Marketing and Sponsorship in Sports and Events - Coursework Example

Table of Contents

• Introduction……………………………………………………………………………3
• Marketing strategies……………………………………………………………………3
  • Product………………………………………………………………………….4
  • Price …………………………………………………………………………….4
  • Place ……………………………………………………………………………4
  • Promotion ………………………………………………………………………4
  • People …………………………………………………………………………..5
  • Process ………………………………………………………………………….5
  • Physical evidence……………………………………………………………….5
• Importance of relationship marketing for sport…………………………………………5
• Marketing approaches that enhance customer retention………………………………...7
• Future marketing strategies for the venue for sponsorship/partnership agreement……..8
• Future marketing strategies for improving customer retention…………………………10
• Conclusion………………………………………………………………………………14
• References lists………………………………………………………………………….15

Introduction

Sport sponsorship happens when an organization establishes the connection with an outside sports event or any other issue with the aim of influencing the fans or any other person related to that event. The sponsor provides finances, product or offers particular service to be given an opportunity to link with potential clients during the event (Behrooz, 2012, p. 295). A team, an event or a program that need funding can be supported to achieve their aims. Sponsorship is differentiated from advertisement as it can create a link with the customer through the event.

Sport marketing occur when corporations focuses on the promotion of an event or game and on the other hand promote products as well as services they offer and also their brand(Robert, 2007, p. 44). This report will explore marketing strategies employed in sport sponsorship, importance of marketing through sports, approaches for customer’s retention, future strategies for sponsorship agreement, and future approaches for customer retention in details for football game.

Marketing strategies

Product

Sport can be the main product in a certain event such as football game, and can be defined as the grouping of abilities, processes, as well as capabilities that a purchaser that are fans anticipates to be satisfied. Marketers need to know that an event or sport rely much on social facilitation. The fans, sports perceptions are greatly based on persons’ relations with each other (Stephen, 2006, p. 292). The correct feature of a game is that it is a very perishable product. That is the tickets cannot be sold after the game. They are presold, and no inventories are taken. The sports fans are also the makers because fans buy tickets well in advance.

The marketing managers need to make the stadium conducive for fans as well as make the tickets readily available. A good product or service in an event should be worth the money the customers have paid. The company must make sure that they offer what the customer require and not what they think they desire (Robert, 2007, p. 44). The company should regularly evaluate what they provide with what the customers are expecting and how they usually deliver it to the audience. Conduct research on what the audiences want currently and whether their taste or want will change soon.

Price

The worth of a service is in what the fans are willing to pay at that event. The cost of that product or service should be competitive. If the firm has limited resources, and it is competing with a firm that is resourceful in sponsoring a certain event it should provide more personal services (Santomier, 2008, p. 20). The firm needs to utilize different pricing strategies to target different audience in the event.

Place

The venue of the event should be chosen carefully. The venue should be accessible by most people. Thus, one should select a central place. The way of exhibiting the company products or services at an event or during the sporting activities should be in such a way that every audience can view them(Robert, 2007, p. 49). Also, the company should advertise their product online and mention that they will be sponsoring a certain event.

Promotion

Promotion is the technique a firm use to communicate what it is engaged in and what it provides to the consumers. It comprises of personal relation, social media, labeling, advertising, sales organization, offers as well as exhibitions (Stephen, 2006, p. 288). Promotion must communicate the products or services that are offered by that company in the most appealing way. The message the firm will communicate should be in line with that particular sport or event. Promotion should also inform the audiences about the benefits of that particular product.

People

During the event or sport, the support staffs of that particular firm who are interacting with customers should display a good image of the firm. Several customers view the product or service the same way as the staffs who offer that product. The staffs can either create or positive or adverse effects on clients satisfaction during the event.

Process

Currently, customers do the background research on that particular product they are buying. For that reason, the firm should satisfy the audience in the event by explaining to them how that particular product is developed, sold and how it is maintained after purchase.

