Where supply and demand meet

[jasonxctf]

First I make no claims to being an economist. However there is one simple economic theory that I wonder if Sox Mgmt has taken into consideration.

 

It's the meeting point between supply and demand.

 

I used to go to 10+ sox games per year. (Before the 94 strike) Last year I went to 2.

 

The team typically increases ticket prices each year. I would think that the team would actually benefit from a decrease in ticket price.

 

For example...

 

Let's say the average ticket price is $30. Avg attendance is 21,000. Ticket Game Revenue of $630,000.

 

Now let's say the average ticket price is $23. Avg attendance is now 28,000. Ticket Game Revenue of $644,000.

 

Now ticket prices are lower but the team makes more money. Look for example at the average draw during 1/2 price Monday's. Also look at the attendance of teams like the Schaumburg Flyers and Kane County Cougars. The baseball sucks at those two games but the people show up. Why.. because it's cheap and fan friendly.

 

Just a thought. "Discuss amongst yourselves"

[Chisoxfn]

Couldn't agree more. Had I read this post I would of made my post in here, but I offer basically the same suggestion, although I offer it by cutting 1/2 price nights and instead lowering all ticket prices by a certain % and offer a great incentive to season ticket holders.

 

Like in economics, there is always the right price. When you figure out the demand and the profit you get, you find the best fitting line where you sell the goods and make the greatest total profit.

 

Of course in economics with the charts its a lot easier, then actually compiling all the numbers and creating it, but I do think they would do good with a decrease, especially when it brings more people in to buy concessions, souvenirs, park (Although they make a small % on this). I also understand this means they have to hire more employees, but they still need quite a few employees anyway and they aren't running at capacity so they have a lot of fixed costs anyway. All they got to do is cover the variable costs of adding more employees (and I seriously doubt they would need to add that many more employees if the Sox drew 3000 or 4000 more fans a night on average because they are supposed to be prepared for that anyway.

[jasonxctf]

exactly.. i think that in a rough economy like this, the Sox are pricing themselves out of the market. They seem to be setting themselves up for attendance failures.

 

do they honestly believe that with less talent, higher costs and a bad economy they are going to have a solid increase in attendance? it's ridiculous.

 

they are going down the road of the Bulls and Blackhawks when it comes to fans attending the games.

[soxfan420]

not to mention the more people you bring in the more they eat and drink and buy souvieners 7,000 more people at 5 bucks a person is an extra 35,000 alone not to mention 5 bucks is like 1 beer who goes to a game a drinks 1 beer??? and lets not forget parking

[Steaming Willy Harris]

Now ticket prices are lower but the team makes more money. Look for example at the average draw during 1/2 price Monday's. Also look at the attendance of teams like the Schaumburg Flyers and Kane County Cougars. The baseball sucks at those two games but the people show up. Why.. because it's cheap and fan friendly.

This might be nitpicking, but don't kid yourself about the Schaumburg Flyers, aside from maybe opening day, attendance there is nothing to write home about. The Cougars on the other hand do have decent attendance numbers.

 

You have a point there though, if the Sox instead of raising ticket prices every year lowered them to increase attendance (ie half price nights) profits may be comparable but public image would improve because people want to go to a packed house like its a party (ie wrigley field) despite what the team is doing.

 

One problem with this idea though is ive heard that the Sox lease on the Cell has an attendance clause in it, meaning if attendance is a certain level they have to pay more..... though this is just what ive heard, im not positive about this

[jasonxctf]

ive heard that too. If it's over 1,750,000 i think they have to pay rent.

 

I think Sox Mgmt needs to ask itself what type of fans it wants. Wrigley and the Cubs do a great job marketing to the fans it wants.. the fans that want to party and have a good time.

 

There aren't enough partiers in the city to fill 2 ballparks so the Sox need another angle. I think the angle of family-fun, affordable games is the route to go.

 

Just think, there is a reason why the Chicago Wolves are doing better than the Chicago Blackhawks. The area has many minor league ball clubs (Flyers, Jackhammers, Cougars, Cheetahs) According to Crains, Lisle is looking at getting a team too. There is business out their to be had at this family-friendly idea.

 

LOWER THE PRICES, INCREASE THE TOTAL GATE REVENUE.

[kramer99]

i think the sox should make those 20 1/2 price coupons more available( it cost $20 and came with 2 coupons for a free seat in any of the basic seating in the park)...last year my sister's friend got those.......but they werent made public like they should have been, advertise them more in those gay commercials that they always show

 

also, they should make a certain percent of the profit from of those go to a charity, and alot more people would buy them and go to the games, then those people buy beer and other food/drinks and have fun....they go again and bring other people since its a reasonalbe admission price

[mreye]

I think the Sox a bargain compared to the Cubs. (Check how much they raise prices.) That being said, instead of beinag "A" bargain in Chicago, they need to become "THE" bargain. Make it difficult for people to turn down a chance to go to a game. Make it "THE" thing to do on a weekday night or a Sunday afternnon.