Sports marketing overview and analysis

The project statement is a study on sporst marketing as a distinct entity in the field of marketing. The reason behind choosing to focus on this theme was primarily since it presents a fresh and interesting avenue for marketers, especially in India where this field is picking right up steam and claims to be big soon.

The report starts with a brief understanding of sport marketing. After that it goes on to define sports activities marketing management as a thought, and the athletics marketing combination with a concentrate on the Ps- product, price and place of marketing as put on activities marketing. The paper

also provides information into the dynamics of the sports industry, and understanding spectators of the activities as customers.

Sport marketing as a profession option is also reviewed in terms of what all must make a job in this field. The report concludes with a concentrate on the sports activities marketing environment in India

Chapter 1


1. 1 Meaning of Sports activities Marketing

Sports' marketing is thought as the specific application of marketing concepts and processes never to only sport products but also to the marketing of non-sports products through association with sport. In effect this declaration means, that sports activities' marketing includes those marketing activities structured upon marketing concepts which process various sport products, like cricket bats in cricket, footballs in soccer, and rackets in tennis games. At the same time, it also includes those marketing activities which market non-sports products through a explained or implied association with sport.

It does mean services through an relationship, for example: sponsorships, occurrences, marketing of body related to sports activities, their strategies and actions as well as the actions undertaken.

Appearances, Endorsements, Sponsorships, Licensing and Sporting Events will be the five main areas in sports marketing.

Appearances: To be able gain the interest of media, a corporation calls superstars to make an appearance at a certain other dressing up event.

Endorsements: In order to raise the presence of the company or its product superstars get from the company for commercials.

Sponsorships: In cases like this companies will pay money and associate its name or custom logo with an entity. The entity could be an individual, competitions, stadiums etc.

Licensing: To be able to gain visibility labels or logos of players can be purchased and used on products, for example, on clothing lines.

Sporting Occasions: Companies add their labels to the prevailing events or wrap up creating an completely new sports activities event.


There are three main sections defined

The Sport Performance Segment

The Sport Creation Segment

The Sport Campaign Segment

The first section is principally a spectatorial product or a contribution product.

The second segment generally includes products that have an effect on the performance of sport.

The third section used for promoting the sport product, includes tools.

This model helps in displaying that as concentrate on marketing can be applied in other varieties of marketing; it also is applicable in a similar manner in sports marketing. Quite simply it is valuable in gaining knowledge as to the way the traditional key points of marketing should be applied to sport marketing.

The main requirements in this context are

Need to understand the environment in which sport competes

Need to comprehend the functions of the company

Determining the marketing objectives along with the marketing mission

1. 2 Determining sport marketing management

It includes the following process
Planning and Execution of
Concept, Price, Advertising as well as Distribution of
Sports Occurrences, Ideas, Personalities and Goods & Services to be able to

Satisfy Organizational Goals and Individuals

The major phases to create effective and effective strategies related to athletics marketing are the following

To identify and examine opportunities in the marketing environment in sport

Market segmentation and targeting

Formulating and environment of objectives

Developing a sport market position

Developing a sport marketing mix strategy

Preparation of any sport marketing plan, may be considered a standalone plan or built-in sponsorship, for example, for physiques and codes, personalities and events

Integrating marketing and the communication variables

Evaluating the results and controlling the performance by measuring return on investment and other means

1. 3 Constituting and defining the athletics marketing-mix

The main steps constitute

Defining sport as a service product

Include the remaining three Ps of price, place and promotion

Identify how marketing combination can include address sponsorship and other aspects

Adapting the marketing communication mixture. (This will help to recognize sport marketing from other form or software like retail marketing and so on)

1. 4 The elements of the sport marketing mix

"Lovers, the press and sponsors develop a high-pressure environment, within which owners must make business decisions. "

1. 4. 1 The sport product

is defined as

- a good

- a service

- or a mixture of the above two;

which is specifically designed to be able to prove helpful either to a sport, spectators, participants or sponsor.

As a product sports is a lot of money of characteristics
The following elements display the exclusive bundling properties of sport as a product

Competition between individuals and teams

Regulation by special rules, laws and rules of conduct

Special facilities and equipment needed

Physical skills and skills and physical fitness to excel

Competition spanning time and location

The center product and product extensions of sport

The sport marketer has to nearly all of the changing times be based mostly and rely on managing product extensions since he generally has very less control on the structure of the core product. Commercial product marketers have direct control in the composition of the company's/ organization's product mix. Financial firms different in the case of spectator sport marketing. For instance, In team selection the instruction staff and administrator play a significant role, however it is the marketer who is performed responsible regarding the filling of seats or in case there is poor results. From any view whether it be spectator's or participant's, the sport involvement quality cant be considered a guarantee. Which gap should be packed in by the quality of product extension by supplying a joyous experience. The offering of the extension becomes important in cases like this; since it would be there that the implications of client satisfaction and service quality can be found. Thus even if the quality of the core product is not upto the make or not upto the desired expectation levels, a larger than expected level of quality of the expansion offered can result in atleast an enough satisfaction to customers.

