The electronic highway of information that is girdling the world has brought an end to the Gutenberg era. Transition from a “stones throw away” world to a “click away” world has changed the way we live, interact, socialize and work. It has also changed the way we perceive culture, people, processes, objects i.e. life in short. The high speed network fabric has rendered geographical boundaries irrelevant. A few years back it may have sounded like an idea by Slartibartfast from the legendary planet of Margarathea (from the Hitchhikers Guide to the Galaxy) but with the advent of technological platforms this ain't a far-fetched idea any longer but is the reality of the present times.It all began with the technological outburst which led to the availability of various platforms that helped to efficiently maximize the transfer of information. The degree of separation between the company and the consumer has reduced considerably.
Branding is no longer the privilege of the larger conglomerates or the big pockets. With the advent of technology and the significant reduction in the costs associated with branding, smaller companies that are taking branding seriously have cropped up like mushrooms. The competition is much tougher and there is this race of owning properties both online and real to cut out the competition. In the context of sports we can take the example of the Indian Premier League (IPL) the largest sport event in India this year. So there would be sponsors for IPL who would demand exclusivity. This is applicable across industry sectors- say a sponsor of something like MTV Roadies who would end up owning the content rights of the show- just to kick competition out of the advertising sphere for the show.
The questions that loom large are “Has the traditional media died?” or “Has it just reduced to a mere supporting media?” or “Have the rules of the game changed?” or “Is it a new game altogether?” Brand experience is both emotional and functional. It is not only a promise that a company makes, or an assurance to the quality of the product as mentioned by Aaker but it also has a psychological role to play. They make you feel good about yourself or are an expression of yourself. They also fulfil social needs like a sense of affiliation or belongingness to a community or a group of people who think alike.
The very fact that names like Arsenal, Manchester United of the English Premier League (EPL) are household names in a country like India where nothing but Cricket sell's, shows the growth of sports branding. This phenomenon has been more evident in the recent past all because of the media convergence. There are fan communities where people can discuss their teams, interact with people with similar sentiments, vent their anger when a player does not perform and share their grief when their team loses. The arrival of sport channels has provided a medium to the broadcasters to telecast all kinds of sports and not just cricket. There is as much of motor sports, basketball, tennis and football as there is cricket. The question that pops up next is, what is the brand? Is it the player, the club or is it Football the game itself? If yes, how has a little white ball and a green field inspired the most successful brand principles that has led to true brand management? The concept of a sport being a brand may sound a little ridiculous at first, but the figures don't lie. A Brand Finance survey conducted in 2005 revealed that Manchester United had a brand value of A£197m, Liverpool a value of 156m, Chelsea A£137m and Arsenal a brand value of A£115mn.
India has two primary religions - Bollywood and Cricket. The only differentiating factor that sets sports entertainment apart from the rest is the passion that it commands and the real time execution. The cricket economy world over is 1bn USD to which India contributes to more than 60%. This includes revenues from ticket sales, sponsorship, endorsements and broadcasting rights.
In 2008 the remote wars in the households in India had struck a truce as all the members in the family were glued onto one thing -the IPL for their own different reasons. Be it the glamour, be it the sport, be it the uniqueness of the concept or be it the hype around the event, IPL redefined entertainment. The General Entertainment Channels (GECs) observed a huge dip in the Television Rating Points. Nothing had grabbed the attention of the masses & the classes at such a scale ever before. Next year IPL struck again-grander and better. The GECs delayed the launch of new shows as they were sure they had nothing that could compete against the IPL. Such is the potential for the Sport Industry in India.
The IPL '09 had rung the death knell of the whole arena of player management in India as small size sponsors signed the best of the players in the Indian team for a year at dead cheap prices. This fiasco happened due to the deals that the IPL Franchise had with these sponsors and the players were bound by it. This was the reason why we saw Master Blaster Sachin, Zaheer and Harbhajan promoting Luminous Invertors and Sehwaag advertising for Jetkings an equipment hardware manufacturer. Is it truly about club over country? The club format brought to the public light through the IPL has shattered the myth that sports in India is about national identity and patriotism? In the auction the highest bid jersey was not that of Tendulkar or Ganguly, it was Khan's 11.
