© south-western/thomson sports and entertainment marketing chapter 3slide 1 chapter 3 chapter 3...

CHAPTER 3 SLIDE 1 © SOUTH-WESTERN/THOMSON

SPORTS AND ENTERTAINMENT MARKETINGSPORTS AND ENTERTAINMENT MARKETING

CHAPTERCHAPTER 33Professional Sports

3.13.1 Big League Sports

3.23.2 Attracting a Professional Team

3.33.3 Agents, Managers, and Ethics



LESSON 3.1LESSON 3.1

Big League Sports

GOALSGOALSDiscuss the financial impact of

professional sports.Identify the perks associated with big

league sports.



Financial Impact

Big league pricing and planningFinancial planning for a sports teamBringing all the resources together



Big League Pricing and Planning

Professional athletes contractsCorporate sponsorshipsTelevision revenue



Financial Planning for a Sports Team

Financial viability for the home cityIncreased spending by fansIncreased tax revenues



Bringing All the Resources Together

Media supportMarketingCharitable and other organizations



Prestige, Power, Profitability

Perks and payoffsPolitical cloutProfessional teams and the communitySociological ties to a professional teamThe bottom line



Perks and Payoffs

Perk—a payoff or profit received in addition to a regular wage or payment

Company employees receive ticketsMedia exposure for owners



Political Clout

Franchise owners bring millions of dollars in business activity to a city

Frequently associated with wealth



Professional Teams and the Community

Teams bring new jobs to a cityBoost for surrounding businessesCommunity service



Sociological Ties to a Professional Team

City’s “image enhancement”Residents feel prideWholesome family entertainment



The Bottom Line

Winning is everything in sportsSpecial contract incentives for winning


SPORTS AND ENTERTAINMENT MARKETINGSPORTS AND ENTERTAINMENT MARKETINGLESSON 3.2LESSON 3.2

Attracting a Professional Team

GOALSGOALSDescribe the distribution process for a

professional sports team.Explain the process for financing a

professional sports team.



Getting in the Ballgame

Distributing the gameHow distribution is decided



Distributing the Game

Individual teams are separately operated businesses

Cartel—a combination of independent businesses formed to regulate production, pricing, and marketing of a product

The league controls the distribution of the teams



How Distribution Is Decided

Region with a large potential customer base

Subsidies for the teamOwner must have financingStadium to attract fans



Attracting a Sports Team

It takes moneyAnd more moneyCashing inAnother option


SPORTS AND ENTERTAINMENT MARKETINGSPORTS AND ENTERTAINMENT MARKETINGLESSON 3.3LESSON 3.3

Agents, Managers, and Ethics

GOALSGOALSUnderstand the role of agents in

marketing.Explain ways that professional sports

organizations and their sponsors develop an athlete’s character.

Assess the impact of ethical behavior on an athlete’s promotional value.



Show Me the Money

Agent—the legal representative of a celebrity

Athletes won the right to become free agents



Polishing the Marketing Value

Professional athletes ultimately responsible for their own behavior

National Basketball Association rookie training program

Illegal behavior may hurt ability to attract sponsors



Handlers

Handlers—sponsor-paid individuals who work closely with athletes who are unable or unwilling to police themselves

For athletes to remain valuable to sponsors, they must behave

Neither can afford negative publicity



Advisors

Financial and business counselorsAdvisors keep the athlete and sponsor

together for the benefit of both



Do Ethics Count?

Ethics—a system of deciding what is right or wrong in a reasoned and impartial manner



Ethics and Character Matter

Lack of mature adult role modelsFrequent news accounts of unethical

behavior by politicians, sports and entertainment figures, and religious leaders

Can result in publicity that interferes with a marketing plan

© south-western/thomson sports and entertainment marketing chapter 3slide 1 chapter 3 chapter 3...

Documents

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winning slide

line slide

ethics slide

wealth slide

professional sports

big league sports goals

professional team goals