RST 325 Quiz 4 Chapters 17 and 18, Sponsorship reading

why internal marketing is important?

- a culture that supports customer service through policies, procedures, benefits, health care, and allowed days off -When a firm empowers its employees and moves the authority and responsibility to make decisions to the line employees

Step 5: Handling Objections

-Do not take objections personally. -View objections as request for information. -Anticipate specific objections. -Investigate the objections with the customer. -Be aware of competitor's products. -Stay calm. -Use the objection to positively close the sale.

Culture

-customs and traditions (ex: language, product presentation, colors and graphics) -standardization vs adaptation

Political Structure and Actions

-governance structures of sport -types of regulations -legal considerations

Globalization of sports

-growth boosted through global events -ex: Olympics, World Cup, Rugby World Cup, World Baseball Classic

Economic Factors

-level of economic development in country -cost of doing business -balance of trade

The Global Economy

-slow economic growth -development of BRICS countries

Demographic Makeup

-urban vs rural -purchasing power -world's population aging

Natural Resources

-water scarcity -natural resource depletion -resource location and quantities (ability to restrict supply, international dependencies)

Triple Bottom Line

1) economic 2) social-cultural 3) environmental

internal marketing process

1. Establish a service culture 2. Develop a marketing approach to human resource management 3. Disseminate marketing information to employees

Social Media Plan

1. Listen 2. Set social media objectives 3. Define strategies 4. Identify the target audience 5. Select tools and platforms 6. Implement and monitor the strategy

Global Marketing

A marketing strategy that consciously addresses customers, markets, and competition throughout the world.

Global Events

Are at the apex of the pyramid. As the name implies, they have the broadest coverage and are covered extensively around the world.

International Events

Are the next level in the hierarchy. For any event to be considered international in scope, it might (1) have a high level of interest in a broad, but not global, geographic region, or (2) be truly global in scope but have a lower level of interest in some of the countries reached.

advertising and sales promotion

Communicate openly and honestly with consumers and resellers Avoid deceptive or false advertising Avoid bait-and-switch advertising Conform to all federal, state, and local regulations

Global marketing costs

Countries can restrict trade and create barriers resulting in unfair competition Job outsourcing; job insourcing

External Environmental Factors

Culture Economic Development Political Structure Demographic Makeup Natural Resources

Sponsorship Budgeting Methods

Determining competitive parity, arbitrary allocation, percentage of sales, and the objective and task method sponsorship budgeting methods

benefits of GM

Expanded economic freedom Increased competition Increased probability Increased standard of living Exchange of ideas

Athletic Platform

For sponsorship, the choice of team, sport, event, athlete, or level of competition

Tourist market segment

Group of individuals who share the same characteristics, wants, interests, etc.

Regional Events

In the Sports Event Pyramid, events that have a narrow geographic focus but high interest levels in the region

national event

In the Sports Event Pyramid, events that have an extremely high level of interest among consumers in a single country or two countries.

local events

In the lowest level of the pyramid. They have the narrowest geographic focus, such as a city or community, and attract a small segment of consumers that have a high level of interest in the event.

Sports Event Pyramid

KNOW EXAMPLES...Global Events (Olympics), International Events (EU Soccer), National Events (SuperBowl), Regional Events (Boston Marathon), Local Events (PGH Great Race). David Shani and Dennis Sandler have developed a way to categorize various sponsorship opportunities

social media impact on marketing

Lack of control Ability to share experiences quickly Avenue for listening New methods to consumer monitoring More direct and meaningful conversations with consumers

sport sponsorship acquisition

Model of the corporate sponsorship decision making process by Arthur Scott and Woods

Sponsorship Evaluation

Process of determining the sponsorship decision by the buying center in the organization

Relationship selling V Transactional selling: Relationship selling

Sales Techniques: Flexible presentations that are customized for each buyer, and are focused on identifying customer's needs and want to reach the best solution(s). Length of the sales cycle: Long term- focused on maintaining the relationship over an extended period of time with the generation of higher quality new customers that can be further developed long-term. Importance of relationships between the parties: It is important for the relationship to develop between both buyers and sellers. Levels of trust: High levels of trust are required are required to develop and maintain the relationship over an extended period of time. Outcomes: Win-win, where each party is trying to create additional value for both parties Performance assessment: While amount sold and profit for sale are important, customer satisfaction and support activities are also important and assessed. Pros: Highly customer-centric More value-creation focused Less price-focused Higher levels of customer satisfaction Cons: Higher cost per contact/presentation More complex to assess salesperson performance Requires highly skilled and knowledgeable salespeople

