Product Positioning & Brand Strategy Final Report December, 2011 CONFIDENTIAL & PROPRIETARY © GEMBA GROUP Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 1 YA’s objectives for the project encompassed a better understanding of its consumers, ideal products as well as commercial options • To gain thorough insights into the behaviours and motivations of people in the sport and on the fringe and find out how engaged they are, how sailing is consumed and what the barriers to participation are • To gain an understanding of the optimal product portfolio and brand architecture of Yachting Australia (YA) on a national level • To receive an assessment of the sponsorship potential of existing programs/brands based on the target demographics of programs/brands • To get an overview of potential licensing opportunities for the grassroots component of the sport Yachting Australia © GEMBA GROUP 2 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 3 gemba has taken a research-driven approach to developing entrylevel product opportunities for Yachting Australia Quantitative Member Research • Quantitative survey sent out to ~30,000 people including club members as well as people having completed entry level sailing programs such as Go Sailing Day or Try Crewing Day • 1,668 members responding to approximately 60 questions assessing their preferences, behaviours, potential barriers and consumption of the sport • Quantitative research provided insights into potential product development opportunities which were tested further in the qualitative research component Yachting Australia Qualitative Research • Conducted 7 focus groups covering the segments with the highest potential for YA – both sailors and non sailors: • Primary School & Young Families • Secondary School & Older Families Brand Workshop & Commercialisation • Conducted Brand Workshop with key YA stakeholders developing the key opportunities further and discussed implementation requirements and challenges • Developed commercial opportunities for YA and the key product opportunities • Young Adults (to understand the drop-off from Secondary School to Young Adult) • Developed key opportunities for the sport by segment © GEMBA GROUP 4 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia CONFIDENTIAL & PROPRIETARY © GEMBA GROUP 5 Yachting Australia TA Marketing Plan © GEMBA GROUP 6 Yachting Australia’s pathway comprises 10 different steps, however the entry level into the sport is not clearly defined across States Yachting Australia YA Pathway Steps 10 Steps 7-9 Steps 4-6 Steps 1-3 Entry Level 3. Learn to Race 2. Better Sailing 1. Introduction to Sailing “TrySailing” Entry level brand NSW Tackers Entry level program for children aged 7-12 years Yachting Australia 9. AUS Development Squad 8. State-based HP Squad 7. State-based Development Squad 6. Club & class coaching programs 5. Club racing 4. Simplified club racing, e.g. Twilight / Social Sailing “GoSailing” Entry level brand VIC Sailability 10. AUS Sailing Team Entry level programs and brands inconsistently delivered across the different States © GEMBA GROUP 7 Nationally, there are 4 main training programs for dinghies, keelboats, powerboats and windsurfing Yachting Australia National YA Programs National Small Boat Sailing Scheme National Powerboat Scheme* National Keelboat Scheme National Windsurfing Scheme* • Learn to sail and race • Scheme consists of 4 • Scheme consists of 5 •Scheme consists of 9 a dinghy or small different proficiency different levels with different levels: catamaran in most levels: each one taking at 1. Basic Skills conditions least 12hrs of training 1. Recreational 2. Improving • Scheme consists of 6 Powerboat 1. Keelboat Crew Techniques different proficiency Operator 2. Keelboat Helm 3. Stronger Winds levels: 2. Powerboat 3. Keelboat 4. Longboard 1. Basic Skills 1 Handling Content Spinnaker Certificate 5. Short board 2. Basic Skills 2 4. Keelboat Racing 3. Safety Boat 6. Instructor Levels 3. Better Sailing 5. Keelboat Handling 7. Windsurfing Master 4. Racing Skills 1 Seamanship Certificate 8. Club Trainer 5. Racing Skills 2 4. Powerboat 9. Coach Level 1 & 2 Instructor 6. Small Boat Instructor * not in scope for research Yachting Australia © GEMBA GROUP 8 There is a variety of other entry level programs available through the State organisations and the Boating Industry Association Yachting Australia • The Boating Industry Association (BIA) of NSW represents the boating and marine industries in NSW • One of BIA’s objectives is to “Grow Participation in Recreational Boating in Australia” BIA have established 2 enticer programs for people without prior sailing experience: 1. Try Sailing Day (run for ~15yrs) • Objective is to give non-sailors, specifically kids, a taste of the sport • Organised by BIA, run by Yacht clubs • 2010: 42 participating clubs with ~2,500 children participating • Target audience are kids 6-12 years • Free course for participants and clubs, funded by BIA 2. Try Crewing Day (run for 2yrs) • Targeted at adults >18yrs • Basic sailing training delivered by clubs Yachting VIC & Yachting WA have been running Go Sailing Days successfully over the past years However, there is no information transfer from clubs to BIA and / or YNSW about participant data Yachting Australia © GEMBA GROUP 9 Membership in yachting is currently developed around annual subscription-based models which are differentiated by age only Yachting Australia Yachting Memberships • Currently, memberships of individuals with yachting clubs are mostly based around the following models: o Annual full membership o Annual crew membership o Annual junior membership • Clubs often reserve the right to charge a nomination or entrance fee in addition to the annual subscription • The process of including new members is often lengthy, including new member reference checks or review through a nomination committee • There are slight modifications to these models but they are overall non-flexible and mostly require long-term commitments Given that most consumers state “commitment” as a barrier for taking up a sport, alternative membership models will be assessed in research Yachting Australia © GEMBA GROUP 10 Yachting’s governance structure inhibits direct control by the peak body through to the yachting clubs Yachting Australia Yachting Governance Structure Affiliation Revenue Affiliation Structure Yachting Australia •YA receives an annual financial contribution from States •State Associations then levy fees from clubs – they have freedom to determine how the fees are levied Revenue Flows State Associations •YA and State Associations are separate legal entities •YA can provide strategic leadership but States & clubs are not obligated to follow Revenue Flows Yacht Clubs Source: Yachting Australia and State association interviews * The sport of Windsurfing is governed by the Australian Windsurfing Association which is affiliated to YA Yachting Australia © GEMBA GROUP 11 The current product portfolio of YA offers a variety of programs but is not targeting any segments nationally with specific offerings Current YA Product Portfolio Yachting Australia Capability Level Segments Primary school kids 5-12yrs Secondary school kids 13-19yrs No sailing skills Basic Awareness Social & Medium Simplified recreationa level of skills racing skills l skills Full racing skills Coaching skills HP skills Tackers (VIC only) Try Sailing Day (BIA) Developm ent Squad National Small Boat Sailing Scheme National Keelboat Sailing Scheme Young adults 16-34yrs w/o kids Working Professionals <34yrs, working, w/o kids Young Families Older Families HP Squad AST Go Try Sailing Crewin Day g Day (VIC, (BIA) WA only) Twilight Sailing Empty Nesters Retirees People with a Disability Yachting Australia Sailability © GEMBA GROUP 12 Market •TA Marketing Plan © GEMBA GROUP 13 We used gemba’s Active Sports Participation (gASP) research to draw insights relating to the sport of sailing and its participants Key Components of gASP: 1. Current Participation Frequency, time of year, nature, environment and motivations 2. Potential Participation Interest, motivations, barriers, time of year Age 5 to 75 years 3. Past Participation Age when participated, reason for stopping 4. Junior Programs Measures the awareness of programs, participation, involvement and sponsorship association Location Capital Cities & Regional Australia 5. Brand Imagery Measures the key brand image attributes as it relates to Participation 6. Membership An analysis of types of sports memberships – associations, gyms, clubs Sample Weekly 7,280 per year 7. Volunteering Number of hours, volunteering role and time of year 8. Consumption TV viewership and attendance to professional sporting events Yachting Australia © GEMBA GROUP 14 Passion levels are low for sailing and yachting – only 5% of the population is fanatical about the sport Market Passion Levels Sports (5-75yrs) 47 59 52 63 61 67 65 66 64 66 Ranked 37 th out of 46 sports tracked 62 61 69 69 74 83 % 23 16 31 Walking 25 A FL 25 16 20 13 16 16 18 16 21 22 16 17 13 23 22 20 19 19 19 18 18 17 17 15 15 13 Swimming Cricket Rugby League Tennis M o to r Spo rts Fishing Dance So ccer Ten pin bo wling B ushwalking Gym wo rko uts Cycling Rugby Unio n Fanatics (5 or 4) Fans ( 3 ) 11 5 Sailing / Yachting Disinterested (1 or 2) Source: gemba Active Sports Participation (gASP) Q. Please indicate your level of passion for each of the sports? 1=not at all; 5=very Yachting Australia Base: All Australians; n=5,614 © GEMBA GROUP 15 Motivations to get involved in sports differ significantly by age and stage of life Motivations to Participate in Sport 5 - 75 Years (By Segments) 60 50 Fitness 40 Relaxation 30 20 Social Interaction 10 Competition 0 Primary School High School Young Adult Young Family Older Family Working Professional Empty Nesters Retirees Source: gASP Q. For each sport allocate 100 points across the four reasons (Relaxation, Fitness, Social interaction, Competition) to best reflect how important each is for you Base: Total population n=6,253 © GEMBA GROUP 16 Only 24% of sailing & yachting fanatics are current participants in the sport 1% Market Passion for Sailing & Participation (Played atat-least once last 12 months, 55-75yrs) Sailing & Yachting Passion 6% 99% Disinterested 83% 24% 94% Fans Fanatics 11% 5% Participate last 12mths Non Participant Source: gemba Active Sports Participation (gASP) 76% Q. Which of these activities have you participated in the past 12 months? Q. Please indicate your level of interest in participating for each of the sports with the next 12 months? Yachting Australia Base: Total Sample n=5,614 © GEMBA GROUP 17 2.6% of Australia’s population is currently participating in sailing & yachting Market Current Participation (% of population, in the last 12 months, 5-75yrs) 53.1% 511k people participated in sailing during the last 12 months* 36.7% 26.1% Ranked 34 th out of 46 sports tracked 23.2% 21.5% 20.0% 19.7% 18.5% 16.0% 12.5% 11.1% 11.0% 10.3% 9.1% 8.7% Ya ch tin Sa ili ng / -o ut d ke t ric C g r oo nn is Ta b le Te ci se ex er G ro up So cc er lf G o s nn i g jo g ng / Te in g g yc lin C Ru nn i nc e D a w lin bo pi n Te n w G ym g or ko ut s hi ng al k w Bu sh Fi s in g g m in Sw im W a lk in g 2.6% Source: gemba Active Sports Participation (gASP), *Extrapolated using ABS Census data (June 2010) – Total population ~19.5m (age 5 to 74), national Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Yachting Australia Base: Total Sample n=5,614 © GEMBA GROUP 18 Besides being perceived as an international sport, sailing has an image of being ‘exclusive’, ‘for older people’ and ‘dangerous’ Market Imagery for Sailing / Yachting (in %, among general population, 5-75yrs) 45 43 35 30 26 19 16 Source: gemba Active Sports Participation (gASP) Q. Which of these sports do you associate with each of the statements? Yachting Australia 9 d si b le 9 ty m un i C om sin g Lo 10 in vo lv e 11 M od er n fe Sa l C oo le pe op yo un g Bo r in g Fo r g ci tin Ex Fu n ss Ag el e s an ge ro u D eo pl e Fo r ol de rp cl us iv e Ex In te rn at io na l 11 Ac ce s 19 ul ar ity 19 Po p 20 Base: All Australians; n=1,875 © GEMBA GROUP 19 No other sports is seen as ‘exclusive’ as sailing. The biggest difference to the top sport is ‘Accessibility’ and ‘Community involved’ Imagery (Sailing vs. Top sport, in %, 5-75yrs) 69 35 Exclusive For older people 20 Dangerous Cool 38 Exciting Boring Modern Snow sports defined as Snow Skiing and Snow boarding Q. Which of these sports do you associate with each of the statements? 