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How to Create Marketing Opportunities through Broadband Internet in Professional Football

How to Create Marketing Opportunities through Broadband Internet in Professional Football. 1. Overview. One of the most popular clubs in Germany. (measured in number of members). Top 25 attendance in Europe – 49.200 attending in average. Long history. 18.000 active club members.

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How to Create Marketing Opportunities through Broadband Internet in Professional Football

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  1. How to Create Marketing Opportunities through Broadband Internet in Professional Football

  2. 1. Overview • One of the most popular clubs in Germany. (measured in number of members). • Top 25 attendance in Europe – 49.200 attending in average. • Long history. • 18.000 active club members.

  3. 1. Overview • Clicks and Mortar. • Strong business model. • Healthy economy. • 60% tickets sales from website. • 70% marketing sales from online shop. • 35.000 club subscribers online. (Aim 50.000) • 80% of the new members sign up online. • Netto income 1.9 Mio EUR. • 1.6 Milion visitors per month.

  4. 1. Overview • The current offer at www.borussia.de • Club news, • Historic information on past matches, • Online shop, • Online ticket center, • Exclusive footage of interviews with players and management staff, online auctions of merchandise.

  5. Next step online • New improved online content • Value Chain improvement.. • Post Live match video content, auctions, premium content. Two main options: To offer matchday • footage as an element of an extended premium content offer on Borussia’s existing website to create an additional web presence in the form of an onlineTVchannel – possibly under the name of www.fohlen.tv (i.e. www.foals.tv).

  6. 2. 5 different business models. BluePort. 5250€ per month + 3000€ startup. Inhouse: 3-4 new employees Responsible for the service Score.com Setup fee 200.000€ + 50% revenue share. Comtel. Operationcost, 50/50 10k € startup fee Serviced solution Sportworld Outsourced 230.000 € per year. Serviced.

  7. 3. Rappa taxonomy • BluePort Video , hosting, mobile content.Payment system. Fully supported. Subscription Based. Content Service: Provides text, audio, or video content to users who subscribe for a fee to gain access to the service. Brokerage: Buy/Sell Fulfillment—Takes customer orders to buy or sell a product or service, including terms like price and delivery. Internet Service Provider—Provides network connectivity and related services. HOSTING • Comtel Video + mobile content. All inclusive. Shared revenue. Sponsorportal. Subscription Based. Content Service. Brokerage: Buy/Sell Fulfillment. Internet Service Provider —Provides network connectivity and related services. Depending on the Sponsored area – affiliate model. Pay-per-Click—Site that pays affiliates for a user click-through. Revenue Sharing —Offers a percent-of-sale commission based on a user click-through in which the user subsequently purchases a product.

  8. 3. Rappa taxonomy  • Score.com Site relaunch – premium content area. Sponsored area. Pay per view. Subscription Based. Content Service. Metered Usage —Measures and bills users based on actual usage of a service. Brokerage: Buy/Sell Fulfillment—Takes customer orders to buy or sell a product or service, including terms like price and delivery. • Sportworld Implementing a broadband IP-TV channel, which covered all applications including mobile content. The initial general cost estimate was around EUR 230,000 per year including the production of TV footage and hosting as well as broadcasting. Subscription Based. Content Service.

  9. 4. Business model Depends on their willingness to take risks. • COMTEL All serviced solution. Not their key competance (Barney ) Comtel is a mix of all suggested options. No risks Improves value chain Affiliate (sponsors) CPM – many visitors, many sponsors (2006 =243 sponsors) Income will increase after setup costs have been deducted – no expensives, due to shared revenue.

  10. 4. Alternate solution • Score.com Ability to earn more money given that the number of subscribers is steady. Bigger risk Fixed cost + shared revenue Still serviced A bigger variety of content

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