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Course Outline – Block Schedule Week 1 Explain the purposes and goals of Grand Slam: Advanced Sport/Event Marketing Discuss classroom operations and procedures Discuss the purposes of CTSO and its activities 1.01 Explain the role of agents in sports (PM:143) (SP) (pp. 5-3 — 5-4) 1.02 Describe legal issues affecting the marketing of sport/event products (BL:058, BA LAP 10) (SP) (pp. 5-5 — 5-6) 1.03 Describe the impact of unions on the sport/event industries (EC:053) (SP) (pp. 5-7 — 5-8) Week 2 1.04 Describe the role of governing bodies in the sport industry (PD:279) (SP) (pp. 5-9 — 5-10) 1.05 Explain international trade considerations for sport/event industries (customs, exchange rates, use of financial institutions, trade regulations, foreign distributors, government regulation, cultural/value differences) (EC:059) (SP) (pp. 5-11 — 5-12) 1.06 Collect marketing information from others (e.g., customers, staff, vendors) (IM:187) (SP) (pp. 5-13 — 5-14) 1.07 Use database for information analysis (NF:185) (SP) (pp. 5-17 — 5-18) Week 3 1.08 Explain the use of descriptive statistics for marketing decision making (IM:191) (SP) (pp. 5-19 — 5-20) (SUPPLEMENTAL) or extra credit or honors portion 1.09 Identify sport/event trends (NF:065) (SP) (pp. 5-21 — 5-22) 1.10 Write marketing reports (IM:192) (SP) (p. 5-23) 1.10 Present report findings and recommendations (IM:193) (SP) (p. 5-26) Week 4 1.11 Set sponsorship objectives (PR:155) (MN) (pp. 5-30 — 5-31) 1.12 Prospect for corporate sponsors (SE:324) (SP) (pp. 5-34 — 5-35) 1.13 Develop proof-of-performance packages for sponsors (SE:325) (SP) (p. 5-36) 1.14 Sell venue (SE:319) (SP) (pp. 5-37 — 5-38) Week 5 1.14 Sell sport/event sponsorships (SE:321, SE LAP 127) (SP) (pp. 5-40 — 5-41) Project: And Now A Word From Our Sponsors 1.15 Write/Prepare sponsorship proposal (PR:211) (MN) (pp. 5-42 — 5-43) 1.01 – 1.15 QUIZ/TEST 2.01 Negotiate sport/event sponsorship contract (SE:322) (SP) (pp. 5-47 — 5-48) 2.02 Prepare sponsorship agreement (PR:212) (MN) (pp. 5-49 — 5-50) Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 4 Course Outline – Block Schedule Week 6 2.03 Solicit grant/foundation money (SE:348) (SP) (p. 5-51) 2.03 Follow up with potential corporate sponsors (SE:323) (SP) (pp. 5-52 — 5-53) 2.04 Service sponsors (SE:326) (SP) (p. 5-54) 2.05 Select strategies for maintaining/building fan support (PR:136, PR LAP 19) (SP) (pp. 5-55 — 5-56) 2.05 Coordinate community outreach projects (PR:195) (SP) (pp. 5-57 — 5-58) Week 7 2.06 Identify ambush strategies to use at other events (e.g., flyers, bill posting, etc.) (PR:198) (SP) (pp. 5-59 — 5-60) 2.06 Develop viral sport/event marketing strategies (PR:199) (SP) (pp. 5-61 — 562) 2.06 Explain considerations in using special events as a sales-promotion strategy (PR:213) (SP) (p. 5-63) 2.06 Plan special events for sports/events (PR:214) (SP) (pp. 5-64 — 5-65) Week 8 2.07 Obtain endorsements for sports/events (PM:151) (MN) (pp. 5-66 — 5-67) 2.07 Develop a licensing program (PM:153, PM LAP 14) (MN) (pp. 5-68 — 5-69) 2.08 Explain the use of advertising agencies (PR:081) (SP) (pp. 5-70 — 5-71) 2.09 Assess need to use promoters (PR:210) (MN) (pp. 5-72 — 5-73) Week 9 2.09 Prepare promotional budget (PR:098) (MN) (pp. 5-74 — 5-75) 2.09 Coordinate activities in the promotional mix (PR:076) (SP) (pp. 5-76 — 5-77) 2.09 Develop promotional calendar (PR:209) (SP) (p. 5-78) 2.01 – 2.09 QUIZ/TEST Mid-Term Assessment/Unit A Test Week 10 3.01 Explain ticketing and seating arrangements (SE:314) (SP) (pp. 5-79 — 5-80) 3.02 Explain distribution systems for the sport/event industries (OP:343) (SP) (pp. 5-81 — 5-82) 3.03 Establish price objectives for sport/event products (PI:049) (MN) (pp. 5-83 — 5-84) 3.03 Calculate break-even point (PI:006, PI LAP 4) (MN) (pp. 5-85 — 5-86) Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 4 Course Outline – Block Schedule Week 11 3.03 Select pricing strategies (PI:046) (MN) (pp. 5-90 — 5-91) 3.03 Set ticket/event prices (PI:033) (MN) (pp. 5-92 — 5-93) 3.04 Develop ticket-sales program (PM:166) (MN) (p. 5-94) 3.04 Bundle/Package extra amenities with tickets (PM:148) (MN) (pp. 5-95 — 5-96) Week 12 3.04 Develop pre-season booking strategy (PM:149) (MN) (p. 5-97) 3.05 Cultivate group sales (SE:320) (SP) (p. 5-98) 3.06 Determine merchandising opportunities for a sport/event (PM:086) (SP) (pp. 5-99 — 5-100) PROJECT: The Main Event 3.06 Determine goods and services required for an event (PM:147) (SP) (pp. 5-103 — 5-104) Week 13 3.07 Establish barter agreements (vendors, media, etc.) (SE:327) (MN) (p. 5-105) 3.08 Explain the need for sport/event insurance (FI:596) (SP) (pp. 5-106 — 5-107) 3.08 Conduct a risk assessment of an event (FI:597) (SP) (pp. 5-108 — 5-109) 3.09 Conduct site inspections (OP:345) (SP) (pp. 5-110 — 5-111) Week 14 3.09 Develop contingency plans for events (personnel, weather, power outage, damage control) (OP:093) (SP) (pp. 5-112 — 5-113) 3.10 Select hospitality options (PM:150) (MN) (p. 5-114) 3.01-3.09 QUIZ/TEST 4.01 Assess marketing-information needs (IM:182) (MN) (pp. 5-115 — 5-116) 4.01 Establish and maintain sport/event marketing information system (IM:252) (MN) (pp. 5-117 — 5-118) Week 15 4.02 Measure economic impact of sport/event (NF:187) (MN) (pp. 5-119 — 5-120) 4.03 Assess “product” readiness for sport/event (PM:146) (MN) (pp. 5-121 — 5122) 4.04 Identify sport/event target-market segments (MP:036) (MN) (pp. 5-123 — 5124) 4.04 Select target market (MP:005) (MN) (pp. 5-125 — 5-126) Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 4 Course Outline – Block Schedule Week 16 4.05 Conduct market analysis (market size, area, potential, etc.) (MP:009) (MN) (pp. 5-127 — 5-128) 4.05 Conduct SWOT analysis for use in the marketing-planning process (MP:010, IM LAP 8) (MN) (pp. 5-129 — 5-130) 4.05 Conduct competitive analysis (MP:012) (MN) (pp. 5-135 — 5-136) Week 17 4.05 Forecast sales for marketing plan (MP:014) (MN) (pp. 5-137 — 5-138) 4.05 Develop marketing plan (MP:018) (MN) (pp. 5-147 — 5-149) 4.06 Monitor and evaluate performance of marketing plan (MP:022) (MN) (pp. 5-154 — 5-155) 4.01-4.01 QUIZ/TEST UNIT B TEST Week 18 Final VOCATs Exam Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.01 Position Product/Service – Business Image Planning Guide Sheets Knowledge/ Skill Statement Understands the concepts and processes needed to obtain, develop, maintain, and improve a product or service mix in response to market opportunities Performance Element 1.01 Position product/services to acquire desired business image. Performance Indicator Explain the role of agents in sports (PM:143) Objectives a. b. c. d. Performance Activity Select an athlete whom you admire, and research the person to determine the person’s agent. Find out as much as possible about the agent’s activities, and record your findings. Describe responsibilities of sports agents. Explain the rules and regulations governing sports agents. Discuss an athlete’s advantages in having a sports agent. Describe problems associated with sports agents. According to rules and regulations governing high school/college athletes, athletes lose their amateur status once they contact a sports agent. Participate in a debate as to whether this rule is fair to young players. Provide specific examples to support your stance. Resources Textbooks Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 344-345]. South-Western, Cengage Learning. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 208-224]. Champaign, IL: Human Kinetics. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 25-26]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online Angst, F. (2012). Job profile: Sports agent. Retrieved May 30, 2012, from http://sportscareers.about.com/od/careerpaths/a/SpAgent.htm Heitner, D. (2007, November 21). Professional ethics and responsibilities. Retrieved May 30, 2012, from http://www.sportsagentblog.com/2007/11/21/professionalresponsibility-and-ethics/ How to become a sports agent. (n.d.). Retrieved May 30, 2012, from http://www.mahalo.com/how-to-become-a-sports-agent/ Kessler, M.J. (2010, March 1). Sports agents advocate for athletes. Retrieved May 30, 2012 from https://www.ohiobar.org/ForPublic/Resources/LawYouCanUse/Pages/LawYouC anUse-257.aspx Wang, D. (2011, June 14). What are the benefits of a sports agent? Retrieved May 30, 2012, from http://www.livestrong.com/article/348521-what-are-the-benefitsof-a-sports-agent/ 1.01/PM:143 Assessment - Position Product/Service – Business Image 45. What do athletes sometimes hire to help them organize charity tournaments? A. Marketing firms C. Agents B. Sponsors D. Recruiters Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets 47. The National Hockey Association has just drafted Ty Hartman. Ty hires Amanda Bingham to help him make sound business decisions, and to negotiate endorsement contracts with well-known companies. Amanda is Ty's A. sponsor. C. mentor. B. agent. D. publicist. 85. Which of the following is an activity that agents perform on behalf of the athletes they represent: A. Team contract negotiations only C. Various contract negotiations B. Hall of fame endorsements D. Team valuation services 1.01/PM:143 Assessment – Answer Key 45. A Marketing firms. Organizing a charity tournament is a lot of hard work because of the many tasks that must be considered: time, place, budget, promotion, concessions, sponsorship, prizes, etc. Because athletes often don't have the time or the skills to carry out these tasks themselves, they sometimes rely on marketing firms to get the work done successfully. Sponsors are businesses, individuals, or organizations that pay the cost of promoting the charity tournament. Agents represent athletes in the legal matters such as contract negotiations. Recruiters search for and then try to convince talented athletes to play for a specific team. SOURCE: PM:143 SOURCE: Kaser, K., & Oelkers, D.B. (2001) Sports and Entertainment Marketing (p. 123). South-Western Educational Publishing. 47. B Agent. Professional athletes often hire agents to help them with business matters. An agent is a person who acts in the best interests of the principal or client. The principal or client (Ty) gives the agent (Amanda) permission to make certain legal decisions on his behalf, such as negotiating endorsement contracts with well-known companies (e.g., Gatorade). Sponsors are businesses, individuals, or organizations that pay the cost of promoting an event. A mentor is an experienced worker who acts as a guide to a new employee. Professional athletes and celebrities often hire publicists to handle the media and publicity issues that affect them. SOURCE: PM:143 SOURCE: Fullerton, S. (2007). Sports marketing (p. 17). Boston: McGrawHill/Irwin. 85. C Various contract negotiations. An agent is a person who is authorized to act in the best interests of a client (athlete). Agents help athletes make decisions about their careers. Some duties include handling various contract negotiations for the athlete, including team contracts, compensation and benefit packages, and endorsement contracts with businesses. The negotiations require the agent to determine a monetary valuation of the athlete's services, rather than the team's services. The agent also advises the Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets athlete about personal conduct considerations, post-career financial security, and second-career options. Hall of fame induction processes vary by sport, do not involve all athletes, and do not usually require endorsements. SOURCE: PM:143 SOURCE: Shank, M.D. (2002). Sports marketing: A strategic perspective (2nd ed.) [pp. 28-29]. Upper Saddle River, NJ: Prentice Hall. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets Knowledge/ Skill Statement Understands business’s responsibility to know, abide by, and enforce laws and regulations that affect business operations and transactions Performance Element 1.02 Acquire knowledge of commerce laws and regulations to continue business operations. Performance Indicator Describe legal issues affecting the marketing of sport/event products (BL:058, BA LAP 10) Objectives a. b. c. d. e. f. g. h. i. j. k. l. Performance Activity Define the following terms: trademark infringement, injunction, identity misappropriation, ticket scalping, option to renew, and right of first refusal Discuss the importance of trademarks to sport organizations. Explain how sport organizations protect use of their trademarks. Explain why baseball is exempt from antitrust laws. Discuss ways that the baseball exemption affects the sport industry. Describe the relationship between antitrust issues in sports and broadcasting rights. Distinguish between right of privacy and right of publicity. Explain areas in loss prevention with which sport marketers are particularly concerned. Discuss ticketing issues that have resulted from use of the Internet. Describe reasons that sport organizations need prize indemnity insurance. Discuss how collective bargaining affects sports. Explain the importance of the following types of contracts in the sport industry: 1. Sponsor 2. Television 3. Venue and personnel Search the Internet to find current information about a legal issue in sports. Write a synopsis of the article, explaining the nature of the issue, its impact on sports, and the issue’s outcome. Share your article with a classmate, and as a team, determine how the issue impacts sport marketing. Submit your paper to your instructor for review. Resources LAPs MBA Research and Curriculum Center. (2005). Cover your bases [LAP: BA-010]. Columbus, OH: Author. MBA Research and Curriculum Center. (2005). Cover your bases: Instructor copy [LAP: BA-010]. Columbus, OH: Author. Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp. 33, 35-36, 144, 150, 271-273, 326-328). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 134-135, 190, 314-317, 332-336, 347-348]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 429450]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 124, 350-371]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 230, 271-273, 318-324]. Morgantown, WV: Fitness Information Technology. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 58-59, Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets 385-386]. Upper Saddle River, NJ: Pearson Prentice Hall. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 385-386). New York: John Wiley & Sons. Software/ Online Happel, S., & Jennings, M. (n.d.). The folly of anti-scalping laws. Retrieved May 30, 2012, from http://www.cato.org/pubs/journal/cj15n1-4.html Jackman, K., & Mette, B. (2011, June 5). NFL Lockout: An in-depth look at past labor disputes in sport. Retrieved May 30, 2012, from http://bleacherreport.com/articles/724433-nfl-lockout-an-in-depth-look-at-pastlabor-diputes-in-sports-current-nfl-issue Loeb & Loeb LLP. (2012, January 19). Legal issues associated with mobile marketing to sports fans. Retrieved May 30, 2012, from http://www.jdsupra.com/post/documentViewer.aspx?fid=c2803b34-b208-479397e6-9a24f69cf36d MBA Research and Curriculum Center. (2005). Cover your bases [LAP: BA-010: Presentation Software]. Columbus, OH: Author. McGlone, P. (2012, January 28). Ticket scalpers jam computers, spoiling hopes and dreams of Springsteen fans. Retrieved May 30, 2012, from http://www.nj.com/news/index.ssf/2012/01/springsteen_ticketmaster_scalp.html Mullin, S. (2012, April 25). Losing the race to trademark sports catchphrases. Retrieved May 30, 2012, from http://www.coveringyourads.com/articles/sportsmarketing/ Stein, M. (2010, July). NFL sacked by the Sherman Antitrust Act. Retrieved May 30, 2012, from http://www.sdma.com/nfl-sacked-by-the-sherman-antitrust-act-0707-2010/ US Legal. (2010). Antitrust labor law issues in sports. Retrieved May 30, 2012, from http://sportslaw.uslegal.com/antitrust-and-labor-law-issues-in-sports/ Waddell, R. (2012, March 2). Confessions of a ticket scalper: Billboard's candid Q&A. Retrieved May 30, 2012, from http://www.billboard.com/features/confessions-of-a-ticket-scalper-billboard1006346152.story#/features/confessions-of-a-ticket-scalper-billboard1006346152.story Williams, K. (2011). Character sports merchandising: International legal issue—The legal and practical ways and means of protecting the subject matter in the UK, the rest of Europe and internationally. Retrieved May 30, 2012, from http://findarticles.com/p/articles/mi_m2ABX/is_1-2/ai_n56920273/ 1.02/BL 058 Assessment – Commerce Law & Regulations 1. Which of the following is an unfair, anticompetitive trade practice in sport/event marketing: A. Trademark infringement C. Employee strike B. Loss prevention D. Sponsorship exclusivity 2. Which law makes restraining free trade and competition illegal? A. The Sherman Antitrust Act C. The National Labor Relations Act B. The Lanham Act D. The Sports Broadcasting Act of 1961 3. When a league blocks the broadcast of a certain game in a certain territory, it is known as a(n) A. antitrust violation. C. injunction. B. blackout. D. right of publicity. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets 4. Which of the following is an unacceptable place to use an athlete's or celebrity's identity without his/her permission: A. In a magazine C. In a book B. On your company's advertisements D. On the news 5. The best way to avoid buying counterfeit tickets to a game/event is to purchase them A. from reputable scalpers. C. at an online auction site. B. several months in advance. D. at official ticket outlets. 1.02/BL 058 Assessment Answer Key 1. A Trademark infringement. Trademark infringement is an unfair, anticompetitive trade practice. Loss prevention, employee strikes, and sponsorship exclusivity are all legal issues in sport/event marketing and are not unfair or anticompetitive trade practices. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 2. A The Sherman Antitrust Act. During the nineteenth century, much of the economic power in the United States was concentrated in a very small number of companies. To counteract the trend and open up the market to competition, Congress passed the Sherman Antitrust Act based on its constitutional power to regulate commerce between the states. The Sherman Act makes restraining free trade and competition illegal. One company or group of companies cannot hold a monopoly over a certain industry. The Lanham Act regulates trademarks. The National Labor Relations Act gives all workers the right to organize into unions to collectively bargain and strike. The Sports Broadcasting Act of 1961 allows professional sport leagues to pool their broadcasting rights and sell them as a package to television networks. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 3. B Blackout. When a league blocks the broadcast of a certain game in a certain territory, it is known as a blackout. Since the Sports Broadcasting Act of 1961 gives leagues a limited antitrust exemption, it is not an antitrust violation. An injunction is a court order that stops a certain activity until a trial begins. Right of publicity laws give a person the exclusive right to use her/his name and likeness for profit. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 4. B On your company's advertisements. It's perfectly fine to use an athlete's or celebrity's identity in a book, on a television news show, in a newspaper, or in a magazine; but sport/event marketers must learn where to draw the line between freedom of expression and violations of right of privacy and right of publicity. Using the identity on your company's advertisement would be unacceptable without written consent and payment. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.02 Commerce Law & Regulations Planning Guide Sheets SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 5. D At official ticket outlets. The best way to avoid buying counterfeit tickets to a game/event is to purchase them at official ticket outlets. There is a chance of getting fake tickets even from a "reputable" scalper or over the Internet. Buying tickets in advance does not ensure that the tickets are real. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.03 Cost Profit Decision Making Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.03 Understands the economic principles and concepts fundamental to business operations Performance Indicator Describe the impact of unions on the sport/event industries (EC:053) Objectives a. b. c. d. e. f. g. Performance Activity Determine whether you are for or against union involvement in sports/events. Write a paper citing examples and providing evidence to support your stance. Present your ideas to the class. Analyze cost/profit relationships to guide business decision-making. Explain the terms reserve clause and free agency. Compare and contrast players’ unions with traditional labor unions. Explain the relationship among owners, agents and players. Describe reasons that players’ unions were established. Discuss the purposes of players’ unions. Identify issues with which players’ unions deal. Explain positive/negative outcomes associated with players’ unions. Search the Internet to determine current issues being addressed by players’ unions. Determine your position on one of the matters. Write a defense of your position. Share your information with a classmate. Resources Textbooks Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 338-342]. South-Western, Cengage Learning. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 126-129]. Champaign, IL: Human Kinetics. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 36-37]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online APWU. (2009, July/August). Sports unions work to level playing field. Retrieved May 30, 2012, from http://www.apwu.org/laborhistory/09-3_sportsunions/093_sportsunions.htm Associated Press. (2012, May 23). NFL union files suit against league over salary cap. Retrieved May 30, 2012, from http://www.dailyherald.com/article/20120523/sports/705239767/ Barnwell, B. (2012, February 29). Free agent hype chronicles: Mario Williams. Retrieved May 30, 2012, from http://www.grantland.com/blog/thetriangle/post/_/id/18601/free-agent-hype-chronicles-mario-williams Macklon, M. (2011, July 5). The rise of labor unions in pro sports. Retrieved May 30, 2012, from http://www.investopedia.com/financial-edge/0711/The-Rise-OfLabor-Unions-In-Pro-Sports.aspx#axzz1wMjlPtGq Rothman, L. (2012, April 3). Emancipation of the minors. Retrieved May 30, 2012, from http://www.slate.com/articles/sports/sports_nut/2012/04/minor_league_union_th ousands_of_pro_baseball_players_make_just_1_100_per_month_where_is_th eir_c_sar_ch_vez_.html Rutgers University Libraries. (2012, May 30). Labor organizations in the sports industry. Retrieved May 30, 2012, from http://libguides.rutgers.edu/content.php?pid=148775&sid=1276918 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets Swatz, M. (2012, April 3). Free agent value and building teams from within. Retrieved May 30, 2012, from http://www.hardballtimes.com/main/article/freeagent-value-and-building-teams-from-within1/ Wilner, B. (2012, May 21). Union president sends letter about labor gains. Retrieved May 30, 2012, from http://www.sfgate.com/cgibin/article.cgi?f=/n/a/2012/05/21/sports/s162517D33.DTL 1.03/ EC:053 Assessment - Cost Profit Decision Making 9.Salaries, contracts, and profit sharing are often the issues that create conflicts between sports' leagues and A. team owners. C. individual managers. B. sponsoring organizations. D. players' associations. 10. When professional athletes negotiate salaries, playing conditions, and contract terms as a single unit, their union is engaging in A. competitive advantage. C. free agency. B. labor resistance. D. collective bargaining. 11. When negotiations between a players' union and the owners' organization cannot be reached, the players might vote to determine if they should A. go on strike. C. become free agents. B. play for international leagues. D. ask for fan support. Assessment ANSWER KEY - Cost Profit Decision Making 9 D Players' associations. In professional sports, the players' associations are the labor unions that represent the athletes. The associations function the same as unions in other industries. Consequently, the conflicts are often the same and usually involve salaries, contracts, and profit sharing. The unions try to negotiate for higher salaries, better contracts, and more profit sharing for players. On the other side, the sports' leagues represent the owners and managers, and their goal is to control costs. Team owners and individual managers are represented by sports' leagues rather than by players' associations. Sponsoring organizations are businesses or other groups that pay to associate their names or products with a sporting event. SOURCE: EC:053 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (pp. 278-279). Mason, OH: South-Western. 10. D Collective bargaining. Collective bargaining is defined as the negotiating process in which union leaders and sport organization (owner) representatives engage to determine the terms and working conditions to be provided to athletes. Free agency refers to an athlete's ability to renegotiate his/her contract with his/her existing team or with another team. Labor resistance is a general term that might describe an unwillingness to cooperate. Players' unions are formed to protect the rights and interests of players, which does not always include or result in resistance. Competitive advantage is the advantage achieved by a nation from specializing in and producing goods and services at which it is relatively most efficient. SOURCE: EC:053 SOURCE: Graham, S., Neirotti, L.D., & Goldblatt, J.J. (2001). The ultimate guide to sports marketing (2nd ed.) [pp. 302-304]. New York: McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets 11. A Go on strike. The purpose of players' unions is to protect each player's rights and interests in terms of playing conditions, contracts, and salaries as a single unit. If players and owners cannot agree on terms (e.g., NHL and salary caps), the players might decide to not play or to go on strike. Since games are not occurring, revenue is not being generated, employees are not working, and consumer spending decreases. Free agency refers to an athlete's ability to negotiate his/her contract with his/her existing team or with another team. Since contract requirements vary among sport leagues, rules regarding players becoming free agents vary and, therefore, are not always a union voting option. Depending on the terms of the players' contracts, players might decide to play for international leagues individually rather than as a group or union. Players do not generally vote to determine if they should ask for their fans' support. SOURCE: EC:053 SOURCE: Parks, J.B., & Quarterman, J. (2003). Contemporary sport management (2nd ed.) [pp. 302-304]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.04 Governing Bodies Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.04 Understands concepts, tools, and strategies used to explore, obtain, and develop in a business career Performance Indicator Describe the role of governing bodies in the sport industry (PD:279) Objectives a. b. c. Acquire information about the sport/event industry to aid in making career choices. d. e. f. g. h. i. j. k. Performance Activity Define the terms federation, league, and commissioner. Explain the purpose of rules and regulations in sports. Categorize types of rules and regulations in sports (e.g., playing rules, eligibility rules, selection rules, equipment rules, safety rules, doping rules, etc.) Explain the role of governing bodies in the commercial aspects of sports. Describe the relationship between sport governing bodies and national/ international laws. Discuss the effect of governing bodies on sports. Explain the relationship between federations and leagues. Explain the structure of international sport organizations. Discuss the role of sports commissioner in the governance of professional sports. Describe the role of agents in the governance of professional sports. Identify sport governing bodies that oversee sports on a worldwide basis. Select a sport, and determine the nature of its governing bodies. Conduct an Internet search to locate current articles about them. Write a synopsis of the articles, and explain the impact of the information on the selected sport. Discuss your findings with a classmate. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp. 60-61, 201-202). New York: Glencoe/McGrawHill. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 401402]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 125-126]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 49-50. Morgantown, WV: Fitness Information Technology. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 24-25, 58-60]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online About.com. (2012). Major league basics. Retrieved May 30, 2012, from http://baseball.about.com/od/majorleaguebasics/Major_League_Baseball_Basic s.htm Casert, R. (2011, June 1). Blatter finally admits FIFA problems. Retrieved May 30, 2012, from http://news.smh.com.au/breaking-news-sport/blatter-finally-admitsfifa-problems-20110601-1ff4d.html FIFA. (2008, May). FIFA statues: Regulations governing the application of the statutes. Retrieved May 30, 2012, from http://www.fifa.com/mm/document/affederation/generic/01/09/75/14/fifa_statutes _072008_en.pdf Haupert, M.J. (2010, February 1). The economic history of major league baseball. Retrieved May 30, 2012, from http://eh.net/encyclopedia/article/haupert.mlb Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets Lardon, M.T., M.D. (2008, July). Performance-enhancing drugs: Where should the line be drawn and by whom? Retrieved May 30, 2012, from http://www.ncbi.nlm.nih.gov/pmc/articles/PMC2695732/ Major League Baseball. (2001-2012). Official info. Retrieved May 30, 2012, from http://mlb.mlb.com/mlb/official_info/official_rules/foreword.jsp Martinez, A. (2005, February 2). Let’s play footbolshevik! Retrieved May 30, 2012, from http://www.latimes.com/la-oe-martinez2feb02,0,3145382.column National Basketball League. (2009, November 17). About the NBA. Retrieved May 30, 2012, from http://www.nba.com/about/game.html National Football League. (2012). History. Retrieved May 30, 2012, from http://www.nfl.com/history NCAA. (2011). National Collegiate Athletic Association website. Retrieved May 30, 2012, from http://www.ncaa.org/wps/wcm/connect/public/ncaa/about+the+ncaa Pantuosco, L.J., & Stone, G.L. (2011). Capitalism for the cooperative: The NCAA and NFL model of parity and profit. Retrieved May 30, 2012, from http://findarticles.com/p/articles/mi_qa5529/is_2_8/ai_n29440019/pg_3/ 1.04/PD:279 Assessment – Governing Bodies 99. Which of the following is an example of a governing body in the sport industry: A. International Olympic Committee C. Washington Nationals Baseball Team B. NCAA Men's Basketball Championship D. Rahal Letterman Lanigan Racing 99. A International Olympic Committee. Governing bodies in the sport industry are responsible for regulating and overseeing one or more sports. Some governing bodies, such as the International Olympic Committee, oversee multiple sports, while other sport governing bodies (e.g., the National Basketball Association) regulate just one sport each. Also, while some governing bodies like the International Olympic Committee operate internationally, others oversee sport activities at the national, state, or even local level. Regardless of the scope or level, sport governing bodies commonly establish and enforce rules impacting player eligibility, player selection, equipment, safety, drug use, etc. While the National Collegiate Athletic Association (NCAA) is a governing body, the NCAA Men's Basketball Championship is not. Instead, it is a sport tournament. The Washington Nationals Baseball Team and Rahal Letterman Lanigan Racing are not governing bodies. The Washington Nationals are a baseball team located in Washington, D.C. Rahal Letterman Lanigan Racing is an auto-racing team formerly known as Team Rahal. SOURCE: PD:279 SOURCE: Olympist. (2010). International Olympic Committee (IOC). Retrieved May 23, 2012, from http://www.olympist.org/summerolympic-history/international-olympic-committee-ioc.html Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.05 Understands the economic principles and concepts fundamental to business operations Performance Indicator Explain international trade considerations for sport/event industries (e.g., customs, exchange rates, use of financial institutions, trade regulations, foreign distributors, government regulation, cultural/value differences) (EC:059) Objectives a. b. c. d. e. f. Performance Activity Imagine that you are responsible for taking players or celebrities to perform in another country. Prepare a handbook for them to facilitate the trip. Address the following: a. The country to which the players or celebrities will be going b. The impact exchange rates will have on the sport/event c. The trade regulations that will affect international sport/event marketing d. The government regulations that will impact international sport/event marketing e. The cultural/value differences that will impact international sport/event marketing Ask a classmate to assume the role of a player or celebrity, and explain the handbook’s contents to her/him. Determine global trade’s impact on business decision-making. Explain the impact of exchange rates on sport marketing. Discuss the use of financial institutions in international sport marketing. Describe trade regulations affecting international sport marketing. Explain the use of foreign distributors in international sport marketing. Discuss the impact of government regulation on international sport marketing. Explain how cultural/value differences impact international sport marketing. Resources Textbooks Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [p. 344]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 5-7]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 133-135, 403-411]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 42-59]. Morgantown, WV: Fitness Information Technology. Software/ Online Andreff, M., & Andreff, W. (2007, June). International specialization of major trading countries in global trade of sports goods. Retrieved May 30, 2012, from http://ideas.repec.org/p/spe/wpaper/0715.html Australian Bureau of Statistics. (2011, July 29). International trade in sport and physical recreation goods. Retrieved May 30, 2012, from http://www.abs.gov.au/ausstats/[email protected]/Products/FE73774A41A7E876CA257 8DC0002C938?opendocument Guillaume, G. (2011). The use of precedent by international judges and arbitrators. Retrieved May 30, 2012, from http://jids.oxfordjournals.org/content/2/1/5.abstract Lee, P., & Lin, C. (2007, Fall). The global flaws of international professional baseball system. Retrieved May 30, 2012, from Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets http://www.thesportjournal.org/article/global-flows-international-professionalbaseball-system 1.05/EC:059 ASSESSMENT – Global Trade 6. Which of the following presents the greatest challenge for U.S. companies when developing a plan to sell movies in foreign countries: A. Language barrier in promotion C. Uncertainty about government policies B. Cost of foreign monetary exchange D. Lack of interest by foreign customers 7. When a sporting-goods manufacturer decides to sell to businesses located in another country, it should consider the country's A. profit margins. C. cost of goods. B. trade restrictions. D. selling motives. 8. Which of the following are trade barriers that are likely to limit a sport-equipment manufacturer's ability to export its products to foreign countries: A. Trade agreements and industrialization C. Quotas and tariffs B. Licenses and outputs D. Globalization and embargoes 1.05/EC:059 ASSESSMENT ANSWER KEY – Global Trade 6. C Uncertainty about government policies. Foreign governments may change the rules and regulations of commerce at any time. Foreign customers are often interested in the entertainment that the United States has to offer. The monetary systems would be built into the cost of transactions. Although U.S. consumers do not favor movies in which the English has to be dubbed in, foreign viewers appear not to mind watching English films with their language dubbed in. Language translation is commonplace and easily accessible. SOURCE: EC:059 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (p. 210). Mason, OH: South-Western. 7. B Trade restrictions. Trade restrictions are barriers that a nation imposes, which hinders a sporting-goods manufacturer's ability to do business in other nations. Types of trade restrictions include tariffs, quotas, and embargoes. Suppose the sporting-goods manufacturer wants to sell baseball gloves to a business in another country that has a very high tariff (tax) on sporting-goods. If the tariff is too high, the costs (taxes) may exceed the benefits (e.g., profits) of selling the baseball mitts to businesses in the other country. The sportinggoods manufacturer considers its profit margins, its cost of goods, and its selling motives rather than those of the other country. SOURCE: EC:059 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 77-79). New York: Glencoe/McGraw-Hill. 8. C Quotas and tariffs. Trade barriers are regulations, policies, and actions that limit trade among nations. Quotas, tariffs, licenses, and embargoes are trade barriers. Quotas limit the quantity of goods that move into or out of the Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.05 Global Trade Planning Guide Sheets country. Tariffs are taxes that countries place on imported goods. Licenses are permits that a nation grants to businesses that want to import or export goods. Some nations limit the number of licenses they grant. An embargo is a policy that suspends all import-export trade with another country. Embargoes are used for political reasons or during hostilities. Favorable trade agreements encourage trade among two or more countries. Globalization is not a trade barrier, but the rapid and unimpeded flow of capital, labor, and ideas across national borders. Industrialization is the changeover from producing goods by hand labor to the use of machines and the organization of such production into industries. Outputs are the goods and services produced as the result of combining inputs. Industrialization and outputs are not trade barriers that nations implement to control imports and exports. SOURCE: EC:059 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2009). Marketing essentials (pp. 76-80). Woodland Hills, CA: Glencoe/McGrawHill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.06 Collect Secondary Marketing Data Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.06 Understands the concepts, systems, and tools needed to gather, access, synthesize, evaluate, and disseminate information for use in making business decisions Performance Indicator Collect marketing information from others (e.g., customers, staff, vendors) (IM:187) Objectives a. b. c. Collect secondary marketing data to ensure accuracy and adequacy of information for decision making. d. Performance Activity Discuss the importance of collecting information from others. Describe ways of reporting information collected from others. Explain guidelines for determining the types of information to collect from others. Implement procedures for collecting information from others. Note to the Instructor: Review and present the Collecting Marketing Information from Others Briefing (pp. 5-15—5-16) to students in a lecture or discussion format. Identify a sport/event marketing problem at your place of employment, and determine who could provide insight into problem resolution. With the permission of your supervisor, collect information. Compare the findings across groups of people identified. Write a one-page paper about the problem, how information was collected, and what differences were found in responses from different groups of people. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp.126-129, 295-304). New York: Glencoe/McGrawHill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 100-101, 153]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 108126]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 421-433]. Champaign, IL: Human Kinetics. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 84-100]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online Bergeson, J. (2012, January 24). Five ways to create a data-driven marketing structure. Retrieved May 30, 2012, from http://www.marketingprofs.com/articles/2012/6901/five-ways-to-create-a-datadriven-marketing-culture Cordo, J. (2011, December 5). Top 5 marketing trends for 2012. Retrieved May 30, 2012, from http://www.marketingprofs.com/articles/2011/6520/top-5-marketingtrends-for-2012 Eggleston, D. (2010, March 24). Improving marketing ROI: Towards a more equitable conversion attribution model. Retrieved May 30, 2012, from http://www.mediapost.com/publications/?fa=Articles.showArticle&art_aid=12468 7 Heskett, J. (2010, August 5). What is customer opinion good for? Retrieved May 30, 2012, from http://hbswk.hbs.edu/item/6458.html Lieberman, M. (2003, November). A beautiful segmentation. Retrieved May 30, Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.06 Collect Secondary Marketing Data Planning Guide Sheets 2012, from http://www.quirks.com/articles/Data_Use.aspx?searchID=272281321 McCarthy, K. (2010, May 18). Own your digital marketing data. Retrieved May 30, 2012, from http://www.mediapost.com/publications/article/128309/ 1.06/ IM:187 ASSESSMENT - Collect Secondary Marketing Data 26. Businesses collect marketing information from other sources in order to find out what is happening in the A. research department. C. parent corporation. B. external environment. D. internal organization. 27. Businesses often collect marketing information from customers in order to learn which products A. earn the highest profits. C. sell best in certain locations. B. meet specific design standards. D. qualify for vendor discounts. 28. A business that randomly surveys 200 customers to learn their opinions about a new product is collecting __________ marketing information. A. scientific C. primary B. confidential D. technical 29. The first step that a business should take when collecting marketing information from its customers is to A. develop a rating scale. C. obtain secondary data. B. determine the survey method. D. define research objectives. 1.06/ IM:187 ASSESSMENT ANSWER KEY - Collect Secondary Marketing Data 26. B External environment. It is important for businesses to collect marketing information from other sources in order to find out what is happening in the external environment. They need to know about the economy in general, any changes in demographics, legal or political situations, etc. This type of information is not available from within the business but must be collected from outside sources, such as industry or trade organizations, government agencies, and consumer reports. Businesses use both external and internal information in order to make marketing decisions and solve problems. Businesses collect internal information from their own research departments. Internal information is also available from the parent corporation and the organization itself. SOURCE: IM:187 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2009). Marketing essentials (pp. 612-614). Woodland Hills, CA: Glencoe/McGrawHill. 27. C Sell best in certain locations. Some products sell better in certain locations Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.06 Collect Secondary Marketing Data Planning Guide Sheets than in others because different groups of consumers have different wants and needs. Businesses often collect marketing information from a crosssection of customers in order to find out which products sell the best in different locations. Businesses use this information in order to make their products available in the locations where customers are most likely to want and buy them. Businesses, rather than customers, will know if products meet specific design standards, earn the highest profits, and qualify for vendor discounts. SOURCE: IM:187 SOURCE: Churchill, G.A., Jr., & Peter, J.P. (1998). Marketing: Creating value for customers (2nd ed.) [pp. 116-117]. Boston: Irwin/McGraw-Hill. 28. C Primary. Primary marketing information is new information collected for the problem or project at hand. Many businesses collect primary marketing information from customers because customers are the ones who will buy and use the business's products. Knowing how customers feel about a new product will help the business to more effectively market the product. Conducting random surveys is one way to collect primary marketing information. The marketing information that businesses collect from customers is not necessarily scientific, confidential, or technical. SOURCE: IM:187 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 57). Boston: Irwin/McGraw-Hill. 29. D Define research objectives. Before collecting marketing data, a business must define the problem or objective of the research. Once the researchers know why they are collecting the information, they can determine where and how to collect it. Marketing research is not always obtained through surveys or secondary data sources. Rating scales are often developed to measure or qualify research results. Rating scales are generally developed after the research objectives are determined. SOURCE: IM:187 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2002). Marketing essentials (3rd ed.) [pp. 523-524]. Woodland Hills, CA: Glencoe/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Briefing: Collecting Mktg. Info. From Others SEM II 1.06 Collect Secondary Marketing Data Student Notes The Importance of Collecting Marketing Info from Others The keys to successful marketing include understanding and meeting consumer needs and wants. To understand and meet those needs and wants, however, marketers must collect information from others. The process of collecting this marketing information includes: Intelligence generation o Monitoring the external environment o Collecting data o Coordinating the collected data Intelligence dissemination o Sharing the data gathered in the intelligence-generation stage Responsiveness o Analyzing the data o Detecting and anticipating consumer demand o Utilizing the information to develop effective marketing strategies Reporting Information That Is Gathered Information gathered from others can be reported in: Determining What Type of Data to Gather Marketers can use one of three different research designs (or some combination of the three) to collect marketing data. The research design chosen for the study should stem directly from the questions which need to be answered and how much time, money, and resources are available for the study. The three research designs are: Final reports Journal articles Oral presentations Exploratory research o Used when the problem is not well-defined o Answers questions such as, “Ticket sales are down, but why?” Descriptive research o Often used to determine characteristics of the target market o Answers “who, what, where, when, and how often” questions Causal research o Explores the relationship between two variables o Answers questions such as, “Does increased advertising result in more ticket sales?” Implementing Marketing information can be collected in a number of different ways, including: Primary research, which may include surveys that can be mailed, posted on Procedures the Internet, conducted on the phone, or carried out in person by to Collect intercepting people at sporting events Information Secondary research, which may include: o Obtaining and using data collected for another reason o Examining the content of written materials (e.g., financial statements, ticket sales numbers, newspaper articles, etc.) Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.07 Information-Technology Tools Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.07 Understands tools, strategies, and systems needed to access, process, maintain, evaluate, and disseminate information to assist business decision-making Performance Indicator Use database for information analysis (NF:185) Objectives a. b. c. d. Performance Activity Access a database maintained for a sport/event product to identify fans/customers in a selected target group. Sort the data on the basis of the factors identified by your supervisor or instructor. Determine the number of customers in the identified target group. Utilize information-technology tools to manage and perform work responsibilities. Define the terms subsets and correlation. Explain considerations in manipulating data to create reports. Describe procedures for manipulating data for information analysis. Demonstrate use of database for information analysis. Access a database maintained for a sport/event product. Identify fans/customers who have purchased in the last six months. Identify those with multiple purchases. Identify those who have purchased more than $100 of the sport/event product. Create a list of customers whose names/accounts appeared on all lists. Discuss your findings with a classmate. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (p. 129). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 133-134]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 96-110]. Champaign, IL: Human Kinetics. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 83-84]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online Ayers, J. (2003, July 21). Don’t get buried in customer data – Use it. Retrieved May 30, 2012, from http://hbswk.hbs.edu/item/3596.html Chen, C., & Lin, Y. (2006, Summer). A new market research approach in sportdata mining. Retrieved May 30, 2012, from http://www.thesportjournal.org/article/new-market-research-approach-sportdata-mining Schumacher, A. (2007, June 8). Using database marketing to build customer experience. Retrieved May 30, 2012, from http://www.dmnews.com/usingdatabase-marketing-to-build-customer-experience/article/95860/ Steffek, B. (2009, September 29). You’ve got to understand database marketing in today’s sport climate. Retrieved May 30, 2012, from http://collegesportsblog.wordpress.com/2009/09/29/youve-got-to-understanddatabase-marketing-in-todays-sport-climate/ 1.07/NF:185 ASSESSMENT – Information-Technology Tools 30. What should businesses try to achieve when manipulating data for information analysis? A. Exploratory research C. Program development Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.07 Information-Technology Tools Planning Guide Sheets B. Secondary information interpretation D. Accurate 31. Which of the following is useful marketing information that a business might obtain by analyzing a customer database: A. Expense involved in developing a customer database B. Average customer is married, owns home, earns $50,000 a year C. Federal identification numbers for current and past customers D. Total sales for each month of the previous year 32. When marketing researchers review the level of affiliation between two variables, they are evaluating the ___________ of data components. A. affirmation C. sensitivity B. predictability D. correlation 33. When analyzing the historical data in a data warehouse, which of the following is true of its data: A. Related data are grouped together in folders. B. The data change as modifications are made to the database. C. The data are static. D. Data maintain the uniqueness provided in their operational applications. 1.07/NF:185 ASSESSMENT – Information-Technology Tools 30. D Accurate interpretation. Businesses obtain a variety of information that must be analyzed in order to make it useful. While manipulating the data for information analysis, businesses should try to interpret it accurately in order to obtain information that will answer specific marketing questions. Many times, businesses can manipulate the data to obtain the answers they want. This practice will not help them solve problems or make good decisions if they interpret the data inaccurately. Exploratory research is a method of obtaining information. Secondary information is information that has already been collected for another purpose. Businesses develop a research program before interpreting data. SOURCE: NF:185 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 613). Boston: Irwin/McGraw-Hill. 31. B Average customer is married, owns home, earns $50,000 a year. The purpose of analyzing a customer database is to identify specific characteristics that the business can use to market its goods and services to customers. Businesses are better able to target their market if they know what type of customer makes up the market. For example, a business probably would use different techniques to sell to customers who are married, own their own homes, and earn $50,000 a year than to customers who are single, rent, and earn $25,000 a year, because these types of customers have different wants and needs. Federal identification numbers are provided to businesses and do not provide useful marketing information. A customer database will not provide information about total sales for each month or the expense involved in developing the database. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.07 Information-Technology Tools Planning Guide Sheets SOURCE: NF:185 SOURCE: Kotler, P., Bowen, J.T., & Makens, J.C. (2010). Marketing for hospitality and tourism (5th ed.) [pp. 93, 114-121]. Upper Saddle River, NJ: Prentice Hall. 32. D Correlation. In terms of marketing research, correlation is the dependency of one variable on another variable or set of variables. The level of dependency can vary greatly. To predict means to estimate. One cannot usually estimate until a pattern or correlation between variables has been established. Sensitivity and affirmation are general terms that might describe an understanding nature. To understand the relationship between variables, a correlation must first be acknowledged. SOURCE: NF:185 SOURCE: Shao, A. (2002). Marketing Research: An Aid to Decision Making (2nd ed.) [p. 494]. South-Western. 33. C The data are static. Changes made to the data are recorded and tracked so that users can identify changes that occur over time. Therefore, the data are static—they do not change. Related data are linked together rather than being grouped together in folders. When data move into a data warehouse, they are made consistent with each other rather than maintaining the uniqueness of their various operational applications. SOURCE: NF:185 SOURCE: Telecommand. (2009). Retrieved February 28, 2011, from http://www.telecommand.com/content/data-warehousing Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.08 Interpreting Marketing Information – SUPPLEMENTAL Planning Guide Sheets Knowledge/ Skill Statement Understands the concepts, systems, and tools needed to gather, access, synthesize, evaluate, and disseminate information for use in making business decisions Performance Element 1.08 Interpret marketing information to test hypotheses and/or to resolve issues. Performance Indicator Explain the use of descriptive statistics for marketing decision making (IM:191) (SUPPLEMENTAL) or EXTRA CREDIT or HONORS PORTION Level Specialist Objectives a. b. c. d. e. f. Performance Activity Define the following terms: descriptive statistics, mean, medium, mode, range, standard deviation, and skewness. Explain the objectives of using descriptive statistics to interpret data. Describe the advantages and disadvantages of using the mean, median, and mode as measures of central tendency. Explain when to use the mean, median, and mode. Discuss the importance of using the median when working with skewed distributions. Describe the use of the standard deviation in data analysis. Given data from a fund-raising activity, interpret the descriptive statistics, and identify marketing decisions that could be made from the results of the data. Resources Textbooks Aaker, D.A., Kumar, V., & Day, G.S. (2007). Marketing research (9th ed.) [pp. 438439]. Hoboken, NJ: John Wiley & Sons, Inc. Burrow, J.L. (2006). Marketing (2nd ed.) [p. 136]. Mason, OH: Thomson/ SouthWestern. Churchill, G.A., Brown, T.J., & Suter, T.A. (2010). Basic marketing research (7th ed.) [pp. 429-434]. Mason, OH: South-Western Cengage Learning. Farese, L. S., Kimbrell, G., & Woloszyk, C. A. (2009). Marketing essentials (pp. 170-171). Woodland Hills, CA: Glencoe/McGraw-Hill. Hair, J.F., Bush, R.P., & Ortinau, D.J. (2009). Marketing research in a digital information environment (4th ed.) [pp. 483-488]. New York: McGraw-Hill Irwin. Kemp, S.M. & Kemp, S. (2004). Business statistics demystified: A self-teaching guide (pp. 1-17, 97, 173-204). New York: McGraw-Hill. Leedy, P.D. & Ormrod, J.E. (2005). Practical research: Planning & design (8th ed.) [pp. 257-261]. Upper Saddle River, NJ: Prentice Hall. Pyrczak, F. (2006). Making sense of statistics (4th ed.) [pp. 21-53]. Glendale, CA: Pyrczak Publishing. Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 443-451]. Mason, OH: South-Western Cengage Learning. Software/ Online Bewick, V., Cheek, L., & Ball, J. (2004, November 4). Statistics review 13: Receiver operating characteristic curves. Retrieved May 30, 2012, from http://ccforum.com/content/8/6/508 Johnson, J.E., & Lee, D. Super Bowl commercial and game consumption for the college demographic. Retrieved May 30, 2012, from http://www.thesportjournal.org/article/super-bowl-commercial-and-gameconsumption-college-demographic Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.08 Interpreting Marketing Information – SUPPLEMENTAL Planning Guide Sheets Niles, R. (1995-2012). Statistics every writer should know. Retrieved May 30, 2012, from http://www.robertniles.com/stats/ Spaulding, K. (2009, May 25). Overview of statistics. Retrieved May 30, 2012, from http://ksspaulding.wordpress.com/article/overview-of-statistics-3smazt4fj02nv50/ Turner, J. (2011, September 6). 9 amazing mobile marketing statistics every marketer should know. Retrieved May 30, 2012, from http://blog.hubspot.com/blog/tabid/6307/bid/24082/9-Amazing-MobileMarketing-Statistics-Every-Marketer-Should-Know.aspx 1.08/IM:191 (SUPPLEMENTAL OR EXTRA CREDIT OR HONORS PORTION) ASSESSMENT 12. Which of the following is an example of range: A. Most consumers buy four CDs per month. B. Consumers buy an average of five CDs per month. C. Consumers buy between three and seven CDs per month. D. Half of all consumers buy more than five CDs per month. 13. What do researchers often use to summarize and interpret vast amounts of numeric information? A. Research questionnaires C. Hypothetical samples B. Descriptive statistics D. Independent variables 14. A business that conducts research and finds that most of its customers visit the business four times a week has identified the A. median. C. mean. B. mode. D. range. 15. Which of the following must coincide when using descriptive statistics in order to have normally distributed data: A. Range, dispersion, confidence interval B. Ordinal, nominal, binomial C. Mean, median, mode D. Standard deviation, percentiles, pictorial representations 16. When making marketing decisions, businesses often analyze research that is expressed as a mean, median, or mode, which are estimates often referred to as the A. predictability curve. C. central tendency. B. graphic representation. D. distribution share. 1.08/IM:191 ASSESSMENT ANSWER KEY 12. C Consumers buy between three and seven CDs per month. Range is the distance between the smallest and largest value in a set of responses. In the example, three was the smallest number of CDs purchased and seven was the largest number. The distance between three and seven is the range. Range is often used to describe the relation between numbers, such as the variation between the number of CDs purchased. Mean is the average, such as consumers buying an average of five CDs per month. Mode is the most Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.08 Interpreting Marketing Information – SUPPLEMENTAL Planning Guide Sheets common response, such as most consumers buy four CDs per month. Median is the exact middle, such as half of all consumers buying more than five CDs per month. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 445-446]. Mason, OH: South-Western Cengage Learning. 13. B Descriptive statistics. Researchers often use descriptive statistics to summarize and interpret the vast amounts of numeric information they collect. Descriptive statistics include measurements such as mean, mode, median, range, and standard deviation. These types of measurements help researchers to summarize numeric information in terms of number of responses, frequency of use, average distribution, and various other relationships. Researchers often use questionnaires to obtain numeric information. Researchers do not use hypothetical samples or independent variables to summarize and interpret numeric information. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 525527). Boston: Irwin/McGraw-Hill. 14. B Mode. The mode represents the number that occurs the most often. In this example, the mode is four because most of the business's customers visit the business four times a week. The mean is the average number of times customers visit the business. The median is the middle number which indicates that half of the customers visit more often and half of the customers visit less often. Range is the distance between the fewest number of visits and the most number of visits. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [p. 445]. Mason, OH: South-Western Cengage Learning. 15. C Mean, median, mode. Mean is the average, median is the exact middle, and mode is the most common response. When the mean, median, and mode coincide in statistics, you have normally distributed data that is indicated by a symmetrical, pictorial representation (curve). The alternatives do not indicate normally distributed data. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Burns, A.C., & Bush, R.F. (2000). Marketing research (3rd ed.) [pp. 429-430, 498-501]. Upper Saddle River, NJ: Prentice Hall. 16. C Central tendency. To obtain useful marketing information, researchers often survey a representative group of the market segment (sample). After collecting the data, researchers assign numerical values to the responses. The typical value (response) of the set of numerical values is referred to as the central tendency. Researchers can measure central tendency as a mean, median, or mode. To summarize the data, researchers might develop a visual representation of central tendency in a chart or graph format. Predictability curve and distribution share are fictitious terms. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.08 Interpreting Marketing Information – SUPPLEMENTAL Planning Guide Sheets SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 170-171). New York: Glencoe/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.09 Information to Guide – Decision-making Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.09 Understands tools, strategies, and systems needed to access, process, maintain, evaluate, and disseminate information to assist business decision-making Performance Indicator Identify sport/event trends (NF:065) Objectives a. b. c. d. Performance Activity Using the Internet, research sport/event trends that are affecting one of the following: channel management, marketing research, pricing, product/service management, promotion, or selling. Write a short paper identifying the trends and discussing their potential inputs. Present your report to the class. Acquire information to guide business decision-making Describe the impact of current sport/event trends on marketing. Explain the importance of identifying sport/event trends. Discuss sources of sport/event trend information. Identify current sport/event trends. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (p. 297). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [p. 81]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 453465]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 132-133]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 1436, 58-59, 82]. Morgantown, WV: Fitness Information Technology. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 1314). New York: John Wiley & Sons. Software/ Online Andrews, J. (2012, April 20). New trends in sports and fitness. Retrieved May 30, 2012, from http://www.the-leader.com/blogs/sports_medicine/x1878757663/Newtrends-in-sports-and-fitness Janca, T. (2012, January 1). Game, set, fans: 10 sports marketing trends for 2012. Retrieved May 30, 2012, from http://www.slideshare.net/tomjanca/game-setfans-10-sports-marketing-trends-for-2012 Leaman, E. (2011, December 29). Fitness forecast: The top fitness trends for 2012. Retrieved May 30, 2012, from http://blogs.phillymag.com/bewellphilly/2011/12/29/fitness-forecast-top-fitnesstrends-2012/ PRLog. (2011, April 18). New market report: Fast Market Research recommends "Exercise and sports nutrition: Consumer trends and product opportunities" from Datamonitor, now available. Retrieved May 30, 2012, from http://www.prlog.org/11441781-new-market-report-exercise-and-sports-nutritionconsumer-trends-and-product-opportunities.html Rovell, D. (2009, July 31). The top 10 most interesting trends in sports. Retrieved May 30, 2012, from http://www.cnbc.com/id/32238333/The_Top_10_Most_Interesting_Trends_In_Sp orts Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.09 Information to Guide – Decision-making Planning Guide Sheets 1.09/NF:065 Assessment - Information to Guide – Decisionmaking 34. Which of the following is a trend in the sport/event industry: A. Premium seating options are yielding less revenue for sport/event facilities than other types of seating. B. Relationship marketing is becoming less important to sport/event organizations as technology evolves. C. Due to the high level of media clutter, fewer businesses are participating in sport/event sponsorships. D. Sport/Event facilities are evolving into complete entertainment centers with interactive activities. 35. The NHL, the NFL, and the CFL are becoming more interested in investing in the development of recreational sports for youths in order to A. appeal to low-income individuals. C. comply with local regulations. B. encourage sedentary lifestyles. D. attract more fans. 36. One reason that seat licenses and premium seating are growing trends in sport/event marketing is because these practices are A. sales policies. C. advertising methods. B. pricing strategies. D. revenue sources. 1.09/NF:065 Assessment ANSWER KEY - Information to Guide – Decision-making 34. D Sport/Event facilities are evolving into complete entertainment centers with interactive activities. Facilities that have traditionally been used solely for sport events or concerts are now being used for many other activities. For example, the Nationwide Arena in Columbus, Ohio serves as the home playing rink for the NHL Blue Jackets as well as the arena football team, the Columbus Destroyers. The facility also hosts several concerts during the year. Some facilities are expected to add other types of amenities such as playgrounds, game rooms, and concessions for children. Trends indicate that sponsorships are continuing to increase, premium seating (e.g., luxury boxes) yields more revenue than other types of seating, and relationship marketing to fans is becoming more important as technology evolves. SOURCE: NF:065 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 387-389]. Champaign, IL: Human Kinetics. 35. D Attract more fans. The National Hockey League (NHL), the National Football League (NFL), and the Canadian Football League (CFL) have established programs encouraging youth participation in their sports. It is hoped that as the youths and their parents become more involved in the sports, they will want to follow and support major-league teams. The leagues do this to attract fans rather than comply with local regulations. This is quite contrary to a sedentary Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.09 Information to Guide – Decision-making Planning Guide Sheets lifestyle, which is basically an unhealthy and inactive approach to living. Individuals who participate in recreational sports must pay for necessary sporting equipment, lessons, entry fees, memberships, and so forth. Therefore, marketing dollars are primarily targeted at higher income individuals. SOURCE: NF:065 SOURCE: Kaser, K., & Oelkers, D.B. (2001) Sports and Entertainment Marketing (pp. 220-221). South-Western Educational Publishing. 36. D Revenue sources. Many sport/event facilities are using permanent seat licenses and premium seating as revenue sources. These trends involve selling customers the right to buy tickets to events, or selling luxury boxes and suites, and seats in special sections of stadiums and arenas. Although premium seating is expensive, the demand continues to grow. Furthermore, stadiums and arenas encourage premium seating because it generates a sizeable amount of income even though that type of seating is a small part of the overall seating capacity. Consequently, many stadiums and arenas target this market even though it accounts for a small percentage of ticket buyers. Although these trends are a type of pricing strategy, they are used because they are ways of generating revenue rather than because they are pricing strategies. These practices are not advertising methods or sales policies. SOURCE: NF:065 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 385-386]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.10 Report Research Findings Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.10 (Part 1) Performance Indicator Understands the concepts, systems, and tools needed to gather, access, synthesize, evaluate, and disseminate information for use in making business decisions Objectives a. b. c. d. e. Performance Activity Prepare a weekly marketing report of sales data for a sport/event. Review the report with your teacher/supervisor. Report findings to communicate research information to others. Write marketing reports (IM:192) Discuss characteristics of an effective marketing report. Identify the elements of a marketing report. Describe types of visual aids that can be used effectively in marketing reports. Create frequency tables to display research findings. Demonstrate procedures for writing marketing reports. Resources Textbooks Bovée, C. L., & Thill, J.V. (2008). Business communication today (9th ed.) [pp. 426471]. Upper Saddle River, NJ: Pearson Prentice Hall. Ober, S. (2007). Fundamentals of contemporary business communication (2nd ed.) [pp. 215-216, 248-268]. Boston: Houghton Mifflin Company. Roberts, S.J. (2012). Fundamentals of business communication (pp. 398-434). Tinley Park, IL: The Goodheart-Willcox Company, Inc. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [p. 101]. Upper Saddle River, NJ: Pearson Prentice Hall. Software/ Online Bennink, C. (2006). How to recognize a good marketing program when you see one. Retrieved May 30, 2012, from http://www.travelagentsuccess.com/recognize.htm Chia, E. (2010, April 14). Five characteristics of a good business plan. Retrieved May 30, 2012, from http://ezinearticles.com/?Five-Characteristics-of-a-GoodBusiness-Plan&id=4108071 Cohen, l. (1999-2012). How to write a marketing research report. Retrieved May 30, 2012, from http://www.ehow.com/how_4884999_write-marketing-researchreport.html Eventscorps Western Australia. (n.d). Special events: A managed approach. Retrieved May 30, 2012, from http://www.tourism.wa.gov.au/Publications%20Library/Events/Special%20Events %20A%20Managed%20Approach%20_2_.pdf Marketo. (2012). 10 characteristics of effective marketing analytics. Retrieved May 30, 2012, from http://www.marketo.com/about/news/resource-news/10characteristics-of-effective-marketing-analytics.php 1.10 (Part 2)/ IM:192 Assessment – Report Research Findings 17. One of the main portions of a marketing report describes the research methods and the A. industry review standards. C. technical terminology. B. data collection procedures. D. consulting expenses. IM:192 18. Which of the following is a characteristic of an effective marketing Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.09 Information to Guide – Decision-making Planning Guide Sheets report: A. Explains role of executive management review information B. Contains names of contributing editors research questions C. Provides industry D. Answers specific IM:192 19. The main portion of a marketing report that explains the research findings should include A. summaries and recommendations. C. data-collection procedures. B. technical appendixes and indexes. D. supporting tables and graphs. IM:192 20. When writing marketing reports, researchers should make sure that they include a section about A. populations. C. regulations. B. qualifications. D. limitations. IM:192 21. Copies of questionnaires, interview forms, and other technical documents are often included in what part of a marketing report? A. Analysis C. Summary B. Introduction D. Appendix 1.10 (Part 2)/ IM:192 Assessment – Answer Key 17. B Data collection procedures. One portion of a marketing report contains a detailed explanation and description of the research methods and how the data were collected. This section should explain what types of secondary data were used and how the primary data were collected (questionnaire, telephone survey, etc.). This section also should provide a description of the questions that were asked and a profile of the people who were surveyed. A detailed description of research methods and data collection procedures adds credibility to the report. Marketing reports do not describe industry review standards or consulting expenses. Technical terminology is explained throughout the report rather than in one specific section. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613615). Boston: Irwin/McGraw-Hill. 18. D Answers specific research questions. One of the primary functions of a marketing report is to communicate the information that answers specific research questions. Businesses conduct research in order to obtain information that will help them solve problems and make marketing decisions. An effective marketing report should answer the questions that relate to the specific business problem for which the research was completed. An effective report answers questions by interpreting and summarizing the research findings and offering recommendations. Marketing reports do not need to contain the names of contributing editors, provide industry overview information, and explain the role of executive management in order to be effective unless these topics are related to the specific research questions. SOURCE: IM:192 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.09 Information to Guide – Decision-making Planning Guide Sheets SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613615). Boston: Irwin/McGraw-Hill. 19. D Supporting tables and graphs. The main portion of a marketing report contains a detailed explanation and analysis of the research findings. This section should include supporting tables and graphs which present the research findings in an uncomplicated visual manner. Illustrating the research findings in tables and graphs is a way of presenting complicated information in a format that is easy for readers to see and understand. The main portion of a marketing report does not contain appendixes and indexes, summaries and recommendations, or data-collection procedures. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613619). Boston: Irwin/McGraw-Hill. 20. D Limitations. Marketing reports should contain a section about limitations because all research is affected by certain outside events that have an effect on its accuracy. Limitations associated with marketing research usually involve sampling bias, measuring errors, time constraints, and limited finances. When preparing a marketing report, researchers should include information about these limitations in order to present an honest and fair representation of the findings. Limitations are part of any research project and should be presented openly in the report. Marketing reports usually do not contain separate sections about qualifications, regulations, or populations, although those topics may be discussed throughout the report. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613621). Boston: Irwin/McGraw-Hill. 21. D Appendix. The appendix is the part of a marketing report that follows the main part of the report. It often appears last and contains technical information and documents, such as copies of questionnaires and interview forms, which are not necessary for the main report. In most cases, the main part of the report refers to information that is provided in the appendix, which the reader may, or may not, choose to read. It is additional information that further explains the main part of the report. The summary provides an overview of the main points. The introduction usually contains background information. The analysis is usually part of the main body of the marketing report. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 621). Boston: Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.10 Report Research Findings Planning Guide Sheets Rubric: Written Report Criteria Content The information communicated by the written report 45 points Communication Ability to express oneself so as to be understood by others 25 points Professional Experienced Developing Novice The information sufficiently summarized the issue/topic. Overall, the information adequately summarized the topic/issue. The information left some gaps in the issue/topic. The information failed to summarize the issue/topic. Conclusions reached were logical and fully supported by research. Conclusions reached were reasonable but lacked supporting documentation in a few cases. Conclusions reached were inconsistent in their logic and lacked supporting documentation. Questionable conclusions were reached that were not supported by the research. The conclusions were based on the most recent documentation available. The conclusions were based, overall, on current information. The conclusions were based on outdated information that was still relevant. The conclusions were based on outdated information that was no longer relevant. Ideas were expressed clearly in language that was easy to understand. Ideas were expressed clearly with only a few words being difficult to understand. Both ideas and words required much effort to understand. Ideas were vague and elusive, and language was difficult to understand. Accurate visual aids, including charts and graphs, supported, focused, clarified, and reinforced information given. Accurate visual aids, including charts and graphs, added some support to the information given. Visual aids, including charts and graphs, were related to information given, but did not clarify or reinforce it. Visual aids, including charts and graphs, detracted from presentation raising many questions. Report was neat, grammatically correct, and error-free. Report was neat but contained minor errors that did not detract from total report. Report contained slight smudges, blurred letters, and grammatical errors that were distracting. Report was messy, with many errors in spelling and grammar. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 5-18 SEM II 1.10 Report Research Findings Planning Guide Sheets Rubric: Written Report Criteria Organization How the information is put together Professional Experienced Developing Novice Main points were easy to follow and logical with points building on each other. Main points were generally easy to follow and logical. Main points were logical but difficult to follow. Main points were so difficult to follow that their logic could not be determined, or they were illogical. Sections were clearly identified, and material was easily located. Sections were clearly identified and only a few items were difficult to locate. Some sections were not identified, and several items were difficult to locate. Sections ran together or were not identified, and material was difficult to locate. Supporting documentation was complete and clearly labeled. Supporting documentation was clearly labeled, but some items were missing. Some supporting documentation was missing, and some was inaccurately labeled. Supporting documentation was not provided. 30 points Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 5-19 SEM II 1.10 Report Research Findings Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.10 (part 2) Performance Indicator Understands the concepts, systems, and tools needed to gather, access, synthesize, evaluate, and disseminate information for use in making business decisions Objectives a. Report findings to communicate research information to others. Present report findings and recommendations (IM:193) b. c. Performance Activity Compare and contrast the presentation of marketing reports in oral versus written format. Identify the elements of a marketing report that should be addressed in an oral presentation. Demonstrate procedures for presenting report findings and recommendations. Analyze sales data for a sport product or for a fund-raising activity, and present a report of your findings and recommendations to a small group of students. Discuss the strengths and weaknesses of your presentation. Resources Textbooks Bovée, C. L., & Thill, J.V. (2008). Business communication today (9th ed.) [pp. 353354, 498-517]. Upper Saddle River, NJ: Pearson Prentice Hall. Ober, S. (2007). Fundamentals of contemporary business communication (2nd ed.) [pp. 280-301]. Boston: Houghton Mifflin Company. Roberts, S.J. (2012). Fundamentals of business communication (pp. 267-284). Tinley Park, IL: The Goodheart-Willcox Company, Inc. Software/ Online BookRags.com. (2012). How to give an oral report. Retrieved May 30, 2012, from http://www.bookrags.com/articles/28.html Dawson, C. (2009). How to report your findings. Retrieved May 30, 2012, from http://www.howto.co.uk/business/researchmethods/how_to_report_your_findings/#producing-oral-presentations EvaluATOD. (n.d.). Presenting data. Retrieved May 30, 2012, from http://www.evaluatod.org/resources/Presenting_Data.pdf Margaret Sanger Center International. (2009). Unit 8: Using findings. Retrieved May 30, 2012, from http://www.stepstoolkit.org/index.php?option=com_content&view=article&id=12 5&Itemid=160&lang=en Pearson Education. (2000-2012). How to give an oral report. Retrieved May 30, 2012, from http://www.infoplease.com/homework/oralreport1.html 1.11/IM:193 ASSESSMENT 22.An effective method of presenting complex report findings and recommendations to a large group of managers involves the use of A. scientific data. C. informal outlines. B. computer software. D. handmade graphics. 1.10/IM:193 ASSESSMENT KEY Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.10 Report Research Findings Planning Guide Sheets 22.B Computer software. The use of computer software enables researchers to develop computergenerated presentations in order to effectively explain complex report findings and recommendations to large groups. By using computer software, researchers can create a wide range of multimedia presentations that include text, graphics, sound, and video. These presentations hold the viewers' attention and graphically explain material that may be complex. Also, computer-generated presentations can be shown to large groups and are more professional looking than traditional presentation methods. The use of informal outlines and handmade graphics are not effective ways of effectively explaining complex report findings to large groups. Researchers may use computer software to create presentations that will explain scientific data. SOURCE: IM:193 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 624-625). Boston: Irwin/McGraw-Hill. 23. A Information that is relevant to the marketing decisions that management must make. When presenting report findings and inclusions, the researcher should include the information that is relevant to the marketing decisions to be made. Including all the information can overwhelm decision makers with confusing findings. Editing the findings to exclude relevant information may cause decision makers to draw incorrect conclusions. SOURCE: IM:193 SOURCE: Kotler, P. (2000). Marketing management (10th ed.) [pp. 105-114]. Prentice Hall. 24. A Research methods. An oral presentation includes the same information as the written report although the oral presentation of this information is handled differently because there are limitations on the amount of time available to give an oral presentation. Consequently, oral reports focus on explaining the research findings, which include relevant information and pertinent data. Explaining the research methods used to collect the information is not as important as explaining other parts of the report. Therefore, the research methods would be mentioned only briefly, if at all, in an oral presentation. In some situations, take-home copies of handouts that explain the research methods and other parts of the written report might be available after the oral presentation. SOURCE: IM:193 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 624-625). Boston: Irwin/McGraw-Hill. 25. A Relatively simple. During an oral presentation of report findings and recommendations, the audience has only a certain amount of time to hear and understand the information. Therefore, the presenter needs to keep the oral presentation relatively simple and use words and phrases that are easy to understand. The information needs to be organized in a simple and logical manner and presented so that the audience will be able to grasp the meaning in the time allotted. Keeping the presentation on a complex level or technically oriented might make it difficult for the audience to understand the findings and recommendations. As a rule, simple is better. Although the presentation should be fairly simple, it should still include enough detail to make the presentation meaningful. SOURCE: IM:193 SOURCE: Lesikar, R.V., Pettit, J.D., Flatley, M.E. (1999). Lesikar's basic business communication (8th ed.) [pp. 463-465]. Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.10 Report Research Findings Planning Guide Sheets 23. Stephanie has completed a market-research project to identify changing consumer trends that will affect her company and its market position. She has learned many interesting demographic trends occurring in the population. What type of data should she include in her report to management? A. Information that is relevant to the marketing decisions that management must make B. All the information collected so management can decide what is important C. Information that applies only to people not currently part of the target market D. Information that applies only to the company's current target market IM:193 24. What part of a marketing-research report would be mentioned only briefly in an oral presentation? A. Research methods C. Pertinent data B. Relevant information D. Research findings IM:193 25. An effective technique to use when giving an oral presentation of report findings and recommendations is to keep the presentation A. relatively simple. C. free from detail. B. technically oriented. D. on a complex level. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.10 Report Research Findings Planning Guide Sheets Rubric: Oral Presentation Criteria Content What the speaker talked about; the information that was shared Professional How the speaker presented the information; the speaker’s performance in front of an audience 20 points Developing Novice Speaker presented relevant, accurate, up-to-date information. Audience responded favorably to examples that were outside their experience. Examples strayed from the point or required some thought to grasp. Examples were difficult for the audience to grasp or totally inappropriate for the occasion. Supporting information was provided for each point made. Unsupported points did not create a sense of unfinished business. Several points were vague or unsupported by evidence. Points were vague and lacked any supporting evidence. Examples were relevant to the audience and occasion. Speaker presented information that was relevant and accurate, but outdated. Speaker presented relevant information that was obviously incorrect and outdated. Speaker wandered from topic to topic or gave information that seemed unrelated to scenario. Speaker responded to questions fully, knowledgeably, and without hesitation. Speaker responded hesitantly, but knowledgeably to questions. Speaker responded hesitantly and uncomfortably, providing sketchy information in answer to questions. Speaker gave vague, nonspecific responses to questions. Speaker appeared confident and relaxed. Speaker’s initial nervousness was not distracting. Speaker’s apparent discomfort was distracting on occasion. Speaker’s nervousness was distracting throughout the presentation. Volume and pace made a positive contribution to speaker’s message, helping to show the speaker’s enthusiasm for the topic and engaging listeners in it. Volume and pace were satisfactory, showing the speaker’s interest in the topic, but did nothing to engage listeners. At some points, unvaried or erratic volume and pace detracted from the presentation, making listeners think that the speaker had no feelings about the topic. Unvaried or erratic volume and pace detracted from the presentation, allowing listeners to think the speaker was uninterested in or uncomfortable with the topic. Transitions from point to point flowed smoothly. Most transitions from point to point were smooth. Transitions from point to point were occasionally awkward. Transitions from point to point were bumpy or nonexistent. Presentation had originality and creative choice of examples. Presentation had some originality and creative choice of examples. Treatment of topic and choice of examples were fairly traditional. Presentation relied fully on traditional treatment of topic and examples. 40 points Delivery Experienced Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 5-23 SEM II 1.10 Report Research Findings Planning Guide Sheets Rubric: Oral Presentation Criteria Professional Experienced Developing Novice Delivery (cont’d) Accurate visual aids, including charts and graphs, supported, focused, clarified and reinforced presentation. Accurate visual aids, including charts and graphs, added some support to presentation. Visual aids, including charts and graphs, had to be read to the audience and contained a few inaccuracies. Inaccurate or incomplete visual aids, including charts and graphs, detracted from presentation and were difficult to see and decipher. Nonverbal communication (professional manner, eye contact, etc.) added to purpose of presentation. Nonverbal communication was usually supportive of presentation. On a few occasions nonverbal communication was distracting. Nonverbal communication diverted audience attention from presentation’s purpose. Speaker was appropriately dressed and well-groomed, creating a positive impression on the audience. Speaker’s dress and grooming were adequate for the presentation. Some items of the speaker’s dress or grooming were distracting. Speaker was dressed and groomed for another occasion. Presentation was structured with definite beginning, middle and end. Beginning, middle, and end of presentation were present but not clearly identified. Beginning, middle, or end of presentation was difficult to define. Beginning, middle, or end of presentation was missing. Speaker’s main points were easy to follow and logical with points building on each other. Speaker’s main points were generally easy to follow and logical. Speaker’s main points were logical but difficult to follow. Speaker’s main points were so difficult to follow that their logic could not be determined, or they were illogical. Introduction engaged audience in topic and outlined what the speech was about. Introduction was interesting and provided a partial description of what the speech was about. Introduction was standard for the topic and hinted at what the speech was about. Introduction was uninteresting, and speaker jumped into presentation without outlining what the speech was to be about. Material was suited to length of presentation. Material was fairly well suited to the length of presentation. Speaker appeared to stretch or omit material to meet the length of the presentation. Speaker presented too much or too little material for length of presentation. Presentation came to suitable conclusion with main points clearly summarized. Conclusion was satisfying, but summary of main points was unclear. Conclusion seemed unsatisfying, and/or summary of main points was vague. Presentation ended abruptly without a conclusion or summary of key points. Organization How the information was put together; the flow of the presentation 20 points Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 5-24 SEM II 1.10 Report Research Findings Planning Guide Sheets Rubric: Oral Presentation Criteria Mechanics Practical application of skill; mechanical or functional details or procedures 20 points Professional Experienced Developing Novice Speaker’s terminology was familiar to the audience or clearly explained. Speaker used a few unfamiliar words and did not explain them but they could be understood from the context. Speaker used some technical terms and did not explain them. Speaker relied on the use of technical terms and did not explain them. Speaker’s word choices painted vivid, precise pictures of the topic. Speaker’s word choices were good, but did not trigger images. Speaker’s word choices were standard, but adequate. Speaker’s word choices were traditional and wordy. Speaker used correct grammar and standard English throughout the presentation. Speaker used correct grammar, occasionally incorporating slang into the presentation. Speaker made a few grammatical mistakes and used slang throughout the presentation. Speaker’s presentation was hampered by grammatical mistakes and reliance on slang. Speaker pronounced words correctly and clearly, making it easy for the audience to understand what was being said. Speaker pronounced words clearly but mispronounced a few words. Speaker occasionally mumbled and mispronounced words, making it difficult for the audience to understand what was being said. Speaker mumbled and mispronounced words, making it almost impossible for the audience to understand what was being said. Vocal pauses were used for emphasis rather than being filled with dead words such as “uh,” “and,” or “like.” Vocal pauses were not used for emphasis. Speaker occasionally filled pauses with dead words. Speaker filled pauses with dead words such as “uh,” “and,” or “like” throughout presentation. Speaker’s use of notes was not distracting and/or noticeable. Speaker’s actions occasionally called attention to the use of notes. Speaker occasionally fumbled with notes. Speaker constantly fumbled with notes. Presentation tools were used smoothly and were not distracting. Use of presentation tools attracted minor, but not negative attention. Use of presentation tools occasionally detracted from the presentation. Use of presentation tools hampered the presentation. Speaker supported presentation with clear and easy-to-see visual aids that used correct grammar and spelling. Speaker’s visual aids were clear, easy to see, and contained few errors in spelling or grammar. Speaker’s visual aids contained many errors in grammar and spelling and required concentration to see and understand. Speaker’s visual aids were too small/faint/dark to be seen easily and contained so many spelling and grammatical errors that they detracted from the presentation. