Promotion
• Promotion is any form of communication
used to inform, persuade, or remind
people about an organization’s goods,
services, image, ideas, community
involvement, or impact on society ( Evans
& Berman, 1987, p. 43).
Promotion
• The process of communication
Sender (source)
Message
Feedback
Medium
Receiver
Promotion
• Source (sender)- Where the communication
process originates.
• Credibility: the sources perceived expertise and
trustworthiness
Promotion
• Message: the content of the words,
symbols, meanings to be transmitted to
the receiver.
• Medium- a communication channel that
the company transmits the message to
consumers.
• Feedback: the response a target audience
makes to a message.
Promotion
• Functions of promotion
• 1. Promotion creates awareness for the
company & products.
• 2. Promotion establishes an image.
• 3. Promotion increases sales
• 4. Promotion can reposition the image of a
faltering product.
• 5. Promotions alerts the consumer to sales
• 6. Promotion tells the consumer where your
business is located.
Promotion
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AIDA
A – attention
I – interest
D – desire
A - action
Promotion
• The Hierarchy of Effects: a process by which
consumers are ultimately led to action.
Action
Conviction
Preference
Liking
Knowledge
Awareness
Unawareness
Promotion
• Promotion Planning
• 1. Target Market consideration: who are your
target market?
• 2. Establish Promotion Objectives: what does
your company want to achieve in promotion?
• 3. Check the Budget: How much money is
available for promotion?
• 4. Develop Specific Plan
• 5. Determine Promotional Mix: how do we
promote our products?
• 6. Evaluation Plan: How will we evaluate
Promotion
• Promotional Mix: Frequently used
promotional methods
1. Advertising
2. Personal selling
3. Sales promotion
4. Publicity
Promotional Mix
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Selecting Promotion Mix
1. Resources, objectives, and mission
2. Characteristics of the Target market
3. Characteristics of the Product
4. Cost and availability of promotional
methods
• 5. Push and Pull channel policies
Promotion
• 1. Advertising- A message that informs
and persuades consumers through paid
media.
• Objectives of Advertising: consistent with
organizational objectives
• A. Direct Objectives: to elicit a behavioral
response from the target market
• B. Indirect Objectives: to establish
prebehavioral response to advertising
Promotion
• Process of developing advertising
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1. Identify and analyze the target market
2. Define advertising objectives
3. Create advertising platform
4. Determine advertising appropriation
5. Develop media plan
6. Create advertising message
7. Execute campaign
8. Evaluate advertising effectiveness
Promotion
• Mass Media Selection: what medium will
be the most effective in reaching the target
market
Promotion
• Profiles of major Media
• Medium
Advantages
Limitations
• Radio
Inexpensive,
Audio only
Local acceptance,
Low attention
High Geographic selectivity
• TV
Large Number of audience
High costs
Combination of sight, sound High clutter
and motion, High audience
Short life
selectivity
• Newspaper good local coverage
Short life;
limited audience
• the Internet Global access
Clutter, hard to
interactive capability
measure
Promotion
• Alternative forms of Advertising
• a. Stadium signage
Promotion
• b. Billboards
• c. Fliers, Brochures
• d. Endorsements
Promotion
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II. Sales Promotions: a variety of short-term,
promotional activities that are designed to stimulate
immediate product demand.
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Premium giveaways, Contests & Sweepstakes, Sampling,
Point of Purchase Displays, Coupons etc.
• Relatively cheap and can be more effective than
advertising.
• Used to break a consumers behavior pattern,
increase value to customer, build equity or induce
loyalty
• Can be price or non-price promotions
• Often tied to sponsors or media partners
Promotion
• III. Personal Selling: a form or person to
person communication in which a sales
person work with perspective buyers and
attempt to influence their purchase needs
to their products.
Promotion
• Benefits of Personal Selling
• a. To immediately adapt the message they are
presenting based on feedback received from the
target consumers
• b. To communicate more information to the
target consumers than other forms of promotion
• c. Increases the likelihood of the target
consumer paying attention to the message
• d. Increases the chances of developing a longterm relationship with consumers, due to the
frequent person-to-person communication
Promotion
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Elements of the personal selling process
1. Prospecting
2. Preapproach
3. Approach
4. Making presentation
5. Overcoming objections
6. Closing the sale
7. Following up
Promotion
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Management of the sales force
a. Establishing sales force objectives
b. Determining sales force size
c. Recruiting and selecting salespeople
d. Training sales personnel
e. Compensating sales people
f. Motivating salespeople
g. Managing sales territories
H. controlling and evaluating sales force
performance
Public Relations
• Public relations: an interactive marketing
communications strategy that seeks to
create a variety of mediums designed to
convey the organizational philosophies,
goals, and objectives to publics for the
purpose of establishing a relationship built
on comprehension, interest, and support.
Community Relations
• Community Relations
How is your organization perceived by
– local citizens?
– employees?
– affiliated businesses?
Sport organizations are dependent on the public’s
support and must demonstrate their worthiness
to be part of the community and be viewed as a
neighbor of choice.
