Major Independent Study Fans’ Perceptions of Competitive Balance and Its Impact on Willingness-to-Pay for a Single Ticket: A Stated Preference Approach in relation to English Rugby Union and Rugby League. Russell White – c3388462 Leeds Beckett University Carnegie Faculty of Sport and Education Submitted in Part fulfillment of the degree of Sport Business Management
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Major Independent Study
Fans’ Perceptions of Competitive Balance and Its Impact on Willingness-to-Pay for a Single Ticket: A Stated Preference Approach in relation to English
Rugby Union and Rugby League.
Russell White – c3388462
Leeds Beckett University Carnegie Faculty of Sport and Education
Submitted in Part fulfillment of the degree of Sport Business Management
Declaration
I can confirm that this MIS constitutes my own work.
I can confirm that the text in this submission does not exceed the upper word limit of 12,000 words.
Researcher’s signature:
Russell White: _________________________
Supervisor’s signature:
Alex Bond: ____________________________
1
Table of Contents
Acknowledgments 4
Abstract 5
Chapter 1 – Introduction 6 1.1 – Research Aims and Objective 1.2 – Rationale
Chapter 2 – Review of the Literature 10 2.1 – Introduction 102.2 – Determinants of Demand 102.3 – Competitive Balance 112.4 – Measurements of Competitive Balance 142.5 – Perceived Competitive Balance 152.6 – Team Identification 16
4.3 – Team Identification’s Influence on Perceptions of Competitive Balance 274.4 – Team Identification’s Influence on Competitive Intensity 284.5 – Team Identification’s Influence on Willingness-to-Pay 304.6 – Competitive Balance & Competitive Intensity’s Influence on WTP 31
List of FiguresFigure 1 – Socio-demographics of the sample………….…………………………20-21
Figure 2 – Team identification averages for rugby union and rugby league fans….24
Figure 3 – Team identification averages for season ticket holders and non-season ticket holders………………………..……………………………………………………..25
Figure 4 – Team identification averages for male and female…………………….…25
Figure 5 – Regression analysis of team identifications influence on rugby union fans’ perceptions of CB……………………………..…………………………………………..28
Figure 6 – Regression analysis of team identifications influence on Rugby union fans’ perceptions of competitive intensity…………………………………………….……....29
List of Appendices1.0 – Participation Consent Form
2.0 – Participation Information Sheet
3.0 – The Final Questionnaire
4.0 – Carnegie Faculty MIS Progress Report Form 01/11/15
4.1 – Carnegie Faculty MIS Progress Report Form 16/11/15
4.2 – Carnegie Faculty MIS Progress Report Form 17/12/15
4.3 – Carnegie Faculty MIS Progress Report Form 01/02/16
4.4 – Carnegie Faculty MIS Progress Report Form 26/02/16
4.5 – Carnegie Faculty MIS Progress Report Form 14/03/16
3
Acknowledgments
Here I would like to take time to thank all of those that have contributed to the
development of this study.
First and foremost, Alex Bond my supervisor has consistently provided me with
extensive knowledge, support and advice throughout the year and this has allowed
me to grasp some of the tougher aspects of this field. Coupled with being my MIS
supervisor and at times an unofficial tutor, Alex has allowed me to reach new heights
when it comes to academic work and this work I hope reflects just that.
Secondly, there have been a number of other lecturers on the course that have
provided both excellent support and extensive topic knowledge and to name just a
few would be a disservice to the others. However, Hazel Hartley has taught me two
Sport Law modules during my 2nd and 3rd years. Hazel’s willingness to go the extra
mile for her students that are willing to do the same is highly commendable. This year
alone her support, vast experience and knowledge as well as scrutinising of each
piece of work to ensure the greatest quality has allowed me to produce the highest
grade of my university career so far and has allowed me to understand not just my
own ability but also the great depths academics must go in doing so.
A big thank you must also be issued to my family and friends that provided me with
extensive support and encouragement throughout my three years at university and
has significantly helped me in attaining my degree. A special thanks must be given to
my parents, which have gone above and beyond throughout my academic life so far
to provide me with great opportunities.
I dedicate this work to you all.
4
Abstract
This piece of work set out to investigate the perceptions of competitive balance
(PCB) of rugby union and rugby league fans and whether it has an impact on their
willingness to pay for a single ticket. Along the way, team identification levels and
perceptions of competitive intensity (PCI) were also measured. Adapting the
questionnaire from Pawlowski’s and Budzinski’s (2013) study on European football
fans’ perceptions of CB, the questionnaire was filtered onto several different fan
forums and Facebook pages. The questionnaire possessed the Sport Spectator
Identification Scale introduced by Wann and Branscombe (1993) as well as relevant
CI questions formulated from the work of Kringstad and Gerrard (2004). A number of
regression analysis tests were used to determine relationships between team ID,
PCB, PCI and WTP. Results indicated that as team identification increased so did the
rugby union fans’ perceptions of CB. When each factor of CB was measured, the
findings suggested rugby unions preferred to watch a game with a clear outsider and
uncertainty of outcome, contrasting literature suggests that imbalanced home and
away teams is more important. Perceptions of CI was seen to be more important to
rugby union fans. Although interestingly the First Utility Super League has undergone
extensive restructuring in recent years, however the Rugby League fans’ stated a
very minor positive relationship to an open league structure, albeit insignificant.
Suggesting the recent structural changes may have been redundant. The analysis of
fans’ WTP was rather inconclusive but with limitations to questioning previously
distinguished, this could have been expected. Significance of findings, limitations and
recommendations for future research are presented.
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1.0 Introduction
A comparison of live attendance figures between the most established major team
sports in the UK (Cricket, Football, rugby union and Rugby League) was performed
between the years 2010-2011 and 2014 and 2015 (Mintel, 2015). It was established
that both rugby union and rugby league had significantly lower attendances than all
football and cricket leagues; cricket’s attendance records for 2011-2014 averaged
2.22 million, the English Premier League (EPL) attendance for the seasons 2010/11 -
2014/15 expectedly exceeds this enormously averaging 13.58 million (Mintel, 2015).
