Unit 9 – Ticket Promotion & Sales Copyright © 2010 by Sports Career Consulting, LLC.

Unit 9 – Ticket Promotion & Sales

Copyright © 2010 by Sports Career Consulting, LLC

Ticket Promotion & Sales

UNIT 9 OBJECTIVESUNIT 9 OBJECTIVES

1)Understand the importance of ticket sales to the sports and entertainment industry

2)Identify factors that influence a fan’s decision to purchase tickets

3)List five ticket sales strategies

4)Define ticket package

5)Explain the concept of frequency escalator

6)Describe how ticketing technology has provided innovative alternatives for customers


Lesson 9.1 –

The Role of Ticket Sales


UNIT 9



Importance of Ticket Sales

Ticket sales provide the financial backbone for many organizations within the industry

UNIT 9



According to an article published in the Sports Business Journal, “ticket sales are the lifeblood of most franchises.”

Sales from tickets and club seats can account for more than half of a typical franchise’s local revenue in all four major sports leagues, ranging as high as 80 percent for some teams


UNIT 9



A fan’s participation in a game or event can be as important as the athletes and

performers as they create an exciting atmosphere that energizes the performers and enhances the consumer experience


Factors Influencing Attendance

1) Performance

2) Fan loyalty and fan support

3) Highly visible athletes and entertainers

4) Facilities, venues and stadiums

5) Promotion and sales

UNIT 9



Factors Influencing AttendanceRank the Local Venues 1 - 5

1) Performance

2) Fan loyalty and fan support

3) Highly visible athletes and entertainers

4) Facilities, venues and stadiums

5) Promotion and sales

UNIT 9



• Verizon• FedEX• Jiffy Lube Live• Lane Stadium• Byrd Stadium• Patriot Center• Wolf Trap• Camden Yards• Nationals Stadium• RFK• Kennedy Center• MT&T (Baltimore)• _________• Woodgrove Stadium• Leonard Stadium

Winning teams traditionally draw bigger crowds

UNIT 9


From 2007 to 2009, the NHL’s Chicago Blackhawks went from one of the worst teams in the league to a championship caliber hockey club. Subsequently, the franchise’s season-ticket base grew from 3,400 to 14,000 with a waiting list of 4,000. Regular season attendance jumped from 522,000 in 2007 (second-worst in the NHL) to 912,000 in 2009, the top attendance in the league.


Winning teams traditionally draw bigger crowds

UNIT 9


In 2008, MLB’s Tampa Bay Rays ranked 26th (out of 30) in attendance per home game in the regular season, averaging just 21,304 per game. However, as the team made a post-season run to the World Series, attendance quickly spiked and the team sold out every game throughout the playoffs.


Some markets traditionally attract more fan support and larger crowds by nature

UNIT 9


New England

Hockey in Canadian markets

High school basketball in Indiana

High school football in Texas

College football in the south (Texas, Alabama, Georgia, Florida)


Highly visible athletes and entertainers UNIT 9


The Los Angeles Galaxy of Major League Soccer sold 5,000 new season tickets in just one day after announcing the signing of mega-star David Beckham

The Beckham effect was felt by teams throughout the league, with the Houston Dynamo reporting a 200% jump in season-ticket sales




In 2009, the WNBA’s Candace Parker has helped the L.A. Sparks’ season ticket

sales reach its highest point since 2005; twice as many were sold the day after she was drafted as the day before, and road crowds were three times bigger for the Sparks than for other WNBA teams




The Minnesota Vikings sold a record number of tickets after the news of Brett Favre signing with the team broke, selling more than 4,000 season ticket packages

and 15,000 single-game seats in less than three days


Promotions PersonnelUNIT 9



In the summer of 2010, the Miami Heat sold out of season ticket inventory in just a few hours after the announcement LeBron James announced in a one hour ESPN special that he would “be bringing (his) talents to South Beach.” As of August 2010, the Miami Herald suggested that more than 6,000 names were on a waiting list season tickets, and that the list was “growing by the minute.”



The New York Knicks managed to sell out their 2010-11 season ticket inventory with just the anticipation of

potentially adding free agent LeBron James to the roster, reportedly even creating a waiting list because of high

demand. After LeBron announced his decision to sign with Miami, the NY Daily News reported that “Knicks fans

dumped their season tickets at face value — and below — on Friday, a day after LeBron James announced he was

heading to Miami instead of Manhattan.”


