Levi’s Stadium Marketing Plan AssessmentsFebruary 17, 2022
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 2 February 17, 2022 Santa Clara Stadium Authority 1500 Warburton Avenue Santa Clara, CA 95050 Dear Sir or Madam: Stone Planning LLC and The Rooney Sports and Entertainment Group have completed our assessments of the 2020 and 2021 Non-NFL Events Marketing Plans that have been submitted to the Santa Clara Stadium Authority. The attached report presents the results of our findings. Stone Planning is an independent consulting firm that assists in the planning and operations of sports and entertainment venues and events. Our services include feasibility and economic impact studies, management and competitive analyses, and other research and advisory. Past clients have included the Oakland-Alameda County Coliseum Authority, the City of Inglewood, the City of Carson, the San Diego Regional Economic Development Corporation, the Green Bay/Brown County Professional Football Stadium District, the Maryland Stadium Authority, the Louisville Arena Authority, the Louisiana Stadium and Exposition District, Connecticut’s Capital Region Development Authority, New Jersey’s Casino Reinvestment Development Authority, and many others. The Rooney Sports and Entertainment Group provides consultation in the areas of event and venue launches, sponsorship, and marketing, as well as revenue-generating initiatives, specializing in sports- and entertainment-related venues. Its principals have worked with numerous major professional sports franchises and stadiums in developing live entertainment programming, and have served as facility operators and developers, and in executive roles with professional sports franchises and facilities. The analyses presented in this report are based on the information contained within the Marketing Plans, and we have not spoken with local or industry stakeholders in order to supplement our understanding of the Marketing Plans, local and stadium dynamics, or any other variables that may impact the stadium and its operations. Neither Stone Planning LLC, its managers, members, officers, employees, agents nor representatives makes any representation or warranty, expressed or implied, as to the accuracy or completeness of this report or any of its contents, and no legal liability is assumed or is to be implied against any of the aforementioned with respect thereto. This report does not purport to contain all of the information that may be required to evaluate all of the factors which would be relevant. We have enjoyed working with you on this engagement. Should you need anything else, please let us know. Sincerely, Stone Planning LLC 2020 Marketing Plan Assessment
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 4 This section summarizes our assessment of the 2020 Marketing Plan (Plan), by subject. Section numbers refer to those listed in the Authority’s Request for Statement of Qualifications. 2. Venue Positioning 2.1 Evaluation of the Plan’s strategic assessment of clients, business trends, and strengths, weaknesses, opportunities, and threats (SWOT). Summary of Plan Contents The Plan addresses a number of matters that are responsive to these subjects. For example: o Assessment of clients – the Stadium Manager lists multiple ways in which it has assessed clients and its potential client base, such as by attending local and national networking events, hosting prospecting events and focus groups, conducting fan surveys, collaborating with local partners such as the convention center, meeting with concert and festival promoters, and creating turnkey packages to more easily book proms based on the identified demand. o Business trends – the Plan cites the changing “ticketing landscape and financial models behind sports and entertainment” and the resulting need to adapt with new products. o Strengths, weaknesses, opportunities, and threats that are identified in the Plan: o Strengths: strong client survey results, the ability to promote non-NFL events during 49ers games and other opportunities to leverage associated Stadium Manager businesses, products such as Executive Huddle, and others. o Weaknesses: potential stadium users/clients generally don’t think about using private event spaces in a stadium for their events, and the (then) lack of a Santa Clara CVB. o Opportunities: creation of a sales kit with 360-degree photos of private event spaces, the strength of the Bay Area’s corporate base for private events, the ability to take advantage of relationships with teams, leagues, and industries to bring events to the stadium, and exploring opportunities to bring new event types to the stadium. o Threats: the stadium’s (now previous) curfew policy (which also could have been considered a weakness). Analysis of Plan Contents We believe that the client assessment, discussion of business trends, and SWOT analyses are likely incomplete and in many cases could be more detailed. There are other factors that could be relevant for these subjects, such as the character of the local business and resident base, a wide range of (pre-COVID) trends that are impacting the sports, entertainment, and events industries, the development of new venues, and presumably other factors that could be considered strengths, weaknesses, opportunities, and threats of the stadium.
