SPMT Exam 3 – Study Guide, Revision Notes, and Practice Questions for Exam
Preparation
late 1800's - ✔✔Focus turned to the professional aspects of managing sport events
because of a desire to increase profits (Albert Spalding).
Barnstorming tours - ✔✔The touring of star athletes and teams to promote the
popularity of a particular sport
Emergence of sport management/marketing agencies - ✔✔(i.e., IMG) initially
established to represent the legal and marketing interests of athletes
Agencies are - ✔✔businesses that act on behalf of a sport property (i.e., a person,company,
event, team, or place)
Agencies have - ✔✔expanded to incorporate myriads of functions beyond representing
athletes
Agency Functions - ✔✔• Client representation: Acting on behalf of a client in contract
negotiations
• Client marketing: Locating appropriate endorsement opportunities, booking
appearances, and developing entertainment extensions
• Event development and management
• Meeting increased demand for television production and development work
• Soliciting corporate sponsorships
,Types of Agencies - ✔✔• Full-service agencies perform the complete set of agency functions
(e.g.,
IMG, Octagon).
• Specialized agencies limit either the scope of services performed or the type
of clients serviced (e.g., Redmandarin).
• In-house agencies are formations of separate departments or divisions
dealing with event management within major corporations.
Event Management Functions - ✔✔_Finance/budgeting
- Risk management
- Tournament operations
- Registration
- Volunteer management
- Event marketing
Event Management Functions:
Finance/Budgeting - ✔✔* Critical to successful sport event management
• Budgeting attempts to predict revenues and expenses for a particular event
• Zero-base budgeting: Review of all activities and related costs of an event as
if it were the first time
• Cash-flow budgeting: Accounting for the receipt and timing of all sources and
expenditures of cash
Event Management Functions:
Risk Management - ✔✔-Protecting the organization from anything that could possibly go
wrong and lead to
a loss, such as financial loss, equipment or property damage, loss of goodwill, and
,loss of market share
• DIM Process: Developing, implementing, and managing the risk management plan
• Waiver and release of liability: Form signed by participants and volunteers that
releases venue and event managers from negligence
• Purchasing insurance: Provides security to an event regarding potential financial
losses
Tournament Operations - ✔✔Divided into pre-event, actual event, and post-event
• Pre-event: Determine type of event and the event's goals
• Script: Specific, detailed, minute-by-minute schedule of activities throughout
the event
1. The time of day and what is taking place
2. The operational needs (equipment and setup surrounding each activity)
3. The event person(s) in charge of each activity
• Post-event: Activities surrounding completion of event
Registration - ✔✔• First time event staff members come into contact with participants
• Registration system: Crucial for making a good first impression on clientele
• Determining information that needs to be collected and disseminated during
the registration process
Registration Considerations - ✔✔• Number of participants who will be registering
• Information that needs to be collected from or disseminated to the participants (e.g.,
waiver forms, codes for sportsmanship conduct, inclement weather policy, event
schedule)
• Registration fees that must be collected through the merchant gateway.
, • Whether identification is needed (e.g., regarding age limitations)
• Collect information manually or via a software.
• Whether the event involves minors, who require the signature of a parent or guardian on
a waiver form
Volunteer Management - ✔✔• Events from local races to the Olympic Games rely on volunteer
help.
• Volunteer management staff supervise the volunteers involved with an
event.
1.Working with event organizers and staff to determine the areas in which
volunteers are needed and the quantity needed.
2.Soliciting, training, and managing the volunteers.
How to keep volunteers happy?
Advertising - ✔✔• Advertising expenditures are a very minor portion of an event's expenses.
• Advertising sought through one of two means: (1) media sponsors, or (2)
attachment to corporate sponsor advertisements.
• Nearly all successful events sell sponsorships to media outlets.
• In-kind sponsorships: Event provides the typical sponsorship benefits in
exchange for a specified amount of free advertising space.
Ticket Sales - ✔✔• Sporting events rely on ticket sales to varying degrees.
• For medium-sized and smaller events, ticket sales are a less effective way to
generate revenues.
• Ability to charge admission is dependent on where the event occurs and how
easily the event manager can control entry to the event (e.g., golf).
