Technology – Future Trends

1. Technology – Future Trends April 24th, 2007

2. Class Reminders WebCT: being graded This week: technology advancements in sport and fitness Final Exam: Tues - May 1st, 2:45 to 4:45 pm Contact me if you have questions

3. Technology How is technology impacting your profession? - in terms of equipment? - in terms of facilities? - in terms of data management? - in terms of officiating? - in terms of broadcasting? - in terms of game/event management? - in terms of security? - in other areas?

4. Electronic Media “sport marketers must be able to place their product in the right medium at the right time to reach the right audience” (Mullin, p. 303) Key Questions For Media Success: • Who are we trying to reach? – what groups? • How can we best reach them? – what media?

5. Sport Consumption in 2006 (SBJ) Sport Movie? Internet’s Most Searched Athlete? Sports Websites? Top Sport Video Game? Top Watched Network Sportscast?

6. Sport Consumption in 2006 Sport Movie? - Cars, Talladega Nights, Invincible Internet’s Most Searched Athlete? - Ronaldinho, Maria Sharapova, Christiano Ronaldo, David Beckham, Anna Kournikova Sports Websites? - ESPN, Yahoo! Sports, Fox Sports on MSN Top Sport Video Game? • Madden NFL ’07, NCAA Football ’07, Fight Night Round 3 Top Watched Network Sportscast? - Super Bowl, 2006 Rose Bowl, Winter Olympics

7. 3 MAIN TYPES OF ELECTRONIC MEDIA? • Radio (Oldest) • Internet (Newest) • Television (still the most dominant in terms of market penetration and audience impact) • Satellite 5. Cellular - Mobile Technology

8. Sport and Television “the growth of today’s sport industry has been driven by television exposure” “televised games create new fans, increase interest among existing fans, and serve as powerful promotional and marketing tools” “teams, leagues, and events covet broadcast coverage because…it helps to establish them as significant “big-time” entities in the minds of fans” Ex - LPGA buys broadcast time – not “big time” yet

9. Sport and Television Class Discussion Question From a marketing standpoint, should EIU athletics continue to televise some EIU athletics contests on WEIU? Pros and Cons of this partnership?

10. TV Broadcasting Rights? - define “proven commodities demand huge payments from national networks for broadcasting rights” - Examples of proven commodities? (NFL, NASCAR, NBA, NCAA, PGA, Olympics) “teams, leagues, and events usually auction their broadcast rights to the highest bidder” “the winning bidder sells advertising time to cover its costs”

11. TV Broadcasting rights • 2006 total • $ billions in contracts • NFL is contracted with what networks? - contracted with ABC/ESPN, Fox, CBS • $17.6 billion • $2.2 billion a year per company • NCAA • ABC – BCS - $500 million/7 years • NCAA B-Ball Tournaments - $6 billion/11 years

12. TV Broadcasting rights • Traditionally sports broadcasting rights are divided into different categories · Live · Delayed · Highlights Sports Business Associates – interesting articles on sports media topics

13. TV Broadcasting rights Developing broadcasting rights categories? · Internet (video and audio streaming) · Internet (audio streaming) · Internet (graphics, data, logos) · Mobile devices (WAP, 3G) · Terrestrial TV (free to air) · Satellite/Cable TV (premium/pay TV) · PPV · Internet TV (convergence, iTV) · Archive/video on demand · Radio

14. TV Broadcasting rights Discussion Questions How damaging has it been for the NHL that ESPN did not renew their broadcasting rights contract with them? By 2025 – how much high school programming will be broadcasted on the TV or cable networks?

15. Available Sport-Related Channels? • ABC, CBS, Fox, NBC (networks) • ESPN, ESPN2, ESPN Classis, ESPNU, Fox Sports Net (cable), CSTV, others • Sport-Specific Cable Channels – examples? • DirecTV and Dish Network • The Golf Channel • NBA TV • The NFL Channel • SPEED • Others?

16. Nielsen Ratings? Since 1942, ratings have judged audience size from data collected by electronic devices attached to televisions in a representative sample of homes across the country (304) 1 rating point = # of households? 1 rating point = represents 1,114,000households Overnight Ratings = measures the largest 55 TV markets, covering about 70 percent of the population Example * = Super Bowl, World Series, US Open

17. Nielsen Ratings Top 10 Network Sports Telecasts (from most recent SBJ) Top 10 Cable Sports Telecasts (from most recent SBJ)

18. New Innovations for Sport Programming? • Camera angles • Replays • Graphics • 1st down marker on screen • Scoreboards – videoboards • 2006 NCAA Men’s BBall Championship Game - ? • Typical NFL game- (ex: Pittsburgh vs. Jacksonville?) • 133 replays, 141 graphics, 222 changes to the corner score box, 107 shots of the coaches and 80 fan shots

19. Radio “over the course of a week, the medium (radio) reaches more than 95 percent of the population” Thousands of commercial and noncommercial FM and AM stations nationwide $ Billions are spent on radio advertising each year…audience and advertising rates are lower than TV Sports-Talk Radio and Satellite Radio have boomed over the last decade Satellite Radio – Merger of XM and Sirius

20. Internet “images, sounds, and video are being recorded and transmitted in the bits and bytes of computer language” Usefulness of sport websites to marketers? “virtually every professional sport league and major college boasts a WWW Site” - promotional tool for every sport organization * Example – List of Web Sites from SBJ

21. Internet – Discussion Question EIU athletic events are being broadcast via the official EIU Panthers website. Do you consume the product? Would you be willing to pay for it?

22. Visions of the Future – sport and fitness How will the sport and fitness industry change between 2007 and 2027? Programs, Products, Services? Technology Integration? Team/League Expansion or Reduction? Spectatorship, Attendance? Officiating, Refereeing? Facility Design and Construction? Marketing? Sponsorship? Fundraising?

23. Visions of the Future – sport and fitness How will the sport and fitness industry change between 2007 and 2027? NCAA D-1 Football playoff? Healthy lifestyle facilities for baby boomers? High School national championships? Mixed Martial arts channel? Daily Physical Education? Any cures for diseases? (cancer, HIV) More female leadership – power positions

24. Visions of the Future – sport and fitness How will the sport and fitness industry change between 2007 and 2027? K-12 Sports? College Sports? Professional Sports? (Men, Women) Community Recreation? Campus Recreation? Community Fitness? Fitness/Sports Enhancement? International - Olympics?

25. Visions of the Future – sport and fitness What predictions do you have for the sport and fitness industry by the year 2025? • Growth of international exhibitions will continue (NBA, NFL, MLB, etc) • Competition with foreign leagues • Continued growth of women’s professional team sports • Championship playoff for NCAA D1 Football • College athletes will receive compensation

26. Visions of the Future – sport and fitness 6)Mergers between sport agencies and corporat. 7) Multiple ownership of sport teams 8) Player salaries will continue to escalate 9) Increased disparity between haves & have-not 10) Facilities become entertainment centers 11) More “extreme” (reality) games developed 12) Increase in “On-demand” sport viewing

27. Summary Media technologies have provided a major impact on how sport is consumed, specifically via TV, satellite, the internet, and the radio. Sport leagues and organizations need to take full advantage of electronic media to market and sell their products to the public