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2.2 Assessment of the Plan’s description of Levi’s Stadium’s position in the local and regional market and utilization of that positioning to guide marketing strategies. Summary of Plan Contents There is very little information in the Plan regarding the stadium’s local/regional competitive position, and how its positioning guides marketing strategies. There is reference to Levi’s Stadium being the only NFL stadium in the Bay Area and that it has significant square footage for large private groups. Analysis of Plan Contents However, there is no discussion of variables that impact its competitive position, such as: o Definitions of the local and/or regional market (such as by geography or media market), for the purposes of various event types. It is expected that any facility will have an understanding of its market area(s) and their individual components, particularly once it has operating history. Methods of determining market areas can be through demographic analysis, discussions with partners such as promoters, media, ticketing platforms and other facility users, analysis of past event data, and others. Data from past ticket sales can show penetration by geographic area and any changes over time, and the resulting distances that people are willing to travel for stadium events. This data can also be used to measure Return on Investment (ROI) on where marketing dollars were spent geographically. Demographic data can also be used to target specific event genres and other results. The collection and analysis of demographic data for which to determine target audiences is a standard venue marketing practice. Collected data is analyzed and used to determine the geographical location, interests, income levels, and discretionary spending patterns of audiences. This data guides marketing spends through the determination of how and where audiences consume content. Venues utilize this data to attract sponsorship partners and demonstrate ticket buying interest to promoters. o The presence of other facilities in the market that could compete with the stadium for various event types, such as: o Stadiums – while Levi’s Stadium is technically the only NFL stadium in the area, Oakland’s RingCentral Coliseum is a former NFL stadium (and current MLB stadium) that could potentially compete with Levi’s Stadium for events. Other non-NFL stadiums in the area, such as Oracle Park and PayPal Park, could also be relevant competitors, despite their smaller capacities. o Convention centers, hotels, and other similar event facilities – such as the Santa Clara Convention Center, hotels with significant meeting space, and other special event spaces. o How the stadium can, or does, compete with other facilities (such as on size, quality, location, price, amenities, and/or other factors).
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 6 o Relationships of the facility – and other local facilities – with partners (such as promoters) that could influence the competitive environment and the ability to attract and book events. For example, in a competitive environment, it is possible that a major promoter is already established in a market and either owns its own facility or has an exclusive relationship with a facility, which would impact that promoter’s ability to use, or interest in using, other facilities. It is also possible that an established promoter can route events around a market if they are promoting in nearby markets. But in general, a stadium operator’s relationships with promoters is a relevant factor in developing event opportunities, and strong relationships built over time will only benefit a facility. Promoters seek to do business with venue partners they can both trust and leverage. Possessing a good relationship and a pre-negotiated agreement with a promoter greatly increases a facility’s booking potential. The frantic pace of tour routing benefits a venue that understands what the promoter wants and how to leverage its own revenue streams to secure the booking. 3. Goals and Objectives 3.1 Assessment of how the Plan outlines goals, objectives, activities, timelines, milestones, resource requirements, and an implementation plan for each of the aforementioned key areas. Summary of Plan Contents The Plan lists many goals, objectives, activities, and milestones, such as the following (some of which are also mentioned in other sections of this assessment): o Goals and objectives: focusing on new and repeat business, increasing leads and bookings, creating packages for small events, increasing event profitability, improving relationships with event promoters and producers, enhancing the attendee experience, increasing the diversity of ticketed events, reviewing the (since changed) curfew policy, and others. o Activities: focus groups, creating an improved bidding process, various networking initiatives, creation of the Major Events Leadership team, and others. o Milestones: the number of non-major event attendees and the number of certain types of events, increased attendance at major events, the share of repeat clients, and others. Analysis of Plan Contents There is little to no discussion of timelines, resource requirements, or implementation plans for the items listed above, and goals and objectives are vague. Without these measures of accountability, it is difficult to gauge the future success of any listed goals and objectives, or the benefit of any activities undertaken. In addition, while various milestones are mentioned in the Plan, there is no information (such as historical numbers, expectations, budgeted amounts, industry norms, etc.) that provides broader context over time to better understand the results. Any proprietary Stadium Manager data can be shared with the Authority in a non-public document.