Marketing is a wide domain and is now a pillar of the corporate world (Skarmeas, Zeriti, & Baltas, 2016). The definition of it describes perfectly the multitude of aspects it takes into consideration “Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large” (Gundlach & Wilkie, 2009, p. 260). In the particular case of sport marketing, it is wrongly seen as a way to sell goods directly, sport marketing is about creating storytelling, enhancing products perception of customers through the uncertainty of a sport tournament (Beech & Chadwick, 2007). Consumers are rationales, marketers know well their memory …show more content…
This is why marketers affiliate their brands with celebrities, as seen earlier consumers’ memory is story-based, sponsoring a celebrity is buying a piece of history for a brand and allowing fast identification by consumers (Stotlar, 2009). McCracken (1989) has shown how effective could be the endorsement of a celebrity by determining the meanings that consumers would associate with endorsers and brands. As the sportswear industry is saturated in western markets companies have been looking at emerging markets for more than a decade, as the sport and entertainment industry became a global product, companies target international celebrities as part of their global marketing strategies (Ciochetto, 2011). This does not mean that all celebrities sell, in the pursuit of customer acquisition some companies fail to remember that the celebrity culture transfer may not affect customers, sometimes because the public does not perceive the correlation between the celebrity and the brand (Hung, 2014). A successful endorsement is a culture exchange, for the sportswear industry, the athlete gives his performances, his search for the best ones, his failures as well which if they can be overcome create great storytelling, on the other side the brand gives him prosperity, media coverage through adverting and sometimes posterity (Wu, …show more content…
The brand equity is intangible, but represents the perception of a brand from customers, sales can represent the effect of a certain marketing strategy over a short period, but the brand equity is not about short-term revenue (Ha, 2011). Companies seek to maintain at all time a high level of brand equity when expending, marketers in the sportswear industry monitor the level off the factors to understand where their brand stands and where they should focus according to the results for a long term performing brand (Sriram, Balachander, & Kalwani, 2007). These metrics have created new data for the marketers such as the Customer Lifetime Value (CLV) which is the current value of future cash flows of a customer during his relationship with the company (Stahl, Heitmann, Lehmann, & Neslin, 2012). The CLV is highly related with the customer loyalty, when expanding their marketing strategies, brands need to retain their base of customer, the physical evidence of it are the loyalty programs (Steinhoff & Palmatier, 2016). Customers are more likely to be loyal to a brand if they own a loyalty card, particularly in the retailing industry, it develops a sense of belonging from customers (Beck, Chapman, & Palmatier,
Shank, Matthew D. Sports Marketing: A Strategic Perspective. Upper Saddle River, N.J: Pearson Prentice Hall, 2009. Print.
I have choosen to use th XFL as a marketing vehicle for my energy/supplement bar. The XFL has been able to position itself as a fast paced hardcore football league. The nature of the leage would compliment the nature of my product in that people will assosiate my product with the action on the field. The league is focusing on a younger active audience and that is the same target market that I am looking to reach with my product. The high awareness and anticipation for the league makes this an ideal time for my product to be introduced to the market.
The notion of "marketing myopia" has haunted marketers since Theodore Levitt published his famous article "Marketing Myopia" in Harvard Business Review in 1960. Levitt argues that companies which narrowly focus on the product to the detriment of customer requirements (i.e., dispensing with the marketing concept) suffer from marketing myopia. Myopia or shortsightedness is often apparent within organizations. Several types of marketing myopia can be identified including classic myopia, competitive myopia and efficiency myopia. Companies displaying one of these three elements are clearly distinguishable from innovative firms which embrace the marketing concept in practice and which have a much broader scope than is required for a single business sector. In order to overcome myopia and become innovative, the following is recommended:
Most retailers know that the appearance of their stores plays a big part in determining consumer behavior. As such, they seek to use it to their advantage. Sport Chek sells various types of sports merchandise mainly to middle and upper class citizens of Canada. The company has many stores and online portals. The design of the stores communicates to customers that goods in the store are of high quality. Therefore, customers come with the expectation to pay a premium. The main elements that the store uses to influence consumer behavior include the choice of construction materials, careful choice of colors and shapes, and creative use of lighting. These elements have an impact on the affective, cognitive, and behavioral responses of potential customers. The channel strategy used by the company is effective because of Sport Chek’s strong brand name. The company can benefit more from a better channel strategy for its online shopping portal that can help it to take advantage of the global high-end sports market.
