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Title: Unit%202%20Sports%20Marketing

Unit 2 Sports Marketing
  • Chapter 3
  • The Sports Market

Sports Marketing
  • The sports market is vast and growing at a
    phenomenal rate due to the vast range of sports
    played and watched by spectators around the
  • In this chapter you will be introduced to sports
    marketing with a history of business.

Sports Marketing
  • Similar to marketing, sports marketing has 4
    foundations to build from and 7 functions to
  • In this chapter, and the chapters to follow, we
    will start to explore these 7 functions of sports
    marketing Marketing Information Management,
    Financing, Pricing, Promotion, Product Service,
    Distribution, and Selling.

Sports Marketing
  • The foundations consists of Professional
    Development, Economics, Business Management and
    Entrepreneurship, Communication/Interpersonal
  • Without these foundation cornerstones, the
    functions of marketing could not survive.

Sports Marketing
  • With so many different type of sports products on
    the market today, is it a good idea for clothing
    companies to produce sports apparel? Why or Why
  • Name some sports clothing companies.

The Sports Market
  • How many of you in this class collect sports
    trading cards?
  • How many of your parents have a card collection
    at home?
  • In the old days, collector cards were found on
    cigarette packs. In 1909, The American Tobacco
    Company produced cards that came with the packs
    of cigarettes.

The Sports Market
  • Honus Wagners card is the most treasured by
  • Wayne Gretsky purchased the most expensive Honus
    Wagner card valued at 2.8 million dollars.

The Sports Market
  • The collectors cards have seen a transformation
    from paper stock to cardboard stock to a higher
    grade of acid free card stock.
  • The Upper Deck card company changed the way cards
    were made. They used high gloss cards, special
    collectors cards, and hologram cards.

Sports Marketing Profile
  • What is Sports Marketing?
  • Marketing and sports marketing are two terms
    that apply to different characteristics of
  • Marketing is defined as the process of
    developing, promoting, and distributing products,
    or goods and services, to satisfy consumers needs
    and wants.

Sports Marketing Profile
  • Sports marketing can be defined as all the
    marketing activities designed to satisfy the
    needs and wants of sports consumers.
  • Sports marketing focuses on all different types
    of sports played today.
  • Sports marketing also focuses on the activities
    around sporting events, such as planning,
    promotion, financing, and sponsorship.

Sports Marketing Profile
  • Sports marketing has two major components, the
    marketing of sports and marketing through sports.
  • For example, the promotion of the Super Bowl,
    Indy 500, and the Olympics, through TV, and Radio
    advertisements is considered the marketing of

The Sports Market
  • On the other hand, when Nike, Gatorade, and
    Goodyear promote their products by using a
    connection to sports, such as a sports
    personality as a spokesperson, those companies
    are said to be marketing through sports.

Sports Marketing Profile
  • The beginnings of sports marketing can be traced
    through several events and people.
  • Many sports marketing first took place in the
    early 1920s.
  • In 1923, Wilson Sporting Goods signed then
    professional golfer Gene Sarazen to a deal that
    lasted until his death in 1999. To date,
  • This has been the longest sports endorsement on

Sports Marketing Profile
  • Bill Veeck during the mid 1900s was instrumental
    in the promotion of baseball.
  • Fans were missing something
  • He knew that the key to making sporting events
    profitable was to get people interested in
    watching the game as well as the activities and
    events that surrounded the game.

Sports Marketing Profile
  • Veeck took an ordinary sporting event and turned
    it into something appealing for both the fans and
    the media.
  • Midgets at the plate.
  • Martians dropping in.
  • Numbers and names on the players jerseys.

Sports Marketing Profile
  • In the 1960s athletics and corporations were put
    together by agent Mark McCormick, founder of the
    International Management Group (IMG).
  • McCormick and golfer Arnold Palmer was one of the
    first professional athletes to associate with
    corporations in a professional role. Ever since
    then, the concept of industry and sports has
    grown dramatically during the 20th century. See
    rankings of industry on pg 55.

Sports Marketing Profile
  • Sports marketing takes a simple game no matter
    what it is, and turns it into an interesting and
    exciting event.
  • Monday Night Football got started by applying the
    principles of sports marketing.

Sports Marketing Profile
  • Some careers in sports marketing include
    scriptwriter, producer, ticket agent, sports
    agent, luxury box sales rep, food and merchandise
    sales reps, group ticket salesperson, and many

Categories of Sports
  • Recreational Sports- some examples would be the
    YMCA YWCA, Little Leagues, Boys and Girls clubs
    of America, Adult Leagues etc, etc. All of these
    organizations participate in many different types
    of sports.

