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Jonathan Javier

Lakers Mobile Marketing Plan

Nick Kioski and Ralph Antunez

September 14, 2016

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Table of ContentsI. Executive Summary 3

a. Company Profile 3-4

II. Financial Overview 4-5

III. Current Market Situation 5-10

a. Market Description 5-7

b. Product Review 7-10

c. Competitive Review 6-9

IV. Strengths, Weaknesses, Opportunities, and Threat (SWOT) Analysis 11-13

a. Strengths 11

b. Weaknesses 11-12

c. Opportunities 12

d. Threats 12-13

e. SWOT Table 13

V. Marketing Strategy 14-17

a. Product 14

b. Price 14-15

c. Place 15

d. Promotion 16

e. Marketing Research 16-17

VI. Action Program 17-19

VII. Controls 18-19

VIII. Works Cited 20

IX.

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I. Executive Summary

The Los Angeles Lakers, known for its prestigious basketball team with Hall of Fame players

such as Wilt Chamberlain and Shaquille O’Neal, utilizes SMS marketing in various ways,

specifically through its mobile app. The Lakers mobile application helps fans connect and stay

up-to-date with team activities, game videos, and player interviews. The mobile marketing app

positions itself well in its market, delivering the latest news, content, the Gold Experience, and

Laker Game Tracker. The mobile user demographic differs from basketball players to die-hard

Laker fans. Consumers utilize the mobile app to engage and stay aware of recent Lakers news.

The mobile application also allows purchases on future events and other Lakers memorabilia. In

order for the Lakers to continuously grow their profits, they must expand their market to target

all customers through convenient application usage. The Lakers report continuous growth,

doubling its franchise value in 2015. The Lakers’ marketing objectives include generating

consistently high profits and revenues every year. This marketing plan covers overviews,

marketing situations, objectives, marketing strategies, and action programs the Lakers may

utilize to further its growth as one of the best NBA franchises.

a. Company Profile

The Los Angeles Lakers are known for their prestigious championships and influential basketball

players. First known as the Minneapolis Lakers in 1947, the Lakers won several championships

and developed the first-known basketball superstar, George Mikan. In 1960, the Minneapolis

Lakers relocated to Los Angeles where they became one of the most successful teams in NBA

history with Hall of Fame players such as Jerry West, Kareem Abdul-Jabbar, and Magic

Johnson. Throughout different eras, the Lakers made the NBA Finals 31 times, accounting to 16

championships, the second highest for any franchise in the NBA (Land Of Basketball). The

Lakers ultimately are rebuilding around young talent including top picks D’Angelo Russel,

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Julius Randle, and recent #2 overall pick Brandon Ingram; With the additions of veteran players

such as Loul Deng, Timofey Mozgov, and Jose Calderon, they are poised to rebuild and play for

future championships. The Lakers target fans and individuals from different generations

including Millennials and Generation Z. The Lakers’ franchise value doubled in the past few

years, increasing from $135,000,000 to $260,000,000 from 2014-2015 (Statista). This has

happened because of all-time great Kobe Bryant, who announced his retirement last season. The

Los Angeles Lakers, now transitioning from the Kobe Era to the Post Kobe Era, look forward to

sustain fan retention and ultimately grow to further heights. Through actions on and off the court,

the Lakers contribute tremendously to its fan base by offering great game-day experience and

giving back to the community through social responsibility.

II. 5 Year Financial Overview

End of year 2012 2013 2014 2015 2016

Franchise

Value

$900,000,000 $1,000,000,00

0

$1,350,000,00

0

$2,600,000,00

0

$2,700,000,00

0

Revenue $197,000,000 $295,000,000 $293,000,000 $304,000,000 N/A

Team Salary $88,264,478 $100,451,593 $76,755,609 $70,407,159 $72,414,125

Franchise

Value Growth

Rate

4% 11.11% 35% 97% 3.85%

Revenue

Growth Rate

-5.3% 49.75% -.7% 3.75% N/A

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In the Los Angeles Lakers five-year financial overview, revenues and franchise value

