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Chapter Chapter Chapter Chapter
The Wide World of Sports and Entertainment
3.1 Industry Segments 3.1 Industry Segments
3.2 Special Marketing Tools 3.2 Special Marketing Tools
3.3 Destinations: Travel and Tourism3.3 Destinations: Travel and Tourism
3.4 Worldwide Sports and 3.4 Worldwide Sports and Entertainment EventsEntertainment Events
3
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Winning Strategies
while a high school student, began a broadcasting career at 19, she was the youngest person and the first African-
American woman to anchor the news at Nashville’s WTVF-TV
in 1986, The Oprah Winfrey show entered national syndication
with the launching of Harpo studios, she became the third woman in U.S. history to own her own studio
provides generous funding and leadership to educational support programs – both within the U.S. and in South Africa
Oprah Winfrey
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Lesson 3.1
Industry Segments
Goals Define industry and give examples of
subdivisions of an industry. Explain why marketing decisions are
based on industry standards, norms, and trends.
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Terms industry industry standards
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THE SPORTS AND ENTERTAINMENT INDUSTRY industry
a group of organizations involved in producing or handling the same product or type of service
industry subdivisions subsets of an industry
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Industry Standards and Trends industry standards
the guidelines and goals set for different entertainment industries
industry norm the average expectation within an industry
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What is an industry?
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MARKETING DECISIONS FOR AN INDUSTRY Marketing decisions are based on upon
industry standards, norms, and trends.
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U.S. Sports Camps U.S. Sports Camps manages the
marketing and administration of sports camps throughout the country. coaches hire their own staff website generated $1.4 million in online
sales in one year Nike sponsors many camps
provides apparel to staff and campers
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College Sports
ISP Sports a leader in collegiate sports marketing has over 500 radio and 100 television
outlets the country’s largest and fastest growing
multimedia company
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The Television Industry perpetually seeks programming that will
yield higher viewer ratings reality shows are less expensive to
produce than traditional shows continually seeking new ways to reach
viewers Internet video iPods on-demand cable
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The Concert Industry
The concert industry is undergoing a change. mass appeal artists are diminishing live concerts seem less important to the
post baby boomer generation audiences will probably be smaller and
more fragmented in the future
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State and County Fairs State and county fairs have made many
changes to stay competitive. increased use of technology
online advertising ticket sales premium books news releases
expanded schedules corporate sponsorships
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List three different forms of sports or entertainment and a current industry trend for each one.
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Lesson 3.2
Special Marketing Tools
Goals Explain how a sports figure can be
successful in the motivational lecture circuit and the publishing industry.
Explain the purpose of and promotion methods used for sports camps and clinics.
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Terms ghostwriter literary agent
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MOTIVATIONAL SPEAKING AND WRITING Professional athletes cannot plan on a
lifelong career. Many people enjoy listening to and
reading what famous individuals have to say.
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Successful Speaking
Successful speakers have a message that is interesting repeatedly well written speeches excellent communication skills strong promotional campaigns an agent
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The Price of Motivation
All American Speakers Bureau speakers receive between $5,000 and
$50,000 for an individual speech
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Writing Their Stories
When an athlete’s story has a broad appeal, more people are likely to buy their book.
ghostwriter a writer who takes someone’s experiences
and ideas and commits them to paper on behalf of that person
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a percent of the sale price of each book that is paid to the author
literary agent plans the marketing and promotional
campaign for an author compensation is a percent of book sales
royalty
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SPORTS CAMPS AND CLINICS
Every year parents make sizable expenditures to send their children to sports camps and clinics.
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Sponsorships
Generally, a sports camp sponsor can expect the following a positive public relations campaign visibility and recognition of sponsorship
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sponsor marketing materials on display at camp
potential product sales at camp
advertising space in the camp’s publications
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Camp Expectations
Parents need to carefully read camp literature to ensure that what the camp provides meets the family’s expectations.
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The location of the camp should be considered to ensure it meets the needs of the family.
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Clinics clinics
single skill focus shorter duration limited enrollment help capture a larger fan base for the sport
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Good Marketing Equals Success local news coverage in a variety of media product giveaways interviews and photos a community appearance by a camp celebrity
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parent surveys mailing list of prior attendees alumni incentives alumni networking for potential new
campers
follow-up materials are critical for future sessions of camp
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Advertising Well researched and thoughtfully
planned marketing will yield the most effective results.
