A story in the NYT today got me thinking about what the effect of the ongoing economic crisis is having on a variety of industries. The story talks about the disappointment of the New York Mets and the New York Yankees in their inability to get season ticket buyers for the the most valuable seats in the stadiums. I find the story worthy of blogging about because the real effects of the economic crisis on a variety of sports franchises is not as widely discussed.
However, I still think that the writer missed a couple of important points. The main one being that to compare the uptake of tickets between seasons is fine but it is less valid when the the seasons being compared have been as different. They may be twelve months apart yet the fluctuation in pertinent factors makes the comparison completely invalid. Secondly, it may help to consider what the average yield per seat is as opposed to considering only whether the new stadium is filled or not.
In sum, it is clear to me that the recession has obviously affected the disposable incomes all around. Season ticket holders of the best terraces are bound to be less affected but are probably keen to preserve their cash at this time by cutting back on luxuries. On the other hand, it may well be that the two teams have merely overestimated the value of the season tickets for the highest-value spots on their stadiums. Since they require all additional revenue, they should institute a temporary readjustment in prices by auctioning the tickets for a month or a season at a time both to preserve the value of the season-ticket holders and to bring in as much revenue as is possible.
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