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I. EXECUTIVE SUMMARY
The importance of a loyalty program is to develop and maintain a consistent relationship
with customers. The Philadelphia Eagles organization does not currently have an organized
loyalty program. After conducting broad secondary research, we determined that our loyalty
program would be directed towards families, adults aged 25-40, and their children, 16 and under.
Additionally, we wanted to reward our season ticket holders for their loyalty to our organization.
Through our loyalty program, we hope to make the Philadelphia Eagles the top choice in the
Philadelphia area for sports and entertainment.
ResearchMethods
We conducted 7 different forms of research that gave us information to develop a loyalty
program for the Eagles. Based on the 7 research methods that we conducted, we were able to
determine a loyalty program that would best suit the Eagles and our target market. The 7 types of
research that we performed follow the timeline below:
By surveying fan’s reaction to implementing a loyalty program, we learned that fans would take
full advantage of the program and what types of incentives we should offer.
Conclusions based on the finding
Based on our survey, we discovered what benefits fans would be most interested in receiving
from a Philadelphia Eagles loyalty program. From our findings, we decided that the tier
structure used by the Starbuck Rewards Program would be most fitting in the Eagles
organization. We determined how to increase the value of our designated incentives as the tiers
increased. Finally, we decided to utilize cross channeling amongst other Philadelphia sports
teams in our loyalty program.
Proposed Loyalty Program
Our loyalty programs include multiple incentives that will reward parents, children, and current
season ticket holders. Out first loyalty program utilizes technology since Smartphone and use is
increasing exponentially. Through our mobile application and website, we will offer discounts
for food, tickets, and merchandise. The next loyalty program bundles game tickets, plane tickets,
and hotel rooms. This will allow fans to attend away games more easily. Our last loyalty
program allows fans to interact with our players and children to play a game at halftime on the
stadium turf. Each of these loyalty programs will encourage an increase in lifetime fans.
Goals of Loyalty Program
There are five main goals of the proposed loyalty program: increase ticket sales, increase team
loyalty in the community, get more children to attend games, improve attendance to away games,
and increase the efficiency of purchasing tickets.
Budget
Following the implementation of the proposed loyalty program, we have established a
total budget of $307,500. While the budget may seem costly at first, the revenue generated from
the total loyalty strategy should offset the costs made to implement it. Additionally,
advertisements would be sold on the both the mobile application and website to partially offset
the costs to operate both.
Secondary
Research on
Loyalty
Programs
Interview
with Ari
Roitman
Secondary
researchon
the Eagles
Secondary
researchon
Philadelphia
Fan
Survey
Seconday
research on
mobile
marketing
Interview
with Shawn
Tilger
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II. INTRODUCTION
A. Description of the business or organization
Since 1933, the Philadelphia Eagles have been a professional football organization in the
National Football League (NFL), located in Philadelphia, Pennsylvania. In 1933, Bert Bell and
Lud Wray purchased the former Frankford
Yellowjackets franchise for $2,500. The Eagles
had the worst record in the NFL in 1937. In
1940, after selling the Pittsburgh Steelers to
Alexis Thompson, Art Rooney bought a half
interest in the Eagles, who moved their games to
Shibe Park (later named Connie Mack Stadium
in 1953). Following the 1940 season, Rooney, along with Eagles cofounder Bert Bell, swapped
franchises with Thompson. Bell, who also departed his job as Eagles coach, went on to be
commissioner of the NFL. Because of World War II, which had caused a shortage of players,
the Philadelphia Eagles and the Pittsburgh Steelers merged and became the “Phil- Pitt Steagles.”
With both team coaches splitting jobs, the Steagles would actually play competitive football with
a 5-4-1 record. Following the season, Eagles owner Alexis Thompson dissolved the merger. In
1949, the Eagles were sold to a group of a hundred investors, known as the “Happy Hundred”
and the “Hundred Brothers,” all of which paid $3,000 for one of the hundred shares. After the
1957 season, the Eagles moved from Connie Mack Stadium to Franklin Field at the University of
Pennsylvania. The Eagles changed their home stadium again in 1971 as they left Franklin Field
for Veterans Stadium. In 2003, the Eagles moved to Lincoln Financial Field, their current home
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stadium. With Lincoln Financial Field as their stadium, the Eagles made it to the Super Bowl in
2004. However, the Eagles are still yet to win a Super Bowl.
In 1996, Jeffrey Lurie purchased the Eagles for an estimated $185 million. Currently,
Lurie is still the Chairman and Chief Executive Officer of the Eagles. Apart from Lurie, the
Executive Administration consists of Joe Banner (President), Don Smolenski (Chief Operating
Officer), Tim McDermott (Senior Vice President and Chief Marketing Officer), Ari Roitman
(Senior Vice President and Business Executive), and Rob Zeiger (Senior Vice President and
Communications Executive). The Eagles competition for entertainment dollars consists of any
source of entertainment. These forms of entertainment include plays, concerts, and other athletic
events. Additionally, since food and beverages are a large part of the Eagle’s industry,
restaurants are also viewed as competition.
The Eagles pride themselves on being a socially responsible organization. Therefore, they
create many opportunities to reach out to the community and create positive images, most
notably through their Go Green movement and Eagles Youth Partnership (EYP). In their Go
Green movement, the Eagles extend their mission to create and sustain championship
performance on the field into their other mission to do the same off the field. Through renewable
energy, energy conservation, and reforestation, the Eagles hope to improve their impact on the
environment.
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The EYP’s mission is to enhance opportunities and improve the quality of life for children and
youth in the Greater Philadelphia region through health and education partnerships. By
combining the resources of the team’s corporate and non-profit partners with the power of the
Eagles organization and its players, the EYP improves the attitudes towards learning and healthy
lifestyles of Philadelphia’s youth.
B. Description of the community
Economic:
The Philadelphia area is home to some of the largest national corporations. Aramark,
Campbell’s Soup Company, Comcast, Lincoln National Corporation, and Sunoco all have their
headquarters in the Philadelphia region. In Philadelphia, the median household income in 2010
was $36,251, which was $15,663
below the national average. The
unemployment rate from 2005 to
2011 has drastically changed
from 4.9 to 10.9%, a number
significantly larger than the 8.8%
federal unemployment rate.
Additionally, the median house or
condo value has risen from
$61,000, measured in 2000, to
$150,000.
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New Jersey has shown a similar trend in median household income, unemployment rate,
and median house or condo value. As the unemployment rate increases, the amount of disposable
income decreases. This decrease in disposable income in the community results in fewer funds
available to be spent on entertainments and food.
Socioeconomics:
Philadelphia’s lifestyle and spending habits directly correlate and reflect the changes in
the economy. The entertainment sector has seen an increase in annual spending on entertainment
despite the recession. The eating, drinking, and entertainment sector has seen a benefit of 5
percent of personal income spending and 15 percent of new employment. The city is also home
to some of the nation’s most prestigious universities. Colleges such as St. Joseph’s University,
Temple University, La Salle University, Drexel University, and University of Pennsylvania all
consist of undergraduate and graduate schools that offer a diverse group of young adults.
With over 200 restaurants, Philadelphia also offers a wide variety of options for food.
Philadelphia attracts the likes of our nation’s best chefs, including Jose Garces, Stephen Starr,
Marc Vetri, and George Perrier and features elite restaurants like Le Bec-Fin, Lacroix, Alma de
Cuba, and Morimoto. Furthermore, Philadelphia is home to both Pat’s King of Steaks and
Geno’s Steaks, both of which are integral parts of the city’s culture. Philadelphia combines its
rich history and modern feel through various historic sites and museums. Visitors can view
historic sites such as the National Constitution Center and the Independence Visitor Center or
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1.1M
1.6M
museums such as the Philadelphia Museum of Art and the Please Touch Museum. Lastly,
Philadelphia offers a wide variety of hotels for its visitors. With the likes of the Embassy Suites,
the Ritz-Carlton, and the Courtyard Philadelphia, the city contains multiple elite hotels.
Demographics:+43% from 2000
As of 2010, the population of Pennsylvania is 12,702,379. Since 2000, the population
has increased by 3.4%. The population is split between 51.3% female and 49.7% male. The
majority of the 7.4 million Eagles fan base is centered in the tri-state area of Pennsylvania, New
Jersey (specifically South Jersey), and Delaware (North Delaware). Of this 7.4 million Eagles
fan base, 57% are male and 43% female. A large majority of Eagles fans, 54%, are 45 or older,
with the next largest age group being 65 and older at 18%. Additionally, 55% of the Eagles fans
are college educated. Studies conducted show a large growth of Eagles fans among women,
Hispanics, Asians, and African Americans.
