Maket Segmentation

Question 1

Most of sports marketing research focuses on two kinds of consumers, which are???

Answer 1

• Participants
  • professionals, amateurs, recreational & online
  • sub sectors of market depend on participation levels
• Spectators
  • “if the sports event is at the heart of the sport industry then the spectators are the blood that keeps it running”

Question 2

3 Stage model of segmentation:

Answer 2

Stage 1 - Segmentation
Splitting the (potential) customers within a market into distinct group of buyers that share common characteristics and behavioural patterns
Helps firm to better understand needs of specific customer base

Stage 2 - Targeting
Evaluating each segments attractiveness in term of sustainable profit potential and deciding which segments to focus on

Stage 3 - Positioning & Building Relationships
Developing competitive distinction for the firms offering within the segments and developing the appropriate integrated marketing mix (4P’s) to reach and retain customers

Question 3

What is market segmentation?

Answer 3

Market segmentation is a marketing strategy which involves dividing a broad target market into subsets of customers and then designing and implementing strategies to target them

Question 4

What is target marketing?

Answer 4

Target marketing is choosing the segments that will allow an organisation to most efficiently and effectively attain its marketing goals

Question 5

What is the sports marketing research process?

Answer 5

Defining the problem
Choosing the research design type
Identifying the data collection methods
Designing the data collection forms
Designing a sample
Collecting, analysis and interpreting 
Preparing a research report

Question 6

Advantages of segmentation and positioning

Answer 6

• Ensures of close ‘fit’ between the customer needs and company’s products or service
  For example Nike -> Nike Pro -> Nike iD
  Went from players wanting to increase performance to get to pro
  Then players wanting to increase there’s aesthetic appearance with the iD
• is can be opportunities for the development of ‘night’ market
  For example how holiday packages grew in the 1960’s / 70’s and gold holidays became big by specialising is golf