The sporting industry is a business that inroads and increases as years pass by with investors showing a fundamental interest in investing in sports organizations. The industry is a highly competitive sector with talent and funding playing a crucial role in the success of businesses. The sports industry is one that has been characterized by stiff competition and pressure of maintaining power and influence. Companies that fail to adopt such qualities have continued to be eliminated from competition further making it a risky industry. In the sports industry, sales and customer care have proved to be critical factors for the success of companies. Over the years, companies that have failed to utilize sales and customer services effectively have witnessed losses in revenue and minimal profits that have hindered growth for the firms. The products and services associated with the sports industry are those associated with creating experiences for customers. They include games and user services such as apps, the internet, and websites. Sales and customer care services, therefore lay a crucial role in a firm’s ability to attract, retain and facilitate customer loyalty in the sports industry. NBA is one of the companies that has managed to effectively utilize its sales and customer services to achieve significant success in the sports industry.
Analysis of NBA’s Personal Selling Approach
Personal selling is the process by which a business uses sales representatives who meet with potential customers to facilitate the transaction of products and services. The sales representatives communicate with potential buyers face-to-face on behalf of the company with the sole purpose of ensuring that a sale is made on the services or products. NBA has a unique approach to personal selling based on how sales representatives are hired, trained, and carry out their duties. In the hiring process, NBA usually hires a bunch of sales representatives and not just a few. These new sales representative are then given a set amount of time to learn about how the company operates and prove that they have what it takes to assist NBA to achieve its goal. The fixed amount of time allocated for the recruits is usually six months to one year after which the highest producers are promoted to full-time positions in the company. This is one of the primary reasons why sales representatives in NBA are highly efficient in their jobs since only the best are chosen to work for the company on a full-time basis. A sale representative needs not only to be academically qualified; one must prove that he has the skills to sell and can help the company as well. Inside the sales department, sales representative work in teams making teamwork and collaboration critical for the fulfillment of tasks (Clapp 23).
Some of the significant challenges associated with sales representatives in NBA are long working hours and performing tasks that fall outside the normal working hours and outside their professionals. Inside sales representatives in NBA, for example erform specific functions that may require them to work long and odd hours such as making night calls, assisting in set-ups and cleanups especially for stakeholder events and setting up informational tables at games and community events. As a result pressure and stress is one of the significant challenges for sales representatives in NBA. Accountability is something that has been highly encouraged by NBA in its personal selling approach. From the recruiting time, sales representatives are required and held accountable for various metrics such as the number of sales, calls, and appointments that one makes in a day. NBA, therefore, uses accountability as a weapon of emphasizing productivity, efficiency, and reliability (Clapp 29).
Analysis of NBA’s Sales Management Approach
Sales management can be described as the practical applications of sales technique and managing the sales operations of a company. Sales managers are required to utilize sales management to maximize profits for the company. Sales management, therefore, involves three functions, which are developing sales force, coordinating the operations of sales, and implementing sales techniques. Sales management is very crucial for any firm that wants to generate enough revenue and make profits as it allows businesses to stay in tune with its industry of operation. Sales management in NBA is often associated with sales promotion that assists sales representatives to sell more tickets and services offered by the company. The firm sometimes offers free promotional giveaways as a way of luring fans to attend specific games to assist in generating more revenues and profits. Giveaways provided by the company include balls, bobble-heads osters, jerseys, and hats among many more others. Sales promotions have become critical tools that have assisted sales representatives in selling more tickets and other services in the company. Due to sales promotion, NBA has managed to attract more fans to games that have assisted sales representatives in making larger sales (Tang 5).
Discount on games roducts, and services is another strategy utilized by NBA in sales management. NBA sometimes offers discounts to specific games to attract more customers as a way of facilitating more revenue generation. Rather than charging the normal prices on tickets, the firm lowers the price so that more fans can attend the game. Another strategy utilized by NBA in sales management is advertising. NBA has made it a habit of using the media to inform people about crucial games that would be played in the league as a way of attracting the attention of customers. The sales management strategies applied by NBA have greatly assisted it in creating customer value and generating substantial revenues that the company has continued to witness over the years (Tang 7).
