Showing posts with category "ticket pricing"

MLB Umps: Evaluated but not Incentivized

The egregiously poor call against in the Yankees-Orioles game when Mark Texeira slid into first base throws attention back on to several issues with MLB umpiring: 1. Umps utilize "models" to assist or determine their decisions.   On tag plays, how early the ball arrives matters in addition to (and sometimes independent of) the actual tag.  At first base, it's a foot hitting the bag and sound of ball hitting the glove model.   On average, these models cut down on errors, but they can fall prey to big mistakes, especially when something falls outside the scope of the model like a […]

May 12, 2020
tags
MLB

If You Oppose Stadium Subsidies, then You Might Be a Deadbeat

Have you ever wondered about the demographics of people who oppose stadium subsidies?  Me neither, but here's something from Savethevikes.org, a stadium proponent website. As with any public hearing we do expect to hear from opposition on a Vikings stadium and given the time slot, the advantage goes to opponents. We typically see those who are unemployed or on a fixed income advocating against a new stadium because the government isn’t giving them enough. All while the majority of the Vikings 2.5 million fans are working. Well, at least the author didn't refer to us pencil-necked, pointy-headed professors - employed […]

May 12, 2020
tags
economic impact

It's Good to be the Cupcake

(I just put an idea into a marketer’s mind somewhere but moving on …) To put Tuesday’s developments in perspective, the Pac-12 and SEC released their schedules in late December and early January. The delay also means it's a sellers’ market, if you’re a football bottom feeder willing to yourself to the highest bidder. There is talk of I-AA schools (FBS) with openings on their schedule getting $800,000-$1 million to come get their butts beat by a BCS school. That's Dennis Dodd at Dodds and Ends (via John LaPlante).  The price doesn't surprise me a bit for two reasons.  First, payouts […]

May 12, 2020
tags
Uncategorized

Progressive Field Becomes Winter Sports Field

The Cleveland Indians are getting ready to open a skating track and 10-lane snow tubing hill at Progressive Field during the offseason. ...Senior director of merchandising and licensing Kurt Schloss declined to specify financial goals. He says the aim is attracting fans downtown during the offseason. That's from the Akron News. That raises the question of why the Indians would offer a service to attract "fans downtown".  Color me skeptical, but I doubt it's much of a factor.  Does Target sell products and to attract people to the mall?  No.  Target does what it does to generate profits.  The fact […]

May 12, 2020
tags
economic development

Faking = Cheating? The Curious Case of Derek Jeter

As anyone other than the home plate umpire watching Wednesday night could easily determine, both from the loud "doink" of the ball hitting the bat as well as video replay, Chad Qualls did not hit Derek Jeter with a pitch in the 7th inning 's of the Rays-Yankees game.  Instead, Jeter faked (acted, simulated, ...) pain from being hit, prompting the ump to award first base.  While Jeter has received a little bit of "Cheater" backlash, most media reflections on his actions have been very mild.  (Huffington Post hosts a vote on "is it cheating or not".) Rays manager, Joe […]

May 12, 2020
tags
baseball

The Wooden School of Management

As a young sports fan, I came of age watching but not liking UCLA basketball in the late 1960s and early 1970s.  They were Goliath and I pulled for the variety of Davids facing them.  As I grew into a sports economist, long after John Wooden's retirement, my respect for Wooden's methods as a coach grew as his firm but low-key style stood miles apart from the growing hordes of  maniacal figures stomping around college sidelines.   As I researched books, interviews, and articles about a variety of successful managers and coaches for my 2005 book, From the Ballfield to […]

May 12, 2020
tags
college basketball

NCAA Men's Basketball Postseason Roundup

March Madness is upon us again.  This year, the men's college basketball postseason features some interesting economic madness across the board.  For the second year in a row, there are four postseason tournaments. Here's a roundup of the four events: The NCAA Division I Men's Basketball Championship. The "Big Dance."  65 teams in a single elimination "knockout" tournament spread over three weekends in March and April.  Games are held at predetermined neutral sites across the country.  The big economic news here is that this could be the last year of the much-loved 65 team format, which has been in place […]

May 12, 2020
tags
college basketball

Why Are Economic Models so Complex?

We sports economists have become accustomed to inflated economic impact statements made in documents used to support subsidies for sports. Economists Craig Depken and J. C. Bradbury have recent posts on their blogs about this issue. First, in a post over at Division of Labour, Craig posts an excerpt from a Miami Herald article on the economic impact of Super Bowls in Miami. Advocates of the Super Bowl as an economic engine dismiss its academic skeptics as using complicated formulas to obscure the obvious. And they note that the reports bashing NFL figures bring the professors coveted media coverage as […]

May 12, 2020
tags
economic impact

Tiger Financial Fallout

How much will Tiger lose in income from recent negative publicity? This has been subject of considerable speculation around our hallways and on the web. In part, Tiger stands to lose a lot of money because of such a huge lead on everyone else. Si.com puts his pre-"event" endorsement income at $92 million, about double of Phil Mickelson at $46 million and over three times the $28 million for third place LeBron James. Forbes.com provides a breakdown of his biggest deals. Of that $92 million, a third comes from Nike. Given the length of that relationship, Nike's past profitability from […]

May 12, 2020
tags
endorsements

Report: Lower Ticket Prices for Women's Basketball is Due to Institutional Sexism

From the Chronicle of Higher Ed.: "Colleges charge a premium for admission to see males play, even when women's basketball teams are ranked as among the very best performers in the nation," write the authors, Laura Pappano and Allison J. Tracy, both of the Wellesley Centers for Women. By charging less for admission to highly ranked women's games, the authors say, athletics departments engage in "institutional discrimination that is camouflaged as sensible economic practice." The report analyzed ticket prices at every level, from single-game to season tickets, at 292 Division I colleges. The results showed that ticket prices for women's […]

May 12, 2020
tags
college basketball

Fans as Inputs

After last night's Twins/Tigers game - helluva game, no? - the announcers for TBS mentioned that the fans played a big part in the Twins win. 54,000 Twins fans hollering and waving their rally towels would have been impressive to see. This isn't the only time that fans have been noted as an important part of the game. Texas A&M officially calls their student body the 12th Man, and the team honors one of its players by having him wear the number 12. Basketball teams call their crowds the 6th man because of their effect. Gary Pinkel, the university of […]

May 12, 2020
tags
profit-maximization

Fans as Inputs, An Apparently On-Going Series

In an earlier post I mentioned that there aren't too many treatments in the formal sports economics literature that examine fans as inputs. One notable exception is that from David Boyd and Laura Boyd that appeared in the Journal of Economics and Finance in 1998 (issue 2/3 pp 169 - 179). They develop a model where fans are an input in winning and they use it to give an explanation as to why the common finding of inelastic ticket pricing is not inconsistent with profit maximization. Here's the conclusion to their article. Increasingly, economists are utilizing standard microeconomic analysis in […]

May 12, 2020
tags
Elasticity of demand