It has given rise to a lot of questions - What is it that makes a person support the Mumbai Indians or the Kolkatta Knight Riders? Is it Sachin, Sehwag, Shilpa or Shahrukh? Is it the success of the team or the strategy that they employ when at the field? The other areas of concern would be has this concept of IPL revolutionized the way sport is consumed in India? Will the spectators be interested in an IPL match over India vs Pakistan Test Match? The Moment of Truth in the IPL that made it's success eminent was the fact that the crowd actually cheered when Sachin was bowled by Bret Lee. This is an indicator of the fact that sports in India is in the throes of evolution. People are open to accepting it as an entertainment option than a patriotic struggle. Literature Review
The world is witnessing the new forms of media in which they have a larger control over the types of feeds they receive, the ease with which they can interact with not just the media but with the media provider as well. This has brought a whole new dimension of competition to the traditional media platforms. This has also led to a lack of dependence of the consumers on any particular media which in turn translates to lesser loyalty.
Does industry necessarily comprise of a product or service? NO! It could be an offering that is neither of the two but is consumed by the people. Entertainment is an industry and so is religion. Thus Sport is an industry too which comprises of selling sports or selling through sports. Be it the events, leagues and the tickets to view these or the marketing of products through sports- which would include merchandize, licensing and sponsorship (Mason, 1999).
Parallels can be drawn between Sports and a Consumer Product. Below is a representation of the value chain of the sports industry. Sport as a product can be consumed in different ways- playing, watching, reading or being entertained by it. The level of involvement of the consumers -fans in the sports jargon, differs for each of the way. “Football is a million dollar industry. The sport has a long heritage in UK and has the most prestigious premiership in the world and has attracted players from all four corners of the globe. Most importantly, football inspires passion and the 'big four', Chelsea Arsenal, Manchester United and Liverpool FC, are among the most valuable brands in the country”, says Ruth Mortimer- a sports marketing blog owner.
What constitutes a sports brand is questionable. It depends on what the product is? Is the league a product or is it the clubs in the league that constitute the product. It is argued that the league can be taken as a cartel of these entities i.e. the clubs. This would determine the marketing strategies for the league and the clubs. But whatever the case be both are brands in themselves. If football is the category EPL can be taken as the Umbrella Brand and the clubs like Manchester United, Chelsea and the likes would constitute the sub brands. Even the players would be brands in their own respect. If Beckham is the brand then it is dedicated, suave and down to earth (Milligan, 2004). Manchester United stands for excitement and great entertainment all so because right from Cantona to Giggs to Rooney and Ronaldo, the club has stalwarts who are both excellent at the game and are trend setters in their own way. Hence there is a clearly identifiable brand proposition.
NBA Franchise was the first to realize the potential of brand building and what organized marketing can do to fuel revenue generation. Andy Mulligan, says, “ Brands are often, somewhat lazily by some people, equated with pure commercialism and worse still with a kind of 'fluffy' marketing that is about 'spin' and not substance.” He is of the view that though Sport is a huge industry, managing teams is not in the least similar to managing a business. The very premise that a business is a tradable property sets it apart. A team is a repository of emotional associations that fans world over share and build. Hence sports team is not a business but it could definitely be a brand as it's an identity and a promise that the consumer's believe in and an experience that they live.
The association of a spectator with a specific club is enhanced by the collaborative play of “local, national or emotional identifications” or by the un-certainty of the outcome of the game.The degree of association of the club and the spectator is so high that he develops a strong sense of affiliation with the club. He feels proud and celebrates the victories and is all gloomy over the losses. This phenomenon has been termed as Basking in Reflected Glory (BIRG)
The globalization, the opening up of trade barriers, this era of media convergence, the popularity of the internet, and the ever increasing number of netizens has revolutionized the sports industry. The advancements in communication technology provide omniscient access to all kinds of leagues that a team plays in. This coupled with the 24X7 dedicated sport channels has opened up a whole new arena of entertainment. Today the English Premier League and Formula 1 are as popular in the Asia Pacific as they are in Europe. Earlier people used to watch just the league finals but now they have the option to follow their favourite teams irrespective of their geographic location and time. The qualifiers for the Champions League or the NASCAR have a sizeable number of viewers as does the grand finale.
The popularity that these sports command has attracted the attention of sponsors and advertisers. The teams themselves have realized the large potential that the world of marketing has in store. They have capitalized on this opportunity and the audience sentiment by branding themselves. They have a prominent presence across the various levels, be it Below the Line or Above the Line. We have Team Anthems, Jerseys, Videos, Events, Parties, Posters- ALL OF IT!
