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Unit 1:Unit 1:Introduction to MarketingIntroduction to Marketing

“What is Marketing?”“What is Marketing?”PART 1PART 1

Mr. ElsesserMr. ElsesserSports MarketingSports Marketing

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WHY STUDY MARKETING?WHY STUDY MARKETING?

Marketing is an essential Marketing is an essential component to the success of all component to the success of all businesses in all industries.businesses in all industries.– Serves as the backbone for many other Serves as the backbone for many other

forms of businessforms of business

Most people experience many Most people experience many types of marketing every day.types of marketing every day.– Examples:Examples:

At School: Posters/T-Shirts/Team UnityAt School: Posters/T-Shirts/Team UnityAt Home: Television/Internet UsageAt Home: Television/Internet Usage

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WHAT IS MARKETING?WHAT IS MARKETING?

Marketing is the creation and Marketing is the creation and maintenance of satisfying maintenance of satisfying exchange relationships between exchange relationships between customers and businesses.customers and businesses.

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THE SEVEN BASIC THE SEVEN BASIC MARKETING FUNCTIONSMARKETING FUNCTIONS

Product/service managementProduct/service management– What will your product/service offer?What will your product/service offer?

DistributionDistribution– How will it get to your consumer base?How will it get to your consumer base?

SellingSelling– How can our consumers obtain this? How can our consumers obtain this?

Marketing Information ManagementMarketing Information Management– How are your competitors doing it? Best PracticesHow are your competitors doing it? Best Practices

FinancingFinancing– What is our budget line for our project?What is our budget line for our project?

PricingPricing– How much will it cost? How do we know what to charge?How much will it cost? How do we know what to charge?

PromotionPromotion– How do we get the word out? How do we get the word out?

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WHAT ARE PRODUCTS?WHAT ARE PRODUCTS?Anything that is offered to a market by Anything that is offered to a market by a business to satisfy needs.a business to satisfy needs.– Includes physical products (goods), services or Includes physical products (goods), services or

ideas.ideas.

What is a Good?What is a Good?– a physical item that can be handled, such as a

baseball or an article of clothing.

What is a Service? – activities that are intangible, and consumed at

the time of production, such as mowing someone’s lawn or a ball game.

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IDENTIFYING IDENTIFYING CUSTOMERS VS. CONSUMERSCUSTOMERS VS. CONSUMERS

Customers:Customers:– someone who is actively looking for a someone who is actively looking for a

product and may actually purchase it. product and may actually purchase it.

Consumers:Consumers:– the person who actually uses the the person who actually uses the

product.product.The Diaper Example:The Diaper Example:

– The parent is the customer.The parent is the customer.– The baby is the consumer. The baby is the consumer.

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THE MARKETING CONCEPTTHE MARKETING CONCEPTFor Businesses:For Businesses:– Uses the needs and wants of customers as their primary Uses the needs and wants of customers as their primary

focus during the planning, production, distribution, and focus during the planning, production, distribution, and promotion phases of a product.promotion phases of a product.

For Customers:For Customers:– Searches for the right product, at the right price, at the Searches for the right product, at the right price, at the

right time. right time.

The Result:The Result:– The business makes a profit, the customer gets their The business makes a profit, the customer gets their

product or want. product or want.

Win-Win Situation!!! Win-Win Situation!!!

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How It All Works…How It All Works…THE MARKETING MIXTHE MARKETING MIX

Definition:Definition:– All the tools or activities available to organizations that All the tools or activities available to organizations that

can be used in meeting the needs of a target market.can be used in meeting the needs of a target market.

Consists of Consists of FOUR ELEMENTS (4 P’s): FOUR ELEMENTS (4 P’s): – All of which need to be blended together for success.All of which need to be blended together for success.

ProductProductPrice Price Place (or Distribution)Place (or Distribution)PromotionPromotionPublic Relations Public Relations

– (sometimes, especially in sports)(sometimes, especially in sports)

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Sports CommercialsSports CommercialsMarketing Mix ExampleMarketing Mix Example

For each of the sports commercials shown For each of the sports commercials shown in class what parts of the marketing mix can in class what parts of the marketing mix can you Identify (hint—all may not be evident):you Identify (hint—all may not be evident):http://www.youtube.com/watch?v=fucxG-he2qU (JUST FOR MEN) (JUST FOR MEN)

– ProductProductJUST FOR MEN Hair Color productsJUST FOR MEN Hair Color products

– PricePriceNot very evident, may show value of product by Not very evident, may show value of product by making an old retired pro feel reenergized and young making an old retired pro feel reenergized and young again by their appearance. again by their appearance.

– Place/DistributionPlace/DistributionTV ADTV AD

– PromotionPromotionUsing symbols of young energy, and of course old Using symbols of young energy, and of course old icons like Emmit Smith.icons like Emmit Smith.

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THE ACTION:THE ACTION:MARKET SEGMENTATIONMARKET SEGMENTATION

Step 1:Step 1:– Establish the correct Marketing Mix and Establish the correct Marketing Mix and

direct at a certain direct at a certain market segment. market segment. A specific group of people/business A specific group of people/business within the larger overall market.within the larger overall market.

Step 2:Step 2:– After market segmentation, we need to After market segmentation, we need to

target our market (target our market (target marketingtarget marketing).).

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The Action of Marketing, cont’dThe Action of Marketing, cont’d

Step 3:Step 3:– Market needs to be segmented within Market needs to be segmented within

four major categories:four major categories:DemographicsDemographics

PsychographicsPsychographics

GeographicsGeographics

Product UsageProduct Usage– Looking at the patterns and behaviors in which a Looking at the patterns and behaviors in which a

product is used. product is used.

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WHERE DO WE GO?WHERE DO WE GO?

Now that we have the basic Now that we have the basic marketing concepts down, we will marketing concepts down, we will basically use the marketing mix to basically use the marketing mix to guide us through the world of Sports guide us through the world of Sports Marketing, beginning with Marketing, beginning with Marketing Terminology.Marketing Terminology.