Currently, I have several ideas for my report, and each of my ideas revolves around sports. In addition to being a fun and entertaining, sports are a multi-billion dollar per year industry. I plan on using marketing knowledge and customer insights in order to explore various opportunities and possibilities for future growth and expansion in sports.
Handball is one sport I am interested in exploring. Those who play handball refer to it as “the perfect game.” It is perhaps one of the easiest sports to get equipment for- all you really need is a ball and a wall. The rules of handball are simple, and the game itself is fun, exciting, and challenging. So why isn’t handball more popular across the United States? What can the United States Handball Association (USHA) do to spread handball to more people? How can other sports leagues be a positive example for handball? Thinking about all of the sports programs across the nation that are overcrowded or turning people away from participation in a sports program makes me think that there is room in the American sports market for another great sport. I believe that everyone should have the opportunity to play sports, but sometimes overcrowding or under-funding prevents that from happening. Handball is probably one of the cheapest sports to fund (no expensive equipment unlike football, or baseball), and the nature of the game allows for an open roster that can accommodate multiple players at all skill levels (unlike basketball or volleyball which requires a set roster of only 5-15 players). So how can handball and USHA use these insights and other sports examples to grow the game of handball and generate new loyal customers?
Sports are not only popular in the United States, but they are popular worldwide. Nearly every nation seems to have a fascination or obsession with sports. Yet despite the popularity of sports, there are very few global sports events or leagues. Some domestic leagues enjoy tremendous popularity outside of the U.S., but still have trouble expanding and growing, while some leagues have trouble appealing to foreign markets and gaining fans outside of their own countries. How can sports leagues use positive examples of globalization for their own benefit? How should leagues like the NFL, NBA, and MLB approach the idea of international expansion? What insights can sports leagues gain from the history of sports globalization? How can less mainstream international sports gain global popularity? How should “foreign sports” such as cricket, rugby, and even soccer approach the idea of expanding into the U.S. markets?
Sports have always been my passion. As a dual major in marketing and sport management, I am constantly seeing connections between the sports world and the business world. While studying sport management, I have been exposed to interesting issues in the sports world that could be explored using marketing and customer insight techniques.
Sports “customers” are unique from other customers. The customers of a sport are the fans. Fans have distinct characteristics of high-loyalty toward and high-enjoyment of the product. Also, as in the case of exploring the growth of handball, the customer could actually be the participant in the sport itself. Either way, the “customers” of sports are not always buying our product directly, and they do not switch products or try new products very easily. Because of these distinctions of the sports customer from normal customers, sports have several advantages and disadvantages over typical products when marketing to the general public.
There are several articles on the topics of sports, marketing, and globalization, but here are just a few:
“Sport Sponsorship in a Global Age” by Amis and Cornwell
“Global Sport and Global Mass Media” by George Sage
“What is the Sports Product and Who Buys it? The Marketing of Professional Sports Leagues” by Daniel Mason
Each of these explores sports and marketing while the first two specifically explore new issues in sports related to globalization.
Sunday, February 22, 2009
Sunday, February 15, 2009
I Really Want a Segway
I Really Want A Segway. But I really do not want to buy a Segway.
Technological innovations are really amazing. Whenever I see a completely new, technologically innovative product, I can not help thinking, “I want that.” It seems like I may be the only though. After reviewing a list of recent technologically innovative “failures” I couldn’t help but wonder how in the world these new products aren’t in every home- including my own!
Endowment Effect
The idea that “something I own is more valuable (to me) than something I do not own” seems simple, straightforward, and logical to me even though I know that it does not follow a path of logic. A mug that I own is not worth more money than a mug that I do not own. A pen that I have used for a year is not worth more than a brand new pen I have never seen. But for some reason I feel like my stuff is better than other stuff.
The endowment effect is powerful. Its power is likely underestimated by marketers and salesman, but I am sure that it is quite strong. I can see it in myself. Logically, I know that what I am thinking does not make any sense, but even I can’t help it. I like my stuff.
Fear of Change
I remember when the Segway was introduced to the American public on the Today Show. Katie Couric and Matt Lauer talked for fifteen minutes about how “this new product will CHANGE the world” and “this was the biggest revolution in transportation technology since the steam engine” and how “the new product will be revealed right after this break.” There was so much build-up and hype. So much emphasis on what an amazing revolution it would be and what a drastic change it would be from our current lives.
There is only one problem: people fear change. At least most people do. It can be argued that change is an unknown- that is no one really knows what the change will be like. And it has long been agreed that people fear what they do not know.