10 Losing Popularity 9 Accessible 9 Surf Life Saving 34 Squash 11 Snow Sports 16 Snow Sports Snow Sports 19 53 Sailing / Yachting Yachting Australia 34 61 43 For young people 19 Fun 58 19 39 Walking Tennis International 30 46 Golf 43 Sailing 43 Walking 45 Motor Sports 61 Ten Pin Bowling 69 Motor Sports Market Community involved Top Sport for Imagery Base: All Australians; n=1,875 © GEMBA GROUP 20 The average starting age for sailing is very high compared to sports with an established junior develop program Market Average Participation Start Age (in years) Earliest start age Latest start age 28 20 8 Swimming 9 9 Gymnastics Athletics 10 Soccer 21 22 23 11 AFL Sailing / Yachting Golf Group exercise Gym workouts Pilates Junior Development Programs Source: gemba Active Sports Participation (gASP) Q. For the sports you have participated in the past or are currently participating in, at what age did you first start participating? Yachting Australia Base: Participants of respective sports © GEMBA GROUP 21 Sailing’s ‘starting age’ profile is similar to golf – the majority of people picked up the sport between the age of 16 and 24 Market Starting age profile (Selected Sports) 2% Swimming 74% 16% 6% 2% 1% AFL 52% 18% Sailing / Yachting Golf Gym workouts 22% 12% 6% 32% 13% 31% 24% 20% 33% 12% 21% 51% Under 10 10 – 15 16 – 24 2% 18% 25 – 34 9% 10% 10% 35 + Source: gemba Active Sports Participation (gASP) Q. For the sports you have participated in the past or are currently participating in, at what age did you first start participating? Yachting Australia Base: Participants © GEMBA GROUP 22 Consumers •TA Marketing Plan © GEMBA GROUP 23 Current Participation •Yachting Australia © GEMBA GROUP 24 Participation in sailing varies by life stage where the ‘Older Families’ segment has the highest participation levels in Sailing Consumers Participation in Sailing (Last 12 months, by segment, 5-75yrs) 4.3% 3.8% 3.1% 2.8% 3.0% 3.1% Empty Nesters Retirees 2.6% 1.7% Primary School Secondary School Young Adults Young Families Older Families Working Professionals (no kids) Source: gemba Active Sports Participation (gASP) Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Yachting Australia Base: Total Sample n=5,220 © GEMBA GROUP 25 Older Families is also the segment where females outnumber males in terms of participation Consumers Participation in Sailing (Last 12 months, by segment & gender, 5-75yrs) Male Female 4.3% 3.8% 3.1% 2.8% 1.2% 2.6% 1.4% 0.9% 1.7% 2.5% 1.8% Secondary School 1.3% 2.3% 2.1% 0.9% Primary School 0.7% 1.5% 0.8% 1.9% 3.1% 3.0% 2.2% Young Adults Young Families Older Families 1.8% 1.1% Working Professionals (no kids) Empty Nesters Retirees Source: gemba Active Sports Participation (gASP) Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Yachting Australia Base: Total Sample n=5,220 © GEMBA GROUP 26 However, female participation in sailing across all segments tends to be less frequent than male participation in sailing Frequency of participation - Sailing (Last 12 months, by gender, 5-75yrs) Male Female 8% 5% 30% 19% 21% 24% 53% More than once per week Once per week to once per month Once every one to three months Less often than every three months Q. How frequent do you participate in the following sports? Yachting Australia 42% Base: Sailing Participants n=147 © GEMBA GROUP 27 Sailing has higher levels of participation in Hobart compared to the other capital cities Consumers Current Participation in sailing & yachting % of population by location, 55-75yrs Brisbane Perth Adelaide 2.6% 1.6% 2.5% Sydney 2.5% Melbourne 1.9% Hobart Source: gemba Active Sports Participation (gASP) 5.4% Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Yachting Australia Base: Total Sample n=5,614 © GEMBA GROUP 28 Among sailing participants, most tend to sail socially with friends & family while a quarter takes part in some form of organised sailing Consumers Nature of Participation (Sailing Participants, 5-75yrs, in % of participants) 64 33 11 1 On my own Socially with friends Socially with family As part of an organised coaching / training program 7 9 As part of an As part of an organised week organised to week tournament, competition one off event or race 23% participated in some form of organised Sailing* *Multi-choice question hence this figure is less than the sum of the individual scores Source: gemba Active Sports Participation (gASP) Q.During the last 12 months, what was the nature of your participation in these sports or forms of exercise? Yachting Australia Base: Sailing Participants n=147 © GEMBA GROUP 29 Sailing is done for social & relaxation reasons, however, frequent participants place slightly more importance to fitness and competition Motivation for Participation Participated in last 12 months, 5-75yrs, Mean Importance (100 Points) Consumers Sailing & Yachting All sports Fitness Competition 42 10 Social Interaction Relaxation Fitness 9 14 Fitness Competition 9 16 Competition 39 Social Interaction 31 Relaxation Social Interaction 21 27 Competition 40 Relaxation Golf Fitness Surfing At least monthly 42 Windsurfing 13 Fitness 15 Competition Social Interaction 36 Social Interaction Relaxation 36 Relaxation 4 32 46 Canoeing / Kayaking 25 Fitness 15 Competition Social Interaction 21 40 23 5 33 Relaxation Source: gemba Active Sports Participation (gASP) Among current participants (participated in the last 12 months) Q. For each sport allocate 100 points across the four reasons (fitness, competition, social interaction and relaxation) to best reflect how important each is for you. Yachting Australia 18 38 Base: Participants of respective sport; Sailing: n=147 © GEMBA GROUP 30 Future Participation •Yachting Australia © GEMBA GROUP 31 Among those who do not currently sail, children, Young Adults and Young Families have the highest interest in participating in sailing Consumers Current + Interest in Participating in Sailing & Yachting (By segment, 55-75yrs) 8% 8% 7% 6% 3.0% 7% 4.3% 5% 4.1% 4.9% 5% 2.6% 5% 4% 2.6% 1.6% 1.2% 2.6% 3.0% 3.1% Working Professionals (no kids) Empty Nesters Retirees 3.3% 2.7% 2.8% Total Primary School 3.8% 1.7% Secondary Young Adults School Sailed Last 12 months 3.1% Young Families 4.3% Older Families Interested in sailing / yachting next 12 months (% 4 or 5) Source: gemba Active Sports Participation (gASP) Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Q. Please indicate your level of interest in participating for each of the sports with the next 12 months? 1=not at all; 5=very Base: Total Sample n=5,220 Yachting Australia © GEMBA GROUP 32 Young mothers are particularly interested in sailing, thus making the Young Families segment the one with the highest interest for sailing Consumers Interest in Sailing (Next 12 months, by segment & gender, 5-75yrs) Male Female 4.9% 4.1% 4.3% 3.3% 3.0% 1.7% 3.3% 2.9% 1.0% 1.2% 1.8% Total 2.4% Primary School 2.3% 2.6% 2.6% 0.7% 0.6% 2.0% 1.9% 1.4% 1.6% Secondary School Young Adults Young Families Older Families Working Professionals (no kids) 1.6% 0.8% 1.2% 0.2% 0.9% 1.0% Empty Nesters Retirees Source: gemba Active Sports Participation (gASP) Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Yachting Australia Base: Total Sample n=5,220 © GEMBA GROUP 33 Interest levels are fairly similar across the country, there are some differences between regional and metropolitan areas Consumers Interest in Participating in Sailing & Yachting (% of population) WA Regional 0.6% Perth Metro 1.7% QLD Regional 1.5% SA Regional 2.8% NSW Regional 3.2% Adelaide Metro 2.5% Hobart Metro / TAS Regional Brisbane Metro 2.3% Sydney Metro 3.9% Melbourne Metro / VIC Regional 3.2% / 3.5% Source: gemba Active Sports Participation (gASP) 1.6% / 3.3% Q. Please indicate your level of interest in participating for each of the sports with the next 12 months? 1=not at all; 5=very Base: Total Sample n=5,614 Yachting Australia © GEMBA GROUP 34 Among the high interest segments the cost of participating is a common barrier to participation Barriers to Participate 1/2 Consumers Primary School Having to become a member Secondary School 63% Cost of participating 63% 37% Cost of participating 55% Lack of available/appropri ate facilities 44% 24% Lack of available/appropri ate facilities 47% Not knowing where to participate 34% Lack of available/appropri ate facilities 20% Not having anyone to participate with 42% Not having the equipment required to participate 33% Not having anyone to participate with 19% Not having the equipment required to participate 33% Not having anyone to participate with 24% 34% Cost of participating 33% Not having the equipment required to participate Lack of available/appropri ate facilities 32% Not knowing where to participate Not knowing where to participate 30% Cost of participating 29% Not having the equipment required to participate Young Families Young Adults 37% Not knowing where to participate Q. For the following sports that you are interested in participating in, if any, which of the following create barriers to you staring to participate? Note: Small sample size Yachting Australia © GEMBA GROUP 35 The perceived cost of participating in sailing remains the top barrier for Older families, Working Professionals and Retirees Barriers to Participate 2/2 Consumers Work Professional (w/o kids) Older Families Cost of participating Retirees Empty Nesters 37% Cost of participating 41% 39% Cost of participating 30% Not having the equipment required to participate 29% 25% Not having anyone to participate with 35% Not having the equipment required to participate 19% Have existing injuries 28% Not having the equipment required to participate 24% Lack of available/appropri ate facilities 21% Not knowing where to participate 15% Not having anyone to participate with 24% Not having anyone to participate with 13% Having to become a member 18% Commitment to a season 12% Having to become a member 14% 56% Cost of participating 41% Not having the equipment required to participate Commitment to a season Lack of available/appropri ate facilities 52% Not having anyone to participate with Q. For the following sports that you are interested in participating in, if any, which of the following create barriers to you staring to participate? Note: Small sample size Yachting Australia © GEMBA GROUP 36 In relative terms, families place higher emphasis on sailing to relax while Young Adults and Empty Nesters are more keen on social aspect Consumers Motivations for Participation in Sailing Older Families Professional w/o kids Empty Nesters Retirees Relaxation Young Families Fitness Young Adults Competition Secondary School Social Interaction Primary School (Interested in Sailing) Social Interaction 22 25 32 29 22 26 32 20 Competition 28 11 13 8 9 16 8 17 Fitness 22 19 12 8 16 13 14 19 Relaxation 28 45 42 55 53 45 46 44 27% 15% 15% 43% Motivations for participation Source: gemba Active Sports Participation (gASP) Q. How important are the following for your participation in that sport? Allocate 100 points across the 4 attributes to best reflect how important each is to your participation. Yachting Australia Base: Interested in Sailing, n=155 © GEMBA GROUP 37 While the majority of people interested to sail in the next year want to sail socially, a quarter of them are interested in training programs Consumers Nature of Participation Interested in Sailing, all age groups (in %) 65 32 25 20 13 On my own Socially with friends Socially with family As part of an organised coaching / training program 7 As part of an As part of an organised week organised to week tournament, competition one off event or race *Multi-choice question hence this figure is less than the sum of the individual scores Source: gemba Active Sports Participation (gASP) Q. what are all the ways in which you would want to participate in these sports? Yachting Australia Base: Interested in Sailing / Yachting n=164 © GEMBA GROUP 38 Key Insights – Market & Consumers The main barrier for future participation is the perceived cost of sailing, especially among Young Adult and Young Families Cost is the top barrier to participation Low passion and participation 1 Sailing is ranked 37th and 34th out of 46 sports respectively in passion and participation 6 2 Key Insights Relaxation an 5 important element Exclusive image and inaccessible Sailing is perceived as the most ‘exclusive’ sport while not being seen as very ‘accessible’ 3 Late starting age Relaxation is consistently the most important reason for Sailing participation among both current sailors and those interested in sailing 4 High interest among children, young adults and families On average, the starting age of sailing is much higher than other sports with established junior programs. Sailing has a similar profile to golf Primary school, Secondary school, Young Adults and Young Families have the highest interest in participating in sailing in the next 12 months Yachting Australia © GEMBA GROUP 39 Yacht Club Members •TA Marketing Plan © GEMBA GROUP 40 Keel Boat participation is highest among yacht club members followed by participation on Dinghies and Powerboats Members Participation in Sailing – Last 12 months 72% 48% 46% 25% 6% 1% Keel Boat Dinghy Trailable Yachts Powerboating Windsurfing Kiteboarding Source: YA Members Survey Q. When was the last time you participated in each of these activities?? Yachting Australia Base: Total Sample n=1,578 © GEMBA GROUP 41 There is no major difference in