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 7 While public- and private-sector entities may have different goals through a public/private partnership, it is important to have goals that are measurable and reflect each side’s needs and desires, in order to guide policy, staffing, strategic direction, the investment and allocation of resources, and expectations and accountability. 4. Marketing Strategy 4.1 Assessment of how the Plan utilizes research and data-based strategies to inform approaches to increase revenue. Summary of Plan Contents The Plan describes various research and data that have been utilized with the goal of increasing revenue. These include the use of CRM software, the use of past event data, the Executive Huddle data center, tracking of external ticket data, A/B testing, and others. This research and data are commonly used in the industry. The Plan also lists strategies that have been employed as a result of the Stadium Manager’s research, such as targeted marketing campaigns based on past event data and A/B testing, dynamic pricing for tickets and event spaces, the improvement of the F&B experience based on attendee surveys, the creation of event packages for small events, and others. Analysis of Plan Contents While the Plan mentions that the intent of various activities, strategies, and initiatives are to increase revenue, there is no identification or quantification of current revenues or future goals for increases. Without revenue reporting, annual sales benchmarks cannot be established, year-over-year sales growth cannot be measured, and the ROI from marketing spend cannot be determined. There is also no mention of timelines for reaching any goals, or specific quantification of any actual results and whether they met goals or budgets. (As examples, the Plan describes that marketing campaigns led to additional event bookings but provides no context on whether the number of events was considered a success, met any goals, etc.; also, that dynamic pricing was employed to increase usage of underutilized spaces but it is not known whether the strategy was a financial success.) As described above, it is important to have goals and accountability, particularly as it relates to revenue. In order to do this, historic, current, and projected/budgeted amounts must be identified and agreed upon, in order to define goals and associated timelines, as performance (or lack thereof) should influence future decisions, strategic shifts, investments, and allocations.
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4.2 Assessment of the Plan’s recommendations for future market positioning. Summary of Plan Contents As described in the Venue Positioning section, the Plan includes little discussion of the stadium’s competitive environment; however, without context of the stadium’s current and expected future market positioning, there is discussion of multiple ways in which the stadium can take advantage of its strengths and opportunities, improve its offerings, and minimize weaknesses, including the following (and others that are listed in other sections): o Addition of new event spaces (such as the South Club and a similar area in the stadium’s northwestern quadrant). o The use of dynamic pricing for rental rates and minimum spends, as well as for event tickets. o Improvement of the bidding process and creation of turnkey event packages. o Exploring the ability to host other types of major events, using the stadium and its infrastructure. o The use of Loaded Tickets to increase attendance and attendee spending. o Hosting recurring events and events with less risk. Analysis of Plan Contents While all of these initiatives appear worthy, it is difficult to connect them to a specific stadium need or measure their effectiveness due to the lack of other information, as previously described. 4.3 Assessment of how the Plan evaluates, benchmarks, and measures the success of its marketing strategies/expenditures of marketing funds for ticketed and non-ticketed events. Summary of Plan Contents As previously described, there is little to no measurement of success of any of the Stadium Manager’s activities and initiatives, or areas of focus/improvement. There are general references to results (such as the number of events and attendees, repeat business, etc.) but no specific targets for accountability. There is also little detail regarding marketing strategies. Analysis of Plan Contents Marketing strategies could include whether marketing various types of events are targeting the correct audience, development of a stadium brand, how well the 49ers’ audience and database compare and contrast to those of past and potential major stadium events, and others.