Marketing Mix activity

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Introduction to Sports Management – Week Five
 Welcome
 Assessment One and Two
 Discussion Forum
 Start Module Three
 Marketing Mix activity
 Birmingham 2022 Organising Committee have postponed the start of their event by one day
 The Commonwealth Games will now begin on 28 July 2022 and conclude on 8 August 2022
 Avoids clash with rescheduled UEFA Women’s Football Championships in England from 6 to 31 July 2022
 The country is now promising five weeks of unrivalled sport in the English summer
 Also accommodates the World Athletics Championships, in Oregon USA, from July 15-24
 The City of Birmingham will attract Athletic and Football fans from across the world.

Birmingham 2022 Commonwealth Games makes 24-hour move to add to unrivalled summer of sport


The blue and yellow “B” emblem is meant to link the venues of the sporting events to be held as part of the games.
The colour palette “represents Birmingham as the youngest city in Europe”, designers said.
Locations referenced in the design are Stourbridge, Cannock, Sutton Coldfield, Walsall, Wolverhampton, West Bromwich,
Birmingham, Solihull, Royal Leamington Spa and Coventry.
The logo is “bold and dynamic just like the region itself”, said Josie Stevens, chief marketing officer for Birmingham 2022, as
organisers held a special event in Birmingham’s Centenary Square to mark three years until the start of the games.
https://www.bbc.com/news/uk-england-birmingham-49131075
Assessment Summary
Assessment
Assessment Type
Length
Due
Weight
1
Reflective Journal –
My Sport Experience
1000 words
End of Week 4 – Sun Mar 14
20%
2
Project Proposal for a
new sport (Report)
1500 words
End of Week 6 – Sun Mar 28
40%
3
Final Report for a new
sport
1500 words
End of Week 12 – Sun May 9
40%
Assessment 2 and 3 are linked – you need to choose create a new sport, or modify an existing
sport, to attract a new market.
Assessment Two – Project Proposal
Develop a proposal for a new sport, or a modified sport for a new market. This could be individual or team based. You should write
from the perspective of the new Governing Body and outline the sport you have designed, including but not limited to:
 Introduction to the sport – name, brief concept, season or time of year
 The target market – who will play this new sport?
 Mission and/or Vision Statement – what is the purpose of this new sport?
 Goals and SMART Objectives – how will you establish this sport in the next 3-5 years?
 SWOT Analysis – table format with minimum of five factors in each of the four segments
 Risk Matrix table – potential risks and strategies to minimise them
 Proposed Rules including scoring and how to win
 Equipment and Uniforms required to play and minimise risks
 Proposed Competition for the first year including how many games (team sports) or events (individual sports) in the first year.
 Conclusion – convince the reader that this sport has a future.
Assessment Two Rubric
Your assessment should also address the Rubric outlined in the
Assessment Brief:
 Content, Audience and Purpose 10%
 Knowledge and Understanding 50%
 Critical reasoning, presentation and defence of an argument 30%
 Referencing 10%
The slides from Modules 1 -3 are good references but you should also
include the readings provided and websites that you find relevant from
the sports industry.
Foot Golf at Mt Pleasant Golf Club
 18 hole foot-golf facility
 Enlarged holes and nuanced slopes
 Pre-season training, skill development or fun
 $15 to play
 Record score is 75
 Looking to establish monthly competition
 Australian Championships and World Cup
already in pace
 A welcome addition to the program of events for
the golf facility
https://www.adelaidenow.com.au/sport/womens-sport/australian-cricket-legend-belinda-clark-says-its-never-been-a-better-time-for-womenssport/news-story/92469c9d3002b476508effe5e8b90749
Subject Overview
Module 1
Module 2
Module 3
Module 4
Module 5
Module 6
The Sports Industry
Governance and Risk
Sport Marketing and Media
Sport Tourism and Events
Sport Facilities and Venues
Professionalism and Ethics
Module Three Topics
1. Marketing Defined
2. Target Markets
3. The Sport Marketing Process
Next Week:
1. Media and Sport
2. The Promotional Mix
3. Media Classifications
Module Three Readings
1. Module Three Lecture Slides
2. Ali, M. (2006). What is public relations? In Public relations: Creating
an IMAGE (pp. 6-9). UK: Harcourt Education.
