3.1 industry segments 3.2 special marketing tools 3.3 destinations: travel and tourism 3.4 worldwide...

3.1 Industry Segments 3.1 Industry Segments 3.2 Special Marketing Tools 3.2 Special Marketing Tools 3.3 Destinations: Travel and 3.3 Destinations: Travel and

TourismTourism3.4 Worldwide Sports and 3.4 Worldwide Sports and

Entertainment EventsEntertainment Events

3

while a high school student, began a broadcasting career

at 19, she was the youngest person and the first African-American woman to anchor the news at Nashville’s WTVF-TV

in 1986, The Oprah Winfrey show entered national syndication

with the launching of Harpo studios, she became the third woman in U.S. history to own her own studio

provides generous funding and leadership to educational support programs – both within the U.S. and in South Africa

Chapter 3Slide

2

Oprah Winfrey

Why is Oprah Winfrey such a successful celebrity talk show host?

Why is it important for celebrities to become actively involved in worthwhile community service projects?

Chapter 3Slide

3

industry• a group of organizations involved in

producing or handling the same product or type of service

industry subdivisions• subsets of an industry

Example Radio Stations Rock Country Top-40 Hip-Hop

Chapter 3Slide

4

Hotels• Full Service• Limited service• Economy• Extended stay

Sports Camps• What are some examples?

Chapter 3Slide

5

industry standards• the guidelines and goals set for different entertainment

industries• For examples the standards a customer expects from a 3-

star hotel (room service, pool, clean, etc.) industry norm

• the average expectation within an industry• Example could be the cost of the hotel

Chapter 3Slide

6

Marketing decisions are based on upon industry standards, norms, and trends.

Chapter 3Slide

7

U.S. Sports Camps manages the marketing and administration of sports camps throughout the country.• coaches hire their own staff• website generated $1.4 million in online

sales in one year• Nike sponsors many camps

provides apparel to staff and campers

Chapter 3Slide

8

ISP Sports Marketing• a leader in collegiate sports marketing• has over 500 radio and 100 television outlets• the country’s largest and fastest growing

multimedia company• Work with 27 of the US leading universities• Gives them opportunities for official

university publications, radio, TV, Internet, game/event promotions, stadium/arena signage.

Chapter 3Slide

9

perpetually seeks programming that will yield higher viewer ratings

reality shows are less expensive to produce than traditional shows• Jay Leno Example

continually seeking new ways to reach viewers• Internet• video iPods• on-demand cable

Chapter 3Slide 10

The concert industry is undergoing a change.• mass appeal artists are diminishing

Beatles, Rolling Stones, Bruce Springsteen, etc.• Rolling Stones had the 2 largest concerts in

the US between 2001 and 2004. Each grossing more than $100 million

• live concerts seem less important to the post baby boomer generation

• audiences will probably be smaller and more fragmented in the future

Chapter 3Slide 11

State and county fairs have made many changes to stay competitive.• increased use of technology

online advertising ticket sales premium books news releases

• expanded schedules• corporate sponsorships U.S Cellular paid

$1 Million for Wisconsin State Fair. Why would they sponsor a fair?

Chapter 3Slide 12

Chapter 3 Slide 13

Goals Explain how a sports figure can be

successful in the motivational lecture circuit and the publishing industry.

Explain the purpose of and promotion methods used for sports camps and clinics.

Chapter 3Slide 14

Professional athletes cannot plan on a lifelong career.

Many people enjoy listening to and reading what famous individuals have to say.

Chapter 3Slide 15

Successful speakers have• a message that is interesting repeatedly• well written speeches• excellent communication skills• strong promotional campaigns• an agent

Chapter 3Slide 16

All American Speakers Bureau• speakers receive between $5,000 and

$50,000 for an individual speech

Chapter 3Slide 17

When an athlete’s story has a broad appeal, more people are likely to buy their book.

ghostwriter• a writer who takes someone’s experiences

and ideas and commits them to paper on behalf of that person

Chapter 3Slide 18

• a percent of the sale price of each book that is paid to the author

literary agent• plans the marketing and promotional

campaign for an author• compensation is a percent of book sales

Chapter 3Slide 19

royalty

Every year parents make sizable expenditures to send their children to sports camps and clinics.

Chapter 3Slide 20

Generally, a sports camp sponsor can expect the following• a positive public relations campaign• visibility and recognition of sponsorship

Chapter 3Slide 21

sponsor marketing materials on display at camp

potential product sales at camp

Chapter 3Slide 22

advertising space in the camp’s publications

Parents need to carefully read camp literature to ensure that what the camp provides meets the family’s expectations.

