy needs.Distribution Involves the location and methods used to make products available to customers.Price The amount that customers pay for products.Promotion Th
4、is describes ways to encourage customers to purchase products and increase customer satisfaction.Satisfying Customer NeedsThe most important aspect of marketing is satisfying the customer. Customer needs should be the primary focus during the planning, production, distribution, and promotion of a pr
5、oduct or service. 1. Identify customer needs2. Develop products that customers consider better than other choices3. You must be able to operate a business profitably Marketing Functions: The Basis of All Marketing ActivitiesProduct / Service ManagementThe designing, developing, maintaining, improvin
6、g, and acquiring products or services so they meet customer needs.*Fisher Price tests new toy ideas with both children and parents to make sure children will play with them and parents will buy them.DistributionDetermining the best way to get a a companys products or services to the customer.*Televi
7、sion manufacturers like Sony sell their products through electronic retailers like Circuit City.FinancingThis requires a company to not only budget for their own marketing activities but to provide the customer with assistance in paying for the product.*General Motors offers loans to customers throu
8、gh its GMAC Division.Marketing Information ManagementGathering and using information about customers to improve business decision making.*Dominos used marketing research to adapt to a new market in Japan.Smaller pizzas to be eaten as snacks Non traditional toppings corn / tunaPricingThe process of e
9、stablishing and communicating the value or cost of goods and services to customers.*Prices to professional sports events and concerts are often very expensive because the demand for them is very high.PromotionThe use of advertising and other forms of communicating information about products, service
10、s, images, and ideas to achieve a desired outcome.*Coupons on the back of tickets promote products or services and entice fans into trying the products or services shown.SellingDirect and personal communication with customers to assess and satisfy their needs. Selling also includes anticipating the
11、customers future needs.*Today selling also includes items purchased over the internet with no personal communication. *Loretta Lynn and her husband traveling to sell radio stations on her single “Honky Tonk GirlThink Critically Think of 3 recent sports or entertainment purchases you have made. Ident
12、ify how each purchase involved the seven marketing functions.1.2 Sports MarketingObjectives Define sports marketing. Understand the importance of target markets. Identify sports marketing strategies.What Is Sports Marketing?Sports Marketing is using sports to market products or services.Spectators o
13、f sporting events are the potential consumers of a wide array of products ranging from apparel and athletic equipment to food.Target MarketA target market is a specific group of people you want reach.In order to promote and sell products and services, a company must know the needs and wants of the t
14、arget market.How To Find A Target MarketA Company Must First.Identify the customer.Learn specific information (Demographics) about the customer such as Age ranges in the groupMarital statusGenderEducational levelAttitudes and beliefsIncome (especially disposable income)Disposable IncomeIncome that c
15、an be freely spent.Income left over after all obligations have been met.Spending Habits of FansIt is important to research the spending habits of fans in order to maximize profits on items that are purchased at sporting events.The price fans are willing to pay for a ticket depends upon Interest of t
16、he target market The national importance of the event The popularity of the participating athletes The rivalry associated with the contestFans also pay for team clothing or equipment and food and travel expenses to and from a game.Did You KnowIn 1998 a family of 4 could expect to pay $115.00 on aver
17、age to attend a major league baseball game. This price included tickets, parking, hot dogs and drinks, programs, and souvenir caps.The highest cost was for the New York Yankees: $148.56.The lowest cost was for the Cincinnati Reds: $89.97.Marketing StrategiesSports Logos on ClothingShow fan loyaltyIn
18、crease the value of the clothing in the eyes of the fanSome Consumers feel more successful themselves if they can purchase and wear clothing with logosEndorsements make money for professional athletes and professional and college teams.Marketing StrategiesNew Sports Produce New OpportunitiesOffer ne
19、w opportunities for endorsements and marketing.Arena football founded in 1998WNBA (Womens National Basketball Association)Gross ImpressionGross Impression is the number of times per advertisement, game, or show that a product or service is associated with an athlete, team, or entertainer.Often the m
