A crm software database system provides sport marketers

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Sport Marketing

Fourth Edition

Bernard J. Mullin, PhD

Aspire Group

Stephen Hardy, PhD

University of New Hampshire

William A. Sutton, EdD

University of South Florida

Human Kinetics

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Library of Congress Cataloging-in-Publication Data

Mullin, Bernard James.

Sport marketing / Bernard J. Mullin, Stephen Hardy, William A. Sutton. -- Fourth edition.

pages cm

Includes bibliographical references and index.

1. Sports--Marketing. I. Hardy, Stephen, 1948- II. Sutton, William Anthony, 1951- III. Title.

GV716.M85 2014

338.4'3796--dc23

2013031098

ISBN-10: 1-4504-2498-8 (print)

ISBN-13: 978-1-4504-2498-1 (print)

Copyright © 2014, 2007, 2000, 1993 by Bernard J. Mullin, Stephen Hardy, and William A. Sutton

All rights reserved. Except for use in a review, the reproduction or utilization of this work in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including xerography, photocopying, and recording, and in any information storage and retrieval system, is forbidden without the written permission of the publisher.

The web addresses cited in this text were current as of December 2013, unless otherwise noted.

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Photograph (cover): Layne Murdoch/NBAE via Getty Images

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Printed in the United States of America

10 9 8 7 6 5 4 3 2 1

The paper in this book was manufactured using responsible forestry methods.

Human Kinetics

Website: www.HumanKinetics.com

United States: Human Kinetics

P.O. Box 5076

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E5690

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Check Out the Web Study Guide! You will notice a reference throughout this version of Sport Marketing, Fourth Edition, to a web study guide. This resource is available to supplement your e-book.

The web study guide features exclusive video interviews with leaders in the sport industry, offering insight into how they incorporate marketing strategies into their daily work. Activities built around these clips guide you in using core concepts from the text to answer questions about the applied situations in the interviews. Web search activities also provide opportunities for you to compare strategies found on sport organization websites, YouTube, and other online locations.

Follow these steps to purchase access to the web study guide:

1. Visit www.tinyurl.com/BuySportMarketing4EWSG. 2. Click the Add to Cart button and complete the purchase process. 3. After you have successfully completed your purchase, visit the book’s

website at www.HumanKinetics.com/SportMarketing. 4. Click the fourth edition link next to the corresponding fourth edition

book cover. 5. Click the Sign In link on the left or top of the page and enter the e-

mail address and password that you used during the purchase process. Once you sign in, your online product will appear in the Ancillary Items box. Click on the title of the web study guide to access it.

6. Once purchased, a link to your product will permanently appear in the menu on the left. All you need to do to access your web study guide on subsequent visits is sign in to www.HumanKinetics.com/SportMarketing and follow the link!

Click the Need Help? button on the book’s website if you need assistance along the way.

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Guy Maxton Lewis, 1926-2013

Photo courtesy of Special Collections and Archives, University of Massachusetts, Amherst.

We dedicate this book to the memory and legacy of Professor Guy M. Lewis, a true genius and visionary. Guy was a key founder and builder of undergraduate and graduate programs in sport studies and sport management at both the University of Massachusetts and the University of South Carolina. Throughout his long and active career, he constantly searched for ways to integrate the theoretical with the practical, scholars with practitioners. His professional contributions include the North American Society for Sport History, the Sport Management Arts and Sciences Conferences at UMass, and the International Sports Business Conferences at South Carolina. We happily consider ourselves among the many students, colleagues, and professional associates who have benefitted from his wisdom and counsel. He will be missed. His contributions will endure.

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Contents Contributors

Foreword

Preface Web Study Guide Instructor Resources

Acknowledgments

Chapter 1: The Special Nature of Sport Marketing The NBA and Global Marketing Strategy Weathering Recessions The Competitive Marketplace Sport Marketing Defined Marketing Myopia in Sport Change in the Profession Uniqueness of Sport Marketing Wrap-Up

Chapter 2: Strategic Marketing Management Sport Strategy Is More Than Locker Room Talk Marketing Planning Process Strategic Step 1: Develop Vision, Position, and Purpose Strategic Step 2: Develop Strategic Goals and Objectives Strategic Step 3: Develop a Ticket Marketing, Sales, and Service Plan Strategic Step 4: Integrate the Marketing Plan Into a Broader, Strategic

Resource Allocation Strategic Step 5: Control and Evaluate Implementation of the Plan Eight-Point Ticket Marketing, Sales, and Service Plan Model Wrap-Up

Chapter 3: Understanding the Sport Consumer Socialization, Involvement, and Commitment Environmental Factors Individual Factors

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Decision Making Wrap-Up

Chapter 4: Market Research in the Sport Industry Sources of Information Users of Market Research in Sport and Entertainment Application of Market Research in the Sport Industry Performing the Right Research Wrap-Up