Storied facilities with tradition also have a unique appeal that help attendance

UNIT 9


Fenway Park (Boston Red Sox)

Wrigley Field (Chicago Cubs)

Lambeau Field (Green Bay Packers)

Madison Square Garden (New York Knicks, New York Rangers New York Liberty, St. John’s University etc.)


Stadiums with Tradition Attract FansUNIT 9



New stadiums and venues rely on improved amenities to excite consumers

UNIT 9



The new $1.3 billion Yankee Stadium has an in-house museum, party suites, a members-only restaurant and many other luxury amenities

"We tried to reflect a five-star hotel and put a ballfield in the middle," said Yankees COO Lonn Trost.


UNIT 9



As a fan-friendly element of the Minnesota Twins new ballpark, the stadium features three-sided shelters where fans can go to warm up on chilly game days

In the new Dallas Cowboys stadium, fans can enjoy the action on the biggest high-def jumbotron in the world


UNIT 9



The Florida Marlins new stadium, scheduled to open in 2012, will feature a left-field beach with a swimming pool (fans buying seats in this area will have a view into the home bullpen), a right-field porch where fans can catch home-run balls and sliding glass panels behind left field to showcase Miami's skyline

Promotional Efforts Drive Sales

In 1952, the legendary Bill Veeck introduced “Bat Day” with the Cleveland Indians, a promotions tradition carried on today by many minor league baseball clubs, including the Indianapolis Indians

UNIT 9



DAY DATE TIME PROMOTION

Sat 5/1 7p Scooby-Doo Appearance

Sun 5/2 2p Logo Baseball Day / Tiger Scout Day / State Employees Day

Mon 5/3 11a Baseball in Education

Tues 5/4 7p Ladies Night

Wed 5/5 2p Business Day Special

Thurs 5/6 7p 317 Ryders Motorcycle Club Night

Fri 5/7 7p Girl Scouts Night / Nurses Night / Kelley Racing Night

Mon 5/17 7p Radio Sponsors Night / Monday Dollar Menu

Tues 5/18 11a Baseball in Education Day

Wed 5/19 2p Business Day Special

Thurs 5/20 7p Insurance Night (2-for-1) / American Stroke Association Night

Fri 5/21 7p Morton Salt Night (2-for-1) / Team Picture Night / Boy Scout Night

Sat 5/22 7p Donnie & Eliza Thornberry Appearance / Lafayette Community Night

Sun 5/23 2p / YMCA Day (2-for-1)

Mon 5/24 7p Monday Dollar Menu / Million Dollar May Giveaway

Indianapolis Indians Promotional Dates

UNIT 9



Wiffle Bat Day


At the end of the 2008 season, the Oakland Raiders teamed up with the Golden State Warriors on a single game ticket promotion. With the help of a mutual sponsor, the teams were able to offer a $50 package that included a ticket to both a Raiders and Warriors game. Nearly 1,000 single game tickets were sold for each club as the result of the promotion with 750 of those coming in the first 2 days of the promotion.

UNIT 9




Concert promoters now offering VIP packages, offering fans opportunities to access the best seats for the show and often times exclusive access to the artist for a premium price. Packages might include a back stage tour and pre-show dinners.

Through the sale of premium packages, concert promoters and artists can make as much on 10% of their audience as they do on the other 90%. While an average concert ticket may cost $90, the VIP ticket can go for $1750. Broadway shows have also enjoyed a lot of success through the implementation of premium VIP packaging.

UNIT 9






LSU’s athletics staff features an entire department devoted to promotions, including a director, two assistant directors and two coordinators

The NBA’s Golden State Warriors employ a staff of five to focus specifically on group ticket sales

Most organizations employ a full-time staff to manage promotions and sales




The Green Bay Packers, whose home games have been sold out on a season ticket basis since 1960, do not have any ticket sales personnel on staff and, subsequently, do not typically host any ticket driven promotions at games

By contrast, the New Orleans Hornets have a staff of nearly 30 sales representatives with a ticket sales focus

The frequency of promotions and size of sales staffs are dependant upon a team’s available ticket inventory




After the announcement of the signing of free agents LeBron James, Chris Bosh and Dwyane Wade, the Miami Heat quickly sold out of ticket inventory. Soon after, the team let go a reported 30 ticket sales staff members. Said team spokesperson Lorrie-Ann Diaz, “Now that the supply for (season tickets) has been exhausted we no longer require a season ticket sales team.”

