Unit 1
Goals
 Define
sports marketing.
 Explain the value of sports marketing to the
economy.
Chapter 1
Slide 2
 Sports
are big business at many universities
throughout the country. Basketball has
become a big money maker for many
colleges.
 For the 04-05 school year, the University of
Arizona men’s basketball program generated
revenue of $16.6 million and a profit of $12.5
million.
 They have had sell-out games for almost 20
years. Courtside seats can bring in as much
as $30,000 per pair.
 By
playing in the NCAA tournament the
school secured money for their school from
CBS, which televised the tournaments and
distributed more than $400 million to the
NCAA conferences
 Big business can mean big salaries for college
coaches. Tom Crean earned $1.65 million in
2005 at Marquette University. He has
coached the Golden Eagles to 3 NCAA
tournament appearances and a final four
appearance.
 1.
Should successful college coaches earn
more than $1 million a year?
 2.
Describe a typical college basketball fan.
 demographics

common characteristics of a group

age, marital status, income, education
 sports

marketing
using sports to market products
-
Chapter 1
Slide 6
 continual

extreme sports



Wrestling
XFL - 1.2 Sports Marketing\XFL Ad.flv
arena football



innovation provides new opportunities
Grand Rapids - 1.2 Sports Marketing\AFL Grand Rapids.flv
League Promo - 1.2 Sports Marketing\AFL Promo Video.flv
Arena football is one of the fastest growing sports in
the country. (founded 1987)



Tickets sell for an affordable price ($17.50)
Players meet fans and sign autographs after every game
Clock does not stop and high scoring
Chapter 1
Slide 7
 What
has made arena football successful?
 gross

impression
the number of times per advertisement, game, or
show that a product or service is associated with an
athlete, team or entertainer


Every time your brain sees a product or company logo on
the back of a shoe, in a movie scene, or on a license-plate
holder on a car your brain records that image.
Many college and pro teams have company or product logos
on their uniforms.
Chapter 1
Slide 9
 Fans
want products and services that identify
them with winning teams and athletes.
 Marketing efforts may need to be tweaked based
on changes in winning trends.


If a major athletic company has a successful
marketing campaign, competitors are likely to
increase their marketing efforts.
Competition must be monitored so that a company’s
marketing can remain unique
Chapter 1
Slide 10
 Why
are gross impression and timing important in
sports marketing?
Chapter 1
Slide 12
 Gross
impression keeps the product upfront
in the minds of sports fans.
 Successful merchandise sales depend upon
having a product available when it is in high
demand.
 Sports
marketing is a multi-billion-dollar global
industry that has a definite impact on the
economy.
Chapter 1
Slide 14
 Emotional
connections to teams motivate
fans to buy tickets to games.

For example how many people in here are loyal
to the Lions (even though they are terrible)?
 Marketers
try to appeal to the emotions of
fans
Chapter 1
Slide 15
 High
profile sporting events generate strong
promotional revenues for broadcasters.

The Super bowl, BCS, and March Madness attract
the attention of large sports minded audiences.

Which in turn, attract high-paying promoters
Chapter 1
Slide 16
 Name
three ways that sporting events help boost
the local economy and/or national economy.
Chapter 1
Slide 17
 Sporting
events result in fans spending
money on a wide array of related products
and services that benefit the economy.



Food
Parking
Hotels