We focus on the application of business practices to operate a successful sports organization. For this special blog, topics emphasized are promotion in sport, sport marketing, the development of sport marketing plan, financing a sports organization, sport sponsorships, sales application to the sport industry will be emphasized.

Tuesday, March 21, 2006

“Las Vegas mayor takes case to NBA team owners, execs” by Joe Chen, v8, i42, p11

NBA all star game will held in a city without an NBA team. The 2007 All-Star game is set for Las Vegas. However, after 2006 game in Houston, different kind of All-Star game has been born at the same time, it was a very successful event. Therefore, the mayor of Las Vegas tends to take experience to promote next year events, and to lure a franchise to the game.
Apparently, the all-star game becomes one of notably festival of NBA season. TV will reach a world wide television in more than 200 countries. For this season, a number of players were international players who were selected as star players. It could be completely diverse because existence of these international players might increase revenue and attendance of fans from any feasible country. On the other hand, David Stern, commissioner of NBA, said that coming events in Las Vegas we are not going to go there with a team while they have betting on NBA basketball games.
Goodman, mayor of Las Vegas, who knew pretty much about promotion and sponsorship, he was thinking that NBA is not only a maturing market, but also can take a different path to the game. As a result, he would learn from the thriving example of all-star game in 2006. Likewise, the competition of cell phone manufacturer, T-mobile takes the position of sponsorship from Nokia. New marketing target of NBA seems need to be rearrangement. Same as ticket sales, it is a much more advanced sales process now. A good example of digital light processing courtside signage has a significant change from rotational signage to full-motion video. This would be a revolution of advertising, has started to test at Toyota center and a few arena. Probably, in the future day, it could become the system which brings up the revenue of commercial benefit.
In fact, over the all-star weekend, besides the glamorous performance of players, all sponsorship needs to be progress as well as most of team owners expect that the All-Star game could increase attendance and arena revenue. Although, this specific events for next year would not have host team; however, the mission for the mayor Goodman are going to meet as many team owners and executives as possible. Perhaps, his marketing strategic for this festival could be different from previous events. Particularly for taking all customers into investment and sponsorship. Consequently, events in Houston accomplished this assignment which attract spectator via variety conducting. Its achievements motivates Las Vegas mayor would feature the events as an entertainment. Regardless betting or gambling might be more attractive, All-Star games can be promoting as entirely new face.

NCAA title games head to pro venues by Don Muret, Volume 8, Issue 42. critiqued by Abbie Hoover

NCAA Men's lacrosse is the fastest growing sport to watch. Attendance at championship games has become so large that they are now being played at Pro venues instead of college stadiums. The last year D1, D2, and D3 championships were played at college stadium was 2002 in Rutgers Stadium. The attendance was 19,706. This past year the championships were held in Lincoln Financial Stadium in Philly. The D1 game between John Hopkins and Duke had 44,920 spectators, and a total of 177,574 spectators over the 3 day event. This was a NCAA record for attendance.

The event was also a source of revenue for Univ. of PA and the Phil. Eagles. These groups and the Phil. Sporst Congress won the bid and will host the play-off games for 2 years in a row. Ticket prices go for $25-60 and according to the Eagles senior vice president of business operations the lower bowl's 39,000 seats are already sold out.

Theses play-off games are a good source of revenue, and are now being very competitive to host. In 2007 the games will be held in Baltimore at the M&T Stadium, 2008 in Gillette Stadium (New England Patriots) and bids are already coming in for the 2009 season. At the fast growing rate of attendance, it is speculated that attendance could surpass NCAA basketball and football.

I'm glad lacrosse is growing in popularity, I've been playing since high school, and I was even at the Championships back in 2000. However I'm torn on whether I think it's good to have all of these Pro venues bidding to be host. I enjoyed going to see the championships with my dad, but I also remember how cheap it was. I just hope these venues don't get too money hungry and start making prices Ridiculously high.