The population of female Eagles fans, now at 1.6 million, has grown 43% since 2000 – more
than the Philadelphia Flyers and 76ers female fans combined. 40% of Eagles fans in
Philadelphia have at least one child under the age of 18 in their house, and 23% have at least
two. Consequently, 68% of avid Eagles fans were Eagles fans before they turned 13. Both
12%
17%
17%
21%
15%
18%
0%
5%
10%
15%
20%
25%
18-24 25-34 35-44 45-54 55-64 65+
Age of Eagles Fans
+43% from 2000
Female Eagles
Fans
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Asian and African American Eagles fan populations have increased over 100% since 2000 –
Asians have increased by 43,000 fans and African Americans 500,000. The Philadelphia area is
the second largest Hispanic market in the Northeast and the 16th largest in the country. The
number of Eagles fans in the Philadelphia area who are Hispanic, now at 223 thousand, has
grown by about 75%.
Geographic:
This customer loyalty program will primarily focus on the Philadelphia area.
Philadelphia is the largest city in Pennsylvania and the fifth-largest city in the country.
Philadelphia is located in Southeast Pennsylvania, along the Delaware and Schuylkill rivers.
Philadelphia is the area of focus, in comparison to other areas representing majorities of the
Eagles fan base, since the Eagles’ home stadium, Lincoln Financial Field, is found here. Lincoln
Financial Field is located in South Philadelphia on Pattison Avenue between 10th and 11th streets.
Lincoln Financial Field is also aside I-95 as part of the South Philadelphia Sports Complex. The
field is conveniently located in Philadelphia so that it can be easily accessed by various forms of
transportation.
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The Southeastern Pennsylvania Transportation Authority serves for Philadelphia, using buses,
trains, rapid transit, trolleys, and trackless trolleys throughout Philadelphia, the four
Pennsylvania suburban counties of Bucks, Chester, Delaware, and Montgomery, Mercer County
New Jersey, and New Castle County Delaware. Additionally, there are two airports in
Philadelphia: the Philadelphia International Airport (PHL) in the southern part of the city and the
Northeast Philadelphia Airport (PNE) in Northeast Philadelphia. At an affordable price, people
can easily chose from over six different bus operators to navigate throughout the city.
Philadelphia has always been known as a center for several major railroads, which all run close
to the stadium, making a convenient source of transportation for all fans. Lastly, in place of
transportation, fans can walk to the stadium as Philadelphia has been ranked the fifth most
walkable major city in the United States.
C. Description of the Target Market
The target market of the Philadelphia Eagles incorporates Eagles fans from Pennsylvania
and regions in South Jersey. Our loyalty program will target families, adults aged 25-40, and
their children, 16 and under. In terms of gender, the population of women fans has increased
exponentially. Specifically, the amount of female Eagles fans has grown 43% since 2000. This
constant increase of women fans portrays a great potential with female marketing. Thus, the
overall marketing will shift towards a balanced gender campaign. Additionally, over 55% of all
Eagles fans are college educated. In terms of income, 26% of Eagles fans have a household
income of $25,000 to $49,999. One-third of the Eagles fans in Philadelphia have a household
income of at least $100,000. This wide spectrum of income makes it possible to focus on mass
general admission tickets while also targeting households with a higher income through suites
and main concourse tickets.
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5 or Younger 6 - 9 10 - 13
25%
24%
19%
10%
26%
17% 17% 17%
10%
3%
0%
5%
10%
15%
20%
25%
30%
Under
$25,000
$25,000-
$49,999
$50,000-
$74,999
$75,000-
$99,999
$100,000-
$149,999
$150,000-
$249,999
$250,000+
Household Income
Since over 54% of the fans are 45 or older, there is great potential to cultivate younger Eagles
fans as future fans. 40% of Eagles fans have at least one child under the age of 18 in their
household and 23% have at least two. The Eagles Kids club is the largest in the NFL with over
5,000 members. Promoting the Eagles Kids club will appeal to the parents of the children, thus
ultimately targeting two audiences: parents and children.
At what age didyou FIRST become a fan of the PhiladelphiaEagles?
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III. RESEARCH METHODS USED IN THE STUDY
A. Description and rationale of research methodologies selectedto conduct the
research study
The original purpose of our research was to analyze the existing loyalty programs of the
Philadelphia Eagles and loyalty programs existing outside of the Eagles that could be
incorporated within our organization. Our goal is to implement a loyalty program that correctly
matches our target market. By analyzing pre-existing loyalty programs, we evaluated key
components that could be successfully integrated into an Eagles loyalty program.
Our first method of secondary research consisted of our analyzing current loyalty
programs found in other organizations both inside and outside of the sports and entertainment
industry. We examined the loyalty programs of three companies: Starbucks, Caesars
Entertainment Corporation (formerly Harrah’s Entertainment), and the Philadelphia Union.
By analyzing the loyalty program at Starbucks, we
wanted to form a similar loyalty program around
food and refreshments of the Eagles. We were able
to look at non-sports related entertainment loyalty
programs by examining the loyalty program at
Caesars Entertainment Corporation. Through the
Philadelphia Union, we researched loyalty programs
found not only in the same industry as the Eagles
but in the same city as well. After conducting our research on the loyalty programs of these
three companies, we incorporated certain features into our own loyalty program for the Eagles.
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Our first source of primary research came from an interview with the Senior Vice
President of Business at the Philadelphia Eagles, Ari Roitman. On October 14, 2011 we met at
the NovaCare building located in Philadelphia outside of the stadium. The main goals of this
interview were to determine what existing loyalty programs the Eagles had, what the target
market for a loyalty program should be, and what kind of incentives we could provide. In
addition, we wanted to determine the potential of a loyalty program and the initial capital the
Eagles would be willing to invest in creating or enhancing a loyalty program.
Through Ari Roitman, we discovered secondary research conducted by Scarborough
Research and ESPN polls. These sources gave us information on who our target market is, where
they come from, and general trends amongst the populations of Philadelphia Eagles fans.
Additionally, to further investigate our target market, we conducted more secondary research on
the demographics and socioeconomics of the Philadelphia area.
As another source of primary research, we conducted our first survey. Through this
survey we hoped to obtain a general understanding of what customers are interested in through a
Philadelphia Eagles loyalty program. A survey was a useful method of research as it provided
quick response times and easy distributions to our target audience through various forms of
social networks. Additionally, through surveys, our validity increased as we reached a wider
audience.
For our final source of secondary research, we analyzed the trends of mobile marketing
as presented through Forrester Research. Through this research, we wanted to find a medium
through which we could offer our incentives. We also wanted to obtain information on the
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budget regarding a mobile marketing loyalty program. As a final goal, we wanted to view the
potential success of a mobile marketing loyalty program.
As our last form of primary research, we conducted an interview with Shawn Tilger,
Senior Vice President of Business Operations of the Philadelphia Flyers. On January 17, 2012
we met at the Wells Fargo Center, the home stadium of the Philadelphia Flyers. The main goal
of this interview was to see how our own created loyalty program compared to another
organization’s in the sports and entertainment industry. Additionally, we wanted to address the
topics of competition and cross channeling with another Philadelphia sports organization.
B. Process of conducting the selectedresearch method(s)
Once the objectives of our research were determined, our research was conducted in a
methodical process. Our “action of step” describes the purpose and rationale for each research
method. Ultimately, the final goal is to design a successful loyalty program for the Philadelphia
Eagles. In the following table, the steps of our research and action of step are presented in the
figure along with the dates the research was conducted.
Research Steps Action of Step Dates Executed
Step 1: Analyzed loyalty programs
of different companies
Researched existing loyalty
programs found in other
organizations both inside and
outside of the sports and
entertainment industry.Allowed for
specific loyalty program ideas that
can be implemented in the many
areas of the Philadelphia Eagles
whether it is in sport,entertainment,
or food and beverages.Ultimately,
finding unique loyalty programs
from existing companies gives ideas
that can be very innovative when
implemented for the Philadelphia
Eagles.
September 2011
Step 2: Interview with Senior Vice
President of the Philadelphia Eagles
Determined
 What existing loyalty
programs the Philadelphia
Eagles currently have.
 What the target market for
October 14, 2011
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a loyalty program should
be.
 What kind of incentives we
could provide.
 The potential of a loyalty
program.
 The initial capital the
Philadelphia Eagles would
be willing to invest in
creating or enhancing a
loyalty program.
 The possibility of cross
channeling with other
Philadelphia sports
organizations.