3. Cunningham, S., & Miller, T. (1994). The spectacle of sport. In
Contemporary Australian Television (pp. 63-89). Australia:
University of New South Wales Press.
4. Petley, J. (2002). Planning an advertising campaign. In Advertising
(Media Wise) (pp. 18-24). UK: Hodder Wayland.
5. Becoming an Ultimate Sports City – Branding and Marketing | Case
study – Glasgow 2014
Additional Readings
1. Marketing Fundamentals (MKT101A)
2. Sports Marketing (SPO102)
Available at the Torrens Library:
https://ebookcentral-proquest
com.ezproxy.laureate.net.au/lib/think/detail.action?docID=6222254
Chapter Two to be discussed today.
Discussion Forum – We often call people who buy our products customers or clients. What
do you want to be called in sport? A supporter or a fan? Or something else? Does it matter?
SPO101
Module 3
Sport Marketing and Media
This Module
 Marketing Defined
 Target Markets
 The Sport Marketing Process
 Media and Sport
 The Promotional Mix
 Media Classifications
SPORT MARKETING
Marketing Defined
“A social and managerial process by which individuals and
groups obtain what they need and want through creating
and exchanging products and value with others”
(Kotler et al, 2006, p. 7).
The sport marketer must identify the needs and wants of
the consumer, and determine how they can satisfy these
needs and wants through the exchange process.
Kotler et al (2006, p. 10) identified the process of exchange
as the “act of obtaining a desired object from someone by
offering something in return”.
Kotler, P., Adam, S., Brown, L. and Armstrong, G. (2006) Principles of Marketing: 3rd Edition, Pearson: Sydney.
Needs and Wants
What needs and wants are sport consumers seeking?
 Physical Activity
 Health and Fitness
 Fun
 Competition
 Entertainment
 Social Interaction
 Sense of Belonging
 Sense of Identity
People choose to consume their sport in different ways and
will therefore have different needs and wants. Some people
play sport for fun and some play sport competitively. Some
people decide to buy tickets to the games (spectators) while
others choose to watch from home (viewers).
Multiple Markets
Sport organisations therefore have multiple markets to satisfy
and they have realised that, to remain competitive, they need
to invest in marketing as a process to grow the sport.
The professionalisation of sport since the 1980’s has seen
sport shift from ‘kitchen table administration’, where volunteers
were administering amateur sport, to full-time professional
management including the creation of large marketing teams.
Sport organisations traditionally had an internal perspective,
focused on the operations and technical aspects of their sport,
and are now expected to adopt an external perspective,
focused on raising the profile of the sport and maximising the
revenue opportunities that become available.
Shilbury, D., Westerbeek, H., Quick, S., Funk, D. and Karg, A. (2014)
Strategic Sport Marketing: 4th Edition, Allen & Unwin: Sydney.
Target Markets
The marketing process is the same for all industries including
sport, and the same process applies to sport participants, sport
spectators and sport viewers.
It would be easy to group these people together and refer to
them as ‘sport consumers’ or ‘sport fans’ but they have
different needs and wants, and so we need to segment the
market to satisfy these needs and wants.
The marketing process allows us to explore the broader market
and then segment this market into target groups, and we then
create marketing strategies and campaigns for each target
market.
Target Market Example
When the Gold Coast were awarded the 2018
Commonwealth Games they identified four target markets:
 Families in Queensland
 Interstate Tourists
 International Tourists
 Sports Fans
The organising committee deliberately scheduled the event in the April
school holidays to ensure Families in Queensland could experience the
event, and Interstate Tourists could travel to the Gold Coast.