It is a wonder that more marketers don’t realize this fact. It seems so much marketing is geared towards the “newest revolution” or the “next big thing,” but what marketers really need to be focusing on is giving people more of the same. That is what we really want. “This product is exactly like the product you already own and will not change your life in any way. Buy it.” It seems like a good product pitch for just about everything. It will appeal to everyone’s desire to be comforted by the well-known.
In retrospect, that is probably where the Segway went wrong. The makers of the Segway spent too much time telling everyone how much their product will “change their lives” and not even close to enough time telling anyone how their product will “allow you to keep your life pretty much the same except maybe make it a little better.” They spent too much time being the next big thing that they never became anything. If only they would have spent more time being “a slight improvement on the same old thing you know and love” then maybe they would have actually done something.
An interesting thought- as appealing as technological innovation is to the normal consumer; perhaps marketers should consider downplaying a product’s innovation. In typical human fashion: people claim that they want something but their actions prove otherwise. It seems like everyone loves technological innovations and their new benefits, but when it comes time to actually buy a revolutionary new product people seem to forget how much they like it.
My only possible conclusion is that I am not the only one thinking, “I want that.” Every one else is thinking the same thing as I am, and just like me they aren’t buying any of it.
Technological innovations are really amazing. Whenever I see a completely new, technologically innovative product, I can not help thinking, “I want that.” It seems like I may be the only though. After reviewing a list of recent technologically innovative “failures” I couldn’t help but wonder how in the world these new products aren’t in every home- including my own!
Endowment Effect
The idea that “something I own is more valuable (to me) than something I do not own” seems simple, straightforward, and logical to me even though I know that it does not follow a path of logic. A mug that I own is not worth more money than a mug that I do not own. A pen that I have used for a year is not worth more than a brand new pen I have never seen. But for some reason I feel like my stuff is better than other stuff.
The endowment effect is powerful. Its power is likely underestimated by marketers and salesman, but I am sure that it is quite strong. I can see it in myself. Logically, I know that what I am thinking does not make any sense, but even I can’t help it. I like my stuff.
Fear of Change
I remember when the Segway was introduced to the American public on the Today Show. Katie Couric and Matt Lauer talked for fifteen minutes about how “this new product will CHANGE the world” and “this was the biggest revolution in transportation technology since the steam engine” and how “the new product will be revealed right after this break.” There was so much build-up and hype. So much emphasis on what an amazing revolution it would be and what a drastic change it would be from our current lives.
There is only one problem: people fear change. At least most people do. It can be argued that change is an unknown- that is no one really knows what the change will be like. And it has long been agreed that people fear what they do not know.
It is a wonder that more marketers don’t realize this fact. It seems so much marketing is geared towards the “newest revolution” or the “next big thing,” but what marketers really need to be focusing on is giving people more of the same. That is what we really want. “This product is exactly like the product you already own and will not change your life in any way. Buy it.” It seems like a good product pitch for just about everything. It will appeal to everyone’s desire to be comforted by the well-known.
In retrospect, that is probably where the Segway went wrong. The makers of the Segway spent too much time telling everyone how much their product will “change their lives” and not even close to enough time telling anyone how their product will “allow you to keep your life pretty much the same except maybe make it a little better.” They spent too much time being the next big thing that they never became anything. If only they would have spent more time being “a slight improvement on the same old thing you know and love” then maybe they would have actually done something.
An interesting thought- as appealing as technological innovation is to the normal consumer; perhaps marketers should consider downplaying a product’s innovation. In typical human fashion: people claim that they want something but their actions prove otherwise. It seems like everyone loves technological innovations and their new benefits, but when it comes time to actually buy a revolutionary new product people seem to forget how much they like it.
My only possible conclusion is that I am not the only one thinking, “I want that.” Every one else is thinking the same thing as I am, and just like me they aren’t buying any of it.
Tuesday, February 3, 2009
Homer Simpson- Genius
“Trying is the first step towards failure.”
-Homer J. Simpson
I try to be like Homer Simpson. Of course Homer has a few negative, unattractive characteristics, but I attempt to emulate his more lovable and endearing qualities. Homer is a simple man, who enjoys simple pleasures: beer, bowling, donuts, and pork products. Above all things, Homer is generally a happy man. It appears that Homer is the epitome of “ignorance is bliss.” However, valuable nuggets of wisdom are cleverly hidden behind many of Homer’s simple ignorant ramblings.