Step 3: Analyzed secondary research
obtained from Ari Roitman
Collected demographic and
socioeconomic data. Allowed us to
narrow our scope on our potential
target market for this loyalty
program.
October 2011
Step 4: Analyzed more
demographics and socioeconomics
data through secondary research.
Once we had an intended target
market, we found more data to
bolster the decision to focus on our
target market.
October 2011
Step 5: Conducted a survey Collected primary data to observe
the kinds of incentives that
Philadelphia Eagles fans would
expect to obtain through a loyalty
program.
November 30, 2011
Step 6: Analyzed secondary research
on mobile marketing conducted by
Forrester Research
Collected data regarding mobile
marketing. Determined the increase
in budget dedicated towards a
mobile marketing loyalty program
and the increase in Smartphone use
since 2008.
December 2011
Step 7: Interview with Senior Vice
President of the Philadelphia Flyers
Determined
 What existing loyalty
programs the Philadelphia
Flyers currently have.
 What other companies are
viewed as competition.
 The initial capital the
Philadelphia Flyers would
be willing to invest in
creating or enhancing a
loyalty program.
 The possibility of cross
channeling with other
Philadelphia sports
organizations.
January 17, 2012
Step 8: Developed a program with
the collected data
Created a loyalty program for Eagles
fans that will increase their loyalty
to the team.
January 2012
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IV. FINDINGS AND CONCLUSIONS OF THE STUDY
A. Findings of research study
Our first method research method was finding and analyzing existing loyalty programs of
different companies. We found multiple loyalty programs in other organizations both inside and
outside the sports and entertainment industry that we could implement in our Philadelphia
Eagle’s loyalty program. We discovered three loyalty programs that we believed would have the
most potential to be incorporated into our own. The Philadelphia Union, a sports organization in
the Major League Soccer (MLS), offers free shirts, scarves, and other incentives for their season
ticket holders, called the Sons of Ben. In addition, the season ticket holders have the opportunity
to purchase tickets to the various Sons of Ben tailgates held throughout the season. The
Starbucks Card is a rewards program where you earn stars every time you make a purchase at
any Starbucks store. Through this card, customers receive multiple incentives such as free
drinks, free refills, and coupons. The amount of stars earned correlates with different levels that
offer different incentives accordingly.
Like Starbucks, Caesars Entertainment Corporation offers a loyalty program in the form of their
Gold Card and Total Rewards program. However, Caesars Entertainment Corporation shows
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more diversity in their program through the ability to apply their program to drinks, hotel rooms,
and shows.
Afterwards, we interviewed Ari Roitman, the Senior Vice President of Business at the
Philadelphia Eagles. The major discovery uncovered through this interview was that the Eagles
currently do not have a primary loyalty program. From the interview, we learned that any form
of entertainment, regardless of its relation to sports, is considered competition. We also found
that the Eagles focus equal amounts of budget and marketing attention on corporate and
individual tickets. Ari Roitman informed us that in a loyalty program, customers would want to
receive incentives such as merchandise and interactive programs with the team such as “Chalk
Talks.” Chalk Talks are events where fans can watch the coaches address players about specific
in-game situations. The fans will be able to participate in this event and feel as if they are a part
of the team. The NFL uses an intricate system of revenue sharing that we would have to apply to
the other sports leagues if we were to implement a cross-channel loyalty program.
From the secondary research we discovered through Ari Roitman, we learned of the
increasing female fan base, expanding diversity among Philadelphia Eagles fans, and cultivating
young Eagles fans. Since 2000, the number of female Eagles fans in Philadelphia has grown
43%. The number of Eagles fans who are Asian and African American has grown over 100%
since 2000. 68% of avid Eagles fans became fans before they turned thirteen.
From the research conducted on the economics and socioeconomics of Philadelphia, we
furthered the description of our target market. The median income in Philadelphia Country
decreased by over $2,910 from 2005 to 2010. Despite the decrease in overall median income,
the eating, drinking, and entertainment sector has seen a benefit of 5% of personal income
spending and 15% of new employment.
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The survey provided the views and opinions of Philadelphia Eagles fans. 79% of Eagles
fans would want reduced ticket prices and discounted merchandise from a loyalty program.
69.7% of Eagles fans would participate in a loyalty program if one existed. Over 50% of Eagles
fans follow the team through mobile phones and computers.
From our secondary research on mobile marketing, we discovered that the growth of
mobile marketing is inevitable. Through this research, we learned that mobile marketing offers
four advantages that other forms of media cannot offer. Mobile marketing is personal, aware of
location, immediate, and interactive. Patterns in mobile marketing indicate that the budget for a
mobile marketing loyalty program will continue to increase substantially. 13% of companies
increased their budget dedicated to mobile marketing by 20.1% from 2008 to 2009. Finally, we
learned that the percentage of US adults with cell phones who owned Smartphones increased
from 7% to 11% from 2008 to 2009.
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Lastly, we interviewed Shawn Tilger, the Senior Vice President of Business Operations at
the Philadelphia Flyers. Like Ari Roitman, Shawn Tilger informed us that any form of
entertainment and the economy could cause competition. The Philadelphia Flyers need loyalty
programs therefore to entice fans to spend their entertainment dollars on the Flyers on a
consistent basis. Lastly, we learned that the Philadelphia Flyers currently have a loyalty program
in the form of their “Early Bird Renewal Program” which allows fans to renew their tickets and
receive additional benefits. The inspiration behind this program was to help the Flyers keep their
existing customers and consequently grow their business quickly.
B. Conclusions based on the findings
Because Ari Roitman indicated that the Philadelphia Eagles do not have a distinguished
loyalty program, there are many possibilities to design an innovative loyalty program that
benefits both individuals and corporations. Based on the socioeconomics, economics, and
demographics of Philadelphia, the target market with the most potential would be families, adults
aged 25-40, and their children, 16 and under. By seeing the success and potential of a Rewards
Program as exemplified through both Starbucks’ and Caesars Entertainment Corporation’s
programs we believe we can create a successful loyalty program that simultaneously increases
reliance on technology. Based on the Starbucks loyalty program, we decided to reward the loyal
customers who have invested money in our organization by creating levels of participation where
each tier corresponds to the amount spent on tickets, merchandise, and beverages. Both our
interview with Ari Roitman and our survey informed us that fans would appreciate discounted
merchandise and reduced ticket prices as incentives for our loyalty program. Because mobile
marketing will continue to be successful in the future, as indicated by Forrester Research, we
have decided to incorporate it into part of our loyalty program. As Forrester Research displays,
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there is an increase in budget dedicated towards mobile marketing, showing the potential
investment for our Eagles loyalty program. Given that we have the opportunity to cross-channel,
incentives would not only be offered from the Eagles, but also from all Philadelphia sports
teams.
V. PROPOSED STRATEGIC PLAN
A. Goals/objectives and rationale
In order to create a loyalty program, we need to promote and encourage loyal purchasing
of Philadelphia Eagles tickets by offering rewards. Loyal purchasing is the main objective that
will lead to increased sales and profit. We have 6 incentives that will not only encourage
customers to continue to purchase tickets, but also attract future customers to participate in
Eagles activities which will be implemented to accomplish short term and long term goals.
Technology
Objectives
 Increase ease and efficiency in purchasing tickets
 Create a point system that rewards purchases
 Allow a medium for customer-to-customer selling of tickets
Rationale
 Ease of purchasing
 Instant access to paperless tickets
 Increase promotional activity
 Cost efficient, easy loyalty medium
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We will aim to increase the ease and efficiency in purchasing tickets. Our goal is to
provide paperless tickets to encourage the environmentally friendly “Go Green” mentality the
Eagles have adopted.
Additionally, we hope
to create a point system
that rewards purchases.
We expect these
rewards to increase
purchases of
merchandise, tickets,
and food and
beverages. Lastly, we will intend to allow direct customer-to-customer selling of tickets so
that customers have a ready market place to buy or sell tickets if needed. The creation of a
mobile application and website is a short-term goal since it can be quickly implemented and
used by our target market. The achievement of these goals will increase cost efficiencies for
the Eagles organization by simplifying the distribution of tickets and increase revenue
generated per fan attending the game.
Bundles
Objectives
 Increase cost efficient bundle package
 Increase accessibility to away games
 Increase attendance to games
Rationale
 Increased away game sales
 Increase fan base attending away games
 Increase Eagles Fan base
 Increase away game revenue
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We want to provide a cost efficient bundle package that includes away game tickets,
airplane tickets and hotel rooms. This will allow for a business-to-business exchange that will
result in cheaper flights and hotel rooms. Through a bundled package, customers will be enticed
to attend away games since they will view the experience as more affordable. This will increase
away game revenue though an increase in ticket sales for which the Philadelphia Eagles
organization receives a percentage of. Additionally, access to tickets and away games will allow
us to achieve our long-term goal of increasing the away game fan base and Eagles fan base in
general.
