© SOUTH-WESTERN/THOMSON SPORTS AND ENTERTAINMENT MARKETING CHAPTER 2SLIDE 1 CHAPTER 2 CHAPTER 2...

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CHAPTER 2 SLIDE 1 © SOUTH-WESTERN/THOMSON SPORTS AND ENTERTAINMENT MARKETING SPORTS AND ENTERTAINMENT MARKETING CHAPTER CHAPTER 2 2 Marketing Basics 2.1 2.1 Marketing College Athletics 2.2 2.2 Economic Impact of College Athletics 2.3 2.3 Amateur Sports

Transcript of © SOUTH-WESTERN/THOMSON SPORTS AND ENTERTAINMENT MARKETING CHAPTER 2SLIDE 1 CHAPTER 2 CHAPTER 2...

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CHAPTER 2 SLIDE 1 © SOUTH-WESTERN/THOMSON

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CHAPTERCHAPTER 22Marketing Basics

2.12.1 Marketing College Athletics

2.22.2 Economic Impact of College Athletics

2.32.3 Amateur Sports

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CHAPTER 2 SLIDE 2 © SOUTH-WESTERN/THOMSON

SPORTS AND ENTERTAINMENT MARKETINGSPORTS AND ENTERTAINMENT MARKETINGLESSON 2.1LESSON 2.1

Marketing College Athletics

GOALSGOALSExplain the importance of the NCAA

and team rankings to college sports.Define market segmentation.Discuss the growing market

surrounding women’s college athletics.

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Effects of Collegiate Sports

A winning team has economic implications for school, community, region, and state

Fan expectationPromotion of organization’s goods and

services

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Rules and Rankings

National Collegiate Athletic Association (NCAA)—the governing body of most college and university athletic programs

Creates and enforces guidelines and rules

NCAA Corporate Partners

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Stated Purpose of NCAA

Core PurposeOur purpose is to govern competition in a

fair, safe, equitable and sportsmanlike manner, and to integrate intercollegiate athletics into higher education so that the educational experience of the student-athlete is paramount.

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Point to Ponder

Is the Bowl Championship Series Fair? Is it a good way of determining the National Champion in Football?

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BCS Specifics Among the new policies instituted for 2006

will be these: 1. There will be five BCS games, rather than four.

So ten teams will participate in the BCS, rather than eight. The fifth game will be new BCS National Championship Game, to be in Glendale, Arizona.

2. The Fiesta Bowl committee will host two BCS games: the traditional Fiesta Bowl on January 1, and the BCS National Championship Game on January 8.

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BCS Specifics-continued

3. The Fiesta Bowl will move from its longtime home at Arizona State University's Sun Devil Stadium to the new stadium in Glendale. The Sugar Bowl will return home to New Orleans.

4. In addition to the champions of the six conferences that have annual automatic access, one other conference champion will earn an automatic BCS bid if (1) it finishes in the top 12 in the BCS standings or if (2) it is finishes in the top 16 in the BCS standings and its ranking is higher than that of a conference champion that has an annual automatic berth. Previously, such a champion was eligible if it finished in the top six.

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BCS Specifics-concluded

5. Notre Dame will automatically qualify for a BCS berth if it finishes in the top eight in the BCS standings. Previously, Notre Dame qualified if it (1) finished in the top six or (2) either finished in the top ten or won nine or more games and a team from Conference USA, the Mid-American Conference, the Mountain West Conference, the Sun Belt Conference or the Western Athletic Conference finished in the top six of the BCS standings.

6. A team is eligible to be considered for an at-large berth in the BCS if it has won at least nine regular-season games and finishes in the top 14 in the final BCS standings. Previously, teams finishing in the top 12 were eligible.

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Another Point to Ponder

Is the NCAA Basketball Tournament Fair with 64 teams? Is the selection method fair?

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Four Conditions to Join NCAA

Obtains acceditation by the recognized accrediting agency of its region.

Offers at least four intercollegiate sports for men and four for women (one in each of the three traditional seasons).

Complies with all NCAA rules Cooperates with the NCAA enforcement

program and accepts penalties imposed by that program.

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College Team Rankings

Why so much emphasis?#1 has lingering effects

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Intermission

What is the purpose of the NCAA? Why is a number one ranking lucrative?

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Market Segmentation

Market segment—a group of individuals within a larger market that share one or more characteristics

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Five Elements of Market Segmentation

Geographic segmentationDemographic segmentationPsychographicsProduct usageBenefits derived

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Intermission

What is Market Segmentation? Give a college sports example to each element of the market segmentation.

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Women’s College Sports

NCAAWomen’s Enhancement ProgramIncreased fan supportMarketing opportunities in women’s

sports

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What is Title IX?

Title IX, the law protecting against discrimination based on sex, states: "No person in the United States shall, on

the basis of sex, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance."

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Three Part Test – Title IX

"[T]he Department [of Education] established a three-part test that OCR will apply to determine whether an institution is effectively accommodating student athletic interests and abilities. An institution is in compliance with the three-part test if it has met any one of the following three parts of the test:

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Three Part Test – Title IX (1) the percent of male and female athletes is

substantially proportionate to the percent of male and female students enrolled at the school; or

(2) the school has a history and continuing practice of expanding participation opportunities for the underrepresented sex; or

(3) the school is fully and effectively accommodating the interests and abilities of the underrepresented sex."

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CHAPTER 2 SLIDE 21 © SOUTH-WESTERN/THOMSON

SPORTS AND ENTERTAINMENT MARKETINGSPORTS AND ENTERTAINMENT MARKETINGLESSON 2.2LESSON 2.2

Economic Impact of College Athletics

GOALSGOALSUnderstand the benefits of college

sports to the home community.Identify benefits of sponsorship and

licensing to a team.Explain the reasons for realignment of

college conferences.

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Benefits to the Community

Good for town businessHotelsRestaurantsRetailers

Good for stadium businessFood/restaurantsGift shops

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Sponsorships and Licensing

SponsorshipsGenerating revenueName-brand apparelCreate goodwill

LicensingLicense—the legal right to reproduce a

team’s logo in exchange for paymentProtect the use of the name and symbolsIdentify and associate logos

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Conference Realignment

Conference—a group of college athletic teams within the same region

Increase revenuesCreate new rivalriesPlayoff games generate additional

revenue

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LESSON 2.3LESSON 2.3

Amateur Sports

GOALSGOALSDiscuss marketing and sponsoring of

amateur sports.Understand the economic benefits of

amateur sports.

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Popularity of Amateur Sports

Amateur athlete—someone who does not get paid but plays for enjoyment, challenge, or both

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Marketing and Sponsoring Amateur Sports

Provides significant income for manufacturers

Minivan and sport utility vehicleRetro sports jerseys

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Local Promotion of Amateur Sports

Fund-raising charity eventsHigh school athletic teams

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National Promotion of Amateur Sports

Promotion used to elevate the attention of consumers

Lance Armstrong and Subaru

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Economic Benefits

Minnesota’s exampleMinnesota Amateur Sports CommissionCreate economic development through

amateur sportsCreate maximum opportunity for sport

participationEstablish Minnesota as a national model for

the Olympic and amateur sport movement

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Economic Benefits of Specific Sports

Ice skatingSoccerBasketballBaseball and softball

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Intermission

What kinds of products might be advertised during ice skating and soccer events?

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Think Critically

List three amateur sports, the target markets for those sports, and marketing strategies for each sports.

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Think Critically

Many families spend hours on weekends watching children play soccer. During the 1996 presidential election year, the phrase “soccer moms” became commonly used in political conversations. What do you think this phrase means? Why would someone running for political office pay attention?