Preparation
late 1800's - ✔✔Focus turned to the professional aspects of managing sport events
because of a desire to increase profits (Albert Spalding).
Barnstorming tours - ✔✔The touring of star athletes and teams to promote the
popularity of a particular sport
Emergence of sport management/marketing agencies - ✔✔(i.e., IMG) initially
established to represent the legal and marketing interests of athletes
Agencies are - ✔✔businesses that act on behalf of a sport property (i.e., a person,company,
event, team, or place)
Agencies have - ✔✔expanded to incorporate myriads of functions beyond representing
athletes
Agency Functions - ✔✔• Client representation: Acting on behalf of a client in contract
negotiations
• Client marketing: Locating appropriate endorsement opportunities, booking
appearances, and developing entertainment extensions
• Event development and management
• Meeting increased demand for television production and development work
• Soliciting corporate sponsorships
,Types of Agencies - ✔✔• Full-service agencies perform the complete set of agency functions
(e.g.,
IMG, Octagon).
• Specialized agencies limit either the scope of services performed or the type
of clients serviced (e.g., Redmandarin).
• In-house agencies are formations of separate departments or divisions
dealing with event management within major corporations.
Event Management Functions - ✔✔_Finance/budgeting
- Risk management
- Tournament operations
- Registration
- Volunteer management
- Event marketing
Event Management Functions:
Finance/Budgeting - ✔✔* Critical to successful sport event management
• Budgeting attempts to predict revenues and expenses for a particular event
• Zero-base budgeting: Review of all activities and related costs of an event as
if it were the first time
• Cash-flow budgeting: Accounting for the receipt and timing of all sources and
expenditures of cash
Event Management Functions:
Risk Management - ✔✔-Protecting the organization from anything that could possibly go
wrong and lead to
a loss, such as financial loss, equipment or property damage, loss of goodwill, and
,loss of market share
• DIM Process: Developing, implementing, and managing the risk management plan
• Waiver and release of liability: Form signed by participants and volunteers that
releases venue and event managers from negligence
• Purchasing insurance: Provides security to an event regarding potential financial
losses
Tournament Operations - ✔✔Divided into pre-event, actual event, and post-event
• Pre-event: Determine type of event and the event's goals
• Script: Specific, detailed, minute-by-minute schedule of activities throughout
the event
1. The time of day and what is taking place
2. The operational needs (equipment and setup surrounding each activity)
3. The event person(s) in charge of each activity
• Post-event: Activities surrounding completion of event
Registration - ✔✔• First time event staff members come into contact with participants
• Registration system: Crucial for making a good first impression on clientele
• Determining information that needs to be collected and disseminated during
the registration process
Registration Considerations - ✔✔• Number of participants who will be registering
• Information that needs to be collected from or disseminated to the participants (e.g.,
waiver forms, codes for sportsmanship conduct, inclement weather policy, event
schedule)
• Registration fees that must be collected through the merchant gateway.
, • Whether identification is needed (e.g., regarding age limitations)
• Collect information manually or via a software.
• Whether the event involves minors, who require the signature of a parent or guardian on
a waiver form
Volunteer Management - ✔✔• Events from local races to the Olympic Games rely on volunteer
help.
• Volunteer management staff supervise the volunteers involved with an
event.
1.Working with event organizers and staff to determine the areas in which
volunteers are needed and the quantity needed.
2.Soliciting, training, and managing the volunteers.
How to keep volunteers happy?
Advertising - ✔✔• Advertising expenditures are a very minor portion of an event's expenses.
• Advertising sought through one of two means: (1) media sponsors, or (2)
attachment to corporate sponsor advertisements.
• Nearly all successful events sell sponsorships to media outlets.
• In-kind sponsorships: Event provides the typical sponsorship benefits in
exchange for a specified amount of free advertising space.
Ticket Sales - ✔✔• Sporting events rely on ticket sales to varying degrees.
• For medium-sized and smaller events, ticket sales are a less effective way to
generate revenues.
• Ability to charge admission is dependent on where the event occurs and how
easily the event manager can control entry to the event (e.g., golf).
