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Sweet Concepts Inc Trade Show Marketing Online Case Study Analysis

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Sweet Concepts Inc Trade Show Marketing Case Study Solution and Analysis


Intro

Sweet Concepts Inc Trade Show Marketing Case Study Analysis (National Association for Stock Cars And Truck Automobile Racing) is an organization performing series of Stock Car racing in United States and serving as a sanctioning body for driving the rules for Stock Automobile Racing. The organization was established in 1947, by "Huge Bill" France. NASCAR organize Stock Car Racing occasions in United States with the existence of about 130000 viewers on average in 2005. It likewise broadcast its occasions in about 150 countries. Stock Automobile Racing by NASCAR is the 2nd largest spectator sport, with highest number of sponsors. It has about 500 sponsors contributing billions of dollars in its revenue. The other sources of income for Sweet Concepts Inc Trade Show Marketing Case Study Solution consists of; 10% of the total earnings from tv rights, approving fees i.e. $1-2 million per race, and licencing NASCAR brand name to companies.

NASCAR has a closed business culture with the non-interventionist technique. This non collaborative technique brings stress in the sport. The structure of Car of Tomorrow by Sweet Concepts Inc Trade Show Marketing Case Study Help, with an objective of security for the motorists, brought numerous tensions amongst the stakeholders of the sport.

The communication audit, carried out in 2010, exposed that despite the reality that business extremely rely on the interactions between its stakeholders, there was no identifiable business communication strategy. The industry's target consumers, instructions and goals were all unidentified.

The audit pointed out various lacking of NASCAR in terms of lack of internal combination, lack of fan management method and absence of social and digital media of marketing.

Sweet Concepts Inc Trade Show Marketing Case Study Help viewers was highly loyal to the sport and the brands associated with the NASCAR, making it appealing for sponsors and business marketers.

Problem Statement.

The company is presently facing the problem of declining rates of attendance at racing tracks and rates of tv audiences. This can put a significant effect on its earnings from sponsors, media rights, and from other sources of income.

Situational Analysis.

The company was rather effective till 2005 with its traditional marketing methods, but soon after 2005 the company starts dealing with various issues consisting of decline of its fan base. A number of external along with internal aspects are responsible for the decrease. Internal elements include; insufficient investment in social media and other digital medias of.

Fan base of NASCAR made up of married males with an average age of 47, which passes their fandom to their children and develop generational commitment. Other difficulties for NASCAR consists of the shift of its fans to other sports as they were enhancing their fan's experience permitting access to their broadcasts out of the homes through jumbo turns, Wi-Fi gain access to, etc.

SWOT Analysis.

Strengths.


In SWOT analysis, strengths specified as business's qualities which are different from its competitors. These are company's core proficiencies on which business performance or company success based on. Sweet Concepts Inc Trade Show Marketing Case Study Solution core proficiencies includes it has rights of determining rules as sanctioning body. Regulations and guidelines relating to expert stock car racing are determined by NASCAR like if any group with needed abilities and resources can participate in races by following guidelines and regulations determined by NASCAR. So NASCAR has monopoly it this element. Its strengths also includes that it has title of second biggest viewer sport in the United States with having more fortune 500 sponsors based in United States. Its races were used to relay in more than 150 nations around the world with more than $56 million revenues. The main sources of their incomes originate from tv rights, sanctioning costs, sponsorship and licensing. It has longest season of 10 months and having ownership of 3 nationwide series i.e. Camping World Truck Series, the Sprint Cup Series and the Nationwide Series. It has also big resource of fans and business sponsors. All the events of NASCAR are sponsored by corporates since of most significant brand name loyalty of fans toward brand names marketed by Sweet Concepts Inc Trade Show Marketing Case Study Analysis. (See Appendix A).

Weak points.

Weak Points in SWOT Analysis are considered as external factors. Weaknesses consists of the aspects that stops business to perform at required level of performance. Weak points of NASCAR includes its close culture which is non collective. They have non-interventionist method. They typically used to form rules and other needed processes without intervention of others which results in bad collaboration. For instance NASCAR establishes Cars and truck of Tomorrow without collaboration so result is that motorists did not like that idea. As this is racing sport so covering of sports by media is also challenging. It was also discovered that NASCAR had no reliable method for service communication. If it happened off track, they do not understand how to manage concern. Inefficient company interaction results in that they do not have clear instructions for their long term objectives. They do not know that where they want to see this sport in future.

Opportunities.