Market Research in Ticket Sales

How do fans feel about the ease of buying tickets?

What motivates fans to buy tickets?

What factors impact a fan’s decision to attend a particular game?

Does the organization review fan demographic information when creating ticket marketing strategies?

UNIT 9



Market Research in Ticket Sales

Which newspapers and sections are fans most likely to read?

Which radio station favorites best fit fan demographics?

Which television stations are fan favorites?

UNIT 9



Ticketing Trends

Like any other industry, business trends play an important role in how sports and entertainment properties market their products and services

One current industry trend is the development of “flex” ticket packages

UNIT 9



Ticketing Trends

* Flex package purchasers only have to pay for parking once and the package is good for 14 consecutive days

* Flex package buyers can “jump” between parks as many times as as they wish during those 14 days

UNIT 9



The “Orlando Flex” ticket package offers buyers access a number of different parks, including Universal Studios, Sea World, Wet N Wild and

Busch Gardens

Ticketing TrendsUNIT 9



Minor league hockey’s Green Bay Gamblers offers flex packages of 8, 15, or 30 games

Fans have the luxury of choosing any

games they want

Lesson 9.2 –

Ticket Sales Strategies


Season Tickets

Season tickets:

Provide consumers with a ticket to every home game for a particular sport or event for one package price

Season tickets typically provide the core revenue stream for most professional sports teams, colleges and universities

UNIT 9



UNIT 9



Season Tickets

Most organizations include additional benefits for consumers purchasing season tickets to add value to their purchase

Season Ticket Benefits

TEXAS RANGERS SEASON TICKET BENEFITS

As a Rangers full season ticket-holder, you can enjoy the following benefits:

• 20% off concessions

• Bonus tickets for select months

• Complimentary coupons for upgrading seats on select dates

• Personalized season ticket holder name plate on seats

• Private season ticket entrances

• Annual season ticket holder picnic with player autographs

• Season Ticket Holder End-of-Season Play Day on the field

UNIT 9




The Brooklyn Cyclones make an effort to personalize season ticketholder benefits

• Membership to “Cyclones Nation”, where ticketholders are issued a username and password providing access to an exclusive STH-only page on the Cyclones website, featuring an interactive blog, chats with the team’s General Manager and additional discounts

• An opportunity to come take batting practice at the ballpark

UNIT 9




The Brooklyn Cyclones make an effort to personalize season ticketholder benefits

• The chance to stand on the field, side-by-side with the 2009 Cyclones team for a group picture that ticketholders can download and print for free

• An exclusive invitation to see the team’s first practice of the year

UNIT 9



Personal Seat Licenses

A personal seat license (most often referred to as a PSL), gives the holder the right to buy season tickets for a specific seat within a stadium or venue

Teams and venues typically offer PSLs as a means for generating additional revenue to help offset the debt incurred during the construction of the stadium or arena

UNIT 9



PSLsUNIT 9



With the opening of their new stadium in 2010, the NY Jets wanted to reward fans who made an extra commitment to the franchise by contributing money, through PSLs, toward the Jets' $800 million share of stadium costs by offering those fans the premier parking spaces at the stadium, leaving upper level ticket buyers to settle for parking spaces further from the stadium.

Said Thad Sheely, Jets Vice President; "We're trying to create a benefit for our PSL holders, not trying to treat anyone worse.”

PSLsUNIT 9



With the opening of their new stadium in 2010, the NY Jets wanted to reward fans who made an extra commitment to the franchise by contributing money, through PSLs, toward the Jets' $800 million share of stadium costs by offering those fans the premier parking spaces at the stadium, leaving upper level ticket buyers to settle for parking spaces further from the stadium.

Said Thad Sheely, Jets Vice President; "We're trying to create a benefit for our PSL holders, not trying to treat anyone worse.”