Physical evidence

Selecting a new product or service for the first time is a challenge to a new customer. These customers are doubtful because they will only realize the benefit of that product after purchase (John & Trevor, 2009, p. 259). During the event, the firm should have their products and demonstrate to the customers how that product is used and the benefit it gives.

Importance of relationship marketing for sport

More tickets will be sold

When the fans know that a certain sport or game they are interested in, they will purchase those tickets. If the advertisement of this game is performed the right way more and more, fans will purchase those tickets to attend that game (Michael, 2006, p. 88). Also, online marketing is an effective platform for selling tickets as more and more people visit the internet on a daily basis.

Increase awareness to the fans

Marketing tickets of a particular game increase awareness to people and the people who are not a fan of that game maybe interested in participating in that game hence they will buy those tickets (Asim, 2012, p. 662). Developing awareness of that sport creates anxiety in the minds of the fans, and they look forward to that game with amusement.

One learns the firm metrics

Marketing a sporting event enables one to determine the firm metrics. When the firm knows the metrics, it can maintain the profitability of a company. The firm can quickly identify accurately how much your normal buyer is worth; you know correctly how much you can pay use in obtaining each new sale. This will enable the firm to sell tickets at a price that will cover the expense incurred in the advertisement.

Trust is developed

The fans and the advertising firm develop trust in each other. Individuals usually trust people they know rather than strangers. If the company constantly assures fans that when they purchase tickets they will get a seat during the match, then the trust will be developed. The more familiar the fans are with the firm selling the tickets, the more they will purchase those tickets (Rifon et al., 2004, p. 39). Creating confidence in customers is not an easy task, and a company should be ready to spend a lot of resource in advertising its products and services they offer, for example, selling of tickets.

The firm builds a social asset

By marketing enables the firms to create a great social asset that the firm can sell goods and service in the future to the potential customers they have already created. Even if the firms used utilized simply marketing strategies such a Facebook page, an email, text message or a phone call, gives the firms an upper hand to link with the potential customers in future (Behrooz, 2012, p. 297). The firms should strive to start building social assets today for the success of their business tomorrow. Sports fans that purchased tickets from a particular firm are likely to purchase another ticket from that same firm as well as refer other fans to buy from that company.

The firms understand the marketplace

Through marketing of sport or an event, the firm will understand the needs of the target population in this case the audience. Marketing enables the firms to know what selling strategies they will adapt when selling tickets to a diverse population and what they need to communicate to the fans about that particular game (Smith &Westerbeek, 2008, p. 391). Marketing usually enables the firms to analyze the entire entertainment industry and know the different strategies the competitors apply to sell the same tickets.

The company discovers what works

Through marketing, the firm advertises their best products and services which they offer. The feedbacks which they receive from the target population will determine whether the advertisement influences the target clients positively or negatively. The firm will then select what works and leave what doesn’t work (Robert, 2007, p. 47). There are many of marketing strategies firm could employ to sell tickets to the fans they just need to find out what the best strategies

Marketing approaches that enhance customer retention

When a firm can be able to retain all their customers at a given time, they can be very competitive in their industry. The following approaches can be used to retain clients in this case fans in a particular sport.

Avoiding Attrition

Almost each firm loses some clients, though many firms do not realize that they are losing their customers on a daily basis. Several companies concentrate mostly on creating the initial relationship with clients but, after some time they break this relationship. Sport is a product in this case and after the game the firm should simply appreciate the fans and ask them if they enjoyed the game (Stephen, 2013, p. 290). These appreciations create a positive impact in the minds of the fans and next time they will buy the tickets from that firm. The most effective way to prosper in business is to retain more and more customers. The firm should ensure that they have the connection with their former customers.