“NFL draft may be high stepping the Radio City” by Katie Bell, vol. 8, iss. 42, pg. 4




Last year the NFL ended the draft’s 10-year run in the Theater at Madison Square Garden because of the battle going on between Cablevision and the New York Jets over the club’s proposed Manhattan stadium. Apparently Cablevision saw the venue as competition for MSG and began running ad campaigns against the Jets. Shortly after this, New York state politicians decided not to provide state money for the project, which ruined all plans for it.
Unhappy with the treatment toward them, the league held last year’s draft at the Jacob Javits Convention Center, but there was limited space and seating. One of the possible opportunities for this year will be in Radio City Music Hall. This is one of the only places that can comfortably hold the few thousand people that come to the draft. According to Gary Stevenson, president of consultant OnSport, this is a neat idea to have the draft at Radio City. He believes it puts a different spin on things. I also think it is a good idea. Since things did not work out in other buildings because of the lack of space, it is important to find a building that can hold all the thousands of people that attend the draft. Radio City Music Hall is a well-known place as well and it is, as Stevenson stated, entertainment. It changes things up a little and allows for everyone attending the draft to be comfortable and content.

“NFL draft may be high stepping the Radio City” by Katie Bell, vol. 8, iss. 42, pg. 4




Last year the NFL ended the draft’s 10-year run in the Theater at Madison Square Garden because of the battle going on between Cablevision and the New York Jets over the club’s proposed Manhattan stadium. Apparently Cablevision saw the venue as competition for MSG and began running ad campaigns against the Jets. Shortly after this, New York state politicians decided not to provide state money for the project, which ruined all plans for it.
Unhappy with the treatment toward them, the league held last year’s draft at the Jacob Javits Convention Center, but there was limited space and seating. One of the possible opportunities for this year will be in Radio City Music Hall. This is one of the only places that can comfortably hold the few thousand people that come to the draft. According to Gary Stevenson, president of consultant OnSport, this is a neat idea to have the draft at Radio City. He believes it puts a different spin on things. I also think it is a good idea. Since things did not work out in other buildings because of the lack of space, it is important to find a building that can hold all the thousands of people that attend the draft. Radio City Music Hall is a well-known place as well and it is, as Stevenson stated, entertainment. It changes things up a little and allows for everyone attending the draft to be comfortable and content.

“Piston’s selling newest suites at lower prices” by Heather Hileman, Volume 8 Issue 43 pg 4



The Detroit Pistons are citing the downturn of the auto industry as a reason for offering lower prices and partial-season purchase options for a new set of premium seats coming on line. The five suites the Pistons built last year leased for $450,000 annually over five years. The suits are built under the stands at the Palace of Auburn Hills, however, the well appointed suites do not have a view of the court, but the suites do come with four front row seats and eight other seats within the area’s first five rows. Each suite deal also includes a $50,000 food allowance and $20,000 ticket allowance to other arena events, as well as back-of-the-house access.
The demand for the suites prompted the club to build eight more suites as part of the addition of an atrium to the north end of the Palace. In order to appeal to a broader range of potential buyers, the additional suites are being leased at $350,000 per year. In addition, instead of bunker suites’ five-year deals, the Pistons are leasing fractional shares for the new suites. The minimum share is a quarter season. They are basically looking for time-share buys, and when business comes, people will hopefully want more than they have today.
Deals with the new suites provide four fourth-row seats and eight other seats located within the first ten rows. The same food and ticket allowances apply as for the bunker suites, but there is no back-of-the-house access. The deals signed now are being prorated for the remainder of this year’s regular season and playoffs.
These bunker suites are new phenomena. This is another way for advertising. However, you are going to have to be a company who can afford these top notch prices for the suites. It is amazing how much a company would pay for the season to stay at these bunker suites and get the tickets as well. I can’t even fathom paying a quarter of that amount due to the fact that I don’t have that kind of cash. But, then again some people can.

"NBA's Chicago pre-draft camp going to Disney" by Dan Benjamin, vol 8 issue 43

The NBA is moving one of its two pre-draft camps from Moody Bible Institute in Chicago to Disney's sports complex in Orlando (the other camp is in Portsmouth, VA) this year (June 6-10). Both pre-draft camps are invitional only however, the camp in Orlando is the more prestigious one as it generally draws the top college talent. Not only does the camp provide the players an opportunity to showcase their skills but it also gives top league and team officials a gathering to evaluate talent, discuss player free agency and exchange league gossip. In addition, ESPNU plans to show live games from the camp while NBA TV will have other programming originating from the camp. There are a few reasons according to Stu Jackson, NBA's Senior Vice President of Basketball Operations why the camp was moved from Chicago to Orlando, "The Camp in Orlando will provide state-of-the-art facilities, but it also gives us the opportunity to build upon our partnership with Disney, ABC and ESPN."