Ticket Packages

A ticket package is a sales approach that involves grouping together a select number of games to form a “package” or “mini-plan”

Teams generally offer a special rate and/or an additional benefit for committing to a greater number of games

UNIT 9



UNIT 9



Ticket Packages

Packages offer flexibility for consumer purchases by requiring smaller financial and time commitments to purchase game / event tickets

• Season Ticket Holder gift • Guaranteed seat location • Discount off gate prices • Playoff ticket priority • Renewal rights based on availability • Personal season ticket account executive • Complimentary subscription to Magic Magazine • Yearly upgrade opportunities into Full Season packages • Complimentary subscription to E-Magic Insider (e-mail newsletter) • Ability to purchase additional game tickets in advance of public sale

UNIT 9



Orlando Magic half season packages offer these great benefits:

UNIT 9


Tue. Feb. 8 vs. Golden State

Sun. Feb. 13 vs. New Orleans

Tue. Feb. 22 vs. Indiana

Wed. March 2 vs. Sacramento

Fri. March 4 vs. NY

Fri. March 11 vs. Minnesota

Sat. March 26 vs. Phoenix

Wed. March 30 vs. Toronto

Fri. April 8 vs. Detroit

Mon. April 18 vs. Indiana

Wed. April 20 vs. Miami


Wed. Nov. 3 vs. Milwaukee

Tue. Nov. 9 vs. Dallas

Fri. Nov. 12 vs. L.A. Lakers

Sat. Nov. 27 vs. Philly

Mon. Nov. 29 vs. Boston,

Sat. Dec. 4 vs. Memphis,

Sat. Dec. 18 vs. Denver,

Wed. Dec. 22 vs. San Antonio

Sat. Jan. 8 vs. NJ

Tue. Jan. 18 vs. Detroit

Thur. Jan. 20 vs. Houston,

Tue. Feb. 1 vs. Cleveland

Orlando Magic Half Season Plan

The Weekender Game Pack 2004-05

Opponent Date

Columbus Oct. 23

Edmonton Nov. 6

Detroit Dec. 11

Anaheim Jan. 23

New Jersey Jan. 29

St. Louis March 12

Colorado April 10

See your favorite Calgary Flames opponents on the weekend with five Saturday games and two Sunday games. Rival Edmonton and perennial powerhouse teams Detroit and Colorado are all in the Weekender Game Pack

UNIT 9



Ticket Mini-Plans

UNIT 9



Fort Myers Miracle “Monday Night Club”

Typically Monday nights are difficult days for teams to draw crowds so, in 2009, the Fort Myers Miracle created the “Monday Night Club” where, for $30, “members” receive a ticket to every Monday night home game through the entire season, free parking and a Monday Night Club t-shirt

Season Ticket Equivalent

Season Ticket Equivalent:

Refer to the sum of all of the various ticket packages sold converted to one measurable number

Also referred to as FSE (Full Season Equivalent)

UNIT 9



Let’s say the Kansas City Royals sold 400 new quarter season packages, 800 new half season packages and 2,000 new full season packages in the off season.

How many season ticket equivalents (FSEs) did they sell?

UNIT 9



Discussion Topic

Quarter season tickets (400 total) = 100

Half season tickets (800 total) = 400

Full season tickets (2,000 total) = 2,000

Season ticket equivalents = 2,500

UNIT 9



Discussion Topic

Group Tickets

Group tickets:

Refer to a reserved block of tickets for a specific game or event

Groups usually require a minimum of ten or more individuals to qualify for group rates

UNIT 9



Group Ticket Packages

Bring your group of 10 or more to the D.C. United playoff game on Saturday, October 30th at 7:00pm and receive a special group discount, preferred block seating, your group name in lights on the scoreboard during the game! All fans are encouraged to WEAR BLACK to this event. Your group has the option to order a limited-edition tee-shirt for each person in the group for an additional $4 per person. Fill out your contact information with credit card details and we'll take care of the rest.

UNIT 9



Rent, the Tony Award and Pulitzer Prize winning musical continues to thrill audiences all over the world. Based on Giacomo Puccini's classic 1896 opera, La Boheme, Rent tells an the story of struggling young artists living on the edge and reaching for glory in New York's East Village. With exciting rock music, intelligent lyrics and a hot young cast, Rent sings of our time, of facing an uncertain future with courage, humor, loyalty and love…

Group Ticket Minimum:

Ten (10) Tickets

UNIT 9



http://www.broadway.com/index.asp

“Our (Sea World) group discounts apply to a group of 20 people or more. The group rate is available at the

ticket booths on the day of your visit or prepaid vouchers can be purchased prior to your visit. Payment

by cash or bank cheque. Unused vouchers are non refundable. For more information contact our Group

Sales Department.”