In comparison, rugby league for seasons 2011-2014 averaged 1.8 million
attendances, which was still 0.12 million more than the rugby union figures
experienced for seasons 2010/11-2014/15 (Mintel, 2015). These major differences
between both disciplines of rugby and other major UK team sports highlight
something needs to be done to increase rugby’s attendance levels. Particularly as
the live sporting event is the “principal product” for all professional sports
(Greenwood, Kanters and Casper, 2006).
The Competitive balance (CB) theory introduced in the seminal work of Rottenberg
(1956), Neale (1964) and Sloane (1971) has long been established as one of the
biggest determinants of spectator attendance, with many academics agreeing it is
crucial to the prosperity of any sport league (Noll, 1974; Sloane, 1980; Forrest,
Simmons and Buraimo, 2009; Kaplan, Nadeau and O’Reilly, 2011). Rottenberg
(1956) and Neale (1964) propose that due to sports abnormalities in comparison to
other industries (joint-production), it is regarded that competitors must be equally
matched to engender fan interest and generate high levels of revenue. Since the
work of Rottenberg and Neale, CB has undergone extensive research to find
concepts to help explain fan attendance; the uncertainty of outcome hypothesis
(UOH) (Knowles, 1992; Zimbalist, 2002), seasonal and long run uncertainty (Cairns
et al., 1986; Kesenne, 2007; King et al., 2010) and competitive intensity (Kringstad
and Gerrard, 2004; 2007; Gerrard, 2009) have been thoroughly researched.
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Additionally, team identification (team ID) has been studied to provide yet another
explanation to the queries circling spectator demand. The concept links spectator’s
fundamental psychosomatic association with their team and their behaviour as
consumers (Madrigal and Chen, 2008). The concept stems from the seminal work of
Wann and Branscombe (1993) and the shared assumptions are that greater levels of
team ID lead to greater spectator attendance (Parry, Wann and Jones., 2014), added
levels of investment in time and money spent on their club (Wann and Branscombe,
1993) and higher levels of enjoyment at live events (Wann and Schrader, 1997).
Although there is a resounding agreement throughout literature that fan team
identification correlates with consumer behaviours, sports knowledge and purchasing
patterns. This study will be able to examine identification levels against spectator’s
perceptions of CB and their willingness -to-pay for a single live event.
The aforementioned aspects of CB are commonly referred to as objective
competitive balance (OCB), and these studies statistically measure CB and attempt
to explain the gap in the literature surrounding the prominence of match and
seasonal uncertainty on fan attendance (Pawlowski and Budzinski, 2013). Therefore,
a distinction is required to establish between fans’ actual behaviour and how they
perceive competitive balance as opposed to ascribing CB’s impact on spectators’
attendance based on existing measures of CB (Pawlowski and Budzinksi, 2013). It is
thought that a stated preference approach to CB will provide a greater insight into
certain sports economics (Budzinski and Pawlowski, 2014). Investigating this in
accordance with the guidelines of both studies by Pawlowski and Budzinski (2013)
and Nalbantis et al., (2015), it will allow primary data to be gathered and directly
associated with rugby union and rugby league fans’ perceptions of CB as well as
provide an insight into their current levels of PCB and if there is any effect on their
willingness-to-pay for a single ticket. With this in mind, below illustrates the study’s
aim coinciding with objectives that have been created to aid the attainment of the
aim.
1.1 Research Aims & ObjectivesAim:
To understand rugby league's and rugby union's fans' perceptions of competitive
balance and the impact it has on their willingness to pay.
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Objectives:
• Critically investigate Team identification levels of rugby league and rugby union
fans.
• Critically investigate rugby union and rugby league fans’ perceptions of
Competitive Balance.
• Critically analyse rugby league’s and rugby union fans’ willingness to pay for a
single ticket.
• Critically analyse any differences between the rugby union and rugby league fans.
2.2 RationaleWhilst studying BA (Hons) Sport Business Management, the notion of CB was
introduced in the Economics and Finance module during 2nd year. After careful
consideration and research performed for both MIS proposal and the level 5 module,
it was apparent that both CB research was inconclusive and that Rugby, specifically
based in the UK, had been researched in relation to CB only very slightly. Williams
(2012) critically analyses and reviews the competitive balance (CB) measures within
the professional rugby union in England. Williams highlights that there is a “gap in the
literature” surrounding the subject and rugby. In addition, he adds:
“further research on competitive balance (CB) within rugby union and other professional leagues in Europe and beyond, is required to broaden an understanding of rugby’s competitive dynamic” (Williams, 2012 pp. 88-102).
Hogan, Massey and Massey (2013) also highlight the very little attention rugby has
received in relation to CB studies, highlighting that due rugby union’s recent
professionalisation, it makes it an interesting sport to research. Rugby league
proposes an interesting case in its own right due to the struggles it has faced with
competing against other major team sports and the major structural changes
undergone in the last two decades (Meir, 2000). Additionally, with all the CB research
that has been completed, very little conclusive evidence has been produced that
affirms CB does have an effect on spectator attendances (Syzmanski, 2003; Buraimo
and Simmons, 2008; Pawlowski and Budzinski, 2013).
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Furthermore, career aspirations include; working within the marketing or business
industry helping firms infiltrate new markets and providing them with detailed reports
on concerns to market behaviours. Hopefully, this piece of work will assist any
forthcoming career paths as well as provide an insight into the attendance figures
and potential generated income of rugby union and rugby league competitions.