Social responsibility
Objectives
 Increase social responsibility
 Utilize emotional appeal
 Increase attendance to games
 Lifelong customers
Rationale
 Increased overall sales
 Cost efficient
One of our goals is to increase the Philadelphia Eagle’s social responsibility because this
will project a positive image of the Eagles to the community and their stakeholders. By
promoting a positive image, customers will be more likely to prefer the Eagles to other
organizations, resulting in an increase in sales. Additionally we will utilize this emotional appeal
to increase attendance to Eagles games resulting in increased sales. Using emotional appeal is
vital because it will ultimately help us accomplish our long-term goal of creating lifetime fans.
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B. Proposed Activities and Timelines
Mobile Application
A mobile application will offer…
 Users will receive accounts
 Through accounts, users can buy tickets and merchandise to gain points that will lead to
discounts and rewards
 Integrate cross channeling identification:
o This method is in collaboration with a program that sells tickets for all
Philadelphia sport teams, including the NHL and MLB. Purchases of items more
for one team will determine what discounts and rewards the user will receive.
 Access to live scores
 Access to marketplace will allow customer to customer purchasing and selling of tickets
 Allow fans to access a barcode on their Smartphone to use as a ticket
In order to reach our goals we will
implement the Eagles Mobile App and website
that will allow our organization to continue to
access our fans beyond the capacity of Lincoln
Financial Field. Both the proposed website and
application will consist of the following
components: live scores, ticket information,
coupons for food and beverages, tickets, and
merchandise.
The home page of the Eagles Mobile App
and website will consist first of a login box,
followed by daily news tracking the team. If not already signed up, the homepage will also
provide the option for any fan to register for the app and website. A navigation screen will
immediately pop up once signed in that allows users to click on the tabs. Through the tabs, users
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will navigate to another page. These pages will include statistics/news, purchasing, offers, forum,
and social media. Statistics/news will allow users to follow their favorite players or teams and
see any news regarding either of the two. The purchasing tab allows the user to purchase tickets
and merchandise. This purchasing tab correlates with the log in because each account is
monitored and points based on purchases accumulate so that the increasing discounts are located
in the next tab, offers. Through cross channeling identification, the application will analyze
preferences in players and merchandise to give discounts that will benefit the user the most. The
forum tab is for selling tickets and purchasing between customers. This feature can be used when
fans want to either purchase or sell tickets to Eagles games. By integrating social media into this
application, it will be easier for users to attend games with friends and families.
Bundle Plan
 Bundling of plane ticket, hotel room, and game ticket
Our survey showed that one of the main reasons fans do not attend away games is because of
the necessity to pay for amenities other than the ticket. Since home games are often sold out, we
can increase our sales exponentially by targeting away games. By marketing the ticket in a
bundle, we can not only decrease costs of the ticket but also reduce costs of hotel rooms and
plane tickets. Additionally, combining this with the mobile application and the social tab will
allow users to attend away games together. The name of the program, Gang Green Travel,
conveys the sense that the fans that attend away games are extremely loyal to the Eagles. In order
to allow for transportation at away games, the program will also pay for rental cars. Additionally
the participants will be assigned a Gang Green representative who will act as a tour guide and
help in directing participants.
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Increase player involvement in loyalty programs to create a more in depth fan
experience
 Allow fans to attend Chalk talks
o Chalk talks are events where fans can watch the coach address the players about
plays
 Children can attend and take an active part in practices (such as participating in the drills)
 Players can attend local schools and participate in various drills or scrimmages
 Allow students in local schools to take part in a football game on the field
Our survey has told us that 80% of fans would like to meet players as an incentive. Apart
from the program being cost efficient, it portrays the Philadelphia Eagles as a socially
responsible organization that invests its time into its fans. Additionally, it shows that they are
aware of their positive impact on the community. We have three ways for fans to meet the
players. The first method, directed towards adults, is to allow fans to attend “Chalk Talks.”
Chalk Talks are events where fans can watch the coaches address players about specific in-game
situations. This is an extremely cost effective method that does not require much initial
investment to start off. Additionally, there are multiple practices, which means that many fans
can experience this. Another method is to allow children to take part in fall practices. As children
attend these practices, their parents will see the positive impact that the Eagles are making on the
community. In connection to the EYP, the last method is for players to attend schools. While
24
attending schools, players would talk about working hard to achieve a goal so that kids stay out
of trouble. Additionally, the players would also distribute T-shirts to the students. This will
positively impact student so that they hopefully will become lifelong fans.
Timeline:
The following time line illustrates the implementation of the proposed loyalty program:
C. Proposed Budget
Our budget to implement the proposed loyalty programs may seem costly at first,
however given the immense fan base the Philadelphia Eagles currently have the revenue
generated from the total loyalty strategy should offset the costs made to implement it. Most of
the costs originate from the development and implementation of the Eagles Mobile App and
website and the Gang Green Travel program. Contrarily, the player and fan involvement
program has a relatively low cost to operate. Advertisements would also be sold on both the
mobile app and website to partially offset the costs to operate both.
July2012
Beginto train
promotion
departmentfor
Gang Green
Travels
Beginbetatesting
the app with
seasonticket
holders
August2012
Introduce Eagles
Mobile App
website
Start increasing
playerandfan
involvementinthe
team
September2012
BeginGreenGang
travelsat first
awaygame
Beginusing
metricsto
measure website
trafficand appuse
Continue player
and fan
involvement
October2012
Continue the use
of metricsto
measure the
returnon
investmentof our
programs
Continue player
involvement
25
Budget
(1) TechnologyProgram
Smartphone appcreation $25,000
Website design $50,000
Website hosting $5,000
Merchant account transactionfees $10,000
Software developmentfortrackingprogram $15,000
Merchandise giveaways $15,000
Full-timeSocial mediadirector $45,000
Totalcost of technology program $165,000
(2) Gang GreenTravel Program
Advertising $40,000
Promotiondepartmenttrainingandworkshop $5,500
Car rental $40,000
Gang GreenRepresentative $45,000
Total costof Away gametravelprogram $130,500
(3) Player/FanInvolvementProgram
EaglesYouthprogram $7,500
ChalkTalks $2,500
Pee Wee onTurf $2,000
Totalcost of Player/Fan involvement $12,000
26
Total Year 1 costs $ 307,500
D. Proposed metrics to measure return on investment (ROI), sales, customer
retention, customer satisfaction, etc.
There are multiple ways that we can measure our return on investment, sales, customer
retention, and customer satisfaction. Before beginning any of our loyalty programs, we will
offer a randomly selected group of our season
ticket holders the opportunity to be beta testers
for the Eagles Mobile app and website. Beta
testing provides a form of external user
acceptance testing to confirm that the app and
website meet the mutually agreed upon
requirements set by our organization. After each of the beta testers has had adequate time with
the app and website, they will fill out a survey to determine if the layout was appealing and easy
to use and if the points needed for certain rewards were appropriately distributed. By utilizing
the feedback from these beta testers, we can get a general understanding on the fans interest in
the app and website and their contents, accessibility, and expected traffic. Once the beta test is
complete and the loyalty programs are implemented, we will measure the success of our
programs weekly for the first two months of the season and then every other week for the
remainder of the season. The most obvious way to track the return on investment of our
programs is through our ticket sales. Given the away game bundle that we implemented, any
change in ticket sales and attendance at away games would be a direct representation of the
27
return on investment for this program. Additionally, the tracking device used in the Eagles
Mobile app and website would be used to accurately measure the customer retention. Since the
tracking device records any payments made using the program, we can track whether or not the
programs persuade our fans to consistently attend Eagles games through their ticket purchases.
The activity of the Eagles Mobile website can also be tracked to determine the frequency at
which the fans use the program. Finally, for constructive feedback, surveys will be distributed
electronically through email to all of the fans signed up for the Eagles Mobile app and website to
help us determine any changes that can be made to our current programs that would help us
enhance their Eagles experience.
