Sport Marketing CHAPTER 12 •Ketra L. Armstrong, Patrick Walsh, and Windy Dees Introduction •Marketing is a complex function •Sport marketing defined •Unique characteristics of sport •Demands unique approach to marketing •Provides marketers with challenges and opportunities Unique Characteristics of Sport •Aspects of sport are intangible. •Sport involves emotions. •Sport is subjective and heterogeneous. •Sport is generally socially consumed. •Sport experiences are inconsistent and unpredictable. •Sport is perishable. Developing a Sport Marketing Plan •Marketing plans •Marketing mix (four Ps) •Product •Price •Place •Promotion Four Ps •Central to the sport marketing plan. •Manipulated by sport marketers’ strategic and tactical plans. •Integrated with other elements for optimal success Process for Developing a Sport Marketing Plan: Steps 1 and 2 •Identify the purpose of the sport marketing plan. •Analyze the sport product. •Dynamic and complex nature of the sport product •Dimensions of the sport product •Core product •Product extensions Process for Developing a Sport Marketing Plan: Step 3 •Analyze market conditions. •Influence of market conditions •Assessing the sport climate: examining internal and external factors SWOT Analysis •Assessing internal strengths and weaknesses •Assessing external opportunities and threats •Marketing plans should •Maximize strengths and opportunities •Minimize weaknesses and threats •SWOT Analysis of Women’s Professional Basketball Process for Developing a Sport Marketing Plan: Step 4 •Position the sport product. •Differentiating the product from competing products •Creating a distinctive image of the product •Elements of effective communication practices •Using honest and inoffensive communication Branding •Using a name, design, or symbol to differentiate a sport product •Brand awareness •Brand image •Brand equity •Brand loyalty Process for Developing a Sport Marketing Plan: Step 5 •Segment and target consumer groups. •Analyzing and targeting consumers: grouping and selecting the right consumers •Market segmentation •Used to identify target audiences •Segmenting consumers into five areas: demographics, geographics, psychographics, product benefits, and purchasing behavior Process for Developing a Sport Marketing Plan: Step 6 •Package the sport product. •Presenting the product in the best possible manner •Packaging •Tangible sport product, core product, product extensions •Licensed merchandise and sport sponsorship Process for Developing a Sport Marketing Plan: Step 7 •Price the sport product. •Price is the most visible and flexible element •Determining the value of the product •Factors to consider when developing pricing strategy •Unique aspects and complexity of sport pricing •Four factors to be consider in pricing •Consumer •Competitor •Company •Climate Process for Developing a Sport Marketing Plan: Step 8 •Promote the sport product. •Communicating the desired image (see Renaming the Washington Bullets) •Educating and informing target audiences •Persuading target audiences to purchase Elements of Promotion Strategy •Advertising •Publicity •Sales promotions •Public relations (continued) Elements of Promotion Strategy (continued) •Community relations •Media relations •Personal selling •Sponsorship Process for Developing a Sport Marketing Plan: Step 9 •Distribute the sport product. •Product location •Distribution point of origin •Geographic location of target markets •Other channels Process for Developing a Sport Marketing Plan: Step 10 •Evaluate the sport marketing plan. •Evaluating the extent to which the marketing plan met its objectives to help achieve the sport organization’s mission •Obtaining and analyzing feedback from internal and external sources Market Research •Information needed to develop a marketing plan •The product •Targeted consumers •Social, cultural, and economic trends •Direct and indirect competitors Table 12.1 Practical Application •Technology, social media, and sport marketing •Critical thinking in sport marketing •Infusion of hip-hop nuances into marketing plans •Ethics in sport marketing •Communicating honesty in images and integrity in messages •Increasing consumer diversity •Effects of technology on sport marketing practices Review Questions •Identify the elements of a SWOT and discuss how they may inform marketing plans? •What are the methods used to segment a market to identify viable target audiences for a sport product? •What are some things to consider when pricing sport?