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 5-25 SEM II 1.11 Promotional Investments Planning Guide Sheets Knowledge/ Skill Statement Performance Element 1.11 Objectives Understands the concepts and strategies needed to communicate information about products, services, images, and/or ideas to achieve a desired outcome Manage promotional activities to maximize return on promotional investments. (PR:155) a. b. c. d. e. f. Performance Activity Categorize types of objectives for sponsoring sports/events. Explain objectives for sponsoring sports/events. Discuss the benefits associated with corporate sponsorship objectives. Explain the relationship between sponsorship objectives and being able to evaluate sponsorship effectiveness. Describe considerations in setting sponsorship objectives. Demonstrate procedures for setting sponsorship objectives Note to the Instructor: Review and present the Setting Sponsorship Objectives briefing (pp. 5-32—5-33) to students in a lecture or discussion format. Listen to a businessperson’s presentation about why her/his company sponsored a sport/event. Determine the factors assessed in setting up the sponsorship objectives. Write a synopsis of the presentation. Resources Textbooks Clow, K.E, & Baack, D. (2010). Integrated advertising, promotion, and marketing communications (4th ed.) [pp. 370-371]. Upper Saddle River, NJ: Prentice Hall. Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (p. 320). New York: Glencoe/McGraw-Hill. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 316317, 324-334, 336]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 302, 305]. Morgantown, WV: Fitness Information Technology. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 333]. Upper Saddle River, NJ: Pearson Prentice Hall. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 196-197). New York: John Wiley & Sons. Software/ Online Barez, A.; Manion, M.T.; Schoepfer, K.L.; & Cherian, J. (2007). Global cases of effective sports sponsorship: An exploration of a new communications model. Retrieved May 30, 2012, from http://businessperspectives.org/journals_free/im/2007/im_en_2007_03_Barez.p df Friedman, S. (2012). Sponsorship: A key to powerful marketing. Retrieved May 30, 2012, from http://marketing.about.com/od/eventandseminarmarketing/a/sponsorship.htm Hunt, J. (n.d.). Sponsorship objectives. Retrieved May 30, 2012, from http://www.petoskeyschools.org/hunt.ja.t/SponsorshipObjectivesII.pdf Plachta, D. (2012). Corporate sponsorship: Managing your brand assets. Retrieved May 30, 2012, from http://bedfordgroupconsulting.com/resources/whitepapers/sports-marketing/ SponsorMap. (2010, June 2). SponsorMap as an add-on for a brand tracker. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.11 Promotional Investments Planning Guide Sheets Retrieved May 30, 2012, from http://www.sponsormap.com/sponsormap-as-aadd-on-for-a-brand-tracker/ Smolianov, P., and Aiyeku, J. (2009). Corporate marketing objectives and evaluation measures for an integrated television advertising and sports event sponsorships. Retrieved May 30, 2012, from http://www.tandfonline.com/doi/abs/10.1080/10496490902901977 1.11/ PR:155 Assessment – Promotional Investments 70.Wheelz wants to market its product line of in-line skates to young males under the age of 35. Which of the following sponsorship opportunities would best attract the exposure the company seeks on a very limited budget: A. Olympic opening ceremony C. Pro-football game B. Extreme-sporting event D. Affinity-sporting event PR:155 71. What type of sponsorship objective involves bartering for goods and services? A. Cost avoidance C. Activation B. Revenue generation D. Promotion PR:155 1.11/ PR:155 Assessment KEY– Promotional Investments 70. B Extreme-sporting event. Extreme sports (e.g., skateboarding, surfing, snowboarding, skiing, and inline skating) have been gaining in popularity over the past decade. They are most often enjoyed by a viewing audience that is made up of males 34 and under. It only makes sense that a manufacturer of in-line skates would benefit the most from sponsoring an extreme-sporting event, particularly one that includes in-line skating. Pro-football games appeal to a much larger (and often older) male audience, and their sponsorships are quite costly. The opening ceremony of the Olympics is watched by billions of people worldwide, thereby making a sponsorship opportunity for a business on a limited budget cost prohibitive. Affinity-sporting events appeal to individuals who follow nontraditional sports, such as bass fishing and rock climbing. Although they provide great sponsorship opportunities for small businesses, WheelZ would receive the most benefit from recognition that is consistent with its product line of in-line skates. SOURCE: PR:155 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (pp. 80-82). Mason, OH: South-Western. 71. A Cost avoidance. An event organization must determine what it wants from its sponsors before it can develop a sponsorship program—it must set sponsorship objectives. A common type of objective is cost avoidance, which means that the event will do what it can to reduce its expenses. One way to do this is to barter for goods and services. For example, an event organization might consider providing a printing company with a free, full-size ad in a program if the printing company will print the event program free of charge. In this situation, the event organization is avoiding paying for the program's printing costs. Revenue generation objectives focus on obtaining money from sponsors. Activation objectives involve using a combination of strategies to develop a relationship between the event and the sponsor that creates awareness (e.g., brand, event), drives ticket sales, etc. Cost avoidance, revenue, and activation objectives might include promotion-oriented goals for the event and the sponsor. SOURCE: PR:155 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 144147). New York: John Wiley & Sons. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Briefing: Setting Sponsorship Objectives Page 5-28 Types of Sponsorship Objectives Two types of sponsorship objectives are: Direct sponsorship objectives, which have a short term impact on consumer behavior and are focused on increasing sales Indirect sponsorship objectives, which lead to the long-term growth of the sponsor by generating product awareness and image before people buy the product Objectives for Sponsoring Sports/Events Corporations sponsor sports/events to: Benefits Associated with Corporate Sponsorship Objectives Sponsorships gives the sports marketer the resources to: Evaluating Sponsorship Objectives Methods to evaluate the effectiveness of sponsorship include: Establish or improve their image Promote their products (and increase sales) Display goodwill Obtain access and exposure to the events’ target markets Outpace competition (become a sponsor before one’s competitors do, thus blocking them out) Package their product Promote their product Deliver their product Media exposure o Evaluating the number of stories and mentions in the media Sales figures pre-and post-event Surveys and in-depth interviews o Gauging the image, attitudes, and awareness of events, sponsors, and products Considerations Potential sponsors must ask how a particular sport/event will achieve marketing and organizational goals: in Setting What is the financial cost of the sponsorship? Sponsorship What is the fan attendance at the event, and what are the fans’ Objectives demographics? What is the length of the contract? What type of media coverage will there be (e.g., TV, radio, etc.)? What are the sponsorship benefits? Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM II 1.11 Promotional Investments Planning Guide Sheets Setting Sponsorship Objectives A “buying center”—which consists of employees responsible for evaluating and selecting sponsorship options—should be established. Four roles in this buying center include: Gatekeepers o Control the flow of information to the others o Act as an initial filtering device Influencers o Have input into the decision, usually based on their connections with the sports entity requesting sponsorship Decision maker(s) o Are ultimately responsible for accepting or rejecting proposals Purchasers o Are responsible for negotiating contracts and carrying out the terms of the sponsorship once the decision is made Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-30 Knowledge/ Skill Statement Performance Element 1.12 Understands the concepts and actions needed to determine client needs and wants and respond through planned, personalized communication that influences purchase decisions and enhances future business opportunities Performance Indicator Prospect for corporate sponsors (SE:324) Objectives a. b. c. d. Performance Activity Prospect for corporate sponsors to renovate the school’s football stadium. Write an analysis of the situation, and present it to your instructor for review. Perform pre-sales activities to facilitate sales presentation. Explain the importance of ongoing prospecting for corporate sponsors. Discuss factors to consider in selecting potential corporate sponsors. Identify techniques for identifying potential corporate sponsors. Demonstrate procedures for prospecting for corporate sponsors. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp. 178-179). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 97, 309]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 336337]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [p. 132]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 301-304, 309]. Morgantown, WV: Fitness Information Technology. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [p. 348]. Upper Saddle River, NJ: Pearson Prentice Hall. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 166-168, 186-190, 206-207). New York: John Wiley & Sons. Software/ Online The Active Network. (2012). Building and attracting event sponsors. Retrieved May 30, 2012, from http://www.activenetwork.com.au/event-managementresources/articles/how-to-get-sponsors-for-an-event.htm Brockmeier, J. (2009, August 31). Corporate sponsors and event funding: Ask early, not often. Retrieved May 30, 2012, from http://dissociatedpress.net/2009/08/31/corporate-sponsors-and-event-fundingask-early-not-often/ Brookins, M. (2011, August 9). How to get sponsors for your event. Retrieved May 30, 2012, from http://www.ehow.com/how_2203053_sponsors-event.html Hard, R. (2012). Special event planners identify sponsorship categories for fundraising events. Retrieved May 30, 2012, from http://eventplanning.about.com/od/eventplanningbasics/a/event-sponsors.htm Kiel, K.A. (2011). 7 tips for securing sponsors for your fundraising event. Retrieved May 30, 2012, from http://www.thefundraisingauthority.com/fundraisingevents/securing-sponsors-for-your-event/ Mojica, R. (1995-2012). How to find, charm, and keep corporate sponsors. Retrieved May 30, 2012, from http://www.idealist.org/info/Nonprofits/Dev2 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-31 1.12/SE:324 ASSESSMENT – Pre-sales Activities 93.Sport/Event marketers often identify the sponsorship potential of a specific business by researching the company's sponsorship history and understanding its A. sponsorship objectives. C. financial policies. B. manufacturing methods. D. quantity standards. 94. Which of the following would an event marketer most probably contact when seeking sponsorship for an upcoming auto race: A. Nonprofit organizations C. Athletic competitors B. Related businesses D. Charitable organizations 1.12/SE:324 ASSESSMENT KEY – Pre-sales Activities 93. A Sponsorship objectives. Sport/Event organizations often qualify their sponsorship prospects so they do not expend energy appealing to businesses that will mostly likely not consider sponsorship options. To determine if a business is a potential sponsor, the sport/event organization often looks to the business's sponsorship history (e.g., who, when, how much). When developing sponsorship relationships, it is important for the sport/event organization and sponsors to have compatible images and goals. Therefore, it is important for the sport/event organization to understand the potential sponsors' sponsorship goals. Sponsors do not always manufacture or produce goods. Financial policies are the rules that employees must follow regarding company financial matters. Quantity standards are the established specifications used to measure the amount of work produced. SOURCE: SE:324 SOURCE: SponsorVision® (2002). Professional sponsorship selling handbook (p. 21). Tacoma, WA: Author. 94. B Related businesses. Related businesses are those businesses that have some association with the specific event. Related businesses often are interested in sponsoring events because there is a logical connection between their products and the type of event. In the example of auto racing, related businesses might include automobile dealerships and automotive supply companies. Also, the customers of related businesses are more likely to attend the events, which allows the businesses to reach their target market. Athletic competitors are the individuals who compete in sporting events. Charitable organizations often receive revenue from events organized for the specific purpose of supporting the charity. Nonprofit organizations often do not have additional funds that could be used for event sponsorship and are frequently the recipients of funds raised through events. SOURCE: SE:324 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (1993). Sport marketing (pp. 216-217). Human Kinetics Publishers. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Knowledge/ Skill Statement Understands the concepts and actions needed to determine client needs and wants and respond through planned, personalized communication that influences purchase decisions and enhances future business opportunities Performance Element 1.13 Conduct post-sales follow-up activities to foster ongoing relationships with customers. Performance Indicator Develop proof-of-performance packages for sponsors (SE:325) Objectives a. b. c. d. e. f. g. Performance Activity Page 5-32 Define the term “proof-of-performance package.” Explain the purposes for developing proof-of-performance packages for sponsors. Describe ways that proof-of-performance packages support sponsorship sales. Discuss the components of proof-of-performance packages. Explain sources of information that are useful in developing proof-ofperformance packages. Identify measures that can be used in developing proof-of-performance packages. Demonstrate procedures for developing proof-of-performance packages for sponsors. Collaborate with a sport/event director to develop a proof-of-performance package for sponsors. Write a synopsis of your findings, and submit it and the proof-ofperformance package to your instructor for review. Resources Textbooks Supovitz, F. (2005). The sports event management and marketing playbook (pp. 197-205). New York: John Wiley & Sons. Software/ Online Allen, S. (n.d.). 12 steps to sponsorship success. Retrieved May 30, 2012, from http://www.evancarmichael.com/Women-Entrepreneurs/2856/12-Steps-ToSponsorship-Success.html CBS Outdoor. (2012). Proof of performance. Retrieved May 30, 2012, from https://www.cbsoutdoor.com/tools/proofofperformance.aspx Garland, R; Charbonneau, J.; & Macpherson, T. (2008). Measuring sports sponsorship effectiveness: Links to existing behavior. Retrieved May 30, 2012, from http://businessperspectives.org/journals_free/im/2008/im_en_2008_1_Garland. pdf 1.13/SE:325 Assessment – Client Needs and Wants 1. Why should sport/event marketers develop proof-of-performance packages for sponsors? A. To provide information about the facility C. To list the important participants B. To explain the type of sport/event D. To help sponsors justify the investment Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-33 1. D To help sponsors justify the investment. Sponsors expect a certain return on their investment when they contribute to a sport/event. To help sponsors justify their investment, sport/event marketers should develop proof-of-performance packages that describe the benefits the sponsors received. For example, a proof-of-performance package might explain the number of advertising exposures and translate that information into the number of potential customers that were reached. The package might describe how the sponsor's brand or image was promoted. Besides the number of people who attended the event, the proof-of-performance package might include an estimate of the number of people who viewed the event on television or read about it in the newspaper. The goal is to reinforce the belief that sponsoring a particular sport/event was a worthwhile investment. Marketers explain the sport/event, list important participants, and provide information about the facility during the process of seeking sponsorships. SOURCE: SE:325 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 278-279]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-34 Knowledge/ Skill Statement Understands the concepts and actions needed to determine client needs and wants and respond through planned, personalized communication that influences purchase decisions and enhances future business opportunities Performance Element Employ sales processes and techniques to enhance customer relationships and to increase the likelihood of making sales. Performance Indicator 1.14 (Part 1) Objectives Sell venue (SE:319) Performance Activity Note to the Instructor: Review and present the Selling a Venue Briefing (p. 5-39) to students in a lecture or discussion format. a. b. c. Explain considerations in selling a venue. Discuss incentives that can be offered when selling a venue. Demonstrate procedures for selling a venue. Identify the features/benefits of a local venue in which a sport/event of your choice could be held. Determine what, if any, incentives you will offer the customer. Roleplay a sales situation in which you sell the venue to a classmate. Switch roles with the classmate so that your classmate assumes the sales-person’s role. Debrief identifying strengths and weaknesses of the presentations. Resources Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp. 306-308). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [p. 204]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 158159, 351-357]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 314-316, 319-321]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 23-25]. Morgantown, WV: Fitness Information Technology. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 99-109). New York: John Wiley & Sons. Software/ Online Crompton, J., & Howard, D. (2003). The American experience with facility naming rights: Opportunities for English professional football teams. Retrieved May 30, 2012, from http://www.tandfonline.com/doi/abs/10.1080/1360671032000148585 McCollough, L. (n.d.). Sell your venue’s uniqueness. Retrieved May 29, 2012, found at http://www.acomonline.org/HotelExecutive2_9.06.pdf Schley, S. (2011, September 1). Sports biz: Brother, can you spare a luxury suite? Retrieved May 30, 2012, from http://www.cobizmag.com/articles/sports-bizbrother-can-you-spare-a-luxury-suite1 Steinbach, P. (2008, August). Concessions – Concessions contracts capitalizing on consumers’ brand loyalty. Retrieved May 30, 2012, from http://athleticbusiness.com/articles/article.aspx?articleid=1838&zoneid=37 1.14 (Part 1)/SE:319 ASSESSMENT 83. One reason it is important to sell the venue is because the venue is part of the Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets A. market. B. facility. Page 5-35 C. location. D. product. 1.14 (Part 2)/SE:319 ASSESSMENT KEY 83. D Product. The venue is the building or place where the sport or event occurs. Therefore, the venue is part of the product because spectators experience the sport or event in that facility or location. Selling the venue is part of selling the product because if spectators are not satisfied with the venue, they may not attend the sport or event. For example, if a concert hall is in poor condition or located in an unsafe part of town, people may not buy tickets to a concert because they do not like the venue. The venue is the facility or location. The market is a customer or a potential customer who has an unfulfilled desire and is financially able and willing to satisfy that desire. SOURCE: SE:319 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [p. 125]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Briefing: Selling a Venue Page 5-36 Considerations Sportscape is the physical surroundings of a venue that impact spectators’ desire to attend, stay at, and ultimately return to a venue and/or event. Factors in Selling a impacting the overall sportscape of the venue include: Venue Newness of the venue Aesthetics or beauty of the venue Seat comfort (Comfortable seating draws more fans.) Ease of layout (i.e., degree to which spectators can move freely about the venue) Cleanliness of venue (Fans are more likely to attend a clean venue.) Perceived crowding (Fans are less likely to attend a crowded venue) Adequate parking, access to public transportation (An ease of entry/egress results in spectators being willing to come to and return to the event.) Reasonably priced snack foods Incentives to Offer When Selling a Venue Incentives to offer when selling a venue include: Sponsor naming rights for venue Signage and exclusive advertising (i.e., sponsor’s competitors are not allowed to advertise at the venue) Information booths/tents, which are a source of sales leads Activity centers promoting the sponsor’s goods or services Exclusive sales rights of sponsor’s products or services (e.g., a beer company sponsor being the only vendor of beer on the facility) Procedures to Follow When Selling a Venue When presenting a venue to a sponsor, emphasize the following: Sportscape of the venue Match-up between event’s needs and venue’s assets Giveaways (e.g., special seating, event apparel, VIP lounge, etc.) Ability to match sponsor’s objectives with layout of venue Signage promoting sponsor Sponsor as sole advertiser Naming rights given to sponsor Uniqueness of venue 1.14 (Part 1)/ Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-37 Knowledge/ Skill Statement Understands the concepts and actions needed to determine client needs and wants and respond through planned, personalized communication that influences purchase decisions and enhances future business opportunities Performance Element Employ sales processes and techniques to enhance customer relationships and to increase the likelihood of making sales. Performance Indicator 1.14 (Part 2) Objectives Sell sport/event sponsorships (SE:321, SE LAP 127) a. b. c. d. e. Performance Activity Explain the importance of developing a mutually rewarding business relationship when selling sponsorships. Identify frequently encountered problems with sponsorship sales. Discuss the importance of creating value for sponsors. Describe considerations in the sponsorship sales process. Demonstrate procedures for selling sponsorships. Participate in a role-play situation in which you sell a sport/event sponsorship to a classmate. Reverse roles. Provide feedback to each other identifying the strengths and weaknesses of the sales situation. Resources LAPs MBA Research and Curriculum Center. (2005). Make the match (Selling sponsorships) [LAP: SE-127]. Columbus, OH: Author. MBA Research and Curriculum Center. (2005). Make the match (Selling sponsorships): Instructor copy [LAP: SE-127]. Columbus, OH: Author. Textbooks Farese, L.S., Grossman, D.A., Nicholson, G., & Wardinski, P.A. (2005). Sports and entertainment marketing (pp. 179-182). New York: Glencoe/McGraw-Hill. Kaser, K., Oelkers, D.B. (2008). Sports and entertainment marketing (3rd ed.) [pp. 68-69, 309]. South-Western, Cengage Learning. Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [pp. 336337]. Champaign, IL: Human Kinetics. Pedersen, P.M., Parks, J.B., Quarterman, J., & Thibaoult, L. (2011). Contemporary sport management (4th ed.) [pp. 264-265]. Champaign, IL: Human Kinetics. Pitts, B.G., & Stotlar, D.K. (2007). Fundamentals of sport marketing (3rd ed.) [pp. 301-306]. Morgantown, WV: Fitness Information Technology. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 331333]. Upper Saddle River, NJ: Pearson Prentice Hall. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 144-145, 147-148, 202-205). New York: John Wiley & Sons. Software/ Online Allen, S. (n.d.). 12 steps to sponsorship success. Retrieved May 30, 2012, from http://www.evancarmichael.com/Women-Entrepreneurs/2856/12-Steps-ToSponsorship-Success.html Brookins, M. (2011, August 9). How to get sponsors for your event. Retrieved May 30, 2012, from http://www.ehow.com/how_2203053_sponsors-event.html Callaway, C. (2011, July 15). How to contact businesses for sponsorship. Retrieved May 30, 2012, from http://www.ehow.com/how_8742272_contact-businessessponsorship.html Friedman, S. (2012). Sponsorship: A key to powerful marketing. Retrieved May 30, 2012, from http://marketing.about.com/od/eventandseminarmarketing/a/sponsorship.htm Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-38 Hunt, J. (n.d.). Sponsorship objectives. Retrieved May 30, 2012, from http://www.petoskeyschools.org/hunt.ja.t/SponsorshipObjectivesII.pdf MBA Research and Curriculum Center. (2005). Make the match (Selling sponsorships) [LAP: SE-127: Presentation Software]. Columbus, OH: Author. Plachta, D. (2012). Corporate sponsorship: Managing your brand assets. Retrieved May 30, 2012, from http://bedfordgroupconsulting.com/resources/whitepapers/sports-marketing/ 1.14 (Part 2)/SE:321 ASSESSMENT 88. Your hockey team receives free skates from Nike as part of Nike's payment of its sponsorship fee. This arrangement is known as A. exploitation. C. exclusivity. B. relationship marketing. D. value in kind (VIK). SE:321 89. To create or maintain a certain image, companies sponsor sport/event organizations that display characteristics they want consumers to associate with their products. This is one way of enhancing A. relationship marketing. C. exclusivity. B. sales and sampling opportunities. D. public relations. SE:321 90. Bank of America is the only bank affiliated with your sport/event organization. This benefit is called A. value in kind (VIK). C. "ownership." B. exclusivity. D. presenting sponsorship. SE:321 91. Taco Bell doesn't want its message to get lost among the messages of your team's other sponsors, so you offer to name the pregame show "The Taco Bell Pregame Report." This benefit is called A. sales and sampling opportunities. C. exclusivity. B. "ownership." D. fund-raising opportunities. SE:321 92. Which of the following is the first step in a sponsorship presentation: A. Create interest in your organization or event. B. Give event details. C. Create interest in the sponsorship opportunity. D. Explain how the prospective sponsor can get involved. SE:321 1.14 (Part 2)/SE:321 ANSWER KEY 88. D Value in kind (VIK). VIK is a benefit that gives sport/event organizations lower costs on the goods and services they need. This arrangement allows a sponsor to pay part or all of its fee with goods or services rather than cash. Nike providing free skates to a hockey team it sponsors is an example of a VIK arrangement. Exploitation is a sponsor's investment in advertising and promoting the organization or event above and beyond the basic partnership. Relationship marketing is a strategy in which businesses spend time with current and prospective clients outside the office setting to enhance the partnership. Exclusivity is the sponsor's privilege of being the only company in Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-39 its particular category of goods or services. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 89. D Public relations. When companies sponsor sport/event organizations that display characteristics they want consumers to associate with their products, they enhance public relations. Most sponsors are trying to either create or maintain a certain image. Associating with a sport/event organization helps them do so. For example, luxury car makers like to associate with sports that consumers view as "classy," such as golf or sailing. Relationship marketing is a strategy in which businesses spend time with current and prospective clients outside the office setting to enhance the partnership. It enhances business-to-business relations, not public relations. Associating with a sport/event organization because of its characteristics and qualities does not have an impact on exclusivity or sales and sampling opportunities. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 90. B Exclusivity. Exclusivity is the sponsor's privilege of being the only company in its particular category of goods or services. By being the only bank affiliated with your sport/event organization, Bank of America is enjoying exclusivity. Value in kind (VIK) is an arrangement in which the sponsor pays part or all of its fee with goods or services. "Ownership" is the sponsor's opportunity to "own" part of the event, such as the pregame show or the MVP award. Presenting sponsorship is a partnership in which the sponsor's name succeeds the event's name, such as the Grand Ole Opry presented by Cracker Barrel Old Country Store. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 91. B "Ownership." "Ownership" is the sponsor's opportunity to "own" part of the event, such as the pregame show or the MVP award. Naming the pregame report for Taco Bell gives the company "ownership" in your event. Exclusivity is the sponsor's privilege of being the only company in its particular category of goods or services. The pregame show doesn't affect exclusivity, sales and sampling opportunities, or fund-raising opportunities. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 92. A Create interest in your organization or event. The first step in a sponsorship presentation is to create interest in your organization or event. Creating interest in the sponsorship opportunity, giving event details, and explaining how the prospective sponsor can get involved all come after this step. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-40 Knowledge/ Skill Statement Performance Element Understands the concepts and strategies needed to communicate information about products, services, images, and/or ideas to achieve a desired outcome Performance Indicator 1.15 Write/Prepare sponsorship proposal (PR:211) Objectives a. b. c. d. e. Manage promotional activities to maximize return on promotional investments. f. Performance Activity Define the term “sponsorship proposal.” Discuss the need for sponsorship proposals. Identify components of sponsorship proposals. Describe characteristics of effective sponsorship proposals. Explain the importance of using statistics to support claims in sponsorship proposals. Demonstrate procedures for writing a sponsorship proposal. Note to the Instructor: Review and present the Writing Sponsorship Proposals Briefing (pp. 5-44—5-46) to students in a lecture or discussion format. Collaborate with a classmate to write/prepare a sponsorship proposal for a sport/event of your choice. Share the proposal with the class, and obtain feedback. Submit the sponsorship proposal to your instructor for review. Resources Textbooks Mullin, B.J., Hardy, S., & Sutton, W.A. (2007). Sport marketing (3rd ed.) [p. 336]. Champaign, IL: Human Kinetics. Shank, M.D. (2009). Sports marketing: A strategic perspective (4th ed.) [pp. 331333]. Upper Saddle River, NJ: Pearson Prentice Hall. Supovitz, F. (2005). The sports event management and marketing playbook (pp. 186-188, 197-201). New York: John Wiley & Sons. Software/ Online The Active Network. (2012). Building and attracting event sponsors. Retrieved May 30, 2012, from http://www.activenetwork.com.au/event-managementresources/articles/how-to-get-sponsors-for-an-event.htm AFL. (2012). Sponsorship. Retrieved May 29, 2012, from http://www.aflcommunityclub.com.au/index.php?id=262 Hard, R. (2012). Special event planners identify sponsorship categories for fundraising events. Retrieved May 30, 2012, from http://eventplanning.about.com/od/eventplanningbasics/a/event-sponsors.htm Nakate, S. (2011, July 30). Sponsorship proposal template. Retrieved May 29, 2012, from http://www.buzzle.com/articles/sponsorship-proposal-template.html Singh, V. (2009, January 30). Sponsorship Proposals: 10 ideas that will get you cash in this recession. Retrieved May 29, 2012, from http://www.allaboutpresentations.com/2009/01/sponsorship-proposals-10-ideasthat.html 1.15/ PR:211 ASSESSMENT 75. When writing a proposal for a potential sponsor, sport/event marketers should clearly emphasize sponsorship value and A. deadlines. C. benefits. B. liability. D. confidentiality. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-41 1.15/PR:211 ASSESSMENT KEY 75. C Benefits. Sponsorship is defined as an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. When selling sponsorships, it is important to explain to prospective sponsors what they will get out of their financial investment in terms of benefits and value. Sponsors are often concerned with factors such as their image, amount of exposure, and the level of hospitality that they receive. Liability is defined as the debts, usually money, that an individual or business owes to another entity. Deadlines often refer to due dates to make a decision or complete an activity. Although deadlines are often a consideration in some situations, it is generally not the primary focus of the sponsorship proposal. Confidentiality refers to a level of privacy. Businesses generally become sponsors to generate name recognition or reinforce brand awareness rather than secure their privacy. SOURCE: PR:211 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 274, 277]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 What Is a Sponsorship Proposal? Planning Guide Sheets A suggested marketing exchange with benefits for both the sponsor and event/sport. Why Is a Sponsorship Proposal Needed? Page 5-42 The sponsor benefits by being able to be associated with the sport or event The event/sport benefits by receiving funding and/or product. A formal sponsorship proposal: Shows the professionalism of event organizers Serves as the basis for discussion among corporate decision makers Is a way to market the event for sponsorship Components of A sponsorship proposal includes: Sponsorship objectives – How will the sponsorship benefit the corporation a Sponsorship being queried? For maximum results the proposal should show maximum Proposal benefit to the sponsor’s institutional goals and objectives. These objectives may be to: o Increase product awareness—This results in increased sales of sponsor’s product or services. o Stamp out competing advertisers—Sponsorship may guarantee that only the sponsor is free to advertise during the event. o Reaching new target markets—The sponsorship should match the demographics of the target audience with products or services the sponsor generates. This is called the match-up hypothesis. For example, financial advisor companies sponsor golf tournaments while beer producers sponsor events attended by younger people, i.e. baseball and football. o Image building, improving how consumers see the sponsor Sponsorship budgets—Without money, the most meaningful objectives will never be met. If the objectives are considered sound, managers will find a way to allocate funds to the sponsorship. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Characteristics of Effective Proposals Planning Guide Sheets Page 5-43 Effective sponsorship proposals answer the following questions: What is the benefit to the sponsor? o Build brand awareness. o Generate sales leads. o Build corporate image. Who is the audience in attendance? o Match-up hypothesis: Demonstrate that audience demographics are favorable to the sponsor’s goods or services. o Generate a list of audience demographics to demonstrate to the sponsor that the audience is receptive to their goods or services. (e.g., Real estate companies do not sponsor rock concerts because teens are not their target audience.) Why will the audience come to the event? o Have a marketing plan. o Demonstrate how crowd will be drawn in to event. o Show media plan: number of ads, types of ads, social media. How will sponsorship target the audience? o Show how sponsor’s brand will be used. T-shirts Banners Signage Program of events What are the credentials of the organizer? o Show sponsor that the event will be executed as planned. o List relevant event executives and their experience. o Show successes of previous events. o Identify previous sponsors. o Include numbers of attendees to previous events. Who are the other sponsors? o Avoid having competitor as co-sponsor. o Show how other sponsors do not detract from this sponsor. What is the cost? o Last item on proposal o Cost-benefit analysis – Use previous events to show how sponsorship increased sales/raised brand awareness/generated positive publicity. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 5 Planning Guide Sheets Page 5-44 Characteristics of Effective Proposals (cont’d) Effective sponsorship proposals also: Identify the competition. o Show how similar events have helped sponsors. o Show how competition is marketing their event and how yours is better. Generate ideas to help the sponsor. o Innovative ways to maximize benefits per dollar spent o Special activities to promote sponsor’s project o Souvenir sales with sponsor’s brand Market your event. o Include package of images from previous events. o Include testimonials from other sponsors, competitors, audience. o Include PR and news clippings showing success. Focus on benefits to sponsor, not on image of event. o Sponsorship decisions are based on numbers, not on “feeling good” about the event. o Demonstrate how sponsorship will solve problems for the sponsor. Importance of Statistics to Support Claims in Proposals Corporations focus on profits, not community service. Show how sponsoring an event/sport will benefit the corporation’s bottom line. Include: Writing a Sponsorship Proposal Basic rules for writing a sponsorship proposal are: Give yourself plenty of lead time. o At least six months before event for small to medium budgets o At least one year for large budgets Keep proposal to one or two pages. Demonstrate benefits to sponsor. Demonstrate return on investment. State contract length and costs to sponsor. Find out to whom the proposal should be addressed and their official title.—Spell the names and addresses correctly. Find out the company's sponsorship criteria.—What do they want out of a sponsorship relationship? Type your proposal, and take care with the layout. Be accurate and precise with your information.—Busy people do not want to spend hours reading a proposal, trying to find out what is being offered. Make an appointment to 'sell' your proposal in person. Be prepared when making your presentation.—Sell the sponsorship. Before and after sales figures from previous sponsors Number of sales leads generated by previous sponsors Number of positive news articles from previous or similar events Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 6 Introduction to Projects Projects for Grand Slam Page 6-45 Instead of using traditional classroom instructional methods (i.e., lectures), teachers can incorporate hands-on projects that become the instructional method through which students acquire understanding of the content. To that end, learning outcomes from various instructional areas are grouped together as the curricular backbone of multiple projects that could be incorporated into the Grand Slam: Advanced Sport/Event Marketing course. Students may address these learning outcomes simultaneously, rather than in the sequential manner occurring in traditional courses. The learning outcomes, therefore, are not specified for coverage during a specific week of the semester, but are tied to projects and can be acquired at any point during the project. In addition to the performance indicators addressed in each project, additional components are included to guide instruction. These components include: Project Title Each project is identified with a project title that captures the intent of the activity. The two projects provided in Section 6 of the Grand Slam: Advanced Sport/Event Marketing course guide are: And Now a Word From Our Sponsor. . . The Main Event Overview A short summary of each project is provided. Timeframe A number of weeks for each project is specified to guide teachers in allocating class time for students to master the performance indicators and complete all project activities. The timeframes are flexible to allow teachers leeway with scheduling. Briefings For some topics, instructors should provide mini-lectures, referred to as Briefings. A topical outline for each Briefing is provided with the corresponding planning guide sheet in Section 5. Entry Events To catch students’ attention and get them interested in the projects, an entry event has been recommended for each project. Driving Questions Each project addresses a “driving question” that encapsulates the purpose of the activity, the problem to be solved, or the question to be answered. Checkpoints These represent the various opportunities for student assessment: deliverables, quizzes, tests, and exams. Instructors should make every effort to adhere to the timeframe specified so that students have adequate time to master the performance indicators associated with projects. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 6 Projects for Grand Slam Project Title And Now a Word From Our Sponsor. . . Overview And Now a Word From Our Sponsor. . . familiarizes students with processes and procedures used to identify and sell to prospective sport/event sponsors. During the project, students work in groups to help local sport/event directors locate and build relationships with businesses interested in becoming sponsors for the different games and events. With the assistance of its partnering sport/event director, each group develops a proof-of-performance package for sponsors, prospects for corporate sponsors, and sells sport/event sponsorships for the particular sport/event to local businesses. Timeframe 3 ½ weeks Performance Indicators Students should master the following performance indicators during the project through their research efforts or through briefings. The page numbers for the planning guide sheets are cited after each statement. Page 6-46 Prospect for corporate sponsors (SE:324) (SP) (pp. 5-34 – 5-35) Sell sport/event sponsorships (SE:321, SE LAP 127) (SP) (pp. 5-40 – 5-41) Develop proof-of-performance packages for sponsors (SE:325) (SP) (p. 5-36) Briefings There are no briefings associated with this project. Entry Event To get students thinking about sport/event sponsorships, show them the slideshow entitled “NASCAR Sponsors: Good, Bad, Bizarre,” located at http://www.ocregister.com/articles/cars-341644-sport-sell.html?pic=1. As students watch the slideshow, ask them to keep a list of the cars’ different sponsors— including sponsors who appear on the cars but aren’t mentioned in the captions. After viewing the slides, ask the students to discuss ways in which sponsorships benefit the drivers, racing teams, and the sponsors themselves. In addition to identifying the advantages of sponsorships, encourage them to talk about possible disadvantages of a sponsorship. Finally, ask the driving question. Driving Question What area businesses are interested in sponsoring local sports/events? Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Section 6 Checkpoints Projects for Grand Slam Details Finding a Sport/Event Director to Help Divide the class into groups of four students each. Instruct each group to develop a list of four to six local sports/events that are likely to need and/or use sponsors. Learning More About the Sport/Event After the groups have secured a sport/event partner to work with, group members should conduct primary and secondary research to learn more about the sport/event (e.g., nature of the sport/event product, target audience, sport’s/event’s past use of sponsors, etc.). Each group should compile its findings in a written report and submit it to the instructor for review. Developing Proof-ofPerformance Packages At this point in the project, each group should develop a multimedia proof-of-performance package for possible sport/event sponsors. Push students to be creative and incorporate multiple contemporary media (e.g., print, video, etc.) in their work. Page 6-47 Assessment Complete/ Incomplete After identifying the different sports/events, group members should contact the individual(s) in charge of these sports/events and ask these individuals if they are interested in receiving assistance in identifying and securing new sponsors. Hopefully, at least one sport/event director will be interested in having the group of sport/event marketing students help him/her. Hence, each group of students should partner with the organizers of a different sport/event. Each group should present and explain its proof-ofperformance package to the class and instructor for input and advice. Following its presentation, each group should revise its proof-of-performance package as appropriate, based on any feedback received. After revising their work, students should give oral presentations to their partnering sport/event directors to present their proof-of-performance packages. They should note the directors’ comments and suggestions and modify their work as necessary to satisfy the directors. Students should submit their finalized proof-of-performance packages to the instructor for review. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Written Report Rubric (pp. 5-24—5-25) Quiz: Developing Proof-ofPerformance Packages for Sponsors Section 6 Checkpoints Prospecting for Corporate Sponsors Projects for Grand Slam Details Lead a class discussion to identify possible corporate sponsors in the local area. These might be businesses that have sponsored sports/events in the past, they might be new businesses, or they might be established businesses that for whatever reason have not acted as corporate sponsors for any sport/event in the past. After listing these possible sponsors on the board/screen, direct each group to identify the six to 10 businesses that it believes would “fit” best with the group’s sport/event. Following this activity, each group should conduct further research to determine whether the businesses that it selected truly are likely potential sponsors for its sport/event. Group members should write an analysis of their conclusions and present it to the instructor and class for feedback. If multiple groups identified the same business as a good potential sponsor, help the class to determine which group—or both— should contact the business about sponsoring a sport/event. If the instructor and/or students deem it necessary, each group should inform its partnering sport/event director of its prospective corporate sponsors. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 6-48 Assessment Quiz: Prospecting for Corporate Sponsors Section 6 Checkpoints Selling Sport/Event Sponsorships Projects for Grand Slam Details Direct each group to contact its prospective sponsors and set appointments to meet with business owners, managers, or other responsible staff to discuss sponsoring a local sport/event. After setting the appointments, each group should develop a sales presentation to sell the sport/event sponsorship to each business it will be visiting. (Encourage each group to set appointments with at least three different businesses.) Each group should participate in a role-play situation in which group members sell a sport/event sponsorship to the instructor and/or classmates. The instructor and/or class should provide feedback to the group identifying the strengths and weaknesses of its sales presentation. Students should modify their sales presentations as appropriate. Following its practice session, each group should meet with its prospective sponsor and attempt to sell a sport/event sponsorship to each. Students should report the outcome(s) of these meetings to the instructor and partnering sport/event directors. Since formalizing the sponsorships now becomes each sport/event director’s responsibility, students should provide as much information as possible about their meetings with interested businesses (e.g., names of the individuals they met with, any specific requests that these individuals/businesses made, etc.). That way, the sport/event directors can take over the process smoothly and successfully. Encourage the sport/event directors to let the students know the outcome of the work they started. Ask them to tell the students which businesses signed on as corporate sponsors, what special arrangements were made with the different businesses, etc. That way, students learn how they, ultimately, assisted the sport/event directors in securing corporate sponsors. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page 6-49 Assessment Quiz: Selling Sport/Event Sponsorships Section 6 Projects for Grand Slam Appendix A Sample Semester Exams for Grand Slam: Advanced Sport/Event Marketing Page 6-50 SEM2 Mid-Term Assessment (Unit A) 1. Which of the following is an unfair, anticompetitive trade practice in sport/event marketing: A. Trademark infringement C. Employee strike B. Loss prevention D. Sponsorship exclusivity BL:058 2. Which law makes restraining free trade and competition illegal? A. The Sherman Antitrust Act C. The National Labor Relations Act B. The Lanham Act D. The Sports Broadcasting Act of 1961 BL:058 3. When a league blocks the broadcast of a certain game in a certain territory, it is known as a(n) A. antitrust violation. C. injunction. B. blackout. D. right of publicity. BL:058 4. Which of the following is an unacceptable place to use an athlete's or celebrity's identity without his/her permission: A. In a magazine C. In a book B. On your company's advertisements D. On the news BL:058 5. The best way to avoid buying counterfeit tickets to a game/event is to purchase them A. from reputable scalpers. C. at an online auction site. B. several months in advance. D. at official ticket outlets. BL:058 6. Which of the following presents the greatest challenge for U.S. companies when developing a plan to sell movies in foreign countries: A. Language barrier in promotion C. Uncertainty about government policies B. Cost of foreign monetary exchange D. Lack of interest by foreign customers EC:059 7. When a sporting-goods manufacturer decides to sell to businesses located in another country, it should consider the country's A. profit margins. C. cost of goods. B. trade restrictions. D. selling motives. EC:059 8. Which of the following are trade barriers that are likely to limit a sport-equipment manufacturer's ability to export its products to foreign countries: A. Trade agreements and industrialization C. Quotas and tariffs B. Licenses and outputs D. Globalization and embargoes EC:059 9. Salaries, contracts, and profit sharing are often the issues that create conflicts between sports' leagues and A. team owners. C. individual managers. B. sponsoring organizations. D. players' associations. EC:053 10. When professional athletes negotiate salaries, playing conditions, and contract terms as a single unit, their union is engaging in A. competitive advantage. C. free agency. B. labor resistance. D. collective bargaining. EC:053 11. When negotiations between a players' union and the owners' organization cannot be reached, the players might vote to determine if they should A. go on strike. C. become free agents. B. play for international leagues. D. ask for fan support. EC:053 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 12. Which of the following is an example of range: A. Most consumers buy four CDs per month. B. Consumers buy an average of five CDs per month. C. Consumers buy between three and seven CDs per month. D. Half of all consumers buy more than five CDs per month. IM:191 (SUPPLEMENTAL) 13. What do researchers often use to summarize and interpret vast amounts of numeric information? A. Research questionnaires C. Hypothetical samples B. Descriptive statistics D. Independent variables IM:191 (SUPPLEMENTAL) 14. A business that conducts research and finds that most of its customers visit the business four times a week has identified the A. median. C. mean. B. mode. D. range. IM:191 (SUPPLEMENTAL) 15. Which of the following must coincide when using descriptive statistics in order to have normally distributed data: A. Range, dispersion, confidence interval B. Ordinal, nominal, binomial C. Mean, median, mode D. Standard deviation, percentiles, pictorial representations IM:191 (SUPPLEMENTAL) 16. When making marketing decisions, businesses often analyze research that is expressed as a mean, median, or mode, which are estimates often referred to as the A. predictability curve. C. central tendency. B. graphic representation. D. distribution share. IM:191 SUPPLEMENTAL) 17. One of the main portions of a marketing report describes the research methods and the A. industry review standards. C. technical terminology. B. data collection procedures. D. consulting expenses. IM:192 18. Which of the following is a characteristic of an effective marketing report: A. Explains role of executive management C. Provides industry review information B. Contains names of contributing editors D. Answers specific research questions IM:192 19. The main portion of a marketing report that explains the research findings should include A. summaries and recommendations. C. data-collection procedures. B. technical appendixes and indexes. D. supporting tables and graphs. IM:192 20. When writing marketing reports, researchers should make sure that they include a section about A. populations. C. regulations. B. qualifications. D. limitations. IM:192 21. Copies of questionnaires, interview forms, and other technical documents are often included in what part of a marketing report? A. Analysis C. Summary B. Introduction D. Appendix IM:192 22. An effective method of presenting complex report findings and recommendations to a large group of managers involves the use of A. scientific data. C. informal outlines. B. computer software. D. handmade graphics. IM:193 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 23. Stephanie has completed a market-research project to identify changing consumer trends that will affect her company and its market position. She has learned many interesting demographic trends occurring in the population. What type of data should she include in her report to management? A. Information that is relevant to the marketing decisions that management must make B. All the information collected so management can decide what is important C. Information that applies only to people not currently part of the target market D. Information that applies only to the company's current target market IM:193 24. What part of a marketing-research report would be mentioned only briefly in an oral presentation? A. Research methods C. Pertinent data B. Relevant information D. Research findings IM:193 25. An effective technique to use when giving an oral presentation of report findings and recommendations is to keep the presentation A. relatively simple. C. free from detail. B. technically oriented. D. on a complex level. IM:193 26. Businesses collect marketing information from other sources in order to find out what is happening in the A. research department. C. parent corporation. B. external environment. D. internal organization. IM:187 27. Businesses often collect marketing information from customers in order to learn which products A. earn the highest profits. C. sell best in certain locations. B. meet specific design standards. D. qualify for vendor discounts. IM:187 28. A business that randomly surveys 200 customers to learn their opinions about a new product is collecting __________ marketing information. A. scientific C. primary B. confidential D. technical IM:187 29. The first step that a business should take when collecting marketing information from its customers is to A. develop a rating scale. C. obtain secondary data. B. determine the survey method. D. define research objectives. IM:187 30. What should businesses try to achieve when manipulating data for information analysis? A. Exploratory research C. Program development B. Secondary information D. Accurate interpretation NF:185 31. Which of the following is useful marketing information that a business might obtain by analyzing a customer database: A. Expense involved in developing a customer database B. Average customer is married, owns home, earns $50,000 a year C. Federal identification numbers for current and past customers D. Total sales for each month of the previous year NF:185 32. When marketing researchers review the level of affiliation between two variables, they are evaluating the ___________ of data components. A. affirmation C. sensitivity B. predictability D. correlation NF:185 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 33. When analyzing the historical data in a data warehouse, which of the following is true of its data: A. Related data are grouped together in folders. B. The data change as modifications are made to the database. C. The data are static. D. Data maintain the uniqueness provided in their operational applications. NF:185 34. Which of the following is a trend in the sport/event industry: A. Premium seating options are yielding less revenue for sport/event facilities than other types of seating. B. Relationship marketing is becoming less important to sport/event organizations as technology evolves. C. Due to the high level of media clutter, fewer businesses are participating in sport/event sponsorships. D. Sport/Event facilities are evolving into complete entertainment centers with interactive activities. NF:065 35. The NHL, the NFL, and the CFL are becoming more interested in investing in the development of recreational sports for youths in order to A. appeal to low-income individuals. C. comply with local regulations. B. encourage sedentary lifestyles. D. attract more fans. NF:065 36. One reason that seat licenses and premium seating are growing trends in sport/event marketing is because these practices are A. sales policies. C. advertising methods. B. pricing strategies. D. revenue sources. NF:065 37. An event organizer is most likely to receive grant or foundation funding if the event A. benefits the community. C. includes celebrity appearances. B. has national media coverage. D. appeals to a large target market. SE:348 38. What does trade dress protect? A. The distinctive logo/graphics of a good or service B. The distinctive slogan of a good or service C. The distinctive appearance/image of a good or service D. The distinctive name of a good or service PM:153 39. Professional sport franchises' marks are considered service marks because of A. the food and souvenir stands at sporting events. B. the agility of professional athletes. C. ticket sales. D. the entertainment value of sporting events. PM:153 40. What should every sport organization do before registering a trademark? A. Hire "logo cops" to look for counterfeit merchandise B. Conduct a trademark search for conflicting/similar marks C. Develop a licensing program D. Offer guidelines for consumers on how to distinguish real products from fake PM:153 41. What does the license grant portion of the license agreement specify? A. The exact begin and end dates of the contract and processes for contract renewal B. Procedures to review the licensee's work C. Which properties are being licensed and what types of merchandise will be produced D. Details regarding payments Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 42. What portion of the license agreement specifies the exact begin and end dates of the contract? A. License grant C. Warranties and obligations B. Term D. Restrictions and requirements PM:153 43. The selection of a particular entertainer to endorse a new product should be directly linked to the company's A. distribution. C. image. B. profitability. D. personality. PM:151 44. When an event planner seeks celebrity endorsements for an upcoming event, s/he should make sure they are credible and A. resourceful. C. neutral. B. innovative. D. trustworthy. PM:151 45. What do athletes sometimes hire to help them organize charity tournaments? A. Marketing firms C. Agents B. Sponsors D. Recruiters PM:143 46. A sport/event planner contacting a local business about supporting an upcoming tennis tournament is an example of following up with potential A. participants. C. paying customers. B. corporate sponsors. D. spectators. SE:323 47. The National Hockey Association has just drafted Ty Hartman. Ty hires Amanda Bingham to help him make sound business decisions, and to negotiate endorsement contracts with well-known companies. Amanda is Ty's A. sponsor. C. mentor. B. agent. D. publicist. PM:143 48. A business that uses advertised specials to attract customer interest should use displays to __________ that interest. A. reinforce C. surmount B. overcome D. displace PR:076 49. Which of the following is an example of coordinating promotional activities: A. A business advertises a product and mails free samples to consumers. B. A business develops an annual schedule for window displays. C. A famous athlete endorses a product in television and magazine ads. D. Members of the distribution channel share advertising costs. PR:076 50. Many businesses coordinate a wide variety of promotional activities such as advertising, special events, and displays in order to A. spread out promotional funds. C. maintain appearances. B. reach a large audience. D. keep employees occupied. PR:076 51. Which of the following might a business lose if it