28
VI. BIBLIOGRAPHY
Consultants (2):
Mrs. Peggy Hager Marketing Teacher, DECA Advisor
Mr. Greg deWolf Marketing Teacher, DECA Advisor
Personal Interviews (2):
Mr. Ari Roitman Senior Vice President of Business (October 14, 2011)
Mr. Shawn Tilger Senior Vice President of Business Operations (January 17, 2012)
Survey (1)
Eagles Loyalty Programs (11/30/2011 – 12/10/2011)
Internet Sources:
Deca.org
Philadelphiaealges.com
Starbucks.com
Harrahsresort.com
Philadelphiaunion.com
Flyers.nhl.com
Totalrewards.com
Census.gov
City-data.com
Visitphilly.com
Surveymonkey.com
Forresterreasearch.com
Scarboroughresearch.com
Facebook.com
Twitter.com

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  • 1. 1 I. EXECUTIVE SUMMARY The importance of a loyalty program is to develop and maintain a consistent relationship with customers. The Philadelphia Eagles organization does not currently have an organized loyalty program. After conducting broad secondary research, we determined that our loyalty program would be directed towards families, adults aged 25-40, and their children, 16 and under. Additionally, we wanted to reward our season ticket holders for their loyalty to our organization. Through our loyalty program, we hope to make the Philadelphia Eagles the top choice in the Philadelphia area for sports and entertainment. ResearchMethods We conducted 7 different forms of research that gave us information to develop a loyalty program for the Eagles. Based on the 7 research methods that we conducted, we were able to determine a loyalty program that would best suit the Eagles and our target market. The 7 types of research that we performed follow the timeline below: By surveying fan’s reaction to implementing a loyalty program, we learned that fans would take full advantage of the program and what types of incentives we should offer. Conclusions based on the finding Based on our survey, we discovered what benefits fans would be most interested in receiving from a Philadelphia Eagles loyalty program. From our findings, we decided that the tier structure used by the Starbuck Rewards Program would be most fitting in the Eagles organization. We determined how to increase the value of our designated incentives as the tiers increased. Finally, we decided to utilize cross channeling amongst other Philadelphia sports teams in our loyalty program. Proposed Loyalty Program Our loyalty programs include multiple incentives that will reward parents, children, and current season ticket holders. Out first loyalty program utilizes technology since Smartphone and use is increasing exponentially. Through our mobile application and website, we will offer discounts for food, tickets, and merchandise. The next loyalty program bundles game tickets, plane tickets, and hotel rooms. This will allow fans to attend away games more easily. Our last loyalty program allows fans to interact with our players and children to play a game at halftime on the stadium turf. Each of these loyalty programs will encourage an increase in lifetime fans. Goals of Loyalty Program There are five main goals of the proposed loyalty program: increase ticket sales, increase team loyalty in the community, get more children to attend games, improve attendance to away games, and increase the efficiency of purchasing tickets. Budget Following the implementation of the proposed loyalty program, we have established a total budget of $307,500. While the budget may seem costly at first, the revenue generated from the total loyalty strategy should offset the costs made to implement it. Additionally, advertisements would be sold on the both the mobile application and website to partially offset the costs to operate both. Secondary Research on Loyalty Programs Interview with Ari Roitman Secondary researchon the Eagles Secondary researchon Philadelphia Fan Survey Seconday research on mobile marketing Interview with Shawn Tilger
  • 2. 2 II. INTRODUCTION A. Description of the business or organization Since 1933, the Philadelphia Eagles have been a professional football organization in the National Football League (NFL), located in Philadelphia, Pennsylvania. In 1933, Bert Bell and Lud Wray purchased the former Frankford Yellowjackets franchise for $2,500. The Eagles had the worst record in the NFL in 1937. In 1940, after selling the Pittsburgh Steelers to Alexis Thompson, Art Rooney bought a half interest in the Eagles, who moved their games to Shibe Park (later named Connie Mack Stadium in 1953). Following the 1940 season, Rooney, along with Eagles cofounder Bert Bell, swapped franchises with Thompson. Bell, who also departed his job as Eagles coach, went on to be commissioner of the NFL. Because of World War II, which had caused a shortage of players, the Philadelphia Eagles and the Pittsburgh Steelers merged and became the “Phil- Pitt Steagles.” With both team coaches splitting jobs, the Steagles would actually play competitive football with a 5-4-1 record. Following the season, Eagles owner Alexis Thompson dissolved the merger. In 1949, the Eagles were sold to a group of a hundred investors, known as the “Happy Hundred” and the “Hundred Brothers,” all of which paid $3,000 for one of the hundred shares. After the 1957 season, the Eagles moved from Connie Mack Stadium to Franklin Field at the University of Pennsylvania. The Eagles changed their home stadium again in 1971 as they left Franklin Field for Veterans Stadium. In 2003, the Eagles moved to Lincoln Financial Field, their current home
  • 3. 3 stadium. With Lincoln Financial Field as their stadium, the Eagles made it to the Super Bowl in 2004. However, the Eagles are still yet to win a Super Bowl. In 1996, Jeffrey Lurie purchased the Eagles for an estimated $185 million. Currently, Lurie is still the Chairman and Chief Executive Officer of the Eagles. Apart from Lurie, the Executive Administration consists of Joe Banner (President), Don Smolenski (Chief Operating Officer), Tim McDermott (Senior Vice President and Chief Marketing Officer), Ari Roitman (Senior Vice President and Business Executive), and Rob Zeiger (Senior Vice President and Communications Executive). The Eagles competition for entertainment dollars consists of any source of entertainment. These forms of entertainment include plays, concerts, and other athletic events. Additionally, since food and beverages are a large part of the Eagle’s industry, restaurants are also viewed as competition. The Eagles pride themselves on being a socially responsible organization. Therefore, they create many opportunities to reach out to the community and create positive images, most notably through their Go Green movement and Eagles Youth Partnership (EYP). In their Go Green movement, the Eagles extend their mission to create and sustain championship performance on the field into their other mission to do the same off the field. Through renewable energy, energy conservation, and reforestation, the Eagles hope to improve their impact on the environment.
  • 4. 4 The EYP’s mission is to enhance opportunities and improve the quality of life for children and youth in the Greater Philadelphia region through health and education partnerships. By combining the resources of the team’s corporate and non-profit partners with the power of the Eagles organization and its players, the EYP improves the attitudes towards learning and healthy lifestyles of Philadelphia’s youth. B. Description of the community Economic: The Philadelphia area is home to some of the largest national corporations. Aramark, Campbell’s Soup Company, Comcast, Lincoln National Corporation, and Sunoco all have their headquarters in the Philadelphia region. In Philadelphia, the median household income in 2010 was $36,251, which was $15,663 below the national average. The unemployment rate from 2005 to 2011 has drastically changed from 4.9 to 10.9%, a number significantly larger than the 8.8% federal unemployment rate. Additionally, the median house or condo value has risen from $61,000, measured in 2000, to $150,000.