Relationship selling V Transactional selling: Transactional selling

Sales Techniques: Often canned, non-flexible, presentations that are repetitive from one presentation to the next. Length of the sales cycle: Short term- focused on closing the sale as quickly as possible and moving to the next potential customer/sale. It has limited to no focus on customer development. Importance of Relationships between the parties: Low expectation and importance of the relationship between the two parties beyond the immediate transaction. Levels of Trust: low to limited levels of trust are required beyond the actual transaction Outcomes: Win-lose, where each party is trying to get the most benefit without considering the other party. Performance Assessment: Mainly output/sales based and focused on the amount sold and/or profit per sale. Pros: Lower levels of employee training are required. Easy assessment of performance Cons: Promotes more price-based competition Can create an environment where selling the customer more products than needed is acceptable Lower levels of customer satisfaction Lower levels of repeat business

Designing a sports sponsorship program promotional strategy

Sponsorship objectives Sponsorship budgeting Sponsorship acquisition Implementing and evaluating the sponsorship

e-marketing

Strategic process of creating, distributing, promoting, and pricing goods and services to a target market over the Internet or through digital tools

Sales increases

The eventual objective for nearly all organizations involved in sponsorship programs. The hierarchy of effects model of promotional objectives, which states that awareness must come before action or sales), the major objective of sponsorship is to increase the bottom line.

Personal selling is more important if...

The product has a high value It is a custom made product There are few customers The product is technically complex Customers are concentrated Examples: Insurance policies, custom windows, airplane engines

advertising and sales promotion is more important if...

The product has a low value It is a standardized product There are many customers The product is easy to understand Customers are geographically dispersed Examples: Soap, magazine subscriptions, cotton T-shirts

social networking sites

Web sites that allow individuals to connect—or network—with friends, peers, and business associates

media sharing sites

Web sites that allow users to upload and distribute multimedia content like videos and photos

needs assessment

a determination of the customer's specific needs and wants and the range of options the customer has for satisfying them (preapproach)

cold calling

a form of lead generation in which the salesperson approaches potential buyers without any prior knowledge of the prospects' needs or financial status

sales presentation

a formal meeting in which the salesperson presents a sales proposal to a prospective buyer

Step 4: sales proposal

a formal written document or professional presentation that outlines how the salesperson's product or service will meet or exceed the prospect's needs

customer-centric

a philosophy under which the company customizes its product and service offering based on data generated through interactions between the customer and the company

Networking

a process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow members in professional and civic organizations (lead generation)

Step 3: Preapproach

a process that describes the "homework" that must be done by a salesperson before he or she contacts a prospect

blog

a publicly accessible Web page that functions as an interactive journal, whereby readers can post comments on the author's entries

personal selling

a purchase situation involving a personal, paid-for communication between two people in an attempt to influence each other. Offers several advantages over other forms of promotion. Provides a detailed explanation or demonstration of the product.This is especially needed for complex or new goods and services. It should only be directed toward qualified prospects. It is considerably more effective than other forms of promotion in obtaining a sale and gaining a satisfied customer.

referral

a recommendation to a salesperson from a customer or business associate (lead generation)

Image Building

a sponsorship organization associates itself and/or its brands with the positive image generated by the unique personality of the sporting event.It is a two-way street for both the sponsoring organization and the sports entity. The sponsoring organization associates itself and/or its brands with the positive images generated by the unique personality of the sporting event.

Quota

a statement of the salesperson's sales goals, usually based on sales volume

social commerce

a subset of e-commerce that involves the interaction and user contribution aspects of social online media to assist online buying and selling of products and services. combination of social media and e-commerce

point-of-sale interactions

a touch point in stores or information kiosks that uses software to enable customers to easily provide information about themselves without feeling violated

social media

any tool or service that uses the internet to facilitate conversations. The most exciting thing to happen to marketing and promotion in recent years is the increasing use of online technology to promote brands, particularly using this. An exciting new field, and its potential

transactional selling

approach that focuses on making an immediate sale with little concern for developing a long-term relationship with the customer a form of personal selling that focuses on making an immediate sale with little or no attempt to develop a relationship with the customer

Influencers

are individuals who can impact the decision making process. These individuals often have information regarding the sports entity that is requesting the sponsorship. The influencers have acquired this information through contacts they have in the community or industry.

purchasers

are responsible for negotiating contracts and formally carrying out the terms of the sponsorship.

touch points

areas of a business where customers have contact with the company and data might be gathered

corporate blogs

blogs that are sponsored by a company or one of its brands and maintained by one or more of the company's employees

microblogs

blogs with strict post length limits

Integrated Marketing Communications (IMC)

carefully integrating and coordinating the company's many communications channels to deliver a clear, consistent, and compelling message about the organization and its products Represents the promotion dimension of the four Ps; encompasses a variety of communication disciplines—general advertising, personal selling, sales promotion, public relations, direct marketing, and electronic media—in combination to provide clarity, consistency, and maximum communicative impact.

