FYI Exam Tuesday library 213C Project Single vs. double Due
Monday night via e-mail
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What is marketing?
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Marketing Defined
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Why marketing in recreation? Which sector relies on marketing
the most? Least? How were programs marketed in internships?
Marketing is a function of all staff & not just marketing
staff
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How would you describe these products in promo materials?? 1.
Youth volleyball league 2. ISU Homecoming events 3. New Marriot
Hotel in Uptown Normal 4. Golds Gym Membership 5. Las Vegas 6.
Season tickets to Prairie Thunder Hockey
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Outcomes (Benefits) Focus
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InputsProgramsOutputsOutcomes Resources dedicated to the
programs and services Financial Human Technological Physical
Programs, products & services offered Seniors in organized golf
activity Creative art experience for parent & child City
beautification Volume of work produced or the number of people
served Number of senior golf leagues, # of sr. golfers served # of
Parent/child art classes offered; # of art projects done together #
of flowers planted Benefits received from participation in the
program or service or from buying the product Social interaction
with other seniors; improved BMI or health New appreciation for
each others interests; exposure to different mediums; increased art
appreciation Decreased vandalism in landscaped areas; increased
property values Performance Outcome Model
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Outcomes Focus How do people see us?...value parks &
recreation as a profession or major?
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Think of your favorite recreation activitynot sleep & pass
the grandma test! Why do you like it? What characteristics of it
would convince me to participate?
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Types of Outcomes Personal/Individual Wellness Relaxation
Social Reduce loneliness Strong families Make friends Economic
Preventative health Reduce cost of vandalism Environmental
Conservation Environmental rehabilitation Your program???
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Markets & Segmentation What is a market?
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Markets Set of actual and potential buyers Potential markets
for????? Textbooks Sporting event tickets Hiking boots Nursing
homes Jaguars Is everyone a potential market???
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A few terms
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Mass Marketing Seller mass produces, mass distributes &
mass promotes one product to all buyers Examples??? Weaknesses of
mass marketing for non- mass products
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Market Segmentation Divides a heterogeneous group into smaller
homogenous segments Groups have similar wants & responses Basic
to all marketing efforts
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Target Marketing Seller identifies market segments, selects 1
& develops products and marketing mixes for them Marketing Mix
product, price, place, promotion (4 Ps) Better than mass marketing.
Why? Segmentation criteria (see text)
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FYI Exam 1 ?s Review marketing assignment Sect 4 due 11/8 Third
person Headers
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How would you segment a market? Bases of Segmentation
Demographics Geography Proximity Closeness associated with
involvement Closer to the activity, the higher the participation
Ie. Campus recreation, Thai club
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Tennis Academy of Asia
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Demographics Geography Geoclusters Certain areas (ie. zip
codes) more prone to respond Areas with a lot of members Pockets of
participants See IL map.
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Are there certain geoclusters that are more likely to respond
to US Cellular Coliseum? Examples of the size of the circle
changing? -Athletics: IWU, ISU, U of I -Amusement park -Local
park
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Geoclusters : IU athletics
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Geographic Descriptors for Consumer Markets VariableTypical
breakdown Geographic RegionPacific, Mountain, West North Central,
South Central, East North Central, South Atlantic, Middle Atlantic,
New England City or metro sizeUnder 5,000; 5,000-20,000;
20,000-50,000; 50,000-100,000; 100,000-250,000; 250,000-500,000;
500,000-1,000,000; 1,000,000-4,000,000; 4,000,000 or over
DensityUrban, suburban, rural
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Demographics Income Determines lifestyle Influences advertising
market for certain products Golf vs. football Where would you
advertise these products? Ralph Lauren REI
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Demographics Age One of the most effective variables Consumer
needs very predictable at dif ages Age & stage of lifecycle
similar Income, education, family lifecycle Different cohorts have
different needs & interests How would you describe the Senior
Market? Are they a viable market for sport & recreation? Why,
why not?
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Demographics Age Mature Market 55+ Stereotyped as inactive
& thrifty untrue! Living longer & more active 28% are over
50+. Per capita income is 26% higher than national average Spends
1+ trillion per year on goods & services Buy 41% of new cars;
25% of all toys 80% of the luxury travel markettheir top leisure
activity Senior golf tour, discounts
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National Parks Senior Annual Pass - $80/year; $10 for people
65+ or people with disabilitiesfor the life of the individual.
Bloomington, IN Twin Lakes Recreation Center
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Demographics Age Youth Market How would you describe the Youth
Market? Are they a viable market for sport & recreation? Why,
why not?