Opportunities in SWOT analysis are external factors which can be beneficial to business or the external elements on which business is having competitive benefit. NASCAR typically used to rely on conventional media sources like regional newspaper for promotion of its sports. Generally these traditional media sources try to cover their home group and particular kind of occasions. NASCAR likewise came to know from these conventional media outlets that sport was difficult to cover. Media landscape likewise changed from conventional to digital landscape. Newspapers went out of business. NASCAR can deal with its capabilities to get optimal possible benefits from this brand-new digital landscape. NASCAR have underinvestment in digital resources. It can capitalize in social and digital media to get its benefits. Digital rights of NASCAR were likewise sold to Turner Sports. NASCAR used to earn money check of around $15 million each year from Turner Sports. There are variety of cons behind this offer. NASCAR had to get approval from Turner Sport if it want to develop its Facebook page, twitter account or even mobile application. Turner Sport likewise had rights of each and every single video which is shoot throughout race at track. Then they are needed to pay licensing costs to Turner Sport, if media sources like papers, magazines and cable channels want to post videos of races on their particular pages. So NASCAR can deal with conditions and attempt to negotiate with Turner Sports to get optimal advantages of it. Star power plays really important function in creating earnings from every sport. Nevertheless it was noted that Sweet Concepts Inc Trade Show Marketing Case Study Analysis is lagging in this area i.e. star power. For example when sports fans were asked relating to popular celebrities and stars then NASCAR chauffeur was not found even in top twenty actions. NASCAR can put efforts in this area too for profits generation. They need to assist their motorists that how they can end up being sport stars. Four tactical focuses which are created by research team can also be worked as opportunity for NESCAR. These four tactical focuses compares and analysis Sweet Concepts Inc Trade Show Marketing Case Study Analysis strategies.

Risks

Hazards in SWOT analysis are specified as external factors that can threat to company's success. Economic down turn was experienced in late 2000 which can be risk for NASCAR due to the fact that if there is financial down turn then individuals would be having less return on investment. Earning of people would be effected and they would be more conscious in investing their cash. Economic down turn likewise leads to increase fuel prices which also affected NASCAR. Due to the fact that fans of NASCAR utilized to attend its occasion from fars away. NESCAR had a rule of 65/25/10 for earnings circulation. 65 percent incomes from media rights would be distributed to race course, 25 percent profits would be distributed to competing group and remaining 10 percent would be maintained by NESCAR which is sanctioning body. Competing team wanted to increase their portion of earnings from 25 percent since of boost in operating expense of a race group and likewise there is decrease in the variety of full-season sponsorship. NESCAR also deals with threats from other sponsors since they are making huge investments to improve experience of fans. For example which includes updating existing avenues, developing brand-new opportunities, providing Wi-Fi center and likewise supplying other interactive mediums to communicate sports on mobile phones. Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and create generational loyalty. The obstacle is that the household system in America was altering resulting in decrease of impact of married male fan base over their youngsters. Together with it perceptions about automobile was likewise altering with perceiving cars and truck an automobile to reach at point B from point A, instead of as a fun task. If NASCAR make considerable investments in brand-new sectors which are based on new consumers then it might deal with unfavorable remarks from its core fan base, now.

Porter's 5 Forces Analysis

It is crucial to comprehend market in which company is working due to the fact that NASCAR's bottom line i.e. net profit is heavily depends on this. There are 5 forces that are utilized to recognize success, strength and beauty of NASCAR business.

Competitive Rivalry

This force indicates capability of rivals. Groups normally represents sponsors in NASCAR and the medium of advertising is drivers. For that reason it can be stated that chauffeurs and race vehicles are competitors. If they got better chance in terms of rewards and television exposure, these motorists can go versus Sweet Concepts Inc Trade Show Marketing Case Study Analysis. If audiences delight in other race cars and trucks and drivers more than NASCAR then viewers can move to those other intriguing automobiles and chauffeurs. NASCAR could be having hazard from its two direct rivals that is Formula 1 and Moto GP. They require to develop competitive benefits for motorists so they don't shift to other rivals.

Supplier Power

If company shifts from one supplier to another, the supplier power shows the number of providers are readily available in market and what is the cost associated with provider. Since drivers with needed resources and abilities are limited, in this market there is supply monopoly.

Buyer Power

This force is concerning to clients that is it easy for customers to move to other items. If there is more changing expense is associated then customers are less most likely to change. When it comes to NASCAR consumers are its audiences. Since audiences will having low changing cost, viewers can switch to other rivals easily.

