M426 Final Exam

80/20 rule

80% of revenue comes from 20% of customer base

present a solution

A soft close Phrase it by asking them their opinions or thoughts If prospect has positive reaction, then CLOSE If prospect has negative reaction or shows reluctance/hesitation for purchasing, then you need to focus on their objections

after account executive role

After 3-5 years, successful account execs typically stay working as a sales person, by moving on to Premium Seating Sales (Suites), which is more lucrative OR these individuals will move on to a Managerial role (Director of Ticket Sales, Ticket Sales Manager) where they will hire, train and coach the new entry level as well as account executive employees

account executive

After successfully completing the Inside Sales program Full-time, permanent position Account Execs will usually be placed in one of these areas: • Group Sales, Season Tickets, STH Servicing Still high volume calling, plus face-to-face meetings

the call

Begin the conversation with clearly identifying yourself and organization Start off with an easy open-ended question Explain why you are calling • Set agenda • Try to engage them in a conversation about product Circle back to specific offer If they say no, ask them for a reason for their objection Have counterpoints prepared so you can talk them through the problem and try and reach a solution Using the "feel, felt, found" method, rebuttals can be helpful If they say no again, it's time to wrap up the call End call on positive note

inventory

Broad term used to describe anything that could potentially be sold as a sponsorship • PA announcements, signage, video commercials on scoreboards, stadium naming rights...etc. • Constantly on the lookout for new inventory • Creativity and innovation are key • Ex: Libman at IU basketball games

post call

Critique yourself Replay the sales call in your head • What went well and what did not? • What would you change? • Were your questions open-ended? • Did you sell or did you tell?

after the call

Critique yourself • Was the sales call conversational? • Were you informed and enthusiastic? • How many open-ended questions did you ask? • Did you sell or did you tell? Do not judge it completely on whether you made a sale or not

consultative selling

Customer-focused sales method Seller thinks of themselves as a consultant who is trying to help prospect Seller asks questions in order to learn more about the customer before presenting customized solution that will specifically address the needs and desires of the prospect

sponsorship sales process

Different than ticket sales Sales reps don't make 100 calls a day Sales pitch and close don't come until later in the process Whole goal is to set up a meeting • Fact-finding meeting o Most partnerships start here o Meets with company and figures out who they are, what they do, who they want to target, what they have done in the past, what their budget is, who their competitors are

be patient in the sales call

Do not ask for a sale right away • A prospect is less likely to respond positively if the sales pitch is within the first 30 seconds • A regular conversation will erase some of the uneasiness that a prospect initially has and they will be more receptive to listening to what you have to say

use positive language

Don't be negative Cheap vs inexpensive or affordable

be honest

Don't mislead or deceive If you don't know the answer, say "I don't know"

why ask open ended questions?

Engagement in a conversation with prospect • Makes them more comfortable with us and erases tension/awkwardness We want to learn more about the prospect

inside sales rep (also known as ticket sales representative)

Entry level ticket sales job for professional sports team Short-term or seasonal: 6 month to 2 year positions Sales class probably consists of 6-20 individuals 80-100 sales calls per day

design matters

Focus on the design of your resume almost as much as the content Utilize bold face, italics, and spacing to separate the key parts of your resume Use a 10-12 point type with a conservative font

why are ticket sales so important

Giant revenue stream 2016 NBA attendance • First place average: Chicago Bulls 21,820 • Last place average attendance: Denver Nuggets 14,095

sales call mindset

Great sales people don't talk clients into buying; they listen and meet needs A successful sales person: • Is receptive to the prospect's viewpoint • Shows understanding and asks relevant questions • Meet their needs and tailors their benefits to the objectives • Restates the prospect's concern • Shows sincerity

use descriptive language

Helps the person visualize buying that ticket and/or going to the game • "picture this..." • "imagine this..."

wrap-up the call

If successful sale, then repeat details of ticket package and collect payment information If not successful, then thank them for their time and end on a positive note

steps of a sale call

Intro Set agenda Ask open-ended questions Present solution (soft close) Understand and overcome objections Close (again) Wrap-up the call Post call; critique yourself

leveraging sponsorship assets

Inventory/assets: in terms of sponsorship sales, the attributes or elements a sport property owns and can sell to a firm • Ex: signage within a sport venue, tickets, hospitality, trademarked logos