2.0 Review of Literature
2.1 IntroductionBoorland and MacDonald (2003) suggest that understanding the nature of sport and
the determinants that can affect demand, are helpful when examining professional
sports leagues. McMillan (1997) explains that in economic terms, sport is labelled as
“peculiar” due to its product producing no output; as well as the event or match
(product) being “jointly produced” (Neale, 1964; Trenberth and Hassan, 2012). With
this in mind, major discrepancies in spectator attendances for any sports league and
its members is a large concern (Douvis, 2014). Thus, the following chapter of this
investigation will provide an understanding of the literature and developed theories of
CB, Team ID and CI in relation to spectator’s willingness to pay.
2.2 Determinants of DemandConsistent with the seminal work of Neale (1964) and Sloane (1971), there has been
extensive research into the determinants of demand for sport presented by Noll
(1974), Cairns et al (1986), Welki and Zlatoper (1991) and Dawson (2000). Schofield
(1983) categorised the variety of different aspects that affect professional sports
attendance into; economical, demographical, game attractiveness and enduring
preferences. Likewise, Avgerinou (2007) more recently divided the determinants of
demand for any sport into the following; short term (UOH), long term (fan
preferences), economical and demographical factors. Although there are a number of
determinants considered significant in affecting spectator demand, a shared
perception from academics in this area of literature; is that for professional sports
leagues, CB is a commanding determinant for prosperity and survival (Rottenberg,
Mintel (2015) depicts that the pool of spectators and viewers for rugby union is very
narrowly and heavily dominated by males aged 65+, 37%. Additionally, only 28% of
the population asked said that they watched rugby league and rugby union live at a
stadium, 11% and 17% respectively (Mintel, 2015). This suggests the questions
relating to customer’s WTP as well as CB questions in relation to live events will be
targeting a much smaller proportion of rugby’s spectator population. Figure 1
illustrates the socio-demographics of the sample from this study. It is very clear to
see from this analysis the questionnaire was heavily male dominated. This was
expected, from the evidence provided by Mintel (2015). Additionally, on average 31.4
% of the respondents declared they had a net personal income (after taxes and
deductions) of £0 - £500, which would be expected when 45% of the respondents
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were students. Which perhaps is one reason why both sample’s WTP average was
predominately low (as seen in figure 4). The high percentage of students that took
part in this study could well be down to the various methods of data collection used
such as Facebook pages and fan forums. This is important to consider whether or
not the sample used to collect this data was entirely representative of all the rugby
union and rugby league fans in the UK.
3.5 Ethical Considerations“Ethics is the study of good conduct, character, and motives” and it is concerned with
defining what is good or respectful for all people (Rani and Sharma, 2012: 45). One
of the most crucial ethical considerations is ‘informed consent’; this means each
participant is provided with sufficient knowledge regarding the research and they
have the ability to authorise or decline involvement voluntarily (Rani and Sharma,
2012; Gratton and Jones, 2010) (consent form can be seen in appendix 1.0).
McNamee et al (2007) add that frequently this aspect is disregarded and information
levels can fall below the necessary standards such as neglecting important details of
both the study and survey or written in a confusing manner. Thus, an information
sheet was provided prior to the consent form in an attempt to avoid this limitation
(appendix 2.0). Gratton and Jones (2010) also emphasise the importance of
confidentiality and anonymity. This consideration was comfortably alleviated by
reassuring the participants that after the data had been collected, no unauthorised
person will have access to the data set as well as making the data non-identifiable to
any participant.
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4.0 Results and Discussion
4.1 IntroductionThis chapter will address the research’s main aim and objectives, outlined in the
introduction chapter of this study. Consequently, a detailed breakdown and analysis
will be provided of fans’ perceptions of CB for both rugby union and rugby league,
their willingness-to-pay for a single ticket and overall investigation into any contrasts
in behaviour between the two sets of fans.
4.2 Descriptive Stats4.2.1 Team IdentificationFan’s team identification was measured using seven separate questions; ranging
from whether they like to see their team win or whether they display their club’s
badge (see appendix for all related questions). In total, the entire Team Identification
mean total = 70. Performing an independent t-test (appendix) established the mean
for the rugby union sample = 47.7 and the rugby League sample = 45.4. This data
suggests that rugby union fans have a stronger identification with their respective
team than rugby league fans. The independent t-test also allows for a Levene’s test
23
for Equality of Variances; this test determines whether the two conditions (rugby
union or rugby league) have about the same or different amounts of variability around
their mean score (Starkweather, 2010). For these results, sig. value = 0.84 and this
determines that the mean score for the rugby union sample does not vary too much
more than the mean scores from rugby league. However, with the p-value = 0.392,
the differences are not statistically significant. The figure below illustrates which
conditions of team ID were scored higher on average than the others.
Fan’s that hold a season ticket the mean = 53.2, for non-STH the mean = 45,
suggesting that STH has a higher identification to their club which would be
expected. The Levene’s test for Equality in Variances determines that the variability
of the two scores are different and the p= 0.001, thus this difference is statistically
significant. Figures 2 & 3 below illustrate the greatest factors of Team ID for season
ticket holders (STHs), non-season ticket holders (non-STHs), males and females.
Figure 2 – This provides the team Identification averages for both Rugby union and Rugby League
Which discpline does your
team play? N Mean Std. Deviation Std. Error Mean
It Is Important My RC Wins Rugby union 99 7.85 2.215 .223
Rugby League 41 7.17 2.448 .382
I See Myself As A Fan Of My
RC
Rugby union 99 7.81 2.315 .233
Rugby League 41 7.29 2.442 .381
My Friends See Me As A Fan
Of My Club
Rugby union 99 7.29 2.528 .254
Rugby League 41 6.51 2.609 .407
It Is Important To Me That I
Am A Fan Of My RC
Rugby union 99 6.83 2.511 .252
Rugby League 41 6.54 2.628 .410
I Dislike The Greatest Rivals
Of My RugbyClub
Rugby union 99 5.13 3.033 .305
Rugby League 41 5.63 2.557 .399
I Often Display My RC Name
or Crest or Badge
Rugby union 99 5.32 2.649 .266
Rugby League 41 4.90 3.208 .501
I Closely Follow My RC Via
Tv or Online or News or
Radio
Rugby union 99 7.48 2.712 .273
Rugby League41 7.32 2.706 .423
With regards to gender, the male sample’s mean = 47.1 and women sample’s mean
= 45.9, which suggests that male supporters of rugby are more identified to their club.
