Lesson 1.1 Genesis of SEM Copyright © 2014 by Sports Career Consulting, LLC.

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Presentation transcript:

Lesson 1.1 Genesis of SEM Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM What is SEM? Sports and Entertainment Marketing Acronym for: Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM  Forms of sports marketing started as early as 1858 (first known athletic event to charge admission took place at a baseball game)  Entertainment as we know it today (movies, radio, television, music) exploded from 1900 on, and as technology improved, so did the products being offered The Evolution of SEM Copyright © 2014 by Sports Career Consulting, LLC SEM is a relatively new concept

Lesson 1.1 History of SEM  The 1900’s also brought the advent of carnivals, amusement parks, and theme parks which evolved from (but did not completely replace) fairs, circuses and festivals The Evolution of SEM Copyright © 2014 by Sports Career Consulting, LLC SEM is a relatively new concept

Lesson 1.1 History of SEM  Evolved as fan support grew with willingness to spend discretionary income on sports  Emergence of radio and television increase exposure to sports. The Evolution of SEM Copyright © 2014 by Sports Career Consulting, LLC Many events influenced growth

Lesson 1.1 History of SEM  Corporations began to see the benefit with sports affiliations, resulting in a sponsorship boom  Celebrity endorsements and naming rights deals became common industry practice  Advancement of technologies making it easier to consume sports and entertainment while more sports and entertainment properties are introduced The Evolution of SEM Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM Industry Size & Scope Copyright © 2014 by Sports Career Consulting, LLC  The sports business industry is one of the largest and fastest growing industries in the United States  Research conducted in 2014 by Plunkett Research estimates the overall size of the entire sports industry in the U.S. is around $485 billion (global, the sports industry is estimated to be around $1.5 trillion)

Lesson 1.1 History of SEM Industry Size & Scope How does the sports industry stack up against other industries? Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM Copyright © 2014 by Sports Career Consulting, LLC Source: Plunkett's Sports Industry Almanac Overall Spending (In Billions) 2014 Sports Industry Revenue Streams “Big 4” U.S. sports leagues Racetracks, sports teams & other spectator sports Fitness and recreation NCAA sports Sports goods equipment (retailers) NASCAR

Lesson 1.1 History of SEM Industry Size & Scope Copyright © 2014 by Sports Career Consulting, LLC  Entertainment industry extends from movies, television and radio, to theatre, home entertainment, amusement/theme parks, gaming and much more  Consumers have shown an insatiable appetite for entertainment resulting in an industry boom

Lesson 1.1 History of SEM  There are 9,566 FM radio stations in the United States  Over 1.4 billion movie tickets are sold each year in U.S. theaters  Analysts at Veronis Suhler Stevenson estimate that total U.S. communications and media spending hit $1.12 trillion in 2012 (up from only about $891.5 billion in 2008) and will grow to $1.416 trillion in 2014 Broadly measured, the entertainment and media industry spans multiple sectors Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM  Of the 50 billion+ downloads sold in the history of the iTunes store, 15 of the 25 most downloaded apps ever are games Broadly measured, the entertainment and media industry spans multiple sectors Copyright © 2014 by Sports Career Consulting, LLC

Lesson 1.1 History of SEM Copyright © 2014 by Sports Career Consulting, LLC Source: U.S. Census Overall Revenue (In Billions) Entertainment Industry Revenue Streams Film/theatrical/DVD Electronic gaming Music industry Amusement/theme park Theatrical productions TV broadcast and cable