Why sales calls aren't scary

It's sports They are people interested in your product You aren't bothering them It's okay if the call doesn't result in a sale Rejection isn't personal

before the sales call

Know your product • You should sound like an expert about what you are selling Avoid sounding robotic • Don't plan a script

naming rights

Lucas Oil Stadium, Indianapolis Colts • $122 million for 20 years ($6.1 M per year) • Exposure • Company name branded on signs outside of the stadium, mentioned on all radio, TV, newspaper, magazine, internet references to home Colts games • Forever linked with the Colts and the NFL • Super Bowl

Major League Soccer & The National Sales Center

Major League Soccer owns and operates a centralized ticket sales training "campus", the National Sales Center in Minnesota

why would a company purchase a sponsorship

Many marketers looking for innovative, outside-of-the-box ways to promote their product Sport sponsorships becoming more common and accepted Emotive link between their brand and the sport organization's audience Serve as a platform for brand extension and can cut through the noise of traditional media advertising Potential to interact with the audience To increase public awareness or enhance company image Exposure—trying to reach a large audience to promote your company • Dallas Cowboys: avg. 88,000 per home game • MasterCard official sponsor of the World Cup—advertises billboards at every match o They received 7.5 minutes of exposure on TV broadcasts, on average, per match Compared to a typical 30 second TV ad

Sales process

Mark McCormack—selling consists of following elements: • Identify customers • Getting through to them • Increasing their interest • Persuading them to act on that interest

sponsorships in collegiate athletics

Most athletic departments do not have infrastructure, personnel and culture to operate a successful sponsorship sales department

ticket sales careers are

Perception vs reality Challenging but fair Clearest path towards working for a pro sports team Control your own fate

define sales

Primary role of sales is to sell existing products and services at a level of price, quality, and performance acceptable to customers • Any 3 out of sync—not acceptable to customers, won't buy

intro and setting the agenda

Prospects on the other side of phone are wondering who is calling and why Eliminate this confusion right away by clearly identifying yourself and the purpose of the call Set the agenda: "Hello, this is Jonathan Benedek from the Indiana University Athletics Department, and I'm calling today to talk about IU Football season."

listen 70%; talk 30%

Selling vs telling Make connections through conversation so you can relate yourself and what you are selling to the prospect

College Athletics and IMG/Learfield

Several college athletics departments outsource their ticket sales to IMG/Learfield Ticket Solutions Hires ticket sales employees to work for IMG/Learfield to sell on behalf of one of their partner schools Sales staff placed on campus

be enthusiastic

Smile Prospect can tell by tone of voice how much you care about the product and making a sale

o Learfield Sports/IU Sports Properties

Sponsorship and multimedia rights holder of IU athletics IU sports properties is a division of Learfield Sports Matt Bauschek, General Manager Contract thru 2021 Learfield pays IU athletics a lump sum of money each year Whatever Learfield sells, they keep

sponsor fit

Sport sponsorships are more effective when there is a logical match between the two brands, between the product and the market segment Examples: • Mountain Dew and the X-Games • Busch Stadium, Miller Park, Coors Field

tailor your resume

Tailor it to the specific job posting that you are applying for • You should not be using the same resume over and over again for every job posting use the same buzz words

activation

The set of strategic efforts that are designed to support and enhance the sponsorship Activation in budget should at least equal the costs of the sponsorship rights fees Physical presentation of a sponsorship--Just know its not promotion

ask open ended questions

To engage the prospect in a normal, back-and-forth conversation • Make it a more natural, relaxed conversation To try and make a connection • Do you and the prospect have shared experiences that you can bond over? What are your commonalities that will help you relate to one another? To learn more about the prospect • What are their wants, needs, desires, motivations? • How can you help them? (think Consultative Selling)

The National Sales Center in Minnesota

Training class consists of 20 individuals and training sessions last four months Training consists of actual selling on behalf of one of the MLS clubs Gets your foot in the door and a chance to prove yourself "First dibs" on interview opportunities with one of the clubs

overcoming objections

Try to anticipate the most common objections that you are likely to hear • Price, time commitment, team performance, etc. What rebuttals, or counterpoints, could you give to make the prospect reconsider their initial objection? • Should you offer a slightly different package, perhaps? • How can you spin a negative into a positive?