sailing participation across the country apart from a slightly higher keelboat usage in TAS, WA and NSW Members Participation in Sailing – Last 12 months Queensland West Australia 83% 65% 44% Keel Boat Dinghy 47% 32% 27% Keel Boat Trailable Yachts Dinghy Trailable Yachts New South Wales 79% 46% 19% Keel Boat Dinghy Trailable Yachts South Australia 62% Victoria 52% 28% Tasmania 67% 84% 49% 52% Keel Boat Dinghy 23% Trailable Yachts Keel Boat Keel Boat Dinghy Source: YA Members Survey Q. When was the last time you participated in each of these activities?? Yachting Australia 26% Dinghy Trailable Yachts Trailable Yachts Base: Total Sample n=1,668 © GEMBA GROUP 42 When compared to people interested in sailing, current members place a higher emphasis on competition and achievement Members Motivation for participating in Sailing Interested in Sailing Sailing Members 43 34 27 27 22 17 Relaxation Fitness Competition / achievement Social Interaction Relaxation 15 15 Fitness Competition / achievement Social Interaction Source: gemba Active Sports Participation (gASP), YA Members Survey Base: Total Pop; n=5,220 (gASP) Q. Please allocate 100 points across the four reasons to best reflect how important each is for you. Base: Sailors; n=1,668 (Member Survey) Yachting Australia © GEMBA GROUP 43 The top reasons for participating in sailing for club members are ‘fun’, ‘freedom’ and ‘the joy of being outdoors’ Members Reason for participating in Sailing (Applies very strongly) 60% For the fun I like the sense of freedom associated with sailing 46% 51% 51% An activity you can do for life 44% 39% I like the technical aspect of sailing 43% 43% For the racing & competition 29% 24% I live close to the ocean 24% 25% It involves both males and females 23% 28% Flexibility to do alone or with others 21% 23% A social catch-up with friends/family To maintain fitness & health To meet new people To have the family all doing an activity together 55% 54% 54% I like being outdoors The opportunity to travel 66% Keel Boat sailors only Dinghy sailors only 17% 16% 14% 21% 13% 18% 12% 23% Q. Please indicate the degree to which the following reasons motivate you to participate in the sport of sailing. (1=Doesn’t apply 5=Applies very strongly) Yachting Australia © GEMBA GROUP 44 Participation peaks on the weekend for Keel Boat and Dinghy. Interestingly there is a large contingent of twilight Keel Boat sailors Members Timing of Participation – By Boat Types Keel Boat Weekends Dinghy 54 71 9 24 Weekdays – during the day Holidays – at a place near where I live 14 9 Holidays – at a holiday destination 15 10 3 Irregular participation Source: YA Members Survey Q. When do you participate in sailing? Yachting Australia 6 8 6 9 3 4 21 39 11 34 Weekdays – after work Holidays – at my holiday home Trailable Yachts 56 41 Base: Sailors; n=1668 © GEMBA GROUP 45 Dinghy sailing has the shortest average sailing time at any occasion, particularly during weekdays after work Members Average time spent (Hours) 16.9 15.1 12.9 11.8 9.2 7.4 7.2 5.9 6.2 3.6 Weekends 5.2 4.9 4.8 Weekdays – during the day 3.1 2.4 4.6 4.3 Keel Boat 2.5 Holidays – at a Holidays – at a place near where I holiday destination live Dinghy Holidays – at my holiday home Irregular participation Trailable Yachts Source: YA Members Survey Q. Thinking about when you participate in sailing, including preparation and ‘clean up’ activities, typically how much time would you spend sailing during the following occasions? Yachting Australia 3.8 2.9 Weekdays – after work 6.6 Base: Sailors; n=1668 © GEMBA GROUP 46 Interestingly cost and change of residence are perceived as potential drivers of churn by members, yet amongst churners they are not Members Drivers of Churn Actual Drivers Potential Drivers 27 30 Time commitment too high Conflicts with family needs 25 22 Replaced sailing with another activity/sport 16 19 13 11 Lost interest 27 7 Costs Replaced sailing with a more fitness orientated sport 6 Need to have own boat 4 I wasn’t made to feel welcome 4 Moved away from the ocean 2 I was intimidated 2 2 5 10 18 7 I felt I was not developing my sailing skills Yacht club doesn’t offer anything for my partner Yacht club doesn’t offer anything for my kids 0 0 4 Didn’t renew my membership 0 4 2 5 8 Source: YA Members Survey Q. Which of the following best describe your reason for not sailing within the last 2 years Q. If you were to ever stop sailing, which of the following do you feel are most likely to lead you to stopping? Yachting Australia Base: Not sailed past 2 years; n=54 Base: Sailors; n=1624 © GEMBA GROUP 47 Young Adults and Young Families struggle with sailing’s time & cost commitments and it’s conflicts with family needs Members Factors most likely lead to stop sailing (%) Young Adults Young Families Older Families Professional w/o kids Empty Nesters Retirees Time commitment too high 51 53 27 28 20 9 Costs 38 37 23 23 28 24 Need to have own boat 9 9 5 7 4 3 Conflicts with family needs 21 59 33 13 22 13 Yacht club doesn’t offer anything for my partner 3 20 7 3 7 6 Yacht club doesn’t offer anything for my kids 4 12 5 2 1 2 Loss of interest 10 9 15 16 12 15 Move away from the ocean 30 13 18 25 17 11 Replace sailing with another activity/sport 13 17 17 18 16 13 Don’t want to commit to an annual membership 8 5 3 4 3 5 Replace sailing with a more fitness orientated sport 4 4 3 3 1 1 Not being made to feel welcome 13 11 10 10 8 7 Being made to feel intimidated 8 8 8 8 5 4 Not being able to further develop my sailing skills 13 6 3 9 4 3 Other (please specify) 18 17 40 42 50* 63* Important Factor, very likely leading to stop sailing Factor likely not to be leading to stopping to sail Time Family Cost Time Residence Cost Family still an issue but less so than younger families Time and money less of an issue. Residence remains important Source: YA Members Survey Q. If you were to ever stop sailing, which of the following do you feel are most likely to lead you to stopping? (Multiple choice) * Old age / health the main barrier for older sailors. Yachting Australia Health issues Health reasons… …death. Base: Sailors; n=1624 © GEMBA GROUP 48 Self-teaching and learning from friends or family are the key barriers to course participation Members Reasons for nonnon -participation in courses 56 I taught myself I have friends/family who have taught me 51 18 No convenient times or locations 14 I wasn’t aware of them 12 Too much time required 7 They are too expensive These courses are too technical Source: YA Members Survey Q. Why have you never participated in any of these courses? Yachting Australia 1 Base: All respondents; n=397 © GEMBA GROUP 49 The overwhelming majority of sailors believe 7-12 is the ideal age to introduce kids to sailing Members Youngest Age to start sailing Ideal Age to start sailing 13 Age 6 or younger 72 7 to 12 years 11 13 to 17 years 5 Below 5 years 12 5 years 18 6 years 18 to 24 years 2 7 years 25 to 29 years 1 8 years 30 to 34 years 0 9 years 35 to 39 years 0 10 years 40 to 44 years 0 11 years 0 45 or above 0 12 years 28 21 6 8 1 Source: YA Members Survey Q. What age do you recommend as the best age to get involved in sailing? Base: Sailors; n=1668 Yachting Australia Q. What is the youngest age someone could first actively get involved in the sport? Base: Ideal 7-12 years; n=1209 © GEMBA GROUP 50 The majority of sailors would consider sending their child or grandchildren to a junior program but a lack of interest is the key barrier Members Propensity of YA members to send children / grandchildren to a junior sailing program Reasons for not sending children / grandchildren to junior program (By Age) (By Age) Yes 0-3 years 30% 4-6 years 7-9 years 16-18 years No 70% 42% 58% 80% 85% 10-12 years 13-15 years I can train Too Not safe my child dangerou enough myself s 65% 61% 20% 15% 35% 39% Q. Would you send your children/grandchildren to a junior sailing program? Source: YA Members Survey Yachting Australia Time commitm ent too high Costs Need to Conflicts They are have own with family not boat needs interested 11% 18% 17% 3% 5% 2% 13% 28% 23% 11% 18% 6% 6% 6% 14% 32% 30% 4% 0% 4% 11% 7% 15% 37% 25% 0% 0% 6% 6% 6% 6% 50% 15% 0% 0% 9% 6% 3% 6% 71% 18% 0% 0% 12% 0% 6% 21% 62% Q. Why wouldn’t you send your child/grandchild to a junior sailing program? Base: Child not involved in sailing but have sailing parents © GEMBA GROUP 51 There is a higher demand for an additional sailing program among dinghy sailors, young adults, young families and older families Members Opportunity for additional sailing program Boat Type Keel Boat Sailors Dinghy Sailors Both 29% of keel boat sailors feel there is an opportunity for an additional program 29% 37% 40% of Young Adults feel there is an opportunity for additional program Segments Young Adult 40% Young Family 47% Older Family 36% Working professional (no kids) 31% Empty Nesters 23% Retirees 21% 32% Source: YA Members Survey Q. Do you feel there is an opportunity for an additional program to enable you and your family to become more involved in sailing? Yachting Australia © GEMBA GROUP 52 A family sailing activity targeted at both parents and their kids is one of the suggested programs Members Selected suggestions of additional programs Young Adults Young Family 1 1 Older Family 1 Family sailing and cruising (kids sailing with parents) Cruising and social sailing (Casual and noncompetitive) Cruising and social sailing (Casual and noncompetitive) 2 Adult and child program 2 Course for female 2 Family sailing and cruising (kids sailing with parents) 3 Access to boats for nonowners - boat share/charter Source: YA Members Survey Q. Please describe the type of program that would enable you and your family to become more involved in sailing? Yachting Australia Base: n=500 (random coding) © GEMBA GROUP 53 Members also see an opportunity to develop a cruising and social sailing program for all segments Members Selected suggestions of additional programs Professional no kids Empty Nesters 1 1 Course for female Retirees 1 Cruising and social sailing (Casual and noncompetitive) Cruising and social sailing (Casual and noncompetitive) 2 A conversion course from dinghy to larger boats Family fun days where all the family participate Source: YA Members Survey Q. Please describe the type of program that would enable you and your family to become more involved in sailing? Yachting Australia Base: n=500 (random coding) © GEMBA GROUP 54 Key Insights – Club Members There is a higher demand for an additional sailing program among dinghy sailors, young adult, young families and older families Sailing program opportunities for dinghy, young adults and families Racing / competitive 1 Club members are mainly focused on racing and are very competitive by nature 2 No difference between States 6 Key Insights Slightly higher keelboat participation in TAS, WA and NSW but generally no difference in preference across States 7- 12 is ideal age 5 bracket to start sailing 3 The overwhelming majority of sailors believe 7-12 is the ideal age to introduce kids to sailing 4 “I can teach myself” Cost is not the real reason for churn For members, cost and change of residence are perceived as potential drivers of churn however they are not the reasons for why people leave the sport Self teaching and learning from friends/family are the key barriers to participation in a sailing course Yachting Australia © GEMBA GROUP 55 Females Compared to males, females have lower passion and participation levels but female teenagers and young moms have high interest levels Passion for Sailing Current + Interest among FEMALES in Participating in Sailing & Yachting 6.6% 8% 4.2% Male Female 7% 5% 5% 5.3% 4% Sailed Last 12 months 4.9% 2.2% 2.8% 1.8% 2.4% 1.5% 2% 2.0% 2.1% Primary School Male Female 1.6% 3% 3.2% Secondary School Young Adults Sailed Last 12 months Young Families 3% 1.8% 1.0% 0.9% 1.1% Older Families Working Professionals (no kids) 0.4% 3.0% Empty Nesters 2.3% Retirees Interested in sailing / yachting next 12 months (% 4 or 5) Source: gASP Q. Which of the following sports or forms of exercise have you participated in during the last 12 months? Q. Please indicate your level of passion for Sailing? Q. Please indicate your level of interest in participating for each of the sports with the next 12 months? 