When the whole world is in the throes of recession, sports is one industry sector that has not been as badly affected as the others and was quick enough to bounce back within a year. Loss of sponsorship, events being cancelled, biggies withdrawing from the arena; these are some of the development the sports industry has witnessed in the recent past. On one hand we have been witnessing things like
On the other hand the world witnessed the largest ever viewership and increasing advertising
The Sports arena in India has been dominated by cricket for quite some time now. But with the converging media and the Westernization sports like soccer, basketball, motor racing have observed an increasing fan base. A look at the Audience and Viewership data from TAM is enough to prove this point. Cricket is followed by soccer, tennis and wrestling. The reason for the monopoly of cricket is simple. Cricket is the only sport where India has made a mark in the International arena and which still holds hope for Indians to win over others. This has provided it the status of religion in India. The other popular sports would include Soccer, Tennis and Motor Sports as revealed by a TAM report. This marks the herald of a whole new era of sports entertainment and marketing. Below is an overview of the size of the sports industry in India
India has two religions Bollywood and Cricket and the whole country was awestruck when the two joined hands. IPL is all about glamour, excitement and passion. It works on a franchise model where each of team is owned by an industrialist, a celebrity or is a joint venture. There was an auction to own the clubs and then there was an auction to make the team and select the players. This was the golden time for the Cricket Board in India as it made a lot of profits. Franchise rights were tendered with a reserve price of USD 50mn for 10 yrs. The owners get a percentage of the revenue that the team earns and has other streams like merchandising to mint money from too.
The primary difference between the IPL and the English Premier League was the fact that in IPL there was a cap on the amount of money that could be spent in building a team. Unlike EPL where the teams that are backed by the deeper pockets manage to buy the best of the players and end up winning the tournaments and the others are a t a competitive disadvantage. Apart from this sponsorship on Television and the ground constitutes a huge chunk of the revenues that the board and the team earn. The IPL website had 50mn page views in the first week and had received 530,000 column cm of stuff written about it in the newspapers in the Season 1. The opening match in Delhi had a Television Rating Point(TRP) of 7.19 which was the highest for any event in India ever. It had a TRP of 6.7 amongst women which is a considerable number considering the fact that Indian women are generally not much into watching sports. Thus we see that it ain't just a mere entertainment option but is an industry in itself.
The clubs are no longer just teams whose players lend it its brand value. There is a huge industry of sports merchandize, events and the likes that thrives on this - it's a culture in itself. Keeping this in mind I plan to study formats like the EPL and NBA which are brands in themselves and arrive at the factors that lead to the success of such brands.
India as a nation provides huge potential to market these brands. It is not just the passion for the sport or the sentiment of belongingness to a particular nation that commands loyalty. There are several other factors that have converted sports clubs or teams into one of the most valued brands world over. Therefore there is a knowledge gap that exists. It is to study what these factors are and what are the things that affect these factors?
Parallels can be drawn between the sports industry in India and in nations abroad which in turn would help marketing sports, teams and clubs as brands in a nation like India- which is a burgeoning economy and holds great prospects for such brands.
A fan “represents an association from which the individual derives considerable emotional and value significance” (Madrigal, 1995, pp. 209-210). Thus it is not equivalent to being a spectator. Therefore to understand their behaviour and attitude statistical data about what they watch and how often do they watch does not help in the quest to understand what makes them a fan.
Therefore the research methodology would be a mix of quantitative and qualitative as both have their own advantages and contributions to making this study more fruitful.
Quantitative studies use the deductive logic to explain social facts (Horna, 1994, p. 121) and thus would help in understanding the behavioural component. This would help in understanding what the crowd constitutes of and what are the primary scalable attitudes exhibited by them. But this fails to explain the underlying reasons for such behaviour, things that differentiate a fan from a spectator. Thus, qualitative study becomes important too.
Qualitative methods help in exploring the cognitive components. It also helps explaining the longitudinal behaviour of things rather than a mere snapshot of the present scenario which could be gauged from the quantitative.
In depth interviews would be the preferred technique as we seek to understand the reasons why an individual behaves the way he does and not really the collective opinion of a group.
The quantitative research can be carried out by administering a questionnaire online and in person. Some statistics can also be gathered from the various databases and research data available publicly.
The research aims to understand how the emergence of media affected the attitude of the people towards Sports in general and the club culture in particular. It is conducted to understand what is it that makes them commit their loyalties to a particular team and how does this affect the economics of the industry.
Only SEC A and B are considered based on the assumption that the SEC's lower than this don't contribute much. Females have been considered as recent researches show that there are an increasing number of women who have started following sports and participating in it. Hence their opinion and perception could be a valuable contribution.
After studying the responses from the sample, the research would help arrive at answers to various questions regarding the future of the sports industry in India. Questions like where is the industry headed? What kind of sport would sell? How do the sports brands communicate to the people? How has the convergence of media affected their understanding of the sports industry?
