College Athletes Can Now Make Money

It’s been a long time coming, but finally college athletes can make money! A new NCAA policy allows student athletes to earn compensation by marketing their name, image, or likeness (NIL). This is a big shift in policy from the NCAA which has long banned college athletes from receiving any compensation other than tuition.

The new NIL rule will let student athletes earn income from licensing merchandise, podcasting, offering lessons, promoting brands, opening businesses, and other deals. In addition, student athletes can use their personal brands to earn money. Many athletes have a strong social media presence that can be leveraged into marketing brands and products.

On July 1st, hundreds of student athletes announced deals for NIL.  Big winners right away were sisters Hanna and Haley Cavinder, basketball players at Fresno State who are now spokespersons for Boost Mobile. Auburn football players Bo Nix and Shaun Shivers also announced partnership deals (with Milo’s Tea and Yoke respectively).

Some athletes will be paid for appearances, others will endorse products for payments, and still others are launching merchandise lines. The deals are not necessarily tied to sports. Athletes are now able to earn income from gigs as musicians, designers, and artists also.

It’s important to note that of the hundreds of thousands of college athletes, many will not benefit from the NIL policy. Athletes still cannot be paid directly by colleges beyond their attendance costs, nor are athletes to be considered employees of the colleges. But the opportunities are now there and will certainly influence sports and business.

The times are indeed changing.

Group Activities and Discussion Questions:

  1. Poll students: What is their opinion on the new NCAA policy that allow student athletes to profit off their name, image, and likeness?
  2. What are the positives and negatives for the policy?
  3. How will this policy impact marketing activities?
  4. Show video about the college athlete pay debate: https://youtu.be/q8dtMX_wXNY
  5. Show Open Sponsorship website: https://opensponsorship.com/
  6. Divide students into teams. Have each team develop ideas on how businesses could use college athletes in their marketing.

Source:  Ad Week; Assoc. Press; CNBC; NBC Sports; New York Times; other news sources

Leave a comment

Filed under Classroom Activities

The Changing Face of America

Demographic information is very important to marketers. Demographics are descriptors; data that can be somewhat easily described such as age, gender, education, occupation, ethnicity, household size, and more. With this information, marketers can best target campaigns to the correct target market.

The recent census results highlight the changing American demographics from 2010 to 2020. Population has significantly changed in many ways since the 2010 Census results.

  • U.S. metro areas grew 9%, resulting in 86% of the population in metro areas compared to 85% in 2020.
  • The largest cities in the country are New York, Los Angeles, Chicago, Houston, and Phoenix.
  • The fastest growing U.S. metro area was The Villages, Fla., which grew 39% to about 130,000 people.
  • People who reported being more than one race spiked.
  • Multiracial population is now 33.8 million people, a 276% increase since 2010 (Note that the census tool has been revised since 2010 to give a more accurate racial report.)
  • White population declined by 8.6%.
  • African-American population grew 5.6%
  • Asian population grew by 35%.
  • Hispanic population grew by 23%.
  • The overall U.S. population growth has slowed to 7.4%, the slowest rate in a century.
  • More than 77.9% of the population were age 18 and over.
  • Housing units increased 6.7% to more than 140 million units.

No one expects the country to stay the same. What surprised you about the results?

Group Activities and Discussion Questions:

  1. Discuss the importance of demographics as part of environmental scanning and marketing plans.
  2. Show the recent Census results: https://www.census.gov/newsroom/press-releases/2021/population-changes-nations-diversity.html
  3. The 2020 Census map viewer can be found at: https://www.census.gov/library/visualizations/2021/geo/demographicmapviewer.html
  4. Divide students into teams. Have each team review the results. What surprised them? How can the data be used?
  5. Class discussion: What are some of the broad implications of the changing U.S. demographics?

Source:  U.S. Census Bureau; New York Time; other news sources

Leave a comment

Filed under Classroom Activities

The Rise of Used Clothing Purchasing

There is no doubt that the pandemic changed shopping habits – both what we buy as well as how we buy. Work clothes such as suits and ties are trending down, and more relaxed and casual clothes are trending up. But that’s only part of the story. Sustainability in clothing is also on an upward trend.

To learn more about this, a survey by Adweek-Morning Consult surveyed 2,200 U.S. adults about where they buy clothing, and how they dispose of clothing they no longer want. Among the survey results findings was that 70% of Americans think sustainability is at least somewhat important when deciding how to get rid of unneeded clothing. And, 65% said that sustainability is at least somewhat important when selecting clothing to wear.

Other findings:

  • 79% have purchased used clothing at some point.
  • 20% buy used clothing most or all of the time.
  • 30% of Millennials buy used clothing most or all of the time.
  • 18% of Gen Z buy used clothing at least most of the time.
  • 72% of Gen Z and 74% of Millennials said sustainability was at least somewhat important.
  • 79% said they considered donating clothing as a sustainable option.
  • 59% felt selling clothing was sustainable.

While the numbers are promising, the proof is in the implementation for clothing companies. A recent agreement between Madewell and clothing resale platform thredUP aims to capitalize on this. Madewell (owned by J. Crew) will have a dedicated microsite the its website and will offer a curated selection of used (or ‘preloved’) Madewell jeans.

Old jeans can be brought to Madewell stores, which then assesses the condition of the clothes. If the clothing can live on, it is sold to someone. If the jeans are a little too worn to be sold, they are recycled into housing insulation through Blue Jeans Go Green. The lower price of Madewell jeans on the resales website also opens up sales to a market that is unable or unwilling to pay the high price of new jeans.

What did you buy lately?

Group Activities and Discussion Questions:

  1. Poll students: What types of clothes do they buy? New or used? Where? Why?
  2. View thredUP’s 2021 resale report: https://www.thredup.com/resale/#resale-industry
  3. Show thredUP website: https://www.thredup.com/
  4. Show Madewell preowned site: https://madewellforever.thredup.com/
  5. Show Blue Jeans Go Green site: https://bluejeansgogreen.org/
  6. In teams, have students go to these websites and browse clothing items.
  7. Have them consider price, style, etc.
  8. Now that they have viewed resale websites, have their attitudes about buying and clothing changed?
  9. How can sustainability issues be addressed by other clothing manufacturers and retailers?

Source:  AdWeek

Leave a comment

Filed under Classroom Activities