24
Performing the same Levene’s test determined sig.= 0.42, illustrating that the two
conditions have largely similar variability. However, p= 0.79 determines it is not quite
statistically significant between males and females. As expected each of the
independent factors of team ID, STH scored higher on average than those not STHs.
However, STH on average scored lower than non-STH which regards to disliking
their greatest rivals. Both genders on average scored displaying their club's badge as
the lowest indicator of their Team ID. However, males scored seeing themselves as a
fan highest on average, with women scoring it is most important to see their team win
on average.
4.2.2 Perceived Competitive Balance
Fan’s perceptions of Competitive balance were measured by asking the importance
of the following statements; prior the game it is impossible to know the outcome,
home and away teams win just as often and whether there is a clear outsider. The
maximum PCB mean total = 30, another independent t-test was performed and
determined that the averages were very similar for each discipline, rugby union =
16.4 and rugby league = 16.3.
Figure 3 – This provides the team identification averages for STHs and Non-STHs
Are you a season ticket
holder at your club? N Mean Std. Deviation Std. Error Mean
It Is Important My RC Wins Yes 35 8.06 1.862 .315
No 105 7.51 2.418 .236
I See Myself As A Fan Of My
RC
Yes 35 8.74 1.821 .308
No 105 7.30 2.410 .235
My Friends See Me As A
Fan Of My Club
Yes 35 8.37 1.911 .323
No 105 6.63 2.617 .255
It Is Important To Me That I
Am A Fan Of My RC
Yes 35 7.66 2.114 .357
No 105 6.44 2.605 .254
I Dislike The Greatest Rivals
Of My RugbyClub
Yes 35 4.83 2.549 .431
No 105 5.43 3.006 .293
I Often Display My RC Name
or Crest or Badge
Yes 35 6.94 2.338 .395
No 105 4.62 2.733 .267
I Closely Follow My RC Via
Tv or Online or News or
Radio
Yes 35 8.63 2.030 .343
No105 7.04 2.787 .272
25
Figure 4 – This provides the team identification averages for male and females
Gender N Mean Std. Deviation Std. Error Mean
It Is Important My RC Wins Male 129 7.63 2.257 .199
Female 11 7.91 2.844 .858
I See Myself As A Fan Of My RC Male 129 7.67 2.356 .207
Female 11 7.45 2.464 .743
My Friends See Me As A Fan Of
My Club
Male 129 7.09 2.534 .223
Female 11 6.82 3.060 .923
It Is Important To Me That I Am
A Fan Of My RC
Male 129 6.74 2.501 .220
Female 11 6.73 3.101 .935
I Dislike The Greatest Rivals Of
My RugbyClub
Male 129 5.26 2.890 .254
Female 11 5.45 3.174 .957
I Often Display My RC Name or
Crest or Badge
Male 129 5.21 2.841 .250
Female 11 5.09 2.663 .803
I Closely Follow My RC Via Tv
or Online or News or Radio
Male 129 7.52 2.690 .237
Female 11 6.45 2.770 .835
Levene’s test concludes that the variability of the two disciplines in relation to PCB
are about the same. However, p = 0.92 determining that there is no statistical
significance between the two conditions. This same test was performed for PCB
against the sample’s gender and STHs. With male sample’s mean = 16.4 and
women’s = 15.6 and STH sample mean = 15.2 and non-STH mean = 16.7. This
suggests that non-STH males would perceive CB the lowest. The Levene’s test for
both conditions did show that the two gender scores and two STH scores did not
differ very much from each other as well determining that no statistically significant
difference was found.
Both fans of rugby league and rugby union scored highest in: “before the game it is
impossible to know which team will win”. However, rugby union Fans deemed both
home and away teams winning as least important, whereas rugby league supporters
deemed having no clear outsider is least important. Both male and female and STH
and non-STH scored before the game it is impossible to know the outcome as most
important and similarly scored home and away teams winning just as often as least
important.
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4.2.3 Willingness-To-Pay
Fan’s willingness-to-pay was examined by observing how much they would be
prepared to pay to either increase their league’s excitement or to ensure their
league’s excitement does not decrease. Cross tabulations were performed to view
the differences between disciplines, gender, season ticket holders and income
preferences. Crosstabs allowed us to observe the percentages of each category
chosen by each variable. On average, over 75% of the rugby union fans said they
would be prepared to pay more to increase the level of competitiveness in the Aviva
Premiership. Likewise, over 85% of the rugby league fans stated they would be to
pay more in the First Utility Super League for the same outcome. Surprisingly, only
65% of the rugby union spectators would be prepared to pay more to ensure the
competitiveness in the Aviva Premiership does not decrease. Like the previous WTP,
a greater number of rugby league Fans (80%) were prepared to pay more to ensure
competitiveness does not decrease. The amounts that the spectators would be
willing to pay varied from £1-£2 to £21+.
4.3 Influence of Team Identification on the Perceptions of Competitive Balance
Anticipating that the entire sample size is a representation of supporters for domestic
English rugby (league and Union); the regression analysis illustrated a positive
relationship between Team ID and PCB. In fact, the coefficient = .40 with p= .000,
well within the social sciences required statistically significant level. This result
suggests that as a fan becomes more identified, they also perceive CB as more
important. This is interesting to observe as previous studies in relation to PCB such
as Pawlowski and Budzinski (2013) illustrate a relationship between CB and fan
attendance. Whereas this study is in relation to fan’s team identification and CB and
it shows a similar relationship but between higher identified fans and CB. Pawlowski
and Budzinski (2013) concluded that PCB does matter to spectators that attend
European Football matches and from this dataset it is apparent that PCB does matter
to English rugby union fans that more identified to they are to their team.