Threat of Substitution

Replacements are referred as alternatives. The substitutes in this case can be other entertainment suggests like audiences can shift to other sports. So there are wide range of substitutes are available in this circumstance which recommends that hazard of substitute is high.

Hazard of New Entry

In the case of NASCAR danger of new entry is low. They require to develop cars and trucks and racing tracks and likewise requires to pay large amount to drivers for switching.

PESTEL Analysis

Political


As NASCAR is working in numerous markets so it requires to deal with various regulations. It is also noted that NASCAR has dealt with increased analysis concerning regulative. Every federal government has different concern so NASCAR has actually to be prepared for it as top priority can be moved to other sector.

Cost-effective

Economic factors includes tax rate, currency exchange rate, economic performance of that specific business, conditions of labour market, inflation rate etc. If there is federal government intervention in the marketing and sales sector, fortunes of the NASCAR and its competitors can be impacted. NASCAR can utilize abilities of employees to produce new chances and enhance existing opportunities.

Social

Each has various social values and standards. It assists in understanding concerning society and choice of consumers.

Technical

Innovation has impact on practically every organisation. It includes innovation in organisation strategy. In this case of Sweet Concepts Inc Trade Show Marketing Case Study Analysis it can be noted that business are heavily investing for research study and development. NASCAR must also work on its media rights policy with Turner Broadcasting System.

Legal

Legal plays a crucial role in every nation due to the fact that every nation has different legal conditions. Sweet Concepts Inc Trade Show Marketing Case Study Help needs to be make certain that they secure their legal rights in every county so any company does not harm to its legal rights.

Environmental

Environmental factors are likewise crucial for each business. Since generally federal governments don't allow those business which can harm to environment. These ecological aspects consists of laws relating to pollution, climate modification, safe waste disposal, policies relating to insurance and so on. NASCAR needs to make certain that its automobiles are not producing pollution more than appropriate level.

7 P's of Marketing

Product

The items of Sweet Concepts Inc Trade Show Marketing Case Study Analysis in its product portfolio are; racing events tickets, racing tracks, sponsor's marketing, media rights, licencing NASCAR brand name, approving rules for races and ad-space to business online marketers during broadcast of NASCAR races. (Hanlon, 2018).

Cost.

Rates method of NASCAR for its race occasions tickets is based upon the venue and value of the racing occasions. Together with race occasions tickets, NASCAR likewise charge various service charge to its stakeholders and earns profits. It charged approving charges of $1-2 million per race on average in 2005.

Promo.

Marketing strategy of Sweet Concepts Inc Trade Show Marketing Case Study Help is highly based upon its fan base. A strong fan base share its fandom with others and increase the number of audiences for NASCAR races. The company is not entirely relied upon its fan base for its promo and promote through local radio stations too. The company has actually also adopted the retailing media of promotion, in which the business offers products with its logo design.

Place.

NASCAR have its racing tracks in numerous cities in United States. The most crucial tracks of NASCAR consists of Atlanta Motor Speedway in Georgia, Car Club Speedway in California and Darlington Raceway in South Carolina. It tries to conduct its races in the majority of the cities in United States to comprehend nationwide popularity.

People.

Nestle people method is consisted of supplying much better experience to its audiences, its fan base and to all of its stakeholders. People are an essential aspect of Sweet Concepts Inc Trade Show Marketing Case Study Solution A marketing method as its events are the source of home entertainment for crowd. Its people strategy includes efforts to offer much better experience to its Fans, Race Drivers, Team, Event Organizers etc., all of which come under people technique of NASCAR.

Procedures.

Numerous business processes are needed to conduct racing occasions in an efficient way. These procedures include; appropriate schedule of time, arrangement for spectators, offering tickets, plan of space for sponsors, handling logistics and so on. These all processes contribute I building NASCAR image, improving viewers experience and increasing fan base.

Physical Evidence.

Essential physical evidences for the NASCAR consists of the existence of its racing tracks, stock vehicles and racing events. Together with it, its retailing brands consisting of t-shirts, caps, goodies etc., also act as a physical proof for NASCAR.

Product Life Process Assessment.

The racing occasions by Sweet Concepts Inc Trade Show Marketing Case Study Solution was presented on June 19, 1949. The first race was held at Charlotte Speedway in North Carolina. There were about 13000 fans present in the race. At the first stage competitors for NASCAR was low, as the rivals drove the cars and trucks similar to the cars and trucks driven by ordinary people.

Growth.

The very first NASCAR based track, namely the Darlington Raceway track, was initiated in 1950 in South Carolina. After the growth of racing tracks the company moved towards broadcasting its races on television in 1979.

