Historical development of sports marketing in (North) America
The evolution of sports marketing strategies to meet the needs and wants of the consumer continues to be a priority of practitioners worldwide. Todayâs realm of sports marketing and sponsorship, though a more dramatically effective and a much more diverse platform, is vaguely similar to what many identify as its origin, 776 BCE, when the ancient Olympic Games began. Marketers for the ancient Olympic Games were no amateurs; these perceptive businessmen realized early on that an affiliation with a popular athlete could produce a potentially lucrative relationship.2 Throughout history, sport in some form has existed and, though the common-day term of sports marketing had not yet emerged, the process of utilizing marketing and promotion strategies to enhance delivery and production has been evident.
The roots of sports marketing in North America can be traced back to the 1850s and 1860s when many businesses, recognizing the popularity of sport, attempted to create linkages to enhance commercial opportunities by marketing through sport. Two events of this era in particular, one collegiate and one professional, illustrate the use of marketing through sport and helped lay a foundation for utilization of sport as a service medium in North America.
In 1852, a railroad official, together with a group of local businessmen, believed that they could garner enough interest in the marketing and staging of the event to produce economic and commercial profits. The end result was the first intercollegiate match between Harvard University and Yale University â a two-mile rowing contest. This event took place at a quiet summer resort called Center Harbor on Lake Winnipesaukee, New Hampshire. The result demonstrated that the entrepreneurs were able to create a positive economic impact on the region, enhancing rail traffic, hotel occupancy, and revenue for the host city.
The second event is tied to the late 1850s and early 1860s and the commercialization of the new sport of baseball. Tobacco companies partnered with professional baseball leagues and began using photographs of the teams to help sell their products and services. These companies made baseball cards with pictures of the teams and players and then inserted them into cigarette packets to boost and enhance brand loyalties. Though the strategies of distribution have been altered over the years â that is, transition from the use of cigarettes, to bubblegum, to todayâs independent packages â these strategies laid the foundation for a new industry: the memorabilia and card collecting/trading market that exists today.
North American sport experienced a variety of popularity struggles in the late 1800s and early 1900s. A demand for reform arose and threatened sport at a variety of levels. In 1906, with the assistance of President Theodore Roosevelt, efforts were made to transform the image of sport. Strategies and regulations were implemented to enhance the safety and appeal of the game. Rules, regulations, and the control of lurking controversies, such as the controversy distinguishing the amateur and professional status of athletes, became a primary emphasis of sport organizations.
Although the early 1920s were a period of relative calm in American society, the country was intrigued by the newest technology of the day, the radio. Marketers, sports administrators, and broadcasters alike sought to integrate sports utilizing this medium, a medium at the time that many believed symbolized a coming age of enlightenment. No other medium has changed the everyday lives of Americans as quickly and irrevocably as radio.3 In 1921, the first American baseball broadcast occurred from Forbes Field. Though this broadcast was deemed a success, marketers of the era struggled to transcend executivesâ opinions, because some believed that the broadcasts would have a negative impact upon attendance and demand.
In the 1930s and 1940s sports organizations utilized radio to enhance team revenue streams. Innovative marketers began relying on the radio to get their message across to the common man. In 1936, this same forum was used as a marketing and public relations campaign to pronounce the success of Jessie Owens and his Olympic debut.
Radio provided the impetus to solidify the era of patronage; however, the invention that soon followed remains to this day the most significant communication medium that has influenced and aided the development of sports. Who knew what sportscaster Bill Stern questioned and introduced in 1939 would enhance the growth and development of sports marketing practices for decades? The display platform, the television, though airing two mediocre baseball teams battling for fourth place, provided an incredibly formidable and profitable union between sport and the American public. The television provided a means for sports organizations to expand their market presence and presented a unique opportunity for marketers to engage their publics. The notion of a âpicture being worth a thousand wordsâ became a reality with the invention and its intervention and presentation of sports.
Executives such as Bill Veeck became innovators of sports marketing, utilizing radio and in-game promotional strategies to further market their teams. Owners, players, broadcasters, and fans recognized the variety of impacts television would have on the presentation of sports. In fact, television giant CBS dropped its Sunday afternoon public service emphasis to provide for a 12-week professional football broadcast.
American consumers in the 1950s loved and demanded sports. Participation trends and fan demand steadily increased. Sports became a symbol of changing times in the United St...