UNIT 9




Groups of 20-49 receive 10% discount

ADULTS $52.20

CHILDREN (4 - 13 years) $33.30

UNIT 9




Groups of 50-99 receive 12.5% discount

ADULTS $50.75


Groups of 100+ receive 15% discount

ADULTS $49.30


In an effort to attract new fans and compete in a more competitive environment, many

organizations have turned to unique “fan experience” packages to boost group ticket

sales

UNIT 9



“Interactive” Ticket Packages

Interactive Ticket Packages

With a minimum purchase of 75 group tickets, fans can sign up for the Boston Celtics “Halftime High Five Kids Tunnel” where up to 25 members of the participating group have (open to those 14 years and younger) the opportunity to actually get on the court

and high-five the Celtics players as they come back onto the court after half-time

UNIT 9



Celtics Halftime High Five Kids Tunnel


The Los Angeles Sparks offer a “traveling practice” program where, if a group purchases 1,000 or more

tickets, the team will hold a full practice at the site of the ticket buying group’s choice

UNIT 9



Sparks Traveling Practice Program


Through the team’s “Court of Dreams” ticket package, Oklahoma City Thunder fans have the chance to play on the court before

the game. In 2009, the team hosted students from 13 area high schools at the Ford Center and students competed in various

basketball “competitions” with winners getting their game night seats upgraded.

Thunder Vice President of Community Relations Dan Mahoney on the program: “A lot of people would love to play on an NBA

court, and through our group sales effort, we are able to provide that to our fans.”

UNIT 9



Thunder’s Court of Dreams

“Theme” Ticket PackagesUNIT 9



The goal of a theme night ticket package is to attract large groups to attend a game or event through creatively marketing a ticket package designed exclusively for their particular group

Theme Night Tickets

“Don’t have a reason to get together? We’ll give you one! Just take a look at the dates we’ve selected to celebrate different

themes that include just about everybody. There’s sure to be a Theme Night that will give you and your group the perfect

chance to take in a game, surrounded by others who share your enthusiasm.”

UNIT 9



Bobcats Theme Nights Let You Create An Instant Occasion!

Theme Night Tickets

SCOUT NIGHTSSaturday, November 6 - 7 p.m. - Orlando Magic

Friday, January 28 - 7 p.m. - Toronto RaptorsFriday, April 1 - 7 p.m. - Toronto Raptors

TEACHER APPRECIATION NIGHT/DAY

Saturday, December 18 - 7 p.m. - Houston RocketsSaturday, April 16 - 1 p.m. - New York Knicks

YOUTH BASKETBALL NIGHTS

Saturday, November 13 - 7 p.m. - Golden State WarriorsWednesday, December 29 - 7 p.m. - Indiana PacersSaturday, March 5 - 7 p.m. - Washington Wizards

UNIT 9



Theme Night Tickets

Golf Night – December 8th : If Adam Sandler can pull it off… so can we! (Sleeve of Gulls Golf Balls give-away)

Old Time Hockey Weekend – January 21st and 22nd : All the hockey traditions brought back in one weekend! (Hockey Puck give-away on Friday and Gulls T-Shirt give-away Saturday)

Trucker Night – February 19th : Gulls Trucker Hat Give-away

“If the Gulls are cooling everything off this season, Why are Saturday Night Games so HOT?”

Saturday Night Fever Theme Nights

UNIT 9



Theme Night Tickets

Disco Night – March 5th : Ah the 70’s! If only that decade were frozen in time! You bring the big collars, bell-bottoms and gold chains and we’ll provide the FRO wigs!

80’s Night – March 19th : Who doesn’t get chills when they think of the 80’s! (Tank Top Give-away)

Fan Appreciation Night – April 9th : This night is etched in ice for you! (Gulls Hat Give-away)

UNIT 9



Theme Night Tickets

2004 Girl Scout Night With The CometsBe sure to bring your friends and family to the game!

VS.

Don’t miss out on all the fun!

Join your troop and other Girl Scouts as the Comets take on the Connecticut Sun!

Then, stick around for the first ever Girl Scout Lock-in at Toyota Center.

UNIT 9



Single Game Tickets

Many organizations promote the sale of individual game tickets to fans prior to the start of the season, game or event

Advance sales encourage fans to purchase tickets to individual events in advance to eliminate the risk of people changing their minds on the day of the game

UNIT 9



Single Game Tickets2004-2005 University of Wisconsin Badgers Women’s

Basketball

Single Game Tickets

UNIT 9



GENERAL PUBLIC HOME SINGLE GAME TICKETS

Three Game packages will go on-sale at 8:30 am on Monday, October 18 and home single game tickets will then go on-sale at 8:30am on Monday, November 1. If necessary, the standard ticket lottery system will be used for those purchasing tickets at the ticket office. All reserved single game tickets are $7.00. Reserved single game tickets MUST be purchased in advance, as there will be no day-of-game reserved single game tickets for sale. All day-of-game sales will be general admission tickets. Adult general admission single game tickets are also $7.00. UW student, youth (2-17), and senior citizen (55-up) general admission single game tickets are $3.00.