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short ad lead-times inexpensive large non-targeted audience
magazines and e-zines longer ad lead-times higher ad rates targeted audience
newspapers
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Although direct mail is the most expensive advertising method, if it is sent to a well-researched group of consumers, it can be the most effective method.
mailings and brochures
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Explain the difference between a camp and a clinic.
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Lesson 3.3
Destinations: Travel and Tourism Goals Explain the role of travel and tourism in
sports and entertainment. Discuss the roles of resorts and theme
parks.
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Terms tourism direct economic impact indirect economic impact niche travel ecotourism
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TRAVELING
The travel industry is the world’s largest industry.
tourism traveling for pleasure
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Attracting Tourists travel trade
companies and individuals who create and market tours
direct economic impact total of new spending resulting from the event or
attraction
indirect economic impact multiplier effect
the portion of the money spent locally by visitors that is in turn spent by local residents
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Tailor-Made Vacations
niche travel travel planned around a special interest
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Ecotourism
ecotourism responsible travel to natural areas that
conserves the environment and sustains the well being of the local people
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enjoying while simultaneously preserving natural environments so that they may also be enjoyed in the future
sustainable tourism
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Halls of Fame
Attracting visitors is critical to keeping a hall of fame alive. Word of mouth is the most effective
promotion for a hall of fame.
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additional entertainment sources are located nearby
Some hall of fames offer a complete destination.
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What is the mission of the travel trade?
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RESORTS AND THEME PARKS
theme parks family-oriented destinations
resorts aimed at adults
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Theme Park Central
Orlando, Florida has 95 attractions and hosts about 50 million visitors annually.
Disney tries to be a comprehensive provider of all the products and services a visitor may require during their stay.
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Why might a theme park add restaurants and lodging to the site?
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Lesson 3.4
Worldwide Sports and Entertainment Events
Goals Describe the international role of sports
and entertainment marketing. Discuss the challenges of international
marketing.
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Terms joint venture infrastructure globalization piracy
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GLOBAL SPORTS AND ENTERTAINMENT Sports and entertainment is a
worldwide industry.
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An Expanding India
India continues to transition from a third-world economy to one of the fastest growing economies in the world.
Increased wealth of the population allows for greater consumption of sports and entertainment.
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An Expanding China
China has: over one billion potential consumers an annual economic growth rate of more than 10
percent unsuccessful foreign-operated attractions a glut of amusement parks
Many parks have failed due to poor marketing and planning and due to excess competition.
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A World Mouse
Disney is the worldwide leader in the theme park industry.
joint venture when two groups (including businesses and
governments) share the costs and profits of a business
infrastructure water, sewer, roadways, and all other underlying
framework
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Why is the number of theme parks growing in China and India?
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INTERNATIONAL MARKETING
globalization international economic relationships
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Scoring With Fans
Soccer is a dream event for international marketing.
The World Cup is held every four years.
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A Sponsor’s Dream The World Cup provides valuable
promotional opportunities. $1.5 billion in sales for Nike and for Adidas-
Salomon introducing the “Bud” brand name in Germany
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International Sports Trends
Current world sports has much to do with political history of the last 50 years.
After World War II, the Japanese became quite interested in baseball.
In 2006, the World Baseball Classic was held. $50 million to produce $15 million profit
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A Connected World
The 2006 formation of Warner-SK Telecom dramatically changed the way consumers buy, store, and listen to music.
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theft of copyrighted material
piracy
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Why might cell phones be called “the heart” of the future of music?
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PERFORMANCE INDICATORS EVALUATED Communicate an appropriate marketing
plan for increasing family business at Six Flags.
Develop appropriate promotions for all age groups.
Demonstrate critical thinking and problem-solving skills.
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Develop strategies to overcome Six Flags’ competition.
Prepare appropriate strategies that are sensitive to the economic conditions.
Demonstrate an understanding of marketing-information management.
Sell the promotional plan to the representative from Six Flags.
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THINK CRITICALLY1. Why is it difficult to attract visitors to
amusement parks?
2. Why must an amusement park constantly update its attractions and rides?
3. Give examples of special events that could take place at Six Flags for major holidays such as Fourth of July, Labor Day, Thanksgiving, and Christmas.