Implementing the same analysis but splitting the data into disciplines provided us
with two positive relationships varying in strength. The rugby League sample’s results
were not statistically significant but produced a positive relationship of 0.212.
27
Suggesting that when rugby league fans’ team identification increases, they do
perceive CB more importantly but being insignificant does not allow us to confidently
conclude those findings. However, the results calculated in relation to rugby union
illustrates both a positive relationship (coefficient= .50), as well as strongly significant,
p-value = .000. This data suggests that rugby union fans possess a greater
perception of CB, the more identified they become with their rugby club. Thus, while
previous studies have concluded that improved CB intensifies fan attendance in
Australian Football (Lenten, 2009), higher identification levels lead to greater
attendance in English football (Parry, Jones and Wann, 2014) and that CB does
matter to fans of German, Danish and Dutch Football (Pawlowski and Budzinski,
2013); this study can support this and confidently say that as English rugby union
fans’ become more identified they deem CB to be more important.
Linear regression was performed to also find out which individual factor of PCB had
the strongest relationship with team identification for each discipline. The rugby
league sample provided no statistically significant results, therefore, more research
will be required to conclude which specific factor of CB is perceived as important the
higher their team identification becomes. Contrastingly, the analysis did highlight the
more identified rugby union fans’ became with their team the greater they perceive
no clear outsiders and uncertainty of outcome as important. Furthermore, this
suggests that higher identification rugby union fans’ possess with their club, the more
important they see the uncertainty of outcome, much like the assumptions had
throughout the literature that sports spectators prefer to see a game that has an
uncertain result (Zimberlast, 2002). Interestingly these results also add to and
supports the study of Hogan, Massey and Massey (2013) which conclude that fans of
European rugby union also have a positive relationship with match uncertainty.
Hogan, Massey and Massey (2013) also state that European rugby Fans prefer to
watch a game between home and an away sides that are imbalanced. As seen in
figure 2, this as well is supported by this study that illustrates as English rugby union
fans become more identified to their rugby club, they too prefer to see an imbalance
between home and away teams albeit insignificant.
Figure 5 – Regression analysis of Team Identification influence on Rugby union fans’ Perceptions of CB
Model Unstandardized Coefficients Standardized
Coefficients
t Sig.
28
B Std. Error Beta
1 (Constant) 24.291 3.908 6.215 .000
Before the game it is
impossible to know which
team will win.
2.298 .629 .362 3.652 .000
Home and away teams win
just as often.-.695 .606 -.114 -1.147 .254
There is no clear outsider in
any of the games.2.427 .589 .389 4.124 .000
a. Which discpline does your team play? = Rugby union
b. Dependent Variable: IDTotal
4.4 Influence of Team Identification on Competitive Intensity
An additional linear regression was completed with Team ID as the dependent
variable against competitive intensity (CI). The test in relation to the whole sample
concluded a positive relationship of 0.404 with p= .000, which suggests that as fan’s
team ID increases the more important competitive intensity is perceived. When a
regression was performed individually in relation to both disciplines, a statistically
significant result was produced for the rugby union fans. The regression illustrated a
strong positive relationship between the two variables (see figure 6 below). A much
smaller positive relationship can also be observed for rugby League (coefficient
=0.18 rounded up), albeit insignificant. This suggests rugby union fans perceive CI
more importantly, the greater their team identification. Nonetheless, the two positive
results illustrate both sets of fans do prefer to see a league that possesses variations
to its prize structure which aligns with the previous work of Kringstad and Gerrard
(2007) on modern league structures. Although further research will be required so
that a statically significant result can be found.
Figure 6 – Regression analysis of Team Identifications influence on Rugby union fans’
perceptions of CI
Model
Unstandardized Coefficients
Standardized
Coefficients
t Sig.B Std. Error Beta
1 (Constant) 21.052 4.560 4.617 .000
CITOTAL .687 .113 .525 6.081 .000
a. Which discpline does your team play? = Rugby union
29
b. Dependent Variable: IDTotal
When executing a linear regression of Team ID total set against each CI question an
interesting observation can be had. Rugby union fans’ that Team ID increase
perceived the fight for post-season competition as most important; a very strong
relationship = .63 and p-value= .000. Whereas, rugby league fans’ had a negative
relationship albeit insignificant for this particular question. In contrast, the analysis
illustrates rugby league supporter's perceived a lengthy fight for the title as most
important and a very strong relationship can be found, beta= 0.74 and p= 0.22.
However, rugby union supporters demonstrated a much smaller relationship between
this question and elevated team identification levels. Interestingly, the rugby league
sample provided both an insignificant and a minor positive relationship between
increased team identification and importance of more teams being relegated. This
doesn’t support the overall consensus in the literature that often suggests a change
to the structure will positively impact match attendances (Dobson, Goddard and
Wilson, 2001). Much like the structural changes that of occurred in the First Utility
Super League, however, these results suggests that rugby league fans do not only
perceive relegation as of little importance to their league structure but that the
decision to make the First Utility Super League an open league, was made without
significant research.
4.5 Influence of Team Identification on Willingness-to-Pay
Analysing the entire sample’s relationship between team ID and WTP resulted in very
a minor relationship for both questions. However, to increase the league’s
competitiveness resulted in a positive relationship albeit very minor, whereas
ensuring the league’s competitiveness did not decrease produced a minor negative
relationship. This suggests that as the sample’s team identification increased they
were more willing to pay to increase the competitiveness. This is supported by
previous studies by Wann (1996) and Wann & Branscombe (1999) that conclude
higher identified fans are more likely to invest their time and money into their sport.
