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Chapter 6
The Marketing Game
Plan
6.1 The Game Plan
6.2 Entertainment and Sports
Strategies
6.3 Mapping the Plan
Sports and Entertainment Marketing
© Thomson/South-Western
Winning Strategies
AEG
 Anschutz Entertainment Group (AEG) is a
key player in movie exhibition
 AEG dominates specific markets
 second largest promoter of live events in the
U.S.
 AEG sells more than $500 million in tickets
annually
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Lesson 6.1
The Game Plan
Goals
 Explain the difference between
marketing tactics and strategies.
 Discuss the importance of planning to
stay ahead of the competition.
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Terms
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tactic
strategies
marketing intelligence
trade shows
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MARKETING TACTICS
 Nike wants to be number one in their
market.
 Nike needs to differentiate itself from
Adidas, the market leader.
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Tactics First
 tactic
 the way a product or service is
differentiated in the minds of customers
from other competing products or services
 the most effective tactics are developed
by salespeople
 tactics can work their way from
salespeople to upper management
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Strategies
 strategies
 the process by which tactics are
implemented
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 What is the difference between a tactic
and a strategy?
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BEATING THE COMPETITION
 “Winning the game” in business means
gaining market share over competitors
and making a profit.
 requires depth of competitive knowledge
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What Information is Needed?
 marketing intelligence
 information gathered about competitors
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Price
Distribution methods
Prod/srvc offerings
Promo strategies
 Used to ensure you are different from
them – not to copy them
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 Pricing
 pricing is very important to customers
 the prices of competitors can influence
buying decisions
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 Distribution
 marketers need to make the product
purchase convenient for customers
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 Product/Service Management
 knowing the product and service offerings
of competitors can help a business
determine how to differentiate its products
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 Promotional Efforts
 promotional competitive analysis reveals:
 the product characteristics emphasized by
competitors
 target customers
 promotional budgets
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Finding the Information
 Marketing information is critical to help
anticipate future moves of the
competition.
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Internet
Observation
Trade Show
Customers
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 internet
 efficient searching leads to effective results
 company name
 keywords
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 observations
 combining the insights of a variety of
salespeople can provide valuable
competitive information
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 trade shows
 major events where people in a related
industry meet to
 show their products
 exchange ideas
 learn about the latest trends
 valuable source of competitive information
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 customers
 customer feedback is critical for fine tuning
marketing plans
 can provide competitive information
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 Give three examples of marketing
intelligence information that might be
collected by a movie theater.
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Lesson 6.2
Entertainment and Sports
Strategies
Goals
 Explain the importance of learning from
customers.
 Discuss sports marketing strategies.
 Discuss entertainment marketing
strategies.
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Terms
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marketing plan
interpretation
applied research
touchpoints
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DATA-DRIVEN DECISIONS
 marketing plan
 a document that describes the tactics and
strategies that will be used to market the
product or service
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 raw data
 the facts and recorded measures that have
been gathered
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Interpretation
 interpretation
 explaining the information so that it has
meaning
 drawing conclusions that relate to the
defined marketing research problem
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Applied Research
 applied research
 conducted to solve specific problems
 touchpoints
 the points at which the business makes contact
with the customers
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web site visits
e-mails
phone calls
advertisements
one-on-one sales pitches
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 Explain what Peter Drucker’s definition of
marketing means.
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SPORTS MARKETING
STRATEGIES
 Fans are necessary for the longevity of
a team.
 Using research to form the right tactics to
attract fans is a challenge for teams.
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Fans Rule
 Competition for fans is fierce.
 Adidas and Nike have different tactics and
strategies to compete for soccer fans.
 Adidas provides soccer balls for the World Cup
and promotes customizable soccer cleats.
 Nike is filling a niche for street-ready soccer
merchandise and is sponsoring a number of
major international soccer teams.
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 What drives professional sports teams’
marketing plans? Explain why.
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ENTERTAINMENT MARKETING
STRATEGIES
 The movie and music industries use
many of the same strategies used in
sports marketing to attract customers.