1=not at all; 5=very Yachting Australia © GEMBA GROUP 57 Interested females are attracted by relaxation & social elements. Costs are a barrier for potential female sailors and current members. Motivation: Those Interested in Sailing Motivation: Sailing Members (Females) (Females) Social Relaxation Social Relaxation (vs male: 21%) Competition Competition Fitness Fitness Barrier to Participation (Among those interested) Factors most likely lead to stop sailing (Among members) 1 Cost of Participating 46% 1 Time commitment too high 33% 2 Not knowing where to participate 31% 2 Costs 26% 25% 3 Moving away from the ocean 24% 21% 4 Conflicts with family needs 21% 18% 5 Replaced sailing with another activity 14% 3 4 5 Lack of available/ appropriate facilities Not having anyone to participate with Having to become a member Source: gemba Active Sports Participation (gASP) Yachting Australia Source: YA Members Survey © GEMBA GROUP 58 Qualitative Research Insights Positive unprompted associations of Sailing/Yachting dominated the discussions – only when probed, negative attributes arose Positives Negatives • Water • Hard work • Wind in your air • Cold & Wet • Freedom • Stressful • Boats • Expensive • Summer & Sun • Commitment (time & money) • Escape • Exclusive • Serenity No real difference between segments or involvement type Yachting Australia © GEMBA GROUP 60 Many respondents are unsure about the differences of Sailing vs. Yachting Perception on Differences Yachting Sailing • More exclusive • More inclusive • More a boat type • More an activity • Snobbish • More active • More passive • More a sport NonNon -sailors connect more strongly with the term ‘sailing’ than ‘yachting’ – however, this is not the terminology used by the sport currently Yachting Australia © GEMBA GROUP 61 There is a strong perception that sailing is an expensive sport due to a variety of factors Perceived Costs of Sailing* • Boat ownership including purchase, maintenance, storage costs • Membership in club (believed to be mandatory) • Expensive for a family activity • High upfront costs without guaranteed positive experience • Sailing lessons * Qualitative insights only, not in order of importance Yachting Australia © GEMBA GROUP 62 Similar to associations, respondents generally chose positive image attributes among a range of positive & negative attributes available SHARED ATTRIBUTES ACROSS ALL SEGMENTS FUN EXHILIARATING ADVENTUREOUS SOCIAL CHALLENGING EXCITING YOUNG ADULTS YOUNG FAMILIES OLDER FAMILIES COOL CONFIDENT RESPONSIBLE PRESTIGIOUS EXCLUSIVE SOPHISTICATED RESPONSIBLE EXPLORER Note: Sailors did not mention any other image attributes Yachting Australia © GEMBA GROUP 63 There are a lot of very strong, shared benefits of sailing across the groups – sailors are the only group to see competition as a benefit SHARED BENEFITS Enjoyment of the outdoor and sea A great day out with friends A great day out with family Sense of adventure Peace and tranquillity / Getting away / Freedom YOUNG ADULTS YOUNG FAMILIES OLDER FAMILIES SAILORS Mateship Camaraderie Relaxation / Time out Strength & Fitness Yachting Australia Relaxation Community & Club network Community & club network Love the challenge & competition Mateship / Camaraderie © GEMBA GROUP 64 Benefits of sailing for sailors include very strong terminology around ‘freedom’, ‘addictive’ and ‘magic’ It’s magic Gliding through the water Giving me a sense of space – no buildings around you It’s addictive It’s magic, free, therapeutic It clears your head & feeds your soul Satisfying Total freedom Yachting Australia © GEMBA GROUP 65 The focus groups revealed very little awareness of boat types and when prompted the language used was different to YA terminology Unprompted Responses to Boat Types “Lasers” “Skiffs” “Hobie Cats” Prompted Responses DINGHY KEEL BOAT POWERBOAT Everyday families Exclusive (aspirational to some) Skiers Good for kids to learn Expensive ”Cruising” Portable/easier More social Lazy More solo Team building Speed/Adveture Less social Recreation More sporty Relaxation Considered: Sporty Yachting Australia Less sporty © GEMBA GROUP 66 Perception of yacht clubs was generally negative, however the experience tended to vary greatly by club Negative Exclusive Positive Intimidating Scary Community Feel Elitist Welcoming Daunting Down to earth Hidden Similar to RSL or SLSA club Unapproachable A closed community Yachting Australia © GEMBA GROUP 67 School, parents & friends are responsible for the initiation into sailing while lack of time or interest and commitment present biggest barriers PRIMARY SCHOOL SECONDARY SCHOOL YOUNG ADULTS YOUNG FAMILIES OLDER FAMILIES Parents School Friends School Friends Many did it when they were young Friends Parents Holiday experience Many did it when they were young Friends Friends Holiday experience Holiday experience What got segment into sailing? Holiday house The barriers PRIMARY SCHOOL SECONDARY SCHOOL No interest No interest Too hard Too hard Many other sports e.g. Soccer Many other sports eg. Soccer No other friend interest No other friend interest YOUNG ADULTS YOUNG FAMILIES OLDER FAMILIES Now need to make time for it (no school) Time Planning/Hard work Friends stopping/not interested Less interested in competition Too familyfamily-ish Commitment – too hard Yachting Australia Commitment (time, financial & organisational) Kids lack of interest Bad first experience Melb: not compelling enough destination © GEMBA GROUP 68 Based on initial experiences, only very few ‘fringe’ sailors make it through the barriers of sailing to become regular participants Non Sailors on the ‘Fringe’ The Barriers Sailors Enthusiastic Positive expectations & imagery Costs Intimidating first experience Club experience Lack of information Need to make friends quickly You need to be brave Yachting Australia © GEMBA GROUP 69 Motivations to get involved in sailing revolve around ease of entry and social, immediate experiences -other sports can serve as an example Motivations • Has to be Easy & Fun • Minimal commitment – don’t want to have to join anything • With group of friends – social • Has to be an experience – more practice than theory, just enough to feel comfortable & safe • Has to be a great day out (with friends or family) • Maybe a result (i.e. certificate or voucher) that is attractive and provides value to continuing in sailing Yachting Australia Sports that do entry level programs well • Scuba Diving - PADI Open Water course • Internationally recognised entry course/card • Gets people into water straight away – theory is done in water • Surfing • Skiing © GEMBA GROUP 70 Ideal program components vary by segment; families are looking for family courses while young adults want a one-off experience YOUNG FAMILIES • Parents & kids together • Basic theory before getting on boat, but not in class room atmosphere • 3-4hrs, shorter timeframe if with kids • Weekend / Saturday morning or summer holiday program • Not too early • Keelboat for adults • In summer • Cost $60-150 per family • No membership PRIMARY SCHOOL • Together with parents, joint learning experience • On dinghies • Short time • Weekend / Saturday morning or summer holiday program • Certificate at end of course • Good coach : child ratio Yachting Australia YOUNG ADULTS OLDER FAMILIES • Weekend activity or during school holidays – in summer • Parents & kids together or on separate courses • 2-3hrs • Practice rather than theory – learning by doing • Boat must be easy to sail & rig up • No commitment, no membership • Upfront 1-2 week workshop before signing up to proper course • Pay as you go • 3-4 hrs, ½ day • Summer • On weekend/Sunday • Multiple instructors in a relaxed atmosphere • On keelboat • An experience • Practice rather than theory – few safety tips like on plane • Socially with a group eg. Lunch/drink at club • Include discount to proper course • Cost $50-100 with lunch • No membership SECONDARY SCHOOL • Weekend activity or during school holidays – in summer • Parents & kids together or on separate courses • 2-3hrs • Practice rather than theory – learning by doing • Organised by school • No commitment, no membership Respondents intuitively thought of a oneone-day type of experience when asked but not of a structured, multimulti-week training program © GEMBA GROUP 71 Non-sailors find it hard to identify with “training” or “scheme” for a leisure activity Perceptions about existing program names “Course sounds too serious” Program Names that were tested Training Program Course Program Training Scheme Go Sailing Come Sailing Discover Sailing Learn Sailing Enjoy Sailing Sailing Adventure Sail4Fun A Taste of Sailing Go Sailing Try Sailing Yachting Australia “Course sounds like too much commitment, it’s a little bit intimidating already” “Learn is not appealing – it needs to be softer” Program Names that appealed to both sailors & nonnon-sailors Discover Sailing Favourite Name Enjoy Sailing Sailing Adventure Sail4Fun A Taste of Sailing Go Sailing © GEMBA GROUP 72 ‘Discover Sailing’ was the preferred program name for consumers and represents a strong call to action Why ‘ Discover Sailing’ is appealing “It sounds like an adventure” “It has the connotation of a beginning” “It sounds inviting” ‘Discover Sailing’ appears to be a communication message with a strong appeal to consumers. It inherently represents the more exciting aspect of the sport and also carries a strong emotional connection. It is recommended to use ‘Discover Sailing’ as the call to action for all entry level programs that entice new participants to give sailing a go, e.g. in an Open Day or Discovery Day Yachting Australia © GEMBA GROUP 73 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 74 We have analysed all insights from a segment perspective to reflect the impact of a person’s lifestage on decision-making Segment Primary School • 5 - 12 years (in primary school) Secondary School • 13 - 19 years (in secondary school) Young Adults • 16 – 34 years • University or Full time working professional (no kids) Young Families • < 49 years • Family with youngest child under 10 years Older Families • > 34 years • Family with youngest child over 10 years at home Professional w/o kids • > 34 years • Full time working professional without kids Empty Nesters • > 34 years • Working parent – children living away from home • > 50 years • Retirees Retirees Yachting Australia Segment Definitions © GEMBA GROUP 75 By combining Consumer Insights and general yachting learnings, a prioritisation matrix for these segments has been developed Segment Priority Framework Strategic Importance 1 Primary School 2 Secondary School 3 Young Adults High High Medium Primary School Secondary School Young Adults High Medium 4 Young Families 5 High Older Families Medium 6 Working 7 Empty Profession Nesters als 8 Retirees Low Low Low Working Profession als Empty Nesters Retirees High High Size of the segment potential (Future interest in sailing) Commercial Potential of segment (income & YA member spend) Attractiveness to funding partners (Govt & Private) Ability to influence other segments Ease of Implementation Low Young Families Low Older Families Medium Medium Competing with other sports (market share available for sailing) Existing program can be rolled out or modified Access to infrastructure (=boats) is not a strong barrier Red text: Black text: Insights-driven criteria General learnings Yachting Australia Low Below Average Average Above Average High © GEMBA GROUP 76 The rating system highlights priority segments – Primary and Secondary School children, as well as Young & Older Families Impact vs. Implementation Matrix Strategic Importance 2 Secondary 1 Primary School School • Size of the segment potential (Future interest in sailing) High Strategic Importance Young 4 Families 5 Older Families 3 Young Adults • Commercial Potential of segment (income & YA member spend) • Attractiveness to funding partners (Govt & Private) • Ability to influence other segments Mid Ease of Implementation • Competing with other sports (market share available for sailing) 6 Working • Existing program can be rolled out or modified Professionals Low • Access to infrastructure (=boats) is not a strong barrier 7 Empty Nesters 8 Retirees 1 – High* 2 - Medium 3 - Low Ease of Implementation Opportunities with strong potential Opportunities with less potential (Both to implement and service) *Note: High ease of implementation can be achieved quicker than low ease of implementation Yachting Australia © GEMBA GROUP 77 Based on the resourcing constraints of YA, it is recommended to focus on the 3 high potential segments in a first step Prioritisation Plan Yachting Australia Immediate Medium Term Long Term Primary School Older Families Working Secondary School Young Adults Professionals Young Families Empty Nesters Retirees Yachting Australia © GEMBA GROUP 78 Primary school kids are a key segments of focus: they have high interest in sailing & capturing them early ensures a lifelong association with the sport 1 Primary School • Crucial to focus on this segment since this is the time in children’s life where sampling of a variety of sports is taking place, first experiences of success happen and first friendships are built • It is a highly sought after segment by sports and other activities – YA’s strategic disadvantages lie in: – parents perceiving sailing as a dangerous sport for primary school kids and – the fact that the ideal starting age is believed to be around 7-12 years, which is later than for other sports – the perception that sailing is an exclusive sport, reserved for older people • Other barriers for this segment are: – Having to become a member & Lack of equipment & facilities • When