What is Marketing?

The Importance of Sports and Entertainment Marketing The sports and entertainment industries have become two of the most profitable industries in the United States.

Marketing Defined marketing the process of developing, promoting, and distributing products, or goods and services, to satisfy customers’ needs and wants Goods are tangible items, such as sports equipment. Services are intangible products, such as theater tickets.

first step is identifying the market. Definition Cont’d marketing concept is an idea that organizations need to satisfy their customers while also trying to reach their organizations’ goals first step is identifying the market. Market- potential customers with shared needs who have the desire and ability to buy a product

Needs VS. WANTS Needs - basic necessities such as food, clothing, or shelter Wants – items that people desire but are not needed for survival i.e. designer jeans, iPod

demographics statistics that describe population in terms of personal characteristics demographic information is used to develop marketing plans

Marketing Mix a tool to develop strategies a combination of four basic strategies known as the 4 Ps: Product Price Place Promotion

Product Decisions Price Decisions Place Decisions Promotion Decisions involve the goods, services, or ideas used to satisfy consumer needs. Product Decisions involve the exchange process between the customer and the seller. Price Decisions involve making the product available to the customer. Place Decisions involve how the goods or services are communicated to the consumer. Promotion Decisions

Economic Basics profit the money left after all costs and expenses of a business are paid competition the struggle among companies for customers

A Brief History of Leisure Marketers sell participation in sports and entertainment events to consumers. -consumers people who use products The growth of the sports and entertainment industries have relied on consumers with free time, discretionary income, and a desire for recreation. -discretionary income money left to spend after necessary expenses are paid

Property Ownership and Intellectual Property Rights In Canada we have the right to own property and start a business. Intellectual property rights are protected by the following: copyright legal protection of a creator’s intellectual property or products Patents  exclusive rights to an inventor for a limited period of time in exchange for detailed public disclosure of an invention Trademarks a recognizable sign or symbol which identifies a product or service

Marketing Today Sports and entertainment vendors compete for a share of the money people spend on recreation. vendors sellers of products Sports and entertainment marketing directs consumers toward sports and entertainment products. product a good or service that any for-profit industry sells to its customers

Sports and Entertainment Connections What do sports and entertainment have in common? They have thrilled and entertained people for centuries—since the ancient Olympic games and Greek plays.

Changes in Marketing promotion any form of communication used to persuade people to buy products New technologies have broadened the scope and reach of marketing messages, and they can be entertainment products themselves.

Marketing Similarities 4 P’s (Product, Price, Place, Promotion) Product Endorsement approval or support of a product or idea, usually by a celebrity Core product the main product, such as sports event, movie, stage show, or book Ancillary product a product related to or created from the core product Revenue gross income

Marketing Similarities Price Piracy the unauthorized use of another’s music, movies, or copyrighted material Royalty a payment for material that has been copyrighted, or legally declared as belonging to the creator Copyright

Marketing Similarities Promotion Product tie-in use of ancillary products such as merchandise as promotional tools Cross-promotion any form of communication through which one industry relies on another industry to promote its product

Different Players, Different Games The differences between sports and entertainment can be found in three areas: Consumer loyalty -consumers’ attitude that occurs when they are happy with a company and become repeat customers Product Revenue stream

Differences in Product The sports product is consistent, or stable. The entertainment product is variable, or changeable.

Differences in Revenue Stream Sports franchises earn revenue from sponsorship. -the promotion of a company in association with a property Sports franchises also earn revenue from advertising and broadcast rights.

THINKING: Describe how sports and entertainment impact national and local economies. Sports and entertainment local events draw audiences. That means workers are needed for crowd control, ticket collection, concession sales, and security. These customers may also hire local people to work for them. Nationally, events that increase tourism contribute to the GDP (Gross Domestic Product) of a country.