By: Bobby Beaudoin
Have you ever thought about how expensive it is to take a family trip to the ball park, and asked yourself why are ticket prices so expensive? The sports industry in today’s world is worth billions of dollars; baseball alone is worth over 30 Billion dollars.
Baseball tickets alone have begun to increase with the economy beginning to turn around. The average price of a family to go to a Boston Red Sox game at Fenway park is almost double the price of the average baseball team. The price of the tickets are becoming more and more determined by other factors besides the economy, such as the weather, the opponent, and what day of the week the game is on. Similar to airlines, major league baseball is beginning to implement the marketing strategy of dynamic ticket pricing. This way they can get the most for their money.
As a fan myself, I have asked the question of, “Why am I paying this much for one ticket,” but I continuously return to watch my beloved team play. This is why the teams can have such high prices for their tickets. They use the tactic of supply and demand. These sports teams are criminals when it comes to taking money. They know that, with the right team, they can make the most money. This is where trade oriented promotion takes its role. The teams begin to purchase the best athletes to attract more of a crowd, because they know the better the team, the better the attendance at the games.
Another major role into how these companies make so much money, and why the ticket prices are so high, is the investments that they make in advertising. Advertisements are key to the team’s success. Each team needs to carefully choose the correct advertising that will help get their team the best publicity possible. An example is all of the advertisements leading up to a major rivalry game, or every logo you see on cups or anything branded by the team. All of the branding costs money, and the teams need to generate enough revenue to be able to brand their team to the maximum potential.
One of the key ways for teams to get their names across is not only being good and having talented players, but paying for the best time slots and television stations available. An example of this would be the Patriots trying to buy the 4 o’clock broadcasting of the football games. They would do this to get on to a nationally televised station, which would help brand their name and improve their sales in all memorabilia and tickets.
Overall, I do not believe that the teams need to charge such an extravagant amount of money for their ticket prices. I believe that they are doing it to be greedy and try and make the most money for themselves. I mean, after all, isn’t it supposed to be about family time, and watching all of your favorite teams winning at a low price? Many families aren’t even able to afford to go to these games, which is a shame. The sports teams need to look themselves in the eye and ask the question, “are we doing what is best for their fans?’