  • 5. 5 New Jersey has shown a similar trend in median household income, unemployment rate, and median house or condo value. As the unemployment rate increases, the amount of disposable income decreases. This decrease in disposable income in the community results in fewer funds available to be spent on entertainments and food. Socioeconomics: Philadelphia’s lifestyle and spending habits directly correlate and reflect the changes in the economy. The entertainment sector has seen an increase in annual spending on entertainment despite the recession. The eating, drinking, and entertainment sector has seen a benefit of 5 percent of personal income spending and 15 percent of new employment. The city is also home to some of the nation’s most prestigious universities. Colleges such as St. Joseph’s University, Temple University, La Salle University, Drexel University, and University of Pennsylvania all consist of undergraduate and graduate schools that offer a diverse group of young adults. With over 200 restaurants, Philadelphia also offers a wide variety of options for food. Philadelphia attracts the likes of our nation’s best chefs, including Jose Garces, Stephen Starr, Marc Vetri, and George Perrier and features elite restaurants like Le Bec-Fin, Lacroix, Alma de Cuba, and Morimoto. Furthermore, Philadelphia is home to both Pat’s King of Steaks and Geno’s Steaks, both of which are integral parts of the city’s culture. Philadelphia combines its rich history and modern feel through various historic sites and museums. Visitors can view historic sites such as the National Constitution Center and the Independence Visitor Center or
  • 6. 6 1.1M 1.6M museums such as the Philadelphia Museum of Art and the Please Touch Museum. Lastly, Philadelphia offers a wide variety of hotels for its visitors. With the likes of the Embassy Suites, the Ritz-Carlton, and the Courtyard Philadelphia, the city contains multiple elite hotels. Demographics:+43% from 2000 As of 2010, the population of Pennsylvania is 12,702,379. Since 2000, the population has increased by 3.4%. The population is split between 51.3% female and 49.7% male. The majority of the 7.4 million Eagles fan base is centered in the tri-state area of Pennsylvania, New Jersey (specifically South Jersey), and Delaware (North Delaware). Of this 7.4 million Eagles fan base, 57% are male and 43% female. A large majority of Eagles fans, 54%, are 45 or older, with the next largest age group being 65 and older at 18%. Additionally, 55% of the Eagles fans are college educated. Studies conducted show a large growth of Eagles fans among women, Hispanics, Asians, and African Americans. The population of female Eagles fans, now at 1.6 million, has grown 43% since 2000 – more than the Philadelphia Flyers and 76ers female fans combined. 40% of Eagles fans in Philadelphia have at least one child under the age of 18 in their house, and 23% have at least two. Consequently, 68% of avid Eagles fans were Eagles fans before they turned 13. Both 12% 17% 17% 21% 15% 18% 0% 5% 10% 15% 20% 25% 18-24 25-34 35-44 45-54 55-64 65+ Age of Eagles Fans +43% from 2000 Female Eagles Fans
  • 7. 7 Asian and African American Eagles fan populations have increased over 100% since 2000 – Asians have increased by 43,000 fans and African Americans 500,000. The Philadelphia area is the second largest Hispanic market in the Northeast and the 16th largest in the country. The number of Eagles fans in the Philadelphia area who are Hispanic, now at 223 thousand, has grown by about 75%. Geographic: This customer loyalty program will primarily focus on the Philadelphia area. Philadelphia is the largest city in Pennsylvania and the fifth-largest city in the country. Philadelphia is located in Southeast Pennsylvania, along the Delaware and Schuylkill rivers. Philadelphia is the area of focus, in comparison to other areas representing majorities of the Eagles fan base, since the Eagles’ home stadium, Lincoln Financial Field, is found here. Lincoln Financial Field is located in South Philadelphia on Pattison Avenue between 10th and 11th streets. Lincoln Financial Field is also aside I-95 as part of the South Philadelphia Sports Complex. The field is conveniently located in Philadelphia so that it can be easily accessed by various forms of transportation.
  • 8. 8 The Southeastern Pennsylvania Transportation Authority serves for Philadelphia, using buses, trains, rapid transit, trolleys, and trackless trolleys throughout Philadelphia, the four Pennsylvania suburban counties of Bucks, Chester, Delaware, and Montgomery, Mercer County New Jersey, and New Castle County Delaware. Additionally, there are two airports in Philadelphia: the Philadelphia International Airport (PHL) in the southern part of the city and the Northeast Philadelphia Airport (PNE) in Northeast Philadelphia. At an affordable price, people can easily chose from over six different bus operators to navigate throughout the city. Philadelphia has always been known as a center for several major railroads, which all run close to the stadium, making a convenient source of transportation for all fans. Lastly, in place of transportation, fans can walk to the stadium as Philadelphia has been ranked the fifth most walkable major city in the United States. C. Description of the Target Market The target market of the Philadelphia Eagles incorporates Eagles fans from Pennsylvania and regions in South Jersey. Our loyalty program will target families, adults aged 25-40, and their children, 16 and under. In terms of gender, the population of women fans has increased exponentially. Specifically, the amount of female Eagles fans has grown 43% since 2000. This constant increase of women fans portrays a great potential with female marketing. Thus, the overall marketing will shift towards a balanced gender campaign. Additionally, over 55% of all Eagles fans are college educated. In terms of income, 26% of Eagles fans have a household income of $25,000 to $49,999. One-third of the Eagles fans in Philadelphia have a household income of at least $100,000. This wide spectrum of income makes it possible to focus on mass general admission tickets while also targeting households with a higher income through suites and main concourse tickets.
  • 9. 9 5 or Younger 6 - 9 10 - 13 25% 24% 19% 10% 26% 17% 17% 17% 10% 3% 0% 5% 10% 15% 20% 25% 30% Under $25,000 $25,000- $49,999 $50,000- $74,999 $75,000- $99,999 $100,000- $149,999 $150,000- $249,999 $250,000+ Household Income Since over 54% of the fans are 45 or older, there is great potential to cultivate younger Eagles fans as future fans. 40% of Eagles fans have at least one child under the age of 18 in their household and 23% have at least two. The Eagles Kids club is the largest in the NFL with over 5,000 members. Promoting the Eagles Kids club will appeal to the parents of the children, thus ultimately targeting two audiences: parents and children. At what age didyou FIRST become a fan of the PhiladelphiaEagles?
  • 10. 10 III. RESEARCH METHODS USED IN THE STUDY A. Description and rationale of research methodologies selectedto conduct the research study The original purpose of our research was to analyze the existing loyalty programs of the Philadelphia Eagles and loyalty programs existing outside of the Eagles that could be incorporated within our organization. Our goal is to implement a loyalty program that correctly matches our target market. By analyzing pre-existing loyalty programs, we evaluated key components that could be successfully integrated into an Eagles loyalty program. Our first method of secondary research consisted of our analyzing current loyalty programs found in other organizations both inside and outside of the sports and entertainment industry. We examined the loyalty programs of three companies: Starbucks, Caesars Entertainment Corporation (formerly Harrah’s Entertainment), and the Philadelphia Union. By analyzing the loyalty program at Starbucks, we wanted to form a similar loyalty program around food and refreshments of the Eagles. We were able to look at non-sports related entertainment loyalty programs by examining the loyalty program at Caesars Entertainment Corporation. Through the Philadelphia Union, we researched loyalty programs found not only in the same industry as the Eagles but in the same city as well. After conducting our research on the loyalty programs of these three companies, we incorporated certain features into our own loyalty program for the Eagles.
  • 11. 11 Our first source of primary research came from an interview with the Senior Vice President of Business at the Philadelphia Eagles, Ari Roitman. On October 14, 2011 we met at the NovaCare building located in Philadelphia outside of the stadium. The main goals of this interview were to determine what existing loyalty programs the Eagles had, what the target market for a loyalty program should be, and what kind of incentives we could provide. In addition, we wanted to determine the potential of a loyalty program and the initial capital the Eagles would be willing to invest in creating or enhancing a loyalty program. Through Ari Roitman, we discovered secondary research conducted by Scarborough Research and ESPN polls. These sources gave us information on who our target market is, where they come from, and general trends amongst the populations of Philadelphia Eagles fans. Additionally, to further investigate our target market, we conducted more secondary research on the demographics and socioeconomics of the Philadelphia area. As another source of primary research, we conducted our first survey. Through this survey we hoped to obtain a general understanding of what customers are interested in through a Philadelphia Eagles loyalty program. A survey was a useful method of research as it provided quick response times and easy distributions to our target audience through various forms of social networks. Additionally, through surveys, our validity increased as we reached a wider audience. For our final source of secondary research, we analyzed the trends of mobile marketing as presented through Forrester Research. Through this research, we wanted to find a medium through which we could offer our incentives. We also wanted to obtain information on the
  • 12. 12 budget regarding a mobile marketing loyalty program. As a final goal, we wanted to view the potential success of a mobile marketing loyalty program. As our last form of primary research, we conducted an interview with Shawn Tilger, Senior Vice President of Business Operations of the Philadelphia Flyers. On January 17, 2012 we met at the Wells Fargo Center, the home stadium of the Philadelphia Flyers. The main goal of this interview was to see how our own created loyalty program compared to another organization’s in the sports and entertainment industry. Additionally, we wanted to address the topics of competition and cross channeling with another Philadelphia sports organization. B. Process of conducting the selectedresearch method(s) Once the objectives of our research were determined, our research was conducted in a methodical process. Our “action of step” describes the purpose and rationale for each research method. Ultimately, the final goal is to design a successful loyalty program for the Philadelphia Eagles. In the following table, the steps of our research and action of step are presented in the figure along with the dates the research was conducted. Research Steps Action of Step Dates Executed Step 1: Analyzed loyalty programs of different companies Researched existing loyalty programs found in other organizations both inside and outside of the sports and entertainment industry.Allowed for specific loyalty program ideas that can be implemented in the many areas of the Philadelphia Eagles whether it is in sport,entertainment, or food and beverages.Ultimately, finding unique loyalty programs from existing companies gives ideas that can be very innovative when implemented for the Philadelphia Eagles. September 2011 Step 2: Interview with Senior Vice President of the Philadelphia Eagles Determined  What existing loyalty programs the Philadelphia Eagles currently have.  What the target market for October 14, 2011
