KRLS 105 Final Flashcards
Sport Consumer Behaviour
Consumer needs and motivation
doesn’t stay constant
- identifying and satisfying customers’ unfulfilled needs
- participant motivation
- spectator motivation
- participant and spectator markets
Participant motivation
-over 100 motives for participating in sport
-three key motives (not mutually exclusive)
1) achievement- want to be best/win
2) social- interaction w/ teammates and coaches
3) Mastery- trying to improve self in new skill, intrinsic/ challenge self
-extrinsic and intrinsic rewards
(trophies, medals, etc). (weight loss)
Spectator motivation
- different reasons for watching and participating
- spectator motives vary considerably
1) diversion- distraction, gets you away
2) eustress- healthy stress, game in OT, suspense movie - overlap with spectating and participation
examples: betting, basking in glory, see athleticism and performance
Consumer perceptions (shape level of interest)
- perceiving sport as meeting a particular need or motive
- acting and reacting based on perceptions (factual, based on real world)
- process by which a person selects, organizes, and interprets stimuli to create a meaningful picture of the world
- influence of the media- reinforces personal perception
- everyone experiences the same thing differently, making it difficult to find what they really want
Consumer attitudes
Marking efforts (anticipate motivation)
-directed at shaping people’s perceptions
-attempting to form or change customers’ attitudes (athlete endorsement)
Text: Attitudes are based on a person’s experiences (behavioral component), feelings (affective component), and beliefs (cognitive component) about an object
Consumer Attitudes (cont’d)
Attitudes:
-expressions of inner feelings that reflect likes and dislikes
-based on three components: experience (behavioral component) feelings (affective component) beliefs (cognitive)
Consumer
-loyalty: less affected by price changes- still a fan
-involvement: deeply feel/think about (olympics- think about before/after or not)
-identification- degree sport/ activity part of sense of self (loyalty, money spend)
Group influences on the sport consumer
External factors influencing buying behaviour:
-people closest to us (family/friends)
-groups with whom we choose to associate (community)
-broader society in which we live (regions have different preferences)
Direct (ethnicity/ direct contact), indirect (great someone was an athlete), and aspirational (want to be like) reference groups
Consumer socialization
reference groups, socialization processes
Reference groups: ways/rituals associated (dressing, place you sit is stadium
-chosen based on what consumer has learned (preferences, modelling off others, previous experiences)
-can affect what a consumer learns subsequently
Direct (face-to-face) and indirect (aspirational) reference groups influence on the ways we consume sport
Socialization processes: modelling (off others), prompting (bring glove to catch fly ball), and reinforcement (rewarded/ punished for behaviour/ way of doing things)
Situational influences on the sport consumer
-isolating influences of internal and external forces is difficult (more than one influence)
-different contexts and situations result in different decisions (hungry or sleepy)
A situation is a set of factors that are:
-outside the individual consumer and removed from the product that they buy or its advertisement that they encounter.
-removed from the product or advertisement
Situational influences on the sport consumer (cont’d)
Awareness of how purchase situations influence consumers
Situational influences:
-physical surroundings: smells, weather, crowd, traffic
-social surroundings: friends, who going with
-task requirements: why are you doing it
-time pressures: time of day/season, commute, start to event
-antecedent states: anxiety, excitement, anger
Consumer decision making in sport
Common progression in decision-making process as consumer
-recognizes a need or problem
-seeks information to resolve problem or fulfill need
-determines purchase option
-evaluates alternatives
-makes purchase decision
-engages in post purchase evaluation
(cognitive dissidence- anxiety about a purchase)
Decision process diagram (page 14/15)
Sport consumer behaviour challenges and issues
-meaning and emotion of sport consumption (create attachment, anticipating needs)
-globalization of sport (cultural differences)
-virtual consumption (online communities- betting/ chats)
-compulsive consumption (gambling, compulsion affects daily life/ exercise obsession)
side bar: social media and consumer behaviour:
ex. running races- people engaging more likely to remember sponsor/ adds
Sport Communication
Lecture 14
Sport communication
- a prominent and exciting aspect of sport management: emergence of sport media personalities ex. social media
- includes myriad of actions and activities: conversations, media releases, social media
- a process by which people in sport, in a sport setting, or through a sport endeavour share symbols as they create meaning through interaction ex. communicate clearly, Fleury
Theoretical framework of sport communication
1) genres- different approaches, groupings
2) context- interpersonal, group, organizational (internal: emails, talk. external: ads, media, reports), mass mediated (false more likely to be shared than true)
3) process- context specific (in any given situation)
4) elements- sender; message; channel; receiver (places for misinterpretation)
5) effects
Elements in the communication process
image
Communication models
- Encoding (assigned by sender) and decoding(assigned by recipient) added to the process
- Communication as a 2-way process
- argued that for communication to exist the sender must share something: common language, vocabulary, interest in or understanding of the subject
Effects
- Varied results of communication on audience members ad society in general
- Theories of mall media effects:
- uses and gratification: select info reinforces what they already know
