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
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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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
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
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
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
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
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 start-
up 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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