asked, parents wanted their children to be in a program featuring: – Good coach : child ratio – Short time, weekend program – Certificate or clear pathway at end of course Yachting Australia Opportunities • Roll out of existing junior program TACKERS nationally to all clubs • Delivery: – Starting age at 7 years – Length ideally 1 1--2 hours – On weekends or during holidays – Program to focus on social interaction between kids • Communication about program needs to emphasise – Safety – Social aspects • Opportunity for parents to get involved as volunteers supporting their kids development © GEMBA GROUP 79 Secondary school kids are a tough segment to attract if they are not yet interested but it is key to capture them for the sport pathway 2 Secondary School • In general, this segment is participating in a variety of sports – they have the most time at hands but will already have made their choices about their favourite sports • Main sports motivations for this segment are social interaction and fitness • Secondary School children have the highest future interest in sailing and strong current participation numbers – future interest is mainly coming from females • Barriers to participation in sailing are: – Cost of participating – Equipment needed – Potentially lower interest levels of teenagers who have already chosen their favourite sports – Not an ideal age to start sailing – too late • When asked, parents wanted their children to be in a program featuring: – More practice than theory, learning by doing – Organised by school – 2-3hrs – Weekend activity or during summer holidays – No membership required Yachting Australia Opportunities • Program needs to feature fun & social interaction as sailing is currently not perceived as very exciting by this age group • Investigate options to include sailing in school activities • Create social, fun product for kids not wanting to race • Retention after Tackers • Less structured, more fun • 2-3hrs • On weekends or summer holidays • Without membership • Investigate appeal of current sailing rules & regulations, language, facilities for this segment © GEMBA GROUP 80 Young Families are a key focus segment since sailing needs to capture kids under the age of 12 and parents are still decision-makers 4 Young Families • This segment is particularly crucial to engage in sports since young parents are still taking decisions for their young children – also around the type of sports activity the children partake in • By acquiring & retaining young parents there is a chance to not only get adults into the sport but also their young children since parents are looking for social activities that can be done by the entire family • Research shows that there is a strong correlation between parents who sail & getting their children involved in sailing (~50% of 7-18 year olds) • Fitness is a key motivator for young families to participate in sports – competition & achievement are rather uninteresting • Real or potential barriers to participating in sailing are: – Lack of available time for young parents – Cost of participating – Lack of facilities & equipment – Lack of information/communication – Perceived danger of sailing for young children – Lack of offerings for kids & partners Yachting Australia Opportunities • Parents to get involved as volunteers in programs for kids, i.e. Tackers to have parent support structure • There is a need for a more tailored introductory sailing experience involving: – Shorter experienceexperience-type offer – More flexible membership offerings for shorter periods of time – Sailing or other offers for partners and children at same time, e.g. Small boat parent & kids day – Basic theory, not in classclass-room atmosphere – In summer, on keelboats – No membership • General Entry Day for adults to be offered on a regular basis – Focus on reducing barriers – Focus on directing adults onto right boat & course © GEMBA GROUP 81 Older Families are looking for more recreational activities for themselves and potentially their kids – if they are not yet sailing it is unlikely they start it 5 Older Families • For older families, relaxation becomes the 2nd most prominent motivation for participation in sports – besides fitness • Older families have kids above 10 years, with more money & time available – family conflicts might still be applicable but less so than for young families • Their children will already have taken most of their decisions about sports & activities to pursue • Older Families start to see sailing as a more fun, accessible, cool & exciting activity than younger segments • Older Families currently have high participation rates in keelboat sailing & powerboating • Conversion rates of Older Families aware of available courses and participation in courses is very low • Older Families are more likely to own boats, specifically dinghies Yachting Australia Opportunities • If children don’t sail at the age of 12 and above there is a low likelihood for them to pick it up this is a barrier to parent participation • Potential opportunities for families: – Sailing Experience Day with focus on social interaction – Practice rather than theory – Easy to rigrig-up boats – Experience day before signing up to proper course – 2-3hrs – General Entry Day for adults to be offered on a regular basis – Focus on reducing barriers – Focus on directing adults onto right boat & course © GEMBA GROUP 82 Young Adults are not currently sailing much but have a lot of interest in future participation – more flexible offers will attract them to the sport 3 Young Adults • Young adults are fitness-driven, flexible & on the move – they also currently have the lowest participation levels in sailing but high future interest for the sport • Young adults might see sailing not only from a sports perspective but also from a social side – social interaction is important for them • Barriers for taking up sailing are: – Lack of information where to participate – Costs – Lack of time, facilities & equipment – Perception that sailing is not fun or exciting but rather boring and for older people – Potentially moving away from the coast • Young Adults that are currently sailing have the highest activity levels across all boat types, particularly on dinghies Yachting Australia Opportunities • Young Adults are the least likely segment to commit to a season or yearyear-long membership – Pay as you sail or seasonal membership offerings can attract this segment • Potential opportunity is a social ‘Sailing Experience Day’: - 3-4hrs to half day - Summer, on weekends - Multiple instructors in relaxed atmosphere - On keelboats - Practice rather than theory – a few safety tips “in flight security demonstration” - With a group - $50$50-$100 including lunch - No membership © GEMBA GROUP 83 Working professionals have similar concerns as Young Adults and might be attracted by similar, shorter & more convenient sailing offers 6 Working Professionals • Working Professionals without kids are highly motivated by fitness if they get into sports • In sailing, this segment has relatively low levels of current participation & future interest in sailing most of that interest is coming from male working professionals • Barriers for sailing include: – Flexibility, having to move away from the ocean – Cost & time • Female working professionals might also feel too intimated by the yacht club atmosphere to take up sailing Yachting Australia Opportunities • Shorter, more flexible options need to be offered to this segment: – MidMid -week sailing – Twilight sailing • Develop communication / training material for working professionals before going on Twilight Sailing experience • Short, online, onon-demand • Highlighting further courses © GEMBA GROUP 84 Empty Nesters & Retirees are the segments with the smallest opportunities for sailing 7 Empty Nesters 8 Retirees Opportunities • Empty Nesters and Retirees are very similar segments • Motivations for sport participation are in both cases fitness followed by relaxation • Both segments have solid participation levels but not a lot of future interest in the sport of sailing – those interested in the sport are already doing it! • Establish ‘Safe Sailing’ program for older people • In safe/wide dinghies • With similar aged instructors • Focus on social sailing, not racing • The segments are associating sailing with very positive brand attributes – exciting, fun, Australian and for young people • Among those sailing, boat ownership is very high • However, retirees also associate “danger” with sailing, potentially due to their less stable health and strength Yachting Australia © GEMBA GROUP 85 YA’s pathway needs a regular national Open Days as well as a more social Experience Day product at the entry level of the sport Involvement Process “I AM INTERESTED” Segments “I WOULD LIKE TO GIVE IT A TRY” “I AM KEEN TO GET MORE INVOLVED” Primary School Tackers Introduction Day Tackers Secondary School School Intro Tackers School Program Young Adults Structured, national OPEN DAYS at Yacht Clubs A great day out! 30 min theory& rest practice Young Families Social/group of similar people A weekend activity Older Families Entry Level Intermediate Level Yachting Australia “EXPERIENCE” Social Social DINGHY experience 2 weeks, solo, less social, for families & more sporty “ITS IMPORTANT TO ME & BECOMING PART OF LIFE” “I AM COMMITTED” Tackers 2 & 3 Existing YA courses & programs (including Sailability) CREWING Keelboat experience 2 weeks, team & social Social & Comp Social & Comp © GEMBA GROUP Social & Comp 86 We further investigated the entry level opportunities around “Open Day”, the “Sailing Experience Day” & general club improvements 1 2 Structured, national OPEN DAY at Yacht Clubs Yachting Australia 3 Social EXPERIENCE DAY General YACHT CLUB opportunities © GEMBA GROUP 87 The OPEN DAY needs to cater for all priority segments and occur regularly and in a similar consistent manner across the country 1 Structured, national OPEN DAY at Yacht Clubs CONTENT •Regular event – monthly or fortnightly •Short enticer session - Brief introduction to club - Short safety tips, majority of time in boat on water - Potential to try different boat types - In small groups, parents with children, similar-aged people together - Interactive elements, e.g. participants to receive small pack including brochure with clear outline of next stages in pathway, CD/DVD highlighting what dinghy vs. keelboat sailing is about - Participants to receive contact details of 1 person in club – mentor or buddy system COSTS • Free for participants, vouchers for Experience Day Yachting Australia © GEMBA GROUP 88 The next step in the pathway is a social, non-commitment EXPERIENCE DAY that participants can enjoy together with family & friends 2 CONTENT Social EXPERIENCE DAY •Could be once-off or done more than once •Social, with a group of similarly-aged people •On weekends, starting not earlier than 10am – for 3-4 hours •Should include lunch or a drink and an invitation to the club house after the sailing experience •With only a brief “in-flight security demonstration” type of safety briefing – majority happening on/around boat •Done on keelboats, potentially large dinghies •Includes a ‘destination’ – somewhere to sail to COSTS • $50-$150 depending on which extras are included Yachting Australia © GEMBA GROUP 89 The experience at the yacht club is important for new entrants in the sport to keep them in the sport 3 The YACHT CLUB Experience THE OVERALL EXPERIENCE NEEDS TO BE: •Welcoming & not intimidating •Be open for new participants – who are not necessarily members right away •A special volunteer/person to welcome new participants (e.g. “ASK ME ANYTHING” badge) •Visible boards at Yacht Club about which boats are available for crewing and what skills are needed •Participants that return for another course want to be recognised & offered what works for them •Clubs to be more visible in the communities – visible banners next Open Day or course start •Clubs to potentially own boats thus reducing the ‘equipment’ barriers MEMBERSHIP •No commitment •Pay-for-sail •Payment for added value activities, e.g. sailing experience with additional lunch and/or drink at club house Yachting Australia © GEMBA GROUP 90 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 91 What is a brand? A brand lives in the heart of consumers and is something that consumers have an emotional attachment with Yachting Australia © GEMBA GROUP 92 What is a Communication Message? Most sports organisations have developed strong communication messages designed to entice consumers to become interested in their participation programmes Typical characteristics • Includes a “call to action” • Is formulated in an active way • Is driving all external communication about programs • Is worded in the language appropriate for the sport • Can describe a variety of entry points into the sport Yachting Australia © GEMBA GROUP 93 Most sports have developed communication messages