International Tourists, looking for an overseas holiday, and Sports
Fans, who are motivated by sport, were also important targets, but the
majority of ticket sales needed to come from the first two target markets.
The Sport Marketing Process
Shilbury et al (2014) have created a sport marketing process
that mirrors other processes from the marketing literature.
Marketing is not new but it continues to evolve as new ideas,
new theories and new technologies are embraced by industry
as they search for answers to meet the needs and wants of a
changing community.
The strategic sport-marketing planning process (SSMPP)
is discussed in detail in another subject – SPO102 Sports
Marketing – and only a brief summary is provided in this
subject. The SSMPP includes three stages and eight steps
as outlined on the following page:
Strategic Sport-Marketing
Planning Process
Shilbury, D., Westerbeek, H., Quick, S., Funk, D. and Karg, A. (2014)
Strategic Sport Marketing: 4th Edition, Allen & Unwin: Sydney.
Step 1: Analyse External Environment
Step One involves:
 Analysing the external environmental factors, using the
PESTEL framework (or similar)
 Analysing the forces that drive competition within the
industry, using Porter’s Competitive Forces Model
 Identifying the publics (or stakeholders) to which the sport
is responsible – these stakeholders also have needs and
wants to be addressed.
The factors and forces that are external to the organisation
will impact the marketing strategy adopted by the organisation
and the success of that strategy.
PESTEL Framework
To understand the external environmental factors that impact
on the organisation we consider the PESTEL framework:
POLITICAL ECONOMICAL SOCIAL TECHNOLOGICAL ENVIRONMENTAL LEGAL

Scanning the Environment: PESTEL Analysis


Porter’s Competitive Forces Model
To understand the industry in which they compete Michael
Porter (1985) outlined five forces that managers should
review when examining competition within that industry.
Shilbury et al (2014) adapted this model for the sports industry:
Force 1 – Intensity of competition within the industry (current sports)
Force 2 – Bargaining power of buyers (consumers/sponsors)
Force 3 – Threat of substitute products (other sports/leisure pursuits)
Force 4 – Bargaining power of suppliers (participants/athletes)
Force 5 – Threat of new entrants (new sports or teams)
Porter’s Five Forces Model
Shilbury, D., Westerbeek, H., Quick, S., Funk, D. and Karg, A. (2014)
Strategic Sport Marketing: 4th Edition, Allen & Unwin: Sydney.
Identifying Publics/Stakeholders
The identification of publics or stakeholders begins with the
analysis of the industry – they are critical groups who have
needs to be addressed and influence the sport:
Shilbury, D., Westerbeek, H., Quick, S., Funk, D. and Karg, A. (2014)
Strategic Sport Marketing: 4th Edition, Allen & Unwin: Sydney.
Step 2: Analyse Organisation
In Module One the importance of Mission, Vision, Goals and
SMART Objectives were discussed – they set the strategic
direction for the organisation.
Step 2 allows the Manager to reflect on this information and
consider any new information from Step 1, the external
environment.
The Manager may need to refine goals or objectives, or
complete another SWOT Analysis. The Manager needs to feel
confident that they have the internal capabilities to develop
and deliver the marketing strategy, and make sure that the
marketing strategy is consistent with the organisation’s strategy.
Step 3: Market Research and MIS
Step 3 is one of the most important steps in the process –
making sure market research is conducted so that the
organisation understands the marketplace, and can make
informed decisions on what markets to target.
Market research requires data to be collected from consumers
and other stakeholders via surveys, interviews, focus groups
and other means. Data is stored on the MIS – Management
Information System – and can be divided into the following:
Demographics:
Psychographics:
Behavioural:
age, gender, suburb, education, nationality
personality, values, attitudes, opinions
consumer behaviour, usage, loyalty
Step 3: Market Research and MIS
Shilbury et al (2014) suggest six questions to ask as a
starting point to build a consumer profile:
 Who are the consumers in the marketplace?