Analysis of Customer Service in NBA
Customer service refers to the process of ensuring that customers are satisfied with the products and services of the company. In many instances, customer service usually takes place when a client has issues regarding the services and products of the company and during the transaction or inquiry processes (Toister 34). Excellent customer service is what has helped NBA to maintain customer value. Customer service representatives in NBA deal with issues such as ticket cancellation, refunds, and securing seats in a game. In NBA, the customer care representatives are required to answer and resolve any issue that customers may have regarding securing a seat of a basketball game. Much of the revenue that the company earns comes from the games that are hosted. As a result, NBA has ensured that customer care representatives are aware of all the basketball games that are to take place to ensure that the personnel can answer any questions about a particular game. As a result, customers and fans have come to rely on the customer care representatives in the NBA for any query that they may have regarding the latest games. The company further has a refund policy for customers who may have issues pertaining to tickets that have been acquired (NBA 6).
The customer care representatives in NBA are to ensure the refund for customers who make a claim. The customer care representatives work with the sales department to ensure that the refund is initiated for a customer who requests before the game begins. When it comes to services such as account changes and activation, customer care representatives in NBA are required to guide the client through the process to ensure that the customer needs are addressed. The company has applications that allow its customers to stream live entertainment and games. It is the job of the customer care representatives to ensure that they address all concerns that customers may have regarding data security and usage. NBA further recognizes the importance of training its customer care representatives on how to deal with customers. In NBA, customer care representatives are trained on how to handle different types of customers and further provide potential solutions related to their concerns. The employees are trained with great scrutiny on how to deal with customers with different emotions and the right words to use when dealing with them. The customer care service in NBA is one significant aspect that has assisted the company to achieve customer value making it one of the dominating organizations in the entertainment industry.
Customer Turn-Offs and NBA
Customer turn offs are the things that contribute to the negative experiences of customers. Customer turn offs are the significant reasons why many companies in the world fail to retain their customers. For any organization to achieve the highest level of customer loyalty and retention, customer turnoffs must be avoided by any means necessary (Fleming and Weiss 56). A few moments spent by a customer care representative and a customer can damage a company’s relationship with a client who has worked with a firm for several years. The best way that companies can retain and make customers loyal is by providing employees with the skills needed to avoid customer turn-offs. NBA has a great monopoly when it comes to ticketing and games since they are solemnly responsible for all the operations that are to be undertaken in professional basketball league (Budzinski and Szymanski 411). Although this has acted as an advantage for the company, it has also served as a challenge to the customer care and sales representatives.
The customer care is responsible for all the concerns that customers might have regarding a game that has contributed significantly to the intense pressure in the department, especially during big games. To deal with the challenge, NBA usually initiates training programs once in a while to help the customer care representatives deal with the pressure that may result from complaints from numerous customers at a go. Due to the training, customer care representatives in NBA have been able to deal with multiple issues with little stress during high seasons of the league. NBA highly values its customer care and sales representatives since the company relies on customer experiences to make revenue and profits.
NBA Organizational System
An organizational system refers to how a company is set up that lays out both the hierarchy and communication flow. An organization structure or system is effective for any company that wants to improve efficiency roductivity, and decision-making processes. Different companies adopt different structures based on their needs and operations. The success of any company in beating competitors largely depends on the organizational structure, so it is crucial for firms to adopt systems that suit their needs, operations, and goals (Bustinza, Bigdeli and Baines 54). The organizational structure of NBA is organized in a way that it can be able to operate the basketball league that is comprised of thirty teams. The structure of the firm has helped it to build strong brand equity in the sports industry. NBA has a hierarchy type of organizational structure that has assisted the firm to enhance coordination.
