Sports and Entertainment Marketing Marketing and the 4P’s Sports and Entertainment Marketing

Sports & Entertainment Industries Today, more than any other time in history, are the two most profitable industries in the U.S. Fans spend billions of dollars each year on recreation Reaches around the globe as well Entertainment is a main export of the U.S.

What is Marketing?

If you know: Nike: “Just Do It” Wheaties: “Breakfast of Champions” Under Armour: “Protect this house” Lowes: “Lets build something together” Butterfinger: “Nobody better lay a finger on my butterfinger” Apple: “There’s an app for that” You have been exposed to marketing.

Marketing Defined: The process of developing, promoting, and distributing products, or goods/services, to satisfy customers’ needs and wants. To sum it up – Marketing is the creation and maintenance of satisfying exchange relationships. Marketing is an “umbrella” term Current marketing practices focus on customers and maintaining a close relationship with them

Marketing Mix pg 10 Describes how a business “blends” the four marketing elements. The 4 P’s Product Place (Distribution) Price Promotion

Marketing Mix Product—what a business offers customers to satisfy needs (Place) Distribution—the locations and methods used to make products available to customers Price—the amount that customers pay for products Promotion—ways to encourage customers to purchase products and increase customer satisfaction

Product Goods Tangible items - have monetary value and satisfy your needs & wants (can touch them) Examples: sports equipment, TV, clothing, candy. Services Intangible items - have monetary value and satisfy your needs & wants (can’t touch them) Examples: tickets, banks, dry cleaners, amusement parks.

Place (Distribution) Involves the locations and methods used to make products available to customers. Channel of distribution- path a product takes from the producer to the consumer New Holland Apparel

Place (cont’d) Where do you buy a pair of sneakers or a theater ticket? Internet? Retail Store? Theater? Telephone Solicitation? Wholesaler? Retailer?

Price Amount that customers pay for products/services. Approximately 50% of an item’s price is for the marketing costs! Did you know? – On average, stores raise the price around 50% more than what they paid for it?

Promotion ways to encourage customers to purchase products/services. Buy 2, get 1 free!! ways to encourage customers to purchase products/services. increase customer satisfaction. includes: advertising, publicity, personal selling, and public relations Our product will make you better at everything!

What are some forms of Promotion? Newspaper Magazine Radio Television Direct Mail Internet Advertising

Satisfying Customer Needs MOST important aspect of marketing! Must perform the following: Identify customer needs Develop products/services that customers consider better than other choices Operate business profitably

Sports products pg. 78 Sports products- goods, services, ideas or a combo of those related to sports that provide satisfaction to a consumer Get into groups of three Imagine you are marketing a new sports product – a fresh, new young athlete drafted into the pros Plan a market strategy for selling this “product”

Trivia Time! What does ESPN stand for? Entertainment and Sports Network

Types of Sports Products Unlike typical consumer products, sports products include a broader range of products. Unique to sports are products that can be classified as goods or services, or both: Sporting events- this is where it all starts. Athletes and the arenas get the ball rolling Sports information- Involves news, stats, schedules and stories. Where do you find all this info?

Types of Sports Products Sports training- Service such as instruction that is provided through fitness centers, sport camps, and lessons Sporting goods- Wide range of goods, such as licensed merchandise, collectibles, apparel and accessories.

Product Line vs Product Mix Businesses classify their products by “product line” and “product mix” Product line- a group of closely related products manufactured and/or sold by a company What products are sold in the product line by Adidas below: Shoes, socks, shin guards, ball, shorts, jersey

Product Line vs Product Mix Product mix- the total assortment of products that a company makes and/or sells What Adidas products does Dick’s Sporting Goods sell? Boom. That’s product mix Shoes, socks, shin guards, ball, shorts, jersey