 What do they purchase?
 Why do they choose a particular product?
 When do they consume it?
 Where do they consume it?
 How is the product used by the consumer?
Organisations need to determine which data is beneficial
and contributes to their decision-making.
Step 4: Determine Marketing Mission and
Objectives
The strategic plan for the organisation is usually long term and
looks 3-5 years into the future. The marketing mission and
objectives focus on a shorter time period. Some sports will
modify their marketing strategies every year to capitalise on the
new season and the opportunity it presents.
Other sports may change their strategies in-season, in response
to an external factor or a competitor or a new opportunity. Sport
Marketers need to be careful not to react to poor media or poor
on-field performance. Any new marketing initiative should
follow steps 1-3 and a new marketing mission and objectives
should be developed to focus on the outcome.
Step 4: Determine Marketing Mission and
Objectives
Shilbury et al (2014) suggest that every organisation is
looking for a competitive advantage over their rivals, and
they need to develop a range of products to achieve this.
These products can be goods or services:
Goods: material items that are tangible (seen or touched)
Services: benefits provided by other persons, intangible
It is the mix of goods and service – the product range – that
makes some sports more appealing than others.
Step 4: Determine Marketing Mission and
Objectives
There are various tools that can be used by the manager at
this stage in the planning process to determine the success
of their products and the next step that they should take.
These tools will be explored in SPO102 and include:
 The Product Life Cycle – a graph based on sales over
time to determine where the product is at in its life cycle –
introduction, growth, maturity, decline.
 The Ansoff Matrix – a matrix that identifies four strategic
options for organisations based on existing products and
markets, or creation of new products and markets.
The Product Life Cycle
https://wholesalesuiteplugin.com/product-life-cycle/
The Ansoff Matrix
Created by Igor Ansoff (1957). Refer to:

Using The Ansoff Matrix to Develop Marketing Strategy


ANSOFF Matrix – Product and Market Expansion
1. Market Penetration
 Test Cricket
 One Day Cricket
3. Product Development
 Women’s Cricket
2. Market Development
 Night Test Matches
4. Diversification
 T20 Cricket
 Beach Cricket?
Existing Products
New Products
Existing Markets
New Markets
Step 5: Determine Marketing Strategy
In Step 5 we focus on the product that we think will satisfy
our marketing mission and objectives, and ideally generate
awareness or revenue (or both) for the sport.
A product is anything that is offered to a market that satisfies
a want or need. A product can be a good (tangible) or a
service (intangible) and the role of the marketer is to sell or
distribute that product to the people who need or want it.
To achieve this we determine the marketing mix – a mix of
variables that positions the product in the marketplace.
The Marketing Mix
The traditional marketing mix – the four P’s – focused on
the selling of goods:
Product
Identifying the good and its benefits
Place
Distribution of the good at the right time/place
Price
Setting a price that reflects consumer value
Promotion
Communicating the good to the targe market
A common way to remember this was ‘get the right product
in the right place at the right price with the right promotion’.
The Marketing Mix
Goods are still popular but consumers are now looking for
services, or experiences, which we know are intangible. We
therefore expand the marketing mix with four additional P’s –
Physical Evidence
Visual/tangible cues of the service
Process
The process of service delivery
People
The people responsible for service provision
Partnerships
Other partners critical to the service
(eg ticketing agency, sponsors, broadcasters)
Some text books still refer to 4Ps, some refer to 7Ps
(excluding partnerships) but in sport the 8Ps are critical.
Pride, W.M., Ferrell, O.C., Lukas, B., Shembri, S.,
& Niininen, O. (2015). Marketing Principles: Second
Edition. Cengage Learning: South Melbourne, VIC.
The Marketing Mix
The diagram by Pride et al (2015)
provides a good summary of the
discussion so far:
 External environmental forces
 External competitive forces
 The four traditional Ps
 The expanded Ps
 The customer in the centre – the
target market and the most
important factor.
