LONDON JETS

London Jets Marketing Mission

The London Jets hockey team is the local, major sports franchise to a
city of 330,000 people. Chris Harris, marketing manager of single ticket
sales, has been tasked by senior management to increase revenue
within the next season or the team could be sold and relocated. Harris’
previous ad campaign had increased revenues, but been flat on profit
due to the cost of the campaign. Working off a customer database of
the sales from the last three years, Harris must develop an
individualized marketing strategy for single ticket customers.
Marginal Analysis
• Business customers constitute 17.6% of the customers in the
database
• The ratio of male to female customers is 1.9:1
• 40.3% of customers purchased tickets in 2001, the most recent
year
• 2.97 average numbers of seats per customer per game
• Highest amount of customers visited 1-3 games (1,805 customers)
• 3.3% of customers are fan club members
• 84.9% of personal customers have car
• Ticket prices per ticket ranged from $25 (min) to $70 (max), range
is 45
• Most customers pay $55 per ticket
RFM Analysis
RFM Analysis Findings

The RFM Analysis categorizes data surrounding 3 specific entries – recency,

frequency, and monetary. In other words, last transaction year and month (R),
number of games (F), and total sales (M). We want to focus on the 5-5-5 cell,
which contains customers that recently went to a game, attended the most
games in the last year, and spent the most money with the organization. 5-5-5
consists of 88 customers or 2.9% of the total customers. If this group can be
maximized, then revenues will increase.
The RFM cells with more than 140 customers far exceeded other cells in
terms of customers. The highest volume of customers is 158 in the R4, F2, and
M3 cell. These are customers that have recently been to a game, aren’t
frequently going, and don’t drive total sales. The highest concentration of
customers are located in the F1, M3, and R1-R3 cells, which exhibits the
struggling revenue of the organization. However, there is ample opportunity for
these customers to increase their frequency and money spent if they’re
targeted accurately and efficiently.
Additional Analysis – Fan Club
Count of
CustID Fan Club Member    
Grand
Num_Games 0 1 Total
1 802 13 815
2 339 7 346
3 333 8 341
4 217 3 220
5 233 6 239
6 238 3 241
7 135 28 163
8 50 26 76
9 13 1 14
10 8 1 9
11 5 3 8
Grand Total 2373 99 2472

Attendance of Fan Club Members vs Non Fan Club Members

0=non-member, 1=member
Additional Analysis – Fan Club

Based off the attendance comparison of fan club members

compared to non fan club members, there is not strong
enough evidence that the fan club increases attendance
rates. The fan club members are 3.3% of total customers,
which could be a reason there are not strong numbers
supporting attendance. We would recommend enhancing
the fan club membership benefits or canceling the fan club
and reallocating those resources elsewhere.
Conclusions from Analysis
Sum of
Tot_Sales   Marital Status    
Grand
Sex LastTransYear Married Single Total
Female 1998 42915 24895 67810
  1999 38590 24090 62680
  2000 57360 43485 100845
  2001 84455 54325 138780
Female Total   223320 146795 370115
Male 1998 57910 47510 105420
  1999 63820 36470 100290
  2000 163240 92250 255490
  2001 178610 119245 297855
Male Total   463580 295475 759055
Grand Total   686900 442270 1129170

Total Sales against Marital Status and Sex.

London Jets Recommendations

The table reveals that married females and males

spend more than their single counterparts.
However, males spend roughly double the amount
females spend both married and single. The
London Jets should target married customers,
especially married males since they spend the
most money.
 Conclusion
The London Jets have customers, but they do not have as much repeat business
as they need. The RFM analysis revealed that they had only 88 out of 3000
customers that were coded 5-5-5. The largest group of customers (158 customers)
are in a code of 4-2-3.

The attendance analysis of fan club members vs non fan club members revealed
that there is no strong correlation between attendance and fan club membership.
The fan club only comprises 3.3% of the customer base, which can be viewed as
an opportunity or a waste of resources. We recommend Harris and the
organization work to maximize the fan club benefits and membership, which will
enhance recency and frequency, and ultimately lead to monetary gains.

The sales vs marital and sex analysis revealed that married customers spend the
most, with males spending approximately double the amount of females, both
married and single.

Ultimately, we recommend revamping the fan club membership benefits and