Lesson 9.3 – The Ticket Sales Cycle Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Sports & Entertainment Marketing Goals The ultimate goal of sports and entertainment promotion according to Mullin, Hardy and Sutton is to “increase overall consumption of products or services through increased awareness and interest” Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator The basic concept of the escalator is that sports and entertainment marketers focus not on getting new fans to games, but rather encourage those fans already attending to attend with more frequency Copyright The frequency escalator is a marketing tool that examines the attendance levels of fans © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 The Frequency Escalator Heavy User Medium User Light User Indirect User Non User Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator The unaware consumer does not know a product or service exists and therefore does not attend games or events The sports and entertainment marketer reaches this group of consumers through advertising, publicity and promotional items Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator The indirect user is aware of the product or service, but does not directly participate by attending events, but rather consumes via another source (television, radio etc) The sports and entertainment marketer goal with indirect users is to do something to get them to act. This group of consumers can be reached through promotional tickets, individual/single game tickets, theme nights and group nights Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator Light users attend games and events for promotional giveaways, team performance and social interaction This group of consumers can be reached through increased promotion and give-aways and creative packaging strategies Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator Medium users attend less than half the times possible The keys to reaching this group include good service, appealing to fan pride, creating team affiliations, added benefits such as seat locations and emphasis on the value of fan participation Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator Heavy users participate or attend more than half the times possible and are the most important group to an organization Examples of heavy users include season ticket holders, Tom Cruise fans that see each of his films in the theater and purchase all of his DVDs and fans of the Dave Matthews Band who see the concerts each time they visit the fan’s city and purchase all of their CDs Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Frequency Escalator Descending the escalator occurs when consumers downgrade or eliminate their participation levels Descending the escalator occurs when a consumer has over purchased or overcommitted Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Descending the Escalator Is often a byproduct of fan disconnect or discord with “their” team, event, or favorite performers Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Descending the Escalator The University of Colorado’s experiment with Groupon to heavily discount game tickets as way to attract new fans to the stadium provides an example of how an organization approaches the frequency escalator concept (the Buffaloes managed to sell nearly 1,200 tickets in less than 24 hours) Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Descending the Escalator CU's marketing director Prema Khanna: "While we would have liked to have sold more, we are happy with the results. What it does for us is potentially bring new people that may not otherwise go to a Colorado football game. It's a way to introduce them to our product, get them to a game...and then, who knows? Maybe next year they buy a three-game pack. The idea is to see if they go beyond this year." Copyright © 2014 by Sports Career Consulting, LLC Ticket Promotion & Sales LESSON 9.3 Blank Slide Available for Teacher Edits Copyright © 2014 by Sports Career Consulting, LLC LESSON 9.3 REVIEW (ANSWERS) Ticket Promotion & Sales 1)Explain the concept of frequency escalator The basic concept of the escalator is that sports and entertainment marketers focus not on getting new fans to games, but rather encourage those fans already attending to attend with more frequency with an increased level of commitment Copyright © 2014 by Sports Career Consulting, LLC