Phoenix LXXII: Send in the Clowns
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02-19-2013, 01:42 PM
Join Date: Apr 2012
Originally Posted by
Goyotes makes the point I was going to make. A major professional team in the US cannot survive on gate alone, even with average to the top end ticket pricing.
If the Leafs garner ~$2 MM per game -- and this is the best in the league -- that equates to mid $80s MM in gate. The reality is that the stronger markets are yielding $1-1.5 MM per game in gate receipts. Of course, the stronger markets then have stronger media contracts, sponsorships, and more STHs. Revenue transfer is meant normalize the revenue distribution curve--- not to make markets that lack all of the above somehow viable.
Then where are they supposed to make their revenue besides gate? The Coyotes currently pick up part of the TV deal, naming rights, merchandise, food & drink at the game, and gate. Yet this still isn't enough to be close to breaking even.
In order for this to work pricing will have to be raised substantially and not just at the gate.
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