Continuous selling

After the initial sale, the marketer should not be satisfied and ignore the first buyer while concentrating on the next customer. The marketer should express his or her appreciation to the first customer and assure him that he made the correct choice. This continuous usually increases the confidence of the buyer and certainly he will refer his friends to buy from, and he will buy from that firm the next time (Robert, 2007, p. 45). The marketer should also express her concern to the buyer by informing them that they made the right decision.

Bring back your old customers

There is no need of spending thousands of shillings in attracting new customers while most of your old customer will naturally buy from you when use reach them in the most appropriate way. Reviving sports fans you have already sold tickets to is the most effective way to raise the firm earning (Bee &Havitz, 2010, p. 144). Re-contacting with them inquiring why they stopped buying from you and informing them that you will provide quality services to them, you will make them loyal customers again.

Future marketing strategies for the venue for sponsorship/partnership agreement

Consideration of values

The companies involved in an agreement should consider principles and follow them to the details. Effective’s corporations are founded on strong values and principles. These principles should be an exercise on a daily basis and brought to live the same way the firms brings the goods to the market, employ and manage people and the way it handles the marketplace (Stephen, 2006, p.423). This translate to looking past the mass media, spectators demographics as well as impression facts, and analyzing if the organization being sponsored believe in the some things like the sponsor corporation. This consideration is crucial as it ensure that both organizations have the same goal and objectives they want to achieve.

Developing value alignment

Create value arrangement as well as accountability in the agreement. The group considering support should be investigated to determine whether it has well-developed values or not. The sponsoring corporation once it has identified that organization has good values it can to formulate sponsorship agreement in line with their principles (Santomier, 2008, p. 25). Just like an ethics section that's involved in several engagement agreements, a transparent standards alignment section would guarantee that when the supported business alter its development the company's brand, as well as reputation, has protection.

Be active sponsor

The sponsoring company should insist on being involved in major decision making of that organization. Signing huge amount of money does not guarantee that the corporation will have right concerning how the organization performs (John & Trevor, 2009, p. 263). The most supported organization has the tendency of not in involving their sponsor in their daily operations and decision making despite them giving that corporation major rights such as branding, marketing, licensing and advertising. While considering an effective sponsorship agreement the sponsor should be mandated with active functions that involve decision regarding brand reputation as well as value.

Collaboration

Several corporations can merge and sponsor a certain event. These corporations can now force the organization to change their values and policies which are unfavorable thus become a movement of change (Stephen, 2006, p. 421). This prior agreement among sponsoring corporations is beneficial as it help’s eradicate inefficient principles and values in that organization.

Be open-minded

Both parties involved in Sponsorship agreement need to do a lot of analysis. Negotiation for a certain agreement requires creativity from both parties. Sponsors always negotiate for the benefits or advantage they will receive when sponsoring that event to a certain target market. They use a lot of time to influence that negotiation (John & Trevor, 2009, p. 267). The sponsorship seekers also have a role to play to avoid being manipulated by the sponsor. They should develop the best way forward for mutual benefit.

Future marketing strategies for improving customer retention

Communications Calendar

The firm should evade losing their potential clients by developing a good relationship using a rolling calendar. This calendar is planned in a sequence of events, letters, cards, notes, special offers, phone calls and follow- ups among other activities that happen after sales process (Rifon et al., 2004, p. 40). Customers not only reply to gifts in a positive way, but also they appreciate it since they feel appreciated and confident. The firm needs to recognize them, always inform them, and assure them they made the right decision purchasing from that company. These gifts make the customer feel that he is part of that business.

Performing beyond the standards

Satisfying customer above what they expectation makes them more delighted and satisfied. The amusement they received makes them inform their friends the experience they got while doing business with a certain firm (Smith&Westerbeek, 2008, p. 400). Shifting the goods or service the firm provides into supplying much higher qualities of goods and services to various customers will lead the firm in attracting more customers.