Apart from this it would help brand managers and sports consultants to design the branding strategies for the various sports brands so that they can sustain themselves in this highly competitive and unpredictable market.
Professional sports started with the leagues specializing in one kind of sport which would run for a season and the league enjoyed a monopoly in the arena. But with the advent of infrastructural facilities and increased investments in the industry of sport management there are multiple leagues fighting for the share of eye and heart. They fight for consumers who have a plethora of other entertainment options to select from. Thus the competition in not limited to just the sports industry but is with the larger entertainment industry (Grauer, 1989).
The one thing that makes professional sports appealing to the audiences is the uncertainty of the results. The adrenaline rush that the spectator experiences with every passing minute is dramatic and cannot be derived from staged content.
“Like other forms of entertainment, sport offers a utopia, a world where everything is simple, dramatic and exciting, and euphoria is always a possibility ... Sport entertains, but can also frustrate, annoy and depress. But it is this very uncertainty that gives its unpredictable joys their characteristic intensity (Whannel,1992, p. 199)”.
The intensity of appeal and engagement with the sport is further enhanced by the association that an individual has with the sport and if there are stakes that he has in the outcome. The concept of Basking in Reflected Glory(BRIG) talks about the highest degree of association where a fan is a loyal even if the team does not perform well(Cialdini, 1976).
Initially the sports leagues were owned by individuals or entrepreneurs but with the growing popularity it has achieved the status of an industry and has been successful in attracting corporate and has taken a more formal structure than a mere source of entertainment. It is due to the involvement of these corporations outside the realm of professional sports management that has brought in newer revenue streams like merchandizing and sponsorships. This model of corporate ownership of a league or a club was started in the USA and was later adopted by the leagues in the continents of Europe and Australia. The biggest advantage of this is that the teams are backed by deep pockets and investment into a team is a part of the investment portfolio of the corporation and not the main business area. Companies like Blockbuster, Disney and Turner from the North American industry of entertainment and broadcasting have benefitted from their presence in professional sports (Cousens and Slack, 1996). This has also helped Rupert Murdoch to extend his empire across the globe. This has also helped in attracting better players as the salaries are far better, improved facilities to train and huge advertising expenditures to build the fan base.
The corporations are not buying into the uncertainty of the game by owning a team but are using the reputation of the team to fuel their interests. For example the treaty between FOX network and the National Football League was not really a profitable venture for the broadcast network as it had to overbid to acquire the rights but as Murdoch puts it, “it has made [FOX] a real network in the US”(Swift, 1995).
“Professional sports leagues are now a part of the powerful recreation and entertainment sector of the economy. In addition, sports have “delocalised”; the global marketplace has made sports less attached to specific places, particularly those which have world-wide appeal, such as football and basketball (Euchner, 1993)”. Satellite TV and Internet has sped up the delocalization of professional sports by making the content available across the globe in real time.
The total income of the “Big 5” football leagues in Europe in the year 2005-06 was A£12.6 billion ($18.54 billion) (Deloitte and Touche 2007), out of which the Barclay's English Premier League(EPL) was the largest contributor, generating revenues as high as € 2 billion.
The most sought after customers of the industry would be the fans as they are loyal and facilitate generating the revenues required to rope in the best players and management. The media analysts refer the players, the clubs and the leagues as the “brand” (Globalisation of the league, Dr. Bridgewater, 2007). The brands in this industry are not same as the rest but there are strategies that remain the same. When a FMCG brand has to be made global, what companies generally do is start operations in the country where they would like to have a presence. Similarly, the leagues involve other nations or players that have a different nationality to increase the audience base which in turn would lead to building up the fan base which constitutes the target segment for the merchandise.
For example the National Football League (NFL) in the USA announced the first competitive game between the Miami Dolphins and the New York Giants in October 2007, more than a 50,000 tickets were sold within 3 days of the announcement. The buyers comprised of local and expatriate fans. This is representative of the fact that there is huge potential in this industry sector.
The number of “E Loyals”- people who don't hold a season ticket or have been to watch a live match but support the game and the club as they have been exposed to it online or on TV- has been rising in the last few years. They are a segment that is as likely to buy the merchandise as a fan who is a regular at the stadium. Pennants, caps, shirts, flags, bands and other team branded articles are what have led to an increase in the revenues and facilitated penetration in other geographic markets (Cousens and Slack, 1996).