significantly and efficiently every year. Although the Lakers growth rate in 2012 was -5.3%,

revenues increased to $98,000,000 with a 49.75% growth rate by end of the 2013 season. These

numbers ultimately translate to an efficient franchise and revenue growth rate. The Lakers’

franchise value from 2014 to 2015, nearly doubled and increased 97%. Although adjusting and

transitioning from the Kobe Era to Post Kobe Era, the Lakers’ revenue, franchise value, and team

salary remain consistent. Overall, the Lakers’ future seems promising as its growth rate

continues to increase at a steady pace. All the information above may be found on Statista.com.

III. Current Market Situation

a. Market Description

The Lakers target various markets in their marketing strategies. Some demographics they target

range from famous celebrities and athletes, recreational basketball players, and hardcore Laker

fans. We see many famous celebrities such as Jack Nicholson and Chris Rock attend Laker

games; however, they may not utilize the Lakers mobile application more than hardcore Laker

fans. Many Laker fans utilize the application to stay up-to-date on their favorite players and keep

track when games take place. The Lakers strive to provide a great experience of competitive and

fan-based connection, so this application’s marketing is critical. The Laker’s current competition

include NBA teams based in California such as the Los Angeles Clippers, Golden State

Warriors, and Sacramento Kings. The Los Angeles Clippers and Golden State Warriors’

popularity increased lately due to their win records and new player additions, ultimately

advancing their teams in hopes of winning championships. However, after comparing these NBA

team mobile applications to the Los Angeles Lakers mobile app, they share many similarities.

Their formats and structures are placed strategically in regards to videos, Twitter, and game

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videos. The Sacramento Kings differ in format and structure where one tab includes all

categories. On the main page, it incorporates recent news and quizzes that mobile users can take,

along with other “Sacramento Proud” articles. Although the application contains many resources

and information that fans can use, advertising can be utilized more efficiently.

b. Product Review

The Los Angeles Lakers mobile app provide several features for mobile users, athletes, and non-

athletes. They include the following:

● Provides easy access to recent news in regards to Laker players, interviews, and game

videos.

● Social media access, specifically with Twitter, to see recent tweets by the Lakers.

● Convenient calendar to see Laker schedule for the 2016-2017 season.

● Safe and secure checkout for Laker tickets.

● Game stats for recent Laker games.

● Social Media Hub which gives insight on what is happening in regards to Laker social

media accounts.

● Information in regards to what to do at Staples Center and Parking instructions

● Team statistics and roster information

Target Segment Customer Needs Features/Benefits

Teenage Athletes in

Middle School, High

School, and College

- Ticket purchase

convenience

- Affordable price on

tickets

- Seat availability

-Mobile app has ticket category where

you can purchase tickets for future Laker

games

-Ticket prices based on where seats are

located

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-Game videos,

highlights, player

interviews

-Post-game highlights and videos

Older people/Non-tech

savvy individuals

- Easy-to-use

application

-Find videos and stats

efficiently

-Up-to-date Laker

news

-Mobile app has named categories for

easier use and maneuvering

-Videos displayed on home page along

with recent Laker news

Die-hard sports fans -All up-to-date

information in regards

to game statistics,

player stats, and team

news.

-Updates on player

posts on social media

sites

-Information is up-to-date, as recent news

is added in chronological order

-Twitter categories which show what the

Lakers tweet and other individuals in the

Laker organization.

c. Competitive Review

Key competitors to the Los Angeles Lakers include the following NBA teams:

-Los Angeles Clippers: Founded in 1970, the Los Angeles Clippers share Staples Center

with the Los Angeles Lakers; they compete with the Lakers in the Western Conference

Pacific Division. Lakers consistently win against the Clippers since their establishment

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but recently, their records declined from 2012 to 2016. The Los Angeles Clippers current

players include Chris Paul, Blake Griffin, DeAndre Jordan, and Jamal Crawford whom

contributed immensely to playoff aspirations in the past 5 years. Known as Lob City, the

Clippers throe alley-oop passes and fanatic dunks during games. With former Microsoft

CEO Steve Ballmer purchasing the Clippers for $2 million, the Clippers will look to rival

the Lakers in yet another season and try to expand their rosters to become a better

championship caliber team (Associated Press). Their mobile application shares

similarities with the Lakers application, as it entails the same structure and format for

mobile-friendly individuals when looking up statistics or when games start.