Chapter 5: Market Segmentation What Is Market Segmentation? Four Bases of Segmentation Integrated Segmentation Strategies and Tactics Wrap-Up

Chapter 6: The Sport Product What Is the Sport Product? The Sport Product: Its Core and Extensions Grassroots Ideas Key Issues in Sport Product Strategy Wrap-Up

Chapter 7: Managing Sport Brands What Is Branding? Importance of Brand Equity Benefits of Brand Equity How Brand Equity Is Developed Wrap-Up

Chapter 8: Sales and Service Relationship Between Media, Sponsors, and Fans and the Sales Process What Is Sales? Direct Data-Based Sport Marketing and Sales Typical Sales Approaches Used in Sport Pricing Basics Secondary Ticket Market Aftermarketing, Lifetime Value, and the Importance of Retaining

Customers Wrap-Up

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Chapter 9: Sponsorship, Corporate Partnerships, and the Role of Activation

What Is Sponsorship? Sponsorship in the Marketing Mix Growth of Sponsorship What Does Sport Sponsorship Have to Offer? Corporate Objectives Sponsor Activation Selling Sponsorships Ethical Issues in Sponsorship Wrap-Up

Chapter 10: Promotion and Paid Media The Catchall P: Promotion Advertising Advertising Media for Sport Promotional Concepts and Practices Promotional Components Ultimate Goal: Keeping Consumers on the Escalator and Moving Them

Up Putting It All Together: An Integrated Promotional Model Wrap-Up

Chapter 11: Public Relations What Is Public Relations? Public Relations in the Sport Marketing Mix Sport Public Relations in the Digital Age Public Relations Functions Sport, Television, and Entertainment Influence on Sport Public

Relations Wrap-Up

Chapter 12: Social Media in Sport What Is Social Media? Building an Audience Engaging Fans Driving Behavior Social Media Platforms Avoiding Pitfalls Leveraging Players and Talent

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Wrap-Up

Chapter 13: Delivering and Distributing Core Products and Extensions

Placing Core Products and Their Extensions Theory of Sport and Place Facility Marketing Channels Product-Place Matrix Wrap-Up

Chapter 14: Legal Aspects of Sport Marketing Intellectual Property Trademark Infringement Copyright Law and Sport Marketing Patents Sport Marketing Communications Issues Ambush Marketing Right of Publicity and Invasion of Privacy Contractual Issues Involving Consumers Promotion Law Issues Emerging Issues Wrap-Up

Chapter 15: Putting It All Together Cross-Effects Among the Five Ps Controlling the Marketing Function Wrap-Up

Chapter 16: The Shape of Things to Come From Our Crystal Ball From Our Crystal Ball Redux: By the Year 2020 Wrap-Up

About the Authors

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Contributors Leigh Buwen

Manager of Consumer Research

Turnkey Intelligence

Kathy Connors

Principal and Founder

KMC Consulting, LLC

Kirsten Corio

Vice President, Team Marketing and Business Operations

NBA

Jaclyn Cranston

Senior Manager of Sales and Service

Turnkey Intelligence

Evelyn Dwyer

Manager of Consumer Research

Turnkey Intelligence

Jay Gladden

Dean and Professor

School of Physical Education and Tourism Management

Indiana University–Purdue University Indianapolis

John Grady

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Associate Professor

University of South Carolina

Haynes Hendrickson

President

Turnkey Intelligence

Steve McKelvey, JD

Associate Professor

University of Massachusetts Amherst

Nikolay Panchev

Vice President of Consumer Research

Turnkey Intelligence

Steve Seiferheld

Senior Vice President of Consumer Research

Turnkey Intelligence

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Foreword As my 30 years as NBA commissioner comes to an end, I can’t help but reminisce about just how far the sport industry has come during this period. Perhaps nowhere is this growth more evident than in sport marketing. It is hard to believe that just 30 years ago when the authors of Sport Marketing, Fourth Edition, wrote their original manuscript, the term sport marketing was rarely used. Now, the term is common and regularly used to encompass all of the activities in this book—activities that accurately depict the evolution of the sport industry as I have experienced it during my tenure at the NBA. I have had the good fortune of working with many of the most talented executives in the industry. As the industry has evolved, so have the leadership and business capabilities of the teams. Now, most of our teams have more than 100 employees who sell tickets and sponsorships; provide great customer service; develop marketing, advertising, and branding strategies; activate platforms for marketing partners and sponsors to drive their businesses; produce TV and radio broadcasts locally; service the media and place proactive messages; develop and produce the shows; and do meaningful work in the community through innovative and socially responsible programs. This latest edition continues to place those activities in a comprehensive framework, showing how the moving parts work together to develop the sport business locally, nationally, and globally; and it refreshingly illustrates where the use of new technologies now play their essential part. Particularly insightful are the data collection, aggregation, delivery, and targeting technologies used in ticket marketing and sales and for increasing fan engagement using content delivered predominantly via mobile devices.