Single Game TicketsUNIT 9



The NBA’s Cleveland Cavalier’s have effectively marketed the release date of individual game tickets. The campaign has been so effective that they now must utilize a wristband lottery priority system for fans planning to purchase tickets




The Milwaukee Brewers implemented a promotion focused on star first baseman Prince Fielder’s participation in Major League Baseball’s 2009 Home Run Derby. With every homer hit by Fielder, fans received $1 off the purchase price of an Outfield Box Seat for the August 11-13 series against the Colorado Rockies. Fielder wound up crushing 23 total home runs during the competition meaning fans could purchase box seats, normally priced at $28, for just $5. The promotion reportedly created a wild scene at the Miller Park ticket office the following morning when hundreds of fans lined up at the Box Office, and the 5,000 available tickets were sold out in just 12 minutes.




The Houston Astros offered a "one day opportunity" to fans subscribed to the team’s email service. An offer for special promotional discounted tickets for the up-coming weekday games and lasted just one day (from 9:00 to 5:00). The promotion helped the franchise sell nearly 1,000 tickets.

Premium Seating

Premium seats are tickets to a game or event that feature additional benefits or values

Premium seats could include anything from suites, courtside seats, or seats elsewhere that receive preferential or “VIP” treatment

UNIT 9



Premium Seating - Suites

A company that leases a luxury suite at the Staples Center in Los Angeles receives tickets to each event throughout the year, including the Lakers (NBA), Clippers (NBA), Kings (NHL), Avengers (Arena Football), Sparks (WNBA) concerts and family shows

UNIT 9



Premium Seating – Club Seats

“Executive Club Seat Members” at the Georgia Dome in Atlanta receive VIP parking privileges, access to private “lounge” areas in the stadium (described online as “spacious, sun-filled atriums that feature living room style lounges with big screen televisions with specialty grills and buffets in both areas also offer food selections prepared to order”) and access to exclusive concessions options

UNIT 9



Premium Seating PREMIUM SEAT HOLDERS ALSO RECEIVE THESE ADDITIONAL BENEFITS:

The VERY BEST seats season to season Priority upgrades during renewals Discount beverage coupons Exclusive Premium Seat Holder commemorative season poster Offers to other local events, when available

UNIT 9



Promotional Tickets“Come Celebrate Elvis Night”

· Elvis singing at the South Atrium Stage during pre-game · Elvis singing the National Anthem · Elvis Karaoke Contest · Elvis Costume Contest · Elvis Dances/Dancers & Blaze · Appearance by the Dunking Elvises · Win a trip to Graceland!

Elvis Night, March 3, 2004 at the Rose GardenBlazers vs. Bonzi Wells and the Memphis Grizzlies

UNIT 9



http://www.ticketmaster.com/event/0F00374901CAA787?brand=&majorcatid=10004&artistid=806009&minorcatid=7

Lesson 9.3 –

The Ticket Sales Cycle


Sports & Entertainment Marketing Goals

The ultimate goal of sports and entertainment promotion according to Mullin, Hardy and Sutton is to “increase overall consumption of products or services through increased awareness and interest”

UNIT 9



Frequency Escalator

The frequency escalator is a marketing tool that examines the attendance levels of fans

The basic concept of the escalator is that sports and entertainment marketers focus not on getting new fans to games, but rather encourage those fans already attending to attend with more frequency

UNIT 9



The Frequency Escalator

Medium UserMedium User

Non UserNon User

Indirect UserIndirect User

Light UserLight User

Heavy UserHeavy User

UNIT 9



The unaware consumer does not know a product or service exists and therefore does not attend games or events


The sports and entertainment marketer reaches this group of consumers through advertising, publicity and promotional items

UNIT 9


Frequency Escalator

The indirect user is aware of the product or service, but does not directly participate by attending events, but rather consumes via another source (television, radio etc)


