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Marketing of Sports activities

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Page 1: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing of Sports activities

Page 2: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing

• Marketing is your business seen from the point of view of the stakeholder.

Page 3: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

What is Sports Marketing

• Using sports to sell goods and services

• Sports content assisting marketing efforts

• The objective of any sports organisation is to know

how to win clients and keep them!

Page 4: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing Sports Activities

“ Communicating the value of an entity’s sports products and services to a target market in order to create a top of the mind position and sustainable profitable demand”

Page 5: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Key Words

• Products/Services

• Communicate

• Target market

• Demand

• Position

• Profit

Page 6: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

What can be Marketed?

• Courses• Events – Awards, competitions, seminars, Exhibitions• Athletes• Facilities• Symbols and marks• Merchandise• Teams• Programmes – HP, Sport for All

Page 7: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Sport Organisation Analysis

• SWOT analysis?

• How are we different?

• How are we perceived by our competitors?

• How are we perceived by existing

customers/stakeholders and prospects?

Page 8: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Stakeholder Analysis

• Who are they?

• Who are the most important?

• What do they want?

• Why do they buy or get involved?

• When do they buy or get involved?

• How do they buy or get involved?

Page 9: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Africa – Self Check

• Is sport in Africa marketable?

• Do Confederations understand the value of their

brands?

• What Business are we in?

• Who are our stakeholders?

• Who are our competitors?

Page 10: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Current State of Sport

• Undefined products and services

• Poor event hosting and management

• Lack of research and trend setting

• Export of raw talent, services and opportunities

• Huge sums of money paid to external consultants

• Confusing donations for sponsorship

Page 11: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Impact To Sport in Africa

• Migration of athletes, coaches abroad

• Export of employment, raw talent and opportunities

• Undervalued products – EPL worth 7Billion Pounds.

Zim PSL $2million in 5 years

• Top athletes shunning Continental events

• Club versus country dilemma

Page 12: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Servicing - THE differentiating factor!

• Quick stakeholder/supplier relationships

• Clear and added-value advises

• High quality delivery

• Ecological and sustainable products

• Customized service

• Anticipate stakeholder needs

Page 13: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Changing The Game Plan

• Now business as “Unusual”

• Value addition and beneficiation

• Think global! Act local

Page 14: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

The Game Changer!

• Commodities or products?

• What is Africa marketing?

Page 15: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Product Vs Market

PRODUCT DEFINITION MARKET DEFINITIONRailroad logistics Moving people and

Copy machines

goods

Petrol manufacturing

Office productivity

Film production

Energy supplier

Encyclopaedias

Dream machine

Air conditionersDistributing knowledge

Climate control

Page 16: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing Sports – Today and Future

• Understand the environment in the playing field

• Embrace digital era

Page 17: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Modes of Communicating Products

• DIGITAL – Mobile gadgets, internet protocols, blogs, streaming, TV broadcasting, Sports Apps

• TRADITIONAL – TV, Radio, print, brochures, magazines, outdoor advertisement, top of the line and below the line marketing.

• SOCIAL MEDIA – Twitter, Instagram, Linkedin

Page 18: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Characteristics of Sports Events

• Unique/different – Same DNA different fingerprints

• Unpredictable

• Perishable

• Captive

• Appealing

• Evoke emotions

Page 19: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Threat Analysis

• New entrants – Cricket 20/20• Substitutes – Computer games• Bargaining power of suppliers – facilities owners, sports

equipment and apparel suppliers, broadcasters, technical officials, event organisers

• Bargaining power of customers – Athletes, coaches, governments, spectators (netball, rugby), consultants

• Threat of rivals – other sports codes, music, churches, arts, fashion

Page 20: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing Strategy

Market penetration Promotions Give aways

Product development Packaging Branding Improvements

Marketdevelopment/Expansion/Extension- Road shows etc

Product Diversification

Existing Product New Product

Existing Market

New Market

Page 21: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Expanded Marketing Mix Vs Segments

Product

Price

Promotion

Place

People

Physical environment

Processes

Mark

Page 22: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing Sport Activities

• Segmentation – profitable, accessible, sustainable,

significant

• Targeting – shortgun versus Pistol

• Position – if you don’t position yourself, the market

will do it for you

Page 23: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Segments and products in Sport

• Youth sport – young people e.g. Youth Olympics• Professional players – Premier league, NBA• Women – Women world Cup• Schools – Cadet programme• University students – FISU• Uniformed forces – Millitary Games• Street kids – Homeless World cup• Senior citizens – Sport for all

Page 24: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Target

• Children (ethics?)• Women• University students• TV audience• Working class• Sponsors• Active mature• Media

Page 25: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Position

• Athlete centred, coach led

• Safety first

• Premier service

• A leading home of innovation and excellence

• We fly for you

Page 26: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Marketing Mix: the 4 Ps

• Product: Variety, design, features, brand name, packaging, sizes, services, warranties, returns

• Price: Pricelist, discounts, allowances, payment period, credit terms

• Promotion: Sales promotion, advertising, sales force, public relations, direct marketing, on-line one-to-one

• Place: Coverage, distribution channels, assortment, locations, inventory, transport

Page 27: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Expanded Marketing Mix -Services

Product

Promotion

Place

Processes

Price

Physicalenvironment

People

Page 28: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Product

• Quality (should we celebrate mediocrity?)

• Duration/time

• Ambience

• Utility/use

Page 29: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Place

• How do spectators access? Transport

• Safety/security

• Ambience

• Convenience – time of day

• Who distributes sales – tickets etc

Page 30: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Price

• Cost of attending – tickets, bus fares, meals• Cost to health and risk of life• Convenience• Credibility• Discounts• Allowances• Payment period• Credit terms

Page 31: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Promotions

• Loyalty programmes

• Advertising

• Give-aways

• Online, one-on-one

• Sponsorship

• Media

• MessagesReduce noise – disruptions, divergence etc

Page 32: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

People

• Coaches, administrators, athletes, support staff,

volunteers, experts, spectators, vendors, agents

• Training, induction, orientation, career development

• Customer management technology – caring for

sponsors, athletes, coaches, spectators, volunteers

• Knowlwedge transfer and knowledge banks

Page 33: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Processes

• Technology – results management, stakeholder communication,

publicity, competition management, Doping tests

• Systems – LTAD, LTCD, HP, communication, succession

planning, conflict management

• Policies – selecting awards winners, which sports codes to

include on the Games programme, coach appointment, bidding

process, Doping results management

Page 34: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Physical Environment

• Ambience

• Branding

• Signage

• Colour coding

• Hygiene and cleanliness

Page 35: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

Where to from here?

• Marketing is no longer an art

• Marketing is no longer a science

• Its now a game changer!

• Its now a way of life!

• Its now “Business as unusual”

Page 36: Marketing of Sports activities · 2015. 10. 18. · Threat Analysis •New entrants – Cricket 20/20 •Substitutes – Computer games •Bargaining power of suppliers – facilities

“Doing things the same way over and over and expecting a different result is lunacy”