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SC SPTE 380 - Market Research in the Sport Industry and Market Segmentation

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SPTE 380 1st Edition Lecture 5Last Lecture:• Chapter 3 Understanding the Sport ConsumerObjectives:• To recognize the differences among socialization, involvement, and commitment for sport consumers• To understand the various individual and environmental factors that shape consumer involvement and commitment in sport• To understand the decision process for sport consumers• Key Questions About Sport Consumers• Who are my consumers—past, present, and future—in terms of both demographics (age, sex, income) and psychographics (attitudes, opinions, lifestyles)?• Where do my consumers reside? Where do they work? How do they travel to and from the places where they consume my product?• Where, when, and how have my consumers been exposed to my product?• How and why did they become involved with my product?• If they have been committed to my product, why? Why have some lost that commitment?• Socialization– The process by which people assimilate and develop the skills, knowledge, attitudes, and other “equipment” necessary to perform various social roles.– Socialization involves two-way interaction between the individual and the environment.• Sport Involvement• Behavioral involvement• Cognitive involvement• Affective involvementBehavioral Involvement– The hands-on doing, such as participation in the sport itself or activities like watching, listening, and cheering, either in the venue or through media consumptionCognitive Involvement– The acquisition of information and knowledge about a sport through means such as media accounts, interviews with coaches and players, or discussions with other fansAffective Involvement– The attitudes, feelings, and emotions that a consumer has toward an activity developed through activities like pep rallies, tailgating, or even watching certain advertisements These notes represent a detailed interpretation of the professor’s lecture. GradeBuddy is best used as a supplement to your own notes, not as a substitute.Commitment– The frequency, duration, and intensity of involvement in a sport or the willingness to expend money, time, and energy in a pattern of sport involvement• Sport Commitment Segmentation– Researchers have segmented sport consumers based on their level of involvement orcommitment.• Sport marketers must continually– develop ways to nurture consumer commitment and– engage in more research to understand consumer involvement and commitment.• Commitment and InvolvementSport marketers and researchers have examined many of the factors that affect sport commitment and involvement.• These factors can be grouped into two categories:• Environmental factors (external influences)• Individual factors (internal influences)• Environmental Factors– Significant others (family, peers, and coaches)– Cultural norms and values– Class– Race and ethnicity– Gender and sexuality – Culture in the global marketplace– Market behavior of sport firms – Individual Factors– Self-concept and social identity– Stage in the life or family cycleLearning• Perception• Motivation• Emotion• Learn → Feel → Do• Feel → Do → Learn • Do → Feel and learn• Perception• Defined as the process of scanning, gathering, assessing, and interpreting information in the environment.• Sport consumers come in contact with the sport product in many ways and through multiple senses (sight, touch, smell, and so on).• Sport marketing examples that demonstrate the importance of perception to consumer behavior include the following:– Scarcity of tickets– Venue cleanliness– Exposure to violence• Motivation– Achievement and self-esteem– Craf– Health and fitness– Fun and festival– Eros– Affiliation or community– Eustress, risk, and gambling – Entertainment and escapeDecision-Making Process• Need recognition• Awareness or information search• Evaluation of choices: Product family, class, line, type, and brand (see next slide)• Purchase decision• Experience• Evaluation of experience• Post evaluation behavior • Satisfaction = Repetition• Dissatisfaction = Drop out• Marginal satisfaction = Reevaluate Evaluation of Product Choices• Product family: Within the realm of leisure, people make choices between broad familiessuch as competitive sports, outdoor recreation, and hobbies.• Product class: Among the many classes of sport are motorsports, water sports, field sports, and team sports• Product line: Within the team sport class are lines of products such as bat and ball sports, ball-only sports, and stick and ball sports. • Product type: Within the ball-only line are product types such as rugby, world football, and American football.• Product brand: Within the product type of American football are various brands, including the NFL brand, the NCAA brand, and more specific items like the Packers brandand the SEC brand.Sport Consumer Studies• Sport marketers have many sources of market research data. As they sort through such studies, they must be careful to interpret elements of the research such as– definitions,– methodologies, and– sampling.Current Lecture:Market Research in the Sports IndustryChapter 4 Market Research in the Sport Industry (pg. 88)Objectives• To become aware of the various sources of data and information available within the sport industry and how businesses go about obtaining or collecting data• To understand which business functions benefit the most from data-driven decision making• To understand how the sport industry uses market research methodologies in daily business activities through case study examplesSport Market Research• Within the sport industry, market research is defined as the provision of insight and information on sports fans culled from a variety of data sources.• Ex: Wrangler’s used market research by surveys (primary) and demographics of Austin (secondary/quantitative)Sources of Information• Syndicated data are data that have been collected, organized, and repackaged for consumption.• Ex: Marketing to Retirees Strategy- getting retirees to attend event Tactics- newspaper – U.S. Census– Demographic profiling (data provided by syndicated research companies)– Audience measurement (e.g., Nielsen or Arbitron)– Broadcast exposure (e.g., Joyce Julius or Repucom)– Custom research uses customized methodology and collection of data for use by a specific source.– Custom


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