Chapter 3

The Wide World of Sports

and Entertainment
3.1 Industry Segments
3.2 Special Marketing Tools
3.3 Destinations: Travel and Tourism
3.4 Worldwide Sports and
Entertainment Events
Sports and Entertainment Marketing
© Thomson/South-Western
Winning Strategies
Oprah Winfrey
 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 3 Sports and Entertainment Marketing
Slide 2 © Thomson/South-Western
Lesson 3.1

Industry Segments
Goals
 Define industry and give examples of
subdivisions of an industry.
 Explain why marketing decisions are
based on industry standards, norms,
and trends.

Chapter 3 Sports and Entertainment Marketing

Slide 3 © Thomson/South-Western
Terms
 industry
 industry standards

Chapter 3 Sports and Entertainment Marketing

Slide 4 © Thomson/South-Western
THE SPORTS AND
ENTERTAINMENT INDUSTRY
 industry
 a group of organizations involved in
producing or handling the same product or
type of service
 industry subdivisions
 subsets of an industry

Chapter 3 Sports and Entertainment Marketing

Slide 5 © Thomson/South-Western
Industry Standards and Trends
 industry standards
 the guidelines and goals set for different
entertainment industries
 industry norm
 the average expectation within an industry

Chapter 3 Sports and Entertainment Marketing

Slide 6 © Thomson/South-Western
 What is an industry?

Chapter 3 Sports and Entertainment Marketing

Slide 7 © Thomson/South-Western
MARKETING DECISIONS FOR
AN INDUSTRY
 Marketing decisions are based on upon
industry standards, norms, and trends.

Chapter 3 Sports and Entertainment Marketing

Slide 8 © Thomson/South-Western
U.S. Sports Camps
 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 3 Sports and Entertainment Marketing

Slide 9 © Thomson/South-Western
College Sports
 ISP Sports
 a leader in collegiate sports marketing
 has over 500 radio and 100 television
outlets
 the country’s largest and fastest growing
multimedia company

Chapter 3 Sports and Entertainment Marketing

Slide 10 © Thomson/South-Western
The Television Industry
 perpetually seeks programming that will
yield higher viewer ratings
 reality shows are less expensive to
produce than traditional shows
 continually seeking new ways to reach
viewers
 Internet
 video iPods
 on-demand cable
Chapter 3 Sports and Entertainment Marketing
Slide 11 © Thomson/South-Western
The Concert Industry
 The concert industry is undergoing a
change.
 mass appeal artists are diminishing
 live concerts seem less important to the
post baby boomer generation
 audiences will probably be smaller and
more fragmented in the future

Chapter 3 Sports and Entertainment Marketing

Slide 12 © Thomson/South-Western
State and County Fairs
 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

Chapter 3 Sports and Entertainment Marketing

Slide 13 © Thomson/South-Western
 List three different forms of sports or
entertainment and a current industry
trend for each one.

Chapter 3 Sports and Entertainment Marketing

Slide 14 © Thomson/South-Western
Lesson 3.2

Special Marketing Tools

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 3 Sports and Entertainment Marketing
Slide 15 © Thomson/South-Western
Terms
 ghostwriter
 literary agent

Chapter 3 Sports and Entertainment Marketing

Slide 16 © Thomson/South-Western
MOTIVATIONAL SPEAKING
AND WRITING
 Professional athletes cannot plan on a
lifelong career.
 Many people enjoy listening to and
reading what famous individuals have
to say.

Chapter 3 Sports and Entertainment Marketing

Slide 17 © Thomson/South-Western
Successful Speaking
 Successful speakers have
 a message that is interesting repeatedly
 well written speeches
 excellent communication skills
 strong promotional campaigns
 an agent

Chapter 3 Sports and Entertainment Marketing

Slide 18 © Thomson/South-Western
The Price of Motivation
 All American Speakers Bureau
 speakers receive between $5,000 and
$50,000 for an individual speech

Chapter 3 Sports and Entertainment Marketing

Slide 19 © Thomson/South-Western
Writing Their Stories
 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 3 Sports and Entertainment Marketing

Slide 20 © Thomson/South-Western
 royalty
 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 3 Sports and Entertainment Marketing

Slide 21 © Thomson/South-Western
SPORTS CAMPS AND CLINICS

 Every year parents make sizable

expenditures to send their children to
sports camps and clinics.

Chapter 3 Sports and Entertainment Marketing

Slide 22 © Thomson/South-Western
Sponsorships
 Generally, a sports camp sponsor can
expect the following
 a positive public relations campaign
 visibility and recognition of sponsorship

Chapter 3 Sports and Entertainment Marketing

Slide 23 © Thomson/South-Western
 advertising space in the camp’s publications

 sponsor marketing materials on display

at camp
 potential product sales at camp

Chapter 3 Sports and Entertainment Marketing

Slide 24 © Thomson/South-Western
Camp Expectations
 Parents need to carefully read camp
literature to ensure that what the camp
provides meets the family’s
expectations.

Chapter 3 Sports and Entertainment Marketing

Slide 25 © Thomson/South-Western
 The location of the camp should be
considered to ensure it meets the needs
of the family.

Chapter 3 Sports and Entertainment Marketing

Slide 26 © Thomson/South-Western
Clinics
 clinics
 single skill focus
 shorter duration
 limited enrollment
 help capture a larger fan base for the sport

Chapter 3 Sports and Entertainment Marketing

Slide 27 © Thomson/South-Western
Good Marketing Equals
Success
 local news coverage in a variety of media
 product giveaways
 interviews and photos
 a community appearance by a camp celebrity

Chapter 3 Sports and Entertainment Marketing

Slide 28 © Thomson/South-Western
 follow-up materials are critical for future sessions of camp

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

Chapter 3 Sports and Entertainment Marketing

Slide 29 © Thomson/South-Western
Advertising
 Well researched and thoughtfully
planned marketing will yield the most
effective results.