pricing

Unique since any package can be priced differently Derive as much revenue as possible from sponsorships • Value is critical

bullet points

Use to describe your experience with that organization Utilize your bullet points not just to describe your responsibilities but to also point out accomplishments/achievements, and professional skills that you gained from the experience

closing

When ready to close, tell them all details one more time • Present package, cost, and exactly what it covers Remember, a sale is not a sale without a payment

present a solution (again)

When you feel to conversation is going right, try again for the soft close When you receive the second "no" or hesitation, it is time to wrap up the phone call and move on

your resume belongs to you

this document is yours But don't overdo it. Keep off such personal facts like pets, hobbies, etc.

time

(does the customer have the time to consume the product) time it takes to get a customer or lose a customer

Quantity

(how many units are being sold)

quality of product

(wins/losses, star power)

strategic fit

: the congruence between the sponsor's target market and the audience attracted by a sport property o Demographics o Geography o Psychographics o Brand image o Purchase behaviors

sport sponsorship sales

Corporate sales, corporate partnerships, sport sponsorship is when external organization or company pays for advertising time/exposure with a sport property

examples of sport sponsorship

Lucas Oil Stadium, McDonald's All-American Basketball Game

objections

What is the prospect objecting to? There are many different reasons why people choose not to purchase Ask open-ended questions to find out why Use the "feel-felt-found" method • Feel: relate to prospect's situation • Felt: let him or her know that this initial thought is common, meaning that the situation can change • Found: What you want your customer to do (purchase your product or put a deposit down now...). then present something positive your customer will receive that he or she cares a great deal about.

experiences

Your experiences that are the most relevant to the job you are applying for should be listed near the top

past

already have connection to organization o If you can determine why this group is no longer buying a product develop strategies on how to get them back

resumes should not have

bad grammar and typos

pass-through rights

benefits from sport organization that sponsor gives to its business partners o Ex: if a soft drink company is a sponsor for a team, it might receive tickets, which it gives to grocery stores to use in promoting sales of their soft drink

Common techniques for pricing sponsorships:

cost-plus, relative value, competitive market, a la carte

3 types of customers

current, past, potential

10 common elements packages in sport sponsorships

intellectual property, category exclusivity, media, tickets/hospitality, venue signage, sponsor identification, event marketing/special events, in-game promotions, pass-through rights, direct marketing/use of property's database

Sport organizations have...

more full-time employees devoted to selling than any other department

current

most valuable o Currently demonstrating behavior that includes purchasing and product usage o More likely to spend more and refer new customers o It is 10X more expensive to gain a new customer than to retain an existing one

it all starts at the top...

name should be large, in bold and stick out from the rest of the text

category exclusivity

not allowing a sponsor's competitors to promote their business or products within the sport organization's events or facilities

cost

not just overall cost but the purchase price or payment options, opportunity cost

cost-plus

o A method of pricing sport sponsorship in which the costs of all elements of a sponsorship are added together, along with the sport property's desired profit margin, to develop a final cost

• Sponsor objectives:

o Brand awareness o Sales objectives o Targeting marketing messages to particular market segments o Advantage over competitors o Increase brand loyalty o Showcase community and social responsibility o Sampling and trial usage o Showcase product o Entertain clients o Employee motivation and retention o Demonstrate how the product performs

• Building and maintain strong relationships are key

o Helps with renewals and referrals

active sponsors in sport

o Mega-brands (Coke, McDonalds) o Sport Brands (Nike, Adidas) o Fast-moving consumer goods (soft drinks, snacks) o Financial services (banks) o Auto (Toyota, Nissan) o Telecommunications (Verizon, Sprint) o Travel o Beer o Gambling o Retail

relative value

o Method of pricing sport sponsorships in which the costs of other common marketing options are observed and used to derive a competitive sponsorship asset price

