sports ticketing
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SPORTS TICKETING. CHRIS STAIRS ( BA, MBA ) Director, Ticket Sales Vancouver Organizing Committee for the 2010 Olympic & Paralympic Games. YOUR OBJECTIVES?. What do you hope to get out of this class? - PowerPoint PPT PresentationTRANSCRIPT
SPORTS TICKETING
CHRIS STAIRS (BA, MBA)Director, Ticket SalesVancouver Organizing Committee for the
2010 Olympic & Paralympic Games
YOUR OBJECTIVES?
What do you hope to get out of this class? What are some sports marketing questions you’d
like to have answered by the end of this course? What are some questions you have about
ticketing and pricing?
CAREER OPTIONS?
What are some professions you can pursue in the realm of sports marketing?
•Media / Broadcast•Event Marketing•Event Management•Advertising•Apparel / Licensees•Community Centres / Athletics•Technology
•Franchise Management(Marketing, Sponsorship, Operations, Finance)
•Corporate Partners•Community Partners•League Offices•Sport Federations•Service Providers
SPORTS TICKETINGVancouver 2010 Winter Olympics
VANOC 2010 – Ticketing AnnouncementWhat & When?Impressions? Perception?How many tickets will be in the market?At what prices? How affordable?How many will be available to the Public?How and when will you be able to order them?
SPORTS TICKETINGVancouver 2010 Winter Olympics
2010 TICKETS – Managing the Message!FairAccessibleOnce-in-a-Life-TimeSign up at Vancouver2010.com
THE PILLARS or 4 “P’s”of MARKETING
Product
Price
Promotion
Placement
SPORTS TICKETING
LESSON TOPICS:• Defining the Product
• Pricing the Market
• Managing the Sales Process(Memphis Grizzlies Case Study)
SPORTS & SPECIAL EVENTS
WHAT ARE YOU PRICING?
TicketsFood & BeverageMerchandiseParkingPrograms / SouvenirsOther???
SPORTS TICKETINGProduct Variety
TICKET PACKAGES / BUNDLES (Pro Franchise)?Season Tickets $2,500 -- $100,000Half Seasons $1,250 -- $25,000Mini-Plans $500 -- $1,000Groups 10-20% of Single Tix PriceSingles $5 - $1,350Suites / Club Boxes $100,000 +
How Else Might Tickets Be Bundled For Sporting Events or Clubs Other Than The Big Four (NFL, NBA, NHL, MLB)? VANOC 2010?
SPORTS TICKETING
BREAK TIME….
See you in 10 Minutes
SPORTS TICKETINGPrice versus True Costs
WHAT DOES IT REALLY COST A CUSTOMER?Married couple spends a modest night at the Canucks!
Upper Deck Tickets (2) $100Parking / Transportation $5Food & Beverage $25Merchandise / Souvenir $2050/50 Draw $10
Baby-Sitter??? $30Cocktail (Before / After Event) $20
TRUE COST $210
SPORTS TICKETINGPrice versus Value
WHERE DO CUSTOMERS FIND VALUE?
Team PerformanceOff-Court / Half-Time EntertainmentGuest Service ExperienceReserved Parking!!! (The Total “Experience”)Cleanliness / Accessibility / AmenitiesExclusive Gift Items / Opportunities / Events / Signings
(T-Shirt Costs $2 to Print; Perceived to be a $20 Value)
SPORTS TICKETINGPrice Sensitivity
WHAT ARE SOME SPORTING EXAMPLES OF… Elasticity Inelasticity Unitary
WHAT ABOUT MARKET / PRODUCT SEGMENTATON? Demographics (Youth, Single Professionals, Couples, Families) Purchase Type (Domestic, Corporate, Charity, etc…) Product Type (STH, Mini-Plans, Groups, Singles, Suites…) Event Type (NFL, NBA, MLB, NHL… Other???) VANOC 2010 – Specialty Clients vs. General Public???
WHAT IS MEANT BY ELASTICITY of DEMAND?
SPORTS TICKETINGPrice Sensitivity
HOW DO YOU MEASURE PRICE SENSITIVITY?Direct Mail or Tele-Marketing SurveysFocus GroupsDemo / Psycho-graphic Studies (e.g. Scarborough)Competitor / Substitute Behavior & OptionsPast Market Models & SuccessesComparable Market Studies
No Perfect Science.
Sometimes Leagues / Owners Dictate Price Policies.
