A New Foreign Owner of Liverpool Football Club About How the Club's Coursework

A New Foreign Owner of Liverpool Football Club About How the Club's Fans Might Be Segmented - Coursework Example The owner also plans to find out the appropriate ways of reaching out to their segmented and targeted fans. The present economic crises, the heavy debt of the club and the growing expenses have called for the need of steady revenue generation which could only be attained with the help and support of the loyal fans of the club. Table of Contents Abstract 2 Introduction 4 Brief Background of the Issues 5 Analysis of the Issues 6 Conclusion and Recommendations 9 Summary 10 References 11 Bibliography 13 Introduction The Liverpool Football Club was acquired by John W. Henry in the year 2010 and he is now the present owner of the club. The present owner has been planning to categorize the fans of the club in terms of marketing segmentation. Along with the segmentation, the owner is also planning to look and develop strategies that would help the club to reach those segmented fans. Targeting the fans was important so as to boost the sales of the club which was considered important for meeti ng up the expenses of the club as well the dues. The club was already under a heavy debt and its increasing expenses in terms of holding on and maintaining the players and also the alterations in the codes of tax have compelled the owners to seek for ways so as to augment the revenues. The club has a stadium which is situated in Liverpool itself and is also pursuing the construction of an additional one (This Is Anfield, 2011). Segmenting the fans and seeking for efficient strategies to reach them would prove to be helpful for the club to build strategies which in turn is most likely to generate revenue from them (Westerbeek & Smith, 2003). Brief Background of the Issues The recent economic crisis made it clear that professional football was in jeopardy. The football clubs that were considered as over-committed could not escape from the shackles of this crisis. This made the stakeholders realize that the clubs should be operated or functioned like financially sound trading companies rather than recreational units (Butenko, 2010; Boyle & Haynes, 2004). It was identified that a football club which had a strong support was not considered to be a throwaway company with regard to other industries. The football clubs, in order to survive the economic crisis, meet up with the rising expenses and maintain their honored reputation, required the strong support of their loyal fans. It has become a fact that the gap between the supporters and the clubs has been augmenting which was posing to be a great challenge for the clubs to earn revenue. Therefore, it has become vital for the clubs to deal with the increasing distance on an urgent basis so as to keep on the supporters pouring in. This would facilitate the clubs to establish an indispensable source of financial support which would help the clubs to overcome the present crisis as well as earn enough proceeds needed for the functioning of the clubs (Garland & Et. Al., 2000). The Liverpool Football Club was observed to e ncounter a similar problem in terms of earning revenue and meeting its expenses as well as existing liabilities. The necessity of revenue generation made the owners of the club plan to segment their fans in terms of marketing and seek suitable ways of approaching them (This Is Anfield, 2011). Analysis of the Issues The Liverpool Football Club was already known to be in heavy debt while changing hands. The new owners of the club were responsible for meeting the debt liabilities along with the usual expenses of the club. Acquiring