by

Sports Stadium RM

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.

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

Club-level seats

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

Chelsea Megastore within Stamford Bridge stadium

Chelsea Museum located within Stamford Bridge stadium

Sports stadium being utilized as a concert venue

 

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

 

 

 

 

18,714 thoughts on “Sports Stadium RM”

  13. SIHOKI: Register, Login, and Play on Mobile and PC with the Best Alternatives

    In the rapidly developing digital era, online betting has become a popular entertainment for many people. SIHOKI is one of the leading betting platforms in Indonesia that offers an interesting and fun betting experience. What sets Sihoki apart is its willingness to offer easy and flexible access, both via your mobile device and PC.

    Register Easily :The registration process at Sihoki is very easy and fast. You just need to fill in some basic information and in a few simple steps, you will have your personal account. Apart from that, Sihoki also provides an alternative login at the IP link daftar
    which allows you to enter your account more quickly and easily.

    Login on Mobile and PC:One of the superior features of Sihoki is its ability to provide access to mobile devices and PCs. Whether you are on the go or at home, you can easily access the Sihoki site and start playing. This gives players the flexibility to enjoy the game whenever and wherever they want.

    Best Alternative :Sihoki always tries to provide the best alternatives to its players. With easy login and access alternatives only here, you don’t need to worry about technical problems interfering with your gaming experience. With Sihoki, you can focus on your betting and enjoy the game without any obstacles.

    Enjoy the Sensation of Online Betting: Whether you are a fan of sports betting, casino games or other games, Sihoki has a variety of gaming options that you can enjoy. With tempting winning opportunities and attractive bonuses, Sihoki is ready to provide an unforgettable betting experience.

    So, if you are looking for the best online betting platform that offers easy access on mobile devices and PC, Sihoki is the perfect choice. Join now, register, log in and enjoy the game with the best alternative at Sihoki. Luck is in your hands, and Sihoki is ready to help you achieve it.
    Website:http://67.223.118.110/

  15. Diva4d adalah agen toto gelap online terbaik dan terlengkap yang dapat memenuhi semua kebutuhan Anda dalam bermain togel online. Dengan reputasi yang sudah terbukti, Diva4d menawarkan pengalaman bermain yang aman, nyaman, dan menyenangkan bagi para pemainnya.Bagi Anda yang ingin bergabung dengan Diva4d, proses pendaftaran sangatlah mudah. Cukup kunjungi situs resmi Diva4d dan klik tombol “daftar diva4d” untuk membuat akun baru. Isi data diri Anda dengan lengkap dan benar, kemudian konfirmasi email Anda untuk mengaktifkan akun. Setelah itu, Anda sudah siap untuk memulai petualangan bermain togel online di Diva4d. Diva4d

  26. You might comment on the order system of the blog. You should chat it’s splendid. Your blog audit would swell up your visitors. I was very pleased to find this site.I wanted to thank you for this great read!! Microsoft 365

  37. This is truly a great read for me. I have bookmarked it and I am looking forward to reading new articles. Keep up the good work!. slot 777

  39. okeplay777

    Okeplay777 adalah situs paling gacor dan terpercaya di Indonesia dengan RTP tertinggi dan akurat. Dengan terdapat macam-macam game yang seru dan menguntungkan kamu dapat melipat gandakan uang kamu. Hanya dengan modal puluhan ribu kamu bisa mendapatkan keuntungan hingga mencapai jutaan rupiah. Ayo segera bergabung di Okeplay777 jangan sampai ketinggalan!!!
    #To know about more visit our website: https://anpeite.com

  43. They’re produced by the very best degree developers who will be distinguished for your polo dress creating. You’ll find polo Ron Lauren inside exclusive array which include particular classes for men, women. usaupnews

Leave a Reply

Your email address will not be published. Required fields are marked *