Consumer and Sports Products Economic Impact of Sports Marketing

The Sports Consumer sports consumer A purchase by the sports consumer, as a customer, is like a vote because the purchase equals a decision of approval. sports consumer a person who may play, officiate, watch, or listen to sports, or read, use, purchase, predict, and/or collect items related to sports 2

The Sports Consumer The two categories that affect the sports consumer’s decision to spend money on or participate in sports are: 3 Environmental factors –Family, friends –Society’s attitudes and values –Cultural differences –Climate and region –Marketing influences Individual factors –Self-concept or self-image –Physical characteristics –Learned characteristics –Motivation and attitude

Sports Consumers and Market Segmentation market segmentation Understanding market segmentation of the sports consumer market is important in order to sell products and services. market segmentation a way of analyzing a market by specific characteristics to create a target market 4 Geographics Demographics Psychographics Product benefits How has Tiger Woods created a new consumer market in the golf industry?

Sports Products Sports products Sports products provide the consumer with satisfaction, entertainment, sociability, and achievement. sports products the goods, services, ideas, or a combination of those things related to sports that provide satisfaction to a consumer 5 People who share in the process of marketing sports products include owners, sponsors, communication firms, city governments, taxpayers, and consumers. How does this process apply to NASCAR?

Types of Sports Products tangible products physical goods that offer benefits to the consumer 6 Sporting events Athletes and the arenas Sports information News, statistics, schedules, and stories Sports training Lessons, personal training, camps, or fantasy camps Sporting goods Equipment, apparel, licensed merchandise, and memorabilia intangible products non-physical services such as tennis lessons, personal training, and sports camp GLOBAL GEAR: over 125 countries import American sporting goods

Types of Sports Products product lineproduct mix Sports businesses or organizations that offer a variety of products classify their products by product line and product mix. product line a group of closely related products manufactured and/or sold by a company 7 product mix the total assortment of products that a company makes and/or sells

Sports Products and Product Extensions Sports products differ from typical consumer products because sports products have the ability to generate a greater variety of product extensions. 8 What are some product extensions from the Super Bowl?

Economic Effects From the moment the consumer inquires about a ticket to a sporting event, there is an impact on the economy. The local economy improves as a result of money spent at sporting events. 9 St. Louis Cardinals

Economic Effects opportunity cost Each decision the consumer makes involves an opportunity cost. 10 opportunity cost the loss of the opportunity that is passed up in order to receive something in exchange infrastructure As the economy grows, then more infrastructure is needed to support an athletic event. infrastructure the physical development of an area, including the major public systems, services, and facilities of a country or region needed to make a location function

Sporting Event $ $ $ $ $ $ $ $ Economic Impact of Sports 11 Sporting Event Ticket Agent Parking Garage Food and Merchandise Sanitation The Internet Taxes Infrastructure City Pride

“The Sunshine State” sports franchise Orlando, Florida, is the home of an NBA sports franchise called the Orlando Magic. 12 sports franchise an agreement or contract for a sports organization to sell a parent company’s (i.e., a national sports league) good or service within a given area By selling Orlando Magic T-shirts, caps, and other items, investors were able to convince residents to make $100 deposits on season-ticket reservations nearly 4 years before the team began competing All of this was to impress the NBA with a show of support from fans FYI: Florida is the number one tourist destination in the world

Economic and Marketing Challenges The economic and marketing challenges of the Women’s National Basketball Association are different than those of the National Basketball Association. Media perception of the WNBA is a major challenge, despite the fact that the WNBA attracts millions of spectators and viewers around the world. 13 What challenges do WNBA marketers face? What challenges do WNBA marketers face?

Grassroots Marketing Efforts grassroots marketing To gain support, teams such as the Sparks are heavily involved in grassroots marketing. 14 grassroots marketing marketing activity on a local community level Remember Your Research: What grassroots marketing efforts do the St. Louis Rams implement?

Operating an e-tail business on an electronic channel—the Web—can be costly, due to design, delivery, returns, and operating expenses. Though Many larger dot-com companies crashed in the 1990’s, small stores like Harris Cyclery of West Newton, Massachusetts, actually increase sales using a basic Web site. Today, a third of Harris’s bicycle business rides in on the Web to get hard-to-find parts and personal service. Describe an e-business’s home page to your class after viewing one through marketingseries.glencoe.com.marketingseries.glencoe.com Got Game—and More 15 By 2001, WNBA games had been seen by 60 million fans in 167 countries. Fostering this global audience, the WNBA.com Web site provides many services for its followers: draft notices, player information, news, statistics, standings, game schedules, highlights, a virtual box office, fantasy games, and even an e-tail store. The Women’s National Basketball Association has come a long way in a few years since April 1996 when it was first formed.

Grassroots Marketing Activity Create a grassroots marketing program for a company, product, or person of your choice. Brainstorm three ideas and choose one to develop fully. Make sure to answer the questions below: List your three ideas For the idea you choose to develop, provide a detailed description of your plan: –What or who are you marketing? –What is your message? –How are you going to spread the word? –Provide a specific goal of your marketing plan. 16 Fuse Marketing: Free Flow Tourwww.freeflowtour.com