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Marketing concepts

Here are some important marketing concepts to help you identify and use target markets to increase membership, raise funds and attract sponsors for your club.

Market research: learn about your members

Market research should form the basis of all marketing activities. It helps you get to know who your members (and non-members) are – and why a person would want to become a member or attend an activity. It also helps you understand the environment you’re operating in and about your competitors.

Market research can involve:

  • Analysing existing information, like demographic data and research reports
  • New research, where you develop surveys, hold focus groups or conduct interviews.

Existing information – where to look

Membership database

Your club should have an existing membership database. An analysis of this will reveal some basics about your customer and will also identify where new members are coming from. Also look for large groups of customers who have similar characteristics, live in the same geographic region or attend the same school, university or other institution.

Registration figures

Check the registration figures over the last 12-24 months. Do the numbers differ for different age groups? Have the numbers fallen? Is it gender differentiated? Is it geographic?

Geographic area

Research your local area for institutions, schools, organisations, sporting grounds and other facilities that may support your club. This will give you general data on age groups, education, marital status, income and interests within the local area.

Australian Bureau of Statistics

If you require more detailed information about potential members, a good place to start is the Australia Bureau of Statics publications. Check your local library or go to www.abs.gov.au.

New research – ideas for your club

Interview existing members

Find out why they joined your club. People join or not join for all sorts of reasons – social activities, the facilities, close to university or transport etc.

Interview lapsed members

Find out why members don’t renew their registration.

Research other clubs

Talk to neighbouring clubs and recreation centres about their membership base. Your association may also have information about members in different areas of the state and nationally.

Interview potential members

If your plan is to attract a different market, talk to potential members about what would get them to join your club or attend an event.

Market research helps define your target market(s).

Target market

Put simply, marketing your activities to ‘everyone’ is inefficient. Not everyone wants the same thing and not everyone is alike. You’ll be wasting time and resources with this approach.

Target marketing focuses your marketing activities on groups of people (or target markets) most likely to become a member.

Target markets are essentially groups of people with common characteristics. Some simple ways target markets could be defined include residential address, sex, age group, occupation, education and interests. For example, children aged 5 to 12 years who go to school in a particular area could be a target market.

You can also more narrowly define target markets by using multiple or specific characteristics. This allows you to further focus marketing activities. For example, women under 40 years of age who are interested in abseiling.

So how do you select your target market(s)? Consider these factors:

  1. Market research – builds a profile of your existing and potential members
  2. Club objectives and business strategy – often set out target markets
  3. Club constitution - may define membership classes.

Remember, you are looking to define who are your current target markets – to help make your marketing strategies more effective.

But you are also looking for potentially new target markets – to grow your membership.

Competitors and market positioning

How you position your club’s image and what it offers is important when targeting a potential customer or sponsor or producing an event.

Where your club stands compared to your competitors also helps a target market understand and appreciate the value and choice offered.

For example a person looking for a week night tennis competition will compare a club’s location, facilities, costs, reputation and time commitment with others in the area.

Here are some questions to ask to help position your club:

  • How does your club compare with other organisations?
  • What makes your club different from other clubs?
  • What are parents looking for in an activity?
  • What do participants want in an event?
  • What would a potential sponsor look for?
  • Does your sport have the right image to recruit new members?
     

Marketing mix (the 5 Ps)

Marketing involves a combination of elements, commonly referred to in marketing terms as the 5 Ps. The research on your target market, what your club offers and where it is positioned within the market helps identify your club’s marketing mix.

  1. Product - Having or producing a product or service required by others. This could be your sport, the club, the competitions, stalls or other activities on offer.
  2. People - Customers or the people who use the services or products on offer. Includes your employees, volunteers and members.
  3. Price - Pricing the product or service at market price. Includes membership fees and structure, discounts and the ‘cost’ of member’s time.
  4. Promotion - Ensuring the potential customers are aware of your product. This can be advertising, publicity, sponsorship, brochures, posters or personal selling.
  5. Place - Where the product is bought. Includes where you train, compete (home and away) and other facilities on offer.