with strong calls to action to communicate their entry level programs Entry Level into Sport Brand vs. Message Surfing Australia • 6-12yrs: SurfGroms • >12yr olds & adults: Learn to Surf • SurfGroms is a stand-alone brand with its own website, identity, logo, naming rights sponsor • Learn to Surf is an umbrella message linking all SA-affiliated surf schools via a website RYA UK • Programs organised by boat type • Start Boating is umbrella message on website leading towards the different programs US Sailing • Programs organised by boat type • Getting Started is umbrella message for all entry points into the sport AFL • • • • • Tennis • Kids: MLC Hotshots • Adults: Cardio Tennis • Play Tennis is the umbrella message used on website to guide participants and/or competitors through the sport • Hotshots has its own brand identity Cricket • Kids: Milo In2Cricket • Others: community cricket, school cricket, coaching… • Getting Involved is the umbrella message used to communicate different options of cricket to adults & kids • In2Cricket has own brand, logo, identity and naming rights sponsor Kids: NAB Auskick 8-12: AFL Junior 13-18: AFL Youth Girls: Female Footy Open Age & Masters • Play AFL is umbrella message is with logo • Auskick is a brand with an individual website, naming rights sponsor and identity which is communicated * Details for all examples in Appendix Yachting Australia © GEMBA GROUP 94 Surfing Australia has a new entry level brand for kids called SurfGroms and an overall communications message called Learn to Surf Sports Pathway Branding & Communication ASP Events (Pro) ISA Events (Amateur) National Titles, Elite/HP Regular State Events Entry Level Communication Message Brand Yachting Australia Surfgroms • Surfing Australia have two different entry points into the sport • Via surf schools and their SAaccredited programs or schoolspecific courses for people of all ages • Via SurfGroms – kids program for children 7-12 years • SurfGroms has been developed as a stand-alone brand • Learn to Surf is a communications message developed to guide potential participants towards the right surf school Learn to Surf Surf school surf courses © GEMBA GROUP 95 RYA communicates its entry level points with the communications message “Start Boating” which leads to all available courses UK Sailing Pathway Branding & Communication Elite Olympics / Team GBR High Performance Junior / Transition / Youth Improvers’ & Advance Learn to Race Entry Level Brands Communication Messages OnBoard Sailability Start Boating T15 Get Afloat RYA National Sailing Schemes Adult & Youth • The entry-level programmes for sailing in the UK are the RYA National Sailing Schemes differentiated by • Boat type and • Adult vs. Youth • The training schemes and practical information about the entry points into the sport are communicated using the umbrella messages ‘Start Boating’ and ‘Get Afloat’ • Brands have been developed for 3 distinct programmes: • OnBoard: program for kids • Saiability: program for people with a disability • T15: a windsurfing programme for kids under 15 years Dinghy, Multihull & Small Keelboats, Windsurfing Yachting Australia © GEMBA GROUP 96 Brand Strategy The gemba Brand Strategy Framework has been used to develop the key elements of the Sailing brand These elements were developed in the Brand Day workshop and the reviewed and evolved for final recommendation Yachting Australia © GEMBA GROUP 98 The Vision and Values clearly set the foundation for the brand 1 Vision What do we want to achieve? To attract participants to Sailing through the provision of compelling programs and welcoming clubs 2 Values* What values guide our behaviour? Examples: Integrity Diversity Inclusive *To be refined and developed further internally at YA Yachting Australia © GEMBA GROUP 99 The Behaviour and Personality determines the actions and style of the brand 1 Behaviours What are our actions? The Brand behaviour determines the manner in which we interact with people 2 Personality What is our tone and style of our products, communications & service? The Brand personality is the brand’s unique character – how it acts and expresses itself • Welcome new people, • ADVENTUROUS • Provide opportunities to • RESPONSIBLE be involved, • Ensure safety is maintained at all times Yachting Australia • FUN • FRIENDLY © GEMBA GROUP 100 The recommended positioning territory for Sailing is around “A Great Day Out” Sailing Benefit Ladder A Great Day Out Excited Escape from the everyday with family & friend to enjoy a great day of the sun and the sea Social, enjoyment of the ocean and outdoors, relaxing, all ages Yachting Australia © GEMBA GROUP 101 This brand framework should act as a guide for growth and development of the Sailing brand The Gemba Brand Strategy Framework Purpose To attract new participants to sailing through the provision of compelling programs and welcoming clubs Values Behaviours Integrity, Diversity, Inclusive Welcome new people, Provide opportunities to enjoy and be involved, Ensure safety at all times Personality Adventurous, Fun, Friendly, Responsible Target Market To Australians with an interest in sailing Key segments are: Primary School Children, Secondary School Children, Young Families Positioning To consumers with an interest in Sailing, Sailing is the lifestyle activity that makes you feel excited because it provides family and friends an escape from the everyday to enjoy a great day of the sun and the sea PRODUCT PLACE PROMOTION PRICE PEOPLE Programs & Offerings $$ Communications Clubs Clubs, YA, MYA’s Yachting Australia © GEMBA GROUP 102 Although the other brands in the YA portfolio can have their own “story” they should reinforce the overarching strategy of Sailing brand Involvement Process “I AM INTERESTED” Segments “I WOULD LIKE TO GIVE IT A TRY” “I AM KEEN TO GET MORE INVOLVED” Primary School Tackers Introduction Day Tackers Secondary School School Intro Tackers School Program Young Adults Structured, national OPEN DAYS at Yacht Clubs A great day out! 30 min theory& rest practice Young Families Social/group of similar people A weekend activity Older Families Entry Level Intermediate Level Yachting Australia “EXPERIENCE” Social Social DINGHY experience 2 weeks, solo, less social, for families & more sporty “ITS IMPORTANT TO ME & BECOMING PART OF LIFE” “I AM COMMITTED” Tackers 2 & 3 Existing YA courses & programs (including Sailability) CREWING Keelboat experience 2 weeks, team & social Social & Comp Social & Comp © GEMBA GROUP Social & Comp 103 gemba recommends to use “Discover Sailing” as the Communication Message to act as a call to action and pointer to trial sailing Option 1 SAILING ‘CONTINUE THE JOURNEY’2) ‘DISCOVER SAILING’ Entry Level Communication Message OPEN DAY Tackers Introduction Day Tackers 1 School Intro program School Program Social EXPERIENCE DAY DINGHY experience1) Existing Sailing Pathway Communication Message Tackers 2 & 3 Existing Yachting Australia programs including Sailability and crewing options CREWING Keelboat experience1) This Option is gemba’s recommendation Increase Involvement & Membership 1) These are based on the format of existing program concepts but should be reviewed to reduce the length and commitment required 2) The communication message for programs beyond the Entry Level of the sport has not been tested and researched, this is therefore a suggestion only Yachting Australia © GEMBA GROUP 104 “Discover Sailing” could also be used as a Communication Message across both the entry level of the sport and existing programs Option 2 SAILING ‘DISCOVER SAILING’ Entry Level Communication Message OPEN DAY Tackers Introduction Day Tackers 1 School Intro program School Program Social EXPERIENCE DAY DINGHY experience1) This option is not gemba’s recommendation as people along the journey get past the ‘Discovery’ stage and have very different expectations about activities & communication content Tackers 2 & 3 Existing Yachting Australia programs including Sailability and crewing options CREWING Keelboat experience1) Increase Involvement & Membership 1) These are based on the format of existing program concepts but should be reviewed to reduce the length and commitment required Yachting Australia © GEMBA GROUP 105 The Communication Message needs to be brought to life on the YA website and all external communication 1 ‘DISCOVER SAILING’ Entry Level Communication Message • Open Days • Discovery Days • Tackers Intro 2 ‘CONTINUE THE DISCOVERY’ ‘GET ON THE WATER’ ‘GET AFLOAT’ ‘CONTINUE THE JOURNEY’ 1) • Existing YA Programs including Sailability and crewing options The Benefits of becoming a member • Tangible & intangible benefits of becoming a member • Membership options • Dinghy & Crewing Experiences For people starting to discover the sport, the activity and have no previous knowledge or contact with the sport 3 • Costs associated Should portray independence, people starting to sail more independently, having an understanding of the sport A different stage on the involvement continuum Should be developed against the needs of the different segments Needs to be based on consumer needs & packaged accordingly 1)The communication message for programs beyond the Entry Level of the sport has not been tested and researched, this is therefore a suggestion only Yachting Australia © GEMBA GROUP 106 To support the new entry level programs for Sailing, a communications campaign should be developed to achieve the following objectives 2 1 Structured, national OPEN DAY at Yacht Clubs Social EXPERIENCE DAY CLUBS COMMUNCIATION OBJECTIVES • To develop a national blue print for the implementation of a compelling and consistent “Open Day” & social “Experience Day” for Clubs • To encourage and gain the support of Clubs to deliver the Days in accordance with the plan CONSUMER • To provide the material to the Clubs to bring the Days to life •Yachting Australia • To generate awareness and interest in the local vicinity for these Club Days • To position Sailing as Adventurous, Fun, Responsible and Friendly • To capture the details of all attendees to be used to build the database for ongoing communications © GEMBA GROUP 107 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 108 Current sponsors and partners of Yachting Australia include OAMPS, Audi, Hamilton Island and SLAM Current YA Sponsorship Structure Sponsorship Area Major Sponsor Youth Development Sponsor Sponsor Activities & Objectives Investment •Interested in youth market of 13-19 year olds and their parents with a high discretionary spend •Supports racing aspect of sailing: State & National Youth Championships •Cash component •YA executing all insurances through OAMPS •Primary objective in sponsorship is to expose product to current •No cash, only vehicle non-users supply in AUS •Consideration to become major corporate partner of YA •Support to hire vehicles overseas AST CoSponsors AST Official Suppliers Yachting Australia •Provision of apparel for AST only •Plans to extend partnership into sales of AST memorabilia and club merchandise have not materialised •Cash + VIK component •Partnership based on strong personal relationships between Hamilton Island and Yachting Australia •No leverage activities •Cash component •All supporting sponsors are donating VIK items such as ropes, •VIK sailboat hardware, boat storage, compression garments as well as transport support © GEMBA GROUP 109 The major sponsors only get basic rights and don’t benefit from YA’s association with major races of the sport Sponsorship Sponsor OAMPS Sponsorship Benefits Analysis Rights Comments & Potential • Branding: branding of team uniform, officiating uniform, training apparel and athlete boat • n/a hull at Australian & State Youth Championship • Advertising: YA letterhead, YA website recognition & link (YA and Youth Champs website) • Hospitality: Trophy Presentation at AST Function, 6 invites to AYC functions • Appearances: none • Signage: Signage at YA office and Australian Youth Championship Audi •Branding: Branding: branding of boat hull, boat sail, coach boat, team training apparel for Australian Sailing Team •Advertising: Advertising: AST letterhead, AST website recognition & link, sponsors page, PR Testimonial •Hospitality: Hospitality: none •Appearances: Appearances: none •Signage: Signage: Media Board signage •Audi is a major sponsor in the world of sailing, e.g. partnering big sailing events such as Sydney Harbour Regatta or Victoria Week •Find strategies to enlarge current engagement beyond AST SLAM •Branding: Branding: branding of team uniform, boat hull, boat sail, coach boat, team training apparel for Australian Sailing Team •Advertising: Advertising: Website recognition & link (YA and AST website), YA and AST letter head, PR Testimonial, sponsors page •Hospitality: Hospitality: none •Appearances: Appearances: six sailor appearances •Signage: Signage: Media Board signage •Assess opportunity to jointly develop merchandise for YA •Assess if SLAM is the right partner due to