Midterm Study Guide
Define sports marketing:
The specific application of marketing principles and processes to sports products and to the marketing of non sports products through association with sports.
Identify an ethical concern that may be taken into consideration during the development of a marketing plan. Different cultures and values, they do business differently in other countries. Highly sensitive ethical issues.
What is the difference between a product and a service?
Product: Manufactured for sale (Tangible)
Service: The action of providing work for someone. (Intangible)
Give an example of a product extension?
"Products being sold to enhance the core product".
Apple: Apple TV
Google: Google Ads
Bailey's Irish Cream: Irish Cream Coffee sweetener
Explain “experience marketing” and give an example: REI
Is the process of introducing the product to the customer for the to use and handle before purchase. Range Rover on Parker has a 4x4x off-road track behind their retail store where the customer can test drive their SUV'S. The following are elements of a situational analysis. Be able to match each to a given example. Economic Climate- Recession/discretionary income/Profit over long term goals. Legal Climate- Know the laws & regulations assoc. with the product/ Demographics- Know your customers and what makes um tick/Quantitative VS Qualitative Demand Trends- Supply VS Demand (Technology changes demand)
Product Life Cycle - Introduction- Growth- Maturity- Decline Technological Trends- Really important/Huge in the sports marketing industry. Competitor Analysis- Direct VS Peripheral/ Know your competitors. Know how to execute a SWOT analysis
What is the difference between a market, a consumer, and a niche market?
MARKET = GROUPS
CONSUMER = INDIVIDUALS
NICHE MARKET: IN BETWEEN- IDENTIFY SMALL BUT TARGETED MARKET AND ATTEMPT TO CAPTURE A LARGE PORTION OF IT.
What is the 80/20 rule?
80% of your company comes from 20% of your customers
Explain the difference between primary and secondary market research and identify pros and cons of each
PRIMARY: Do it yourself (Survey's/Questionnaires)
SECONDARY: Third Party research companies/ Scarborough
Name five demographic segmentations?
When identifying your target markets, why is it important to understand “benefit segmentation”? Not everyone buys the same product for the same reason 80% of athletic shoes are never worn for the sport.
Heavy User's/ Medium User's/ Light User's
Best customers are not always the most profitable.
Give an example of how a company may use database marketing
It's Targeted- everyone in the database at some point had an interest level for the product or service. cookies.
The following are influences on consumer behavior. Be able to match each to a given example.
Economic Factors: Is the product worth the price?/ Is it affordable?
Psychological Factors: Attitudes, Interests, Opinions, Product awareness an loyalty.
Sociological Factors: Fashion trends and peer pressure
Behavioral Factors: Everything is a result from interaction with the environment, not stimulus and response. It's difficult to change the behavior of the consumer.
Who are opinion leaders?
Experts in their prospective field (Authority)
What does the acronym SMART stand for when identifying marketing objectives? S= SPECIFIC
R= RELEVANT (RESULTS ORIENTATED)
T= TIME BOUND
Know what the following are and be able to give a sports/entertainment example:
Market Penetration (E/E):
Existing Product/ Existing Market
Market Expansion (EN):
Existing Product/ New Market
Product Development (NE):
New Product/ Existing Market
Market Diversification (NN):
New Product/ New Market