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Maximizing Revenues in Minor Leagues - Case Study Example

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He carried out a research to plan on how he would come up with a ticketing system that was convenient for sports fans in Springfield.
The Customer Profiles
The association found out that most of the people in Springfield were not fans of professional sporting events, despite the fact that the neighboring Boston city is home to some of the world’s best professional sport teams such as basketball’s Celtics and baseball’s Red Sox. Residents attended sporting events at local schools and college events. This is surprising considering the fact that Springfield is the worldwide basketball hall of fame and the birthplace of basketball. It has no professional basketball club and only one ice hockey team. Most of the diehard sports fans go to Boston to watch their favorite sport clubs playing. so for a fact Buckingham knew that there were sports fans in Springfield only that there were no enough sporting events for them to watch in Springfield so they opted for Boston. There were also the college students and little leaguers who were eager to experience professional sporting events in Springfield hence would attend matches to experience the thrill. Buckingham learnt from the general managers of sport teams in other small cities that the keys to selling the Nor’easters to Springfield residents were professionalism, fun, simplicity, and flexibility. One of the general managers called it a family fun business since it aims at both entertaining and generating enough income to maintain the teams and to pay the players. This is as opposed to how he had thought, that games won and lost would affect the attendance of the next matches, as was the case in Major League Baseball. He also knew that the reason why most of Springfield’s college populations do not attend professional sporting events is due to the pricing of the tickets, since large populations of Springfield’s residents live below the average standards of living. He then had to know the charges that would be affordable to the local baseball fans. Pricing In the survey, he realized most of the MDs in other cities prefer the pricing to be like that of other entertainment events like movies, bowling and other sporting events, it should not be so high because most of the residents mind about their usage of money and would rarely pay for expensive tickets. Buckingham also got the idea of season tickets, group sales, and individual tickets. He learnt that the three helped balance the ticket revenue. Group tickets made the most sales if they priced reasonably lower than individual tickets hence the need for prompting them with little promotions to attract local customers. The promotions would include summer camp programs and family days out. One way of keeping the ticket prices low was securing corporate sponsorship to sell stadium banner ads. Another way of increasing revenue and profits was by the use of concession sales, this include snack sales, souvenirs and arcade games, though he was not quite convinced with this offer so he decided to shed more light on it in his research. By the time, Buckingham was through with the questionnaire, there were two categories of information he decided to major on. These are price sensitivity, and sports attendance. These were the key factors that would determine the success of the ticketing process. The pricing that he would come up with would determine the attendance, which is a key issue in getting revenue. There should be keenness in setting the ticket prices to suit all the target audience. Single Tickets and Season Ticket Packages Single tickets are those which sell for every ...Show more
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In order to prevent the falcons’ ice hockey team from leaving Springfield, Larry Buckingham had to do something. He carried out a research that would help him come up with the most convenient ticket-pricing plan…
Maximizing Revenues in Minor Leagues
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