fails to inform its employees about the goods and services being promoted: A. Sales C. Basics B. Image D. Credit PR:076 52. A business coordinates its advertising, visual merchandising, and special events in order to A. develop policies. C. attract customers. B. forecast sales. D. improve relations. PR:076 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 53. In which of the following situations might a business decide to increase the percent of net sales that it allocates to its promotional budget: A. Radio stations are charging more. C. Consumers want more coupons. B. Suppliers want more coverage. D. Competitors are spending more. PR:098 54. A guideline to follow when preparing promotional budgets is to keep them flexible because they are A. concepts. C. forecasts. B. objectives. D. techniques. PR:098 55. How much would a business budget for promotion next year if it allocates 10% of expected sales for promotional activities, this year's sales were $2.5 million, and the business estimates a 5% increase in sales for the coming year? A. $262,500 C. $250,000 B. $255,000 D. $265,500 PR:098 56. What is the primary factor that marketers must consider when allocating funds to the promotional budget? A. Promotional mix C. Inventory levels B. Corporate accounting system D. Organization's size PR:098 57. A small start-up company that sells its products to other businesses might consider allocating a large portion of its promotional budget to __________ activities. A. publicity C. research B. advertising D. personal selling PR:098 58. To obtain operating funds, a not-for-profit sport camp for underprivileged children might seek A. grant or foundation monies. C. capital-improvement loans. B. celebrity endorsements. D. tax refunds from the community. SE:348 59. The main characteristic of a full-service advertising agency is that it A. does not limit its services to promotion. B. does not provide services to individuals. C. specializes in providing creative services. D. specializes in buying media time and space. PR:081 60. One of the benefits to a business of using an advertising agency is that the A. business can promote its products less expensively. B. agency has an objective view of the marketplace. C. business will not need to prepare a promotional budget. D. agency may represent one of the business's competitors. PR:081 61. Which of the following is a factor that businesses often consider when selecting advertising agencies: A. Accounting system C. Work environment B. Performance record D. Staff organization PR:081 62. A characteristic of a full-service advertising agency is that it contains a A. creative department. C. printing facility. B. television studio. D. talent agency. PR:081 63. One reason why many businesses contract with advertising agencies is to obtain A. marketing strategies. C. copywriting services. B. free publicity. D. operational advice. PR:081 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 64. Which of the following is an example of publicity in the sport/event industry: A. The national soccer league secures advertising spots on network television stations. B. A business owner purchases baseball uniforms and equipment for a Little League team. C. A local newspaper prints a human-interest story about a college volleyball player. D. The International Olympic Committee elects a new president to its governing board. PR:136 65. Sport/Event marketers use public-relations strategies to create and maintain A. low profiles. C. specific images. B. suitable illusions. D. indifferent attitudes. PR:136 66. The primary objective of developing sport/event public-relations strategies is to A. encourage local businesses to purchase more tickets, concessions, and merchandise. B. develop positive relationships with corporate sponsors and advertisers. C. promote publicity efforts with key members of the media and business community. D. establish a feeling of goodwill with all of the organization's fan bases. PR:136 67. Which of the following statements is true regarding the importance of fan support to sport/event activities: A. Without ongoing fan support, a performer's popularity or an organization's profitability decreases. B. Building fan support involves public-relations strategies designed to increase short-term sales. C. Large sport/event organizations are usually more successful in building fan support than smaller organizations. D. Most sport/event marketers consider spectators their most important fan base. PR:136 68. Sport/Event organizations need to build positive relationships with the media because they have A. the means to spread news to the masses. B. very few regulations that they must follow. C. the ability to control advertising sponsors. D. little control over what is considered newsworthy. PR:136 69. Sending newsletters, acknowledging efforts, providing extra benefits, and asking opinions are ways that event organizers A. improve their brands. C. encourage vendor loyalty. B. advertise their products. D. service their sponsors. SE:326 70. Wheelz wants to market its product line of in-line skates to young males under the age of 35. Which of the following sponsorship opportunities would best attract the exposure the company seeks on a very limited budget: A. Olympic opening ceremony C. Pro-football game B. Extreme-sporting event D. Affinity-sporting event PR:155 71. What type of sponsorship objective involves bartering for goods and services? A. Cost avoidance C. Activation B. Revenue generation D. Promotion PR:155 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 72. Which of the following is an example of a sport/event community outreach project: A. The XYZ magazine publishes a story about a high-profile rock star who has survived cancer. B. A soccer team works with local businesses and the media to create school mediation programs. C. A well-known track star speaks to government legislators about athletes' illegal use of steroids. D. The coordinator of an annual jazz festival applies for operating permits with government officials. PR:195 73. What is a benefit to a sports team of coordinating outreach projects with local community organizations? A. Generates public support for a team C. Decreases the need to advertise B. Attracts athletes from other sports D. Improves relations with the media PR:195 74. When should sport/event organizers consider hiring a promotional agency? A. Before corporate sponsors have been secured B. If a large event is scheduled in many cities over time C. After a small event has established a positive reputation D. Upon hiring additional personnel to oversee promotional efforts PR:210 75. When writing a proposal for a potential sponsor, sport/event marketers should clearly emphasize sponsorship value and A. deadlines. C. benefits. B. liability. D. confidentiality. PR:211 76. When preparing a sponsorship agreement, it is important for the sport/event to include detailed information concerning the sponsor's A. marketing rights. C. financing sources. B. selling policies. D. hiring practices. PR:212 77. A sponsorship agreement between a sport team and a local business should A. benefit both parties. C. guarantee results. B. provide tangible rewards. D. include third-party input. PR:212 78. An athletic shoe company that has no association with the Olympic games runs a television commercial congratulating a track star for winning two gold medals. This is an example of A. sales promotion. C. ambush marketing. B. copyright infringement. D. nondesignated sponsorship. PR:198 79. Which of the following is an example of a viral marketing strategy: A. A blimp displaying a sporting-goods retail chain logo flies over a football stadium. B. A stadium banner shows a graphic of an ice-cold glass of a favorite soft drink. C. An e-mail sender asks the message receiver to forward the message to 10 friends. D. A local restaurant places a poster of a supplier's product near the building entrance. PR:199 80. Which of the following is an example of using a special event as a sales-promotion strategy to increase ticket sales: A. Advertising prices in a community publication B. Holding a contest during a game or performance C. Using telemarketers to contact a target audience D. Planning an interview with a popular columnist PR:213 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 81. Which of the following is an example of a sales promotion that uses a special event to increase high attendance rates at a professional baseball game: A. Baseball statistics and articles are printed in the team's program. B. Free autographed baseballs are given to the first 100 attendees on little-league day. C. The team's logo merchandise is sold in the retail store located in the stadium. D. Concession stands offer bundled food and beverage items for a low price. PR:213 82. What variable might increase attendance at a professional soccer game? A. A postgame dinner for team players and their families B. Mass distribution of the team's sports program to the fans and media C. Offering a wide variety of food and beverages at the concession stands D. A pregame autograph and photo session for fans with the team's players PR:214 83. One reason it is important to sell the venue is because the venue is part of the A. market. C. location. B. facility. D. product. SE:319 84. An important part of negotiating a sport/event sponsorship contract involves both the sport/event and the sponsor agreeing on the A. date and time of the sport/event. C. size and interest of the audience. B. fee and payment schedule. D. cost of planning and production. SE:322 85. Which of the following is an activity that agents perform on behalf of the athletes they represent: A. Team contract negotiations only C. Various contract negotiations B. Hall of fame endorsements D. Team valuation services PM:143 86. Immediately following a meeting with a potential event sponsor, an event organizer should A. adjust the pricing options in order to obtain the sale. B. fax a copy of the proposal to the decision maker. C. ask the meeting participants for sponsorship referrals. D. send a thank-you card to each of the meeting participants. SE:323 87. Because a prospective sponsor may have questions about the sponsorship proposal, an event organizer should plan to A. reinforce important deadlines. C. evaluate sponsorship activities. B. conduct follow-up activities. D. discuss sponsorship benefits. SE:323 88. Your hockey team receives free skates from Nike as part of Nike's payment of its sponsorship fee. This arrangement is known as A. exploitation. C. exclusivity. B. relationship marketing. D. value in kind (VIK). SE:321 89. To create or maintain a certain image, companies sponsor sport/event organizations that display characteristics they want consumers to associate with their products. This is one way of enhancing A. relationship marketing. C. exclusivity. B. sales and sampling opportunities. D. public relations. SE:321 90. Bank of America is the only bank affiliated with your sport/event organization. This benefit is called A. value in kind (VIK). C. "ownership." B. exclusivity. D. presenting sponsorship. SE:321 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® SEM2 Mid-Term Assessment (Unit A) 91. Taco Bell doesn't want its message to get lost among the messages of your team's other sponsors, so you offer to name the pregame show "The Taco Bell Pregame Report." This benefit is called A. sales and sampling opportunities. C. exclusivity. B. "ownership." D. fund-raising opportunities. SE:321 92. Which of the following is the first step in a sponsorship presentation: A. Create interest in your organization or event. B. Give event details. C. Create interest in the sponsorship opportunity. D. Explain how the prospective sponsor can get involved. SE:321 93. Sport/Event marketers often identify the sponsorship potential of a specific business by researching the company's sponsorship history and understanding its A. sponsorship objectives. C. financial policies. B. manufacturing methods. D. quantity standards. SE:324 94. Which of the following would an event marketer most probably contact when seeking sponsorship for an upcoming auto race: A. Nonprofit organizations C. Athletic competitors B. Related businesses D. Charitable organizations SE:324 95. By assigning a staff member to communicate and coordinate activities with each of its sponsors, a sport/event organization facilitates goodwill by A. creating expanded advertising opportunities. C. processing special orders. B. maximizing mass-media exposure. D. providing efficient, ongoing service. SE:326 96. Obtaining the right to name a sport or entertainment event is often one of the objectives of a(n) A. franchise arrangement. C. affiliation. B. sponsorship. D. licensing agreement. PR:155 97. Why should sport/event marketers develop proof-of-performance packages for sponsors? A. To provide information about the facility C. To list the important participants B. To explain the type of sport/event D. To help sponsors justify the investment SE:325 98. What do amateur sport organizations often solicit in order to be able to operate? A. Grant money C. Free publicity B. Media coverage D. Playing time SE:348 99. Which of the following is an example of a governing body in the sport industry: A. International Olympic Committee C. Washington Nationals Baseball Team B. NCAA Men's Basketball Championship D. Rahal Letterman Lanigan Racing PD:279 100. Marketers often develop and publish a promotional calendar of events in order to use the calendar as a(n) A. pricing document. C. advertising tool. B. policy guide. D. operating system. PR:209 Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 1. A Trademark infringement. Trademark infringement is an unfair, anticompetitive trade practice. Loss prevention, employee strikes, and sponsorship exclusivity are all legal issues in sport/event marketing and are not unfair or anticompetitive trade practices. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 2. A The Sherman Antitrust Act. During the nineteenth century, much of the economic power in the United States was concentrated in a very small number of companies. To counteract the trend and open up the market to competition, Congress passed the Sherman Antitrust Act based on its constitutional power to regulate commerce between the states. The Sherman Act makes restraining free trade and competition illegal. One company or group of companies cannot hold a monopoly over a certain industry. The Lanham Act regulates trademarks. The National Labor Relations Act gives all workers the right to organize into unions to collectively bargain and strike. The Sports Broadcasting Act of 1961 allows professional sport leagues to pool their broadcasting rights and sell them as a package to television networks. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 3. B Blackout. When a league blocks the broadcast of a certain game in a certain territory, it is known as a blackout. Since the Sports Broadcasting Act of 1961 gives leagues a limited antitrust exemption, it is not an antitrust violation. An injunction is a court order that stops a certain activity until a trial begins. Right of publicity laws give a person the exclusive right to use her/his name and likeness for profit. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 4. B On your company's advertisements. It's perfectly fine to use an athlete's or celebrity's identity in a book, on a television news show, in a newspaper, or in a magazine; but sport/event marketers must learn where to draw the line between freedom of expression and violations of right of privacy and right of publicity. Using the identity on your company's advertisement would be unacceptable without written consent and payment. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases 5. D At official ticket outlets. The best way to avoid buying counterfeit tickets to a game/event is to purchase them at official ticket outlets. There is a chance of getting fake tickets even from a "reputable" scalper or over the Internet. Buying tickets in advance does not ensure that the tickets are real. SOURCE: BL:058 SOURCE: BA LAP 10—Cover Your Bases Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 6. C Uncertainty about government policies. Foreign governments may change the rules and regulations of commerce at any time. Foreign customers are often interested in the entertainment that the United States has to offer. The monetary systems would be built into the cost of transactions. Although U.S. consumers do not favor movies in which the English has to be dubbed in, foreign viewers appear not to mind watching English films with their language dubbed in. Language translation is commonplace and easily accessible. SOURCE: EC:059 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (p. 210). Mason, OH: South-Western. 7. B Trade restrictions. Trade restrictions are barriers that a nation imposes, which hinders a sportinggoods manufacturer's ability to do business in other nations. Types of trade restrictions include tariffs, quotas, and embargoes. Suppose the sporting-goods manufacturer wants to sell baseball gloves to a business in another country that has a very high tariff (tax) on sporting-goods. If the tariff is too high, the costs (taxes) may exceed the benefits (e.g., profits) of selling the baseball mitts to businesses in the other country. The sporting-goods manufacturer considers its profit margins, its cost of goods, and its selling motives rather than those of the other country. SOURCE: EC:059 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 77-79). New York: Glencoe/McGraw-Hill. 8. C Quotas and tariffs. Trade barriers are regulations, policies, and actions that limit trade among nations. Quotas, tariffs, licenses, and embargoes are trade barriers. Quotas limit the quantity of goods that move into or out of the country. Tariffs are taxes that countries place on imported goods. Licenses are permits that a nation grants to businesses that want to import or export goods. Some nations limit the number of licenses they grant. An embargo is a policy that suspends all import-export trade with another country. Embargoes are used for political reasons or during hostilities. Favorable trade agreements encourage trade among two or more countries. Globalization is not a trade barrier, but the rapid and unimpeded flow of capital, labor, and ideas across national borders. Industrialization is the changeover from producing goods by hand labor to the use of machines and the organization of such production into industries. Outputs are the goods and services produced as the result of combining inputs. Industrialization and outputs are not trade barriers that nations implement to control imports and exports. SOURCE: EC:059 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2009). Marketing essentials (pp. 76-80). Woodland Hills, CA: Glencoe/McGraw-Hill. 9. D Players' associations. In professional sports, the players' associations are the labor unions that represent the athletes. The associations function the same as unions in other industries. Consequently, the conflicts are often the same and usually involve salaries, contracts, and profit sharing. The unions try to negotiate for higher salaries, better contracts, and more profit sharing for players. On the other side, the sports' leagues represent the owners and managers, and their goal is to control costs. Team owners and individual managers are represented by sports' leagues rather than by players' associations. Sponsoring organizations are businesses or other groups that pay to associate their names or products with a sporting event. SOURCE: EC:053 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (pp. 278-279). Mason, OH: South-Western. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 10. D Collective bargaining. Collective bargaining is defined as the negotiating process in which union leaders and sport organization (owner) representatives engage to determine the terms and working conditions to be provided to athletes. Free agency refers to an athlete's ability to renegotiate his/her contract with his/her existing team or with another team. Labor resistance is a general term that might describe an unwillingness to cooperate. Players' unions are formed to protect the rights and interests of players, which does not always include or result in resistance. Competitive advantage is the advantage achieved by a nation from specializing in and producing goods and services at which it is relatively most efficient. SOURCE: EC:053 SOURCE: Graham, S., Neirotti, L.D., & Goldblatt, J.J. (2001). The ultimate guide to sports marketing (2nd ed.) [pp. 302-304]. New York: McGraw-Hill. 11. A Go on strike. The purpose of players' unions is to protect each player's rights and interests in terms of playing conditions, contracts, and salaries as a single unit. If players and owners cannot agree on terms (e.g., NHL and salary caps), the players might decide to not play or to go on strike. Since games are not occurring, revenue is not being generated, employees are not working, and consumer spending decreases. Free agency refers to an athlete's ability to negotiate his/her contract with his/her existing team or with another team. Since contract requirements vary among sport leagues, rules regarding players becoming free agents vary and, therefore, are not always a union voting option. Depending on the terms of the players' contracts, players might decide to play for international leagues individually rather than as a group or union. Players do not generally vote to determine if they should ask for their fans' support. SOURCE: EC:053 SOURCE: Parks, J.B., & Quarterman, J. (2003). Contemporary sport management (2nd ed.) [pp. 302-304]. Champaign, IL: Human Kinetics. 12. C Consumers buy between three and seven CDs per month. Range is the distance between the smallest and largest value in a set of responses. In the example, three was the smallest number of CDs purchased and seven was the largest number. The distance between three and seven is the range. Range is often used to describe the relation between numbers, such as the variation between the number of CDs purchased. Mean is the average, such as consumers buying an average of five CDs per month. Mode is the most common response, such as most consumers buy four CDs per month. Median is the exact middle, such as half of all consumers buying more than five CDs per month. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [pp. 445446]. Mason, OH: South-Western Cengage Learning. 13. B Descriptive statistics. Researchers often use descriptive statistics to summarize and interpret the vast amounts of numeric information they collect. Descriptive statistics include measurements such as mean, mode, median, range, and standard deviation. These types of measurements help researchers to summarize numeric information in terms of number of responses, frequency of use, average distribution, and various other relationships. Researchers often use questionnaires to obtain numeric information. Researchers do not use hypothetical samples or independent variables to summarize and interpret numeric information. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 525-527). Boston: Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 14. B Mode. The mode represents the number that occurs the most often. In this example, the mode is four because most of the business's customers visit the business four times a week. The mean is the average number of times customers visit the business. The median is the middle number which indicates that half of the customers visit more often and half of the customers visit less often. Range is the distance between the fewest number of visits and the most number of visits. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Zikmund, W.G., & Babin, B.J. (2010). Exploring marketing research (10th ed.) [p. 445]. Mason, OH: South-Western Cengage Learning. 15. C Mean, median, mode. Mean is the average, median is the exact middle, and mode is the most common response. When the mean, median, and mode coincide in statistics, you have normally distributed data that is indicated by a symmetrical, pictorial representation (curve). The alternatives do not indicate normally distributed data. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Burns, A.C., & Bush, R.F. (2000). Marketing research (3rd ed.) [pp. 429-430, 498-501]. Upper Saddle River, NJ: Prentice Hall. 16. C Central tendency. To obtain useful marketing information, researchers often survey a representative group of the market segment (sample). After collecting the data, researchers assign numerical values to the responses. The typical value (response) of the set of numerical values is referred to as the central tendency. Researchers can measure central tendency as a mean, median, or mode. To summarize the data, researchers might develop a visual representation of central tendency in a chart or graph format. Predictability curve and distribution share are fictitious terms. SOURCE: IM:191 (SUPPLEMENTAL) SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (pp. 170171). New York: Glencoe/McGraw-Hill. 17. B Data collection procedures. One portion of a marketing report contains a detailed explanation and description of the research methods and how the data were collected. This section should explain what types of secondary data were used and how the primary data were collected (questionnaire, telephone survey, etc.). This section also should provide a description of the questions that were asked and a profile of the people who were surveyed. A detailed description of research methods and data collection procedures adds credibility to the report. Marketing reports do not describe industry review standards or consulting expenses. Technical terminology is explained throughout the report rather than in one specific section. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613-615). Boston: Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 18. D Answers specific research questions. One of the primary functions of a marketing report is to communicate the information that answers specific research questions. Businesses conduct research in order to obtain information that will help them solve problems and make marketing decisions. An effective marketing report should answer the questions that relate to the specific business problem for which the research was completed. An effective report answers questions by interpreting and summarizing the research findings and offering recommendations. Marketing reports do not need to contain the names of contributing editors, provide industry overview information, and explain the role of executive management in order to be effective unless these topics are related to the specific research questions. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613-615). Boston: Irwin/McGraw-Hill. 19. D Supporting tables and graphs. The main portion of a marketing report contains a detailed explanation and analysis of the research findings. This section should include supporting tables and graphs which present the research findings in an uncomplicated visual manner. Illustrating the research findings in tables and graphs is a way of presenting complicated information in a format that is easy for readers to see and understand. The main portion of a marketing report does not contain appendixes and indexes, summaries and recommendations, or data-collection procedures. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613-619). Boston: Irwin/McGraw-Hill. 20. D Limitations. Marketing reports should contain a section about limitations because all research is affected by certain outside events that have an effect on its accuracy. Limitations associated with marketing research usually involve sampling bias, measuring errors, time constraints, and limited finances. When preparing a marketing report, researchers should include information about these limitations in order to present an honest and fair representation of the findings. Limitations are part of any research project and should be presented openly in the report. Marketing reports usually do not contain separate sections about qualifications, regulations, or populations, although those topics may be discussed throughout the report. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 613-621). Boston: Irwin/McGraw-Hill. 21. D Appendix. The appendix is the part of a marketing report that follows the main part of the report. It often appears last and contains technical information and documents, such as copies of questionnaires and interview forms, which are not necessary for the main report. In most cases, the main part of the report refers to information that is provided in the appendix, which the reader may, or may not, choose to read. It is additional information that further explains the main part of the report. The summary provides an overview of the main points. The introduction usually contains background information. The analysis is usually part of the main body of the marketing report. SOURCE: IM:192 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 621). Boston: Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 22. B Computer software. The use of computer software enables researchers to develop computergenerated presentations in order to effectively explain complex report findings and recommendations to large groups. By using computer software, researchers can create a wide range of multimedia presentations that include text, graphics, sound, and video. These presentations hold the viewers' attention and graphically explain material that may be complex. Also, computer-generated presentations can be shown to large groups and are more professional looking than traditional presentation methods. The use of informal outlines and handmade graphics are not effective ways of effectively explaining complex report findings to large groups. Researchers may use computer software to create presentations that will explain scientific data. SOURCE: IM:193 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 624-625). Boston: Irwin/McGraw-Hill. 23. A Information that is relevant to the marketing decisions that management must make. When presenting report findings and inclusions, the researcher should include the information that is relevant to the marketing decisions to be made. Including all the information can overwhelm decision makers with confusing findings. Editing the findings to exclude relevant information may cause decision makers to draw incorrect conclusions. SOURCE: IM:193 SOURCE: Kotler, P. (2000). Marketing management (10th ed.) [pp. 105-114]. Prentice Hall. 24. A Research methods. An oral presentation includes the same information as the written report although the oral presentation of this information is handled differently because there are limitations on the amount of time available to give an oral presentation. Consequently, oral reports focus on explaining the research findings, which include relevant information and pertinent data. Explaining the research methods used to collect the information is not as important as explaining other parts of the report. Therefore, the research methods would be mentioned only briefly, if at all, in an oral presentation. In some situations, take-home copies of handouts that explain the research methods and other parts of the written report might be available after the oral presentation. SOURCE: IM:193 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (pp. 624-625). Boston: Irwin/McGraw-Hill. 25. A Relatively simple. During an oral presentation of report findings and recommendations, the audience has only a certain amount of time to hear and understand the information. Therefore, the presenter needs to keep the oral presentation relatively simple and use words and phrases that are easy to understand. The information needs to be organized in a simple and logical manner and presented so that the audience will be able to grasp the meaning in the time allotted. Keeping the presentation on a complex level or technically oriented might make it difficult for the audience to understand the findings and recommendations. As a rule, simple is better. Although the presentation should be fairly simple, it should still include enough detail to make the presentation meaningful. SOURCE: IM:193 SOURCE: Lesikar, R.V., Pettit, J.D., Flatley, M.E. (1999). Lesikar's basic business communication (8th ed.) [pp. 463-465]. Irwin/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 26. B External environment. It is important for businesses to collect marketing information from other sources in order to find out what is happening in the external environment. They need to know about the economy in general, any changes in demographics, legal or political situations, etc. This type of information is not available from within the business but must be collected from outside sources, such as industry or trade organizations, government agencies, and consumer reports. Businesses use both external and internal information in order to make marketing decisions and solve problems. Businesses collect internal information from their own research departments. Internal information is also available from the parent corporation and the organization itself. SOURCE: IM:187 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2009). Marketing essentials (pp. 612614). Woodland Hills, CA: Glencoe/McGraw-Hill. 27. C Sell best in certain locations. Some products sell better in certain locations than in others because different groups of consumers have different wants and needs. Businesses often collect marketing information from a cross-section of customers in order to find out which products sell the best in different locations. Businesses use this information in order to make their products available in the locations where customers are most likely to want and buy them. Businesses, rather than customers, will know if products meet specific design standards, earn the highest profits, and qualify for vendor discounts. SOURCE: IM:187 SOURCE: Churchill, G.A., Jr., & Peter, J.P. (1998). Marketing: Creating value for customers (2nd ed.) [pp. 116-117]. Boston: Irwin/McGraw-Hill. 28. C Primary. Primary marketing information is new information collected for the problem or project at hand. Many businesses collect primary marketing information from customers because customers are the ones who will buy and use the business's products. Knowing how customers feel about a new product will help the business to more effectively market the product. Conducting random surveys is one way to collect primary marketing information. The marketing information that businesses collect from customers is not necessarily scientific, confidential, or technical. SOURCE: IM:187 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 57). Boston: Irwin/McGraw-Hill. 29. D Define research objectives. Before collecting marketing data, a business must define the problem or objective of the research. Once the researchers know why they are collecting the information, they can determine where and how to collect it. Marketing research is not always obtained through surveys or secondary data sources. Rating scales are often developed to measure or qualify research results. Rating scales are generally developed after the research objectives are determined. SOURCE: IM:187 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2002). Marketing essentials (3rd ed.) [pp. 523-524]. Woodland Hills, CA: Glencoe/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 30. D Accurate interpretation. Businesses obtain a variety of information that must be analyzed in order to make it useful. While manipulating the data for information analysis, businesses should try to interpret it accurately in order to obtain information that will answer specific marketing questions. Many times, businesses can manipulate the data to obtain the answers they want. This practice will not help them solve problems or make good decisions if they interpret the data inaccurately. Exploratory research is a method of obtaining information. Secondary information is information that has already been collected for another purpose. Businesses develop a research program before interpreting data. SOURCE: NF:185 SOURCE: Hair, J.F., Jr., Bush, R.P., & Ortinau, D.J. (2000). Marketing research: A practical approach for the new millennium (p. 613). Boston: Irwin/McGraw-Hill. 31. B Average customer is married, owns home, earns $50,000 a year. The purpose of analyzing a customer database is to identify specific characteristics that the business can use to market its goods and services to customers. Businesses are better able to target their market if they know what type of customer makes up the market. For example, a business probably would use different techniques to sell to customers who are married, own their own homes, and earn $50,000 a year than to customers who are single, rent, and earn $25,000 a year, because these types of customers have different wants and needs. Federal identification numbers are provided to businesses and do not provide useful marketing information. A customer database will not provide information about total sales for each month or the expense involved in developing the database. SOURCE: NF:185 SOURCE: Kotler, P., Bowen, J.T., & Makens, J.C. (2010). Marketing for hospitality and tourism (5th ed.) [pp. 93, 114-121]. Upper Saddle River, NJ: Prentice Hall. 32. D Correlation. In terms of marketing research, correlation is the dependency of one variable on another variable or set of variables. The level of dependency can vary greatly. To predict means to estimate. One cannot usually estimate until a pattern or correlation between variables has been established. Sensitivity and affirmation are general terms that might describe an understanding nature. To understand the relationship between variables, a correlation must first be acknowledged. SOURCE: NF:185 SOURCE: Shao, A. (2002). Marketing Research: An Aid to Decision Making (2nd ed.) [p. 494]. South-Western. 33. C The data are static. Changes made to the data are recorded and tracked so that users can identify changes that occur over time. Therefore, the data are static—they do not change. Related data are linked together rather than being grouped together in folders. When data move into a data warehouse, they are made consistent with each other rather than maintaining the uniqueness of their various operational applications. SOURCE: NF:185 SOURCE: Telecommand. (2009). Retrieved February 28, 2011, from http://www.telecommand.com/content/data-warehousing Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 34. D Sport/Event facilities are evolving into complete entertainment centers with interactive activities. Facilities that have traditionally been used solely for sport events or concerts are now being used for many other activities. For example, the Nationwide Arena in Columbus, Ohio serves as the home playing rink for the NHL Blue Jackets as well as the arena football team, the Columbus Destroyers. The facility also hosts several concerts during the year. Some facilities are expected to add other types of amenities such as playgrounds, game rooms, and concessions for children. Trends indicate that sponsorships are continuing to increase, premium seating (e.g., luxury boxes) yields more revenue than other types of seating, and relationship marketing to fans is becoming more important as technology evolves. SOURCE: NF:065 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 387-389]. Champaign, IL: Human Kinetics. 35. D Attract more fans. The National Hockey League (NHL), the National Football League (NFL), and the Canadian Football League (CFL) have established programs encouraging youth participation in their sports. It is hoped that as the youths and their parents become more involved in the sports, they will want to follow and support major-league teams. The leagues do this to attract fans rather than comply with local regulations. This is quite contrary to a sedentary lifestyle, which is basically an unhealthy and inactive approach to living. Individuals who participate in recreational sports must pay for necessary sporting equipment, lessons, entry fees, memberships, and so forth. Therefore, marketing dollars are primarily targeted at higher income individuals. SOURCE: NF:065 SOURCE: Kaser, K., & Oelkers, D.B. (2001) Sports and Entertainment Marketing (pp. 220-221). South-Western Educational Publishing. 36. D Revenue sources. Many sport/event facilities are using permanent seat licenses and premium seating as revenue sources. These trends involve selling customers the right to buy tickets to events, or selling luxury boxes and suites, and seats in special sections of stadiums and arenas. Although premium seating is expensive, the demand continues to grow. Furthermore, stadiums and arenas encourage premium seating because it generates a sizeable amount of income even though that type of seating is a small part of the overall seating capacity. Consequently, many stadiums and arenas target this market even though it accounts for a small percentage of ticket buyers. Although these trends are a type of pricing strategy, they are used because they are ways of generating revenue rather than because they are pricing strategies. These practices are not advertising methods or sales policies. SOURCE: NF:065 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 385-386]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 37. A Benefits the community. Some event organizers ask the government or an independent organization for money, or a grant, to support certain event activities. To receive a grant, the requestor usually goes through an extensive application and interview process. Many applicants do not receive grant or foundation money because of the limited availability of money, which makes the process very competitive. Event organizers are more likely to receive grant or foundation funding if the event benefits the community. For example, an event to raise awareness about homelessness is more likely to receive grant money than a personal event, such as a family reunion or a wedding. Although criteria to qualify for grant or foundation funding varies by government agency or foundation organization, the amount of media coverage, the appearance of celebrities, and size of a target market are not usually the most important considerations. SOURCE: SE:348 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 7475). New York: John Wiley & Sons. 38. C The distinctive appearance/image of a good or service. Trade dress is a particular type of trademark that protects the distinctiveness of the appearance and image of a good or service. Slogans, logos, graphics, and names are protected by trademarks. SOURCE: PM:153 SOURCE: PM LAP 14—Permission Granted 39. D The entertainment value of sporting events. Because of the entertainment value of sporting events, professional sport franchises are considered a sport service, and their properties are considered service marks. Ticket sales, athletic agility, and food/souvenir stands do not make professional sport franchises a service. SOURCE: PM:153 SOURCE: PM LAP 14—Permission Granted 40. B Conduct a trademark search for conflicting/similar marks. Every sport organization needs to carry out a thorough search before registering a trademark, to make sure no conflicting or similar marks exist. Hiring logo cops, offering consumer guidelines, and developing a licensing program are all steps a sport organization would take after registering a trademark. SOURCE: PM:153 SOURCE: PM LAP 14—Permission Granted 41. C Which properties are being licensed and what types of merchandise will be produced. The license grant part of the contract specifies exactly which rights and properties are being licensed and what types of merchandise will be produced. It also contains a description of the exclusivity of the category. Details regarding payments are found in the compensation section. Procedures to review a licensee's work are found in the quality control part of the contract. The exact begin and end dates of the contract are found in the term section. SOURCE: PM:153 SOURCE: PM LAP 14—Permission Granted Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 42. B Term. The term section of the license agreement specifies the exact begin and end dates of the contract and describes the processes for contract renewal. The license grant part of the contract specifies exactly which rights and properties are being licensed and what types of merchandise will be produced. The warranties and obligations section lists the reasons the license can be terminated and spells out what will happen if either party violates the agreement. Restrictions and requirements are a separate section of the license agreement. SOURCE: PM:153 SOURCE: PM LAP 14—Permission Granted 43. C Image. Image is how a company wants the public to perceive it. The selection of a celebrity endorser will project a certain image to the public. Profitability refers to the ability of the company to make money after expenses. Distribution refers to all of the activities involved in moving or transferring the ownership of goods or services from producers to consumers. Personality involves the personal traits of an individual. SOURCE: PM:151 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (p. 146). Mason, OH: South-Western. 44. D Trustworthy. A celebrity endorsement is a statement of support or approval by a well-known person. Event planners should seek celebrity endorsements for an event (e.g., fundraiser for a charity) from people who have a good reputation and are known to be honest, credible, and trustworthy. Selecting people with these attributes tends to enhance the event's image as credible and trustworthy. The public is more likely to believe a respected, trustworthy person than someone with questionable ethics. The celebrity does not need to be innovative or resourceful. It's beneficial if the endorser has enthusiasm about the event rather than having a neutral attitude. SOURCE: PM:151 SOURCE: Shank, M.D. (2002). Sports marketing: A strategic perspective (2nd ed.) [pp. 367-370]. Upper Saddle River, NJ: Prentice Hall. 45. A Marketing firms. Organizing a charity tournament is a lot of hard work because of the many tasks that must be considered: time, place, budget, promotion, concessions, sponsorship, prizes, etc. Because athletes often don't have the time or the skills to carry out these tasks themselves, they sometimes rely on marketing firms to get the work done successfully. Sponsors are businesses, individuals, or organizations that pay the cost of promoting the charity tournament. Agents represent athletes in the legal matters such as contract negotiations. Recruiters search for and then try to convince talented athletes to play for a specific team. SOURCE: PM:143 SOURCE: Kaser, K., & Oelkers, D.B. (2001) Sports and Entertainment Marketing (p. 123). SouthWestern Educational Publishing. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 46. B Corporate sponsors. Sponsors are businesses or organizations that pay to associate their names or products with a sporting event. Sport/Event planners often contact local businesses about supporting upcoming events by either contributing money or supplies. Sponsors are important to the success of events so it is important for sport/event planners to follow up with potential sponsors to gain their support. Contacting a local business about supporting an upcoming tennis tournament is not an example of following up with potential participants, paying customers, or spectators. However, employees of the business might decide to attend because the business is a sponsor. SOURCE: SE:323 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 275-276]. Champaign, IL: Human Kinetics. 47. B Agent. Professional athletes often hire agents to help them with business matters. An agent is a person who acts in the best interests of the principal or client. The principal or client (Ty) gives the agent (Amanda) permission to make certain legal decisions on his behalf, such as negotiating endorsement contracts with well-known companies (e.g., Gatorade). Sponsors are businesses, individuals, or organizations that pay the cost of promoting an event. A mentor is an experienced worker who acts as a guide to a new employee. Professional athletes and celebrities often hire publicists to handle the media and publicity issues that affect them. SOURCE: PM:143 SOURCE: Fullerton, S. (2007). Sports marketing (p. 17). Boston: McGraw-Hill/Irwin. 48. A Reinforce. Customers are often drawn to a business because of its advertising, and the business's displays should reinforce this interest. Effective displays should have a positive effect on customer interest and promote the goods that are featured in advertised specials. Effective displays should not surmount, displace, or overcome customer interest. SOURCE: PR:076 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (p. 367). New York: Glencoe/McGraw-Hill. 49. A A business advertises a product and mails free samples to consumers. Promotional activities are coordinated when two or more different types of activities, such as advertising and sales promotion, are combined in order to achieve a goal. Cooperative advertising occurs when advertising costs are shared by members of the distribution channel. Using the same theme for ads in different media, such as an endorsement by an athlete, and developing a display schedule, are examples that demonstrate only one type of promotional activity. SOURCE: PR:076 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (p. 367). New York: Glencoe/McGraw-Hill. 50. B Reach a large audience. Businesses know that it is more effective to coordinate a wide variety of promotional activities rather than relying on only one type in order to reach a large audience. Some customers are more influenced by newspaper ads while others pay attention to special events. Coordinating the various types often increases the appeal to a larger audience. Spreading out promotional funds, keeping employees occupied, or maintaining appearances are not purposes of coordinating promotional activities. SOURCE: PR:076 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (p. 367). New York: Glencoe/McGraw-Hill. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 51. A Sales. The purpose of coordinating promotional activities is to bring customers into the business and increase sales. Informing employees about the goods and services being promoted is an activity that should be coordinated. If employees are not aware of the promotion or the goods and services being promoted, they will not be able to help customers and persuade them to buy. By not informing employees about the goods and services being promoted, the business runs the risk of losing sales. Image is the way in which a business is viewed by others. Basics are staple goods. Credit is the ability to obtain products or money based on a promise to pay later. SOURCE: PR:076 SOURCE: Farese, L.S., Kimbrell, G., & Woloszyk, C.A. (2006). Marketing essentials (p. 367). New York: Glencoe/McGraw-Hill. 52. C Attract customers. Advertising, visual merchandising, and special events are types of promotional activities that businesses coordinate in order to attract customers. One of the main functions of promotion is to increase sales, which involves attracting customers to the business. Coordinated promotional activities generate interest, build customers' desire for certain products, attract them to the business, and increase sales. A business does not coordinate its advertising, visual merchandising, and special events in order to forecast sales, develop policies, or improve relations. SOURCE: PR:076 SOURCE: Kotler, P., & Armstrong, G. (2008). Principles of marketing (12th ed.) [pp. 10-11, 12-17, 44-45]. Upper Saddle River, NJ: Prentice-Hall. 53. D Competitors are spending more. One method of allocating money in a promotional budget is by percent of net sales. When deciding to increase the percent of net sales that it allocates to its promotional budget, a business might take into consideration how much the competition is spending. For example, if competitors are spending 8% of net sales on promotion, a business might want to increase its spending to at least 8% or even10% in order to match the competition or exceed it. Businesses usually negotiate rates with radio stations in order to purchase the time they want while staying within their budgets. Businesses adjust the amount of money they spend on various promotional activities, such as coupons, in order to stay within budget. If suppliers want more coverage, they may offer to participate in cooperative promotional activities. SOURCE: PR:098 SOURCE: Longenecker, J.G., Moore, C.W., & Petty, J.W. (2003). Small business management: An entrepreneurial emphasis (12th ed.) [pp. 425-426]. Cincinnati: Thomson/SouthWestern. 54. C Forecasts. A forecast is a prediction. When businesses prepare promotional budgets, they are predicting or estimating how much money they will spend over a period of time, usually a year, on advertising and communication activities. The budget amount should be flexible because it will need to be revised several times during the year based on the effectiveness of the promotions. If certain promotional activities are working well, a business might want to increase spending in that area. Remembering to keep the budgets flexible because they are forecasts will help a business to spend its promotional dollars on the most effective activities. Objectives are goals to be reached. Concepts are ideas. Techniques are methods used to attain goals or objectives. SOURCE: PR:098 SOURCE: Investopedia.com. (2011). Promotional budget. Retrieved November 10, 2011, from http://www.investopedia.com/terms/p/promotional-budget.asp#axzz1dJs4o9Jn Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 55. A $262,500. Many businesses allocate funds for a promotional budget based on a percent of sales. In this example, the business estimates a 5% increase in sales next year. To calculate next year's sales, multiply current sales by the expected increase ($2,500,000 x 5% or .05 = $125,000). Then, add the estimated increase to current sales to determine next year's projected sales ($2,500,000 + $125,000 = $2,625,000). Determine the amount to budget for promotion by multiplying expected sales by 10% ($2,625,000 x 10% or .10 = $262,500). SOURCE: PR:098 SOURCE: Greene, C.L. (2012). Entrepreneurship: Ideas in action (5th ed.) [pp. 167-168]. Mason, OH: South-Western Cengage Learning. 56. A Promotional mix. The promotional mix refers to the combination of marketing communication channels that a business uses to send its messages to consumers. Various combinations of advertising, sales promotion, personal selling, and public relations are often used by businesses to create the maximum amount of company and product exposure. When allocating funds to the promotional budget, marketers must decide how much funding to allocate to the various components to meet promotional objectives. The accounting system refers to the method, or set of procedures, used in handling the business's financial information. The level of a company's inventory varies and is not necessarily a factor when allocating funds to the promotional budget. Disbursement of promotional funds is not necessarily dependent on the size of the organization. SOURCE: PR:098 SOURCE: Boone, L.E., & Kurtz, D.L. (2004). Contemporary marketing (11th ed.) [p. 518]. Mason, OH: Thomson/South-Western. 57. D Personal selling. Personal selling is the form of promotion that determines client needs and wants and responds through planned, personalized communication that influences purchase decisions and enhances future business opportunities. Publicity is defined as any nonpersonal presentation of ideas, goods, or services that is not paid for by the company or individual that benefits from or is harmed by it. Advertising is any paid form of nonpersonal presentation of ideas, images, goods, or services. Often, small start-up companies do not have the funds to support expensive advertising and research initiatives. In addition, companies that sell to other businesses tend to emphasize personal selling when developing the promotional mix strategies. Therefore, it is logical for these companies to allocate more funding to personal selling activities. SOURCE: PR:098 SOURCE: Boone, L.E., & Kurtz, D.L. (2004). Contemporary marketing (11th ed.) [p. 518]. Mason, OH: Thomson/South- Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 58. A Grant or foundation monies. Many nonprofit groups rely on government support or contributions so they can operate. An organization that serves the community by running a sport camp for underprivileged children may qualify for grant or foundation monies. To obtain grant or foundation moneys, the not-for-profit organization usually goes through an extensive application and interview process, so the requestor should be familiar with and meet the necessary criteria for funding. Capital-improvement loans could be costly to the organization. The government, rather than the community, gives tax refunds to those who qualify. Celebrity endorsements do not provide operating funds. SOURCE: SE:348 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 7475). New York: John Wiley & Sons. 59. A Does not limit its services to promotion. The full-service agency offers its clients a complete line of services that are not limited to promotion but include other kinds of services such as marketing. The full-service agency may be an industrial agency that represents only businesses that sell to other businesses or a general agency that provides services to individuals, organizations, businesses that sell to consumers, and businesses that sell to other businesses. A boutique agency specializes in providing creative services. A media-buying agency specializes in buying media time and space. SOURCE: PR:081 SOURCE: Lane, W.R., King, K.W., & Russell, J.T. (2005). Kleppner's advertising procedure (16th ed.) [pp. 142-148]. Upper Saddle River, NJ: Pearson/Prentice Hall. 60. B Agency has an objective view of the marketplace. One of the benefits to the business of using an advertising agency is that the business can expect the agency to have an open and objective view of conditions in the marketplace. A company advertising employee might hesitate to advise company executives, but agency employees are outsiders paid to give advice, even when it is not what the business wants to hear. The agency may represent one of the business's competitors, but agencies try to avoid representing near competitors as it would be difficult for them to be equally enthusiastic about very similar products such as Coke and Pepsi. Using an advertising agency does not necessarily reduce the business's promotional expenses and does not eliminate the need for a promotional budget. SOURCE: PR:081 SOURCE: Wells, W., Burnett, J., & Moriarty, S. (2000). Advertising: principles and practice (5th ed.) [pp. 78-79]. Upper Saddle River, NJ: Prentice Hall. 61. B Performance record. One factor that businesses often consider when selecting advertising agencies is the agency's performance record. A business would want to know if an agency has a reputation for successfully handling advertising programs. A business might also want to review the agency's previous work and talk with other clients. It is important for a business to select an advertising agency that can meet its specific needs. Businesses do not consider the accounting system, work environment, or staff organization when selecting an advertising agency. SOURCE: PR:081 SOURCE: Lane, W.R., & Russell, J.T. (1999). Kleppner's advertising procedure (14th ed.) [pp. 158-159]. Upper Saddle River, NJ: Pearson/Prentice Hall. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 62. A Creative department. The creative department often is the most important part of a full-service advertising agency. Clients often select specific agencies because of their creative abilities. The creative department develops ideas, writes copy, handles the graphics, etc. These activities often are the basis of the agency. Most full-service advertising agencies do not have television studios, printing facilities, or talent agencies on the premises. SOURCE: PR:081 SOURCE: Lane, W.R., King, K.W., & Russell, J.T. (2005). Kleppner's advertising procedure (16th ed.) [p. 145]. Upper Saddle River, NJ: Pearson/Prentice Hall. 63. C Copywriting services. Businesses often hire advertising agencies to obtain the use of expert talent in the various areas of advertising. Advertising agencies employee specialists who are able to provide businesses with many services, such as creative writing. Businesses often do not have employees on staff who have the training or talent to write effective copy for promotional or marketing materials. By hiring advertising agencies, businesses are able to obtain the copywriting services they need. Advertising agencies do not provide free publicity, marketing strategies, or operational advice. SOURCE: PR:081 SOURCE: Arens, W.F. (2004). Contemporary advertising (9th ed.) [pp.115-116]. Boston: Irwin/McGraw Hill. 64. C A local newspaper prints a human-interest story about a college volleyball player. Publicity is any nonpersonal presentation of ideas, goods, or services that is not paid for by the individual or organization that benefits from or is harmed by it. Since a newspaper article is a message that is not paid for by the individual featured in the article, it is an example of publicity. Unless a message is communicated (e.g., election of an official), it is not considered publicity. A business owner who purchases baseball uniforms and equipment for a Little League baseball team is a sponsor. Advertising is form of paid communication. SOURCE: PR:136 SOURCE: PR LAP 19—Play to the Fans 65. C Specific images. Public-relations strategies are developed to create and maintain a specific image or impression about an individual, team, or organization with the various publics they encounter. A low profile, suitable illusion, or indifferent attitude might be considered a desired or specific type of image. SOURCE: PR:136 SOURCE: PR LAP 19—Play to the Fans 66. D Establish a feeling of goodwill with all of the organization's fan bases. Public relations is defined as a function of business designed to establish and maintain positive relationships between a business and its various publics. Creating goodwill is a part of establishing positive relationships. Developing positive relationships with sponsors and advertisers is often a function of public relations; however, it is not always the primary consideration. Some sport/event businesses do not have corporate sponsors or advertisers. The way to build positive relationships with local businesses and media is to establish goodwill rather than boost sales and encourage publicity. Publicity is one way that public-relations people communicate a message. SOURCE: PR:136 SOURCE: PR LAP 19—Play to the Fans Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 67. A Without ongoing fan support, a performer's popularity or an organization's profitability decreases. Fans purchase tickets, memorabilia, and sponsorships and support tax initiatives. These actions contribute to the level of popularity or profitability. Although spectators make up a very important fan base, it cannot be assumed that all sport/event marketers consider it the most important fan base. Public-relations strategies are designed to maintain a certain image by creating a feeling of goodwill. Small sport/event venues are often successful in building and maintaining fan support (e.g., Green Bay Packers). SOURCE: PR:136 SOURCE: PR LAP 19—Play to the Fans 68. A The means to spread news to the masses. Television, radio, newspapers, magazines, and the Internet are media tools that can distribute information very quickly to a lot of people. By maintaining positive, trusting relationships with members of the media, sport/event marketers can often influence the media to distribute positive publicity and encourage them to be fair when unfavorable news breaks. The media (e.g., broadcast) are often subject to government regulation. Advertising is a paid form of promotion. Members of the media have a lot of control over the content of their publications or broadcasts. SOURCE: PR:136 SOURCE: PR LAP 19—Play to the Fans 69. D Service their sponsors. A sponsorship is an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. Sponsorship fees help finance an event. Providing good service to the sponsors is important because the sponsor is more likely to sponsor future events. Good service might include extra public acknowledgement, keeping the sponsors informed about the event through occasional newsletters, or simply asking the sponsor for his/her opinion about the sponsorship arrangement or the event. Advertising products, encouraging vendor loyalty, and brand improvement are not primary reasons for event organizers to communicate information and provide extra benefits. SOURCE: SE:326 SOURCE: Graham, S., Neirotti, L.D., & Goldblatt, J.J. (2001). The ultimate guide to sports marketing (2nd ed.) [pp. 193-194]. New York: McGraw-Hill. 70. B Extreme-sporting event. Extreme sports (e.g., skateboarding, surfing, snowboarding, skiing, and inline skating) have been gaining in popularity over the past decade. They are most often enjoyed by a viewing audience that is made up of males 34 and under. It only makes sense that a manufacturer of in-line skates would benefit the most from sponsoring an extreme-sporting event, particularly one that includes in-line skating. Pro-football games appeal to a much larger (and often older) male audience, and their sponsorships are quite costly. The opening ceremony of the Olympics is watched by billions of people worldwide, thereby making a sponsorship opportunity for a business on a limited budget cost prohibitive. Affinity-sporting events appeal to individuals who follow nontraditional sports, such as bass fishing and rock climbing. Although they provide great sponsorship opportunities for small businesses, WheelZ would receive the most benefit from recognition that is consistent with its product line of in-line skates. SOURCE: PR:155 SOURCE: Kaser, K., & Oelkers, D.B. (2001). Sports and entertainment marketing (pp. 80-82). Mason, OH: South-Western. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 71. A Cost avoidance. An event organization must determine what it wants from its sponsors before it can develop a sponsorship program—it must set sponsorship objectives. A common type of objective is cost avoidance, which means that the event will do what it can to reduce its expenses. One way to do this is to barter for goods and services. For example, an event organization might consider providing a printing company with a free, full-size ad in a program if the printing company will print the event program free of charge. In this situation, the event organization is avoiding paying for the program's printing costs. Revenue generation objectives focus on obtaining money from sponsors. Activation objectives involve using a combination of strategies to develop a relationship between the event and the sponsor that creates awareness (e.g., brand, event), drives ticket sales, etc. Cost avoidance, revenue, and activation objectives might include promotionoriented goals for the event and the sponsor. SOURCE: PR:155 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 144147). New York: John Wiley & Sons. 72. B A soccer team works with local businesses and the media to create school mediation programs. Community outreach projects can be short- or long-term programs and might involve the participation and sponsorship of many entities. For example, a mediation and conflict resolution program might involve soccer players speaking to students at schools. The media might sponsor the event by providing air time for PSAs that publicize the program. In addition, local businesses might become a financial sponsor or donate goods for student recognition programs, scholarships, or events promoting the mediation program. A published story about a high-profile rock star is an example of publicity. A track star who speaks to government legislators is engaging in lobbying activities. An event coordinator who applies for operating permits is obeying the law. SOURCE: PR:195 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 320-323, 338]. Champaign, IL: Human Kinetics. 73. A Generates public support for a team. Sports teams that participate in community projects obtain publicity from the local media. The favorable publicity creates a positive image of the team and generates support from the public. Public support is a benefit to a sports team because it often builds the fan base. As a result, the team earns more income. Most sports teams participate in community projects because they know they will benefit on a long-term basis from a positive image and strong public support. Coordinating local outreach projects does not necessarily improve relations with the media, attract athletes from other sports, or decrease the need to advertise. SOURCE: PR:195 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 320-323, 338]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 74. B If a large event is scheduled in many cities over time. Because they tend to have extensive resources, promoters or promotional agencies are often used by sport/event organizations to coordinate and communicate information about various events. Ongoing scheduled events, such as national or international concert tours, are generally more complicated to plan and execute due to the variety of logistics related to different venues. If the sport/event organization does not have the skilled personnel to execute complex promotional activities, it might consider hiring a promotional agency. Although it is possible to use a promotional agency after an event has built a positive reputation, it is not always necessary for small events. Many times, organizations executing first-time events will hire a promotional agency. After a positive reputation has been established and personnel understand procedures, the promotional agency might not be needed. A promotional agency is generally not hired if the sport/event organization has hired skilled personnel to execute activities. Because many factors (e.g., finances, event size, personnel, event type) are considered when a sport/event organization hires a promotional agency, the level of committed sponsorship is not always a consideration. SOURCE: PR:210 SOURCE: Graham, S., Neirotti, L.D., & Goldblatt,J.J. (2001). The ultimate guide to sports marketing (2nd ed.) [pp. 109-110]. McGraw-Hill. 75. C Benefits. Sponsorship is defined as an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. When selling sponsorships, it is important to explain to prospective sponsors what they will get out of their financial investment in terms of benefits and value. Sponsors are often concerned with factors such as their image, amount of exposure, and the level of hospitality that they receive. Liability is defined as the debts, usually money, that an individual or business owes to another entity. Deadlines often refer to due dates to make a decision or complete an activity. Although deadlines are often a consideration in some situations, it is generally not the primary focus of the sponsorship proposal. Confidentiality refers to a level of privacy. Businesses generally become sponsors to generate name recognition or reinforce brand awareness rather than secure their privacy. SOURCE: PR:211 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 274, 277]. Champaign, IL: Human Kinetics. 76. A Marketing rights. A sponsorship agreement is a legal document that specifies what a sponsor will receive in return for affiliating itself with a sport/event. An important section of this document spells out the marketing rights that a sponsor will receive, such as the right to be included in all of the sport/event advertising or to use the sport/event name and logo on products. Both the sport/event and the sponsor should have a clear understanding of these rights before signing the agreement. Selling policies are general rules established by management to guide the personal selling effort and outline how things must be done. Although sponsors pay a fee to affiliate with a sport/event, the sponsorship agreement is not concerned with the sponsor's sources for obtaining financing. The sponsor's hiring practices are not part of the sponsorship agreement. SOURCE: PR:212 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 459462). New York: John Wiley & Sons. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 77. A Benefit both parties. A sponsorship is an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. A sponsorship agreement is a contract that outlines the rights and responsibilities of the sport team and the sponsor. As a contract, the sponsorship agreement should include provisions that benefit both participants, such as financial support in exchange for organizational exposure. Benefits can be tangible or intangible, but it is nearly impossible to guarantee that the arrangement will meet or exceed 100 percent of the sponsor's expectations. Although it is possible to include third-party input (e.g., legal counsel), it is not necessary. SOURCE: PR:212 SOURCE: SponsorVision® (1990-2002). Professional sponsorship selling (pp. 5, 58-64). Tacoma, WA: SponsorVision®. 78. C Ambush marketing. Ambush marketing is a promotional technique whereby a nonsponsoring business tries to associate with an event in order to gain recognition as a sponsor. There are many strategies businesses can use to engage in ambush marketing. One strategy involves associating with or sponsoring a specific athlete, performer, or team. Sponsoring a person or team is often less expensive than sponsoring a large event such as the Olympics. When a nonsponsor places advertising during a high-profile event and makes an association (e.g., congratulating a medal winner) with someone or something related to the event, it is engaging in ambush marketing tactics. Sales promotion refers to promotional activities other than advertising, personal selling, and publicity that stimulate customer sales. Copyright infringement refers to individuals or organizations that use copyrighted material and are not authorized to do so. Sponsorship is an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. SOURCE: PR:198 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [p. 370]. Champaign, IL: Human Kinetics. 79. C An e-mail sender asks the message receiver to forward the message to 10 friends. Viral marketing is a web-based technique in which a marketer encourages people to send or forward its messages to others, usually via e-mail. Viral marketing is a kind of online "word-of-mouth" promotional tactic. Stadium banners, blimps, and posters are forms of outdoor advertising. SOURCE: PR:199 SOURCE: Marketingterms.com. (n.d.). Viral marketing. Retrieved March 16, 2007, from http://www.marketingterms.com/dictionary/viral_marketing/ 80. B Holding a contest during a game or performance. Sales promotion involves promotional activities other than advertising, personal selling, and publicity that stimulate customer purchases. These activities might include a special event such as holding a contest during a game or performance. The purpose of the special event during a game or performance is to attract attention and increase ticket sales. For example, several fans are selected to participate in a skill contest during halftime in an attempt to win a large monetary prize. The contest encourages many people to buy tickets to the event in the hope of being one of those selected. Advertising prices, using telemarketers, and planning an interview are not sales-promotion strategies. SOURCE: PR:213 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 264266). New York: John Wiley & Sons. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 81. B Free autographed baseballs are given to the first 100 attendees on little-league day. Sales promotions are promotional activities other than advertising, personal selling, and publicity that stimulate customer purchases. A special event is any happening arranged for a special reason. Sport organizations often develop sales promotions in conjunction with special events to attract customers and increase attendance rates. In the example, the professional baseball organization has established a special event for the area's little-league teams. This usually involves group sales (little-league organizations), discounted ticket prices, and special recognition sometime during the game. When the professional baseball organization gives away baseballs to the first 100 people who enter the stadium gates, it is using sales promotion in conjunction with the little-league day (event). Statistics and articles are content that usually appear in the team's program and are not examples of a special event or a sales promotion. In addition, logo merchandise sold in the team's retail store and bundled concession items are not examples of sales promotion or special events. SOURCE: PR:213 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 258261). New York: John Wiley & Sons. 82. D A pregame autograph and photo session for fans with the team's players. Special promotional events, such as autograph and photo opportunities, are productive ways to increase game attendance. The appearance of celebrities, special half-time or intermission performances or programs, and merchandise giveaways (e.g., baseballs given to the first 200 game attendees) are tools commonly used to increase interest and game attendance. A postgame dinner for the team players and their families does not generate an increase in event attendance. Although distribution of the sports program may generate interest, it does not necessarily increase attendance. Many fans like to eat at a sporting event; however, most do not attend primarily for food consumption and, therefore, food is not a primary factor used to increase attendance to particular sporting events. SOURCE: PR:214 SOURCE: Helitzer, M. (1999). The dream job: Sports publicity, promotion and marketing (3rd ed.) [p. 333]. Athens, OH: University Sports Press. 83. D Product. The venue is the building or place where the sport or event occurs. Therefore, the venue is part of the product because spectators experience the sport or event in that facility or location. Selling the venue is part of selling the product because if spectators are not satisfied with the venue, they may not attend the sport or event. For example, if a concert hall is in poor condition or located in an unsafe part of town, people may not buy tickets to a concert because they do not like the venue. The venue is the facility or location. The market is a customer or a potential customer who has an unfulfilled desire and is financially able and willing to satisfy that desire. SOURCE: SE:319 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [p. 125]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 84. B Fee and payment schedule. Negotiating a sport/event sponsorship contract is often a complex process. Both the sport/event and the sponsor want to negotiate the best deal. An important factor usually is agreeing on the fee the sponsor will pay and the payment schedule. Depending on the type of sport/event, a sponsor may negotiate to pay a certain amount in cash and then provide complimentary goods and services that the sport/event needs to operate. The date and time of the sport/event is usually established before a sponsorship contract is negotiated. Negotiating a contract does not involve agreeing on the size and interest of the audience or the cost of planning and producing a sport/event. The sport/event usually estimates total cost before seeking sponsorships. SOURCE: SE:322 SOURCE: Supovitz, F. (2005). The sports event management and marketing playbook (pp. 206, 212-213). New York: John Wiley & Sons. 85. C Various contract negotiations. An agent is a person who is authorized to act in the best interests of a client (athlete). Agents help athletes make decisions about their careers. Some duties include handling various contract negotiations for the athlete, including team contracts, compensation and benefit packages, and endorsement contracts with businesses. The negotiations require the agent to determine a monetary valuation of the athlete's services, rather than the team's services. The agent also advises the athlete about personal conduct considerations, post-career financial security, and second-career options. Hall of fame induction processes vary by sport, do not involve all athletes, and do not usually require endorsements. SOURCE: PM:143 SOURCE: Shank, M.D. (2002). Sports marketing: A strategic perspective (2nd ed.) [pp. 28-29]. Upper Saddle River, NJ: Prentice Hall. 86. D Send a thank-you card to each of the meeting participants. An important part of the sales follow-up process is sending thank-you cards to each person who participated in the sponsorship meeting. Although it is a small gesture, a hand-written note thanking the participants for their time might influence their decision about sponsoring the event. Taking the time to write a thank-you card indicates that the event organizer values the business's support. The event organizer should fax a copy of the proposal to the company's decision maker if a meeting participant requests it. In most cases, the event organizer provides the potential sponsor with a written proposal before or during the meeting. Not all sponsorship prospects request pricing adjustments. In addition, the event organization's sponsorship objectives and policies determine whether pricing options are adjustable. It is not appropriate to ask meeting participants for other sponsorship referrals without first thanking them for the meeting. SOURCE: SE:323 SOURCE: SponsorVision® (2002). Professional sponsorship selling (2nd ed.) [p. 50]. Tacoma: WA, SponsorVision®. 87. B Conduct follow-up activities. Follow-up is an important step in acquiring sponsors for an event. Follow-up involves contacting the prospective sponsors to determine if they have any questions about the proposal. Answering questions can clarify information (e.g., deadlines), correct misunderstandings, and turn objections into selling points, which may sway an indecisive business to sign on as an event sponsor. Sponsorship benefits should be discussed during the presentation of the sponsorship proposal. An event organizer evaluates the success of sponsorship activities after the event has taken place. SOURCE: SE:323 SOURCE: SponsorVision® (2002). Professional sponsorship selling (2nd ed.) [p. 50]. Tacoma: WA, SponsorVision®. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 88. D Value in kind (VIK). VIK is a benefit that gives sport/event organizations lower costs on the goods and services they need. This arrangement allows a sponsor to pay part or all of its fee with goods or services rather than cash. Nike providing free skates to a hockey team it sponsors is an example of a VIK arrangement. Exploitation is a sponsor's investment in advertising and promoting the organization or event above and beyond the basic partnership. Relationship marketing is a strategy in which businesses spend time with current and prospective clients outside the office setting to enhance the partnership. Exclusivity is the sponsor's privilege of being the only company in its particular category of goods or services. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 89. D Public relations. When companies sponsor sport/event organizations that display characteristics they want consumers to associate with their products, they enhance public relations. Most sponsors are trying to either create or maintain a certain image. Associating with a sport/event organization helps them do so. For example, luxury car makers like to associate with sports that consumers view as "classy," such as golf or sailing. Relationship marketing is a strategy in which businesses spend time with current and prospective clients outside the office setting to enhance the partnership. It enhances business-to-business relations, not public relations. Associating with a sport/event organization because of its characteristics and qualities does not have an impact on exclusivity or sales and sampling opportunities. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 90. B Exclusivity. Exclusivity is the sponsor's privilege of being the only company in its particular category of goods or services. By being the only bank affiliated with your sport/event organization, Bank of America is enjoying exclusivity. Value in kind (VIK) is an arrangement in which the sponsor pays part or all of its fee with goods or services. "Ownership" is the sponsor's opportunity to "own" part of the event, such as the pregame show or the MVP award. Presenting sponsorship is a partnership in which the sponsor's name succeeds the event's name, such as the Grand Ole Opry presented by Cracker Barrel Old Country Store. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 91. B "Ownership." "Ownership" is the sponsor's opportunity to "own" part of the event, such as the pregame show or the MVP award. Naming the pregame report for Taco Bell gives the company "ownership" in your event. Exclusivity is the sponsor's privilege of being the only company in its particular category of goods or services. The pregame show doesn't affect exclusivity, sales and sampling opportunities, or fund-raising opportunities. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships 92. A Create interest in your organization or event. The first step in a sponsorship presentation is to create interest in your organization or event. Creating interest in the sponsorship opportunity, giving event details, and explaining how the prospective sponsor can get involved all come after this step. SOURCE: SE:321 SOURCE: SE LAP 127—Selling Sponsorships Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 93. A Sponsorship objectives. Sport/Event organizations often qualify their sponsorship prospects so they do not expend energy appealing to businesses that will mostly likely not consider sponsorship options. To determine if a business is a potential sponsor, the sport/event organization often looks to the business's sponsorship history (e.g., who, when, how much). When developing sponsorship relationships, it is important for the sport/event organization and sponsors to have compatible images and goals. Therefore, it is important for the sport/event organization to understand the potential sponsors' sponsorship goals. Sponsors do not always manufacture or produce goods. Financial policies are the rules that employees must follow regarding company financial matters. Quantity standards are the established specifications used to measure the amount of work produced. SOURCE: SE:324 SOURCE: SponsorVision® (2002). Professional sponsorship selling handbook (p. 21). Tacoma, WA: Author. 94. B Related businesses. Related businesses are those businesses that have some association with the specific event. Related businesses often are interested in sponsoring events because there is a logical connection between their products and the type of event. In the example of auto racing, related businesses might include automobile dealerships and automotive supply companies. Also, the customers of related businesses are more likely to attend the events, which allows the businesses to reach their target market. Athletic competitors are the individuals who compete in sporting events. Charitable organizations often receive revenue from events organized for the specific purpose of supporting the charity. Nonprofit organizations often do not have additional funds that could be used for event sponsorship and are frequently the recipients of funds raised through events. SOURCE: SE:324 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (1993). Sport marketing (pp. 216-217). Human Kinetics Publishers. 95. D Providing efficient, ongoing service. When a sponsorship agreement has been signed, a sport/event organization should maintain communication with a sponsor. By assigning a specific person to work with the sponsor, the sport/event organization provides a central contact for the sponsor. The employee works with the sponsor to coordinate promotional materials (e.g., signs, graphics, copy) and to answer questions. By communicating on an ongoing basis, the sport/event organization builds goodwill by providing good service. Advertising is a form of nonpersonal paid promotion. Sponsorship does not necessarily expand advertising opportunities for sponsors because the terms of each sponsorship agreement vary and advertising is not always a component. Special orders are sales requests for items that are not normally stocked by a business. Sponsorship does not necessarily maximize mass-media exposure for sponsors because the terms of each sponsorship agreement vary and mass-media exposure is not always a component. SOURCE: SE:326 SOURCE: Supovitz, F., & Goldblatt, J. (2005). The sports event management and marketing playbook (p. 214). John Wiley & Sons. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 96. B Sponsorship. A sponsorship is an agreement that allows a company to pay a fee to a team or an event for the right to affiliate itself with that team or event. One of the objectives of a sponsorship may be to obtain the right to name a sport or entertainment event. For example, some companies pay millions of dollars to name championship football games, such as Tostitos which sponsors the Fiesta Bowl. As a result of the sponsorship, the game is known as the Tostitos Fiesta Bowl. A licensing agreement is a written document that specifies the terms of a licensing arrangement. A franchise arrangement is a contractual agreement between a parent company and a franchisee to distribute goods or services. An affiliation is an association with an organization that does not necessarily involve obtaining the right to name an event. SOURCE: PR:155 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A.(2000) Sport marketing (2nd ed.) [pp. 264-265]. Human Kinetics Publishers. 97. D To help sponsors justify the investment. Sponsors expect a certain return on their investment when they contribute to a sport/event. To help sponsors justify their investment, sport/event marketers should develop proof-of-performance packages that describe the benefits the sponsors received. For example, a proof-of-performance package might explain the number of advertising exposures and translate that information into the number of potential customers that were reached. The package might describe how the sponsor's brand or image was promoted. Besides the number of people who attended the event, the proof-of-performance package might include an estimate of the number of people who viewed the event on television or read about it in the newspaper. The goal is to reinforce the belief that sponsoring a particular sport/event was a worthwhile investment. Marketers explain the sport/event, list important participants, and provide information about the facility during the process of seeking sponsorships. SOURCE: SE:325 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 278-279]. Champaign, IL: Human Kinetics. 98. A Grant money. Many amateur sport organizations are nonprofit groups that rely on government support or contributions so they are able to operate. These organizations often solicit grant money from foundations or other groups that give money to worthy causes. For example, youth athletic programs often solicit grant money from local foundations to purchase equipment and uniforms. Amateur sport organizations do not solicit media coverage or free publicity in order to be able to operate. Organizations solicit playing locations, such as school gymnasiums, rather than playing time. SOURCE: SE:348 SOURCE: Mullin, B.J., Hardy, S., & Sutton, W.A. (2000). Sport marketing (2nd ed.) [pp. 260-261]. Champaign, IL: Human Kinetics. Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® (Unit A) Mid-Term Assessment Key 99. A International Olympic Committee. Governing bodies in the sport industry are responsible for regulating and overseeing one or more sports. Some governing bodies, such as the International Olympic Committee, oversee multiple sports, while other sport governing bodies (e.g., the National Basketball Association) regulate just one sport each. Also, while some governing bodies like the International Olympic Committee operate internationally, others oversee sport activities at the national, state, or even local level. Regardless of the scope or level, sport governing bodies commonly establish and enforce rules impacting player eligibility, player selection, equipment, safety, drug use, etc. While the National Collegiate Athletic Association (NCAA) is a governing body, the NCAA Men's Basketball Championship is not. Instead, it is a sport tournament. The Washington Nationals Baseball Team and Rahal Letterman Lanigan Racing are not governing bodies. The Washington Nationals are a baseball team located in Washington, D.C. Rahal Letterman Lanigan Racing is an auto-racing team formerly known as Team Rahal. SOURCE: PD:279 SOURCE: Olympist. (2010). International Olympic Committee (IOC). Retrieved May 23, 2012, from http://www.olympist.org/summer-olympic-history/international-olympic-committeeioc.html 100. C Advertising tool. A promotional calendar of events lists all of the dates and times of scheduled events. The calendar can be printed in a convenient format and used as an advertising tool. For example, small calendars can be mailed to potential customers or given to retailers to make available to customers. Large calendars can be used as posters and distributed to related businesses. The promotional calendar advertises the events and continues to remind customers of the events throughout the season. A promotional calendar of events is not used as a policy guide or an operating system. Although the calendar may contain pricing information, the calendar is not used as a pricing document. SOURCE: PR:209 SOURCE: Waters, S. (n.d.). Planning promotional events. Retrieved January 10, 2012, from http://www.retail.about.com/od/marketingsalespromotion/a/prom_calendar.htm Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Appendix C 21st Century Skills Grand Slam: Advanced Sport/Event Marketing Course Guide © 2012, MBA Research and Curriculum Center® Page C-2