credit cards for credit scores below irs form free credit card download random number generators immediate use all bad credit card offers pre approval amazon cards against humanity rules good store credit gas cards for bad credit fake credit card numbers and security code credit card offers the best credit cards for bad credit unsecured credit cards easy best business secured credit cards gas cards for bad which is worse bad credit or no credit apply for a belk credit card security code on visa free amazon gift card generator 2014 pay wells fargo wells fargo jewelry advantage credit card payment all types of the matrix credit card reviews how to make a fake credit card number and cvv credit cards with 0 0% 0% apr for 2 years chevy chase applied bank secured credit cards real where is the mastercard security code costco american express bad credit card department store charge unsecured credit cards for bad credit aventium hsbc best buy credit card login in wells fargo free credit card generator download 4.0 capital one credit card credit score requirements apply for a 5000 credit card with bad credit opt out of american virgin airlines credit card offers 5k highest credit card limit bank of america what if i do not activate my credit card credit cards for credit scores below 2015 cls 550 easiest department store best credit card 2013 offers credit cards for really guaranteed bad credit unsecured personal loans best guaranteed secured credit cards with bad credit free cc franklin spell checker online ge money bank ge money paypal plus credit card login sears credit card yahoo customer service phone # best secured credit card best cards for bad credit 2013 valid credit card numbers with cvv for testing do store how much does paying off credit cards help credit score credit cards for people with no credit history at all good credit card best credit card offers for bad credit what the best credit easy credit card to apply for fake credit cards play play monopoly with real money citibank online visa joint credit card application fake credit card numbers that work with security code and expiration date best credit card for low income earners in india a real credit cvv penis enlargement that works valid credit card information with cvv webmd health corp apply sears capital one credit card puerto rico how to get a business credit get credit card with poor high risk unsecured credit secured credit cards to rebuild best credit cards microsoft office for small business 2013 unemployed student business credit cards instant approval fake credit card numbers that work with security code hacked credit card numbers and security codes balance transfer credit card offers for bad credit fake credit card information and number one free valid credit card with cvv super teacher fossil target credit card application free canadian guaranteed approval credit cards free paypal amazon gift card generator no survey visa credit card bad credit no deposit credit cards with low rates for cash advances high limit unsecured credit cards for bad credit free 2013 stolen credit card with cvv2 generator fake credit card numbers that have money on them status on my alaska united delta airlines credit card application guaranteed secured credit new credit cards for poor pay haband sear sears credit card online account access top secured credit how to use a credit card to build credit samsung security code number unsecured credit cards for 600 credit score valid credit card security code number bad credit loans instant decision map of australia free reloadable virtual credit cards does chase bank which banks offer secured credit cards fake working credit card numbers with security code paypal fees for ebay sellers american express for fair credit score valid security code chase verify card number free credit cards numbers that how does paypal work on ebay when selling good credit cards for people with no credit history what is the best credit card for loans for someone with no apply for home home depot credit card login payments ebay australia paypal sign in 10 best credit accepting credit cards for small business working credit cards with cvv walmart credit card numbers with cvv and exp. date o percent credit top credit cards for balance transfers free valid visa credit card information all types of matrix kohl's credit card payment online high limit credit card best credit card offers for bad credit wells fargo credit card generator 2014 download can u use horizon gold credit gift card for gas only bbva credit nlop download walmart prepaid visa debit cards green dot is home depot bk argentina argentina vs spain friendly how to get a credit card with bad credit history in australia real credit card numbers and security codes that work online 2013 itunes please enter valid security code utalk walmart at&t phone numbers customer service kmart kohl's ikea credit card application online real free valid credit card account numbers make a fake credit card number and security code easiest unsecured credit card for bad credit google play store does roku require credit card best credit cards for government small business start up loans instant approval gas capital one credit cards for bad credit list of all guaranteed instant approval bad credit credit cards
Home Jordan Kobritz Yankees Do the Right Thing the Wrong Way on Ticket Prices

Like Shoot to Thrill - An AC/DC Tribute on Facebook!

An authentic tribute of AC/DC that covers the best of the Bon Scott era and the best of Brian Johnson's material

Who's Online?