-Golden State Warriors: First known as the Philadelphia Warriors in 1946, the Golden

State Warriors were established in 1971 (NBA.com). Located in the Bay Area, the

Golden State Warriors are known for their superstars such as Stephen Curry, Klay

Thompson, Draymond Green, and recently added Kevin Durant. Many NBA fans either

love or hate the Warriors because of their recent additions, reaching the NBA Finals in

the past two years and ultimately winning in 2015. With the addition of Oklahoma City

Thunder superstar Kevin Durant, the Warriors position themselves to make another title

run with the three-point shooting Splash Brothers and triple-double machine Draymond

Green; this new era is named as the “Fantastic Four” Era. The Los Angeles Lakers

compete with the Warriors in the Western Conference Pacific Division, playing them

multiple times during the year where tickets usually sell out. Their owners include Joe

Lacob and Peter Guber, ranking sixth in NBA franchise value at $1.9 billion (Forbes).

Both Laker and Warrior mobile applications work similarly in which they share similar

formats and structures to view news, statistics, and social media posts.

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-Sacramento Kings: The Sacramento Kings, established in 1985, is currently owned by

Vivek Ranadive with a $925 million franchise value (Forbes). Currently in the rebuilding

stage, the Sacramento Kings continuously change coaches, going from former Denver

Nuggets coach George Karl to Dave Joerger in less than a year. Although conflict arises

in regards to their former and current superstars such as Rajon Rondo and Demarcus

Cousins, the Kings look to compete for a playoff spot this year and set their eyes on

winning a championship. The Los Angeles Lakers rivalry between the Kings dates back

decades ago; the Lakers consistently defeat the Kings in regular season games and the

playoffs such as in the start of the 21st century. Their mobile applications differ compared

to the Lakers, Clippers, and the Golden State Warriors. In the mobile application, it

includes no sub-categories on the main page but instead recent news, fan quizzes, and

other Sacramento Kings information. However, at the upper right hand corner, a button

reveals each category unlike the Lakers mobile application, which shows categories at the

bottom of the app and where they are located.

Competitor Major Sponsors Features

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Los Angeles Clippers Agua Caliente Casino Resort

Spa, American Airlines

Group, Kia, Lexus, State

Farm, Draft Kings, CarMax,

Carls Jr., Arco

-Easy to find categories in

mobile app

-Featured videos, latest news,

and Twitter categories

Golden State Warriors American Express, Oracle,

State Farm, Kaiser

Permanente, City National,

Ignite Farm

- Previews of upcoming

games

-Player news in regards to

events, CSR, and training

camp

-Arena category including

map, tickets, and account

-Calendar for home and away

games

Sacramento Kings AdvanTel, Comcast, Golden

1 Credit Union, Kaiser

Permanente, Sleep Train,

Toyota, Wells Fargo

-Recent news, fan

engagement, and player

information on home page

-Categories found on upper

right corner

-Quizzes for fans to test

knowledge of the Kings

.

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IV. Strengths, Weaknesses, Opportunities, and Threats (SWOT) Analysis

The Los Angeles Lakers possess many strengths regarding company image and a large fan base;

however, they may improve significantly by expanding on opportunities. The Lakers’ mobile

applications succeed through their fan base, as there holds future opportunities application

expansion but also concur threats.

a. Strengths: The mobile application contributes immensely to the Los Angeles Lakers’

strengths in the following ways:

1. The greatest strength of the Lakers involves its loyal and large fan base. Throughout its

existence, the Lakers continue to gain many loyal fans who support and attend several

games. The mobile application helps fans lacquire information on recent news in regards

to players, coaches, and past Laker legends. It also gives fans easier access to the Lakers

game calendar and social media pages such as Twitter.