difficult business relationship and small likelihood of SLAM investing more in Australian market •n/a Hamilton Island •Branding: Branding: branding of team uniform, boat hull, boat sail, coach boat, team training apparel for Australian Sailing Team •Advertising: Advertising: AST letterhead, AST website recognition & link, logo in E-news, PR Testimonial •Hospitality: Hospitality: none •Appearances: Appearances: 2 AST, AWMRT, Coaches & management for up to 3 appearances •Signage: Signage: Media Board signage Yachting Australia © GEMBA GROUP 110 YA sponsors cannot rely on category exclusivity on MYA and grassroots level and currently don’t undertake activation activities Sponsorship Sponsorship Observations Sponsor Exclusivity •YA’s sponsorship contracts currently contain category protection clauses for sponsors across the different levels of the organisation •However, there are States which still have relationships with brands in the same categories, e.g. o NSW: Nautilus Marine Insurance, Gill (apparel) o VIC: Helly Hansen o BMW also has strong relationships to individual sailing clubs • Sponsor Activation • Sponsor activation activities are very limited for the majority of YA’s main sponsors • Activities are limited to promotional items in membership packs or event banners It is vital to ensure category protection for sponsors throughout the YA pathway • One option to solve the conflict is to clear 11-3 sponsorship categories which receive full protection and get sponsors in these areas to invest in the sport • States and clubs are able to acquire or keep existing and potentially conflicting sponsors in all other categories • To grow awareness and engagement with the sport of sailing, increased activation activities of sponsors illuminating the benefits of the sport are necessary Yachting Australia © GEMBA GROUP 111 We recommend approaching the commercial partner search based on three different sequential filters or perspectives Sponsorship Commercial Partner Targeting Principles 1 2 3 SponsorSponsor-objective based Approach Target audienceaudiencebased Approach CategoryCategory-based Approach • Brand, sales/trade or community drivers are the primary motivations for commercial partners to invest into sponsorship • Identify YA’s own target audience & consider which corporates are targeting similar consumer segments • Target traditional high-spend industry categories which invest in sponsorship and have an interest in YA’s target audience such as • Due to the nature of the high priority products and segments the most likely partnership will be primarily driven by community motivations of the corporate partner • E.g. Primary School children and their parents • Financial Institutions • FMCG’s with focus on children • Health industry • Sports & leisure apparel suppliers Principles to be worked through from left to right Yachting Australia © GEMBA GROUP 112 Broadly speaking sponsors are becoming more sophisticated and are generally looking to address the following outcomes Sponsorship 1 Sponsor objectiveobjective-based approach A B C Brand Drivers Commercial Drivers Community Engagers Campaigns that either increase awareness or build the image of the brand Campaigns that can deliver sustainable commercial opportunities Campaigns that can deliver deep, engaging relationships with specific community groups The main driver for potential YA sponsors Yachting Australia © GEMBA GROUP 113 Typically, community engagers seek the direct contact to as many participants as possible Sponsorship 1 Sponsor objectiveobjective-based approach Typical Community Sponsor Requirements C Community Engagers Campaigns that can deliver deep, engaging relationships with specific community groups • Category Exclusivity • National reach • A maximum of participants • The ability to engage with grassroots participants • A central communication platform (i.e. website) • The ability to be included in program communication • Ability to engage own staff locally • Access to the program database GSNZ © GEMBA GROUP 114 While the target audience for Tackers is clearly defined, the Open Day and Experience Day products appeal to all priority segments Sponsorship 2 Target audienceaudience- based approach Tackers Target Segments Yachting Australia Primary School Young Families National Open Day Experience Day Primary School Secondary School Young Families Young Adults Older Families Primary School Secondary School Young Families Young Adults Older Families © GEMBA GROUP 115 Yachting’s brand attributes can be used to identify the best-matching categories Potential Categories with ‘best fit’ Sponsorship 3 CategoryCategory- based Approach Tackers National Open Day Experience Day Brand Personality Sailing ADVENTUROUS FRIENDLY FUN RESPONSIBLE • Outdoor, (water)sports & sailing brands • Outdoor, (water)sports & sailing brands • Outdoor, sports & sailing brands • Finance & Insurance • Finance & Insurance • Sports drink / soft drink manufacturers • Sports drink / soft drink manufacturers • Lifestyle / Entertainment brand • FMCG with child focus • Health Industry • Sports drink / soft drink manufacturers • Retail with child focus • Sunscreen brand • Sunscreen brand • Health Industry • Automotive • Sunscreen brand Condition for achieving sponsorship for National Open Day and Experience Day are the existence of formalised programs that can be rolled out consistently by all deliverers Yachting Australia © GEMBA GROUP 116 Potential partners for Tackers, the national Open Day and Experience day can be on a national or regional/local level Sponsorship 3 CategoryCategory- based Approach Potential Partners in ‘best fit’ categories National Open Day Tackers Industry Outdoor & sailing brands Example Partners The North Face / Helly Hansen / Adidas / Puma Sunscreen brand Sports drink / soft drink Banana Boat / Nivea / Sun Smart Coca-Cola / Powerade / Redbull / Boost Juice Finance & Insurance Westpac / ANZ / nab / CWB / HSBC/ OAMPS / UBS Health Industry Bupa / Medibank / Blackmore’s / Swisse FMCG (Child focus) Kellogg's / Nestle / Nutella Retail (Child focus) Pumpkin Patch / Nickelodeon /Lego Automotive Yachting Australia Experience Day AUDI © GEMBA GROUP 117 YA’s current CRM capabilities include a comprehensive member database but could be leveraged more for sponsorship purposes Sponsorship Database Content Activities & Considerations • YA has a national database which can be accessed by members, clubs, State organisations and YA • Current database entries vary in quality – currently, only name and address are mandatory fields • Besides personal information, each record contains information on courses or qualifications achieved Total records 129,000 Members current FY 55,690 Current members with Email address on record 26,700 More than 50% of entries are not current members but could be contacted as part of a member re-gain campaign Yachting Australia • Currently, the database is not used extensively internally or for sponsor activities • The database is mainly used to communicate to members via Email – however, a large proportion of members will not be reached due to missing data • Each user generates a unique record - The lifecycle of a member could easily be tracked - Entry or exit motivations could be assessed and used to improve programs - Communicating to members of a sport via its database is a direct benefit that most sponsors seek © GEMBA GROUP 118 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 119 Licensing income is traditionally driven by sports with strong consumer franchises Sports Involvement Matrix Licensing (Watch, Read or Listen) Consumer Franchise ENTERTAINMENT HEARTBEAT Australian Rules Cricket Rugby League THE PACK Soccer GRASS ROOTS Motor Car Racing Tennis Rugby Union Horse racing Athletics Netball Surfing Sailing Source: gSER Report July 2010- June 2011 Yachting Australia Golf Basketball Cycling Participation Franchise (People who participate) Swimming Base: All Australian; n = 5538 © GEMBA GROUP 120 To date, Participation Franchises have not been able to realise significant levels of licensing income Licensing Sports Involvement Matrix with Licensing Income Estimates 55% (Watch, Read or Listen) Consumer Franchise AFL NRL Yachting Australia currently does not derive any income from licensing activities Cricket Aust 25% FFA ARU Tennis Aust Swimming Cycling Netball Athletics 0% 0% Source: gemba Yachting Australia 12.5% 25% Participation Franchise (People who participate) © GEMBA GROUP 121 Commercialising licensing through a Participation Franchise is highly dependent upon on access to the grassroots network Licensing Consumer Franchise Participation Franchise Value Proposition Value Proposition Access to Intellectual Property Access to Consumer Channel Critical Success Factors Critical Success Factors Full Control of IP by Rights Holder Full Access to Channel (i.e. Clubs) Comprehensive of Style Guide Sufficient Motivation for all Stakeholders (i.e. Rebate Program) Highly Attractive IP to large consumer base Relevant for Yachting Australia Yachting Australia © GEMBA GROUP 122 Participation-based sports can use licensing in two ways: brand licensing and know-how licensing Licensing Licensing Types 1 IP (“know(“know-how”) Licensing 2 Brand Licensing • IP (“know how”) refers to the intellectual capital and/or technology developed by an organisation • The sporting organisation offers the use of its IP to a third party for use in products, services or promotion • Sporting organisations grant the rights to deliver its programmes to external deliverers • 2 main types of brand licensing: • Programmes used for licensing are often entry–level programs or junior development programs • Deliverers pays a licensing fee for the rights to deliver the program Yachting Australia - Consumer sales promotion : enhance sales of existing products in the marketplace through logo of sport organisation on unrelated consumer good - Merchandising: develop fan products with high consumer appeal or that are mandatory to use by participants of the sport © GEMBA GROUP 123 Sports with relatively low consumer appeal or participation base have found innovative ways to secure a licensing revenue stream Licensing IP (“know(“know-how”) Licensing Brand Licensing Surf Life Saving A number of courses have been developed to qualify surf life savers Surf life savers have to wear official SLS uniform on patrol Surfing Affiliated surf schools can run the Surfgroms program developed by SA Surf schools have to buy branded equipment to run Surfgroms A merchandising program gives licensees the right to produce official bowls apparel Bowls RYA Yachting Australia RYA entry-level and advance training schemes are licensed worldwide A number of publications have been developed by RYA on sailing training © GEMBA GROUP 124 Coaches and participants have to use modified equipment during the Hot Shots program Licensing Tennis Australia – MLC Hot Shots IP Licensing • Professional coaches pay an annual membership fee to TA to become an official Hot Shots deliverer • Coaches receive equipment and program manual to run the program • Coaches are instructed to run the program in a consistent manner and have the same branding Effectively, coaches are ‘buying’ the IP license to the Hot Shots program and branded equipment Yachting Australia Brand / Product Licensing • TA has partnered with Wilson to develop modified equipment and merchandise designed for the Hot Shots program, e.g. smaller racquets, low-compression tennis balls, nets, Hot Shots t-shirts and caps • All equipment and merchandise is sold in an online shop hosted on the TA website • Racquets are given out for free to every participant to encourage take-up of the Hot Shots program The need of modified equipment ensure products are purchased via TA website © GEMBA GROUP 125 Surf life savers have to get qualified through a series of training courses and have to purchase & wear official uniforms when on patrol Licensing Surf Life Saving Australia IP Licensing Brand / Product Licensing • Surf Life Saving Australia developed a number of training courses (Bronze, Silver and Gold Medallion) which are mandatory for all Surf Life Saving clubs to run • SLSA has a strong licensing and merchandising program and developed club equipment, apparel, education material and other merchandise • Clubs recoup the cost of running these programs via the membership fee from surf life savers • All volunteer surf life savers and parent helpers (in Nippers) are obliged to wear official uniforms and use official equipment when on patrol or training • Once signed up to an entry-level programme (Nippers for kids; Bronze Medallion course for adults), participants receive the official uniform, but any extra gear is available for purchase Yachting Australia © GEMBA GROUP 126 Bowls Austraila put in place a National Dress Regulation which ensure participants wear licensed apparel during competitions Licensing Bowls Australia Brand / Product Licensing • Bowls Australia has a