Sport as something

The activities product is consistently experiential intangible, and subjective

The basic sport product is concurrently produced and consumed

Sport is usually publicly used and customer satisfaction is habitually affected by social association.

Sport as a small business to business product

For both individuals and spectators sport is produced as an end product for mass consumer appeal. Businesses and business advertise in association with organizations and happenings with the aim of reaching with their own customers. For promotional purposes they use activities characters to endorse and stand for the business related products. This ensures the consumers who are an enormous fan following of the personalities to get inspired by the merchandise. To be able to amuse profitable clients the organizations purchase private bins and seat tickets of certain occasions. Goals to get commercial sponsorship which lead to maketing activities of sporting systems are also considered business to business marketing.

Segmentation and positioning of sport

The success of any marketing activity depends on how well it satisfies the needs of the mark market, in this case sponsors or admirers. There may be thus a necessity to know who's using the merchandise and just why for the purposes of increasing the effectiveness of the efforts placed into marketing. This demands a need to handle appropriate market segmentation. It is also had a need to tailor and make the features of the merchandise to suit the buyers' requirements of value. In this case difficult to be met is conquering the dissatisfaction triggered throughout a losing game. This is overcome by causing the total experience a worthy one. The service aspect should be so strong that losing is immediately overlooked. Thus the event, the actors of the function, the service agency and the image conveyed all form an important part for the entire experience to be an enlightening one.

1. 4. 2. Pricing

Using the original costing options for pricing becomes quite difficult while pricing a person sport product product.

Price displays value

The price of the key sport product in itself is not that big in comparison with the total cost for the buyer of the extensions that happen to be linked to the former. It's the users who will decide if they want to watch a meeting at the positioning of the event or they want to stay at home and enjoy the function on tv set. Spending a part of the throw-away income on going, attending the event and other such related activities is very dependent on if the live event will carry a greater valuable experience.

Price can be shown in different varieties

A licensing charge is the price of sports clothing company will pay to the team.

A membership fee is the purchase price to use a facility, such as a gymnasium

Rental is the purchase price paid to get the right to use a commercial container at a sporting center for a recommended time period

The ticket demand is the purchase price paid to get into a facility and watch a match.

A salary is the price payed for the services of the players and coaches

Admission is the purchase price paid to get into a sport tournament

A sponsorship fee is the price paid to sponsor a tournament.

A league fee is the purchase price a club team has to pay to go into and participate in a league

A bet is the purchase price offered for an item at a sport memorabilia auction

Commission is the extra-bonus oriented price a sport marketing organization pays its sales force for his or her services.

Broadcast-rights charge is the purchase price paid to televise your sport series

A consulting cost is the purchase price a wearing body gives a sport marketing corporation to design and make a deal a sponsorship package with a sponsor

An endorsement cost is the price paid to truly have a famous player support your organization

A franchise charge is the price an owner will pay to enter a team in a professional sports category.

Price Willpower
When price determination is put on sports the four main aspects to be considered are the pursuing

The consumer

Considers different factors like the success rate of the team, past activities gained and affordability. Demographics also matter in this case. Included in these are income, time, educational background, public factors etc.

The organization

The profit objectives of the business and the price structure will have an effect on the price dedication. All of the indirect and operational costs have to be looked after first. There are indirect revenue options for sports systems such as merchandising, food, beverages and signage. They may take a look at increasing the costs for memberships or other activity fees. The physiques may market themselves with their sponsors either as a safe investment or a good return on investment option.

The competitor

The marketers need to know what the competitors are providing and exactly how have they situated their products and services. And yes it should be considered that the consumer spending might get diverted by other forms like movies for entertainment purposes. Understanding the competitor offerings and the advantages and weaknesses of each player needs to be determined. The marketer can then exploit the gaps and opportunities which are present.

The exterior environment climate

This includes factors like financial conditions, public & political aspects, legalities and public attitudes.

Market sensitivity

When price changes are believed, market sensitivity needs to be surveyed. The option of substitutes and demand to provide percentage becomes important here. Comprehensive research is hence required. In order to determine consumer charges evaluation and consumer preferences it is necessary to scan the whole environment and derive conclusions.

1. 4. 3. Place

In order to ensure that the right product is offered by the right time, at the right place and at the right time the athletics goods are sold through the same approach as consumer goods and move through intermediaries like vendors, wholesalers and sellers.