2. Another strength of the Lakers Mobile Application incorporates fan engagement and

easy access to purchase game tickets. The app utilizes Social Media Hub, which shows

mobile users current Laker activities in regards to photos, social media posts, and videos.

This ultimately gives mobile users the up-to-date news regarding current activity in the

Lakers’ social media world. Ticket purchases remain easy to utilize through their

application arena category, where it shows when every game occurs so fans may either

buy tickets, use ticket exchange, or purchase ADA tickets.

b. Weaknesses: The Los Angeles Lakers’ mobile application holds two weaknesses that should

improve to create more fan engagement and efficiency.

1. One of the weaknesses of the Mobile Application in my opinion incorporates

utilization within an older demographic. The mature and older fans may not be able to

utilize the application efficiently due to their lack of knowledge regarding social media

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and technology. They may get confused on where to look for certain posts or topics

tailored to their interests. My suggestion includes a home page search bar for mobile

users to find articles and other intriguing information.

2. Fans may prefer online website usage than through the mobile application because of

past habits. Also, some fans may not have smartphones which they may utilize in order to

navigate and download the app.

c. Opportunities: The Los Angeles Lakers mobile application possess several opportunities for

exploitation and exploration.

1. One of the opportunities the Lakers may expand upon utilizes advertising. The home

page should utilize more advertising regarding contests and promotions because they

ultimately incentivize mobile users. These incentives help the Laker fan base participate

in more deals and promotions. When the application downloads for the first time, an

email suggestion box should pop-up for fans who want up-to-date information delivered

promptly.

2. The Lakers mobile app should utilize a profile creation section where the mobile user

may create their own profile and save information on articles they read. There can also be

forums in regards to different Laker topics, which incorporates each Laker fan and

creates more communication between these individuals. In turn, the application may

generate more traffic and then advertising can be utilized to promote certain events or

ticket discounts that are going on during the season.

d. Threats: The threats the Lakers face have the potential to take customers away and ultimately

lose its usage.

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1. One important aspect includes create and maintain mobile application convenience for

fans. First impressions and app usage foretells how many times fans utilize the

application; if inconvenience occurs, fans tend to ignore and delete the phone application.

2. Another threat includes players leaving, specifically transitioning from the Post Kobe

Era. Some die-hard Kobe Bryant fans may only watch the Lakers because of him;

however, the Lakers must retain these fans and establish fan loyalty. Although they may

be in a rebuilding process according to experts, their young players may potentially help

restore the Lakers into a championship caliber team.

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VI. Marketing Strategy

a. Product-Customer Solution

With efficiency and convenience for mobile users, the Lakers mobile application provides fans

with a great customer experience through efficient news delivery and up-to-date information.

The Lakers goal involves giving users an application that delivers the latest news and content

onto their mobile devices. It provides fans the solution to finding information regarding their

favorite NBA players and creates convenient ticket purchases on various websites. The

application also offers usage on both Android and iOS platforms, allowing Android and iPhone

users to download the application to their phone. Ultimately, this provides customer with easier

access to their favorite basketball team, eliminating internet searches for inquired information.

For example, a Laker fan does not need to search online for when the Laker games occurs or

their statistics during the year; instead, they may utilize the mobile application to find this

information. When mobile users want to know information about the Lakers, they may resort to

using the application as an easier alternative. To provide even better solutions for customer

experience, the Lakers may provide mobile users incentives for taking surveys based on the

application. This gives insight on what the consumer thinks about the application and the

improvements necessary to keep the application obsolete.

b. Price-Customer Price

Although the Los Angeles Lakers mobile application does not cost money to its users, it

generates profits through advertising and ticket sales. The Lakers cooperate with many corporate

sponsors including Wing Stop, Time Warner Cable, and Jack in the Box. Not only do they

coordinate with corporate companies, but they also sell tickets through their mobile app and

partnering websites. The Lakers use value-based pricing on their tickets to create a larger fan

base and generate more profits. They know that fans attend their games as last year’s home