Decision-making in the NBA majorly focuses on player evaluation, team evaluation, and roster construction. Strong leadership has been a critical component in the success of the organization. Most of the decisions taken in the organization are made in the top management.
The management then ensures that every team in the firm implements the new policies and regulations. The management has managed to build a strong leadership to the high levels of collaborations that exist within the top managers of the firm. The management team of NBA has encouraged dedication and professionalism that has assisted the organization to climb on the ranks of being one of the best sporting organizations. However, in NBA the CEO has autonomy over all the decisions made within the department. The CEO in NBA is, therefore, the central figure when it comes to making decisions concerning the organization and how matters should be handled. To a larger extent, NBA is an organization with ‘Limited Corporation’ whose members are franchises. The members of the organizations are the 30 teams that are expected to manage themselves in all aspects based on the rules and regulations of the firm. There is little collaboration between the Board of Members who make up the policies and regulations within the organization and the 30 teams contained in the organization (Vault 13).
Policies in NBA
The sales and care representatives in NBA may collect a customer’s data during the interactions. The data includes information provided directly by the client, or that is passively collected from a customer using things such as browsers and devices. Based on NBA’s policies, the data is obtained by the sales and customer care departments for operational purposes such as improving services in the organization. The data is used to understand what the fans expect from the company, and NBA further uses the collected information to tailor its services based on data. However, there exists a privacy policy for the gathered information. NBA takes the importance of protecting customer’s data from unauthorized personnel seriously. The firm has put policies in place that take into account data sensitivity with the aim of ensuring that customers’ information are protected from unauthorized access and disclosure (NBA 12). NBA works with third parties, and it allows sharing of the collected data for business operations to these groups. NBA further has a no return, no refund on some of its services such as streaming services and ticket purchase.
According to the organization, tickets purchased cannot be returned after the game has started and no refunds would be provided. One of the popular streaming services of NBA is the NBA League Pass that allows users to access the NBA games during the basketball seasons. The user subscriptions are renewed annually, and in its policies, NBA does not provide a refund for the annual fee if a user cancels the services when the basketball season is ongoing. NBA further based on its policies has the right to punish basketball teams, management layers, and coaches for any misconduct. Individuals within and outside of the teams are encouraged to report any misconducts that are associated with basketball personnel and teams. The company has established a confidential hotline where customer care representatives take the concerns related to misconduct (Associated Press 5).
Organizational Culture of NBA
The organizational culture of NBA is one that is characterized by diversity. The NBA organization is comprised of teams that are made of players of various ethnic groups. The players from different ethnic groups have been attracted to the organization due to the common language of sport. According to the organization, basketball is for everyone. Diversity in the organization has helped NBA and its employees to leverage their differences and unite through their love for basketball. Another culture associated with NBA is teambuilding. Every team in the organization and management members are dedicated to continuous improvement. Shared leadership in the top management levels have assisted the organization to build a fruitful relationship with communities that has contributed in areas such as talent recognition and charities. Additionally, the management has put in policies that encourage the building of strong teams to compete in the league as a way of improving basketball in the United States.
The teams in the firm on the other hand recruits and train players to ensure that they build strong teams that can compete in the league. An inclusive culture is another trait associated with NBA. The organization has continued to cultivate a workplace that makes every feel welcomed, comfortable, and empowered. The firm has guidelines that emphasize respecting and valuing the differences of each individual in the workplace. The management has continued to train members of the organization on how to identify unconscious bias, mentoring strategies, and professional development. To further facilitate inclusive diversity by encouraging gender equality in the workplace. The company has already established the NBA’s women network that aims at creating a community for women and allies. Respect and integrity are other characteristics of NBA’s culture. According to the organization, respect and integrity are the core values that are highly emphasized to ensure that teamwork and teambuilding. The firm further has a hotline for team and league employees to report misconducts such as sexual harassment, discrimination, and retaliation as a way to promote respect and integrity (NBA 9).
