Commercialisation

Commercialisation, the decision to market a product, is the final stage in the new-product development process. This step is usually the most costly and for those intending on releasing products, it usually involves many operations: ordering production materials, starting production, building inventories, shipping the product to distribution points, advertising, training sales force…(McDaniel et al, 2011). The key considerations to take into account when commercialising a product or service are the timing of its release, where and to whom it will be marketed and distributed and how the process will be done (Kotler & Keller, 2012). A launch strategy involving a marketing effort must be developed to allow for market penetration (Trott, 2008). In order for it to be successful the product or service must offer clear benefits compared to the competition and it must match customer desires. Decisions regarding warranties, the marketing mix and overall costs must also be taken into account at this time.

            Slazenger’s release of the fabled v12 cricket bat in November of 2013 is an example of the commercialisation of a sport product. The bat was first launched at the Cricket Asylum in Halifax. Unlike the v100, the re-launch of the historic bat is on a limited edition basis, with only 200 being made in 2013 due to exclusive materials used to fabricate them (Cricket World, 2012). This allows Slazenger to sell the product at a premium price using its exclusivity as a selling point.  The company thus had very few distribution points, with small inventories of the product. The bat, that has undergone technological advancements all the while keeping its basic features and originality, has been marketed to the traditional, nostalgic cricketer. It’s association with some of the best cricketers of the 20^th century such as Sir Garry Sobers has been used in the product’s promotion and emphasizes the bat’s historic significance.

            After analyzing the test marketing results and their success, the commercialisation of Racket-Hurler can begin. The sport’s launch will be in March, when most outdoor sports return to a full swing after the winter months. Racket-Hurler will begin its operations in its two test market cities: Newcastle and Liverpool. This allows the sport to commence in markets with existing interest for the game. The launch will be done through the creation of an amateur club in each of the cities, where prospective players pay an annual registration fee to come train and compete. Casual sessions will continue to run in universities and schools to continue the promotion of the sport and its newly founded clubs. I will seek to form partnerships with Street Games and Sport England in the quest to allow a trained coach to run sessions through the organisations. Fundraising and investor capital will be necessary to fund the launch and its respective marketing effort. Advertising will be done through partner schools and organisations online. Posters will also be displayed in strategic locations such as gyms, leisure and community centers. The marketing campaign will be aimed at 14-25 year olds.

499 words.

References:

McDaniel, C., Lamb, C. and Hair, J. (2011) Introduction to Marketing. 11^th edn. China: Cengage Learning.

Kotler, P. & Keller, K.L. (2012) Marketing Management. Global Edn. Harlow: Pearson Education.

Trott, P (2008) Innovation management and new product development. 4^th edn. Harlow: Pearson Education.

Cricket World. (2012) Cricket Video- Slazenger 2013 Product Launch At The Cricket Asylum- Cricket World TV. (Online Video), 24 August. Available at: https://www.youtube.com/watch?v=es7cZ0k_nL0 (Accessed: 02 February 2015).

Test Marketing

McDaniel et al define test marketing as “the limited introduction of a product and a marketing program to determine the reactions of potential customers in a market situation”. It enables a company to test a certain product and its marketing programme that can consist of: a positioning strategy, advertising, distribution, pricing, branding and packaging and budget levels (Armstrong et al, 2012). The duration and amount of test marketing depends on the product’s risk assessment, funding and value. There are several test marketing strategies, varying in cost and duration that organisations may choose to adopt such as sales-wave research, simulated test marketing, controlled test marketing and test markets (Kotler & Keller, 2012). Test marketing enables companies to receive product feedback in relation to its marketing mix.

            An example of test marketing in the sporting world is that of the Nike Free shoe. After thorough prototype testing, Nike decided to position the shoe as a training product, and not as a replacement running shoe, wanting consumers to see the product’s potential to strengthen one’s foot. Before its commercial release, the Nike Free was launched under limited and very tight distribution (Financial Review, 2012). At first the Nike Free was distributed uniquely to specialized running stores and to key individuals such as running coaches and podiatrists. The company wanted to introduce the shoe as a training concept before its potential worldwide exposure. As part of their test marketing strategy, Nike wanted the shoe distributed directly to its target market: runners. To do this, Nike employed running experts drove vans to specific running spots in the US, Europe and Australia, distributing the shoe for testing. Staff even offered gait analyses to runners testing the Nike Free shoe. This labour intensive, basic tactic enabled Nike to reach its consumers directly and get real-time feedback.