20、essage is is a very subtle one. Advertisers hope you will remember when it is time to make a purchase.Marketing StrategiesTimingPopularity is based on continued winning.Loosing streaks can cost more than points in a game.Timing is extremely important when marketing sporting goods.Fans want to identi
21、fy with winners.Trends need to be monitored for time to change.Success sparks rivalryThink CriticallyDesign a new logo for a major sporting goods manufacturer. Explain what the logo represents and why it will be successful. This logo cannot resemble current logos.Watch a college or professional spor
22、ting event on television. Select a sports brand represented and keep track of how many gross impressions were made during the telecast.1.3 Entertainment Marketing ObjectivesUnderstand why marketing must relate to the specific audience.Relate advances in entertainment technology to changes in distrib
23、ution.Recognize the power of television as a marketing tool.Entertainment MarketingThere are two ways to look at Entertainment Marketing Entertainment must be looked at as a product to be marketed. Marketing should be looked at in light of the way it uses entertainment to attract attention to other
24、productsWhat Is EntertainmentEntertainment is whatever people are willing to spend their money and spare time viewing rather than participating in. This includes Sports and the Arts, and can be viewed in person or in broadcast or recorded form.Sports are games of athletic skill.Entertainment can be
25、movies, the theater, the circus, or even traditional athletic contests. Just A Little HistoryAt the beginning of the 20th century the performing arts represented a major form of entertainment. This included the live theater, the ballet, the opera, and concerts. Marketing was limited to posters and w
26、ord of mouth.In order to enjoy professional entertainment people had to travel and travel was sometimes slow and tedious.In 1888 Louis LePrince made the first moving pictures in Britain.In 1895 the Lumiere brothers were the first to present a projected movie to paying customers in a caf in Paris.The
27、 first movie with sound was The Jazz Singer which opened in the United States in 1927.Mickey Mouse arrived in 1928 in Walt Disneys Steamboat Willie 10 years later Snow White and the Seven Dwarfs became the first full length animated film.July 1955 Disney opened Disneyland in Anaheim California.With
28、the opening of Disneyland a totally new form of entertainment was born the theme park!Once started technologies of all sorts changed marketing, advertising, and distribution forever.A current trend is to name sports arenas for corporate sponsors.The marketing of entertainment is evolving faster and
29、faster with daily changes in technology. Products that were innovative yesterday are out-of-date today.Information managers and promoters must be creative and forward thinking in order to anticipate the wants of the buying public.Television and MarketingTelevision provided sports and entertainment m
30、arketers with a wide-open distribution channel into the billfolds of consumers. The market grew quickly and continues to advance throughout much of the world.In October 1945, more than 25,000 people came to Gimbles Department Store to see the first demonstration of TV. Nine television stations and f
31、ewer than 7,000 working TV sets existed in the United States at the end of World War II.Televisions Increasing InfluenceThe pricing of television commercial time is tied to the number of viewers the programming attracts.9 TV stations in 1945 grew to 98 stations by 1949.In 1996 there were more than 2
32、23 million TV sets with many homes having at least 2.Advertisers spent almost 42.5 billion in 1996.In 1945 The American Association of Advertising encouraged the start of television advertising.Television changed the marketing of entertainment in a profound way. TV advertising hooked the imagination
33、 of the consumer.In 1946 the Gillette Company staged the first television sports spectacular a heavy weight boxing match. There was an estimated audience of 150,000 on 5,000 sets!1.4 Recreation MarketingObjectivesApply the marketing mix to recreation marketingDescribe marketing for the travel and to
34、urism consumer.Recreational SportsRecreational sports marketers entice people away from home-based entertainment. Golf, tennis, bowling, hiking, snow skiing, snow boarding, and biking are a few of the more popular recreational sports activities.Recreation can be defined as renewing or rejuvenating y
35、our body or mind with play or amusing activity.Recreational Activities are those activities involved in travel, tourism, and amateur sports that are not associated with educational institutions.Participation in recreational activities usually requires the purchase of a combination of products and services.Participation also requires a time commitment. Marketing costs must be included in the
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