Analysis of the Use of Data and Technology for Sales " Customer Service
Over the last few years, NBA has become very fond of data and technology. Currently, it is estimated that the company has over 50 million-strong consumer base. To effectively manage this large consumer base, the company has rolled out a customer relationship management system to assist in customer retention especially paying customers. Thanks to the system, NBA has managed to get a 360 degrees view of the fans and customers that has helped it to understand better what the customers expect from the sales teams and customer service representatives. Through data analysis, the sale department has managed to understand the behavior of the customers better. By utilizing Customer Relationship Management (CRM) technology, the sales department in NBA has been able to understand the attendance behavior of its clients. Technology is one of the ways that NBA customer care representatives can interact with potential clients, customers, and fans. NBA uses technologies such as applications, social media, websites, and phone calls to interact with various customers who are globally distributed. Without technology, it would be difficult for the company to respond to emergency concerns of customers that can negatively interfere with the excellent customer relationship that exists.
Through managing data, the customer care representatives have been able to deliver the right message to the right person and through the right channel. One of the primary reasons why NBA has been very dependent on data and technology is based on the fact that the firm never manufactures products and it depends on selling experience. Since the customer care department is one of the departments that mostly has direct contact with customers and fans, technology and data have had a significant impact on customer care representatives. Over the last few years, NBA has shifted its hiring strategy and shifted towards recruiting data scientists, research people, and data-minded people to leverage data and technology in its other operations. Technology and data have become the game changers for NBA especially in the customer care and sales department. Tickets and services are now being sold online while customers can get responses immediately to their concerns without visiting NBA’s offices (Terdiman 7).
Recommendations for NBA
NBA highly relies on selling experiences to make money and revenue. Although the company has majorly focused on providing customer care representatives with the skills and knowledge needed to ensure that customers have the best experiences with the company, it has ignored the sales representatives in their strategy. Sales representatives are personnel who have direct contact with customers. It is crucial to ensure that sales representatives have the skills and knowledge needed to deal with customers without costing irritations that can turn off customers. One recommendation for NBA is to train its sales representatives intensively on how to deal with customers effectively. Currently, the company focuses on hiring the best sales representatives in the market. Although sales representatives might have the skills to sell products and services of the company they need to be trained on how they can understand the emotions of customers and their needs to ensure they create the best experience for them.
Another recommendation for NBA is to train its employees on how to deal with pressure. From the analysis of customer services ersonal selling, and sales management, it is clear that the sales and customer care representatives in most instances are under pressure especially during peak seasons of the games. NBA needs to initiate programs in place that can help sales and customer care personnel to effectively deal with pressure to prevent or reduce stress among the employees. Pressure is an issue that can have a negative impact on employees’ productivity and performance in the workplace.
Another recommendation for NBA is to enhance its decision-making processes through collaboration especially when it comes to sales and customer care. As indicated earlier, there is little collaboration in NBA where all the major decisions are made by the top management without the consultation of the teams, which has created a rigid structure in the firm. Employees as a result in the sales and customer care departments are always working under pressure, which can have a negative impact in the future for the company. Sales and customer care representatives are personnel who have direct contact with the customers and, therefore, have a better understanding of the needs of the clients. Incorporating sales and customer care representatives is crucial if NBA wants to improve on the impacts of its decisions to the consumers.
Conclusion
NBA has managed to attain much success in its industry due to its services, sales management, and customer service management. The firm has taken important measures that help it to facilitate excellent customer experiences through the sales and customer care representative. The strategies mentioned above have assisted NBA to achieve high levels of customer values that have set it apart from its competitors. However, various challenges are facing the company that is hindering it from experiencing the full benefits of its strong brand. To be able to experience the benefits of its strong brand, NBA needs to ensure that it adequately trains its sales representative on customer care, enhance its decision making through collaboration, and provide psychological support to its employees on how to deal with pressure and stress.
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