English Premier League is a leading association of professional football clubs in the European Union. It has 20 clubs that play in the league every year and follows the system of relegation. Each of these clubs is a shareholder to the league. The EPL came into existence in 1992 when the First Division in the Football League decided to part ways from the Football League as it had struck a lucrative deal for television broadcast rights. It has the largest revenues in the football arena, close to a $4mn in 2007-08. It is perceived to be more glamorous, entertaining and action centred as compared to the rest of the European Leagues like the Serie A and La Liga in Spain. Premier League has undoubtedly grown to be a global brand. The global fan base of the leading international football brands such as Real Madrid and Manchester United runs in millions of British Pounds and “shows no sign of waning”
A Research conducted in 2002 has identified 5 important factors that govern the association of fans with the team. These are primarily
A study of sport fans, primarily amongst the English Premier League's Liverpool Fan Clubs suggests that there are factors that affect the loyalty of foreign supporters. These are: media reach and coverage, the game strategy and kind of play, history of the team or club, the presence of players and their health statistics, participation in various leagues, team successes and the way a team behaves on the field and off it. The international support for teams or clubs in the EPL revolves around the presence of players from different nationalities. For example the Japanese took an avid interest in Arsenal when Inamato joined the team. The signing of Stelios in Bolton upped the Greek support for the club. But the game has had its share of problems too. The drop in financial support due to the rising incidences of violence and hooliganism, the reduction in the number of attendees at the stadium which led to a drop in the gate revenues. All of this led to a decline in the status that the game once enjoyed.
The methodology adopted was primarily exploratory. It involved a Qualitative Research followed by a Quantitative Research. The Qualitative Research in the initial phases was carried out by means of In Depth interviews to investigate the behavioural aspects by carefully examining the various perspectives and views that the respondents had. The interviews were in accordance with the Discussion Guide but were unstructured to allow unexpected developments that might lend a different angle to the whole research. This was followed by a Quantitative research to substantiate the findings and arrive at conclusive results.
It was carried out by conducting 15 In-depth interviews to identify
The modern day sports sponsorship is not merely a philanthropic act but a strategic business move to reach the target segment. Thus, manufacturers of sports merchandize are always on the lookout to sponsor teams that have a huge fan base so that they can exploit the potential that such a base holds for them. Sports sponsorship has got a global appeal and the ever increasing fee for broadcast rights speaks volumes about the importance that it holds.
“...sport generates fandom that is more intense, more obtrusive, and more enduring than it is for other forms of entertaining social activities without direct participation in the events being watched “.
The size of the fan base is not coincidental but is hugely affected by the marketing initiatives that a club undertakes and the way. Hence studying the behavioural and attitudinal aspects of the spectators and the fans is the first step. Why people start following a sport?
One of the first things to be analyzed is what makes a person get on to become a spectator of the sport. What is it that introduces him to this world of sport and gets him to start following it, be it by reading about it in the sports journal or the newspaper, keeping track of the events happening around the globe in the domain of a particular sport, discussing it with friends, acquaintances or fellow followers over the internet in the virtual world. Following are a few excerpts from the In Depth interviews conducted and the various reasons cited by the respondents to explain their involvement in the sport:
“I studied in a boarding school since I was in Class 4. Some of my friends used to watch Formula 1 (around class 7). One day I watched along with them. Initially, I dint find it that interesting. But then, we started having some “friendly bets” on who would win etc and in a year or 2, I became a staunch supporter of Hakkinen (that time). I have watched many of the races live in the last 10 years and I continue to support Mclaren.”, says Ashwin D from SJSOM, Mumbai What constitutes a fan and what makes one identify oneself with a team?
Team identification is defined as the level of involvement of a spectator with the team and the way he experiences a sense of loss every time the team performs poorly or loses. The social identification theory talks about how a person who supports a team, accepts the outcome of a game as his own fate. There could be different levels of involvement. A passive spectator would take sports as more of an entertainment avenue, a social interaction topic or an activity to indulge in to relieve stress. Whereas, a person who is placed higher on the involvement scale would be a loyalist. He would support the team to an extent where a team's defeat is taken as a personal failure. It is this loyalty that results in building long term relationships and provides for a target segment that could be used to generate revenues.
Based on the behavioural attitude the fans can be classified into spurious loyals or true loyals. Spurious loyalists are people who do not have a strong positive attitude towards the sport or team but watch it nevertheless. Such people shift loyalties with every game and have very little psychological attachment with the team. Whereas true loyalists are people who have a strong sense of affiliation with the team and care about the long term objectives and success of the team.