Goods v Services
There are people who specialise in the marketing of sporting
goods – sport equipment, sport clothing, sport drinks – but the
core business for most sports is the marketing of sport services –
creating experiences for people to play or watch sport.
We expand the marketing mix because services are different
and, in some ways, more challenging to market:
Tangibility – Goods are tangible while services are intangible.
Inseparability – Goods are produced before they are consumed, while a
service is produced and consumed at the same time.
Perishability – Goods can be stored in inventory while services cannot be
stored for later use.
Quality/Consistency – Goods have a consistency and high level of quality
assurance while the consistency and quality of services is variable.
Example of Marketing Mix
8P’s
Example
Product
A multi-sport major event with 25 sports, 275 individual sporting events plus
an extensive arts and cultural festival
Place
17 venues on the Gold Coast plus venues in Brisbane, Cairns, Townsville
Price
Affordable, family pricing, 80% of all tickets were under $80, ticketing
included free public transport
Promotion
Multiple promotion and communication channels including Advertising,
Digital Marketing, Personal Selling and Public Relations
Physical Evidence
The Torch Relay, School Education Program, Queensland and Gold Coast
Ambassadors, Online Merchandise shop 12 months before the event
Process
Online Ticketing Ballot, Payment systems, Ticket distribution, Online shop,
Travel packages, Public Transport process
People
Large team of contract staff (1000+), Volunteer Workforce (15,000),Training
and Induction program with Griffiths University
Partnerships
Tourism Agencies, Accommodation providers, Public Transport providers,
Food and Beverage suppliers, Corporate sponsors, Arts community
Class Activity
8P’s
Example
Product
Place
Price
Promotion
Physical Evidence
Process
People
Partnerships
Complete a Marketing Mix for a local Athletics Club managed by volunteers.
Step 6: Determine Tactics & Benchmarks
Once the marketing mix is in place the manager thinks about
tactics and benchmarks to deliver and measure the desired
results. This additional level of planning ensures that each of
the 8P’s is executed correctly.
Tactics: are the individual actions required to influence your
marketing objectives. For example, advertising a coaching
clinic to schools may require distribution of a poster. The
tactics include poster design, finding the right image, printing.
Benchmarks: these are measurements to compare your
results with past performances and also your competitors.
Another sport may attract 50 kids to a coaching clinic and you
attract 75 – a great result.
Step 7: Implement & Coordinate
Marketing Mix
Step 7 is about implementing the marketing mix, and
integrating the different components, resources and
people to ensure the strategy is executed harmoniously.
This is often referred to as the moment of truth – the
moment when all your planning comes to fruition and your
target market is about to experience the good or service
that you have created, and form or change an impression
about that particular good or service.
This is also the moment when the target market form or
change an impression about your brand.
Step 8: Control Marketing Function
Step 8 is focused on the control process – the setting of
standards, specifying and obtaining feedback, evaluating it,
and taking corrective action.
In business we know that everything we do will be measured
and evaluated, and we have already planned for that by
setting SMART objectives. The control process allows us to
determine if those objectives have been met.
We evaluate the marketing mix and its execution and use this
information to make decisions for the future. Can the
marketing mix stay the same or does it need changes? Is
more market research required?
Shilbury, D., Westerbeek, H., Quick, S., Funk, D. and Karg, A. (2014)
Strategic Sport Marketing: 4th Edition, Allen & Unwin: Sydney.
Available from the Torrens library:
https://ebookcentral-proquest-com.ezproxy.laureate.net.au/lib/think/detail.action?docID=6222254
Marketing Summary
Your understanding of marketing will develop throughout your
study as you are exposed to more business and marketing
subjects and you complete more assessments.
You are already exposed to marketing every day as consumers
and being aware of this will also assist your understanding.
Additional reading is encouraged and the following book is
recommended for Sports Marketing:
MEDIA AND SPORT

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