- agenda setting: media influence what is important/ what people think about (Oilers vs bears media)
- innovation (4 elements): innovation itself, communication channels, time, and a social system
- diffusion of information-viral videos, mercy at people using social media
- modelling (role models) and cultivation (languaging)
Strategic Sport Communication model (SSCM)
figure 14.1, page 298
-Provides a framework for interaction between communication dynamics and setting
Elements:
-sport communication process
-personal and organizational communication in sport
-mediated communication
-sport communication services and support
Personal and organizational communication
SSCM component 1:
- personal sport communication: intra and interpersonal and small group
- organizational sport communication: intra and inter organizational
- Communication skills (writing and speaking abilities)
Mediated communication
SSCM component 11
- sport print communication (newspaper)
- sport mass media
- emerging and social media
- change the ways people interact
Sport communication services and support
SSCM component 111
- advertising: remembering ad and products
- PR and crisis communication: ex Tylenol, concussions
- research: examine efficacy
Sport public relations
Models of public relation practice
- One-way models:
- press release (written): hiring, news, weigh in
- press conference (call reporters)
- Two-way models
- public opinion data: feedback on something
- symmetrical approach: negotiation, feedback focus groups, interaction
Media relations in sport
What media relations specialists do:
- write news releases (what is news worthy)
- plans news conferences (face-to-face interaction)
- manage game services: give media places to sit and treat them well for good reviews
Community relations in sport
What sport community relations specialists do (engage broader community):
- create, organize, execute charitable initiatives
- donation of resources
- coordinate public appearances
- volunteering
Sponsorship
the promotion mix
sponsorship now a fifth element with:
- personal selling
- advertising
- publicity
- incentives (sales promos)
sponsorship platform
Platform: the central theme around which the sponsor can develop a consistent promotional message
Important because the sponsorship doesn’t offer a direct message as to why a brand should be purchased (persuade worthiness)
• Need to amplify the message to audience; sponsorship alone will not translate into sales
• Trend is to have fewer sponsorships but invest more in leveraging each
P1: Leveraging the sponsorship platform
Two basic costs:
Direct sponsorship investment- naming rights
Indirect Activation of the sponsorship
• Typically $3 in activation spent for every $1 spent on direct sponsorship- spend more money at first to create link
• Ratio may vary over time
P2: leveraging the sponsorship
Media Involvement
-Extent of anticipated media involvement prominent in negotiations
-Media coverage a key to brands seeking increased awareness or image (sponsorship)
enhancement
Three ways to pursue media coverage:
1) negotiate trade-outs with TV, radio, or newspaper (more aware/ being spoken about, contests)
2) media pays to sponsor event in exchange for rights to sell other sponsorships (NBC pays NFL, NBC sells ads and sponsors)
3) secure editorial coverage
-properties buy block of time from the network (ie. A 30-minute block), then sell ad time (Ultimate fighter, UFC produced show and bought tv time, recovered cost by selling ads and sponsors)
-the property purchases advertising time in exchange for title credits and mentions in promotions (Pom in water of American Ninja Warrior)
Platform Elements
Signage- identification
Awards- best employees- clients to suites
Internet- interaction
Retail promotions- snack people at Costco
Personalized service- fix while at event
-coleman and NASCAR
*Licensing- T-shirts, sponsoring acts long after event over
Sponsorship commitment
Need time to establish linkages
Long term relationships may leave legacies
3 year minimum recommended
2 reasons why sponsors do not renew:
• Sponsor management or market conditions may change
• Reduction in impact of sponsorship (ex. pro teams- get to meet all players and best performers)
Alcohol sponsorship and sport and recreation
Sports fans drink beer/beer drinkers like sport (men between 18-24 consume 70%)
• For both men and women, maximum beer consumption and sports participation peak between ages 18 and 29
• Seen as lesser evil than tobacco, as it is any tobacco consumption is unhealthy, while it alcohol abuse that is the problem
Packaging sponsorships
Creating different levels of benefit packages
Four types:
1. Title sponsor
Name integrated into the event Has input into organization of
event (location)
Can result in increased costs (in charge of success/ failure)
Types of benefits packaging
presenting sponsor
- Presenting sponsor
• Usually pay 1⁄2 to 1⁄4 of what Title Sponsor pays
• Given rights to associate within a specific product category (don’t want same rights as the title sponsor)
• Will try to narrow categories to increase the number of possible sponsors
Types of benefit packages
official sponsor, official supplier
- Official sponsor
• Pay 10% of title fee
• Part of product categories not reserved by
presenting sponsors
• Allows smaller companies with fewer $$$ to have sponsorship opportunity - Official supplier
• Do not have obvious link to event
• Offer goods or services to organization staging the event (IT, credit card, transportation, food/ drink)
Pricing sponsorships
Using hierarchy of types of benefit packages allows potential sponsors to choose level of investment
• Potential sponsors usually presented top-level package first
• Acceptability of the price will depend on other sponsorship opportunities available
• Do not price individual elements of a pricing package as will allow sponsor to try to cut out parts
• Most of fee (65%) should be paid up front- immediately start leveraging sponsorship
Issues addressed in a sponsorship agreement
Official Status:
The sponsorship category, rights, etc.