National Dress Regulation in place to ensure consistency in attire worn at pennant* and above level competitions • This policy is strictly enforced by all affiliated state and territory organisations • Licenses are issued to a number of clothing manufacturers which allows them to use the BA logo on garments they have manufactured • Bowls Australia earn a royalty fee for the garment sold by their licensed manufacturers • Since its inception, the licensing program has contributed $950,000 to Bowls Australia nationally to support the general development of the game at grassroots level *Pennant is the traditional format of Bowls, there are a number of other social formats Note: IP Licensing not available Yachting Australia © GEMBA GROUP 127 Deliverers of the SurfGroms program have to follow the syllabus designed by Surfing Australia and use branded surf boards & clothes Licensing Surfing Australia - SurfGroms IP Licensing Brand / Product Licensing • SurfGroms is a recently launched national junior development program in surfing for kids aged 5-12 • Branded surf boards are used and currently they are provided to the surf schools for free or at a discounted price • In the first years, accredited surf schools with qualified surf coaches are the main deliverers of the program • Participants have to wear official SurfGroms rash vests • SA developed the syllabus, program content and branding which are used by surf schools • A number of SurfGroms branded merchandise are sold to participants on the stand-alone SurfGroms website • Currently, surf schools do not pay a licensing fee to SA to use the program Yachting Australia © GEMBA GROUP 128 IP Licensing is most likely to be successful for Tackers in the short term, due to the program being established and formalised Licensing 1 Tackers • Licensing Tackers to commercial operators – in areas of high demand or without yacht clubs Time Horizon Short term Yachting Australia Yachting Australia - IP Licensing Considerations - National Open Day • No licensing opportunities in short term Experience Day • If the Experience Day developed as a formal, standardised product run similarly by every club, a license to the Experience Day can be sold to clubs Long term © GEMBA GROUP 129 Brand licensing opportunities are greatest with Tackers through developing branded merchandise gear that is mandatory to wear Licensing Tackers • Development of official Tackers gear and branded merchandise to be purchased additionally by participants, e.g. – Rash vests – Windbreaker – Hats / caps – Toys – Wrist bands Yachting Australia 2 Yachting Australia - Brand Licensing Considerations - National Open Day • Develop branded merchandise for Open Day participants with a focus on fashion rather functionality, e.g. marine-inspired t-shirts, caps Experience Day • Develop branded merchandise for Experience Day participants with a focus on fashion rather functionality, e.g. marine-inspired t-shirts, caps © GEMBA GROUP 130 IP Licensing of the Experience Day to yacht clubs as well as licensing Tackers to other providers are the biggest opportunities Summary of Licensing Opportunities Potential Commercial Impact Licensing Opportunities •1 Licensing of Tackers to commercial operators •2 Licensing Experience Day to clubs •3 Development of official Tackers gear for mandatory wear and purchase •4 Branded Tackers merchandise for purchase •5 5 Branded merchandise for Open Day •6 Branded merchandise for Experience Day Low Yachting Australia Below Average Average Above Average Ease of Implementation High © GEMBA GROUP 131 YA needs to run market tests to assess the likely licensing costs that the market is willing to take Licensing Models by Program Tackers* Open Day Experience Day $300 No fee Fee TBD ranging from $50-$150 Licensing possible Yes No Yes Potential Deliverers Commercial providers Yacht Clubs Yacht Clubs Potential Licensing Revenue Model >25%* n/a 25% Participant Fee * Tackers current model: YA receive ~25% of Tackers revenue from club which is used to cover for participant kit, insurance, marketing collateral & management; it is suggested to develop a similar model for licensing Tackers to Commercial Providers Yachting Australia © GEMBA GROUP 132 ‘Paid’ licensing will provide revenue needed to cover expenses but might inhibit participation uptake depending on licensing fees Brand Licensing Model Options Licensing ‘Paid’ Licensing • Pro’s • • • Con’s • Licensing without Payment Additional revenue streams for YA and MYA’s to cover overhead and material costs Applicable for roll-out to commercial providers (Tackers) • Higher prices might limit uptake from participants Additional capacities needed internally to manage licensees Condition for licensing agreement is existence of a formalised program / schedule to ensure standardised roll-out • • • • Larger participation uptake is more likely Less barriers for clubs to take up licensing model No additional revenue streams Additional capacities needed internally to manage licensees Condition for licensing agreement is existence of a formalised program / schedule to ensure standardised rollout Biggest barrier to both licensing models is the need to create a formalised program for the Experience Day that can be rolled out in a standardised way Yachting Australia * Tackers excluded since delivery model already in place © GEMBA GROUP 133 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 134 Overall Recommendations 1/2 Program Development Priority Segments Licensing • To create an entry level for the pathway of the sport, it is recommended to create a national Open Day and Experience Day to suit the priority target segments • There should be short crewing programs in the intermediate level of the sport to bridge the gap between entry level and existing programs • Based on assessing Strategic Importance & Ease of Implementing a new program, 3 key target segments have been identified with implementation of programs recommended in the short term: • • • Primary School children Secondary School children Young Families • The licensing opportunities of YA lie mainly in developing a brand licensing model for Tackers to be outsourced to commercial providers and in the longer-term, a brand licensing model for a structured Experience Day • YA needs to broaden its sponsor base for the new grassroots entry level programs Sponsorship Acquisition Yachting Australia • There is a need to assess how current sponsors can be ‘on-sold’ to support new programs • There is a potential to partner with local sponsors or dealers of brands to connect with clubs © GEMBA GROUP 135 Overall Recommendations 2/2 Governance •YA needs to increase its ability to help States & Clubs implement the programs and suggestions made on a national level Membership •More flexible membership models and ‘pay as you sail’ options are requested by new entrants into the sport – current annual membership models are not attractive Brand Architecture •The communication message for the entry level is recommended to be “Discover Sailing!” with the Open Day, Experience Day as well as Tackers Intro program sitting underneath this message •Sailing’s personality can be described as adventurous, responsible, fun & friendly •The language used in the sport of sailing currently does not come naturally to potential participants: • The majority of potential entrants in the sport favoured the term ‘sailing’ vs. ‘yachting’ – however, the structure of the sport is based around the term ‘yachting’. It is recommended to use the term ‘sailing’ when speaking about the sport or activity. The corporate brand ‘Yachting Australia’ can remain unchanged as it is less relevant for consumers Communication • Boat types are not the drivers for decision-making & new entrants into the sport do not understand what the boat types are about. Therefore, YA needs to focus on explanation and education about the boat types and what experience consumers can expect on each boat • The current terminology in the sport around “training schemes” and “learning” does not appeal to potential participants who seek something less ‘serious’ and commitment-based. “Course” is a term that consumers are familiar with and that does not necessarily convey extensive commitment. •Clubs need to ‘push out’ communication more instead of expecting consumers to go & find information about the pathway, e.g. have information boards in clubs about next crewing option •More visible communication about the opportunities, e.g. on website, banners outside club, community newspapers Yachting Australia © GEMBA GROUP 136 Agenda Objectives of Yachting Australia Project Approach Status Quo – Yachting Australia – Market – Consumers Segment Opportunities Brand Strategy Sponsorship Landscape Licensing Recommendations Appendix Yachting Australia © GEMBA GROUP 137 US Sailing have developed a portfolio of different programs to suit different target audiences and their call to action is “Getting Started” US Sailing Pathway Olympics Disabled Sailing (Paralympics) Branding & Communication Junior Olympics High School Sailing College Sailing Championships Clinics Match & Team Racing Various Multihull, OneDesign Entry Level Communication Message • US Sailing offers Learn to Sail courses for each type of boat • Among the programs offered, the Keelboat Certification scheme stands out as being more structured and has a standalone website, however still under the US Sailing ‘brand’ • The overarching communication message to new entrants into the sport is “Getting Started” Getting Started Learn to Sail Courses Smallboat sailing, Keelboat sailing & cruising, Windsurfing, Powerboats Yachting Australia © GEMBA GROUP 138 Play AFL is the umbrella message which encompasses all of the grassroot programs offered to footy players Participation Play AFL Talent Pathway Branding & Communication NAB AFL Draft Program • nab Auskick is the most prominent brand for entry-level footy AFL Masters 35+ State <18 Competitions AFL Recreational Football State Development Program Open Age (All age) Representative • There is no entry-level footy training programs for age 18 and above • ‘Play AFL’ is the umbrella message for all of AFL’s grassroots program and it is used merely as a communication tool • The nab rising stars program provides a clear pathway to elite levels in state leagues and the AFL competition Entry Level Play AFL AFL Youth (Age 13 – 18) AFL Junior (Age 8 – 12) Brand Yachting Australia NAB Auskick (Age 5 – 12) Female footy Communication Message © GEMBA GROUP 139 Cricket Australia communicates all of its grass-root programs under the umbrella term “Get Involved” Participation High Performance Get Involved Australian Team Disability and Indigenous cricket State Competition Lifestyle cricket Men’s and Women’s State 2nd XI Junior & Senior Club Cricket Premier / Grade Club Cricket EntryEntry- level Communication Message Brand •Yachting Australia Branding & Communication • Milo in2CRICKET is the branded junior development program and the entry point to playing cricket for kids aged 510 years • Club cricket is the local competition catered for all levels, talented players at club level can get involved in Premier / Grade club cricket • ‘Get involved’ is the message used for all community cricket formats Get Involved MILO in2CRICKET Have-a-game / Have-a-go © GEMBA GROUP 140 Besides Hot Shots, Tennis Australia has developed Cardio Tennis, a branded product which combines tennis and a cardio workout Branding & Communication Pathway Grand Slams & ATP/WTA events Australia Pro Tour Australian Money Tournament Optus Junior Tour Junior development series Entry Level / Participation programmes Communication Message Brand Play Tennis MLC Hot Shots Cardio Tennis* Club Tennis • Tennis Australia offers a number of entry-level programs, all under the umbrella message ‘Play Tennis’: • MLC Hot Shots is the junior development program for kids age 4 and up • Cardio Tennis is a fitness-based product catered for all ages • Tennis clubs deliver coaching lessons, some of which are run by TA accredited coaches • More grass-root programs are currently in development • Talented young tennis players enter competition starting with the Junior development series - Coaching program - Competitions - Tournaments *New programme Yachting Australia © GEMBA GROUP 141 Using ABS data, retirees and empty nesters make up 30% of the total population and have a lower propensity to sail for various reasons 30% Future Interest within segment (%) Future Interest (market size) Share of market 4.1% 4.3% 3.3% 3.8% 1.6% 114,640 64,500 157,160 177,771 46,571 19% 11% 26% 30% 8% 1.2% 36,451 6% Comments & Observations •Empty nesters & retirees currently make up ~30% of all Australians •They have a lower propensity to sail in future •They have made up their minds already about their passion sports •They are less able to influence other segments, especially kids Note: view is based on age groups, not life-stage segments as per gemba’s research YA © GEMBA GROUP 142