Revenue management of sports stadiums are rather challenging due to several obvious reasons. Events/games are only held once a week, once a month, or even just couple times per year depending on the location and the functionality of the stadiums, which is why it is very important to implement sophisticated pricing strategies in order to maximize revenue on the days when events are held. Also, major sports teams’ stadiums are rarely rented out for purposes other than its own sports games (i.e. basketball, baseball, soccer…etc). Whereas other stadiums are used for various events such as music concerts and award ceremonies from time to time.
- Sports stadiums general info: http://en.wikipedia.org/wiki/Sports_stadium
- Stadium guides: http://www.stadiumguide.com/
There are significant differences between RM of sports stadiums compared to the more traditional sectors such as the airline industry. Whether you sit in the 10th row or the 20th row in Economy have minimal difference (there are, of course, differences between Economy and Business class). However, whether or not you sit in the far back row with limited view to the sports ground creates a world of difference to your overall experience when watching a sports game. Flying on a plane may be a part of your necessity to travel from A to B, but watching a sports game in a stadium is about the “experience,” and therefore the perceived value depending on the location of the seats vary immensely.
Implicit Use of Space
How are the space divided in sports stadiums?
- By location of seats
- Regular seats vs. Enclosed suites with multiple seats
- By supporting team
What are the common sources of additional revenue?
- Souvenir shops selling team-specific sports gears
- Most of the premier league soccer teams’ stadiums have museums and tours: visitors even come to the museum on non-game days as well. High numbers of tourists visit the museums in Western European countries
- Dining places (concessions)
- By renting the space for music concerts-picture (per event)
- By holding other sports events (i.e. Olympics)
- Media access charges
- Advertisement
How can companies split up the space differently?
- “Quiet” vs. “Loud” seats: I noticed that some sports supporters prefer to sit throughout the game whereas some people like to stand and cheer actively for their teams. Setting aside few rows in each section to those more reserved supports may be effective.
- Create more seat classes: frequent visitors (fans) are likely to be less sensitive to the ticket price, so companies can create more club seats (even create another class between the club seats) and add more varied classes depending on the location and the view from the seats.
Implicit Use of Time
How can companies sell the space explicitly?
- Selling tickets with time limits: This strategy can be very attractive for tourists visiting well-known stadiums or important games such as the World Cup. It would work quite well especially for soccer games. For example, customers will buy tickets for the first-half or and second-half o f the game which will be 45 minutes each. If the full-time ticket is $80, companies can charge $50 for customers purchasing 45-minute tickets.
- Companies can sell a specific seat at a certain stadium by year, month, or season (leasing private seats)
Price
What are the physical rate fences in sports stadiums?
- Location of the seat: proximity or the angle of the view to the sports ground
- Rates for suites differ based on the physical size of the space (maximum capacity): http://www.executiveclub.manutd.com/en.aspx (You’ll notice that almost all executive suites are sold out for this season despite the high rates)
What some of the non-physical rate fences?
- Purchases of tickets via third party sellers: http://www.worldticketshop.com/tickets/chelsea_tickets
- On-line vs. Ticket office purchases
- Club Membership status
- Season ticket holders
- Importance of events: For example, the average seat price for premier league games are more expensive compared to championship league games
- Performance of the teams
- Stadium’s location (accessibility) and the age of the facilities
How can companies generate additional revenue by using creative rate fences?
- Implement bundle selling: price per seat would be more expensive when purchasing one ticket compared to purchasing two or more tickets
- Early reservations should be entitled to discounts
- I believe that companies can start utilizing extensive Customer Relations Management (CRM) in the sports industry by using the personal data gained via increase in on-line ticket purchases and use direct marketing. Companies should implement other rate fences possibly based on the different personalities and characteristics of the customers.