However, to ensure the competitiveness of their league did not decrease, the fans in
this study were less inclined to pay more. This contradicts the previous studies of
Wann (1999) and Wann and Branscombe (1993). Nonetheless, both results were
30
not statistically significant to the standard of social sciences (.05), producing p-values
=.658 and .434 therefore further research would be required to confidently support
these findings.
Both disciplines were individually analysed using the same regression test but no
significant results were produced. The test illustrates that the sample’s rugby union
fans’ WTP would actually decrease, albeit a minute decrease, for both questions.
This suggests that the more identified they become the less prepared they are to
invest on their league’s competitiveness. These findings contradict the majority of the
studies formulated around this topic (Wann and Branscombe, 1993; Sutton et al.,
1997), that concludes fans are more prepared to spend money on their team the
more identified they become. On the other hand, rugby league fans demonstrated
mixed results; indicating that the more affiliated with their club they become the less
willing they are to pay to ensure the league’s competitiveness doesn’t decrease
(coefficient= -0.42).This finding contradicts previous studies that suggest otherwise,
affirming as previously mentioned that the more identified fans become the more
likely they are to spend their earnings (Wann, 1999). However, they would be more
prepared to spend money to increase the league’s competitiveness; the results
indicate that a higher identification to their team leads to a .54 increase in their WTP.
This finding coincides with the existing literature however as neither disciplines
provided significant results further research will be required to confidently conclude
these findings.
Moreover, with rugby union and rugby league fans stating that they would be less
willing to pay more to ensure competitiveness does not decrease suggests that both
disciplines aren’t sensitive to CB (Pawlowski and Budzinkski, 2013). With rugby
league fans showing a strong positive relationship to increase competitiveness, whilst
rugby union fans’ produced a negative relationship; this suggests that although
higher identified rugby league fans aren’t hugely sensitive to CB but they could be
more sensitive than higher identified rugby union spectators. Consequently, the
competitive imbalance may be seen as more of a problem for highly identified rugby
league fans (Pawlowski and Budzinski, 2013).
4.6 Influence of Competitive Balance and Competitive Intensity on Fans’ WTP
31
Performing a linear regression with CB and CI totals as dependent variables, it
provides a relationship between them both and the fans’ WTP. Firstly, none of the
analysis tests provided a significant result, however, did provide varying degrees of
strength in regards to their association. As fans of both rugby league and rugby union
perceive CB more they both are more prepared to increase the excitement of their
respective leagues by making a financial contribution (coefficients, Union= .14 &
League= .28). A similar resemblance is had between the two sets of fans with
regards to ensuring the competitiveness of the league does not decrease. However,
this time, both sets of fans provided negative relationships; this suggests that the
higher they perceive CB they will not be prepared to make a financial contribution to
ensure their league’s competitiveness does not decrease (again League with a
stronger coefficient -.25).
The second regression analysis showed almost no relationship between both sets of
fans perceptions of competitive intensity and their WTP. The rugby union set of fans
provided two positive relationships which suggest they will be willing to pay more to
increase and maintain competitiveness the greater competitive intensity is. However,
these relationships are very weak, .04 and .05, respectively. Rugby league fans, on
the other hand, would be marginally more prepared to pay more to increase their
League’s competitiveness, .09. However, the analysis illustrates an increase of
competitive intensity for rugby league fans actually reduces their willingness to pay to
ensure competition does not decrease.
5.0 Conclusions & Recommendations
This final section will conclude this study in its entirety, focusing on strengths and
limitations of all the aspects included. Recommendations will follow this, stipulating
any details required for future research on this topic as well as future research
possibilities.
This study set out to find the perceptions of rugby union and rugby league fans’ and
their willingness to pay for a single ticket. This piece of work followed the studies of
Pawlowski and Budzinski (2013) and Nalbantis, Pawlowski and Coates (2015), both
32
of which take an unconventional view of CB. The review of literature gave a
comprehensive overview to the extent of which determinants of demand are
renowned for affecting attendance. Additionally, competitive balance, its subordinate
concepts (UOH and CI) and the array of previously tried and tested measurements
as well as the team identification concept were included. Much of the literature
highlights the inconclusive evidence for CB and can be concluded that this leads
from the subsequent disagreement of its correct measurement method. In fact, the
review of the literature surrounding PCB, although limited, concludes that SP
approaches are a better way to determine how fans’ consider CB and the effect it has
on revenues and attendances (Pawlowski and Budzinski, 2013; Nalbantis, Pawlowski
and Coates, 2015). Subsequently, it would be unsurprising if more competitive
balance studies pivot around this concept in the future.
Section 4.3 of this study highlights that rugby union fans’ do perceive CB as more
important the more identified they become with their rugby club and this supports the
notion that CB does matter to fans (Pawlowski and Budzinksi, 2013). Additionally, a
similar relationship can be observed in relation to the rugby league fans’. However, it
was a non-significant result and therefore further research will have to be conducted
to find out whether they too demonstrate a relationship.
Previous literature documents that European rugby union fans identify imbalanced
home and away matches as the most important aspect of competitive balance. This
relationship can be observed in section 4.3 (figure 3) however the relationship is not
statistically significant but provides a basis for further research. Instead, the study
can conclude that the strongest determinant of CB for more identified rugby union
fans is match uncertainty, followed narrowly by a clear outsider. Unfortunately, none
of the individual factors of CB provided a significant result in relation to the rugby
league sample set.
The most intriguing observation from section 4.4 albeit insignificant, is that rugby
league fans do not perceive relegation as very important the more identified they
become with their club. With changes as recent as 2015 to the structure of the First
Utility Super League and with literature largely suggesting structural changes
improve attendances (Kringstad and Gerrard, 2004; Gerrard, 2007), this study
33
suggests that with further research those decisions and may have been unnecessary
and disprove the literature.