Chapter 3Slide 23

Chapter 3Slide 24

The location of the camp should be considered to ensure it meets the needs of the family.

clinics• single skill focus• shorter duration• limited enrollment• help capture a larger fan base for the sport

Chapter 3Slide 25

local news coverage in a variety of media product giveaways interviews and photos a community appearance by a camp

celebrity

Chapter 3Slide 26

• parent surveys• mailing list of prior attendees• alumni incentives• alumni networking for potential new

campers

Chapter 3Slide 27

follow-up materials are critical for future sessions of camp

Well researched and thoughtfully planned marketing will yield the most effective results.

Chapter 3Slide 28

• short ad lead-times• inexpensive• large non-targeted audience

magazines and e-zines• longer ad lead-times• higher ad rates• targeted audience

Chapter 3Slide 29

newspapers

• Although direct mail is the most expensive advertising method, if it is sent to a well-researched group of consumers, it can be the most effective method.

Chapter 3Slide 30

mailings and brochures

Chapter 3 Slide 31

Goals Explain the role of travel and tourism

in sports and entertainment. Discuss the roles of resorts and

theme parks.

Chapter 3Slide 32

The travel industry is the world’s largest industry.

tourism• traveling for pleasure

Chapter 3Slide 33

travel trade• companies and individuals who create and

market tours direct economic impact

• total of new spending resulting from the event or attraction

indirect economic impact• multiplier effect

the portion of the money spent locally by visitors that is in turn spent by local residents

Chapter 3Slide 34

niche travel• travel planned around a special interest

Chapter 3Slide 35

ecotourism• responsible travel to natural areas that

conserves the environment and sustains the well being of the local people

Chapter 3Slide 36

• enjoying while simultaneously preserving natural environments so that they may also be enjoyed in the future

Chapter 3Slide 37

sustainable tourism

Attracting visitors is critical to keeping a hall of fame alive.• Word of mouth is the most effective

promotion for a hall of fame.

Chapter 3Slide 38

• additional entertainment sources are located nearby

Chapter 3Slide 39

Some hall of fames offer a complete destination.

theme parks• family-oriented destinations

resorts• aimed at adults

Chapter 3Slide 40

Orlando, Florida has 95 attractions and hosts about 50 million visitors annually.

Disney tries to be a comprehensive provider of all the products and services a visitor may require during their stay.

Chapter 3Slide 41

Why might a theme park add restaurants and lodging to the site?

Chapter 3Slide 42

Goals Describe the international role of

sports and entertainment marketing.

Discuss the challenges of international marketing.

Chapter 3Slide 43

joint venture infrastructure globalization piracy

Chapter 3Slide 44

Sports and entertainment is a worldwide industry.

Chapter 3Slide 45

India continues to transition from a third-world economy to one of the fastest growing economies in the world.

Increased wealth of the population allows for greater consumption of sports and entertainment.

Chapter 3Slide 46

China has:• over one billion potential consumers• an annual economic growth rate of more than

10 percent• unsuccessful foreign-operated attractions• a glut of amusement parks

Many parks have failed due to poor marketing and planning and due to excess competition.

Chapter 3Slide 47

Disney is the worldwide leader in the theme park industry.

joint venture• when two groups (including businesses and

governments) share the costs and profits of a business

infrastructure• water, sewer, roadways, and all other

underlying framework

Chapter 3Slide 48

Why is the number of theme parks growing in China and India?

Chapter 3Slide 49

globalization• international economic relationships

Chapter 3Slide 50

Soccer is a dream event for international marketing.

The World Cup is held every four years.

Chapter 3Slide 51

The World Cup provides valuable promotional opportunities.• $1.5 billion in sales for Nike and for Adidas-

Salomon• introducing the “Bud” brand name in Germany

Chapter 3Slide 52

Current world sports has much to do with political history of the last 50 years.

After World War II, the Japanese became quite interested in baseball.

In 2006, the World Baseball Classic was held.• $50 million to produce• $15 million profit

Chapter 3Slide 53

The 2006 formation of Warner-SK Telecom dramatically changed the way consumers buy, store, and listen to music.

Chapter 3Slide 54

• theft of copyrighted material

Chapter 3Slide 55

piracy

Why might cell phones be called “the heart” of the future of music?

Chapter 3Slide 56

Communicate an appropriate marketing plan for increasing family business at Six Flags.

Develop appropriate promotions for all age groups.

Demonstrate critical thinking and problem-solving skills.

Chapter 3Slide 57

Develop strategies to overcome Six Flags’ competition.

Prepare appropriate strategies that are sensitive to the economic conditions.

Demonstrate an understanding of marketing-information management.

Chapter 3Slide 58

Sell the promotional plan to the representative from Six Flags.

1. Why is it difficult to attract visitors to amusement parks?

2. Why must an amusement park constantly update its attractions and rides?

3. Give examples of special events that could take place at Six Flags for major holidays such as Fourth of July, Labor Day, Thanksgiving, and Christmas.

Chapter 3Slide 59