Mihai, Alexandru. “The Strategic Sports Marketing Planning Process.” Manager. Manager Journal, 2013. Web. 6 December 2013.
...of brand equity in an organizational-buying context. Journal of Product & Brand Management, Vol. 6(6), pp. 428-437.
In the field of marketing as with almost every major or career path people want to inform and teach others about their trade or what they have interest in. These sources in the field may come from magazines, books and reports as well as websites online. There are two types of sources when it comes to delivering that message to the attended audience, first there are authoritative sources which are done by someone that is actually in the selective field of work, these could be trade or a scholarly journal. The other type are popular sources which are done so by someone in that has interest in the field but is not quite in it but with knowledge about it to share with others. When it comes to sports marketing and player personnel
In dealing with New Balance’s weakness in the area of marketing it would be beneficial for the company to find a celebrity to endorse their product line. New Balance has always been against celebrity endorsements which emphasize fashion trends and sway potential customers more by popular personalities than by performance and function. This has severely limited the company’s ability to reach the same kind of global awareness as its competitors. New Balance should find a serious, yet well known athlete who holds to the same kind of ideals as the company, to endorse their brand. This will create the type of brand recognition that they need in order to stay competitive.
Brand equity is crucial as it implies that the brand itself is an important (financial) asset and can be calculated in financial terms (Barwise, 1993). This is particularly important in the luxury sector as from a behavioural viewpoint, brand equity can differentiate a company or product from other competitors, adding to their competitive advantages based on non-profit competition (Aaker, 2004). The model created by Aaker (1992) states that there are four categories of brand equity; Loyalty, Awareness, Perceived Quality and Associations. Luxury branding relies on a high level of perceived quality, loyalty and associations, although potentially less so for awareness, as it is thought that consumers choose luxury brands based on their exclusivity and as such the more the awareness that surrounds the brand, there is potential for it to become less valuable (Phau and Prendergast,
Commercialization is the process of introducing a product to either a mass or niche market. Owners, often, encourage such commercialization because it helps to expose their team or sport to larger audiences, which will help generate revenue. Commercial sport is something not all people are comfortable with or like. I think that it has its place within professional sports alone. But we are seeing it more and more at the college level with Div. 1 NCAA Men’s Basketball and Football. At an elite amateur level, like colligate sport, I think is where commercialization is a bad thing because it takes away from what amateur sport is really about which is participating in athletics while learning. However, the same cannot be said about professional sports. In elite sport, I think that it is almost a required concept. It’s something that is necessary for the survival of the sport itself. Without commercialization, teams wouldn’t be able to pay the players the salaries of their contracts
The main purpose of advertising is to sell a product or service to the consumer market. Advertising uses many different types of appeal and a number of media to achieve a variety of goals. Advertising is the most effective means to get the word out about products, services, events, charities, and just about anything else that one can think of. Where would sports be today without advertising? Advertising in sports has helped the sports world grow into one of the most profitable industries in the world.
Simon, C.J., & Sullivan, M. W. (1993). “The measurement and determinants of brand equity: A financial approach”. Marketing Science, 12(1), 28-52.
Celebrity endorsement is an exceptionally powerful tool to pick up consumer interests and faithfulness to a particular brand in a cluttered marketplace (Hung 2014, 3). The use of famous celebrities as endorsers is predominant in promoting a brand and leading companies invested a large sum of money to endorse their brand (Kim 2012, 1). Celebrities have been one of the preferred endorsers as they have the capability of capturing the customers’ attention due to the fame and status they project (Shimp, 2000; Till & Ship, 1998 quoted in Kim 2012, 1). Celebrity endorsement is defined as ‘an individual or organisation of repute is used to endorse the products, services or activities of another organisation’ (Canning and West 2006, 2). Celebrities
In conclusion, the customer- based brand equity model is an important platform that may help in building a strong brand. It could assist a company in assessing its progress as well as providing a blueprint for marketing research activities. If properly planned and implemented, it could help the company in achieving its marketing strategies and in the realization of an increased profit margin
The marketing mix is important to the sport industry because it allows a sport marketer to better understand the market they are selling in, and enables a sport marketer to generate an increase in revenue. The marketing mix contains the four p’s, which include: product, price, place and promotion. Each of the p’s in the marketing mix are all vitally important because they are what you are selling, why you are selling, where you sell it at, and how you promote what a sport marketer is selling. The marketing mix is essential to the sports industry because it enables a sport marketer to better understand their product, and improve sales.