The spurious loyals cited that their primary reason to support a team was the present performance of the team in leagues, the presence of a star player who they like to watch. Shrey, a management student from IMT Ghaziabad went on to say, “I support the Rajasthan Royals as I belong to Rajasthan and I have no particular reason to support any other team as all of them are equally bad. But such is not the case with football where I am a staunch supporter of Chelsea as it has a legacy that the other teams would kill for and in the present season it is undoubtedly the best team with the maximum points in the tally and the largest goal differences too.” This also speaks of the fact that the attitudinal dimension of loyalty differs from sport to sport. A person who is a spurious loyal to a team in one sport can be a true loyalist of another team. This is greatly influenced by the involvement that a spectator has in the sport.
Discussions over why a respondent supports a particular team helped identify the various reasons why spectators associate themselves with a particular team. Following are a few excerpts from the in depth interview:
The interviews conducted with the sports fans and audiences helped me arrive at a conceptual framework to understand the brand equity of a sports brand in the mind of the fans by identifying the various factors that make them memorable, recognizable and popular. The respondents were asked their favorite sport, then they were asked to mention the name of what in their opinion is the most popular team or player and why is it that popular.
The Media consumption by the spectators was carefully studied to arrive at the various touch points that these sports brands have and how can each of these be tapped to market the brands.
Licensing and Merchandizing constitute the major source of revenue for the sports brands i.e. the leagues, clubs and teams after the broadcast rights. Thus it is imperative for the marketers to understand the purchase drivers and intentions of the spectators so that the brand communication strategies can be in line with what positioning the brand strives to achieve. The respondents were questioned on what opinion do they have about team licensed merchandize, if they possess any and if yes why did they buy it or would buy it.
“...I own Arsenal calendars, wristbands, studs, jersey, T shirt, flag and posters. I am a great fan of the club. Each one of my friends and family know that I am crazy about the club. I love to receive arsenal branded merchandize as gifts too. I buy it because it's a way in which I express my support for the team. I can't go to England and watch the matches, though that would be the ultimate fandom but the least that I can do is watch each one of it on TV and buy merchandize that would let the world know of my love for the club. I wear it whenever I go and play, it instils in me the confidence that I can be as good as the team one day ”, says Abhishek, football team captain.
“I have no particular reasons to buy a Manchester United jersey. I bought it because I watch the sport casually but most of my friends follow it on a regular basis and they own atleast one... so I thought I should get one too as it looks cool. It gives the impression that you follow the sport and makes you feel a part of the group that follows it. I find Rooney really cute and like to sport a T Shirt that is a ManU licensed merchandize. I think it has a great brand value. I mean it is as good as a Nike or an Adidas plus has a Team Logo and player name too”, says Pallavi.
“I own jerseys of the San Antonio Spurs. The first thing that it communicates to the people is that I am a basketball fan. Also the sporty image that it creates in the mind of the onlookers is something that I would do anything for. I am not all that good at the sport but nevertheless just wearing the jersey while watching the match makes me feel as one in the team and imparts a sense of achievement and pride every time they score”, says Shrey
The various factors that the target segment looks at before purchasing the merchandise were identified as
Each of these factors had different weights or importance attached to it by each respondent. Some preferred to settle for nothing but the best and would go as far as asking a friend who visits abroad to get them the merchandize as they are of the opinion that the one that is available in the market here is of an inferior quality or is a fake and not the authentic licensed merchandize.
“.. When my cousin went to Singapore on a student exchange program, I gave him the money that I had saved to buy myself a Ferrari jacket and a keychain. I always thought that since India does not participate in the sport the product that they sell here would either be a fake or a reject and I did not want to end up spending a few grands on duplicate”,says Krishnarjun
“I am a sports fan and I admire people who wear branded merchandize. I somehow have monetary constraints and I can never explain it to my parents how a shirt with Messi printed on it is worth a million. I am not allowed to spend more than a couple of hundreds on shirts and none of the licensed ones would fall in the range. I have no choice but to settle for the duplicates in the market as I too want to be a part of the league that follows the sport and admires the prodigy that Messi is”, says Gladstone
The Questionnaire was mailed across to 150 respondents. It was circulated amongst a 100 more through social networking sites, chat status and twitter.
This was done as the estimated attrition rate was close to 50%. Considering the fact that a few respondents would make errors in filling the form the sample size of 250 was selected. The Questionnaire is aimed to substantiate the findings from the Qualitative Research and comprises questions on:
Statistics from the Primary Research
The most played sport is Cricket followed by Badminton, Football and Tennis. This could be explained by factors like the media coverage for each of these in India, ease of availability of facilities to play the sport and the popular culture around these.