            To test market my new sport format Racket-Hurler, I will conduct cost effective test markets. I have selected Liverpool and Newcastle as my two test markets. Liverpool because of its strong Irish influence, and Newcastle because of its large student population coupled with its strong sport programmes. To reach my target market of 14-25 year old active people, I will be introducing the sport in 2 schools and 2 universities in each city for a duration of 2 months. The institutions will be selected on their size and ability to lend a facility (football pitch) and equipment (balls, rackets). Casual sign up sessions will be set up, with quick surveys (see Appendix A) distributed to players at the end of the sessions to receive feedback. Advertising will mostly be done through posters and flyers distributed and displayed on school premises, with the sport’s logo (see Appendix B) at the forefront of the advertisement initiative. Where pitches are in the proximity of the actual establishment, a friendly competition will be set up, where people can walk up and have a shot on goal. The speed of the shots will be measured via radar gun with the fastest goal scorer winning a prize.

500 words.

References:

McDaniel, C., Lamb, C. and Hair, J. (2011) Introduction to Marketing. 11^th edn. China: Cengage Learning.

Armstrong, G., Kotler, P., Harker, M. and Brennan, R. (2012) Marketing An Introduction. 2^nd edn. Harlow: Pearson.

Kotler, P. & Keller, K.L. (2012) Marketing Management. Global Edn. Harlow: Pearson Education.

Financial Review (2012) Product Development from Concept to Customer. Available at: http://www.afrbiz.com.au/media/k2/attachments/Nike_Case_Study_Ed_7.pdf (Accessed: 25 January 2015).

Appendix A:

Survey

1.On a scale from 1 to 10 how much did you enjoy the session?      

2. Would you play Racket-Hurler again?     Yes       No

3. Would you recommend the sport to a friend?      Yes      No

4. What didn’t you like about the session and the sport in general?

5. Any suggestions to make Racket-Hurler more enjoyable?

6. Any additional feedback?

Appendix B:

                                                                           Logo

Product Development

Once the business analysis is done, if successful the product concept goes into product development, the 6^th step of the NPD process. This step “occurs when the concept is translated into either the physical offering or when the service is created” (Beech & Chadwick, 2007).  This stage often calls for further investment, with the research and development department designing and producing a prototype that will satisfy its targeted consumers (Armstrong et al, 2012). The prototype usually goes through rigorous testing before being officially launched.

There are many steps involved in the product development stage including:

- Product construction

- Packaging decisions

- Brand decisions

- Product Positioning

- Attitude & Usage testing  (Kotler & Keller, 2012)

            The sport SoccerSquash is a relatively new sport format that combines aspects of football and squash. Developed in Holland, SoccerSquash is played on a regular squash court and involves kicking the ball against the wall for your opponent to return. Each player is allowed a maximum of 3 touches in each possession, the ball may only bounce once and the use of the arms and hands are prohibited. The organisation Soccer Squash Bond Netherlands have even developed and retailed a specialized ball, which went through months of testing before being released to the public (see Appendix A). It has also produced a safety net for low ceiling squash courts.  It has defined its target market as footballers that want to improve their ball control, tricks and technique. In terms of branding decisions, it has trademarked the term SoccerSquash and developed a logo (see front of ball).

            For my new sport format called Racket-Hurler, costs will be low in terms of constructing and packaging my product, with essential equipment already existing. Hurling pitches and football pitches (for smaller sided games) will be used and removable Velcro strips will be used to create the 2 by 2 feet pockets in each top corner of the goals. Studded boots, tennis rackets and balls are also needed. The development and sale of specialized rackets and balls will start within 3 years of the sport launch, with the goal to make them become compulsory within 10 years.

In terms of branding, my new format will be called Racket-Hurler, with the name being trademarked. I want to promote the image of a safer perhaps easier version of hurling, all the while keeping its fast-paced and physical nature.

The target market for my adaptation of hurling, are 14-25 year old active people in the UK, with an emphasis on ‘casual’ participators in sport. I’ll position my sport format as a high-speed team sport in competition with sports like hurling and ice hockey.

I will be going to schools and universities to introduce my sport and reach my target market. With the institutions approval, I will set up casual sign up sessions for anyone interested in playing. At the end of the sessions I will ask for feedback on the sport and any suggestions on how to improve the game.

498 Words

References:

Beech, J.G. & Chadwick, S. (2007) The Marketing of Sport. Harlow: Prentice Hall.

Armstrong, G., Kotler, P., Harker, M. and Brennan, R. (2012) Marketing An Introduction. 2^nd edn. Harlow: Pearson.

Kotler, P. & Keller, K.L. (2012) Marketing Management. Global Edn. Harlow: Pearson Education.

http://www.soccersquash.com/what-is-soccersquash.html (no date) (Accessed: 20 January 2015).

Apendix A

SoccerSquash Ball