Chris Whalen’s Random Life


The de-emphasizing of the home fan….
April 17, 2014, 6:10 pm
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SOme very interesting numbers came to my attention from the latest WR Hambrecht report. As TV contracts grow in size the teams in each league are less and less dependent on home ticket revenue. Now in the 1970s and 1980s teams generally ran their operation almost entirely on home ticket revenue, leading to TV blackout rules and a heavy emphasis on game experience.

Now with hugely lucrative TV contracts and the growth of HD giving a better experience at home to a degree rather than taking the time and expense to go to a game, the home ticket revenue has become less important to teams and leagues other than the appearance of what a crowd at a game looks like on TV. Let’s look at some numbers…

Revenue from Home tickets is something that is easily tracked. I have put together some summary numbers to take a look at.

Revenue from Home Ticketing-
NFL – In 2006 16.8%, 2013 15% for a -2.2% change
MLB- 2006 33.2%, 2013 30.7% for a -1.5% change
NBA- 2006 30.1%, 2013 26.1% for a -2.8% change
NHL- 2006 39.7%, 2013 38.9% for a 0.5% change

Now obviously the NFL is the most dependant on TV revenue, and probably has the most geographically dispersed fan base. The NHL’s numbers will change with their new huge TV contract. I wouldn’t be surprised if that number comes down to 28-30%. Now what does this all really mean? Is there a day coming where there are much smaller stadiums, little crowds and everything is online or on TV? Just an interesting trend to keep an eye on both fro ma fan perspective and diving into issues during a lockout or strike.