Entries with the tag: ticket prices
We all know that the NHL is a gate-driven league, and that depending on which market you’re in, tickets can be extraordinarily high. It’s all supply and demand, and what many North American pro teams have done is partner with TicketMaster to create what is in essence a legalized scalping system. It’s generally known as TeamExchange, though some teams have branded it something different, like the Sharks and their Power Play Ticket Trader.
How does TeamExchange work? While much of it is driven by supply and demand (you’re not going to find many, if any, of these tickets for teams that aren’t regularly sold out), there is a model to help the rich teams get richer. It’s important to note that this isn’t necessarily a club-specific way to gouge the fan; it’s just the way tickets are going in pro sports and live events in general. In other words, this isn’t something to blame a certain team or a certain league or a certain commissioner about (but feel free to if you want.)
When you see a headline like “Sports bosses say economy forces more price cuts,” one has to be skeptical. But some part of hell has frozen over as the New York Yankees are actually cutting ticket prices.
The average price of a home-game ticket for a Yankees fan this season, for example, will run about $72.97, up more than 75 percent from last year, according to research firm Team Marketing Report.
Across sports, even more cuts could be coming as teams reverse the increases they put in place to help pay for expensive new arenas and stadiums.
“There are going to be adjustments based on the economy. We’ve seen that in our teams,” David Stern, commissioner of the National Basketball Association, said at a panel discussion hosted by The Wall Street Journal. “They’ll do fine, but they’ll do less. As we come through the economy, I think there will be some re-pricing mechanism built in.”
Now, all of the head honchos are saying the right thing about adjusting for the economy, but really, what are they going to do? I’m no expert on the business machinations of the NFL, NBA, and MLB, but for the NHL, teams dictate their own prices based on supply and demand. And because of that, a handful of markets are actually raising prices. James Mirtle’s got a nice table that shows what’s going on; you can see that the bulk of teams are freezing prices, a few are lowering them, and some are undecided.