The marketing of the Olympic Games promotion requires enormous efforts to ensure that there is a break-even point. To host Olympic Games requires that a country proves that it has not only enormous but also sufficient capital to meet the expenses. First and foremost, the country has to spend a huge capital outlay to build the required infrastructure such as stadiums and pavements for people to walk.
Capital is also required to hire additional security personnel who will beef up the security and safety of the people who are attending the event. Large gatherings may be prone to terror attacks hence the need to beef up the security. In order to recover the investments that have been made to host the Olympics event, the event has to generate sufficient revenue from its ticket sales that will enable them to break even. In order to achieve this, the Head of Ticketing would have to come up with methods and approaches that are aimed at maximizing the revenues from ticket sales.
For instance, given these two outcomes—exceeding his ticket revenue targets by $50 million with 70% attendance or coming up short by $50 million with 90% attendance, Williamson should take the former since it ensures there is maximum profit margins from ticket sales. Williamson should also consider hiring various reputable public relation (PR) firms to handle the PR nightmare from the ticketing business. The advantages of this strategy would include:-
- The event will generate maximum revenues and profit margins/returns.
- There will be a break-even point in the capital expenditure and returns generated.
- There would be immense success in hosting the event in London since it will attract many tourists who are major foreign exchange earner in the country.
The drawbacks of this strategy include:-
- It would be a public relations nightmare in handling the sales of the ticket.
- It would require deployment of costly IT systems to manage the sales of ticket online.
- Selling tickets would not provide the much needed returns to break-even hence need to look for alternative sources of income.
The would be no difference in adopting the IOC hat in contrast to the LOCOG hat since they both represent the same brand which is the London Olympic Games. However, Williamson should adopt the LOCOG hat in its branding campaigns. The advantages of this strategy include:-
- It market the country, the United Kingdom whose capital city is London in good light since it builds the nation’s brand globally which might play a key role in attracting tourists and businesses.
- It will improve the relations of the United Kingdom with other countries through promotions and branding campaigns.
- It will boost the attendance of the event due to the reputation that the City of London enjoys globally as financial hub and cultural tourist attraction hub.
The drawbacks of this strategy will include:-
- The City of London will be seen as imposing superiority of itself over the Olympics event.
- It will require the city of London to pay royalty rights to the International Olympics Committee (IOC) which might be costly.
- London may be at the centre of criticisms as not all is sundry since cities have their own challenges.
Additionally, there would not be a significant difference if Williamson was the Head of the LOCOG or the Head of Ticketing since in both positions he would be tasked with ensuring the success of the event particularly in raising revenues through sales of tickets. Nevertheless, the IOC and LOCOG should consider appointing Williamson to head LOCOG. The advantages include:-
- He would act as a strategic leader hence ensuring that the processes and strategies run according to plan.
- He would be able to own the vision and command of the LOCOG thus driving it viciously.
- He would be able to manage the relationship between strategic units or departments such as PR, Human Resource and Sales and Marketing which would effectively improve cooperation and collaboration.
The drawbacks include:-
- It will create a central authority since Williamson is the sole leader which may lead to difficulties in adapting through various situations or circumstances.
- There would be bureaucracy in the decision-making process which may lead to slow decision-making process.
- There is potential of duplicating similar activities within the departments hence lead to inefficiency and wastage of resources.
Williamson would definitely feel no different in the occasions before, during and after the Olympic event since he would be faced with similar pressures of ensuring it runs smoothly and there is customer experience, satisfaction and retention. Williamson should ensure various strategies are crafted to ensure that the event remains relevant before, after and during the occasion. The advantages include:-
- It will build a strong image for the City of London on its capability to organize and host large international events such as the Olympics games.
- It will boost the international reputation of the United Kingdom as hub for peaceful activities.
- It will boost the international relations of the United Kingdom with other countries.
The drawbacks include:-
- It may be seen in the global arena as an act of Western Nations stamping their authority on political and economic influence and dominance.
- London may self-imposed standards and formalization that may lead to rubbing shoulders with other nations.
- This may be a complex operating environment as it may still require enormous resources to run.