1. Product Mix in Sports and Entertainment
Unit 5: Intro to Sports and Entertainment

2. What is a product in Sports and Entertainment?
Broaden definition of product
Movie tickets
Seats
Athletes
Teams
Events

3. The Product Mix Product Mix includes
Brand name, various products offered under the brand, and the packaging
Product extensions are added to product/mix in order to entice consumers
Guarantees, warranties

4. Basic v. Enhanced Product
Basic product is the actual physical product
Product enhancements are added features that satisfy additional needs and wants

5. Organizing Product Mix
Product Lines
A group of similar products offered
Slight variations to satisfy consumers in diverse target market

6. Other Aspects… Product includes Packaging and brand Brand
Must be easy to use, appealing
Brand

7. Product Marketing Strategies

8. Product Positioning
Marketing strategies are used in an effort to position products
Position is used to differentiate products from competition
Price
Features/benefits
Comparing competition
Example: Nike positions using brand and status
How?
Endorsements

9. Product Lifecycle
As products age it becomes crucial to implement strategies
Stages in life cycle
Introduction
Growth
Maturity
Decline
Stages are determined by
sales

10. Product Lifecycle Introduction Product is new and a novelty
Strategies during this stage typically include pricing strategies
Skimming: setting prices high initially
Example: DVD: DVD: $24.96
Penetration Pricing: low prices initially to capture a large audience

11. Product Lifecycle Growth Sales and profits increase Characterized by:
Established target market
Increase in advertising
Increased competition
Everyone wants in on the success
Modifying products to maintain growth

12. Product Lifecycle Maturity Sales level off
Marketing costs increase due to increased use of promotions
Common marketing strategies during this stage include sales—discounts

13. Product Lifecycle Decline Sales decrease and decisions must be made
Drop the product
Sell/License
Discount
Regionalize
Modernize/Alter
Recommit

14. Activity Select one of the following situations with your table:
Six Flags over Georgia—dropping a product
Massimo—licensing to Target
Braves Stadium—modernizing
Answer the following questions:
What influenced your organization to make this decision?
What aspects of the product were changed/dropped?
How has this change impacted sales or expected to impact sales?

15. Customized Products

16. Customizing Entertainment
In entertainment it is vitally important to cater products to target markets
Once target market is identified
Customize product that fit to the needs and wants of a particular market
Even make it impromptu!
Spontaneous change based on audience reaction

17. Customizing Television
Majority of product planning for TV takes place in L.A.
Local programming decided on a regional level and is a fraction of the cost

18. Local Television Choices:
Children's Programming
7:00 am to 6:00 pm
Arthur
Sesame Street
Daniel the Tiger
Clifford
Sports Programming
Local high school sports
Local votes contribute to “game of the week”
News
Evening Programming
PBS shows
Downton Abbey
Paid Programming
Why paid programming?

19. Tiering Sports Television
Cost to produce and broadcast sports television has dramatically increased over the past decade
Contracts
Athletes
Tiering has become a popular way to deal with these increased costs
Tiering allows specialized options for consumers outside of basic channel options
Example: ESPN