The sports and entertainment marketer goal with indirect users is to do something to get them to act. This group of consumers can be reached through promotional tickets, individual/single game tickets, theme nights and group nights

UNIT 9


Frequency Escalator

Light users attend games and events for promotional giveaways, team performance and social interaction


This group of consumers can be reached through increased promotion and give-aways and creative packaging strategies

UNIT 9


Frequency Escalator

Medium users attend less than half the times possible


The keys to reaching this group include good service, appealing to fan pride, creating team affiliations, added benefits such as seat locationsand emphasis on the value of fan participation

UNIT 9


Frequency Escalator

Heavy users participate or attend more than half the times possible and are the most important group to an organization


Examples of heavy users include season ticket holders, Tom Cruise fans that see each of his films in the theater and purchase all of his DVDs and fans of the Dave Matthews Band who see the concerts each time they visit the fan’s city and purchase all of their CDs

UNIT 9


Frequency Escalator

Descending the escalator occurs when consumers downgrade or eliminate their participation levels


Descending the escalator occurs when a consumer has over purchased or overcommitted

UNIT 9


Frequency Escalator


Is often a byproduct of fan disconnect or discord with “their” team, event, or favorite performers

UNIT 9


Descending the Escalator

Lesson 9.4 –

Ticketing Technologies


Distribution

Database Marketing

Service

Sales

How has technology improved the ticketing process?

UNIT 9



Ticketing TechnologiesUNIT 9



The world wide web provides many access points for fans wanting to purchase tickets online

TicketMaster.com

Individual team, league or event websites

Online ticket brokers

Fandango.com

Technology has streamlined the distribution of tickets

Major League Baseball’s San Francisco Giants utilize barcode technology to scan tickets as fans enter the stadium (SBC Park) through electronic turnstiles.

What are the advantages to implementing barcode technology at a stadium?

Ticketing Technologies - Discussion


UNIT 9


What are some advantages?

1) Enables the team to avoid common ticketing problems

2) Staff can quickly deactivate lost or stolen tickets and reissue new ones

3) Virtually eliminates the possibility of erroneously selling the same seat more than once

UNIT 9



Ticketing Technologies - Discussion


UNIT 9



All events hosted at the Intrust Bank Arena in Wichita will feature mobile ticketing in which tickets are delivered directly to customers’ cell phones.

If customers select mobile delivery, they then receive a digital bar-coded picture message that serves as an alternative to a physical, hard copy ticket.

Ticket Distribution

UNIT 9



Ticket Distribution

All events hosted at the Intrust Bank Arena in Wichita will feature mobile ticketing in which tickets are delivered directly to customers’ cell phones.

If customers select mobile delivery, they then receive a digital bar-coded picture message that serves as an alternative to a physical, hard copy ticket.


Database marketing is the process of gathering information about existing and prospective customers, entering that information into a centralized database, and using that database to drive marketing efforts

Database marketing has enjoyed continued growth as the new trend in direct marketingamong many sports and entertainment organizations

UNIT 9



UNIT 9



Database Marketing

Database marketing enables marketers to capture information directly relating to their fan bases and allows for a more effective direct marketing campaign

In an effort to build their database and expose new fans to their product, the NBA’s Portland Trail Blazers launched an email campaign encouraging fans to register online. Fans who registered online received a pair of complimentary tickets to a pre-season game.

UNIT 9



Database Marketing

Ten years ago, the Staples Center hosted its first prime time boxing event (De La Hoya vs. Mosley). Arena marketers made a conscious effort to capture information about ticket buyers and begin building a database. A decade later, the database has grown significantly and has helped the facility enjoy some of the most profitable nights in Staples Center history.




Generate new business

Boost renewal and retention rates

Establish sales leads

Increase fan loyalty

Strengthen relationships with customers

Improve communications with fans

By segmenting fans based on their buying habits and demographic information, an organization can:

UNIT 9



Service

Many organizations have implemented online account manager programs for their season ticket holders as a vehicle for improving customer relations

Technology makes communication easier and more effective between teams and consumers

The Memphis Grizzlies season ticket holders enjoy many benefits via the team’s Website

UNIT 9



Service

Forward tickets electronically, allowing customers to email tickets to friends, family or clients—even at the last minute

Manage tickets by tracking ticket usage and managing guest lists online

Edit personal profiles to keep account info updated

Make payments, view statements, and renew ticket packages

UNIT 9



Sales

Dynamic ticket pricing refers to the process of adjusting ticket prices on the basis of changing variables like weather, opponent, demand, availability or who is scheduled to pitch on a particular day