I really don't have an opinion on whether it is better to have the camp in Chicago (central locality) or Orlando (warmer weather). Although I tend to agree that the facilities at Disney are better than the ones at Moody Bible and plus there is Disney World there. I like the idea of the camp because just like the NFL Combine it gives teams one more chance to evaluate a player and also gives the player another chance to showcase their skills. The major difference between the combine and the pre-draft camp is that the players at the pre-draft camp actually play games while the NFL combine is more a "meat-market".

I think that it is good that ESPNU is showing these games for both the network and fans. As Doug White, Director of Programming and Acquisitions for ESPN/ABC said "We are looking to shed light on some of the great talent that comes to camp, and it's a great precursor for out draft coverage in late June." The article said that more and more players are holding their own individual workouts rather than attending the camp. If an athlete (football, basketball or baseball player) can get a team or teams to come watch him in a private seetting, its good for the athlete because in this situation it is the player that manipulates the workout by only showcasing his strengths. Similarly, these individual workouts are dangerous for teams mainly for the reason of the atblete's aforementioned ability to manipulate the workouts therefore the team won't have a comprehensive evaluation of an athlete's ability.

“Arenas use easy switch between hockey and indoor lacrosse to boost concession revenue” by Kevin Anderson. Volume 8, Issue 42, Page 24.



Similarities between indoor lacrosse and ice hockey allow arenas to capture concession revenue without large operational costs. The 11 National Lacrosse League (NLL) teams play in hockey facilities. Since both teams use a similar configuration, transition time from ice hockey to lacrosse is minimal and inexpensive in comparison to basketball.

Simplicity of the conversion between hockey and lacrosse translates into lower labor costs and the quickness of the change allows stadiums to book double games in the same day thereby increasing their profits. The normal conversion time from ice hockey to basketball is about 6 hours, whereas, it less than an hour for lacrosse. This increase in profit has lead many NHL franchises to also own and operate NLL teams. These teams can also utilize the same staffs for both teams in most cases to help eliminate cost and increase profits.

Lacrosse also tends to attract a younger, rowdier crowd than even hockey. These younger fans tend to spend large amounts on concessions. With the combination of ice hockey and lacrosse concession sales without the high cost of converting to basketball courts, these stadiums are counting their money all the way to the bank. The NLL has turned into a cash cow for indoor sporting facilities. This combination of ingenuity and opportunity has produced a financial success.

"Security kept front and center in design of new venues" by Kelly Kaskan, Volume 8; Issue 43; Page 24-25



This article discusses the how security issues have become one of the main factors in the design of a new sports arena. Before 9/11, nobody worried about the possibility of someone driving their car, loaded with a bomb, into the arena. Now, it is one of the main "best practice" design elements to put the building far enough away from the road and to put stairs up to the main entry to prevent just such and event from happening. Other "best practice" designs include an increased number of security cameras and air ducts on rooftops to prevent the possibility of a terrorist spreading noxious substances throughout a facility.

While security is a main concern, so is the overall appearance and design. The designers job is to make the venue as safe as possible while trying their best to keep if from looking like a "concrete box". Barry Silberman best describes the problem by saying "It's an event building; you want the public to feel welcome, but you also want the bad guys to stay out". With the way things are today, i don't mind sacraficing a little bit of comfort for overall safety.

Is Sports an ambassador for peace? By rita Basile, Volume 8, Issue 43

The Olympics have always been considered a way for nations to come together in a peaceful way through competition and sportsmanship. According to the author there were not many defined moments in this year’s Olympics. The only defined moment as expressed by the author was the $25,000 that was given by Joey Cheek to Johann Olav Koss’ organization to create a healthier and safer world for children. This act of generosity inspired others to donate to this same organization; those who believe that sports can be an effective treatment for at least some of the world’s problems.
Jim Cain, the U.S. ambassador to Denmark, “believes that a sports team could bind a community and inspires its youth; spread American culture, decency and fair play.” Along with Cain, President Bush believes this too. Cain said, “The President asked me to use my experience and relationships in sports and entertainment to come up with ways to expand the State Department’s sports diplomacy initiatives.” Cain feels that the two channels to reach out to young people are through sports and music. These are two things that Americans do well at.
Many skeptics do not believe that sports will make a difference. As noted by the author the countries that were underrepresented at the Olympics were those that are in conflict. Do we think that terrorist will hand over their arms for a chance to participate at the Olympics? This is highly unlikely; how about all the talk throughout the years of steroid use, blood doping, attacks on other athletes, and collusion by judges. We talk fair play and decency but does this exist at the Olympics and will sports have an affect on peace in the world? I am very skeptic about this happening. The Olympics are not going to solve world peace but I do believe in the statement that is found on the Olympic website: “Over and above sporting exploits, Olympism is a source of multiple passions which unite the worlds of sport, art, culture and collections.” I believe the Olympics are a time to share passions and to touch the lives of others which can lead to a sense of peace and togetherness for a short period of time, but not for long lasting peace.

