Lesson Plan Course Title: Sports and Entertainment Marketing Session Title: The Product Mix Performance Objective: After completing this lesson, the student will list and explain the components of the product mix and explain the importance of product extension and product enhancement. Specific Objectives: • • • • • • • • • • The student will define a product’s tangible and intangible parts. The student will explain the product mix. The student will define product extensions. The student will explain the difference between the basic and enhanced product. The student will describe product components. The student will define product line. The student will explain the importance of packaging. The student will define a brand and explain different levels of brand recognition. The student will list and describe the stages of the product life cycle. The student will explain how products are positioned in the marketplace. TERMS • • • • • • • • • • • Product mix-the brand name, the various products offered under the brand, and the packaging Product extensions-items added to a product to make it more attractive to the target market, including guarantees, warranties, and instructional information Product enhancement-features added to the basic product that satisfy additional needs and wants with the same purchase Product line-a group of similar products with slight variations to satisfy the different needs of consumers Brand-the name, symbol, word, design, or combination of these elements that identifies a product Trademark-the legal protection of words and symbols used by a company Licensed brand-a well-known name and/or symbol established by one company and sold for use by another company to promote its products Product life cycle-introduction, growth, maturity, and decline of a product Skimming price strategy-introduces new products at a very high price Penetration price strategy-uses low pricing to help capture a large market share early Positioning-used by a company to differentiate its products or services from its competitors’ products or services Copyright © Texas Education Agency 2011. All rights reserved. 1 Preparation TEKS Correlations: This lesson, as published, correlates to the following TEKS. Any changes/alterations to the activities may result in the elimination of any or all of the TEKS listed. 130.346 (c)(9)(A) …describe stages of new-product planning… 130.346 (c)(9)(B) …define product mix… 130.346 (c)(9)(C) …identify stages of the product life cycle for new or existing sports or entertainment marketing products… 130.346 (c)(14)(B) …distinguish among sports and entertainment marketing terms… Interdisciplinary Correlations: English: 110.31 (b)(21)(B) … organize information gathered from multiple sources to create a variety of graphics and forms… 110.31 (b)(22)(B) …evaluate the relevance of information to the topic and determine the reliability, validity, and accuracy of sources (including Internet sources) by examining their authority and objectivity… 110.31 (b)(23)(C) … uses graphics and illustrations to help explain concepts where appropriate… 110.31 (b)(23)(D) … uses a variety of evaluative tools (e.g., self-made rubrics, peer reviews, teacher and expert evaluations) to examine the quality of the research… Teacher Preparation: Teacher will review the terms in the outline, PowerPoint slides and handouts to become familiar with lesson. Teacher should locate and evaluate various resources and websites before the lesson. Copyright © Texas Education Agency 2011. All rights reserved. 2 Teacher will have assignments and website information ready to distribute to students. References: Sports Business Journal Sports Illustrated Advertising Age Instructional Aids: 1. Display for PowerPoint, websites for assignments and class discussion 2. Sports and Entertainment Marketing, 3rd edition, Kaser & Oelkers, South-Western Cengage Learning: Sports and Entertainment Management, Kaser & Brooks, SouthWestern Cengage Learning. 3. Advertising Age 4. USA Today 5. Sports Illustrated Materials Needed: 1. Printer paper 2. Assignments and website information ready to distribute to students. (Product Life Cycles PowerPoint) Direction Sheet 2. Sports Business Journal and Entertainment Industry Economics: A Guide for Financial Success 3. Internet access to Hulu videos Student projects will be displayed to increase interest in Sports and Entertainment Marketing. Equipment Needed: 1. Computer with PowerPoint and Internet Access 2. Projector to Show Internet Sites Undercover Boss Episodes 3. Computers for Students to Conduct Research and Collect Data for Projects Learner Preparation: Ask students to think of a new product that is very popular for their age group. Then ask students to explain how the product has gained popularity. What could be done to enhance/improve the usefulness of the product? List the products on the board and survey students to determine how many own each product. Explain how products have changed to maintain the interest of consumers. Explain how athletic shoes have changed to improve performance. Explain how the look, style, performance, and Copyright © Texas Education Agency 2011. All rights reserved. 3 price of products are used to maintain the interest of the target market. Introduction Introduction (LSI Quadrant I): SHOW: Show students a picture of a popular car from ten years ago and then show a picture of what the car looks like today. ASK: Ask students what physical characteristics of the car have changed. SAY: Explain how products must be updated and changed to maintain consumer interest and market share. ASK: Ask students what other changes have evolved during the past ten years with the manufacture of new cars. SAY: Explain the importance of gas mileage, alternative fuel, and electric automobiles. ASK: Ask students to explain why the design of cars, clothing, and other items are constantly changing. SAY: Explain how consumers are always looking for new and improved products. The physical appearance is the first noticeable characteristic for consumers. ASK: Ask students to give examples of products that they think will soon become obsolete or no longer demanded. SAY: Explain how their selected products may fade away over time or be reinvented to a new, different product that sparks the interest of consumers. Outline Outline (LSI Quadrant II): Instructors can use the PowerPoint presentation, slides, handouts, and note pages in conjunction with the following outline. MI Outline I. The Product Mix A. product-complex blending of tangible and Notes to Instructor Use PowerPoint and current events as aids. Copyright © Texas Education Agency 2011. All rights reserved. 