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Demographics Age Youth Market Influence purchase of $239
billion per year Tweens - Candy, toys & games Teens clothing
& apparel Influence 20% of all purchases in US Choose teams,
activities & brands earlier Users of the futurePepsi &
Coke
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Demographics Age Example youth as a NASCAR target Hook them
young & white collar Remove tobacco & move to mainstream
sponsors Add kid friendly items
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Carmel Clay Parks & Recreation Dept.
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Demographics Gender Differences between genders in terms of
consumption??? Changes in last 10-20 years in genders What is the
female influence on the sport & rec market?
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Demographics Gender Gender impact on products Bike frames &
seats Smaller golf clubs, tennis racquets, basketballs Ponytail
helmets Hiking apparel designed for both genders Business hotels
decorations more female friendly appealing to men as well Fitness
classes targeting men Separate classes for the non-stereotypical
activity Ceramics for men, woodworking for women
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Demographics Gender Female buying powershe-conomy $2 trillion
women control $1 trillion - women earn Sign 80% of all checks 94%
of home furnishing decisions Initiate 80% of home improvement
projects Purchase 85% of all consumer products
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barbara k! crystal-jeweled toolkit Adorned with more than 6000
Swarovski crystals valued at $5000! This set was given as a gift to
Oscar nominees for Best Actress and Best Supporting Actress. PRICE
$2495.00 barbara k! red toolkit A break from the classic blue, this
limited edition set is a real eye-catcher. Makes a great gift for
the Holidays, Valentine's Day or anytime! PRICE $79.99
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Demographics Race A group of people who share a genetic make-up
which results in biological characteristics that can be used to
distinguish 1 group from another Ethnicity Commonalities passed
down through history & tradition Historical link, shared
religious beliefs, linguistic commonalities, common morals Shared
culture
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Demographics Race & Ethnicity Cant divide based on
race/ethnicity alone Dont stereotype consumption do research
Examples of advertising to different ethnic/racial groups?....
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300 magazines & newspapers in U.S.
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Group09 Buying power % gain since 2000 % of population Market
Share White9.12 trillion46.4%72.8%85% African American 910
billion54.3%12.7%8.5% Hispanic978 billion100%16%9.0% Asian508
billion89.3%4.6%4.7% Buying power: total post-tax, personal income
of residents that is available to spend on goods and services
Growth in African American buying power due to
entrepreneurship
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Demographics Sexual Orientation LGBT markets are untapped
goldmines Higher income & education Median household income
$70,000, 30% over $100,000 $43,318 for heterosexual households 37%
have a college degree, 20% have a graduate degree Vs. 28% &
9.4% 91% buy products supporting gay causes
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Demographics Sexual Orientation More discretionary time &
money$500 billion WNBA Marketing Director fired for disregarding
lesbian target market Travel & tourism capitalizing on this
market Key West, Philadelphia, Toronto Cruises Resorts Disney Gay
Days
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GroupBuying power % gain since 1990 % of population Market
Share White9.12 trillion46.4%72.8%85% African American 910
billion54.3%12.7%8.5% Hispanic978 billion100%16%9.0% Asian508
billion89.3%4.6%4.7% LGBT835 billion-7%-
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LGBT Geoclusters Palm Springs, CA92264 Provincetown, MA02657
Palm Springs, CA92262 Fort Lauderdale, FL33305 West Hollywood,
CA90069 San Francisco, CA94131 Dallas, TX75219 Rehoboth, DE19971
Detroit, MI48069 Honorable mention 60657Chicago, IL (Wrigley,
Lincoln Park) 60640Chicago, IL (Randolph & Wacker Dr.)
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Demographic Descriptors for Consumer Markets AgeUnder 6; 6-11;
12-19; 20-34; 35-49; 50-64; 65+ Family size1-2; 3-4; 5+ Family
lifecycleYoung & single; young, married, no children; young,
married, youngest child under 6; young, married, youngest child 6
or over; older married, with children; older married, no children
under 18; older single; other IncomeUnder $10,000; $10,000-$15,000;
$15,000-$20,000; $20,000- $30,000; $30,000-$50,000;
$50,000-$100,000; $100,000+ OccupationProfessional & technical;
managers, officials, & proprietors; clerical, sales;
craftspeople, foremen; operatives; farmers; retired; students;
housewives/husbands; unemployed EducationGrade school or less; some
high school; high school graduate; some college; college graduate;
post graduate work; post graduate degree RaceAfrican American;
American Indian; Asian; Caucasian; Hispanic; other
NationalityAmerican; British; French Canadian; German; Italian;
Japanese; Australian; Latino Social classLower lowers; upper
lowers; working class; middle class; upper middles; lower uppers;
upper uppers
Lifestyle characteristics ActivitiesInterestsOpinions
WorkFamilySocial issues HobbiesHomePolitics Social
eventsJobBusiness VacationCommunityEconomics
EntertainmentRecreationEducation Club membershipFashionProducts
Shopping preferencesFoodFuture SportsMediaCulture How would we use
these??