  • 13. 13 a loyalty program should be.  What kind of incentives we could provide.  The potential of a loyalty program.  The initial capital the Philadelphia Eagles would be willing to invest in creating or enhancing a loyalty program.  The possibility of cross channeling with other Philadelphia sports organizations. Step 3: Analyzed secondary research obtained from Ari Roitman Collected demographic and socioeconomic data. Allowed us to narrow our scope on our potential target market for this loyalty program. October 2011 Step 4: Analyzed more demographics and socioeconomics data through secondary research. Once we had an intended target market, we found more data to bolster the decision to focus on our target market. October 2011 Step 5: Conducted a survey Collected primary data to observe the kinds of incentives that Philadelphia Eagles fans would expect to obtain through a loyalty program. November 30, 2011 Step 6: Analyzed secondary research on mobile marketing conducted by Forrester Research Collected data regarding mobile marketing. Determined the increase in budget dedicated towards a mobile marketing loyalty program and the increase in Smartphone use since 2008. December 2011 Step 7: Interview with Senior Vice President of the Philadelphia Flyers Determined  What existing loyalty programs the Philadelphia Flyers currently have.  What other companies are viewed as competition.  The initial capital the Philadelphia Flyers would be willing to invest in creating or enhancing a loyalty program.  The possibility of cross channeling with other Philadelphia sports organizations. January 17, 2012 Step 8: Developed a program with the collected data Created a loyalty program for Eagles fans that will increase their loyalty to the team. January 2012
  • 14. 14 IV. FINDINGS AND CONCLUSIONS OF THE STUDY A. Findings of research study Our first method research method was finding and analyzing existing loyalty programs of different companies. We found multiple loyalty programs in other organizations both inside and outside the sports and entertainment industry that we could implement in our Philadelphia Eagle’s loyalty program. We discovered three loyalty programs that we believed would have the most potential to be incorporated into our own. The Philadelphia Union, a sports organization in the Major League Soccer (MLS), offers free shirts, scarves, and other incentives for their season ticket holders, called the Sons of Ben. In addition, the season ticket holders have the opportunity to purchase tickets to the various Sons of Ben tailgates held throughout the season. The Starbucks Card is a rewards program where you earn stars every time you make a purchase at any Starbucks store. Through this card, customers receive multiple incentives such as free drinks, free refills, and coupons. The amount of stars earned correlates with different levels that offer different incentives accordingly. Like Starbucks, Caesars Entertainment Corporation offers a loyalty program in the form of their Gold Card and Total Rewards program. However, Caesars Entertainment Corporation shows
  • 15. 15 more diversity in their program through the ability to apply their program to drinks, hotel rooms, and shows. Afterwards, we interviewed Ari Roitman, the Senior Vice President of Business at the Philadelphia Eagles. The major discovery uncovered through this interview was that the Eagles currently do not have a primary loyalty program. From the interview, we learned that any form of entertainment, regardless of its relation to sports, is considered competition. We also found that the Eagles focus equal amounts of budget and marketing attention on corporate and individual tickets. Ari Roitman informed us that in a loyalty program, customers would want to receive incentives such as merchandise and interactive programs with the team such as “Chalk Talks.” Chalk Talks are events where fans can watch the coaches address players about specific in-game situations. The fans will be able to participate in this event and feel as if they are a part of the team. The NFL uses an intricate system of revenue sharing that we would have to apply to the other sports leagues if we were to implement a cross-channel loyalty program. From the secondary research we discovered through Ari Roitman, we learned of the increasing female fan base, expanding diversity among Philadelphia Eagles fans, and cultivating young Eagles fans. Since 2000, the number of female Eagles fans in Philadelphia has grown 43%. The number of Eagles fans who are Asian and African American has grown over 100% since 2000. 68% of avid Eagles fans became fans before they turned thirteen. From the research conducted on the economics and socioeconomics of Philadelphia, we furthered the description of our target market. The median income in Philadelphia Country decreased by over $2,910 from 2005 to 2010. Despite the decrease in overall median income, the eating, drinking, and entertainment sector has seen a benefit of 5% of personal income spending and 15% of new employment.
  • 16. 16 The survey provided the views and opinions of Philadelphia Eagles fans. 79% of Eagles fans would want reduced ticket prices and discounted merchandise from a loyalty program. 69.7% of Eagles fans would participate in a loyalty program if one existed. Over 50% of Eagles fans follow the team through mobile phones and computers. From our secondary research on mobile marketing, we discovered that the growth of mobile marketing is inevitable. Through this research, we learned that mobile marketing offers four advantages that other forms of media cannot offer. Mobile marketing is personal, aware of location, immediate, and interactive. Patterns in mobile marketing indicate that the budget for a mobile marketing loyalty program will continue to increase substantially. 13% of companies increased their budget dedicated to mobile marketing by 20.1% from 2008 to 2009. Finally, we learned that the percentage of US adults with cell phones who owned Smartphones increased from 7% to 11% from 2008 to 2009.
  • 17. 17 Lastly, we interviewed Shawn Tilger, the Senior Vice President of Business Operations at the Philadelphia Flyers. Like Ari Roitman, Shawn Tilger informed us that any form of entertainment and the economy could cause competition. The Philadelphia Flyers need loyalty programs therefore to entice fans to spend their entertainment dollars on the Flyers on a consistent basis. Lastly, we learned that the Philadelphia Flyers currently have a loyalty program in the form of their “Early Bird Renewal Program” which allows fans to renew their tickets and receive additional benefits. The inspiration behind this program was to help the Flyers keep their existing customers and consequently grow their business quickly. B. Conclusions based on the findings Because Ari Roitman indicated that the Philadelphia Eagles do not have a distinguished loyalty program, there are many possibilities to design an innovative loyalty program that benefits both individuals and corporations. Based on the socioeconomics, economics, and demographics of Philadelphia, the target market with the most potential would be families, adults aged 25-40, and their children, 16 and under. By seeing the success and potential of a Rewards Program as exemplified through both Starbucks’ and Caesars Entertainment Corporation’s programs we believe we can create a successful loyalty program that simultaneously increases reliance on technology. Based on the Starbucks loyalty program, we decided to reward the loyal customers who have invested money in our organization by creating levels of participation where each tier corresponds to the amount spent on tickets, merchandise, and beverages. Both our interview with Ari Roitman and our survey informed us that fans would appreciate discounted merchandise and reduced ticket prices as incentives for our loyalty program. Because mobile marketing will continue to be successful in the future, as indicated by Forrester Research, we have decided to incorporate it into part of our loyalty program. As Forrester Research displays,
  • 18. 18 there is an increase in budget dedicated towards mobile marketing, showing the potential investment for our Eagles loyalty program. Given that we have the opportunity to cross-channel, incentives would not only be offered from the Eagles, but also from all Philadelphia sports teams. V. PROPOSED STRATEGIC PLAN A. Goals/objectives and rationale In order to create a loyalty program, we need to promote and encourage loyal purchasing of Philadelphia Eagles tickets by offering rewards. Loyal purchasing is the main objective that will lead to increased sales and profit. We have 6 incentives that will not only encourage customers to continue to purchase tickets, but also attract future customers to participate in Eagles activities which will be implemented to accomplish short term and long term goals. Technology Objectives  Increase ease and efficiency in purchasing tickets  Create a point system that rewards purchases  Allow a medium for customer-to-customer selling of tickets Rationale  Ease of purchasing  Instant access to paperless tickets  Increase promotional activity  Cost efficient, easy loyalty medium
  • 19. 19 We will aim to increase the ease and efficiency in purchasing tickets. Our goal is to provide paperless tickets to encourage the environmentally friendly “Go Green” mentality the Eagles have adopted. Additionally, we hope to create a point system that rewards purchases. We expect these rewards to increase purchases of merchandise, tickets, and food and beverages. Lastly, we will intend to allow direct customer-to-customer selling of tickets so that customers have a ready market place to buy or sell tickets if needed. The creation of a mobile application and website is a short-term goal since it can be quickly implemented and used by our target market. The achievement of these goals will increase cost efficiencies for the Eagles organization by simplifying the distribution of tickets and increase revenue generated per fan attending the game. Bundles Objectives  Increase cost efficient bundle package  Increase accessibility to away games  Increase attendance to games Rationale  Increased away game sales  Increase fan base attending away games  Increase Eagles Fan base  Increase away game revenue
  • 20. 20 We want to provide a cost efficient bundle package that includes away game tickets, airplane tickets and hotel rooms. This will allow for a business-to-business exchange that will result in cheaper flights and hotel rooms. Through a bundled package, customers will be enticed to attend away games since they will view the experience as more affordable. This will increase away game revenue though an increase in ticket sales for which the Philadelphia Eagles organization receives a percentage of. Additionally, access to tickets and away games will allow us to achieve our long-term goal of increasing the away game fan base and Eagles fan base in general. Social responsibility Objectives  Increase social responsibility  Utilize emotional appeal  Increase attendance to games  Lifelong customers Rationale  Increased overall sales  Cost efficient One of our goals is to increase the Philadelphia Eagle’s social responsibility because this will project a positive image of the Eagles to the community and their stakeholders. By promoting a positive image, customers will be more likely to prefer the Eagles to other organizations, resulting in an increase in sales. Additionally we will utilize this emotional appeal to increase attendance to Eagles games resulting in increased sales. Using emotional appeal is vital because it will ultimately help us accomplish our long-term goal of creating lifetime fans.