Being an intangible service or product Sports carry unique circulation characteristics such as the next
The sport facilities
When the center is looked upon from a 'place point of view', pursuing spectator aspects are essential

The mood-creation and atmosphere of the facility

Related services such as variety of food and beverage, entry gates availability

Equipment and novelties

Convenient processes such as solution buying

Professionalism of personnel

Facility image

Facility layout

Media coverage and distribution

The press as a distributor of sport

The different varieties and types of marketing such as internet, tv, billboards, magazines, newspaper publishers and radio all are intermediaries that help deliver sport to the final customer. They deliver the sport by means of live coverage, reviews and accounts. Sport is tightly accompanied by specific customer segments and companies use a multitude of advertising vehicles to showcase their product offerings to this consumer portion.

The sport servuction system

This model shows a few linkages between sport as an intangible product (service), the physical center (a place varying) and people involved in the service industry.


This model illustrates that both athletics customers, A and B who might be aiding the same team were exposed to the same marketing activities of the organizers of the function. The clients therefore are believed to have significantly more or less similar anticipations. Also they were subjected the same physical facilities and intangible services which surrounded the function. However, irrespective of a win or damage, both of these had different experiences. A win might soften B's perceptions, nevertheless the overall satisfaction level and experience was quite different from that of A's.

Thus we see that sport marketers at happenings need to measure the level of satisfaction created by every tangible and intangible 'place' component.

Sports Marketing as a job option

The employees who manage the business side of sports activities are called sport marketers. Some of them are employed by big organizations like PepsiCo or Kingfisher to manage sponsorships or promotional campaigns of local as well as global situations. A few others be employed by sports associations or leagues. You can find sports brokers who are in charge of negotiating endorsements and contracts. Many are in charge of organizing the entire event right from the bottom work to the final event for companies. In a very certain conditions visitor bureaus and tourism office buildings retain the services of marketers to draw in clubs to the places and conduct major events. There's also researchers who execute surveys of general population, agencies, organizations and sport suppliers to make results and interpret the results, thus discovering appropriate approaches for marketing. With new kind of sports to arrive and the knowing of the need for sport marketing increasing, this field has gained the interest of many companies and people who want to pursue their career in fields related to sports in some way or the other.

Let us have a look at some of the specific duties involved in this field

Negotiating and getting ready deals for athletes

Planning and coordinating sports events

Conducting market research and analysis

Talking with sportsmen and athletics organizations about their needs

Overseeing the development of new goods and products associated with a team, player or a particular sport

Strategizing about how exactly best to leverage sponsorship

Monitoring athletics and new trends

Producing promotional materials, including mailings and web pages

Various Areas of Specialization

Sports Marketing in the Indian Context

In India, sport marketing as a concept is finding up at a great tempo. An example is the largest golf event management company established in 1994 called Tiger Sports Marketing in the united states. The exclusive rights for marketing of professional Golfers Connection of India is kept by this company. American Express, Air Sahara, Citibank, ITC, Hyundai, Tata Material, DHL Worldwide, Pepsi Foods Ltd, etc are some of the key clients of the company. Golf instructions, handling events over a turnkey basis, publication activities, mass media and television set productions, and consultancy are a few of the main responsibilities looked after by Tiger Athletics Marketing.

Some other examples include

Globosport- which handles the jobs of upcoming tennis players in India

Collage Sports Management Company

Corporate houses like Hero Honda, UB group, Tatas, MRF are also linked to sports in some way or the other. They have many sport personalities associated with the brands.

The future of sport marketing in India appears bright, with the highest levels of professionalism, it is having out on its as a definite field with myriad opportunities. Athletics' Marketing in India continues to be in its nascent levels and there is a huge opportunity for improvement in almost all of the sports. Among the basic needs in implementing sports activities' marketing is to comprehend the spectators and other players involved in activities as consumers. Cricket in India is the one sport that is in a position to mature activities' marketing to suit its needs. IPL, the biggest Twenty20 tournament on the planet is the right example for athletics' organizations to check out, in terms of creating brand value and sports activities' marketing.


The task has outlined the opportunity of activities marketing as a distinct field of marketing, with its unique factors and functions. It's been shown that price; place and product are integral elements of this field and can be individually quantified. The job has also highlighted the sports activities industry model as a means of segmenting the sports industry and setting the offering to the desired target section. Sport marketing as a profession option and the sort of work profile to be expected are also handled upon.

Finally, sports activities' marketing in the Indian framework has been talked about and how this industry is shaping inside our country, and what kinds of opportunities are available for the near future. The project has attemptedto shed light on a comparatively new and mainly unexplored topic running a business and management circles, a field that keeps a lot of promises in the coming future. It can therefore be concluded that you'll be able to apply marketing constructs to sports marketing and a dedicated and differentiated marketing mix does exist for sport marketing. Hence, it is suggested that field be regarded as an application area of marketing and therefore should receive greater attention in marketing theory, debate, teaching and practice.

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