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Are Discounted Ticket Prices Good In The Long Run?
by Paul on 12/19/08 at 08:55 AM ET
Comments (3)
from David Shoalts of the Globe and Mail,
“I’m terrified of giving away product,” said Mike Veeck, who owns and promotes six minor-league baseball franchises and is the son of the first promotional genius in that sport, the late Bill Veeck.
“If people are cutting prices, then maybe something is wrong with their original pricing structure,” Veeck said. “Fans get used to paying your discount in about 12 seconds. Then that becomes the norm and you have to pay tremendously to get them back.”
Hockey clubs need to emphasize service rather than slash prices, says David Carter, the executive director of the University of Southern California’s Sports Business Institute.
“It’s like the debate of whether people should pay for content on the Internet,” Carter said. “Once you release it for free, you can’t persuade anyone to pay.
Filed in: NHL Talk, NHL Business of Hockey | KK Hockey | Permalink
Comments
Funny you talk about customer service. The San Jose Sharks have basically taken away all their season ticket holder benefits without even telling the season ticket holders. Just looking at the benefits I haven’t gotten as a season ticket holder proves this point.
On the Sharks own website and on the letter I got before I signed up for Season Tickets I was promised 1. A Media Guide (which the club, probably the only club in the NHL no longer prints. Instead they now offer a CD/DVD info guide) 2. Ice Insights. When I first got my Sharks season tickets we had 3 or maybe 4 of these a year, now we are lucking to get 1 and only if we beg and plead with them, yet they still list this as a benefit of owning ST. They also list such things as getting something called Rinkside Magazine and something called the Rink Report neither of which I have seen in my over 7 years as a Sharks STH.
The Sharks have taken away even sending out Christmas Cards to season ticket holders, they don’t even do that anymore. They used to send out a speical Xmas thank you gift which they don’t do now either.
So when you talk about California team and customer service I know your not talking about the Sharks. Just take this one last example of what I mean about poor Customer Service. For the first time in who knows how long the team had a cheap jersey give away (which was sponsered by black armour who paid for the jerseys). The Sharks Customer Service would not allow people entering the arena to get a jersey without either 1. Ripping the persons ticket stub, or b.) Marking the ticket with a pen.
I guess because the Sharks are right up against the cap, they are trying to save money by cheating out their loyal fans.
Posted by eddie on 12/19/08 at 12:29 PM ET
I hate when someone refers to sport as “product”. I don’t think I’m alone on that one…..As for giveaways…The Red Sox give you NOTHING for being a season tix holder. The Bruins used to be the same way. Now they give you alot of perks…that’s because they have to….Pro sports teams like to act like they are doing a great job for the community but when you charge $100 for a tix and a beer costs $8 they aren’t doing you any favors…The perks you get just show how desperate they are….they aren’t doing it out of the kindness of their hearts
Posted by kevin from boston on 12/19/08 at 07:39 PM ET
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Yeah, while I agree, the internet metaphor doesn’t hold up. If something on the net costs money, and you don’t want to pay for it, you can usually find it somewhere else. Not true with local sports teams (other sports for cheaper, but I don’t see hockey fans leaving hokey for indoor lacrosse because it’s cheaper).
Teams need to figure out the value added side of business. I’m fairly sick of paying full price for a ticket to the Pepsi Center and being handed a card for discounted lasik surgery. I Pittsburgh, I got a hat. Not a cheap ass hat, but a nice winter hat, fleece lined on the inside and everything. It had a tastefully done logo by the sponsor on the back. It was a nice treat. In the minors, they give out everything. They would give you a kidney if you needed one.
Posted by Tapeleg on 12/19/08 at 12:15 PM ET