4 intangible parts 1. tangible parts-physical features that can be seen and felt 2. intangible parts-nonphysical service features B. product mix-product’s final form and total assorted features (brand name, various products offered under the brand, and packaging) C. product extensions-items added to a product to make it more attractive to the target market, including guarantees, warranties, and instructional information D. Basic vs. Enhanced Product 1. Athletic shoes are a basic product constructed for support and safety to avoid injuries during sports. 2. Cross-trainer shoes are enhanced running shoes that are good for walking, hiking, running, biking, and other amateur sports. 3. Basic seating may be the bleacher seats in the end zone with no back supports. 4. Product enhancements would include individual seats with back supports located on the 50-yeard line and seats located in an air-conditioned suite or sky box. Explain the difference between tangible and intangible products. Then ask students to give examples for each category of product. Ask students to give an example of a basic product and then give an example of an enhanced product. Then ask students how they would enhance a current product. Copyright © Texas Education Agency 2011. All rights reserved. 5 II. Product Line A. group of similar products with slight variations to satisfy different needs of consumers B. soft drinks (regular, caffeine free, diet) C. variation of product size 1. television sets from 5-inch screens to 60inch screens 2. travel packages ranging from weekend getaways to vacations that last a week or longer D. Packaging 1. ease of use 2. safety 3. consumer attraction 4. accessibility 5. environmental friendliness E. Brand 1. name, symbol, word, design, or combination of these elements that identifies a product, service, or company 2. trademark-the legal protection of words and symbols used by a company 3. licensed brand-well-known name and/or symbol established by one company and sold for use by another company to promote its products F. Levels of Brand Recognition 1. nonrecognition-consumer unable to recognize the brand 2. rejection-consumer will not purchase due to brand 3. recognition-consumers know the brand, but the brand has little influence on their purchase 4. preference-consumers will purchase the preferred brand if it is readily available 5. insistence-consumers value a brand to the extent that they reject other brands even when the preferred brand is not readily available Use PowerPoint as aid. III. The Product Life Cycle A. Introduction Stage 1. product is a novelty in the marketplace 2. skimming price strategy-introduces new products at a very high price 3. quality and uniqueness of the product are emphasized Use PowerPoint as aid. Give students an example of a product and then ask them to describe the product line associated with the product. Ask students to describe the packaging for a product that they regularly use. Is the package environmentally friendly? How much effort is required to open the package? Show students examples of popular trade marks and symbols. Ask students to write their answers quietly on a sheet of paper. Then discuss how the popularity of trademarks and symbols influence consumer purchases. Give students examples of products in each stage of the product life cycle. Copyright © Texas Education Agency 2011. All rights reserved. 6 4. penetration price strategy-uses low pricing to help capture a large market share early B. Growth Stage-sales of a product and profits increase 1. target market knows about and regularly purchases the product 2. advertising focuses attention on consumer satisfaction 3. competition increases C. Maturity Stage 1. sales level off or slow down 2. most of the target market has purchased the product 3. costs for promotions increase D. Decline Stage 1. sales decrease and may not generate enough revenue to justify continued marketing of the product 2. marketers must make decisions a. drop a product b. sell or license the product to another company c. discount prices d. regionalize-committing the product to a geographic location where it is the most popular and profitable e. modernize/alter f. recommit for a new purpose IV. Positioning a Product A. differentiating the company’s products or services from its competitors’ products or services B. involves status, price, brand recognition, and other factors C. making comparisons to the competition to point out differences in the products D. celebrity endorsements (NIKE-Michael Jordan) Then ask students to give their examples of products in the four product life cycles. Use PowerPoint as aid. Ask students how the following brands are positioned: Hyundai Lacoste Polo Walmart Then explain how the brands are positioned based on status and price. Copyright © Texas Education Agency 2011. All rights reserved. 7 Verbal Linguistic Logical Mathematical Visual Spatial Musical Rhythmic Bodily Kinesthetic Intrapersonal Interpersonal Naturalist Existentialist Application Guided Practice (LSI Quadrant III): Ask students to think of a new purpose for a common product. Students should assume that the product is in the decline stage of the product life cycle. Then ask students to create an advertisement for the product that recommits it to the market. Ask students where would be a good place to regionalize surf shorts that were once popular with the masses but are now in the decline stage. Copyright © Texas Education Agency 2011. All rights reserved. 