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Today:. More comments on pricing Framework for event management Exploring idea of sponsorship in sport. Most Common Pricing Strategy:. What the Market Will Bear. If hunches are wrong, results can be costly. What could be the result of an incorrect decision?.

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More comments on pricing

Framework for event management

Exploring idea of sponsorship in sport

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Most Common Pricing Strategy:

What the Market Will Bear

If hunches are wrong, results can be costly

What could be the result of an incorrect decision?

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Special Pricing Factors to Consider

User Segmentation

Pricing based on user group

Corporate/individual season-ticket holder

Single-ticket purchasers

Special groups

Student packages


Would any particular group be more sensitive to price change? Why?

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Special Pricing Factors to Consider

Time and Place Smoothing

Time—bundled packages

Prime vs. non-prime time

Price scales in venue

Key factors—proximity, line of sight, and demand

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Understand the Escalator!

Price hikes threaten to push consumers off escalator

What are some key pricing concerns for a new MLS franchise?

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Moving consumers up the escalator

Heavy users

Light users

Medium users

Non-consumer sport and leisure fan

Non-consumer, non-sport and leisure fan

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Events: Frameworks and Guidelines

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Perspectives and issuesSome aspects to consider – all inter-related

  • Type and scale of events

  • Planning events

  • Human resources – events personnel

  • Marketing and forecasting demand

  • Budgeting and financial management

  • Sponsorship

  • Management and evaluation

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Event Checklist

  • Objective – Why are you doing it?

  • Define your event with a mission statement

  • Know the rules and regulations that apply

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Event Checklist

  • Target your event to the customer

  • Think about the personality

  • Develop Budget

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Budget Items

  • Revenue

    • Sponsorship

    • Ticket sales

    • Merchandise

    • Media

    • Programs

    • F&B

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Budget Items

  • Expenses

    • General and administrative

    • Talent

    • Production

    • Facility

    • Television

    • Sales and Marketing

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Media public relations

Advertising production

Design fees

Collateral materials

Direct mail

Sponsor costs


Post event parties





Sales and marketing expense

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Budget Items

  • Cash Flow

    • Chart when the cash is due to come in and when the major payments have to out

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Magic Bag

  • You have to create a sport event and develop identify the following:

  • Objective

  • Mission statement

  • Organizational structure

  • Target market

  • Personality

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On Sponsorships in Sports

  • Define “Sponsorship” in Sport.

  • What can be sponsored?

  • Why sponsor?

  • Why being sponsored?

  • Why not?

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FIFA Fan Fest Sponsorship

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MasterCard sponsors the FIFA WC

  • What in the organization’s marketing mix is such a sponsorship engagement part of?

  • What do you think are their strategic objectives?

  • Do you think a sporting event such as the World Cup is a good context for achieving these strategic goals? Why/Why Not?

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  • Calls its sponsors “Commercial Affiliates”

  • Currently divides them into the following 3 categories:

    • Official Partners (global marketing rights)

    • Official Suppliers (rights in the host country only)

    • Licensees

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Official Partners ONLY

  • Official partners of the 2006 FIFA World Cup™

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FIFA restructuring

  • 2007-2014: includes the flagship FIFA World Cups in 2010 and 2014

  • Classifies prospective marketing partners into three categories:

    • six FIFA Partners (broad range of FIFA activities such as competitions, special events or development programs as well as exclusive marketing assets).

    • six to eight FIFA World Cup™ Sponsors (rights are limited to the FIFA World Cup™ on a global basis. They consist of the right to category exclusivity, brand association, select marketing assets and secondary media exposure).

    • four to six National Supporters (category exclusivity, association, local marketing programs and domestic media exposure).

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  • How can you understand conceptually the reasoning for restructuring the sponsorship pillar around the FIFA World Cup?

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  • Endorsements: Sub-category of Sponsorships

  • Beckham as endorser:

    • Opportunities

    • Threats

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