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Annotated Instructor’s Edition

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Sports and Entertainment Marketing, 3rd edition

Ken Kaser, Dotty Boen Oelkers

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REVIEWERSMichael BeemanMarketing TeacherTift County High SchoolTifton, GA

Cathy BishopTeacher, Marketing DepartmentBartlett High SchoolBartlett, TN

Timothy P. BufordMarketing TeacherCross Creek High SchoolAugusta, GA

Neill CarvalhoMarketing TeacherPhoenix High SchoolPhoenix, OR

Howard LevyMarketing EducatorStamford High SchoolStamford, CT

Sissy LongMarketing SpecialistDECA, Inc.Birmington, AL

Cynthia K. PerryMarketing TeacherClinton Technical SchoolClinton, MO

Patrick PetersenMarketing/Business InstructorLakeville South High SchoolLakeville, MN

Gay SabomTeacher, Marketing EducationNorthbrook High SchoolHouston, TX

Karen M. SandersInstructor, Career and Technical EducationEast Chapel Hill High SchoolChapel Hill, NC

Rocı́o SantaTeacher/Chair Business DepartmentSouth Division High SchoolMilwaukee, WI

Donald William ShumakerTeacher and DECA advisorSpring Valley High SchoolLas Vegas, NV

Mark SteedlySports Marketing InstructorGreat Oaks / Winton Woods High SchoolCincinnati, OH

Susan P. Van WinkleTourism, Marketing, and Business InstructorMilwaukee Area Technical CollegeOak Creek, WI

ABOUT THE AUTHORSKen Kaser taught business education at Lincoln Northeast High School in Lincoln,

Nebraska for 18 years and Marketing Education in the Fort Bend I.S.D. in Texas for the past

ten years. Ken has authored or co-authored seven books; written local, state, and national

curriculum; served in many professional leadership roles; and received numerous teaching

awards at the state, regional, and national levels.

Dotty Boen Oelkers is an author and educator. She is the owner of an educational

consulting business, Developing Educational Solutions, Inc. (DES) in Conroe, Texas. DES

helps school districts find dynamic ways to improve career and technology education

programs. Dotty was previously a marketing education teacher and director of career and

technology education in Texas.

Kaser-oelkers_0538445157_FM, 2/8/7, 12:32, page: 4

Sports and EntertainmentMarketing

Contents

Chapter 1 What Is Sports and Entertainment Marketing? 2Lesson 1.1 Marketing Basics 4Lesson 1.2 Sports Marketing 12Lesson 1.3 Entertainment Marketing 17Chapter Assessment 24Case Study/Winning Edge 28

Chapter 2 Sports and Entertainment Means Business 30Lesson 2.1 Sports and Entertainment Economics 32Lesson 2.2 Risk Management 37Lesson 2.3 Business Ethics 42Lesson 2.4 Financial Analysis 47Chapter Assessment 52Case Study/Winning Edge 56

Chapter 3 The Wide World of Sports and Entertainment 58Lesson 3.1 Industry Segments 60Lesson 3.2 Special Marketing Tools 66Lesson 3.3 Destinations: Travel and Tourism 73Lesson 3.4 Worldwide Sports and Entertainment Events 78Chapter Assessment 84Case Study/Winning Edge 88

Chapter 4 Hit a Home Run with Customers 90Lesson 4.1 The Marketing Concept 92Lesson 4.2 Discover What People Want 97Lesson 4.3 Target Markets 103Lesson 4.4 Customer Service 108Chapter Assessment 114Case Study/Winning Edge 118

Chapter 5 Marketing-Information Management 120Lesson 5.1 The Need for Speedy Information 122Lesson 5.2 The Marketing Research Process 126Lesson 5.3 Managing the Information 133Chapter Assessment 138Case Study/Winning Edge 142

Chapter 6 The Marketing Game Plan 144Lesson 6.1 The Game Plan 146Lesson 6.2 Entertainment and Sports Strategies 152Lesson 6.3 Mapping the Plan 158Chapter Assessment 164Case Study/Winning Edge 168

Chapter 7 The Product Is Sports and Entertainment 170Lesson 7.1 The Product Mix 172Lesson 7.2 Recruiting Athletes and Entertainers 177Lesson 7.3 Customized Entertainment 183Lesson 7.4 Product Marketing Strategies 188

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iv Contents

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Chapter 8 Choose the Channel 200Lesson 8.1 Global Channels of Distribution 202Lesson 8.2 Sports Distribution 208Lesson 8.3 Entertainment Distribution 214Lesson 8.4 Technology and Distribution Media 219Chapter Assessment 224Case Study/Winning Edge 228

Chapter 9 The Economics of Supply and Demand 230Lesson 9.1 Supply and Demand 232Lesson 9.2 Pricing Strategies 237Lesson 9.3 Market Conditions 242Chapter Assessment 248Case Study/Winning Edge 252

Chapter 10 Sports and Entertainment Promotion 254Lesson 10.1 Promoting Sports and Entertainment 256Lesson 10.2 Advertising and Placement 261Lesson 10.3 Publicity and Sales Promotions 267Chapter Assessment 274Case Study/Winning Edge 278

Chapter 11 Promotional Planning 280Lesson 11.1 Promotional Plans 282Lesson 11.2 Sponsorships and Endorsements 288Lesson 11.3 Promotional Events 294Chapter Assessment 300Case Study/Winning Edge 304

Chapter 12 Selling Sports and Entertainment 306Lesson 12.1 The Sales Process 308Lesson 12.2 Ticket Sales 313Lesson 12.3 Group and Corporate Sales 319Chapter Assessment 324Case Study/Winning Edge 328

