Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 Factors Contributing To Spectator Satisfaction of Mega Sport Events Hosted By South Africa J Surujlal The sport industry today is a phenomenal business which attracts numerous ‘business players’ such as club owners, federations, athletes, sponsors, marketers and the media who engage in fierce competition to profit most from their involvement. The global sports industry is worth between $480 and $620 billion. These include infrastructure, sports goods and mega sport events. Among the aforementioned mega sport events have captured the interest of marketers, sponsors, athletes, spectators and the media. South Africa (SA) has an impressive track record of hosting mega sport events. Since hosting the historic 1995 Rugby World Cup which was billed as a nation building sport event, SA has hosted the African Cup of Nations in 1996, the All Africa Games in 1999, the Cricket World Cup in 2003, the inaugural 2007 T20 Cricket World Cup and more recently the highly successful 2010 Soccer World Cup. Although some of the factors influencing individuals’ attendance of sport events are known and can be observed little is known about the factors which contribute to the satisfaction of individuals attending mega sport events. The primary purpose of the study was, therefore, to identify the factors which influenced the satisfaction of spectators who attended mega sport events. The secondary purpose was to ascertain from participants the key performance areas of the event which could be improved so that satisfaction of spectators could be increased. An extensive literature review on the dynamics of mega sport events was undertaken. Arising from the literature review a questionnaire, which formed part of the empirical investigation, was developed to identify and rank the factors which influenced the satisfaction levels of spectators who attended mega sport events. The results indicated that spectators were most satisfied with accessibility of the stadia with different modes of transport, destination image, the travel experience and culture of the people and moderately satisfied with the political situation, dependability of service providers and the scenery. The findings may prove to be useful to event marketers when they plan events. To maximise attendance of local spectators at mega events marketers need to make a concerted effort to satisfy their needs as they have the greatest potential for repeat visits to such events, unlike visitors from outside the country for whom such events are in most instances once off. Keywords: Spectator, Attendance, Mega Sport Events, Marketers Name of Track: Marketing 1. Introduction The sport industry today is a phenomenal business which attracts numerous „business players‟ such as club owners, federations, athletes, sponsors, marketers and the media who engage in fierce competition to profit most from their involvement. According to Collignon, Sultan and Santander (2011) the global sports industry is worth between $480 and $620 billion. These include infrastructure, sports goods and mega sport events. Among the afore-mentioned, mega sport events have captured the interest of marketers, sponsors, athletes, spectators and the media. South Africa (SA) has an impressive track record of hosting mega sport events. Since hosting the historic 1995 Rugby World Cup which was billed as a nation building sport event, SA has hosted the African Cup of Nations in 1996, the All Africa Games in 1999, the Cricket World Cup in 2003, the inaugural 2007 T20 Cricket World Cup and more recently the highly successful ________________________________________________________________________ Prof J. Surujlal, North West University (Vaal Triangle Campus), Vanderbijlpark, 1900, South Africa, Email:Babs.Surujlal@nwu.ac.za. Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 2010 Soccer World Cup. The successful hosting of the afore-mentioned events has prompted sporting authorities in SA to consider bidding for the 2022 Commonwealth Games and the 2024 or 2028 Olympics. Dinnie (2008) argues that mega sport events are an ideal vehicle to market a destination. Mega sport events, which, in recent years, have become highly visible global events have the potential to reach most countries in the world. Roche (2000) describes mega events as large scale cultural events, which have dramatic character, mass popular appeal and international significance. A significant feature of mega sport events, according to Giannoulakis, Wang and Gray (2008) is that they are about unity of time, place and activity. Roche (2000) posits that mega sport events are usually planned for long term political, social and physical consequences Because of the involvement of many countries or nations in a mega sport event, greater media spotlight and attention is attracted, thereby increasing the marketing and tourism potential of the host country. Getz (1997) posits that these events have mass appeal and attract a lot of visitors to the host country; and they have international significance. The benefits for the host country may be tangible or intangible. The tangible benefits include increased number of tourists or visitors, increased income via visitor spending, infrastructure development and increased television coverage (Humphreys & Prokopowicz, 2007). Among the intangible benefits are improved country image and a source of national pride. Given the benefits associated with hosting mega sport events it is not surprising that numerous countries and cities compete with each other in a bid to win the rights to host these events. 