  • 21. 21 B. Proposed Activities and Timelines Mobile Application A mobile application will offer…  Users will receive accounts  Through accounts, users can buy tickets and merchandise to gain points that will lead to discounts and rewards  Integrate cross channeling identification: o This method is in collaboration with a program that sells tickets for all Philadelphia sport teams, including the NHL and MLB. Purchases of items more for one team will determine what discounts and rewards the user will receive.  Access to live scores  Access to marketplace will allow customer to customer purchasing and selling of tickets  Allow fans to access a barcode on their Smartphone to use as a ticket In order to reach our goals we will implement the Eagles Mobile App and website that will allow our organization to continue to access our fans beyond the capacity of Lincoln Financial Field. Both the proposed website and application will consist of the following components: live scores, ticket information, coupons for food and beverages, tickets, and merchandise. The home page of the Eagles Mobile App and website will consist first of a login box, followed by daily news tracking the team. If not already signed up, the homepage will also provide the option for any fan to register for the app and website. A navigation screen will immediately pop up once signed in that allows users to click on the tabs. Through the tabs, users
  • 22. 22 will navigate to another page. These pages will include statistics/news, purchasing, offers, forum, and social media. Statistics/news will allow users to follow their favorite players or teams and see any news regarding either of the two. The purchasing tab allows the user to purchase tickets and merchandise. This purchasing tab correlates with the log in because each account is monitored and points based on purchases accumulate so that the increasing discounts are located in the next tab, offers. Through cross channeling identification, the application will analyze preferences in players and merchandise to give discounts that will benefit the user the most. The forum tab is for selling tickets and purchasing between customers. This feature can be used when fans want to either purchase or sell tickets to Eagles games. By integrating social media into this application, it will be easier for users to attend games with friends and families. Bundle Plan  Bundling of plane ticket, hotel room, and game ticket Our survey showed that one of the main reasons fans do not attend away games is because of the necessity to pay for amenities other than the ticket. Since home games are often sold out, we can increase our sales exponentially by targeting away games. By marketing the ticket in a bundle, we can not only decrease costs of the ticket but also reduce costs of hotel rooms and plane tickets. Additionally, combining this with the mobile application and the social tab will allow users to attend away games together. The name of the program, Gang Green Travel, conveys the sense that the fans that attend away games are extremely loyal to the Eagles. In order to allow for transportation at away games, the program will also pay for rental cars. Additionally the participants will be assigned a Gang Green representative who will act as a tour guide and help in directing participants.
  • 23. 23 Increase player involvement in loyalty programs to create a more in depth fan experience  Allow fans to attend Chalk talks o Chalk talks are events where fans can watch the coach address the players about plays  Children can attend and take an active part in practices (such as participating in the drills)  Players can attend local schools and participate in various drills or scrimmages  Allow students in local schools to take part in a football game on the field Our survey has told us that 80% of fans would like to meet players as an incentive. Apart from the program being cost efficient, it portrays the Philadelphia Eagles as a socially responsible organization that invests its time into its fans. Additionally, it shows that they are aware of their positive impact on the community. We have three ways for fans to meet the players. The first method, directed towards adults, is to allow fans to attend “Chalk Talks.” Chalk Talks are events where fans can watch the coaches address players about specific in-game situations. This is an extremely cost effective method that does not require much initial investment to start off. Additionally, there are multiple practices, which means that many fans can experience this. Another method is to allow children to take part in fall practices. As children attend these practices, their parents will see the positive impact that the Eagles are making on the community. In connection to the EYP, the last method is for players to attend schools. While
  • 24. 24 attending schools, players would talk about working hard to achieve a goal so that kids stay out of trouble. Additionally, the players would also distribute T-shirts to the students. This will positively impact student so that they hopefully will become lifelong fans. Timeline: The following time line illustrates the implementation of the proposed loyalty program: C. Proposed Budget Our budget to implement the proposed loyalty programs may seem costly at first, however given the immense fan base the Philadelphia Eagles currently have the revenue generated from the total loyalty strategy should offset the costs made to implement it. Most of the costs originate from the development and implementation of the Eagles Mobile App and website and the Gang Green Travel program. Contrarily, the player and fan involvement program has a relatively low cost to operate. Advertisements would also be sold on both the mobile app and website to partially offset the costs to operate both. July2012 Beginto train promotion departmentfor Gang Green Travels Beginbetatesting the app with seasonticket holders August2012 Introduce Eagles Mobile App website Start increasing playerandfan involvementinthe team September2012 BeginGreenGang travelsat first awaygame Beginusing metricsto measure website trafficand appuse Continue player and fan involvement October2012 Continue the use of metricsto measure the returnon investmentof our programs Continue player involvement
  • 25. 25 Budget (1) TechnologyProgram Smartphone appcreation $25,000 Website design $50,000 Website hosting $5,000 Merchant account transactionfees $10,000 Software developmentfortrackingprogram $15,000 Merchandise giveaways $15,000 Full-timeSocial mediadirector $45,000 Totalcost of technology program $165,000 (2) Gang GreenTravel Program Advertising $40,000 Promotiondepartmenttrainingandworkshop $5,500 Car rental $40,000 Gang GreenRepresentative $45,000 Total costof Away gametravelprogram $130,500 (3) Player/FanInvolvementProgram EaglesYouthprogram $7,500 ChalkTalks $2,500 Pee Wee onTurf $2,000 Totalcost of Player/Fan involvement $12,000
  • 26. 26 Total Year 1 costs $ 307,500 D. Proposed metrics to measure return on investment (ROI), sales, customer retention, customer satisfaction, etc. There are multiple ways that we can measure our return on investment, sales, customer retention, and customer satisfaction. Before beginning any of our loyalty programs, we will offer a randomly selected group of our season ticket holders the opportunity to be beta testers for the Eagles Mobile app and website. Beta testing provides a form of external user acceptance testing to confirm that the app and website meet the mutually agreed upon requirements set by our organization. After each of the beta testers has had adequate time with the app and website, they will fill out a survey to determine if the layout was appealing and easy to use and if the points needed for certain rewards were appropriately distributed. By utilizing the feedback from these beta testers, we can get a general understanding on the fans interest in the app and website and their contents, accessibility, and expected traffic. Once the beta test is complete and the loyalty programs are implemented, we will measure the success of our programs weekly for the first two months of the season and then every other week for the remainder of the season. The most obvious way to track the return on investment of our programs is through our ticket sales. Given the away game bundle that we implemented, any change in ticket sales and attendance at away games would be a direct representation of the
  • 27. 27 return on investment for this program. Additionally, the tracking device used in the Eagles Mobile app and website would be used to accurately measure the customer retention. Since the tracking device records any payments made using the program, we can track whether or not the programs persuade our fans to consistently attend Eagles games through their ticket purchases. The activity of the Eagles Mobile website can also be tracked to determine the frequency at which the fans use the program. Finally, for constructive feedback, surveys will be distributed electronically through email to all of the fans signed up for the Eagles Mobile app and website to help us determine any changes that can be made to our current programs that would help us enhance their Eagles experience.
  • 28. 28 VI. BIBLIOGRAPHY Consultants (2): Mrs. Peggy Hager Marketing Teacher, DECA Advisor Mr. Greg deWolf Marketing Teacher, DECA Advisor Personal Interviews (2): Mr. Ari Roitman Senior Vice President of Business (October 14, 2011) Mr. Shawn Tilger Senior Vice President of Business Operations (January 17, 2012) Survey (1) Eagles Loyalty Programs (11/30/2011 – 12/10/2011) Internet Sources: Deca.org Philadelphiaealges.com Starbucks.com Harrahsresort.com Philadelphiaunion.com Flyers.nhl.com Totalrewards.com Census.gov City-data.com Visitphilly.com Surveymonkey.com Forresterreasearch.com Scarboroughresearch.com Facebook.com Twitter.com