In 1972, William France Jr., became the president of NASCAR and n about 3 years, he transformed NASCAR from a local Sport popular organization into one with international fan base. He started a new era of profitable sponsorships and television agreements for NASCAR.

Maturity.

The maturity period for NASCAR began with the efforts of William France Jr., with the business having wide variety of revenue sources. The company has about 500 sponsors with transmitting its events in about 150 countries. The company has large number of tracks in the majority of the cities of United States.

Decrease.

The major causes of decrease consist of the monetary crisis of 2008, which increased the expense of showing up at tracks for audiences due to increasing fuel costs, and the shifting of its fan base towards other sports.

Market Segmentation.

The marketplace division of Sweet Concepts Inc Trade Show Marketing Case Study Help can be divided into 4 segments; Geographic, Demographic, Psychographic and Behavioural. (Dutta, 2018).

Geographical.

The geographical division of Sweet Concepts Inc Trade Show Marketing Case Help is based upon the geographical existence of its tracks in various states and cities in United States, and the television broadcasting of its events in various countries. The company has 23 tracks in about 20 states of America and has tv broadcast through numerous Medias i.e. TNT, ESPN, ABC and Fox, in about 150 countries.This huge geographical division provides the business regional along with worldwide fan base.

Demographic.

The market division of Sweet Concepts Inc Trade Show Marketing Case Study Analysis is likewise highlydiverse based upon the gender, earnings and age of the customer. To increase the market section of its market NASCAR must modify its marketing techniques to draw in more age groups and lower its costs to enter in the market section with a low average income.

Psychographic.

The psychological attributes of the majority of the fans are quite similar. NASCAR has a fan base with a loyalty. NASCAR fans perceive it compulsive to acquire tickets and see the races once in a week. 71% of them prefer to purchase items with a NASCAR brand name. They are rather extrovert and are willing to join other fans while racing. They want quality racing with low cost at convenient place. Although Sweet Concepts Inc Trade Show Marketing Case Study Solution has attempted to increase the quality of its racing by presenting phase racing, they also have actually tried to lower costs and make the occasion easier by introducing live racing.

Behavioural.

Behavioural segmentation of Sweet Concepts Inc Trade Show Marketing Case Study Help is based upon the behaviour of fans in terms of enjoying the race live on the tv or by going in the events. Presently, the fans preference is towards seeing the race in your home on tv rather than going, as the customer experience at NASCAR tracks is not favourable in addition to pricey. This choice makes the rates for participation lower than the rates for tv audiences. NASCAR needs to change the behaviour of its fan base by introducing qualitative services at its tracks.

Target audience.

Hispanics.

Among the prospective target market of Sweet Concepts Inc Trade Show Marketing Case Study Analysis was Hispanics; the young and growing population of United States. The market sector has great prospective for NASCAR as the population was growing at a higher rate and it was expected to become thrice after forty years and the segment has increasing wealth rate with about $1 trillion of wealth in 2014. The sector shows affinity with car culture, but need a more focused marketing towards welcoming the section towards racing.

Kids.

Kids are also one of the possible target market section for NASCAR, as they are more connected socially than other groups. Vehicle racing video games established by Sweet Concepts Inc Trade Show Marketing Case Study Help can be a prospective source of gaining attention of kids towards NASCAR track racing. NASCAR needs more attention towards customizing and improving its digital functions to draw in the kids target market.

This substantial expenditure makes the section potential for NASCAR marketing technique of increasing its fan base. The market section thinks about NASCAR as a company doing not have in creating a multiculturalism atmosphere. NASCAR ought to take various actions to improve the experience of Generation Y consumers in its events.

5 C's of Marketing

5 C's of marketing assists in taking choices regarding marketing. These 5 C's requirements to be evaluated correctly for taking any marketing choice. These 5 C's stands for Environment, Company, Collaborators, Competitors and consumers.

Climate/Context.

It needs to make PESTLE analysis in order to comprehend environment or context in which NASCAR is working. PESTLE stands for political, economic, social, technical, legal and environmental and is specified above.

Company.

Sweet Concepts Inc Trade Show Marketing Case Study Help is an automobile racing company with having USP of high quality automobile racing with a global structure. Its sector is sports team and events.

Cooperations.