Results for sections 4.5 and 4.6 provided no statistically significant results when the
regressions were performed for each discipline. Nalbantis, Pawlowski & Coastes
(2015) found that fans that viewed games as more suspenseful were more willing to
make a financial contribution. However, this study provides no statically significant
relationship between higher levels of CB, CI or team ID, and the rugby union or rugby
league fans’ WTP. The results from this study support Pawlowski and Budzinski
(2013) conclusion, that stipulates these WTP scenarios should be treated with
caution and perhaps the bias (aforementioned in section 3.3) should be taken into
account.
Moreover, the number of insignificant results observed within this study could have
occurred due to limitations in relation to this study’s methodology. This study does
also possess strengths and with both of these in mind, hopefully, forthcoming studies
can take them into account to complete effective future research, mirroring the
strengths and rectifying the weaknesses. With only a handful of other PCB studies
previously performed, the study had to be structured to best suit English rugby and
the study’s aim and objectives. Previous similar SP studies have all been in relation
to Football and specifically European football (Pawlowski and Budzinksi, 2013;
Nalbantis et al, 2015). This previous literature provided this study with a basic outline
to follow with regards to data collection. For example, the careful dissection and
transfer of the Pawlowski and Budzinski (2013) questionnaire and use of social
media platforms to collect the data much like Nalbantis et al (2015).
However, the greatest limitation this study faced - and a major reason perhaps for
such a large number of insignificant results – particularly for the rugby league sample
was the sample’s size and representativeness. The questionnaire that was used was
posted on a number of specific club fan forums (ShedWeb, Leicester Tigers Forum &
Scrum V) as well as broad fan forums (Total Rugby League Fans Forum & the Rugby
Forum) plus fan Facebook pages (Rugby Union World Wide Fan Zone), where it
wasn’t cordially received. Possibly for a number of reasons; for example, online
surveys that separate questions on to each page (like the survey used for this study)
34
is suggested to result in longer time for completion and lower response rate
(Vehovar, Manfreda and Batagelj, 2000; Tourangeau et al., 2004). Additionally, the
survey for this study used a 10 point Likert scale as previously mentioned, this
requires respondents to scroll through questions which increases completion time
and it is suggested to be more beneficial to use smaller scales (De Bruijne and
Wijnant, 2014). Finally, a common occurring theme with participant’s non-response
rate with online surveys is the high survey break off (closing the browser) (Wells et
al., 2013; Bosnjak et al., 2013). Moreover, the socio-demographic data of the sample
size (depicted in methodology) provides further evidence that the sample may not
have been a true representation of both rugby union and rugby league fans from the
UK; with the vast majority of the sample population being students and stating the
lowest monthly income bracket (£0-£500). With these limitations in mind it and with
only 41 rugby league fans in the sample, it could be argued that this study’s sample
was not completely representative of English rugby union fans and almost certainly
not representative of English rugby league fans.
On the other hand, this study’s greatest asset was its simplicity. The questionnaire
provided by Pawlowski and Budzinski (2013) has been very thought through and can
be simply related to any sport and any league. Moreover, providing the survey is
posted online, there are no expenditure costs to take into account and with no human
contact, the ethical consideration process can be quickly progressed. An
amalgamation of these aspects allows this study to be repeated in the future hassle-
free.
5.1 Recommendations With regards to recommendations for future research on this topic, it is important to
stress that plenty of time be allocated to collect a large set of data and produce a big
enough sample size, which is much more representative of the rugby union and
rugby league fans in the UK. Additionally, different aspects of this study such as the
fans’ WTP scenarios or the concept of PCB and PCI could be investigated in another
minor UK team sports such as cricket, which has received little research in regards to
CB. Furthermore, the concepts of perceptional CI and CB could be measured over a
longer period of time, much like many OCB studies.
35
6.0 Personal Reflection
This final section is arguably one of the most important of the entire Major
Independent Study. It will provide a comprehensive summary of my development
throughout the project and how it has helped me to become an independent learner.
This piece of work requires us research a topic of our choice and produce word
document of no more than 12,000 words. Initially, a substantial amount of
36
background reading was had prior and during the completion of this piece. This is a
crucial aspect of the entire project and I believe because of this it has massively
improved my reading ability. With over 130 academic resources used, a thorough
and precise ability to read and select important information was crucial. Moreover,
consistently and correctly writing academically through the entire piece of work was
challenging and on a scale that required much endurance however extensive
formative feedback along the way from both my MIS supervisor and lecturers from
other modules in my final year has allowed me to confidently write academically.
Another skills this major independent study has allowed me to improve was time
management. With an initial slow start to the project over uncertainties, it was key to
stay persistent. To ensure targets were met throughout the completion of this study,
strict schedules were arranged with my supervisor as well as frequent meetings
throughout the year (see appendices 4.0 – 4.5). This, alongside deadlines for other
modules has consistently forced me to maintain exemplary time management and
organizational skills. Additionally, I found using the data analysis software, SPSS one
the toughest parts of the whole study. With very little statistical experience it was a
slow progress. However arranging workshops with the university’s Skills for Learning
team and strict application, I soon figured out SPSS and analyzing all different
aspects of my data using different tools proved very enjoyable. Finally, I hope this
piece of work reflects my avid interest for sport economics and it has certainly
affirmed my aspirations of either completing a Master’s Degree in a similar field
and/or gaining valuable experience or a career with a major business or marketing
firm.
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Appendices
1.0 Participation Information Sheet
Project Title: A comparative study between Rugby union and Rugby League to establish fan’s perception of Competitive Balance and the impact it has on their willingness-to-pay.
The Researcher would really appreciate your participation in this study in-relation to fans’ perceptions of Competitive Balance (CB) and its subsequent impact on their willingness-to-pay (WTP). Please take the time to read this information sheet and decide whether or not you would like to be involved.
Purpose of the study.