Sponsorship Clutter

consumers paying less attention to sports sponsorships as they become more the rule than the exception; businesses exploring new sponsorship opportunities (ex: X Games, women's sports, Paralympics) Sponsors want to reach their target market

Gatekeepers

control the flow of information and may limit the alternatives considered

The Tourism Destination (Destinations vs. Macrodestinations): Macro destinations

destinations such as the United States that contain thousands of micro destinations, including regions, states, cities, towns, and visiting destinations within a town

Step 2: lead qualification

determination of a sales prospect's (1) recognized need, (2) buying power, and (3) receptivity and accessibility

campaign management

developing product or service offerings customized for the appropriate customer segment and then pricing and communicating these offerings for the purpose of enhancing customer relationships

Sponsorship Objectives

direct or indirect objectives linked to the promotional planning process. first stage in designing a sponsorship program

economic impact of sponsorship

estimated $62.8 billion in spending in 2017 (up from 4.5% in 2016)

Direct Sponsorship Objectives

have a short-term impact on consumption behavior and focus on increasing sales

tourism development events

i. Event segments ii. Sport Events

Tourism Development- Attractions

i. Types of Attractions ii. Financing State and local revenues derived from taxes on tourism

match-up hypothesis

idea that the source must be appropriate for the product/service. It was described as the more congruent the image of the endorser with the image of the product being promoted, the more effective the message. This simple principle also holds true for sponsorship.

Step 1: lead generation (prospecting)

identification of those firms and people most likely to buy the seller's offerings

noncorporate blogs

independent blogs that are not associated with the marketing efforts of any particular company or brand

Ambush marketing

is a planned effort (campaign by an organization) to associate themselves indirectly with an event to gain at least some of the recognition and benefits that are associated with being an official sponsor. may occur in a variety of ways.

Reaching a new target market

is another primary objective of sponsorship programs. One of the unique features and benefits of sponsorship as a promotional medium is its ability to reach people who are attracted to sports entities because they share a common interest.

sponsorship program

is just one element of the broader promotional strategy. It was suggested earlier that all the elements in the promotional mix must be integrated to have the greatest and most effective promotional impact. However, sponsorship decisions influence much more than just promotion. Sponsorship decisions can affect the entire marketing mix, as the accompanying article shows.

relationship marketing

marketing strategy with the goal of keeping individual customers over time by offering them products that exactly meet their requirements. Building long-term relationships with customers, is one of the most important issues for sports marketers in today's competitive marketing environment.

Relationship selling

multistage process that emphasizes personalization and empathy as key ingredients in identifying prospects and developing them as long-term, satisfied customers. A sales process that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships.

Step 6: Closing the Sale

obtaining a commitment from the customer to make a purchase

The Tourism Destination (Destinations vs. Macrodestinations): Destinations

places with some form of actual or perceived boundary, such as the physical boundary of an island, political boundaries, or even market related boundaries

awareness

the buyer becomes aware of the product

Step 7: follow up

the final step of the selling process, in which the salesperson ensures delivery schedules are met, goods or services perform as promised, and the buyers' employees are properly trained to use the products

decision maker

the person who makes the final decision regarding product purchase or nonpurchase is the individual within the buying center who has the ultimate responsibility to accept or reject proposals.

interaction

the point at which a customer and a company representative exchange information and develop learning relationships

knowledge management

the process by which customer information is centralized and shared in order to enhance the relationship between customers and the organization

negotiation

the process during which both the salesperson and the prospect offer special concessions in an attempt to arrive at a sales agreement (follow up)

social media monitoring

the process of identifying and assessing what is being said about a company, individual, product, or brand

sales process (sales cycle)

the set of steps a salesperson goes through in a particular organization to sell a particular product or service

competition

the struggle among producers for the dollars of consumer. . Many corporate sponsors claim they are not that interested in sponsorship opportunities, but they cannot afford not to do so. In other words, if they do not make the sponsorship investment, their competitors will.

Indirect Sponsorship Objectives

those that ultimately lead to the desired goal of enhancing sales

sustainable tourism

tourism that minimizes the environmental impacts and socio cultural changes, sustains the longevity of a destination, and creates economic opportunity for local communities

internal marketing

treating employees as customers and developing systems and benefits that satisfy their needs

Crowdsourcing

using consumers to develop and market products

sponsorship

was defined as investing in a sports entity (athlete, league, team, or event) to support overall organizational objectives, marketing goals, and promotional strategies. The sponsorship investment may come in the form of monetary support and trade.

types of e-marketing

websites online advertising (search, display) email marketing social media

review sites

websites that allow consumers to post, read, rate, and comment on opinions regarding all kinds of products and services

social news sites

websites that allow users to decide which content is promoted on a given website by voting that content up or down

location-based social networking sites

websites that combine the fun of social networking with the utility of location-based GPS technology