• To ensure renewals, documentation is key

o Needs to be cultivated as the season goes along so you don't have to do it all at once o Binder full of information/documentation about their sponsorship of their product

personal selling

o Use theme based advertising (general media) o Advertise during the broadcast of the sponsored event o Advertise in the event program o Incorporate the sponsoree's logo on packaging and in promotional efforts o Distribute free products o Provide prizes o Place point-of-sale display

questions to ask the decision maker

o What sport sponsorships have worked in the past? o What objectives is the business looking to achieve through the sponsorship? o What are the key challenges facing the business?

media

opportunity to advertise during team-controlled media broadcasts, such as a pre-game coach's show

steps of activation sale

prospecting/research, opening the conversation/build rapport, needs analysis, sale presentation, handling objections, pricing, closing

Four main factors cause customers to buy or not buy

quality of product, quantity, time, cost

event marketing/special events

sponsor has a presence at sport organization's special events such as fan fests, press conferences, or team tailgate parties

venue signage

sponsor messaging is displayed within the sport venue

tickets/hospitality

sponsor receives tickets/access for guests to attend events

in-game promotions

sponsor recognized as provider of fan-centric activities during the event such as giveaways or contests

direct marketing/use of property's database

sponsors gain access to the sport organization's member database allowing the sponsor to market directly to those potential consumers

sponsor identification

sport organization acknowledges sponsor as official partner in certain communications with the media and the public

ticket sales are..

the lifeblood of any organization because so many other revenue streams are dependent on it • Tree trunk of sport organizations

• Value-in-kind (VIK):

the use of a sponsor's goods or services exchanged for a sport property's assets within a sponsorship agreement. The goods or services are traded in lieu of cash, often because it is less expensive for the sponsor, but also meets a need of a sport property which might otherwise have to buy the same goods or services

potential

third priority o Lower interest in product o Higher costs associated with generating awareness/interest o Reasons: Lack of comprehension Lack of interest Lack of accessibility Inadequate resources Loyalty

intellectual property

use of team logos and other trademarked symbols

sponsorship sales

• A sponsorship is when you charge other businesses to advertise their brand at your games to fans • More people at your games more you can charge for sponsorship investments by corporations in a sport property to help support the firm's organizational, marketing and promotional objectives or strategies Mutual benefit of sponsor and sport organization Purpose: marketing tools for companies

other revenue streams dependent on ticket sales

• Concessions, merchandise, parking

ticket sales career--what's it like to work in sports? (it is)

• Fast-paced • Action-packed • Exciting • Competitive rewarding

ticket sales career--what's it like to work in sports? (it is not always)

• Fun and games • Laid back • Lucrative • Easy

goal of activation

• Goal is to have sponsor develop a cohesive strategy between the brand message being sent through sponsorship and all of their other marketing initiatives

proposal in the sponsorship sales process

• Inventory is rarely sold as individual units • Need to package your undesirable inventory with your desirable inventory • Allows sales reps to tailor a specific package to a specific clients to meet their needs and give them a unique experience • No two sponsorship packages will be identical—different things can be negotiated into the deal o Tickets, exclusivity, special access • To ensure renewals, documentation is key • Building and maintain strong relationships are key

needs analysis

• Learn about the potential sponsor's business

common activation strategies

• PR • Advertising • Sales promotions • Direct marketing • Personal selling

prospecting/research

• Pool of potential sponsorship buyers is not nearly as deep as it is for potential ticket buyers • Fill primary and secondary sponsorship categories first

handling objections

• Price/budget • Lack of belief in sport marketing to meet objectives • Down economy • Engaged in too many other marketing efforts • Sport property doesn't fit the right demographics

opening the conversation/build rapport

• Selling sponsorship is all about timing • People like to do business with people they trust

sales presentation

• Start with brainstorming ways the organization can meet the prospect's business objectives • Invite the prospect to experience or sample the product before seeing the sales presentation (intervention) • Eduselling • Should be no more than 3 pages and hit all key objectives: o Intro o Overview of the property's fan demographics o Highlights of how the inventory meets the prospect's needs o Fee structure o Call to action

perception

• Ticket sales drive attendance, which affects perception • Empty arena hurts your image o Makes team look undesirable • Full stadium shows that games are the place to be and drives sales (FOMO)