Categories of Sports
  • Young amateur sports- such as youth league
    basketball tourneys in major cities which attract
    many people from the players to promoters to the
    players families and even college coaches.
  • An amateur athlete is defined as a person who
    plays a sport for the love of the sport. He or
    she does not get paid for participating. This
    includes High school and College players.

Categories of Sports
  • High School Sports- All students who participate
    in sports for their schools. Schools make sure
    that students benefit from a balanced educational
    and athletic experience.
  • College and University Sports- Sporting events at
    this level are very popular and very competitive
    in all regions of the U.S. some experts say that
    college sports are more competitive than
    professional sports.

Categories of Sports
  • The NCAA is an acronym for The National
    Collegiate Athletic Association. It is the
    organization that governs all aspects of college
    sports. Guidelines for the NCAA are posted online
    at www.ncaa.org. An example of a NCAA rule says
    that no player is allowed to take any money from
    anyone to play.

Categories of Sports
  • The NCAA has regionalized the teams and put them
    in divisions such as- The Big Ten, The Big East,
    The Pac Ten, The SEC, The WAC, etc, etc.
  • The bigger the event for the college, the greater
    its chance to make a name for itself.

Categories of Sports
  • Olympic Sports-
  • First created in 776 B.C. in Olympia Greece
  • Only one event, the marathon run
  • Now there are over 77 nations competing in many
    events in the summer and winter Olmypics.
  • The Olympics face modern day problems of
    terrorist attacks, illegal drug use and political

Categories of Sports
  • Once truly amateur in nature, Olympic
    participants now include professionals.
  • In 1948, Sir Ludwig Guttman of England created
    the Paralympics for participants who had spinal
  • In 1968, Eunice Kennedy Shriver organized the
    first Special Olympics for special needs
    participants with developmental disabilities.

Categories of Sports
  • Professional Sports- a professional athlete is
    one that is paid to play by the teams owner.
    Owners rely on a paying public and corporations
    to help pay the salaries of the athletes. The
    athletes are also allowed to become a
    spokesperson for products to augment their

Categories of Sports
  • Professional sports are the most costly and
    heavily marketed of all sports categories. Teams
    are considered a business whose main purpose is
    to make money, in order to get the best players
    available in the draft, or sign them as a free

Categories of Sports
  • Professional sports are always competing for a
    bigger share of the entertainment pie.
    Professional sports are competing against movies,
    plays, concerts, and even vacation time.
  • Customers have limited disposable income for only
    so many activities.

Categories of Sports
  • International Sporting Events- in the early days,
    the Wide World of Sports presented by ABC TV was
    the only way to view international sporting
    event. Other TV networks followed the lead by
    Roone Arledge, who produced the international
    events on ABC.

Categories of Sports
  • International Sporting Events- such events as
    Rugby, Tennis, Golf, Soccer, the Tour De France,
    the Harlem Globetrotters, daredevil Evil Knievel,
    were now seen by the American public.
  • Famous announcers such as Jim McCay, and Howard
    Cossell, were instrumental in the success of the
    Wide World of Sports.

Categories of Sports
  • Womens Sports- the popularity of womens sports
    has been increasing over the past century and
    especially over the past twenty years.
  • New markets have opened up in basketball,
    volleyball, track, cycling, boxing, softball, and
    many others.

Categories of Sports
  • Olympic gold medalist, Mildred Babe Didrikson
    Zaharlas excelled in many sports and also became
    a great sports promoter.
  • She had a line of golf clubs, wrote books, and
    made personal appearances.
  • She played at the amateur and professional levels.

Categories of Sports
  • On June 23, 1972, the enactment of Title IX, the
    Education Amendment, advanced girls participation
    in sports.
  • It bans gender discrimination in schools that
    receive federal funds. As a result, over a twenty
    year period , the number of girls participating
    in high school sports programs has increased
    nearly tenfold.

Categories of Sports
  • In 1970-71, only 294,000 high school girls
    competed in interscholastic sports in the United
    States. By 1998-99, more than 2,652,00 girls
  • Billy Jean King was instrumental in the
    advancement of women in sports. She won over
    twenty Wimbledon tennis titles in her career from
    1962 to the 1980s.

Categories of Sports
  • She then continued to spur women to play sports
    by defeating Bobby Riggs in a battle of the sexes
    tennis match which she won.
  • See the history of Women in sports on page 67.

Categories of Sports
  • Extreme Sports-
  • Non-traditional sports
  • Daring stunts
  • In the late 1980s, extreme sports became
  • Snowboarders of generation X started the trend.
  • Dirt Bikes, BMX, and Skateboarding.

Categories of Sports
  • Extreme sports is one of the many categories of
    sports whose characteristics help identify target
    markets. Sports marketers use these
    characteristics and new categories of sports to
    sell games, teams, and products
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