Sports & Entertainment for Business Chapter 1 Lesson 1.1—Marketing Basics

Sports & Entertainment for Business

Chapter 1

Lesson 1.1—Marketing Basics

Think about this...What goods and services do consumers

demand in the world of sports and entertainment?

CommercialsThink about three of your favorite

commercials.Were any famous celebrities in those

commercials?Why do companies spend large sums of

money to have famous people endorse their products?

Marketing ConceptsAbout ½ of every dollar you spend pays

for marketing costs. Product development Packaging Advertising Sales expenses

What is Marketing?Marketing is the planning & executing

the conception, pricing, promotion, & distribution of ideas, goods, & services to create exchanges that satisfy individual & organizational objectives.

It is the creation & maintenance of satisfying exchange relationships.

What is Marketing? Creation

Product development

Maintenance Marketing must continue

as long as a business operates

Satisfaction Marketing must meet the

needs of businesses & customers when exchanging products or services

Exchange People both give &

receive something of value

The Marketing Mix Describes how a business blends the four

marketing elements… 1. Product-what a business offers to satisfy

customer needs. 2. Distribution-locations & methods used to

make products available to customers. 3. Price-amount customers pay 4. Promotion-ways to encourage customers to

purchase products & increase satisfaction.

Satisfying Customer NeedsCustomers needs should be the primary

focus during the planning, production, distribution, and promotion of a product or service. 1. Identify customer needs. 2. Develop products that customers

consider better than other choices. 3. Operate a business profitably

Key Marketing Functions…

Seven key functions associated with marketing.

7 Marketing Functions Product/Service

Management-designing, developing, maintaining, improving, & acquiring products or services so they meet customer needs.

Distribution Determining the best way to get a company’s products or services to customers.

7 Marketing Functions Selling

Direct & personal communication with customers to assess and satisfy their needs

1. Anticipating future needs of customers

2. Internet sales with no personal communication

Information ManagementGathering and using information about customers to improve business decision making

Example: Domino’s made smaller pizzas for Japan where it is preferred as a snack rather than a meal.

7 Marketing Functions Financing

Budget marketing activities, provide customers with assistance in paying for the company’s products or services

PricingProcess of establishing and communicating the value of cost of goods and services to customers.

Example:

high demand for sporting events mean high prices charges for tickets.

7 Marketing Functions Promotion

Using advertising and other forms of communicating information about products, services, images, and ideas to achieve a desired outcome.

Example:

coupons on the back of ticket stubs.

The seven key functions are the basis of all marketing activities.

Time to Think Imagine a college sweatshirt.

Describe it. What price would fans be willing to pay? Where would be the best place to

distribute/sell the sweatshirt? What might be a good promotional

strategy?

Thank You!!