Collaborations includes suppliers, providers and alliances of Sweet Concepts Inc Trade Show Marketing Case Study Analysis. It is worked together with various racing groups which are taking part in racing. It also worked together with Turners Sport for digital rights. NASCAR utilized to earn money check of around $15 million yearly from Turner Sports. There are variety of cons behind this offer. For instance NASCAR needed to get approval from Turner Sport if it want to create its Facebook page, twitter account or even mobile application. Turner Sport also had rights of every single video which is shoot during race at track.

Consumers.

The consumer of Sweet Concepts Inc Trade Show Marketing Case Study Solution are its viewers. They target clients with having age of 15-60 years. Fan base of NASCAR comprised of married males with a typical age of 47, which passes their fandom to their children and develop generational loyalty.

Rivals.

Teams usually represents sponsors in NASCAR and the medium of marketing is chauffeurs. These drivers can go versus NASCAR if they got much better opportunity in terms of prizes and television direct exposure.

Marketing Strategies.

1. Establishing and Maintaining Facebook Page.
One of the prospective target markets sectors for NASCAR is Hispanics which is the growing population segment of U.S.A. but regrettably NASCAR had actually been not able to bring in the this targeted segment. It should establish a Facebook page consisting of the information relating to the races and the locations of tracks to make the customer informative about the core operations of NASCAR.
2. Developing and Updating Accounts of Key Drivers.
NASCAR drivers has a low star power as compare to gamers of other sports. Its ranks 7th in terms of star power (see Case Exhibit). The major factor behind it is that, the racers mainly play in groups and are unable to construct an essential account and maintain a close contact with fans. The poor contacts with fans result in less attraction of viewers towards the racers and a low star power. Star power is an essential factor for attracting viewers towards tracks and towards television. The star power for the motorists at NASCARA might be improved by creating and updating accounts of crucial motorists by NASCARA itself. This would eliminate the requirement of forcing chauffeurs to maintain their accounts and would lead to increasing fans attention towards NASCARA chauffeurs.
3. Developing New Games and enhancing present video games for kids.
Kids invested most of their time on playing video games and using smart devices. But sadly, kids playing NASCARA have a worst experience of playing its games. As an outcome, they are less attracted towards the sport. In order to attract these kids, NASCARA needs to improve its existing racing video games by presenting customization in the cars i.e. changing colours, choice of speed, presenting group racing in the video game, utilizing much better graphics related to the racing tracks and introducing different levels in the game. All these modifications in the present video game would provide much better experience to kids.
Together with it, NASCAR ought to also develop new video games associated with racing like kids racing with kids characters as drivers, animation racing with racing in between different animation characters with an option of selecting the favourite animation character for the kids. These methods would allow the company to draw in among its possible target segments.
4. Presenting multiculturalism at events.
Sweet Concepts Inc Trade Show Marketing Case Study Help events are comprised of fans with really few multiculturalism, due to cost of arrival in events, making it unappealing for the consumers perceiving sport occasions as get-togethers i.e. Generation Y customers. As the Generation Y clients are a prospective target audience for NASCAR, therefore the company should take specific measures to attract this possible target market. It must embrace strategies to bring in the customers far from the tracks place with different culture. The strategy to do so could be offering special discounts on tickets or free tickets to audiences originating from a particular range or from another state. It would increase cultural diversity of the fans and would make Generation Y customers more pleased.
5. Improving Customer Experience at Tracks.
NASCAR ought to work on facilities and facilities at tracks since on the race day viewers got dissatisfied. Audiences have lots of expectations from Sweet Concepts Inc Trade Show Marketing Case Study Analysis due to the fact that in same market other companies are providing better services than NASCAR. IF NASCAR do not work on this problem then its fans may shifted to its rivals.
Marketing Spending plan.
Marketing budget plan made on the basis of the above methods for the duration of 5 years from 2011 to 2015, shows the cost related information for the marketing techniques. It can be seen that method 5 of improving consumer experience at tracks would require highest initial financial investment and cost and technique 4 of presenting multiculturalism will need lowest initial investment with most affordable further per year expense.
NOTE: The values about expense are presumed on reasonable basis due the lack of figures and realities connected to cost in the event study. Inflation rate of United States is assumed to be 10%.

Recommendations.

On the basis of deep analysis of the internal and external elements of Sweet Concepts Inc Trade Show Marketing Case Study Analysis triggering the decline of tv viewership rate and attendance rate at tracks, the above marketing techniques are advised to NASCAR to increase its fan base in long run. These techniques would manage internal aspects like poor client experience at tracks, insufficient social media marketing, incapable digital medias like video games, lack of culturalisms at tracks etc., along with with external aspects like shifting of fans towards other sports, demographical modifications in America and altering domesticity designs.

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