Sports & Entertainment Marketing

1. Sports & Entertainment Marketing Section 4.1 http://www.fritolay.com/

2. Goals • Explain the central focus of the marketing concept. • Explain the reasons for increased sports and entertainment options. • Terms • Marketing concept • Productivity • Breakeven point • Opportunity cost

3. The Marketing Concept • You participate in the marketing process as a consumer of goods and services • About half of every $ you spend pays for marketing costs: • Product development • Packaging • Advertising • Sales expenses • The mostimportant aspect of marketing is satisfying customer needs. • Marketing Concept –the process of satisfying customer needs • http://www.hersheys.com/

4. Maintain Relationships • The marketing concept requires maintenance of important relationships with customers • Listening to customers, monitoring latest consumer trends, learn about customers and their needs, each customer is unique • Customer satisfaction is the bottom line for maintaining successful marketing relationships • Price, quality, service, and pleasure gained are factors that influence customer satisfaction, lots of competition makes this important

5. Increased Sports and Entertainment Options • The increased standard of living in the U.S. has resulted in more discretionary income for consumers • Marketing strategies must include monitoring the competition and consumer trends and making improvements that meet the latest customer demands • Why do you remain loyal to your favorite retailers and restaurants?

6. Customer Focus • Productivity -the rate at which companies produce goods or services in relation to the amount of materials and number of employees utilized • Increased competition has forced business’s focus beyond productivity to establishing satisfying relationships with customers

7. Customer Focus • The ultimate result of not having a customer focus is a failed business • Prospective customers must be offered the appropriate marketing mix-product, price, promotion, and location

8. Weekend Entertainment Choices • The organizers of weekend events realize the intense competition for consumer dollars and develop promotional strategies to catch the attention and increase attendance of consumers • Breakeven point -the minimum attendance and sales required to cover all of the expenses of organizing, promoting, and running the event.

9. Weekend Entertainment Choices • Revenues earned beyond the breakeven point are the profits • Restaurants, hotels, motels, and service stations all have a vested interest in events hosted in their communities • How can a small community market itself to attract development and new residents? • Jessica Dorn –Chamber of Commerce Director will be here to tell us about this

10. Opportunity Cost • Opportunity cost -the value of the next best alternative that you forgo when making a choice • Go to a car race instead of the music concert, the music concert is the opportunity cost • An increasing number of Americans are opting to stay at home during their free time due to rising fuel costs, traffic jams, and limited time to relax (staycations)