Many teams already charge different prices for seats based on the opponent or other factors, but the dynamic pricing allows an organization to manage ticket sales efforts by carefully measuring supply and demand and creating price points accordingly

UNIT 9



Sales

In a 2009 series vs. the New York Mets, the San Francisco Giants had some bleacher seats that regularly go for $17 each varied in price from $15 to $33, depending on the weather and pitching matchups

UNIT 9



Sales

In 2009, the NHL’s Dallas Stars also adopted a dynamic ticket pricing model. The technology analyzes the Stars and their opponents' win-loss records, attendance, stats, opposing players, and more. Standings, ticket inventory, and attendance also play a role in determining the ticket price.

By implementing the new strategy, Stars fans could see dramatic swings in ticket prices. CNet.com reported that terrace seats would be offered for $36 for the Stars' Oct. 14 game. Just two days later, those same seats will be offered for $60.

UNIT 9



Sales

Reports began swirling in 2009 that both LiveNation and Ticketmaster have been giving consideration to applying dynamic ticket pricing strategies so this is a trend that may begin gaining some traction in the near future




The selling of tickets by an unauthorized third party, called “ticket scalpers” or online brokers, has become commonplace online

This practice has a negative impact on an organization’s bottom line, and ultimately drives ticket prices up for consumers

Drawbacks to the Advancement of Ticketing Technologies





In 2009, Florida toughened its ticket scalping laws to help consumers when Gov. Charlie Crist signed into law a new ticket resale bill that requires Internet brokers to offer better guarantees, outlaws the sale or use of "bot" software, and makes it illegal to scalp tickets to charity events




During the 2010 FIFA World Cup in South Africa, a special World Cup court sentenced a Nigerian scalper to three years in jail after he was found with 30 tickets on for the opening match





StubHub boasts partnerships with St. John’s, USC, Wisconsin and Georgetown Athletics (among many others) as the “official ticket marketplace”

RazorGator stakes its claim as the “official ticket package partner of the Ultimate Fighting Championship”

Sports and entertainment properties are now being challenged to adapt to the seismic growth and

legalization of the secondary ticket market




In 2008, Ticketmaster paid $265 million for ticket reseller TicketsNow to secure a larger piece of the secondary market

TicketLiquidator launched in 2002 and boasts an inventory that includes more than 4 million tickets for over 83,000 events worldwide

Sports and entertainment properties are now being challenged to adapt to the seismic growth and

legalization of the secondary ticket market

Blank Slide Available

for Teacher Edits

UNIT 9




UNIT 9 REVIEW (ANSWERS)UNIT 9 REVIEW (ANSWERS)


1)Understand the importance of ticket sales to the sports and entertainment industry

Specific evidence supporting the importance of the ticket sales function would include a 2003 report by the Sports Business Journal that $11.7 billion was spent by consumers on tickets to sporting events that year. Additionally, ticket sales typically generate between 50 – 66% of a Major League Soccer franchise’s annual revenue.




2)Identify factors that influence a fan’s decision to purchase tickets

Performance

Fan loyalty and fan support

Highly visible athletes and entertainers

Facilities, venues and stadiums

Promotion and sales




3)List five ticket sales strategies

Season tickets

Ticket packages

Group tickets

Theme tickets

Individual game and single game ticket sales (advanced sales)

Premium seating

Walk up and promotional ticket sales




4)Define ticket package

A ticket package is a sales approach that involves grouping together a select number of games to form a “package” or “mini-plan”

5)Explain the concept of frequency escalator

The basic concept of the escalator is that sports and entertainment marketers focus not on getting new fans to games, but rather encourage those fans already attending to attend with more frequency with an increased level of commitment




6)Describe how ticketing technology has provided innovative alternatives for customers

Ticketing technology has improved the customer buying experience by creating additional and improved distribution channels. Customers can purchase tickets in person, on the telephone or via the Internet. Today, customers have the capability to manage their accounts, print tickets at home or event send to tickets to friends and family electronically.

End Unit 9


Unit 9 – Ticket Promotion & Sales Copyright © 2010 by Sports Career Consulting, LLC.

Documents

ticket promotion sales

seasonticket sales copyright

ticket sales strategies

role of ticket sales

sparks season ticket

sports career consulting

season ticket packages

season ticket inventory