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 9 In addition, while there is reference to activities that clearly require the expenditure of marketing funds (such as hosting and traveling to industry and networking events), there is no discussion of amounts spent, expected/budgeted vs. actual results, or ROI. As an example of ROI, was the expense of participating in an industry trade show worth the investment? Should the Stadium Manager invest more, less, or decline to participate in the future? Operating on a static annual marketing plan, in which investments are made without regard for return, will produce diminishing results. To properly budget and target marketing spends, a measurement of marketing performance is required. Previous sections above address the importance of having measurable goals, whether they relate to usage, customer service, revenues, expenses, and/or ROI. (We understand that the Stadium Manager has the ability to share sensitive information in a proprietary, non-public document.) Also, as previously described, without the ability to identify actual and budgeted amounts spent, ROI, and any other quantifiable measures, it is not possible to ensure that funds are being spent or allocated appropriately, which has implications for broader strategic direction. And in the case of a publicly-owned asset, it can be important to communicate how the stadium is performing relative to expectations. 4.4 Assessment of how the Plan outlines a roadmap for creative execution across traditional and digital platforms. Summary of Plan Contents As previously mentioned, there is little information in the Plan regarding goals, timelines, and execution; however, there is discussion of various initiatives that utilize traditional and digital media, such as: o The general use of social media and email (as well as gift baskets) to connect and stay in contact with potential clients. o The development and maintenance of a LinkedIn page for special events, as well as a quarterly newsletter. o Facebook ad campaigns. o Improved website sales collateral. o Promotion of major events on signage at 49ers games. Analysis of Plan Contents The success of these initiatives, as well as any costs and ROI, are not identified in the Plan. The presumed costs associated various initiatives range from hundreds of dollars for Facebook ad campaigns, to thousands for website sales collateral, to tens of thousands for client gifts and the promotion of major events on signage at 49ers home games. Without established Key Performance Indicators in place or Return on Ad Spend (ROAS) analysis, it is impossible to determine if these initiatives are successful. In addition to the hard marketing costs, the investment of the Stadium Manager’s staff to self-produce
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 10 initiatives like social media content and a quarterly newsletter must be measured to determine if these efforts are a good use of paid time. 4.5 Assessment of the Plan’s media schedule and marketing budget. Summary of Plan Contents Beyond initiatives described above, the Plan does not address strategies for media outreach or associated budgets, nor greater detail such as outreach via specific channels or types of marketing categories. Analysis of Plan Contents We believe this type of information can be expected to appear in such a Plan. Similar to our analysis of Section 4.4, it is crucial in strategic planning, allocation of resources, and determination of ROI. 5. Research and Data 5.1 Assessment of the quantitative and qualitative market research for each of the target audience segments in the Plan. Summary of Plan Contents The Plan references a desire to attract more diverse events and audiences to the stadium, and that the Stadium Manager is in the process of better understanding its market and what the community wants. While we have not assessed the 2019 Plan, we are aware that it references the 2018 launch of the Levi’s Stadium Special Events (LSSE) logo under the (existing) Levi’s Stadium brand. Also, the 2020 Plan recaps the 2019 LSSE marketing achievements of creating a sales kit with 360-degree photos of event spaces, a virtual tour of the stadium, and the creation of a LinkedIn business page. Analysis of Plan Contents However, despite the stated desire to attract more diverse users, there is no detail regarding market research that will achieve this (or other goals), including but not limited to demographics and market reach. In addition, there is no reference to any type of Levi’s Stadium branding campaign or how to broadcast/market it. Branding that is specific to the stadium is needed to create a unique event destination identity for the venue, separate from the NFL tenant. And despite the LSSE marketing initiatives, the 2020 Plan does not mention a marketing campaign, sales tools, or guides, such as a comprehensive Promoter or Technical guide for the Major Events business. Also, in general, while the Stadium Manager’s access to the 49ers’ database can help to generate ticket sales for major events, this database is likely not adequate to generate sufficient ticket sales for most major