 Determining the new tactic first and
then figuring the strategies that will
drive sales is the key.
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Capitalizing on Controversy
 Sony carefully developed a tactic and a
strategy for promoting The DaVinci Code.
 provided a website for religious dialogue
 avoided overexposure prior to the movie’s
release
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Concert Pricing Strategies
 Indoor concerts are more economical to
produce than outdoor concerts.
 A smaller indoor concert may be more
profitable than a larger outdoor concert.
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 Industry consolidation has lead to
decreased competition.
 Declining profits are prompting concert
promoters to re-evaluate pricing strategies.
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A Little Music with Your
Coffee?
 Starbuck’s Entertainment
 connects Starbuck’s brand with
entertainment
 By 2005, Starbucks sold 3.5 million CDs.
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 Why would a coffee shop add
entertainment items to its menu?
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Lesson 6.3
Mapping the Plan
Goals
 Explain how marketers determine
direction and focus for a marketing
plan.
 List and describe the components of a
marketing plan.
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Terms
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mission statement
mass market
product portfolio
test marketing
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KNOW WHERE YOU ARE
HEADED
 mission statement
 identifies the nature of the business and
the reason it exists
 All tactics and strategies should be built
around the mission statement.
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A Sense of Direction
 mass market
 a broad group of customers
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 product portfolio
 all the products a company has available at
any one time
 test marketing
 where the sales potential for a new product is
tried in a small market prior to its final
release
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 Explain the importance of a company’s
mission statement to the marketing plan.
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THE PLAN
 The marketing plan is a detailed
document that further provides a
detailed description of how the tactics
and strategies will be implemented.
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Components of a Marketing
Plan
 A marketing plan should be guided by
the current and future needs of
customers.
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 Analysis
 The Mission Statement
 The marketing plan must be in agreement with
the mission statement.
 Marketing Information
 Information is gathered, analyzed, interpreted and
used to make business decisions.
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 The Tactic
 describes product or service differentiation
 should pinpoint a gap that is not be filled by
another product or service
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 Strategy
 describes the marketing mix
 Product/Service
 the identified need is the basis for the
development of the product or service
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 The Distribution System
 describes how the product or service will be
made available to customers
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 Pricing
 The price must be set where revenues will be
maximized to cover all costs and provide a profit.
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 Promotional Strategies
 how the product will be positioned in the minds of
customers
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advertising
publicity
sales promotion
personal selling
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 Financing
 disclosure of all expected costs and revenues
 might indicate need for additional funding
 Risk Management
 outlines possible risks and strategies for
minimizing the risks
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 Implementation
 Timeline
 start with completion date and plan backwards
 specify event sequencing
 Assignments of Responsibility
 specify who is responsible for each component of
the plan
 Internal Communication System
 define how all key organizational members will be
kept informed of the plan
 provide a feedback mechanism
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 Selling
 defines how direct sales will be handled
 Review and Evaluation
 define mileposts for progress checks of the plan
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Look to the Future
 Organizations should have future
products planned while current
products are still experiencing strong
sales.
 Marketing plans require periodic
revisions.
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 Why must the marketing plan include
intervals for review and evaluation?
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PERFORMANCE INDICATORS
EVALUATED
 Develop a written business plan for a startup business.
 Identify the customer base and
demographics for the target market.
 Demonstrate knowledge and understanding
of entrepreneurship.
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 Communicate research in a clear and
concise manner both orally and in writing.
 Demonstrate effective persuasive and
informative communication and
presentation skills.
 Identify customer relations and promotion
related to successful businesses.
 Analyze financial data and determine
appropriate pricing strategies.
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THINK CRITICALLY
1. Why is a detailed business plan so
important when starting a business that
offers a new product or service?
2. Why is the Executive Summary the
most important part of the business
plan?
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3. Why is it important to look at the
competition when preparing a business
plan?
4. What is the value of surveying the
target market when preparing a
business plan?
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