Super Bowl LII is just around the corner. That means it’s time for the Big Game, the Big Names in football, and, of course, Big Bucks for businesses. Just to give you an idea, spending during the 49th edition of the Super Bowl reached over $15.5 billion. While this includes $600 million from beer sales, it does not yet include the $380 million businesses spent for in-game commercials.
For any city in America, it is an absolute dream to host the Super Bowl. But for any other sports team and stadium owner — whether in the NFL, NBA, MLB, NHL, and any other league — there is an emerging opportunity to increase revenues and fan engagement. This opportunity can be unlocked through data.
Here are five ways in which data will revolutionize business models and drive greater revenues for sports teams.
#1 Data will bolster fan engagement
In 2017, the Miami Heat announced that fans will only be able to get through the gates of American Airlines Arena by scanning their tickets on their mobile phones. This not only reduces instances of fraud for the organization, but also captures insights into their fans’ profiles.
With greater insights into their fans’ interests and demographics, sports teams such as the Miami Heat can deliver more engaging entertainment and a better customer experience. Are home games attended mostly by families with kids? Then it’s time for some kid-friendly programs during halftime and timeouts. With greater fan engagement comes greater loyalty.
#2 Data will enable targeted promotions
By having more information on their fans’ other interests and past purchases, sports teams can create packages and bundles that can entice them to purchase season tickets. For instance, if a certain group of fans purchase an average of five tickets per season, teams can offer five-game season tickets. If a certain group of fans likes to go skiing during the winter, sports teams can partner with local skiing organizers and groups to promote their teams.
Data will also enable targeted promotions inside the stadium or arena. By knowing the demographics and interests of the fans sitting in different sections, teams can place different ads on each side of the jumbotron to maximize conversion for sponsors. Having the right ad for the right audience also adds to the fan experience and engagement and gives organizations leverage when negotiating with sponsors.
#3 Data will drive attendance to games through fan networks
Integrating ticketing systems with social media channels enables team owners to gain access to their fans’ networks. This will enable teams and organizations to tailor their promotions not only to their fans, but also to their fans’ friends and connections. For instance, if a group of their fans are members of a specific organization, they can promote their games to other members of the organizations.
Furthermore, by understanding fans’ interests outside of the game, teams will also have greater insights into how they can possibly convert people who are not yet fans, but share the same interests.
#4 Data will bring in more sponsors
With greater insights on fans, teams will also have greater leverage to gain new sponsors which are perfect matches for their fans based on interest. Fan insights will also enable potential sponsors to run targeted promotions for better conversion and better returns on investment. Finally, teams can work with sponsors to increase not only team-to-fan engagement but also sponsor-to-fan engagement in their newsletters, halftime and timeout entertainment, and websites among many other possibilities.
#5 Data will bring more revenue opportunities for sports venues
Technology is turning stadiums and arenas into platforms that can generate additional revenue streams for team owners.
For instance, some arenas already have their own mobile apps to make it easier for fans to purchase game tickets, navigate the venue, and find their seats. These apps can also provide the sponsors and concessionaires with opportunities to promote their products and services on fans’ mobile phones, sell them through the app, and have the products delivered to the fans’ seats. These mobile apps can also enable teams to make money from mobile advertisements.
New technologies such as Virtual Reality and Augmented Reality can also provide additional new entertainment for fans to enjoy and experience outside the game, but inside the arena. Partnering with sponsors on delivering these kinds of new content gives team owners greater revenue opportunities.
Driving Revenues and Customer Engagement for the Enterprise
So what can other enterprises learn from sports teams and stadiums this Super Bowl season?
The key takeaway is that data can and will open up new revenue opportunities and bolster engagement for all enterprises — and not just sports teams. In fact, data has already begun doing so.
Driving Customer-Centric Growth to Drive Revenues: Data can enable enterprises to determine, create, and deliver the products, services, and even interactions that their customers want, when and where they want it, leading to better sales. Data can also enable targeted promotions and personalized marketing leading to better conversion and revenues. For instance, having data on a customer’s interests and past purchases can allow a business to recommend products that the customer is likely to purchase. Data on customer demographics and interests can also allow enterprises to find prospects who are similar to their existing customers so they can grow their market.
Driving Customer Engagement: Just as data is bolstering fan engagement for sports teams, it can also enable enterprises to improve their customer engagement and interactions. This is made possible by integrating CRM solutions with new channels such as social media, mobile apps, and e-commerce websites that enable enterprises to capture and generate greater insights about their customers. These insights empower enterprises to deliver personalized interactions and promotions and create richer and more relevant experiences for customers, driving their engagement.
These are all in addition to how data already enables enterprises to improve operations and minimize inefficiencies through better asset management and visibility.
It Starts with Data Integration
Much like creating new fan experiences such as team and stadium mobile apps, Virtual Reality, and Augmented Reality, and statistics-based team development programs, organizations across all industries must first be able to lay out the technology infrastructure and integrate them with enabling technologies such as systems and applications.
Helping enterprises integrate their multiple, disparate data sources to enable new technologies is Liaison Technologies and the Liaison ALLOY® Platform. The platform integrates ever-growing numbers of cloud applications and data sources, making it the winning solution for organizations in integrating their technology infrastructure.
Looking to get a head start over your competition? Contact our data experts.
Enjoy the game!