While listening to Dr. Schwartz discuss the paradox of choice I heard a deceptively simple philosophy that sounded like it came straight out of an episode of The Simpsons: “The secret to happiness is low expectations.” I wouldn’t have been surprised if Homer came up with that one himself. It seems like such a simple philosophy that it is hard to question.
However, it seems that “low expectations” are almost nowhere to be found in the American consuming universe today. Everyone seems to expect (rather highly) great service, quality products, custom orders, free shipping, personalized colors, and a perfect fit for everything they buy. And of course it would seem to be true that high expectations are also the secret to unhappiness.
“American donuts. Glazed, powdered and raspberry-filled. Now how's that for freedom of choice?”
-Homer J. Simpson
The paradox of choice is an interesting concept. At first, it seems counter-intuitive; Like Dr. Schwartz said, this “more choice, more freedom, more happiness” philosophy is deeply ingrained into most of our beliefs. But I agree with him that in most cases there are simply too many choices to be of any benefit.
Personally, when I think about the “paradox of choice” Barnes and Nobles Book Stores come to mind. Typically, I walk into a Barnes and Nobles with the intention of killing some time or with a specific book in mind to search for. I almost always end up with a small stack of books in my hands by the time I have made my way through the store. All of the books I pick out look interesting and entertaining, but when I add up their prices in my head it usually totals an absolutely unreasonably high amount. And so, because all of the books look so good and I can’t make a choice of just one book to buy over the rest I end up putting them all back and then looking for them on Amazon or at Half Price Books. There are so many good choices that are highly visible there (and I can’t afford them all) that I end up not buying any of them.
“If something's hard to do, then it's not worth doing!”
-Homer J. Simpson
Theoretically, it costs money for producers to provide so many different choices, customizations, and variations for their products, but they do it anyways. As Dr. Schwartz has shown, consumers resent having so much to choose from and in fact don’t appreciate the wide range of choices. It’s hard for producers to provide so many choices, and it’s hard for consumers to choose between so many options. As Homer J. always said, “If something is hard to do, then it’s not worth doing.”
-Homer J. Simpson
I try to be like Homer Simpson. Of course Homer has a few negative, unattractive characteristics, but I attempt to emulate his more lovable and endearing qualities. Homer is a simple man, who enjoys simple pleasures: beer, bowling, donuts, and pork products. Above all things, Homer is generally a happy man. It appears that Homer is the epitome of “ignorance is bliss.” However, valuable nuggets of wisdom are cleverly hidden behind many of Homer’s simple ignorant ramblings.
While listening to Dr. Schwartz discuss the paradox of choice I heard a deceptively simple philosophy that sounded like it came straight out of an episode of The Simpsons: “The secret to happiness is low expectations.” I wouldn’t have been surprised if Homer came up with that one himself. It seems like such a simple philosophy that it is hard to question.
However, it seems that “low expectations” are almost nowhere to be found in the American consuming universe today. Everyone seems to expect (rather highly) great service, quality products, custom orders, free shipping, personalized colors, and a perfect fit for everything they buy. And of course it would seem to be true that high expectations are also the secret to unhappiness.
“American donuts. Glazed, powdered and raspberry-filled. Now how's that for freedom of choice?”
-Homer J. Simpson
The paradox of choice is an interesting concept. At first, it seems counter-intuitive; Like Dr. Schwartz said, this “more choice, more freedom, more happiness” philosophy is deeply ingrained into most of our beliefs. But I agree with him that in most cases there are simply too many choices to be of any benefit.
Personally, when I think about the “paradox of choice” Barnes and Nobles Book Stores come to mind. Typically, I walk into a Barnes and Nobles with the intention of killing some time or with a specific book in mind to search for. I almost always end up with a small stack of books in my hands by the time I have made my way through the store. All of the books I pick out look interesting and entertaining, but when I add up their prices in my head it usually totals an absolutely unreasonably high amount. And so, because all of the books look so good and I can’t make a choice of just one book to buy over the rest I end up putting them all back and then looking for them on Amazon or at Half Price Books. There are so many good choices that are highly visible there (and I can’t afford them all) that I end up not buying any of them.
“If something's hard to do, then it's not worth doing!”
-Homer J. Simpson
Theoretically, it costs money for producers to provide so many different choices, customizations, and variations for their products, but they do it anyways. As Dr. Schwartz has shown, consumers resent having so much to choose from and in fact don’t appreciate the wide range of choices. It’s hard for producers to provide so many choices, and it’s hard for consumers to choose between so many options. As Homer J. always said, “If something is hard to do, then it’s not worth doing.”
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