Ticketing and Secondary Sales Georgia CTAE Resource Network Written by Krystin Glover and Caleb...
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Transcript of Ticketing and Secondary Sales Georgia CTAE Resource Network Written by Krystin Glover and Caleb...
Ticketing and Secondary Sales
Georgia CTAE Resource NetworkWritten by Krystin Glover and Caleb Allred
Importance
Ticket sales provide financial backbone for any organization within the industry In 2006, consumers spent $15 billion on
sporting events, $11 billion for amusement parks, $9 billion for movies, and $790 million for Broadway plays
Typically generate 50-66% of a major league soccer franchise’s annual revenue
Ripple Effect
Sponsorships increase in value with increase in ticket sales Sold out events maximize exposure for sponsoring
companies
Trends
Like all industries, business trends play important role in marketing
A current trend is “flex” ticket packages “Orlando Flex” ticket package offers buyers access
to several theme parks in the Orlando area
Ticket Sales Strategies
Season Tickets Ticket Packages and Mini-Plans Season Ticket Equivalents Group Tickets Theme Night Packages Advanced Sales Premium Seat Packages Walk-Ups and Promotionals
Season Tickets
Provides consumers with a ticket to every home event for one package price
Playoff (or post-season) are not typically included Inclusion of playoff tickets can be powerful incentive
Typically provide core revenue stream for most professional sports teams, colleges, and universities
Season Tickets continued…
Most organizations include additional benefits for season ticket holdersHouston Astros offer priority on purchasing
post-season games if team advancesMiami Dolphins provide 10% discount at gift
store, complimentary newsletter, exclusive e-mails, and opportunities to win special prizes
Ticket Packages and Mini-Plans
Groups together select number of events, often at discount price
Offer special rate and/or additional benefit for committing to more events
Offer flexibility by requiring smaller financial and time commitments
Package and Mini-Plan Examples
Orlando Magic half season package includes customer benefits and free subscription to e-mail newsletter
Calgary Flames offer weekend packages that feature only weekend games
Season Ticket Equivalents
Sum of all various ticket packages sold Sometimes referred to as FSEs (Full
Season Equivalent)Kansas City Royals sold 400 quarter season,
800 half season, and 2,000 full season packages, they have sold 2,500 FSEs
Group Tickets
Reserved block of tickets for a specific event
Usually require a minimum of ten or more for group rates
ExamplesMost Broadway plays and musicalsProfessional sports teams Many theme parks
Theme Night Packages
Designed exclusively for particular group Intended to attract large groups by
customizing the experienceCharlotte Bobcats host teacher appreciation
night—special discount for teachersHouston Comets promote Girl Scout night
with special prices for girl scouts, meeting players, group photo with mascot, and games on the court
Advanced Sales Promotes sale of individual event tickets prior to
start of season or event Encourages fans to purchase in advance to
eliminate risk of people changing their minds on the day of the event University of Wisconsin athletics policy states ALL
reserved single game tickets MUST be purchased in advance.
Only general admission is sold on day-of-game
Cleveland Cavaliers utilize wristband lottery priority system for fans planning to purchase tickets
Premium Seat Packages
Feature additional benefits or values Include suites, courtside seats, other
preferential or “VIP” treatmentLuxury suitesClub seats may include VIP parking, private
autograph sessions, locker room tours, private practice viewing, etc.
Discounts on refreshments, merchandise, etc.
Walk-Ups and Promotionals
Purchased upon arrival at event Sometimes called day-of-game sales Creative promotions increase walk-up
salesPortland Trail Blazers “Elvis Night”
encouraging fans to dress like Elvis with costume contest and Elvis themed entertainment
Ticket Processing
Mechanics of Ticketing
Processing
Distribution Database Marketing Service Drawbacks Strategies for
Attracting Secondary Sales
DistributionTechnology streamlined distribution of tickets
Internet offers many access points TicketMaster.com Fandango.com Individual team, league or event websites Online ticket brokers
75 million MLB tickets sold annually One third purchased online
Distribution continued…
StubHub.com reportedly sells 300,000 tickets per month
Many offer buyers option to print off own tickets Many venues utilize barcode system for
scanning tickets Helps avoid common problems such as:
Lost or stolen tickets (can be deactivated or replaced) Erroneous selling same seat more than once
Database Marketing
Marketing efforts through database containing information about existing and prospective customers
Steadily growing trend More effective—stores information directly
relating to fan basePortland Trail Blazers e-mail campaign
offered complimentary tickets to pre-season game for registering with online database
Database Marketing continued…
Allows organization to effectivelyGenerate new businessBoost renewal and retention rates Increase fan loyaltyStrengthen relationship with customers
Better understanding of fan demographics
Improve communication with fans
Service
Many organizations offer online account manager programs for season ticket holders Memphis Grizzlies season ticket holders may
Forward tickets electronically—allowing customers to email tickets to other people, even last minute
Manage ticket usage and guest list Edit personal profiles to keep account info updated Make payments, view statements, and renew ticket
packages
Technology makes communication easier and more effective
Drawbacks
Unauthorized third party selling “scalpers” Drives ticket prices up
Ticket scalpers purchase tickets at face value and resell them for much more than the original price
Illegal, but difficult to monitor and track
Strategies for Attracting Secondary Sales Challenged to adapt to rapid growth of
secondary ticket market Many organizations partner with
secondary ticket sellers to share profitsStubHub partners with St. John’s and
Georgetown Athletics, in addition to othersRazorGator lists major league partners as
New England Patriots, Philadelphia Eagles, San Francisco 49ers, and Seattle Seahawks