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 11 non-sporting, non-NFL events. While we have not had access to the 49ers’ databases, according to research, the 55+ age demographic represents the largest percentage of NFL fans (37%), and the second-largest group is 35 to 54 (34%). This older NFL demographic does not align with the younger demographic for festivals (average age of 32) and many concerts. In addition, the ethnicity of the average NFL fan (77% Caucasian, 15% African-American, and 8% Hispanic) does not align with events such as international soccer matches or ethnic music festivals, or of the surrounding Santa Clara/San Francisco market in general. Every market has its own unique characteristics, and these need to be explored in order to attract the right events and maximize their chances for success. 5.2 Assessment of the Plan’s quantitative and qualitative performance measures and their correlation to data-driven decisions. Summary of Plan Contents As previously mentioned, aside from references to results such as a number of events held or labeling an initiative a “success,” there is little information in the Plan that provides either quantitative or qualitative performance measures, or their connection to strategic decisions that led to initiatives. As an example, the Plan states that “Levi’s Stadium is proud of the high percentage (52% in 2019) of repeat business year over year,” but there is no context – such as a goal or previous results – that allows this performance to be measured as a success. Analysis of Plan Contents In previous sections above, we discuss the importance of having specific performance measures and their role in strategic planning, allocating resources, and quantifying ROI. 5.3 Assessment of the Plan’s Key Performance Indicators and their alignment to marketing performance. Summary of Plan Contents The Plan references various measures of performance, such as number of events and attendees, share of repeat business, and certain survey results. While these are the types of results (among many others) that could be considered KPIs, it is difficult to measure any results due to a lack of information regarding budgets, goals, industry expectations, or prior results. Managing with the use of KPIs requires setting targets and tracking progress against those targets. The Plan presents some KPI leading and lagging indicators, such as the number of tradeshows that the Special Events sales team attended and the resulting one-on-one client meetings and stadium visits.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 12 Analysis of Plan Contents Despite the references to certain results, the Plan is incomplete, as it does not provide needed information that would connect results to underlying strategies (for example, the amount of sales generated directly from the trade show initiative). 5.4 Assessment of the Plan and Stadium Authority’s KPIs and their alignment to fiscal decision-making related to staffing, marketing expenditures, and ROI. Summary of Plan Contents Similar to other components of this assessment, there is little information that is responsive to this point. As previously mentioned, aside from references to certain results without broader context, there is little to no information regarding true key performance measures, their connection to strategic decisions, or expenditures and ROI. Analysis of Plan Contents We believe that it is appropriate for the Authority and Stadium Manager to have agreed-upon KPIs, and we are aware that the Authority has proposed various KPIs to be adopted by the Stadium Manager but that there are currently no formal KPIs. 6. Other Information Per the defined scope of work, we have only reviewed the Plan and we have not obtained feedback from external sources or reviewed additional documents in order to supplement the information contained within the Plan. Input from stakeholders such as event promoters, agents, and managers; representatives of other stadiums and other industry contacts; and review of Levi’s Stadium data such as ticket sales reports, event settlements, contracts, and others would assist in the ability to provide specific recommendations regarding assessment of factors such as the competitive environment and the stadium’s operations, and to help increase stadium usage and financial performance. In addition to our findings described above, and based solely on the information in the Plan, the following factors, among others, could potentially account for the stadium’s level of non-NFL usage and revenues (particularly for major events): o Specifics of deal terms agreed to between the Stadium Manager and stadium users. o Relationships with partners such as promoters and others in the industry. o The experience and skill of the Stadium Manager and its key employees.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 13 o Multi-year trends that show the geography of ticket sales (for example, whether the stadium draws sales from populated areas of the market that need to be reached, and whether this has changed over time). o Is the stadium’s location and/or accessibility a factor that limits event bookings? o The influence of new venues outside of the local market area that could also be competitive to Levi’s Stadium. o The desire or need for the Stadium Manager to promote major events (and therefore assume more risk and reward) vs. rent the stadium to outside promoters. o The influence of labor costs in the Bay Area on the ability of an event to be financially successful. o The past impact of curfews on event bookings (although this issue has been resolved for the future). o Whether event revenues to be shared with the Authority are being diverted to other entities. o Whether stadium infrastructure (such as points of sale) limits the ability to generate revenues that are typically expected from this type of facility. o The reputation of the stadium within the industry (such as promoters, agents, managers, and artists). In addition to the above and other items provided in this assessment, other actions could further help to increase stadium usage and measurement of results in the future, such as: o Adoption of mutually-agreed-upon Authority