1.2 What sports do you watch on TV and Average Time Spent per day on TV? This is governed by factors like presence of Indian stars and their performance in each of these sports, the fan community existent in colleges and schools, the perceived value of the sport. Cricket wins hands down as that is a religion in India that unites one and all. Tennis has become a lot popular of late due the stunning performances by Paes, Bhupathi, Sania Mirza and children are even taking it up as a professional sport right from the age of 10. The participation in the Under 12 and Under 16 championships from all regions has grown by some 17% in the last 5 years. Soccer has a huge influence as it is considered to be an elite sport and is popular in colleges.
The large audiences for sports entertainment in general is due to the quality of content available in other genres. The GEC which still continues to be the most watched genre is stagnant and the content is something that the youth does not associate much with. Live events, Reality content, lifestyle and travel is quite popular amongst this segment.
1.3 What sports do you follow on the internet and Average Time Spent per day? The most popular websites amongst the audience were cricinfo.com and espnsports.com. They log on to these to track scores, see the schedule, discuss the outcome of the match with people who have common interests, discuss the performance of the team and players. Majority of the people use the internet to follow cricket. Primary reason being the popularity of the sport, the active participation of the country in the sport, the IPL, the unavailability of television in hostels leaves no choice but to follow the sport online.
Sports fan generally go through the sports section of the newspaper regularly and hence are aware of the various sports reported in the most popular newspapers. They would not really go out of their way to search for information regarding sports that they do not enjoy. Mostly magazines are bought when people travel. Very few subscribed to the sports magazines as information is available on the internet.
1.5 What sports do you follow on the mobile phone and Average Time Spent per day? The percentage of people who use mobile for tracking their favourite sport reduces considerably as most of these services are charged and people do not see value in the proposition of paying to receive the score updates. Thus cricket is the only sport that is followed through this medium.
Krishnarjun says, “The first thing I do, the moment I log on to the net is to visit the cricinfo and epl webpages to check out what is scheduled for the day and read the updates and articles.”
Majority of the respondents started following their favourite sport at an early age of below 15yrs of age. This brings to the attention the fact that it is important to catch these people young who would grow up to become the brand proprietors. It is also representative of the fact that as you grow older, the tendency to get hooked on to a sport reduces. Thus the primary influencers to promoting a sport are people like your friends in school, college and family who you are surrounded by till you in your mid twenties.
When asked to rate the most important factor that makes them become a fan of a particular club, team or player 33% respondents mentioned that the historical performance and the legacy that entails is what is the most important. There were a few who had strong regional affiliations and no matter what, they would support the team that plays for their region, country or state. The performance of the team is overlooked and nothing deters their support to the team or player. Such loyalists are easy to market to and some 18% of the respondents belonged to this section. Presence of star players and the present performance of the team were rated as important by 20% and 25% of the respondents respectively. This is a group of people who would switch loyalties easily as their support to the team is based on factors that are relatively more dynamic.
A majority of 33% of the respondents started following their favourite sport by watching it on television. This is indicative of the fact that this is the most important medium to get people interested in the sport. This should not come as a surprise as the value that sports entertainment has over any other content is that it is live and the rest is recorded. Live content is something that people relate to easily and the adrenaline rush that it makes the spectator experience cannot be achieved through pre recorded content, be it real life or fictional. A sizeable percentage of people started following their favourite sport as their friends or family members do so. The peer group is extremely important in generating interest in the minds of a potential spectator. 25% of the respondents follow the sport as they play it and like to keep themselves updated on the developments in the same arena.
The most popular medium used to follow the sport is television, almost 84% of them. 77% respondents track their teams on sports websites too. Websites like cricinfo.com, epl.com, nba.com are a major source of information. Radio too sees a mention as the local radio stations like Mirchi, Red FM have started mentioning cricket scores in between programs to grab attention. Also a lot of people access radio through their mobile phones and this has revived the almost dead medium.
These are a group of people who are not into sports but buy the merchandize as just another piece of fashion accessory or garment. They would buy a team shirt not because they like the team or even the sport for that matter of fact but would purchase it as they think “it looks cool”, “it is fashionable”, “it makes them look sporty”. They would buy the merchandize purely for the way it looks, the appeal that it invokes in the mind of the onlookers and to get noticed or grab attention. They do not compromise on the quality of the product or the brand and therefore would buy merchandise from the showroom and original ones too. They think buying something that is a fake is kind of a violation of their social culture.