Sponsorship Fee:
How much? When is it paid? Refundable? Secured?
Title Rights:
How does sponsor’s name appear? Awards? Trophy presentations?
TV Exposure:
Who owns rights? Right of first refusal for advertising?
Issues addressed in a sponsorship agreement
Public Relations & Media Exposure:
-Will athletes mention sponsor in media interviews? Will sponsor be named in media releases?
Logo Use:
-Can sponsor make and sell merchandise? How can sponsor use organization’s logo or special logo developed for the event?
Signage:
-Banners, patches, flags. How many? How big?
Advertising Rights:
-How can the sponsor use the event for advertising purposes? Can photos be used?
Athlete Use:
-Will athletes make personal appearances on behalf of sponsor? Attend social gatherings? Wear the sponsor’s name?
Issues addressed in a sponsorship agreement
Hospitality Rights: (tote bags)
Hospitality tent? Tickets for clients, prizes for tie-ins?
Point of Sale Promotion:
Products sold on site? Can sponsor run on – and off-site promotions?
Direct Mail Lists: (on wifis)
Will mailing lists of ticket holders be made available to sponsors? Promotions?
Product Sampling:
Space made available for product display/sampling?
Legal Liability:
Who is responsible for injuries to spectators, athletes, officials?
Future Options:
How long is the sponsorship? Who has the right to renew? Fee increases?
Measuring sponsorship impacts
Media Equivalencies
Quantifying:
• Duration of television coverage, including verbal and visual mentions
• Duration of radio mentions
• Press coverage (measured in
column inches) -logo/ font size
Calculate and assign a dollar value based on the rate paid
measuring sponsorship impacts
Media coverage weighed to reflect:
1) Relative attractiveness of different types of media coverage
2) Quality of media coverage- prominent network
3) Amount of clutter- other ads
Often inflated:
1) Article length equated with advertising space
2) Full rate card value is assumed when few companies actually pay full price
3) Assumes that time of exposure adds up to equivalent commercial spot
Assumes that time of exposure adds up to
Impact of sponsorship on awareness
Issues:
Recall is often faulty
Market leaders given credit for sponsoring- assume dominant company is the official sponsor
ex. 1/5 people assume top brand=sponsor
Sport facility and event management
Chapter 16
Intro
Rise in construction and renovation of sport and entertainment facilities (become more expensive)
•Financing issues- cities waiting, who pays?, rec center= tax payers
•Distinguishing between sport and
entertainment?- bonds?
→ Entertainment and Sport Complexes
-large facility for minor sport= too expensive
-other community usage at arena?
What are the city needs?
What jobs are available?
Types of facilities
Single purpose -bowling alley, MLB park with real grass
•Single purpose - specialized- community arena- other activities are not excluded
• Multipurpose
–Designed to host a variety of events- butter dome, cost efficient as you can change configuration
• Nontraditional- single purpose, skate park, indoor mountain bike course
•May or may not have roof, walls, spectator
seating areas- want more in community facilities, easier to build twin pad rink
Considerations
Funding model - private or public (or combo)
•Public Private Partnerships- revenues, concessions
•Anchor tenant (pays rent) - primary user- someone use a lot to make financially viable (oilers, minor hockey association)
•Debt and debt repayment- how money is being used
•Control of revenues- Oilers control
•Responsibility for maintenance/upkeep- repairs/ upgrades to dressing room- Oilers
X2 Considerations
Operator? - city owned but not in entertainment business, does the operator know what they are doing?
–Spectacor => Spectra (venue, food, ticketing/fan) •Favoured nations clauses?
–More than one anchor tenant- NBA and NHL sharing rink, 1 has favoured nations cause in contract for sponsorship
•Stadium Authority? -quasi-government entity that oversees, organizes payments for debts
•Naming rights?