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average attendance approximately amounted to 18,997 (ESPN). The Lakers also held a sellout

streak of 320 games from 2006-2013, showing how loyal their fan base attends live games

(MacMenamin). Ticket prices may include high prices, but loyal fans may buy the tickets under

any circumstance because they want to either see their favorite Laker players live or the other

competition the Lakers play against. The Lakers usually do not market-skim their prices because

their tickets sell out to various fans; thus, their profits increase significantly every year. The

value-based pricing strategy creates not only ticket sales but also concession sales. Food, jerseys,

and drinks prices remain high at Staples Center as fans may buy these products despite the high

price tag. This shows the Lakers maintain high revenues and profits due to their value-based

pricing and do not require discounts or incentives because they keep an extremely loyal fan base.

c. Place-Customer Convenience

The Lakers mostly sell their memorabilia, tickets, and products either at Staples Center, online,

or through their mobile application. The Lakers mobile application allows fans and consumers to

purchase tickets easier and quicker through ticket exchange and lets fans hold their own

accounts. Also, the application includes a subcategory with in-seat mobile merchandise delivery,

allowing fans to purchase merchandise from home without needing to leave their seats. This

creates customer convenience where fans do not miss any of the live action happening during the

game; a worker will instead deliver the food, drinks, or merchandise ordered right to their seats.

Another subcategory on the mobile application includes the Lakers’ Gold Experience, which

allows fans who purchase tickets upgraded seats to better levels. This ultimately gives customers

a better game day experience if they upgrade their seats, leading to better customer loyalty. The

implementation of surveys taken by end-users on how the application provides beneficial perks.

By generating enough surveys from these users, the Lakers may evaluate the application’s

positives and negatives for more improvements.

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d. Promotion-Customer Communication

Although advertising may relatively cost more money, the Los Angeles Lakers may utilize

advertising through their mobile application. Through their corporate sponsors such as Wing

Stop, Time Warner Cable, and Toyota, the Lakers may give company promotions and discounts

which generates more revenues. One of the ways the Lakers promote Wing Stop involves their

away games; For every away game win, consumers who subscribe to Laker Wing Stop alerts

receive free wings the next day for a specific time period. This ultimately provides the consumer

with the incentive to go to Wing Stop for free wings at the expense of buying another product on

the menu. The Lakers may utilize the same strategy by providing specific deals incorporating

other corporate sponsors. For Time Warner Cable, the Lakers may utilize promotions based on

package deals for loyal fans. For Toyota, there may be APR rated discounted or price discounts

overall on consumer automobiles purchases. The Lakers do not require overspending on

advertising because their name speaks itself, and through its customer branding and loyalty, the

Lakers remain profitable and generate revenues for years to come.

e. Marketing Research

In order to gain marketing research, consumers may submit reviews and surveys on their mobile

application. Since the Lakers want the valid and authentic surveys, they may implement

feedback guidelines for their customers to follow. Various companies instill criteria on how to

give authentic feedback on certain products and applications. For the surveys, consumers may

provide details on why they like the application, how the application may be improved, what

additions would they like to see, and rank it out of 5 stars. At the end of the survey, the mobile

user may be offered discounts and promotions from corporate partners; an example includes a

“Buy One Get One Free” burger from Carl’s. Jr or Jack in the Box tacos’ coupon. This may

ultimately bring in more traffic and authentic application surveys so developers may see what

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needs improvement. The Lakers not only benefit from these reviews and surveys, but also

receive potential customers as well because they see how the application ranks on a one through

five scale. Another strategy consists of live feeds and game audio. According to reviews on

Google Play, the Lakers mobile application sometimes does not update properly, specifically on

the scoreboard widget. Also, there may be no game audio unlike other NBA team applications

such as for the Trail Blazers and the Celtics. Although the application has a 4.6 out of 5 rating on

Google Play and a 4 out of 5 rating on iOS devices, there is always room for improvements.