KPIs. o A general and mutual understanding of event, competitive, and other dynamics that influence the ability of the facility to both attract and successfully host events. o Agreement on the content to be provided in future Plans. o Assessment of the stadium’s physical condition or benchmarking to other similar stadiums, and any needed capital improvements. o Potential partnerships with nearby facilities, use of stadium grounds, or development of new facilities onsite. Overall Assessment In general, the Plan documents the intent of the Stadium Manager to incorporate many best sales practices and trends in the industry, in both the special event and major event business lines at Levi’s Stadium. As examples, the appointments of a Chief Revenue Officer and special events Business Development manager, the integration of a CRM system, dynamic pricing, establishment of the special events LinkedIn business page, development of the South Club, creation of turnkey sales packages, and the intent to
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 14 develop smaller and more intimate events indicate that the Stadium Manager is following industry trends and seeking to expand its major and special events business to a wider audience. However, while the plan hints at sales successes, it fails to quantify how marketing initiatives provide a ROI. Without data and context, and more comprehensive information in general, it is impossible to determine if the Stadium Manager’s strategies and initiatives are properly targeted or provide ROI, or to apply any measures of accountability. This lack of information makes the Plan incomplete in many ways. 2021 Marketing Plan Assessment
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 16 This section summarizes our assessment of the 2021 Plan, by subject. When no new or additional information was provided in the 2021 Plan compared to the 2020 Plan, we refer to our assessment of the 2020 Plan. 2. Venue Positioning 2.1 Evaluation of the Plan’s strategic assessment of clients, business trends, and strengths, weaknesses, opportunities, and threats (SWOT). Summary of Plan Contents The Plan addresses a number of matters that are responsive to these subjects. As COVID created a unique environment, many of the points mentioned in the Plan could be included in multiple categories (i.e. as both a threat and weakness, or a threat and opportunity). For example: o Assessment of clients – the client survey that was created in August 2020 in response COVID was an attempt to begin to understand how they were responding to COVID in regards to their events and facility usage. o Business trends – clearly, the impact of COVID was the overarching trend for live sports and entertainment venues in 2020 and 2021, and the Stadium Manager responded to this trend in multiple ways. Other trends that were created by COVID and addressed by the Stadium Manager, as described in the Plan, include the creation of hybrid (live and virtual) event packages and the increasing amount of turnover in the industry. o Strengths, weaknesses, opportunities, and threats: o Strengths: there is little reference to stadium strengths in the Plan, aside from having large and outdoor event spaces that could potentially be utilized during COVID; however, any live event venue had very few strengths in 2020. To the extent that they can be considered strengths, COVID did create certain new opportunities for venues (as described below). o Weaknesses: in addition to the obvious COVID-related weaknesses of the stadium, the Plan references its (then) curfew policy. o Opportunities: in response to COVID, opportunities were created for the Stadium Manager, including taking advantage of the facility’s outdoor spaces, the potential for virtual events, being well-positioned to host events once restrictions are lifted, and the ability to start working with the new Discover Santa Clara. o Threats: beyond the overarching threat of COVID, more specific threats referenced in the Plan include the loss of events and the difficulty in being able to agree to profitable event terms under the restrictions, the difficulty in reaching out to clients because of COVID (as well as their own employee turnover), the expected increase in competition for booking events in 2022 and 2023.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 17 In addition to the items described above, others can be considered an opportunity resulting from the threat of COVID. These include the ability of the sales team to focus on increasing future bookings and focusing on alternative ways to connect with clients and potential clients. Analysis of Plan Contents As it relates specifically to COVID, it appears that the Stadium Manager had an appropriate response to the challenging environment and the resulting uncertainty, as it is described in the Plan. However, despite the needed emphasis on COVID-related issues, items that we referenced as missing in the 2020 Plan were also not included in the 2021 Plan. 2.2 Assessment of the Plan’s description of Levi’s Stadium’s position in the local and regional market and utilization of that positioning to guide marketing strategies. Summary of Plan Contents As with the 2020 Plan, there is very little information in the 2021 Plan regarding the stadium’s local/regional competitive position, and how its positioning guides marketing strategies. However, without an understanding of the stadium’s competitive position, there is reference to