8 Independent Practice (LSI Quadrant III): Product Life Cycles PowerPoint (team project: 2 students per team) Ask students to select four sports and entertainment products that are in the four product life cycles. Students must prepare a PowerPoint presentation that describes each of the four products and explains the life cycle for each product. Students must also describe marketing strategies for each of the four products. This project will be evaluated using the assigned rubric. Summary Review (LSI Quadrants I and IV): Question: What is a product enhancement? Give an example. Question: What are the components of the product mix? Question: What is a product brand? Question: What are the four stages of the product life cycle? Question: What are different strategies for positioning products? Question: What is a regionalized strategy for marketing a product? Question: What is the difference between a tangible and intangible product? Evaluation Informal Assessment (LSI Quadrant III): Instructor should observe the work ethic of individuals involved in class discussions and the independent practice activity. Copyright © Texas Education Agency 2011. All rights reserved. 9 Formal Assessment (LSI Quadrant III, IV): Students will be evaluated on their “Product Life Cycles PowerPoint” by using the assigned rubric. Extension Extension/Enrichment (LSI Quadrant IV): Marketing Branson, Missouri Student Directions You are the activities director at a major resort in Branson, Missouri. The largest target market for this resort is senior citizens. Your resort is located close to a large outlet mall. Work with a group and complete the following activities. 1. Research Branson, Missouri, a popular tourist attraction for senior citizens. What are the major attractions for seniors at Branson? 2. What means of transportation bring seniors from all parts of the United States to Branson? 3. List three vacation activities that attract senior citizens. 4. What special promotions can be used to attract more senior citizens to your resort? 5. Create a brochure that gives senior citizens at least ten reasons for wanting to visit your resort. 6. Create a PowerPoint presentation to convince senior citizens to visit your resort. Make sure to highlight the major concerns of senior citizens. 7. Describe the product and service line at your resort. This project will be evaluated using the associated rubric. Copyright © Texas Education Agency 2011. All rights reserved. 10 Sports and Entertainment Marketing Student Directions Independent Practice (LSI Quadrant III): Product Life Cycles PowerPoint (team project: 2 students per team) 1. Select four sports and entertainment products that are in the four product life cycles. 2. Prepare a PowerPoint presentation that describes each of the four products and explains the life cycle for each product. 3. The PowerPoint presentation must describe marketing strategies for each of the four products. This project will be evaluated using the assigned rubric. Copyright © Texas Education Agency 2011. All rights reserved. 11 Independent Practice (LSI Quadrant III) Product Life Cycles PowerPoint Rubric 20 15 CATEGORY 10 5 Presentation Well-rehearsed with smooth delivery that holds audience attention. Rehearsed with fairly smooth delivery that holds audience attention most of the time. Delivery not smooth, Delivery not smooth but able to maintain and audience interest of the attention often lost. audience most of the time. Attractiveness Makes excellent use of font, color, graphics, effects, etc. to enhance the presentation. Makes good use of font, color, graphics, effects, etc. to enhance to presentation. Makes use of font, color, graphics, effects, etc. but occasionally these detract from the presentation content. Use of font, color, graphics, effects etc. but these often distract from the presentation content. Content Covers topic indepth with details and examples. Subject knowledge is excellent. Includes essential knowledge about the topic. Subject knowledge appears to be good. Includes essential information about the topic but there are 1-2 factual errors. Content is minimal OR there are several factual errors. Organization Content is well organized using headings or bulleted lists to group related material. Uses headings or bulleted lists to organize, but the overall organization of topics appears flawed. Content is logically organized for the most part. There was no clear or logical organizational structure, just lots of facts. Originality Product shows a large amount of original thought. Ideas are creative and inventive. Product shows some original thought. Work shows new ideas and insights. Uses other people's ideas (giving them credit), but there is little evidence of original thinking. Uses other people's ideas, but does not give them credit. Total Points Earned _______ Copyright © Texas Education Agency 2011. All rights reserved. 12 Extension/Enrichment (LSI Quadrant IV): Branson, Missouri Presentation Rubric 20 15 10 Presentation Well-rehearsed with smooth delivery that holds audience attention. Rehearsed with fairly smooth delivery that holds audience attention most of the time. Delivery not smooth, Delivery not smooth but able to maintain and audience interest of the attention often lost. audience most of the time. Attractiveness Makes excellent use of font, color, graphics, effects, etc. to enhance the presentation. Makes good use of font, color, graphics, effects, etc. to enhance to presentation. Makes use of font, color, graphics, effects, etc. but occasionally these detract from the presentation content. Use of font, color, graphics, effects etc. but these often distract from the presentation content. Content Covers topic indepth with details and examples. Subject knowledge is excellent. Includes essential knowledge about the topic. Subject knowledge appears to be good. Includes essential information about the topic but there are 1-2 factual errors. Content is minimal OR there are several factual errors. Organization Content is well organized using headings or bulleted lists to group related material. Uses headings or bulleted lists to organize, but the overall organization of topics appears flawed. Content is logically organized for the most part. There was no clear or logical organizational structure, just lots of facts. Sources Source information collected for all graphics, facts and quotes. All documented in desired format. Source information collected for all graphics, facts and quotes. Most documented in desired format. Source information collected for graphics, facts and quotes, but not documented in desired format. Very little or no source information was collected CATEGORY 5 Total Points Earned _______ Copyright © Texas Education Agency 2011. All rights reserved. 13