Community Relations
• Community Relations: Generate goodwill
• “giving something back”
“being a good citizen”
“taking pride in the community”
Community Relations
• The Purposes of Community Relations
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• 2. Build relationships
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3.Show you are committed to community
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5.Improve employee morale & recruitment
6. Educate public about organization
Community Relations
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Player initiated www.twfound.org
Team initiated http://www.nba.com/nuggets
League initiated:
NBA: Gallaudet University
NBA Reading Initiative
NFL United Way
LPGA Charity for Breast Cancer.
PGA “Drive to a billion”
Community Relations
• Working with Charitable organizations
• Creating programs and events to raise
awareness and money for charity
• Player and Staff appearances
Media Relations
• Media Relations: Communicating with the
news media verbally or through other
vehicles.” “MR is a window of all
information of the organization to the
outside world.”
Media Relations
• Functions of Media Relations
• A. Communicate through the news media to
shape organization image
• B. Provide organizational information & update
organizational changes
• C. Maintain contacts with League offices, other
teams/institutions
• D. Maintain relationships with other Leagues,
other departments, administrations, coaching
staff, alumni.
Future of Sport Marketing
• Web-based Sport Marketing
• E-marketing is to make profit through the
exchange process utilizing the internet as
the medium.
Web-based Sport Marketing
• ESPN launched its official web-site of
ESPNetSportZone in 1995
• Seattle Mariners launched their website to
use the web for marketing.
• Online ticketing was a $10 billion market
in 2001
• More than 50% of MLB teams offered
tickets directly from their site
Web-based Sport Marketing
• Online advertising generated $940 million
in 1997 to $ 8 billion in 2000
• ESPN.com has 35 sponsors yearly
sponsorship on ESPN.com cost between
$140,000 to $310,000
The Internet
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Site
espn.com
Sportsline.com
NFL Internet group
MLB.com
CNNSI.com
NASCAR.com
Fansonly.com
sportingnews.com
sandbox.com
NBA.com
Unique Visitors/month
7,185,000
5,218,000
4,999,000
4,578,000
3,136,000
The Internet
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A place for your “stuff” – A place to “post” as
much information as you want.
a. No limit -- information you can post!
b. Cost – It’s inexpensive as compared to
publishing
c. Update-ability – Can update it at will.
d. Worldwide reach -- With a site, you can
have people from around the world “view” your
team
e. Interactivity
Web-based Sport Marketing
• Characteristics of Successful website
• 1. ease of navigation
• 2. access to relevant and related
information
• 3. constant updates with fresh information
• 4. entertaining content and site features
• 5. web address reflects the organization’s
name www.nba.com
Web-based Sport Marketing
• Benefits of Interactive Marketing
• 1. Results of marketing efforts are
measurable (Higher response rate than
direct mail)
• 2. Ability to communicate with consumers
on consumer selected topics
• 3. Cost-effective means for building
relations with customers
• 4. Customer convenience provided
Web-based Sport Marketing
• Disadvantages of Interactive Marketing
• 1. Customer must access marketer in
order for interactive marketing to begin
• 2. Hard to build or buy good e-mail lists
• 3. Perceived as spam if not targeted well
• 4. Consumer privacy issues
Atmospherics
• atmospherics
– The physical characteristics of the facility such
as architecture, layout, signs and displays,
color, lighting, temperature, access, noise,
assortment, prices, special events, etc., that
serve as stimuli and attention attractors of
consumers.
Atmospherics
• Functions of Atmospherics
• a. Atmospherics draw consumers’
attention
• b. Establish a distinctive character for an
organization
• c. Attune an organization to a distinctive
class of consumers
Atmospherics
• Process of Atmospheric management
• 1. Defining the desired market and effects:
Amenities provide each environment a
differentiating or positioning strategy that
should be designed to attract and
accommodate a target audience or
consumer
Atmospherics
• 2. Developing an atmospheric theme
a. The organization’s philosophy and
mission
b. Cultural features of the marketplace
c. The calendar (anniversaries, holidays)
d. Milestones that my include player or
performance achievements or records
e. Elements within the sport business’s
promotional campaign
f. Other available resources such as celebrity
appearance, sponsor agreements.
Atmospherics
• 3. Specifying the elements of the physical
setting that are to carry the intended
cognitions and effects
• a. Exterior structure: a venue’s façade
communicates considerable information to
the consumer.
Atmospherics
• b. Special Displays: Point-of-purchase
and point-of –displays consisting of eyecatching exhibits intended to lure the
consumer to the product or merchandise.
Atmospherics
• c. Interior Design Features: interior design
features, such as color schemes, fixtures,
lighting, and dress code, play an important
role to attract consumers
Atmospherics
• 4. Selecting specific sensory elements
that convey the desired effects
• a. Sound of Music: Sound effects are the
most popular means of enhancing
atmosphere in venues. A good selection of
music acts as a way of exciting spectators
and motivating a home team.
Atmospherics
• b. Integrating supporting cast members
• 5. Coordinating the Production
• a. Developing a checklist and itinerary of
all staged activities
• b. Drafting a script of all scoreboard and
public address announcements
• c. Employing an internal direct
communication system