marketing strategies: a strategic communication plan to reintroduce the stadium to local and national clients, working with Discover Santa Clara, and outreach to promoters and the industry. Analysis of Plan Contents Please see our analysis of the 2020 Plan. 3. Goals and Objectives 3.1 Assessment of how the Plan outlines goals, objectives, activities, timelines, milestones, resource requirements, and an implementation plan for each of the aforementioned key areas. Summary of Plan Contents The Plan lists many COVID-related and -induced goals, objectives, activities, and milestones, such as the following (some of which are also mentioned in other sections of this assessment): o Goals and objectives: three “key initiatives to help grow the business and drive revenue”: rebook canceled and lost events, create a strategic communication plan, and work with Discover Santa Clara. In addition to these that are highlighted, a number of others are referenced, including focusing on business development and increasing the client base, guest satisfaction, and building the stadium’s brand; evaluating the possibility of hosting creative, small-capacity and socially-
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 18 distanced events as well as other new event types; creating new revenue-generating opportunities; working with the (then) curfew policy, proactively marketing to promoters and other partners, leveraging past event data, monitoring the external ticketing marketplace; and strengthening relationships with clients. o Activities: include personal check-ins and educational calls with clients (and in general, connecting with clients rather than booking events), working with clients to postpone events and keep them in the pipeline, creating event packages in response to health guidelines and industry standards (including hybrid events), distributing a client survey, creating a database of all potential major events, and refining processes and documents related to the bidding process. o Milestones: multiple milestones are referenced, including the number of LinkedIn followers and views, client touch points, new prospects identified, the percent of events postponed, and the number of events booked prior to COVID. o Implementation plan – the Plan references that the sales team will “embark on a grass roots sales campaign” in 2021 and that it “will be given goals” relative to its activities and results. Analysis of Plan Contents Aside from the reference to the sales team’s 2021 campaign and the development of associated goals, there is little to no discussion of timelines, resource requirements, or implementation plans for the items listed above, and goals and objectives are vague. The Plan references that “the Stadium Manager will achieve the optimal outcome for the business, Stadium Authority revenue and community engagement” without defining any of these outcomes. Aside from this, please refer to our 2020 assessment. 4. Marketing Strategy 4.1 Assessment of how the Plan utilizes research and data-based strategies to inform approaches to increase revenue. Summary of Plan Contents Similar to the 2020 Plan, the 2021 Plan describes various types of research and data that have been used to attempt to increase revenue. This includes detailed research on companies that could become stadium event clients, improving systems and documents related to the bidding process, and using analytics to monitor external ticket markets.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 19 Analysis of Plan Contents Aside from various references to results that could potentially increase revenues (such as the number of events booked and client touch points), there is no identification or quantification of current revenues or future goals for increases. For additional analysis, please see our 2020 assessment. 4.2 Assessment of the Plan’s recommendations for future market positioning. Summary of Plan Contents Similar to the 2020 Plan, without context of the stadium’s current and expected future market positioning, there is reference to multiple ways in which the stadium can take advantage of its strengths and opportunities, improve its offerings, and minimize weaknesses, including the following (and others that are listed in other sections): o As previously mentioned, the Stadium Manager indicated that it would “focus our efforts on business development, continued guest satisfaction, and building the Levi’s Stadium brand as a global entertainment venue.” o Creating a strategic communication plan to reintroduce the stadium to local and national clients. o Exploring hosting new and creative types of events, particularly smaller and socially-distanced events in response to COVID. o Proactively marketing to event promoters. Analysis of Plan Contents Please see our analysis of the 2020 Plan. 4.3 Assessment of how the Plan evaluates, benchmarks, and measures the success of its marketing strategies/expenditures of marketing funds for ticketed and non-ticketed events. Summary of Plan Contents The 2021 Plan references the need to expend marketing funds (for reintroducing the stadium to potential clients and promoters, via methods such as digital advertising, prospecting and industry events, gifts, printed collateral, and entertainment) and for a separate initiative, that the sales team will be given goals. However, there is no detail regarding amounts to be spent or specific goals. Analysis of Plan Contents Please see our analysis of the 2020 Plan.