SPORTS TICKETINGPricing Objectives
WHAT CORPORATE OBJECTIVES MAY EXIST?Revenue / Profit TargetsSell-Out ObjectivesAnnual Growth TargetsCovering Operating CostsAccessibility to Market – Meeting Market DemandCommunity Service / OutreachNot-For-Profit Model
SPORTS TICKETINGPricing Methodologies
WHO MIGHT EMPLOY THE FOLLOWING METHODS?Break-EvenCost-PlusMarket Demand / What The Market Can BearCapitation Pricing
WHAT DO YOU THINK VANOC 2010 EMPLOYS?And the MEMPHIS GRIZZLIES?
Life-Time-Value of a Customer Calculation
SPORTS TICKETINGPrice & Promotions
DRIVING INVENTORY THAT DOESN’T MOVE!$5.00 Bleacher SeatsSpecial Promotions (Clip Your Hair for the Clippers)Family Days (4 tix, 4 dogs, 4 sodas for only $44)Premium Give-Away NightsTickets For Kids
What are some of your favourite promotions???
SPORTS TICKETINGSecondary Market
BROKERS & SCALPING – Good, Bad & Ugly! It’s A True Measure of Market Demand It’s Also The TRUE Measure of Market Demand
HOW CAN / DO TEAMS MITIGATE THE EFFECTS OF A SECONDARY MARKET?
SPORTS TICKETING
BREAK TIME….
See you in 10 Minutes
SPORTS TICKETINGManaging the Sales Process
CASE STUDY: MEMPHIS GRIZZLIES
NBA Sports Franchise
The Ingredients of a Sports Ticketing Operation Lessons from a Start-Up Franchise A Manager’s Road-Map
Ticketing Departments
CORE FUNCTIONS:
Sales Service Systems & Operations Research
CORE FUNCTION #1
Ticket Sales
Fill Those Seats!!! Clear Out Your Inventory! Products & Price (Full Seasons & Suites, Partials, Groups, Singles)
FSE’s (Full Season Equivalents) are your measure of success. Markets (Sponsors, Business Partners & Vendors, Corporate, Domestic,
Religious, Military, Schools, Community Groups, etc…) Sales Team (Internal, External, Tele-marketers, The “Boiler Room”)
Sales Tactics & Partners (Sponsor Bundling, In-Person Presentations, “Smile & Dial” Tele-marketing, Direct Mail, On-Line Promotions, Ticketing Partners – Ticketmaster, Advertising & PR)
Know your geographic and demographic limits. Match products to markets.
CORE FUNCTION #2
Ticket Service
It Costs Less To Keep A Client Than To Win One!
Selling Tickets Is Just the Start. Fulfilling Your Service Obligations Will Build Customer Loyalty. And You’re Only As Good As Your Word.
Renewals (Client retention is essential for a healthy franchise.)
VIP Programs (Special Discounts, Unique Opportunities, First Rights)
Value-Adds (Gifts, Sponsor-Endorsed Offers, Exclusive Events)
6th Man Program (Time on the Court, Player Interactions)
CORE FUNCTION #3Ticket Systems & Operations
You’re Only As Good As The Tools You’re Given
Ticketing Database (Inventory Mgmt, CRM, Financial Transactions, Reports)
Lead Management (List Acquisition & De-Duplication)
On-Line Interface (Messaging & Notifications, Ticket Forwarding, Self-Administered Payment Plans, Cross-Promotions with Partners,etc.)
Box Office Operations (Every Operation Requires a Face.)
Integration (Centralized Systems tied to Finance & Sponsorship)
CORE FUNCTION #4
Research
Without It, You’re Throwing Darts At A Board
Client Mailer Surveys (Season & Partial Plan Holders) In-Arena Surveys (Gauging Guest Experience& Service Satisfaction) Focus Groups (Qualitative, Face-to-Face Feedback. It only takes a few.) General Market Studies (Measuring Preferences & Behaviour) Year-End Reports (Building a Library of Statistical Benchmarks)
Strategic Integration
Ticketing Sponsorship Merchandising Food & Beverage Parking
Marketing & Promotions Broadcast Media Relations Community Outreach Guest Relations
Ticketing is only one of multiple functions in a typical sports franchise. All functions should serve to support one another in their goals of revenue generation, service, promotion of sport, community outreach, etc.
THANK YOU!For your time
I would be happy to take questions…
Chris Stairs, MBA
Director of Ticket Sales
VANOC 2010
www.vancouver2010.com