- Companies can upsell those customers reserving suites by offering extensive catering options & extended time before and after the game for extra fee (most stadiums offer the suites per event currently)
- When the time gets closer to the actual day of the game, odd 1 seats that are left in between other reservations can be sold at more friendly rate
Hi, Neat post. There is an issue together with your web site in internet explorer, would test this… IE nonetheless is the market leader and a huge component to other people will leave out your great writing because of this problem. สมัคร ufabet
Sangat informatif, saya jadi tahu banyak hal baru. jok mobil jogja
Saya akan membagikan ini kepada teman-teman saya Jasa Fumigasi Ekspor
Hi, Neat post. There is an issue together with your web site in internet explorer, would test this… IE nonetheless is the market leader and a huge component to other people will leave out your great writing because of this problem. ufa
Setelah membaca ini, saya merasa lebih paham. Genset Genpac Open / Silent Perkins 1850 kVA GP1850
Sangat menarik, saya ingin tahu lebih banyak lagi. jasa penerjemah thailand
An fascinating dialogue is value comment. I think that you should write more on this subject, it may not be a taboo subject but typically people are not sufficient to talk on such topics. To the next. Cheers agencia de diseño web cdmx
pandangan saya telah terbuka DURALINK Double Pitch Conveyor Chains C 2062
Artikel yang sangat inspiratif, terima kasih! harga hidrolik cucian mobil
terima kasih Jasa Fumigasi Cikarang
Saya suka cara penulisannya, mudah dipahami. Genset Genpac Open / Silent Perkins 2250 kVA GP2250
avrupa iptv server
I have bookmarked your blog, the articles are way better than other similar blogs.. thanks for a great blog! apk nekopoi versi 2.1
hanfstecklinge kaufen
théme est correctement écrit. Et-il possible de reprendre du billet บอลสเต็ป
Hi, Neat post. There is an issue together with your web site in internet explorer, would test this… IE nonetheless is the market leader and a huge component to other people will leave out your great writing because of this problem. วิธีสมัคร ufabet
Just saying thanks will not just be sufficient, for the fantasti c lucidity in your writing. I will instantly grab your rss feed to stay informed of any updates. เว็บดูหนัง
SUKATOTO atau SUKATOTO adalah salah satu situs yang menyediakan link daftar dan login menuju slot gacor maxwin di Indonesia
Cannabis Samen
Positive Association: The smiling arrow fosters a positive emotional connection with customers, suggesting a seamless and enjoyable shopping experience with Amazon. amazon-logo
Informasinya lengkap, sangat membantu saya. jasa penerjemah rusia
Beyond its physical attributes, the samurai armor holds deep cultural significance in Japanese history. It became synonymous with the samurai, the noble warrior class of feudal Japan.
Saya suka cara penulisannya, sangat jelas. premium car wash terdekat
Sangat membantu, terima kasih banyak DURALINK Double Pitch Conveyor Chains C 2060 H
Terima kasih atas ilmu yang diberikan. premium car wash terdekat
Click and Get 199 Bonus Here
Fantastic post! Your insights on your article mare truly enlightening. I particularly resonateas it aligns perfectly with my own experiences. Your writing style is engaging, making complex concepts easy to grasp. Looking forward to more thought-provoking content from you in the future!
Artikel yang bagus, saya akan bagikan ke teman-teman. jasa penerjemah belanda
Informasinya sangat relevan dengan kebutuhan saya Jasa Fumigasi Cilegon
Saya suka gaya penulisannya, menarik. cuci mobil premium terdekat
terima kasih untuk artikel barunya DURALINK Double Pitch Conveyor Chains C 2080 H
güvenilir casino siteleri
Güvenilir casino siteleri, her geçen gün kendilerini yenileyerek Türkiye deki bahis severlerin ilgisini çekmeyi başarır
#To know about more visit our website: https://guvenilircasino-siteleri.com/
Sangat membantu, saya jadi lebih paham. cuci mobil premium terdekat
Informasinya lengkap, terima kasih banyak! jasa penerjemah china
overall experience Jasa Pembuatan Logo Perusahaan watching a sports game
However, whether Jasa Desain Logo Profesional or not you back row with limited
info yang tidak dapat saya abaikan, terima kasih Jasa Fumigasi Perpustakaan
Sangat menarik, saya suka dengan kontennya. cuci jok mobil terdekat
casino siteleri güvenilir
Güvenilir casino siteleri, her geçen gün kendilerini yenileyerek Türkiye deki bahis severlerin ilgisini çekmeyi başarır
#To know about more visit our website: https://guvenilircasino-siteleri.com/
I enjoy the efforts you have put into this, thanks for all the great articles. Escort Service in Mukherjee Nagar
Artikel yang bagus, terima kasih atas ilmunya. Genset Genpac Open / Silent Mitsubishi 2000 kVA GMI2000
Saya akan merekomendasikan ini kepada rekan-rekan saya REMA TIP TOP SC 2000 Lem Conveyor Belts + Hardener
Saya suka cara penulisannya, jelas dan ringkas. penerjemah korea
Sangat informatif, saya suka dengan gaya penulisannya. harga hidrolik cuci mobil
terima kasih untuk kabar barunya Pembasmi Rayap Jakarta
Superbly written article, if only all bloggers offered the same content as you, the internet would be a far better place.. slot5000 gacor
Terima kasih sudah berbagi informasi yang berharga. Genset Genpac Open / Silent Mitsubishi 1900 kVA GMI1900
Sangat informatif, saya akan bookmark halaman ini TRP Roller Chains RS 120-2
Truly, this article is really one of the very best in the history of articles. I am a antique ’Article’ collector and I sometimes read some new articles if I find them interesting. And I found this one pretty fascinating and it should go into my collection. Very good work! 뉴토끼
sophisticated Jasa Pembuatan Logo Brand pricing strategies in revenue on the
saya suka sekali penulisan kalimat yang rapih Jasa Pembasmi Kecoa Jakarta