2. Problem statement Mega sport events may be viewed as products which have the physical infrastructure, economic value and social activities as ingredients. They have become an interesting field of research in marketing. To be successfully promoted as a product in a specific market (Lee, Lee & Lee, 2005) mega events have to satisfy the needs of its consumers (spectators). Although some of the factors influencing individuals‟ attendance of sport events are known and can be observed little is known about the factors which contribute to the satisfaction of individuals attending mega sport events. Mega sport events, unlike other sport events, are normally „once off‟ events that appeal not only to the regular „die hard‟ spectators but also to the majority of individuals in the host country for a variety of reasons. It provides the opportunity for spectators to experience and socialise with people from different cultures at a single event (Huang, 2011). Kao (2002) opines that spectators benefit from attending sport events in three ways, namely through balancing life experience, developing the meaning of life and improving quality of life. This becomes possible through their interaction with others and developing relationships through such interactions. According to Chen and Hsu (2011) spectator behaviour is an important and critical aspect which contributes to the development of marketing strategies and product delivery. Marketers and event organisers see mega events as lucrative opportunities to attract tourists, improve infrastructure and create the potential for increased spending. These events also create employment and contribute to increased government revenue. Mansfield (1992) argues that visitors‟ (spectators‟) experience of an event contributes towards after- decision making which considers the satisfaction experienced so that intention to revisit and willingness to recommend the event is developed. One‟s intention to attend a mega event is influenced by one‟s perceptions and knowledge of the event (Donaldson & Ferreira, 2009). Wakefield and Blodgett (1993) posit that spectators who enjoy spending time at an event are assumed to be more likely to return to that or a similar event. Therefore the identification of Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 factors which attract spectators to an event is critical to understanding their different desires and segmenting the market (Lee et al., 2005). 3. Purpose of the study The primary purpose of the study was to identify the factors which influenced the satisfaction of mega event spectators. The secondary purpose was to ascertain from participants the key performance areas which could be improved so that satisfaction of spectators could be increased. 4. Research Methodology Research approach An extensive literature review on the dynamics of mega sport events was undertaken. Arising from the literature review a questionnaire, which formed part of the empirical investigation, was developed to identify and rank the factors which influenced the satisfaction levels of spectators who attended mega sport events. Sample In this study, the sample, which was purposefully selected, comprised residents of South Africa, 18 years and older, who attended a mega sport event hosted by South Africa. In a purposive sample, the sample elements are selected because it is expected that they can serve the research purpose (Churchill & Iacobucci, 2002). Instrument and data collection procedures Arising from the literature study a questionnaire was developed to collect primary data from the selected participants. A section of the questionnaire requested the participants to provide demographic information such as their gender, age, marital status and frequency of attendance of mega sport events. A separate section requested the participants to indicate their level of satisfaction on how South Africa performed in terms of various factors identified through the literature. Items in this section were scored on a 5-point Likert scale ranging from 1 (Very dissatisfied) to 5 (Very satisfied). In addition, participants were provided with a list of key performance areas from which they could choose which they perceived could be improved so that the satisfaction of spectators could be improved. A panel of experts on sports tourism was asked to review the questionnaire to verify whether the items were appropriate for the present study. Based on their comments changes were made to the questionnaire. Subsequently, the questionnaire was pre tested with a convenient sample of twenty respondents in order to further refine the items in the questionnaire. Two research assistants who were trained as fieldworkers administered 350 questionnaires in different areas in the Gauteng province of South Africa. A screening question: “Did you attend an international sport event hosted in South Africa?” was asked before the questionnaire was handed to potential respondents for completion. In most instances the questionnaire was completed in the presence of the fieldworkers. Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 Data Analysis Data were analysed using the Statistical Package for Social Sciences (SPSS –version 22). To assess the demographic profile of the participants, frequencies and percentages were determined. Frequencies were also used to rank the factors influencing the satisfaction of the participants. To assess the reliability of the scores from the questionnaire, Cronbach‟s (1951) alpha was computed as a measure of internal consistency. 5. Results Of the 350 questionnaires that were administered, 263 (response rate=75%) were returned. Fifty two of these questionnaires were incomplete and were therefore discarded. Therefore, data from 211 questionnaires were analysed. Reliability of the measuring instrument was ascertained using Cronbach alpha coefficient. The reliability of the scale was 0.875 which was above the 0.7 recommended by Nunnally and Bernstein (1994). Therefore, based on that prescription, the reliability of the measurement scale was regarded as sufficient for the purposes of the study. Demographic Profile of Respondents Most of the participants in the study were female (61%; n= 129). An analysis of marital status revealed that the majority of respondents (74%; n=156) were single. The largest group of respondents (61%; n= 128) were aged between 18 and 25 years. Approximately 60% (n=126) of the respondents were in possession of a diploma. In terms of attending international sport events hosted by SA 35% (n= 73) of the respondents indicated that the 2010 FIFA World Cup™ was the only one they had attended. Factors contributing to spectator satisfaction The responses regarding the extent to which various factors contribute to spectator satisfaction are presented in Table 1. All percentages have been rounded off to the nearest whole number. Evident from Table 1 is that accessibility to the stadia by different modes of transport, destination image, culture of the people and the travel experience contributed most to spectator satisfaction. On the other hand, the scenery, dependability of service providers and the political situation contributed least to spectator satisfaction. Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 Table 1: Factors contributing to satisfaction of spectators Factor n % 1.. Accessibility by different modes of transport 175 83 2. Destination image 174 83 3. Culture of the people 174 82 4. The travel experience 173 82 5. Quality of products and services 171 81 6. Availability of accommodation 170 81 7. The environment 170 81 8. Quality of services 168 80 9. Sport facilities 168 80 10. Safety/Security 166 78 11. Attractions 166 69 12. Information at tourist destinations 165 78 13. Overall service quality 163 77 14. Opportunities to network with others 161 77 15. Magnitude of the sport event 160 76 16. Responsiveness of service providers 159 75 17. Cleanliness/hygiene 158 75 18. Weather conditions 157 74 19. Cuisine (food) 157 74 20. Availability of entertainment areas 157 74 21. Ease of obtaining tickets 150 71 22. Attitude of the local people 149 71 23. Overall competence of service providers 148 70 24. Affordability 146 69 25. Travel brochures 146 69 26. Nightlife 142 67 27. Amenities 141 66 28. Opportunities for sightseeing 139 66 29. Scenery 134 64 30. Dependability of service providers 136 65 31. Political situation 117 55 Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 Key areas for improvement Participants were required to identify key areas which they perceived required improvement to increase the satisfaction of spectators at mega sport events. The majority of participants (n=112; 53%) perceived affordability as an area that needed to be improved when mega events are planned. Attractions, entertainment, nightlife, scenery and sightseeing were other areas which participants regarded as key areas for improvement. A small percentage (12%) perceived the choice of events hosted as an area of improvement. Table 2: Key areas for improvement Key area Affordability Attractions, entertainment, nightlife, scenery, sightseeing Choice of events hosted n 112 64 25 % 53 30 12 6. Discussion It is interesting that accessibility by different modes of transport was the largest contributor to spectator satisfaction. Prior to hosting the 2010 FIFA Soccer World Cup, accessibility to the stadia was a major problem resulting in near-empty stadia during domestic Premier Soccer League (PSL) matches. Infrastructure upgrades, which included national and local roads as well as the construction of the Gautrain, to different stadia resulted in easier access to mega sport event venues. Koehler (2012) argues that public transportation, ample parking and the management of traffic to the stadia contributes significantly to spectator attendance and satisfaction. It has the potential to attract and retain spectators. In most instances the upgrade in infrastructure, which came at a considerable cost to the country, were „state of the art‟ which enhanced the image of the country as a destination of choice for mega sport events. This may perhaps be a plausible reason why participants in the study experienced great satisfaction regarding destination image. Lee, Lee & Lee (2014) commented that destination image plays a significant role in determining spectator behaviour. This corroborates Beerli and Martin‟s (2004) view that destination image is one‟s reasoned and emotional assessment of a destination. It influences one‟s post visit behaviour and creates a benchmark for comparison. It is, therefore, not surprising that the travel experience also contributed highly to spectator satisfaction as this is strongly linked to destination image and access to the event venue. Meeting with people from different cultures also contributed highly to spectator satisfaction. Hinch and Higham (2001) argue that while for many sport attendees a specific sport event may be the primary attraction, other features associated with an event may contribute to one‟s decision to attend an event. Kim and Morrison (2005) posit that mega sport events have the potential to promote different cultures and traditions. These evoke the curiosity and interest of spectators. Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 The factors which contributed least to spectator satisfaction were the scenery, dependability of service providers and the political situation. Although negative perceptions of the political situation in South Africa have decreased dramatically over the past few years, the perceptions of individuals are significantly influenced by how the media portrays the country. Donaldson and Ferreira (2009) identified the political environment as one of the outside factors which contributed to destination image. Although this factor is not in complete control of event organisers and marketers, every attempt should be made to assure spectators that the political situation will not affect the mega event. Most stadia in South Africa are constructed close to the city and urban areas, hence spectators are exposed to residential or business buildings on their way to or at the stadia. This may be a possible reason for their low satisfaction regarding the scenery. Spectators are expected to spend extended periods of time in the physical surroundings of the event (Wakefield & Blodgett, 1996), hence the physical environment plays a significant role in determining their satisfaction as well as their intention to attend or patronise future such events. Mullin, Hardy and Sutton (2000) posit that services provided at sport events are quite different from other forms of services. The authors describe services provided for a sport event as a combination of goods and services that a consumer expects will deliver the desired satisfaction. In the context of this study services associated with service providers include the availability of tickets, access to information, punctual provision of transport and back up service. Failure to deliver on any one or combination of these services is likely to influence the satisfaction of the spectator. It is interesting to note that while the participants were moderately satisfied with the affordability of the mega sport event, the majority (53%) identified this factor as one of the main areas of improvement. One of the threats to spectator attendance is affordability. From a spectator perspective, the overall cost of attending a mega sport event includes the price of the ticket, transportation, souvenirs, parking and meals (Watanabe, Matsumoto & Nogawa 2013). It therefore stands to reason that if the event does not appear affordable to a potential spectator, the spectator will not attend the event. While a fair percentage of the participants (30%) identified attractions, entertainment, nightlife, scenery, sightseeing as an area of improvement, not all are within the control of event organisers and marketers. For example, event organisers and marketers can do little to improve the scenery and sightseeing. However, they are able to improve spectator satisfaction by providing additional entertainment at the venue. At many events, live bands have been used to entertain spectators before and after events. A small percentage of participants (12%) identified choice of events as an area of improvement. In most instances the choice of events is dependent on spectatorship and participation. Event organisers and marketers are therefore influenced and guided by the number of spectators and participants associated with a particular sport. 7. Conclusion Event organisers and marketers are under constant pressure to increase revenue and attract spectators to events. Because the needs and wants of sport consumers (spectators) are Proceedings of 10th Asian Business Research Conference 6 - 7 October 2014, Novotel Bangkok on Siam Square, Bangkok, Thailand, ISBN: 978-1-922069-62-7 unpredictable and subject to frequent changes it is imprtant for event organisers and sport marketers to keep abreast of their needs.To maximise attendance of local spectators at mega events marketers need to make a concerted effort to satisfy their needs as they have the greatest potential for repeat visits to such events, unlike visitors from outside the country for whom such events are in most instances once off. Without spectators an event is bound to fail. References Beerli, A and Martin, JD 2004, Factors influencing destination image, Annals of Tourism Research, Vol. 26, pp.868-897. 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