This study will investigate the experiences, knowledge and perceptions of a group of participants who regularly spectate Rugby union and Rugby League fixtures with references to their perceptions of CB and the impact it has on their WTP. Currently, there is limited research on this topic surrounding European Rugby leagues. Therefore, this study will allow for the perceptions of CB and its impact on fans’ WTP to be fully investigated, acknowledging recommendations to be made about CB education and knowledge.
Do I Have to take part?
No, participation is entirely voluntary.
If I agree to be involved, what happens next?
The questionnaire will take approximately 10 minutes to complete. Once completed, the data will be stored online on a password secure computer. The participant will then be given a unique reference number which allows the researcher to withdraw their data if they do not wish to be part of the study following the completion of the questionnaire.
Can I change my mind and withdraw from the project?
Yes, you can withdraw from the study at any point without a reason, as it is completely
voluntary.
Will my taking part in the study be kept confidential?All information collected during this research project is treated with the strictest confidentiality, along with it being completely anonymous. Neither the establishment, nor any individual will be identifiable.
What will happen to the results of the research study?The results of the study will be stored on a password-protected computer by the researcher, and only the supervisor of this study will see them. The results of the study will be destroyed following the completion of the dissertation.
What do I do if I have a complaint about this research? If you have any complaints, you can contact the supervisor of this research study:Alex Bond([email protected])
Who has reviewed the study?
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The local research ethics officer, according to the Leeds Beckett University ethics policy.
Contact details for further informationRussell White ([email protected])
What next?
If you are happy to proceed please complete the consent form and begin the online questionnaire.
Thank you for reading this information and hopefully taking part in this project.
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2.0 Participation Consent Form
Have you received a copy of the information letter? YES NO
Have you had an opportunity to ask questions about the study? YES NO
Have your questions been answered satisfactorily? YES NO
I understand that I will be completing a questionnaire YES NO
I understand that participation in this study is entirely voluntary YES NO
I understand that I am free to refuse participation and have YES NO
the right to withdraw from participation at any time and for any reason
I understand that my participation will be as an anonymous YES NO
individual and my identity will be protected at all times
I agree to take part in this study YES NO
I am over 16 years of age YES NO
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3.0 Final Questionnaire – Online created with Google Forms
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Appendix 4.0 Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 01/10/2016 Time:11.00am
Attendees: Russell White & Alex Bond
Issues brought by student:
Issues with regards to proposal – Review of Literature and Methodology what should be included.
Issues raised or comments by supervisorReview of literature not specific enough to the research title, aims and objectives.
Recommendations / Actions for next meeting:Divide the Review of literature into sections; D of D, CB, Measurements of CB, PCB and WTP.
Agreed date/time of next meeting: 16/11/16
Student Signature Supervisor Signature
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4.1 - Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 16/11/16 Time:11.00am
Attendees: Russell White & Alex Bond
Issues brought by student:This should be completed prior to the meeting and may include items such as progress to date; any particular problems; and any assistance that is required.
Questionnaire adaption and Ethical consideration help.
Issues raised or comments by supervisor
Questionnaire should be adapted from Pawlowski’s and Budzinksi’s (2013) study. Increased specificity in the ethics application. i.e. which forums were used and details regarding the sample set.
Recommendations / Actions for next meeting:
Improve the ethics application and relate
Agreed date/time of next meeting: 17/12/16
Student Signature Supervisor Signature
4.2 - Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 17/12/16 Time:17.00pm
Attendees: All members of Alex Bond’s supervisees.
Issues brought by student:This should be completed prior to the meeting and may include items such as progress to date; any particular problems; and any assistance that is required.
Questionnaire creation of Google Forms, ensuring each aspect of the application could be used and navigated easily.
Issues raised or comments by supervisor
Ensure that the questionnaire is readable and completed so that when ethical approval was gained it could be distributed.
Recommendations / Actions for next meeting:
Finish the completion of the questionnaire and ensure it is ready to pilot once ethical approval was met.
Agreed date/time of next meeting: 01/02/16
Student Signature Supervisor Signature
4.3 - Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 01/02/16 Time:9.00am
Attendees: Russell White and Alex Bond
Issues brought by student:This should be completed prior to the meeting and may include items such as progress to date; any particular problems; and any assistance that is required.
Review of literature needed bulking and improving from the proposal. Final sign off of questionnaire so that data collection can begin.
Issues raised or comments by supervisor
Not enough detail in reference to CB (short, medium and long-term). And nothing on Competitive intensity, Team Id and SSIS.
Recommendations / Actions for next meeting:
Include the aforementioned details in a readable structure. Begin to data collect.
Agreed date/time of next meeting: 14/03/16
Student Signature Supervisor Signature
4.4 - Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 26/02/16 Time:18.00pm
Attendees: Alex Bond and all of his supervisees.
Issues brought by student:This should be completed prior to the meeting and may include items such as progress to date; any particular problems; and any assistance that is required.
Methodology
Issues raised or comments by supervisor
Method must be written in 3rd person and past tense. Research design and all approaches to methodology must be included.
Recommendations / Actions for next meeting:
Write a draft in preparation for the next meeting or individually arranged meeting with Alex.
Agreed date/time of next meeting: 17/03/16
Student Signature Supervisor Signature
4.5 - Carnegie Faculty MIS Progress Report Form
Please use this form within meetings with your Supervisor to keep a record of progress throughout your MIS. This will help you to complete the Personal Reflection section of your MIS and you are required to submit a minimum of 6 Progress Report Forms within your MIS Appendices.
Meeting Details
Date: 17/03/16 Time:17.00pm
Attendees: Alex Bond and his supervisees.
Issues brought by student:This should be completed prior to the meeting and may include items such as progress to date; any particular problems; and any assistance that is required.
Data analysis and the use of SPSS (regression, cross tabs and t-tests).
Issues raised or comments by supervisor
Ensure that all data is computed before analysis is started and don’t solely rely on descriptive data analysis.
Recommendations / Actions for next meeting:
Go away and analyse the data already gathered and get a feel for SPSS, using tutorials to help you if any problems are met.