NBA's Chicago predraft camp going to Disney, by Corey Smith, Volume 8, Issue 43



The NBA has decided to move its predraft camp to Disney in an effort to attract more media coverage and more young players to come and compete. In the past few years more players have declined to go and tryout with specific teams.

I think the decision will definately help out in drawing in more players. The better media coverage will immediately draw in young talent trying to make a name for themselves and get picked up in the upcoming draft. As for now the contract involves only one year, but has the option for future coverage and I believe after this year the predraft will in my mind be much bigger and draw much more attention. Especially from the big time NBA and college fans who will get to see their favorite young players have one more opportunity to prove what they have and move up in the draft. Plus give a chance to see some unknown players and where they might end up by the end of it all.

Is Sports an Ambassador for Peace? Vol 8, Issue 43, Pg 28 by Sarah Galiotto

The Olympic Games seems to bring the aspirations of hope in the air. For two weeks, unity in the sports world is occurring globally. This year in Turin, the media says that there was no defining moment. How wrong can the media be? Well, that is a rhetorical question.
However, for the United States, there was controversy between Olympic teammates and skiing wild men, but there were other highlights that brought “hope” to the world. Joey Cheek donated his bonus for winning to the charity Right to Play, an organization by Johann Olav Koss that “creates a healthier, safer world for children.” This act of kindness inspired many others to donate money to worthy causes.
The act of kindness and caring, goodwill towards others; this is the kind of spirit that Jim Cain, U.S. ambassador to Denmark, has and believes that the world can look to for “hope.” The Olympic Games bring forth countries from all over to compete together, and Cain feels that this along with US sports diplomacy can help find other countries a way to search for peace. He feels that since sports brings communities and nations together in the US, maybe it can do it around the world and the Olympic Games is one of the events that can help this cause. Yet, Cain is still stifled by a Denmark cartoon that says nobody watched the Olympics; he has “hope” that sports will help promote unity.
I believe that sports could help bring “peace.” I mean I know that it won’t bring all peace but it does provide some form of “hope.” Just look at how the Super Bowl brought so many people in Pittsburgh together. It was all one big black and gold festivity of being proud of their Football team.
Therefore, I think that sports can help be an “ambassador for peace” however; I do not think it will be a long-term solution, but it is nice to have “hope.”

Security kept front and center in design of new venues Volume 8, Issue 43, Page 24 - 25by Tera Bisceglia

The “American way” of life has evolved in many ways after the un-imaginable tumbling of the World Trade Center Twin Towers in 2001. Our nation’s people have been placed on high alert, time and time again. The government warns all citizens to pay close attention to their surroundings in hopes of leads to foil the next terror attack plotted on US soil and save the lives of hundreds and possibly even thousands of innocent people. We, as a nation, have taken many strides to keep our freedom safe and it is no wonder that venues across the US have been re-designing and re-building to meet safety standards to combat the possibility of a terrorist attack while making it physically appealing so fans enjoy attending a sporting event or concert.

It is important that owners and architects take into account the possibility of car bomb or chemical warfare attack. More lives are at stake with the probability of a terrorist attack taking place in a venue that does not meet safety standards; however re-building requires millions of tax payer’s hard-earned money to meet such standards. The ideas of meeting safety standards seem two-fold, primarily benefiting the owners by (1) providing them with an excellent opportunity to re-design and re-build using tax payer money while (2) fans have a more defined sense of security that the events of 9/11 are less likely to occur as they root for their home team or jam out to their favorite band.

There will always be the possibility of terrorist attack. Stadiums could add as many security cameras and air ducts on rooftops they think they need, but in reality there is no way to tell when, where or how a terrorist attack with an extreme caliber of causality and life loss in mind will play out. It is more beneficial, and cost-efficient to train and provide our emergency response teams with the skills necessary to save lives incase an attack occurs. Unless there is a terror attack that takes place in a venue we will never know just how many lives were saved based on reconstruction.