Transcript Chapter 1 Notes Sports Marketing

Chapter 1
Marketing Basics
Take out
pen/pencil
Marketing
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How many of you think ads effect your
decisions of what to buy?
Marketing
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Wayne’s World
Talladega Nights
Think about it…
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Working in groups of 2 or 3, identify 4
advertising campaigns that feature celebrities
or athletes.
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Discuss how these campaigns have affected your
thinking about the product
If you were in the market for the product, would you
buy the celebrity-endorsed brands? Why or why
not?
What is Marketing?
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Marketing– the creation and maintenance of
satisfying exchange relationships.
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Creation—product development
Maintenance—must continue as long as the
business operates
Satisfaction—meet the needs of the business and
customers
Exchange relationship—when people both give and
receive something of value
Marketing Mix
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Describes how a business blends the four
marketing elements of product, distribution
(place), price, and promotion.
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Used to be called the “4 P’s of Marketing”
Marketing Mix
1.
Product is what a business offers customers
to satisfy needs
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2.
Examples—goods like athletic shoes or a service
like video rentals or entertainment (e.g., comedian)
Distribution—involves the locations and
methods used to make products available to
customers
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Examples—retail stores, internet, shipped by UPS
Marketing Mix
3.
4.
Price—the amount that customers pay for
products
Promotion—describes ways to make
customers aware of products, encourage
them to buy, and increase customer
satisfaction
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Advertising, publicity, personal selling, & public
relations
Marketing Mix Examples
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Sports Industry – Super Bowl
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Product?
Distribution?
Promotion?
Price?
Entertainment Industry – State Fair
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Product?
Distribution?
Promotion?
Price?
Friday 1/9
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Please get your Marketing Mix graphic
organizer out from yesterday
Please grab a Marketing Mix review sheet from
the front
Marketing Mix Review
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Describe the Marketing Mix
What are examples of the Marketing Mix for
the Nebraska State Fair?
Core Standards of Marketing
1.
Distribution—Determining the best way to get
a company’s products or services to
customers.
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2.
Sony sells through Best Buy
Apple Store
Marketing-Information Management—
Gathering and using information about
customers to improve business decision
making
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Domino’s made small pizza for Japan and had
toppings like corn and tuna.
Core Standards of Marketing
3.
Pricing—Establishing and communicating the
value or cost of goods and services to
customers
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4.
Directly related to consumer demand in SEM
(supply and demand – have to understand
Economics!)
Product/Service Management—designing,
developing, maintaining, improving, and
acquiring products or services so they meet
customer needs and wants
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Fisher Price testing new toy ideas with children
and parents
Core Standards of Marketing
5.
Promotion—advertising and other forms of
communication to distribute information about
products, services, images, and ideas to
achieve a desired outcome.
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Coupons on backs of tickets, Husker Basketball 70
points for a Runza
Core Standards of Marketing
6.
Selling—any direct and personal
communication with customers to assess and
satisfy their needs and wants
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Also involves thinking of future needs
Example—musicians or comedians traveling and
visiting radio stations to sell songs and/or promote
shows, coaches doing radio/TV shows
Can also include purchases made through the
internet with no face-to-face communication
whatsoever
Core Standards of Marketing
7.
Financing—not only budget for its own
marketing activities, but also to provide
customers with assistance in paying for the
company’s products or services
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GMAC financing, payment options
NOTE: financing is not one of the 6 core standards
of marketing, it is closely related!
**Everything you learn about marketing will
involve at least one of these standards!**
Class Activity
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How did the Core Standards of Marketing go
into the sale/purchase of this sweatshirt?
Description
There’s nothing better than seeing your Cornhuskers dominating on
the gridiron! You make it a point to go to every home game without
hesitation. But when the temperature begins to dip, you need a little
extra Nebraska spirit to keep you warm. This Turf fleece pullover
hoodie is all you need to get through those bitter cold games. This
hoodie features the school name in a tackle twill felt applique with an
embroidered team name and logo on the chest, as well as an
embroidered logo on the hood. Stay comfy this winter while you root
for your Cornhuskers in this hoodie!
