Welcome To Sports & Entertainment Marketing Chapter 8!

1. Welcome To Sports & Entertainment Marketing Chapter 8! La June R. Justin D. Obed M.

2. Winning Strategies: Chapter 8 • 1) Why might Aware Records want to remain an independent label rather than associating fully with a larger company?Because for some upcoming bands indie labels are more appealing and less of a commitment when signed.2) Why do you think Aware records grew so quickly?Well, not only being associated with one of the largest major labels but also because they used grassroots promotion strategies and found other interesting ways of promoting artists. 3) What can Aware Records do to continue growth?Keep using their marketing/promotion strategies and maybe take more risks with signing artist. Like signing a particular artist they wouldn’t normally sign.

3. Vocabulary • Section 1 1) Wide Release – movie released in more than 2000 theaters at one time. 2) Preview – release of a movie the evening before its official opening. 3) Matinees – pre-evening shows 4) Low-budget movies – movies costing less than $250,000 to produce and have low advertising budgets. Section 2 5) MOU – a written agreement that contains voluntary technical standards. 6) Broadcast webs – groups of television networks, production studios, and related entertainment firms that produce shows inhouse for their groups. 7) Vertical integration – one company controls several different areas of the same industry. 8) Trailers – advertisements for movies and for related music and merchandise. 9) Point of purchase displays – are set up next to checkout areas and are an effective promotion tool. Section 310)Pre Sales – before tickets are available to the general public.

4. Intermission • 1. Name three ways in which movie studios can make money. · Joining forces with rival studios to split production and marketing costs. · Seek out partnership with rival studios to help produce, promote and distribute films. · Share box-office ticket sales and other income sources. 2. In addition to ticket sales, how can film studios generate a profit in the United States? International release of movies. 3. In what ways is the sponsorship of stock car racing different than that of other entertainment? Why would a food company sponsor a race car? Racing Groups use two primary ways of securing the financing for their expensive form of entertainment: · Mutual fund · Variation on the traditional sponsorship style.

5. Intermission Cont. • 4. What are three sources of home entertainment distribution? · Cable · Satellite · Internet 5. Describe several ways that movies are marketed. · Catching the costumer’s attention with trailers. · Use point-of-purchase (POP) displays; These are set up next to the check out area to get the costumers attention and they are an effective promotional tool. 6. Discuss two changes that have occurred in music marketing over the past five years. · Digital music through TV’s. Both cable and satellite. · Radio · Music can now downloaded instead of having to buy CD’s

6. Intermission Cont. • 7. What are some ways of distributing music? · Concerts. · MP3 players . 8. Describe ways that fine arts are promoted. Catching customer’s attention. For example: Cruising through Broadway after dark. 9. What are the four major entertainment awards? Why are entertainment awards important? · The Oscars. · The Grammys. · The Emmys. · The Tonys. Recognition by one’s peers is a high level of honor in any industry. Recognition also brings money, current acclaim, increase potential for future success, and publicity.

7. Intermission Cont. • 10. What is the difference between a trade show and a seasonal or theme event? Trade shows focus on related business, and seasonal or Theme Events are centered on geographic events. 11. What do you need to do to prepare for a job? You should do research on the job you want so you can be prepared. 12. What are the top skills needed in marketing careers? How can you learn and refine these skills? · Math · Communication · Interpersonal skills You can learn and refine these skills by practicing.

8. Chapter 8 Review: • 1) Trailers are advertisements that accompany video or movies shown in theaters. • 2) A wide release is a movie released in more than 2,000 theaters at one time. • 3) Pre-sales are sales that take place before general ticket sales. • 4) Previews are the release of a movie the evening before its official opening. • 5) MOU is a written agreement that contains voluntary technical standards. • 6) Vertical integration is a business structure in which one company controls several different areas of the same industry.

9. Ch. 8 Review Cont. • 7) Film revenue includes income froma) Ticket sales in the United Sates.b) Merchandising and global releases.c) Soundtracks and relationships to theme parks.d) All of these. • 8) Sponsorship of stock car racing is different from that of other entertainment and sports becausea) Stock car racers have only one sponsor.b) Tobacco sponsorship is prohibited.c) Racing fans tend to buy products from the stock car sponsors.d) None of these. • 9) Changes that have occurred in the music industry includesa) Digital music.b) Satellite radio.c) Online concert ticket pre-sales.d) All of these.

10. Ch. 8 Review Cont. • 10) Name three potential sources of income for movie studios. Why do you think a movie should be released directly into the home video market and not be shown in theaters?I think it would cost less to release a movie into the home video market. But renting a movie or buying one cost about the same. But overall it would cost less. • 11) Some movie theaters now run ads for local businesses before a movie starts? Would you advertise this way if you owned a business? Why or why not?I know a lot of people arrive to the movie theater early to see previews, so that’s any easy and effective way to advertise. • 12) Parents in every generation are shocked by the music of their children. What might your parents find shocking about your favorite music? Prepare a one page promotional advertisement that will persuade your parents that your music has a value and make them want to buy the music.I think what my parents might find shocking about my music would be that it actually has a lot of depth and realness to it. They might think it’s a bunch of crap, but the lyrical content of it is amazing. They don’t sing just about anything like some artist today do to make a profit, it comes from the heart.

11. Ch. 8 Review Cont. Make Connections: • Communication: Describe what you think are the most important changes taking place in the early twenty-first century in movie marketing. Cite at least two sources of information.The most important changes that are being made today is that they are spending more money trying to promote their movies to the right audience. The spending more money may throw people off but the movie industry, I think, is being real careful in choosing how to market their products. (movies) • Marketing Math: A local band with 5 members has the following expenses: renting a recording studio for $2,400; release of a song over a web site for $5,000; duplication and packaging of a CD at $50,000 for 20,000 copies; advertising and distribution cost of $62,000; agent and songwriter fees of 10% of all gross sales. If the CD sales for $15 per copy, how many copies will need to be sold in order to earn $10,000 for each band member?12,800