Chapter 3 Sports and Entertainment Marketing

Slide 30 © Thomson/South-Western
 newspapers
 short ad lead-times
 inexpensive
 large non-targeted audience
 magazines and e-zines
 longer ad lead-times
 higher ad rates
 targeted audience

Chapter 3 Sports and Entertainment Marketing

Slide 31 © Thomson/South-Western
 mailings and brochures
 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 3 Sports and Entertainment Marketing

Slide 32 © Thomson/South-Western
 Explain the difference between a camp
and a clinic.

Chapter 3 Sports and Entertainment Marketing

Slide 33 © Thomson/South-Western
Lesson 3.3

Destinations: Travel and Tourism

Goals
 Explain the role of travel and tourism in
sports and entertainment.
 Discuss the roles of resorts and theme
parks.

Chapter 3 Sports and Entertainment Marketing

Slide 34 © Thomson/South-Western
Terms
 tourism
 direct economic impact
 indirect economic impact
 niche travel
 ecotourism

Chapter 3 Sports and Entertainment Marketing

Slide 35 © Thomson/South-Western
TRAVELING
 The travel industry is the world’s largest
industry.
 tourism
 traveling for pleasure

Chapter 3 Sports and Entertainment Marketing

Slide 36 © Thomson/South-Western
Attracting Tourists
 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 3 Sports and Entertainment Marketing

Slide 37 © Thomson/South-Western
Tailor-Made Vacations
 niche travel
 travel planned around a special interest

Chapter 3 Sports and Entertainment Marketing

Slide 38 © Thomson/South-Western
Ecotourism
 ecotourism
 responsible travel to natural areas that
conserves the environment and sustains the
well being of the local people

Chapter 3 Sports and Entertainment Marketing

Slide 39 © Thomson/South-Western
 sustainable tourism
 enjoying while simultaneously preserving
natural environments so that they may
also be enjoyed in the future

Chapter 3 Sports and Entertainment Marketing

Slide 40 © Thomson/South-Western
Halls of Fame
 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 3 Sports and Entertainment Marketing

Slide 41 © Thomson/South-Western
 Some hall of fames offer a complete destination.

 additional entertainment sources are

located nearby

Chapter 3 Sports and Entertainment Marketing

Slide 42 © Thomson/South-Western
 What is the mission of the travel trade?

Chapter 3 Sports and Entertainment Marketing

Slide 43 © Thomson/South-Western
RESORTS AND THEME PARKS

 theme parks
 family-oriented destinations
 resorts
 aimed at adults

Chapter 3 Sports and Entertainment Marketing

Slide 44 © Thomson/South-Western
Theme Park Central
 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 3 Sports and Entertainment Marketing

Slide 45 © Thomson/South-Western
 Why might a theme park add restaurants
and lodging to the site?

Chapter 3 Sports and Entertainment Marketing

Slide 46 © Thomson/South-Western
Lesson 3.4

Worldwide Sports and

Entertainment Events
Goals
 Describe the international role of sports
and entertainment marketing.
 Discuss the challenges of international
marketing.

Chapter 3 Sports and Entertainment Marketing

Slide 47 © Thomson/South-Western
Terms
 joint venture
 infrastructure
 globalization
 piracy

Chapter 3 Sports and Entertainment Marketing

Slide 48 © Thomson/South-Western
GLOBAL SPORTS AND
ENTERTAINMENT
 Sports and entertainment is a
worldwide industry.

Chapter 3 Sports and Entertainment Marketing

Slide 49 © Thomson/South-Western
An Expanding India
 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 3 Sports and Entertainment Marketing

Slide 50 © Thomson/South-Western
An Expanding China
 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 3 Sports and Entertainment Marketing

Slide 51 © Thomson/South-Western
A World Mouse
 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 3 Sports and Entertainment Marketing
Slide 52 © Thomson/South-Western
 Why is the number of theme parks
growing in China and India?

Chapter 3 Sports and Entertainment Marketing

Slide 53 © Thomson/South-Western
INTERNATIONAL MARKETING

 globalization
 international economic relationships

Chapter 3 Sports and Entertainment Marketing

Slide 54 © Thomson/South-Western
Scoring With Fans
 Soccer is a dream event for
international marketing.
 The World Cup is held every four years.

Chapter 3 Sports and Entertainment Marketing

Slide 55 © Thomson/South-Western
A Sponsor’s Dream
 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 3 Sports and Entertainment Marketing

Slide 56 © Thomson/South-Western
International Sports Trends
 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 3 Sports and Entertainment Marketing
Slide 57 © Thomson/South-Western
A Connected World
 The 2006 formation of Warner-SK
Telecom dramatically changed the way
consumers buy, store, and listen to
music.

Chapter 3 Sports and Entertainment Marketing

Slide 58 © Thomson/South-Western
 piracy
 theft of copyrighted material

Chapter 3 Sports and Entertainment Marketing

Slide 59 © Thomson/South-Western
 Why might cell phones be called “the
heart” of the future of music?

Chapter 3 Sports and Entertainment Marketing

Slide 60 © Thomson/South-Western
PERFORMANCE INDICATORS
EVALUATED
 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 3 Sports and Entertainment Marketing
Slide 61 © Thomson/South-Western
 Sell the promotional plan to the
representative from Six Flags.
 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 3 Sports and Entertainment Marketing
Slide 62 © Thomson/South-Western
THINK CRITICALLY
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 3 Sports and Entertainment Marketing

Slide 63 © Thomson/South-Western