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4.4 Assessment of how the Plan outlines a roadmap for creative execution across traditional and digital platforms. Summary of Plan Contents The 2021 Plan references various initiatives that utilize traditional and digital platforms, such as the use of various forms of media to stay in contact with clients and potential clients and the plan to spend marketing resources through digital and traditional methods. Analysis of Plan Contents Please see our analysis of the 2020 Plan. 4.5 Assessment of the Plan’s media schedule and marketing budget. Summary of Plan Contents As described above, the 2021 Plan makes reference to the need for a marketing budget for various purposes, without additional information regarding a media schedule or amounts to be spent. (However, we understand that the Stadium Manager separately provided a marketing budget to the Authority, based on the Authority’s request.) Analysis of Plan Contents Please see our analysis of the 2020 Plan. 5. Research and Data 5.1 Assessment of the quantitative and qualitative market research for each of the target audience segments in the Plan. Summary of Plan Contents Similar to the 2020 Plan, the 2021 Plan references a desire to attract more diverse events and audiences to the stadium, with no detail regarding market research. Analysis of Plan Contents Please see our assessment of the 2020 Plan.
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5.2 Assessment of the Plan’s quantitative and qualitative performance measures and their correlation to data-driven decisions. Summary of Plan Contents Aside from references to certain results (as described above), there is little information in the Plan that provides either quantitative or qualitative performance measures, or their connection to strategic decisions that led to initiatives. There are references to strong booking levels through early 2020, with specific numbers provided, but aside from limited comparisons to the previous year, there is no context from which to measure this performance or its correlation to strategic decisions. Analysis of Plan Contents Please see our analysis of the 2020 Plan. 5.3 Assessment of the Plan’s Key Performance Indicators and their alignment to marketing performance. Summary of Plan Contents As described above, the 2021 Plan mentions various measures of performance but aside from limited comparisons to prior results, there is no information that allows for measurement of results relative to budgets, goals, or industry expectations. And similar to the 2020 Plan, with little detail regarding marketing strategies, we cannot connect any results to underlying strategies. Analysis of Plan Contents Please see our analysis of the 2020 Plan. 5.4 Assessment of the Plan and Stadium Authority’s KPIs and their alignment to fiscal decision-making related to staffing, marketing expenditures, and ROI. Summary of Plan Contents Similar to the 2020 Plan, there is little information that is responsive to this point, as there are no formal KPIs and no information regarding how results are tied to various strategies or resource expenditures. However, in the most general terms, the Plan mentions the Stadium Manager’s use of event revenues as a measurement of success in its ongoing strategic decision making, and how these results can influence potential changes in strategy.
Santa Clara Stadium Authority – Levi’s Stadium Marketing Plan Assessments 22 Analysis of Plan Contents Please see our analysis of the 2020 Plan. 6. Other Information Please see our analysis of the 2020 Plan. Overall Assessment In general, much of the new information provided in the 2021 Plan (compared to the 2020 Plan) described the Stadium Manager’s response to COVID. We believe that the specific actions described by the Stadium Manager, to mitigate the loss of business and to protect future business, were appropriate. However, the 2021 Plan also lacks the type of detail, data, context, and accountability as described in our overall assessment of the 2020 Plan.