VII. Action Programs

When the season begins in October, the Lakers will implement the incentives given to mobile

users who complete a review thoroughly with valid feedback. The application currently receives

2,668 reviews on Google Play and 162 rating on iOS devices, so the review goal may double this

amount before the season ends in April 2017. The Lakers will also try to reach a higher rating,

specifically on iOS, so fans receive a greater experience. Throughout the season, the Lakers will

continue to develop incremental and radical implementations into their mobile application to

appeal to customer preferences and interests. The Lakers may acquire this information from the

valid surveys and product reviews given on their website or on different forums. By utilizing

these resources, the Lakers may improve its mobile application to satisfy loyal and potential fans.

The product reviews should consist of authentic customer feedback that shows what customers

like and dislike about the mobile application.

October- The Lakers begin market research in order to improve and implement new features in

the mobile application. This research includes mobile application product reviews and surveys

from Google Play and iOS. This planning stage consists of when and how the Lakers mobile

application creates a better fan experience.

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November- Using the data and research gathered from product reviews and surveys, the Lakers

begin to design their application based on customer preferences and ideas. They redesign the

application based on the reviews and surveys catering to mobile users.

December- The Lakers utilize crowdsourcing to get an idea of their customers’ needs and wants.

They send emails, direct marketing, and advertising to inform their fans of three format

implementations. The formats and structure are posted on the Lakers website as consumers vote

on which they prefer. By using crowdsourcing, the Lakers obtain critical information on what

their fans prefer before implementing the new application. The Lakers also position themselves

with their fans as open-minded, taking customer feedback and advice into consideration which in

turn creates stronger relationships and connections.

January- The Lakers obtain the data from their three formats and use them to choose which

application will be released. By utilizing the data and feedback, they get information and

feedback on their designs to see beneficial and non-beneficial features. The Lakers then run a

promotional campaign utilizing advertising and direct marketing. Then, they post about their new

application and incentivize fans to give feedback; their incentives would not be monetary, but

instead consist of Laker players’ autographs or memorabilia.

IX. Controls

The Lakers are known for their brand image and history worldwide. They will continue to have

this brand image by using value-based pricing on their tickets They will also create radical

innovations that are based on customer needs. The Lakers will maintain great application quality

by adding suggested features and improvements from their fans. This ultimately helps the Lakers

create relationships and connections with their customers because of their consideration with

ideas and preferences. The Lakers provide brand awareness through advertising and direct

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marketing. They succeed with advertising as they position themselves in the minds of the mobile

user as the best NBA team; when someone thinks of NBA basketball teams, they automatically

think of the Lakers. The Lakers keep their customers satisfied by utilizing their feedback to

improve on their application features and create new innovations. Customer opinions create

better, successful companies because of customer-orientation (Levitt).

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Works Cited

"NBA Championships: Summary of Winners." Land Of Basketball. N.p., 4 May 2015. Web.

"Los Angeles Lakers Franchise Value 2003-2016 | Statistic." Statista. N.p., n.d. Web. 08 Sept. 2016.

Press, Associated. "Ex-Clippers Owners Sterlings Call off Divorce."ESPN.com. N.p., 11 Mar.

2016. Web.

"Warriors History Index." Golden State Warriors. N.p., n.d. Web. 12 Sept. 2016.

"Golden State Warriors." Forbes. Forbes Magazine, Jan. 2016. Web.

"Sacramento Kings." Forbes. Forbes Magazine, Jan. 2016. Web.

"NBA Attendance 2015-2016." ESPN.com. N.p., n.d. Web. 11 Sept. 2016.

MacMeniman, Dave. "Lakers' Sellout Streak Snapped at 320 Games."ESPN.com. N.p., 14 Nov.

2013. Web.

Levitt, Theodore. "Marketing Myopia." Harvard Business Review. N.p., 01 July 2004. Web.

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