Define sports marketing and discuss how the sports ...

 CONTENTS

Preface xix

PART I:

CONTINGENCY, FRAMEWORK FOR STRATEGIC SPORTS MARKETING 1

CHAPTER 1 Emergence of Sports Marketing 2

What Is Sports Marketing? 3

Understanding the Sports Industry 4

Sport as Entertainment 4

A Marketing Orientation 5

Growth of the Sports Industry 6

Spotlight on International Sports Marketing Can Man U Score in America? 9

The Structure of the SportS Industry 11

The Consumers ofSport I2 The Sports Product 16

Different Types of Sports Products 17

The Multidimensional Nature of the Sports Product 22

Producers and Intermediaries 23

Sports Marketing Hall of Fame Mark McCormack 26

Basic Marketing Principles and Processes Applied to Sport 27

The Sports Marketing Mix 27

The Exchange Process 28

The Strategic Sports Marketing Process 29

Canadiens Targeting Younger Fans with a New Club 30

Summary 30

Key Terms 31

Review Questions 32

Exercises 32

Internet Exercises 32

Endnotes 32

CHAPTER 2 Contingency Framework for Strategic Sports Marketing 34

Globetrotters Dribble Out a New Marketing Plan 35

Contingency Framework for Strategic Sports Marketing 36

Contingency Approaches 37

Strategic Sports Marketing Process: The Heart of the Contingency Framework 39

Planning Phase 40

Understanding Consumers' Needs 40

Market Selection Decisions 40

Spotlight on International Sports Marketing

the Market Based on Where People Live Marketing Mix Decisions 45

Major League Baseball International: Segmenting

41

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? X Contents

Implementation Phase 48

Organizing 49

Leadership and Interaction 49

Resource Acquisition and AI/ocation 50

Coordinating and Timing ofActivities 50

Information Management 51

Control Phase 51

Measuring Results 51

Revolving Sponsors a Big Part of Sports 52

Spotlight on Sports Marketing Ethics Move Toward Athletic Reform Long Overdue 56

Summary 57

Key Terms ?58

Review Questions 58

Exercises 58

Internet Exercises 59

Endnotes 59

CHAPTER 3 External and Internal Contingencies 60

External Contingencies 60

Competition 61

Technology 62

Cultural and Social Trends 67

Physical Environment 68

Political, Legal, and Regulatory Environment 69

Demographics 71

The Economy 72

Monitoring the External Contingencies 73

Internal Contingencies 75

Vision and Mission 75

Organizational Objectives and Marketing Goals 76

Organizational Strategies 78

Organi zational Culture 82

Assessing the Internal and External Contingencies: SWOT Analysis 83

Spotlight on Sports Marketing Ethics Sports Offers a Human Timeout from the Inhumanity 84

Summary 86

Key Terms 87

Review Questions 87

Exercises 87

Internet Exercises 88

Endnotes 88

Case: Part I 90

PART II: PLANNING FOR MARKET SELECTION DECISIONS

CHAPTER 4 Research Tools for Understanding Sports Consumers 94

Marketing Research in Action: The Albany River Rats 95

Research Budgets Increase as Leagues Seek Growth 96

The Marketing Research Process 98

Defining the Problem or Opportunity 98

Understanding the Value of Sponsorship 100

93

CRA

C1

CONTINGENCY FRAMEWORK FOR STRATEGIC SPORTS MARKETING

I '

c

WHA1

EMERGENCE OF SPORTS MARKETING

After completing this chapter, you should be able to:

? Define sports marketing and discuss how the sports industry is related to the entertainment industry.

? Describe a marketing orientation and how the sports industry can use a marketing orientation. Examine the growth of the sports industry.

? Discuss the simplified model of the consumer-supplier relationship in the sports industry. ? Explain the different types of sports consumers. ? Define sports products and discuss the various types of sports products. ? Understand the different producers and intermediaries in the simplified model of the

consumer-supplier relationship in the sports industry. ? Discuss the elements in the sports marketing mix. ? Explain the exchange process and why it is important to sports marketers. ? Outline the elements of the strategic sports marketing process.

M ary is a typical "soccer mom." At the moment, she is trying to determine how to persuade the local dry cleaner to provide uniforms for her daughter's Catholic Youth Organization soccer team.

George is the president of the local Chamber of Commerce. The 10-year plan for the metropolitan area calls for developing four new sporting events that will draw local support while providing national visibility for this growing metropoli tan area.

Sam is an events coordinator for the 10cailOK road race, which is an annual fund raiser for fighting lung disease. He is faced with the difficult task of trying to deter mine how much to charge for the event to maximize participation and proceeds for charity.

Ramiz is the Athletic Director for State U. In recent years, the men 's basketball team has done welJ in postseason play, therefore, ESPN has offered to broadcast several games this season. Unfortunately, three of the games will have to be played at 10 P.M. local time to accommodate the broadcaster's schedule. Ramiz is concerned about the effect this will have on season ticket holders because two of the games are on weeknights. He knows that the last athletic director was fired because the local fans and boosters believed that he was not sensitive to their concerns.

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CHAPTER 1 Emergence of Sports Marketing 3

WHAT IS SPORTS MARKETING?

Many people mistakenly think of sports marketing as promotions or sports agents say

ing, "Show me the money." As the previous examples show, sports marketing is more

complex and dynamic. Sports marketing is "the specific application of marketing prin

ciples and processes to sport products and to the marketing of nonsports products

through association with sport."

Mary, the soccer mom, is trying to secure a sponsorship; that is, she needs to con

vince the local dry cleaner that they will enjoy a benefit by associating their service

(dry cleaning) with a kid's soccer team.

As president of the Chamber of Commerce, George needs to determine which

sports products ,will best satisfy his local customers' needs for sports entertainment

while marketing the city to a larger and remote audience.

I

In marketing terms, Sam is trying to decide on the best pricing strategy for his

sporting event.

Finally, Ramiz is faced with the challenge of balancing the needs of two market

segments for his team's products. As you can see, each marketing challenge is complex

and requires careful planning.

To succeed in sports marketing one needs to understand both the sports industry

and the specific application of marketing principles and processes to sports contexts.

In the next section, we introduce you to the sports industry. Throughout this book , we

continue to elaborate on ways in which the unique characteristics of this industry com

plicate strategic marketing decisions. After discussing the sports industry, we review

basic marketing principles and processes with an emphasis on how these principles and

processes must be adapted to the sports context.

Coca Cola's stadium signage is just one example of sports marketing.

Source: Used by permission of The Coca Cola Company.

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