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Psychographics How do we use these? Meijers coupons Shows at
Braden Club membership campus, fitness Political affiliation
Donations Activities biking, running Professional associations
Product Use Use rates - frequency Non-user, first time user,
potential user, regular user Hilton Honors program, frequent flyer
Maintain opportunities for high, medium, low consumption Cant focus
just on members or season ticket holders Have opportunities for
occasional users Reserved court time vs. drop-in; single season
tickets Low level users may increase use
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Product Use Level of ability Softball classes Basketball full
court, half court, fast break/non fast break Runners 5K, 10K, half,
full marathon, triathlon Level of specialization Beginner vs.
advanced
Undifferentiated Market Ignores market segment differences
Focuses on what is common w/i the mkt rather than differences
Public agencies Segment 1 1 overall marketing plan Segment 2
Segment 3 Segment 4
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Differentiated Market Target several segments with separate
mixes Hilton Hotels Doubletree Hampton Inn Conrad Hotels &
Resorts Hilton Garden Inn Segment 1 Segment 2 Segment 3 Segment 4 4
specific marketing plans 1 per segment
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Concentrated Market Go after large share of 1-2 markets Used by
smaller co. w/ limited resources Put large portion of resources
into few markets High risk - segment can change 1 specific
marketing plan Segment 1 Segment 2 Segment 3 Segment 4
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Selecting Target Segments Undifferentiated Segment 1
DifferentiatedConcentrated 1 overall marketing plan Segment 2
Segment 3 Segment 4 Segment 1 Segment 2 Segment 3 Segment 4 4
specific marketing plans 1 per segment 1 specific marketing plan
Segment 1 Segment 2 Segment 3 Segment 4
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Questions
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Misc slides
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You identify 1 market segment you want to target & develop
a marketing plan for it you are using what segmentation approach?
1. Differentiated 2. Undifferentiated 3. Concentrated 4.
Commercial
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In order to determine you have a viable market segment you
would measure it based on what? 1. Accessibility 2. Sustainability
3. Responsiveness 4. All of the above
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____ are groups of people who are likely to be similar in terms
of demographics. They are often identified by zip codes. 1.
Critical trade area 2. Psychographics 3. Geoclusters 4.
Community
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Your project Sect 4 due 11/11 To date Sect 4 A, B, & D Sect
C lifecycle Tips 3 rd person Single space Heads
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Service vs. Product Intangibility Inseparability Cant be
separated from creator or provider Produced & consumed at the
same time Consumed at production site
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Service vs. Product Heterogeneity/ Inconsistency Cant
standardize a service Weather, instructor, location, time of day
Cant undergo quality inspection prior to delivery
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Service vs. Product Perishability Services highly perishable
Cant be inventoried or stored Campsite not used is a lost
experience forever Fluctuating demand Ski resorts, outdoor pools,
golf Synchromarketing Trying to smooth irregular demand
fluctuations
Market Segmentation Criteria 1. Sustainable Too few not
worthwhile Too many like mass marketing Purchasing power Is it
worth considering given limited resources University majors CAST,
KNR, RPA, TR Cricket fields
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Market Segmentation Criteria 2. Identifiable Can you measure
the size of the market? Can you distinguish them from the general
population? Basic demographicsmeasurable
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Market Segmentation Criteria 3. Accessible / Reachable Can they
be found Obese children HS Drop outs Isolated seniors Can they be
communicated with? Above groups Children / adults who dont speak
English
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Market Segmentation Criteria 4. Responsive Ability of the
programs to meet needs of the segment Responsiveness of the segment
to marketing initiatives Use segmentation approach that gets us to
a responsive segment 5. Perceived Need May be excluded based on
other criteria Need exists for services Low income, obese children,
youth at risk
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When the seller mass produces, mass distributes & mass
promotes one product to all buyers this is called 1. Target
marketing 2. Market segmentation 3. Mass marketing 4. Marketing
mix
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When you take a large community and break it into smaller
homogenous sections you are doing what? 1. Mass marketing 2.
Segmenting the market 3. Targeting the market 4. Manipulating the
marketing mix