If you were a chief executive of Southwest Airlines, in need of a new strategic vision, which course of action would you choose and why in terms of a "cost leadership" or a "differentiated" business strategy? Use table 5.1 in the text as a foundation for
Chapter 12: Video Case: LA Galaxy: Where Sports Marketing is a Kick!
2. All the seven elements of the services marketing mix are most important in the LA Galaxy market program. All the seven P's are important.
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Seven Elements |
Application for LA Galaxy |
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Product |
In addition to defining their product as an “experience,” the LA Galaxy has used marketing activities to create a memorable logo and brand name and position soccer to attract fans from the NFL, the NBA, the NHL and from MLB. |
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Price |
The LA Galaxy conduct an analysis of tickets sold for each seat, row, and category to set ticket prices for each possible type of fan, including season ticket holders, families, groups, students, and children. |
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Place |
The first LA Galaxy games were played at the Rose Bowl in Pasadena, CA until the club moved to its current location in the soccer-specific stadium at StubHub Center in Carson, CA. |
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Promotion |
The Galaxy use all forms of promotion including advertising, personal selling, public relations, sales promotion, and direct marketing. |
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People |
The LA Galaxy players and marketing team are essential to creating and delivering the soccer experience. All the activities contribute to the process of customer experience management (CEM). In addition, everyone involved with the organization loves soccer. As LA Galaxy president Klein explains, “They are thrilled by ‘the challenge’ of marketing the sport.” |
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Physical Environment |
The StubHub Center offers a new, smaller, more intimate soccer-specific stadium. The stadium provides a great atmosphere, amazing sightlines, event suites, terrace cabanas, restaurants, assigned seating, general admission, and an inclined lawn (called the berm) for picnic-style seating. |
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Process |
This is related to the activities that are connected to “how” the experience is created. The LA Galaxy marketing team constantly evaluates its contact points with customers and uses its promotions to manage its capacity throughout the season. |
3. Promotion tools used. LA Galaxy advertising includes TV, radio, print, and outdoor ads. The personal selling activities are handled by a team of 25 people who make personal phone calls to help sell tickets. The public relations activities include press releases, news conferences with the players, and public appearances by the Star Squad, Galaxy Street Team and Cosmo the mascot. Sales promotions include special event such as Bobblehead Night, and frequently include sweepstakes that offer participants a chance to meet a team player, watch a training session, or receive a signed jersey.
References
Kerin, R. A., Hartley, S. W., & Rudelius, W. (2015). Marketing. New York: McGraw-Hill
Education.