Clothing has always been a society driven phenomena. People dress up a particular way to seek acceptance into a particular peer group. This provides them the confidence to move around with an aura of a sportsman. They don't really care about the quality of the merchandise and are price conscious. They would even buy fake merchandise as it serves the purpose just right. “I saw a friend wearing it and I would like to own one too”, “each one of my college friends has some or the other merchandize from a football club, they discuss about it all the time. I too would want to be a part of it”. All that they really seek is social affiliation and blindly follow the influencers, which in this case would be a bunch of sports buff or other wannabes. They do understand the sport but don't really associate with it to the extent that they would spend a lot of money to make it known to the others. Their association is more of a social engagement than an emotional one. They would wear the team colour, buy merchandise but would not be really moved by the way the team performs.
These are people who are the true sports fan. They live on sports and would go to any extent to express their affection for the team, club or player. They follow the sport- be it watching, discussing, playing- all of it! “I have never missed an Arsenal match”, “I bought a Ganguly 99 Jersey as he is my inspiration”, “A? bought myself a ManU watch after it won the EPL for the third time in a row”. They also have knowledge of the classic victories, the goal scorers, the phenomenal goals and opponents in cup runs and most other past successes.
These people are also influencers to the other two categories. It is their love for the sport, the nonchalant attitude that makes them admired. They would settle for nothing but the original product. This is something that they treasure and it is more important than any other thing in their closet or on their table. They don't really care if the jersey is lanky or the calendar is not all that good as long as it is from the team they die for.
This constitutes people mostly in the metros or studying in colleges and staying at home who have access to a TV. These people follow their team on TV- watch the sports channel, news and also track it on the newspaper by checking out scores and reading articles. They would not use the internet for watching the live telecast or buffered videos from the sport. Internet is used to gather information once in a while and not to watch matches.
This is a cluster that has access to the internet but not to television. They comprise of people who are studying in colleges where either there is no television access or there is a common TV. It also comprise of people working and staying in rented or shared accommodation where they do have internet access. Such people keep on refreshing websites that update the scores and watch live streams of the videos from the matches. They read about the sport on blogs, official websites, sports websites and the likes. They would even contribute in the discussions online and have no other medium to turn to. Their attention span is high as they don't navigate from one page to the other frequently, whereas, a person who watches the sport on TV would switch channels often.
This constitutes of people who keep track of what is happening by accessing all possible mediums- be it print, broadcast or emerging media. They would read newspaper for a while, read magazines too on and off, watch TV - maybe not as religiously as the TV heavy users and have access to the internet which they may not use to follow sports.
The area of sports marketing in India has finally started to take a professional approach due to the presence of foreign brands exploring the Indian markets. The opening up of media and broadcast industry has given impetus to the industry by popularizing foreign sports. There is an increased focus on revenues from merchandizing and licensing of a sports brand than ever before. The leagues in the Europe and the American sub continent have set an example to follow.
The high levels of competition in this industry leads to a sense of “short term benefit” orientation where the sports brand invest in roping in celebrity endorsers and mass media campaigns, i.e. the time tested conventional way. With the technological evolution of the youth, it is a new ball game altogether. We have 10 yr old, school going children registered for social networking, using the internet to gather information for assignments, playing games online or on handheld devices, extremely mobile phone savvy and hooked onto the television. It is this generation that lives ahead of its times.
Thus the perception of a sports brand (includes clubs, leagues, players, brand extensions into merchandize, hospitality) was studied amongst the youth (15-25yrs) in age to arrive at the factors that lead to making purchase decisions and the clusters existent amongst the youth based on the similarity that they exhibit in perceiving sports brand and their purchase behaviour. Thus the brands can select the target segment and position themselves accordingly so that they appeal to the segment identified, be it the Fashion Wannabes, the Sports Buffs or the Sporty Look Aspirers.
Though the sports have gone professional and sports brands comprise of not just the players and the game but a huge array of things like the management, merchandize and brand extensions like secondary businesses that generate revenue by leveraging the brand value established by the sport. But, what should be kept in mind is that though all these are important business division units the most important factor that affects the brand equity is the team and the game. It continues to be the sole decision variable when it comes to being a brand loyalist or a proprietor. The team management would be more of a “corporate identity” building criteria. There are infinite possibilities to sell a sports brand and they are quite contextual too. This research provides a starting point and a fresh outlook on how branding has been redefined in this era of media convergence and on the purpose that their brand is fulfilling.
The genesis of media convergence. (2017, Jun 26).
Retrieved November 21, 2024 , from
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