Courtesy system

Courtesy in business improves interpersonal skills between the employees and the customers. Also communicating with coworkers courteously and nicely, without mockery, and treating them like the way they ought to treat the firm clients is a sign of respect and understanding within the firm (Robert, 2007, p. 41). The firm managers should also improve the morale of their workers by giving them incentives. These incentives will motivate workers to give quality services and be delighted when dealing with the clients.

Product or service integrity

Long-term achievement and client retention goes to those who follow ethical standards. There must constantly be total steadiness between what the firm say and perform and what the client’s experience (Bee &Havitz, 2010, p. 147). The plan, build value, dependability, as well as serviceability of the good or service, have standards the client desire, require and anticipate. Service integrity is established by focusing on the way the firm manage the minor things and the large. Clients will be involved in the company if the company is transparent, genuine and produce high-quality products.

Measure lifetime worth

There exist differences among the one-off income the firm may receive on a standard sale, which overlooks the larger picture, as well as the entire aggregate profit the firm average client represents throughout the lifespan of their firm relationship with that customer. Once these firms realize how much collective profit a client represents to the business when they buy continuously. They will respect and treat in a respectable way.

Responding to complain

Most customers who are dissatisfied with the particular product or service never complain. They mostly leave and never come back. They usually hate complaining or see complaint will not change anything. The firm should develop a plan in which dissatisfied customers can raise their concerns and suggest their recommendation (Bee &Havitz, 2010, p. 145). The firms should act on these recommendations to ensure those customers are satisfied to the fullest. The consumers who complain have good intentions they want the business to make certain changes that benefit’s both the firm and the customers

Be the expert

Medium and Small-sized companies are turning into being reliant on services to manage their activities. Regardless of the industry the firm engages and is the specialist in that field the firm will have loyal customers. When the firm has customers who trust it, they will regularly seek an advisor from the firm concerning that particular service you are offering (Robert, 2007, p. 39). For example, a company can specialize in information technology and create a connection that leads to dependence. The clients will have confidence in the firm and depend on the firm to give reliable advice. If the firm desire to develop trust with customers, find particular industry and identify challenges those clients are currently undergoing and offer a solution. Agreements, as well as regulations, are common phrases between small companies, such as emerging information technology firms. These companies have abundant and perfect chance to exhibit their know-how and create trust with the clients.

Execute anticipatory service

Preventive service is a proactive method to client service that can be adapted by the companies instead of responding when a fault happens. Companies that implements this method their activities usually flows smoothly and reduces the chances of problems occurring (Chavanat&Ferrand, 2009, p. 657). To attain and uphold this agreement, today’s businesses must create a negotiation with clients that displays a consideration of their desires and respect for their communication inclinations. For instance, most airline texts their customers in advance to inform them of flight delays. Another example is that a company billing units alert clients when an invoice is almost due. In the two instances, the businesses are adopting a proactive method to what seems can emerge into a challenge that leads to worse.

For example, if the firm has a customer who does not have any technological challenge for quite a period, the technical personnel can visit him to know how the device is operating and service it if possible. This ensures that it will continue to service that client for a longer period. By being proactive, the firm can avoid reactive problem solving in the long run as well as establish an insight that the type of business that steadily give anticipatory service to its customers.

Make use of automation

Automation equipment enables time-consuming work requiring physical involvement to be set into repeatable procedures. Businesses that influence automation can reduce stoppage time as well as maintain clients’ links acting at their best. Firms are typically bound by contracts that guarantee their services and make them responsible to customers (Chavanat&Ferrand, 2009, p. 650). By influencing automation tools and rationalization repeatable progress, companies can better meet their promises. Automation enables the company to produce high-quality products.

Conclusion

This paper has clearly explored, marketing strategies employed in sport sponsorship, importance of marketing through sports, approaches for customer’s retention, future strategies for sponsorship agreement, and future approaches for customer retention in details for football game. Sport marketing and sponsorship is a new trend in the twenty first- century as many companies are utilizing this platform to promote their goods and services to vast majority who participate in that sport.

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