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80% Cotton/20% Polyester
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Contrast color side panels
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Front pouch pocket
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Heavyweight hoodie suitable for cold temperatures
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Hood with shoelace drawstring
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Imported
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Officially licensed collegiate product
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Quality embroidery
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Rib-knit cuffs & waist
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Tackle twill felt applique
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Team colors and logo
Class Activity
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How did the core marketing standards go into
the sell/purchase of Mrs. Crabtree’s shoes?
Group Activity
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With your “sports merchandise”—
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Tell how the core marketing standards went into this
sale (or the purchase)
Ideas for some of you on price—what could you
have sold it for “then”, and what could you sell it for
“now”.
Do you recognize the following
promotional messages?
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“Can you hear me now?” Verizon Wireless
“Buy it. Sell it. Love it.” eBay
“Live in your world, play in ours.” Sony Playstation
“Just do it.” Nike
“I’m lovin’ it.” McDonald’s
“The happiest place on earth.” Disneyland
Example-Puck Hat
Assignment:
 On
a separate sheet of paper:
 Think of three recent sports or
entertainment purchases you
have made. Identify how each
purchase involved the seven key
marketing functions.
Core Standards of Marketing
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Product/Service
Management
Distribution
Selling
Marketing-Information
Management
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Financing
Pricing
Promotion
It’s Monday 
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You’ll need a notebook (or paper) today
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Sports Marketing
Target Markets
Gross Impressions
What is SPORTS
MARKETING?
 Sports
Marketing—using sports
to market products.
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array of products (food,
apparel, equipment, automobiles)
DETERMINE THE TARGET
MARKET
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TARGET MARKET—A specific group of people you
want to reach
Demographics—information about customers
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Age range, marital status, gender, educational level, attitudes,
beliefs, income
Disposable Income--$$ that can be spent freely
Other reasons people buy items—past experience,
referral by a friend, identification with an attitude
Male Shows/Products Advertised
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Razors
Alcohol
ESPN Phone
Cars
Video Games
Sports Equip.
Sports Drinks
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Shoes
Muscle Enhancements
Axe Body Spray
Tuesday
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Remind me to read
announcements!!!!!
Finish these Notes (3
slides)—sooooo, take
out your notes
Creative “logo” project
Current Events….
Steve Irwin “Crocodile Hunter”
was killed yesterday by a
stingray
Who beat Andre Agassi in his
last tennis match of his
career?
Benjamin Becker (German)
What football player was shot 3
times this weekend?
Chargers Linebacker Steve Foley
Spending Habit of Fans
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Why is it important to know this?
Maximize profits
Example—Price people will spend on a ticket depends
on:
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Interest of the target market
National importance of the event (ex. –National title game)
Popularity of the participating athletes (ex.- Heat v. Thunder)
Rivalry associated with the contest (ex.-NU v. Texas)
Example—fans are willing to pay for team (or celebrity)
identified clothing or expenses (as well as food and
travel to & from a game)
MARKETING STRATEGIES
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Sports Logos—Why do people wear them?
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Show fan loyalty
Value of merchandise is increased in the eyes of the
buyer
Some feel more successful themselves if they wear
an endorsed product
Marketing Strategy:
GROSS IMPRESSION
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--The number of times per advertisement,
game, or show that a product or service is
associated with an athlete, team, or
entertainer.
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Backs of shoes
Scene in a movie (Talladega Nights)
License-plate holder on a car
Media mentioning a player, team or product
(example Heisman Trophy)
Fiesta Bowl (Tostitos)
YOUR BRAIN RECORDS THAT IMAGE
TIMING
 Popularity
is based almost
completely on continued winning.
 Fans want to be associated with
winning
 15 minutes of fame
Katherine Webb
– Reality shows
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ASSIGNMENT
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Design a new logo for a major sporting goods
manufacturer.
Explain what the logo represents and why it will
be successful.
It can NOT resemble current logos.
HOMEWORK
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Watch a college or professional sporting event
on TV. Select a sports brand represented in
this presentation and keep track of how many
gross impressions were made during the
telecast.
YOU ONLY NEED TO WATCH ½ THE GAME
LIFE WITHOUT JORDAN
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Wall Street Journal page 15