Chapter 13 Sports and Entertainment Legal Issues 330Lesson 13.1 Laws 332Lesson 13.2 Labor Unions 338Lesson 13.3 Agents and Contracts 344Chapter Assessment 350Case Study/Winning Edge 354

Chapter 14 Creating, Owning, and Operating aBusiness 356Lesson 14.1 Entrepreneurship and Business

Ownership 358Lesson 14.2 Managing Human Resources 363Lesson 14.3 Safety and Security 369Chapter Assessment 376Case Study/Winning Edge 380

Chapter 15 Scoring a Career 382Lesson 15.1 Choosing and Preparing for a Career 384Lesson 15.2 Student Professional Organizations 390Lesson 15.3 Continued Professional Development 396Chapter Assessment 402Case Study/Winning Edge 406

Glossary 408Index 415

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Contents v

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DESTINATION: MARKETING SUCCESSSports and Entertainment Marketing, 3e brings excitement and relevance toyour marketing course. Changes in this edition were based on the feedbackreceived from instructors across the country. Three new chapters, expandedcontent coverage, more activities and projects, examples that cover a widervariety of teams and artists, increased coverage of the entertainmentindustry, and new photos combine to improve this edition. By presenting

key marketing concepts using real examples from sports and entertainment, learning becomes easier andmore permanent. Comprehensive Case Studies and Winning Edge activities for BPA, DECA, and FBLA.events in every chapter allow users to participate in competitive events in a nonthreatening environment,while building presentation skills, marketing competencies, and confidence. Icons in the text visuallyidentify the marketing concepts covered, linking theory to practice.

Instructors save time and improve planning using the wealth of resources in the Multimedia Module.The variety of review and assessment activities integrated throughout the text and supplements streamlinesassessment and provides lots of opportunities for reinforcement. Minimize prep time and maximizelearning by using these multimedia instructional materials: Annotated Instructor’s Edition, ExamViewelectronic testing CD, and Instructor’s Resource CD.

MANAGE THE COURSE WITH MULTIMEDIA

l Multimedia Module Keep interest levels high and instruction relevant with the wealth ofresources included in the Multimedia Module: Instructor’s Resource CD, AnnotatedInstructor’s Edition, and ExamView CD

l Annotated Instructor’s Edition* Teaching suggestions, lesson plans, answers to textactivities, and additional resources at point of use make planning, teaching, andassessment easier

l Instructor’s Resource CD* Lesson Plans and PowerPoint presentations are portable andeasily accessible

l ExamView CD* Test creation, delivery, and grading are quick and easy with thiscomplete test bank and electronic assessment tool

©2008 Thom

son South-Western, a part of The Thomson Corporation. Thomson, the Star logo, and South-Weste

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* Included in the Multimedia Module

vi

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National Marketing Standards—We’ve Got You CoveredNational Marketing Standards—We’ve Got You CoveredYour planning and teaching just got a little easier. You can cover national marketing standards using anindustry that brings relevance to learners. Sports and Entertainment Marketing follows the MarketingEducation Resource Center1 core standards for the marketing curriculum, described as follows:

Distribution Understands the concepts and processes needed to move, store, locate, and/or transferownership of goods and services

Marketing-Information Management Understands the concepts, systems, and tools needed to gather,access, synthesize, evaluate, and disseminate information for use in making business decisions

Pricing Understands concepts and strategies utilized in determining and adjusting prices to maximizereturn and meet customers’ perceptions of value

Product/Service Management Understands the concepts and processes needed to obtain, develop,maintain, and improve a product or service mix in response to market opportunities

Promotion Understands the concepts and strategies needed to communicate information aboutproducts, services, images, and/or ideas to achieve a desired outcome

Selling Understands the concepts and actions needed to determine client needs and wants andrespond through planned, personalized communication that influences purchase decisions andenhances future business opportunities

vii

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To theStudent

WELCOME TO SPORTS AND ENTERTAINMENT MARKETINGThe field of sports and entertainment marketingis rapidly growing. Many colleges, universities,and high schools offer specializations in sportsand entertainment marketing. In this text youwill explore the intriguing world of sportsand entertainment from the perspective ofmarketing. The core standards of marketingthat are presented are intended to be a guidein taking your first career step into the excitingworld of sports and entertainment marketing.

The core standards of marketing are visuallyidentified by icons throughout the text.

Winning Strategies presents real world strategiesused by successful sports and entertainmentmarketers.

Cyber Marketing investigates how technologyand the Internet help marketers work moreeffectively.

MARKETING CORE STANDARDS

In addition to the six corestandards, the text also covers theimportant topic of financing.

Opening Act begins each lesson and encouragesyou to explore the material in the upcominglesson. Opening Act also gives you opportunitiesto work with other students in your class.

Judgment Call examines legal and ethical issuesthat exist in sports and entertainment business.

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viii To the Student

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Marketing Myths explores some common mythsthat surround advertising and promotion forsports and entertainment.

Intermission provides you with an opportunity toassess your comprehension at key points in eachlesson. Ongoing review and assessment helps youunderstand the material.

Time Out introduces you to interesting facts andstatistics about sports and entertainmentbusinesses.

Point Your Browser includes internet activitiesand crossword puzzles for every chapter.

Project Extra Innings provides you with agroup project in every chapter.

Take a Bow acquaints you with people whohave succeeded in sports and entertainment.

Encore provides you with an opportunity toassess your knowledge at the end of everylesson.

Winning Edge prepares you for BPA, DECA, andFBLA competitive events.

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