1. SEM1 3.01 PI – Describe target marketing in sport/event marketing

2. Marketing Terms Market – the group of all potential customers who share common wants and needs – Ex: People that play video games Consumers in a Market: – Have the desire to make a purchase – Have the willingness to purchase a product – Have the financial means to make a purchase

3. Marketing Terms Mass Marketing – single marketing plan to reach all consumers (Everybody!) – Anyone can use or benefit from these products – Appeal to many types of customers – Using one marketing plan – No specific customers are targeted – Ex: bottled water, foods, soda, phones

4. Mass Marketing Advantages Communicate one message to a large audience Produce one product for everyone Less promotional cost Less work Disadvantages Single message may not reach enough customers Product may not appeal to everyone

5. Marketing Terms Target Market – group of very specific customers that a company desires to have as consumers – Have specific characteristics – Ex: BOYS that play video games Target Marketing – Businesses identify and select customers with similar wants and needs – Make products, goods, and services for these customers – Aim all advertising and marketing efforts at these customers

6. Importance of target marketing Provides a group of potential or existing customers with which to communicate – Who is buying? – What do they buy? – Why do they buy? Match the good or service with customer needs – Easier to satisfy specific needs More effective to promote to those that can and will purchase the product

7. Target Marketing?

9. Marketing Terms Market Segmentation – dividing the entire market into smaller groups that share common characteristics – What?... Creates a target market – Why?... Not all consumers are alike Different wants, needs, and reasons for buying – Focus products and marketing to a specific group

10. Marketing Terms Marketing Segments – groups of unique individuals that share common characteristics People Who Play Video Games Yellow: All video games Blue: Sports Games Red: Role Playing Games Green: Military Games

11. Types of Market Segmentation Demographic – Based on consumer statistics and characteristics Geographic – Based on where the consumers live Psychographic – Based on what consumers do and like Behavioral – Based on why consumers buy a product

12. Demographic Market Segmentation Age Generation – Baby-boomers (‘46 – ’64) – X (‘65 – ’76) – Y (‘77 – ’93) – Z (‘94 – ’04) techies Gender Family size Family life cycle Income – Disposable & Discretionary Occupation Education Ethnicity Nationality Religion Social Class

13. Demographic Examples

14. Geographic Market Segmentation Region: by continent, country, state, city, neighborhood or street Size of metropolitan area: segmented according to size of population Population density: often classified as urban, suburban or rural Climate: according to weather patterns common to certain geographic regions

15. Geographic Examples

16. Psychographic Market Segmentation Activities Interests Opinions Attitudes Values Lifestyles What a person likes to do. Ex: Buying golf clubs because you enjoy playing golf

17. Psychographic Examples

18. Behavioral Market Segmentation Based on consumer behavior towards a product Benefits sought http://www.youtube.com/watch?v=trUrPbSKEZE http://www.youtube.com/watch?v=trUrPbSKEZE – What will the product do for me? Usage Rate – How often do they purchase? Brand Loyalty User status – Potential, first-time, or regular buyer Readiness to buy http://www.youtube.com/watch?v=3Wwo7PjI9aU http://www.youtube.com/watch?v=3Wwo7PjI9aU – Have to have it now! Special Occasions http://www.youtube.com/watch?v=vRlerzla1CY http://www.youtube.com/watch?v=vRlerzla1CY – Holidays, birthdays & other events that stimulate purchases

19. Behavioral Examples

20. Niche Marketing Marketing directed towards a small underserved group – Can have great results Examples: Fisker Karma Hybrid Supercar Lefties Only The Specialty Shop for Left-Handed Golfers and baseball players. http://www.youtube.com/watch?v=6RvyFFjP7RE