– Farmers Insurance Stadium- significant revenues allowing you to decrease debt and reduce user fees
Facility Management
Managerial numbers, titles, and duties vary ( facility size)
•Management positions and responsibilities
–Facility director- CEO: operating, financials, vision
–Operations manager- report to higher ups, training, activities host
–Event coordinator- equipment needs, security
-1 particular type or series of events
Event Management 1
Events come in many shapes and sizes, and can present unique challenges.
•Planning, coordinating, staging, and evaluating.
- maximize use of facility by targeting different events
Event management and Personnel
Executive director (larger scale)- event manual (everything you need to know about hosting)
–Overall administration
•Operations division manager- registration, merch, awards
•Security coordinator- risk assessment, law enforcement, emergency response
•Public relations, marketing, and hospitality
division manager- ceremonies, protocol, media, report to executive director
Event management flow chart
https://bookshelf.vitalsource.com/reader/books/9781492567127/pageid/363
Seven basic steps of events management plans
- Scheduling-pre
- Negotiating-pre
- Coordinating-pre
- Staging
- Settling with the promoter- post
- Cleaning up- post
- Evaluating- post
Pre events management tasks
Scheduling the event
–Booking- where held? -what does the community want?
•Negotiating the event
–Boilerplate contract- fill in the blanks (how entertainer paid, revenue split)
–Split- how dividing (parking, merch, concession), more prominent entertainer demands more
•Coordinating the event
–Plans, work orders- security
–Cost analysis- staff and pay act
–Work breakdown structure, Gantt chart (chronological bar chart that illustrates a project schedule)
Staging the event
Staging the Event
•Run sheets; floor plans; floor diagrams
•Security – vulnerability; exercises
•Customer service- people come back or not
•Alcohol policies – policy and training; sales
and marketing; tailgating; detection & enforcement-profitable but sometimes serious issues
ex. tailgates, sloppy drunk
Crowd management plan
Crowd Management Plan
•Staff training- 1 for every 250 people
•Emergency planning- muster points, evacuation plan
•Ensuring accessibility for disabled (part of plan above)
•Procedures for ejecting disruptive people- liability for people who work there and event itself
•Efficient communication system- cameras, ear pieces, spotters
•Effective signage- bathrooms, concessions, first aid (liability)
Post-event tasks
- Event cleanup- efficiency, getting stuff in and out
- Settlement- fees/ revenues
- Evaluating the event- process, things to change, ways to reduce liability
Economic and intangible benefits of sport
Establishing the geographic area of impact
- Province (bring new economic impact to province), region (spending in another city does not mean gain for the home city), city (Edmonton Oilers people coming in to spend)
- Usually reflects funding source (city use of YEG facility- only care about bringing money to YEG)
- Displaced spending-spending that would occur in the area anyways (lockout- people spending money elsewhere= money displaced)
Economic impact analysis
-Expenditure approach- estimate money being spend based on the event itself ex. dragon boat festivals
• Estimate attendance at an event- how many?
• Survey attendees to find spending associated
with the event- % which not from
• Apply multiplier to account for recirculation if
money in local economy- watcher-bar-subway
• Multiplier: The degree to which spending
induces additional rounds of spending
Economic impact analysis
• Income approach (because of world juniors bar has to double staff to support incoming economic activity)
–Total payments to workers and suppliers in
related industry
–Apply multiplier (more workers spend more money in the city)
• Errors at any point in calculation can significantly bias results
Substitution effect
• If attendees spend money on an event
instead of something else in the local
economy
–reallocation of expenditures, no net increase in
economic activity (no hockey games=spend on something else)
• A sport and leisure event may lower local
economic income if spending is switched from other activities that have a higher multiplier (Winnipeg economy grew without team- players don’t spend money there)
Time switching
•Visit to city already planned •Schedule simply rearranged to accommodate event •No new economic activity – just changes when it occurs
Causal visitors
•Someone in an area for unrelated purpose but attends event while they are in town
•Spending of Time Switchers and Casual can only have $$ over and above what they would have otherwise spent be counted
-only counts if more money taken for the game/ event and can be attributed to the team
Incremental visitors
• Those who come to a region for the purposes of the event – direct spending fully attributable to the event
-wouldn’t be going without event
Indirect and Induced spending
• Indirect: recirculation of $$ in economy after direct spending on the event (multiplier)
• Induced: how direct and indirect impacts affect earnings and employment (restaurants bring in more stock and staff for increase in demand)
-direct: tickets and hotel room
Multiplier
• Helps to estimate indirect and induced impacts
• Direct spending usually recirculated in 5 ways:
1. Other private businesses in same economy (hotels, rentals)
2. Employees in same economy (restaurants)
3. Local government (sales tax)
4. Non-local government (federal taxes on business)
5. Employees, businesses, etc., outside the local economy (out of town to work)