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Sports Symposia - Business Model of Sport v2.0

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Summary of my views of the next generation (v2.0) business model for sports which has a greater focus on the sports participant, fan and consumer & the controlled, bought and earned media.

Summary of my views of the next generation (v2.0) business model for sports which has a greater focus on the sports participant, fan and consumer & the controlled, bought and earned media.

Published in: Sports, News & Politics

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  • 1. Business model for Sports v2.0
    Understanding Control, Bought and Earned Media across Sports Participants, Fans and Consumers
    Nick Gonios
    September 2009
    nick@sportssymposia.comwww.sportssymposia.com
  • 2. The term ‘sport’ means different things to different people….
    ‘we’re passionate sports fans!’
    Casual sports – ‘come on dad!’
    http://www.flickr.com/photos/wasteofspace/2520425039/
    Local sports participation – ‘in the scrum go!’
    http://www.flickr.com/photos/10909491@N06/2326547659/
  • 3. Yet to some people, sport is this...
  • 4. …and had local affinity and passion
  • 5. Then came the ‘one size fits all’ media TV, Radio and newspapers
    creating the current business model of sport
  • 6. Business model for Sport v1.0is relatively simple…
    Step 1. Control (Make) content
    (professional/elite sports sports leagues – based
    on theatre, emotion and tribes)
    Step 2. Buy the right to this content
    (gain ‘attention’ against this controlled content –
    typically called ‘sports sponsorship’)
    Companies looking to generateunique brand association
    Packaged and Controlledcontent is the media
  • 7. …but has lost the value of participation of sport!
    Mass Marketsports consumption is commercially driven
    SportsAudience
    Millions of viewers per team
    National (Elite) Leagues(e.g. AFL National League)
    10,000’s of viewers & supporters per team (local media coverage)
    Tier 2/3 Leagues(e.g. State level and regional level)
    1000’s of supporters per team(some local media coverage)
    Local Metro Leagues(e.g. suburban club leagues)
    Junior Leagues(e.g. suburban juniors)
    10-100’s of supporters per team (effectively no media coverage)
    Leagues or CompsParticipants
    Mass Sports Participation is Govt subsidied
  • 8. It’s simplethis model is notsustainable!
  • 9. Why?
  • 10. It’s driven by…
  • 11. Consumption of
    ‘stuff’
  • 12. and withsports mediaconversationshaving beencontrolled…
  • 13. …the sports evolution
    has begun
  • 14. 10seperationbetween sports leagues, clubs and players & sports fans and consumers is now
    leaguebrandpassion
    clubcommunityengagement
    playeraffinity
  • 15. the new sport characteristicsPEOPLE 2 PEOPLE
    TRANSPARENT
    PASSION
    AUTHENTIC
    SUSTAINABLE
  • 16. Business model for Sport v2.0driving sustainability
    sports media/services
    Influencers
    Participant
    communityengagement
    Consumer
    Fan
    Made
    Bought
    Earned
    Influencers
  • 17. Some examples ofthe evolutionin sports social dynamics
  • 18. Lance Armstrong building community withdirect fan engagement
  • 19. Adidas
    All Blacks Rugby
    ‘in stadium’ fan engagement
  • 20. community sports participantdriven online media & sponsorship services
  • 21. communities creating their own competitive social sports leagues
  • 22.
  • 23. for some this is all a threat
    for some it’s a HUGE opportunity!
  • 24. what position are you going to take?
  • 25. Opportunities to better engage with your sports fan, consumers and participants and generate new revenues
    OR
    a slow extinction?
  • 26. To discuss these challenges issues and opportunities, contact me:
    Nick Gonios
    nick@sportssymposia.comwww.sportssymposia.comtwitter: @nickgoniosskype: nickgonios

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