Title: Using a stated choice model to test the viability of new sport event ticket packages

Authors: Mauricio Ferreira; Todd Hall

Addresses: Hypothesis Group & University of San Francisco, 811 West 7th St., Suite 600, Los Angeles, CA 90017, USA ' Davis College of Business, Jacksonville University, 2800 University Blvd. N., Jacksonville, FL 32211, USA

Abstract: In an increasingly revenue-driven intercollegiate athletic environment, athletic directors are often faced with the seemingly opposing objectives of creating revenue while simultaneously serving the often price sensitive needs of the student body. A stated discrete choice model is proposed to assist decision-making in ticketing strategy. In this experiment students were exposed to a series of 12 choice scenarios, which displayed ticket options with varying levels of desirable ticket attributes. This investigation was based on 420 students selected using a two-stage cluster sampling procedure from students enrolled in a physical education program at the university. The model was useful in assessing: 1) the degree of cannibalisation between ticket offerings; 2) the consumer targets more likely to be interested in new packages; 3) the monetary value that student consumers were willing to pay for a new package. The results may aid decision-making in the area of ticket packages and pricing.

Keywords: revenue generation; ticketing strategy; stated discrete choice model; intercollegiate athletics; modelling; USA; United States; new sports events; price sensitivity; ticket pricing; ticket packages; sport marketing.

DOI: 10.1504/IJRM.2013.055683

International Journal of Revenue Management, 2013 Vol.7 No.2, pp.105 - 118

Available online: 03 Aug 2013 *

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