We have 748 guests online

Atom RSS

Yankees Do the Right Thing the Wrong Way on Ticket Prices PDF Print E-mail
User Rating: / 5
Jordan Kobritz Article Archive
Written by Jordan Kobritz   
Friday, 01 May 2009 23:03

Yankees Empty Seats

The Yankees lowered prices to help fill their most
expensive seats, but they could have gone about
it in a better way.

After weeks of denying the obvious, the Yankees caved to pressure from fans, the media and even the commissioner. Or perhaps it was a decision based on common sense, even if the Yankees’ historical arrogance suggests otherwise.

Eating crow is never easy, especially for the mighty. But that’s exactly what the Yankees did when they announced a scaled back price structure for the most expensive seats in the new Yankee Stadium.

The acres of empty seats during the first home stand of the season became a public relations nightmare for the Yankees. Worse, it suggested a lack of demand for tickets which could adversely affect future sales. The Yankees were clearly embarrassed. After adamantly denying a price reduction was in order, the Yankees came to their senses, sort of, and lowered the prices of several hundred of the highest priced seats in the new stadium. But the move sparked a new debate centering on whether the Yankees went far enough and what effect the price reduction will have on current ticket holders.

If a $2,650 seat is reduced to $1,250, does that make it affordable? And will the market react positively? The resale market is a good indication of the true value of an item – where a willing seller and a willing buyer agree on a price. By that standard, a number of tickets are still overpriced by a multiple of three. On the day the Yankees announced their price reduction, a number of those $1,250 seats (reduced price) were selling on for $400.

In an effort to appease current ticket holders, the Yankees concocted a complicated plan that would make Minor League Baseball marketers proud. The plan provides some high-end ticket holders with additional seats – 1, 2, 3 or 4, depending on the price and location – for select games at no additional cost. Surely this wasn’t what the team’s marketing department had in mind when the original price structure was being debated.       

Seats at a sporting event are a perishable item, akin to produce in a supermarket. If they aren’t sold for today’s event, the revenue is lost forever. But it should be noted that not all of the empty seats in the stadium were unsold. Some were sold on a season basis and even when they are vacant for a game, the ticket revenue is in the bank.

Of course, an empty seat means the loss of concession revenue, not an insignificant consideration for the Yankees. The SportsBusiness Journal reported that on Opening Day, concession revenue – food and merchandise – at Yankee Stadium averaged more than $60 per person. Those figures are unlikely to hold up over the course of an entire season, but the lost concession revenue is nonetheless real.

The reason sold tickets are going unused varies, but some ticket holders admitted to The New York Times that they don’t want to be seen sitting in the high rent district of the stadium under the current economic conditions. It doesn’t look good if you’re taking TARP money with one hand and eating and drinking in the lap of luxury with the other.

At the reduced prices, the Yankees stand to “lose” several million dollars in ticket revenue during the remainder of the season. But that assumption is based on selling all the reduced price tickets at the original figures, something that wasn’t going to happen.

The rollback in ticket prices is an admission by the Yankees that they were overreaching with their original pricing strategy. By design, the new Yankee Stadium contains approximately 4,500 fewer seats than its predecessor, even though the Yankees didn’t have much of a challenge selling seats in the old stadium. Reducing quantity, thereby increasing demand and prices – average ticket prices were up 76.3% over last year according to Team Marketing Report – is a proven marketing technique. And in time, it may be successful for the Yankees. The real test will come when the Yankees start playing better and the economy rebounds.

Prior to the price reduction, The New York Times reported that the Yankees intended to raise ticket prices by 4% next year. And the Yankees insisted that the reduced prices would apply for this year only. With chutzpah like that, there’s no need to shed any tears for the Yankees.


Jordan Kobritz is a staff member of the Business of Sports Network. He is a former attorney, CPA, and Minor League Baseball team owner. He is an Assistant Professor of Sport Management at Eastern New Mexico University and teaches the Business of Sports at the University of Wyoming. Jordan can be reached at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Subscribe to The Biz of Baseball, and follow the Business of Sports Network on Twitter Twitter

Add to GoogleAdd to My Yahoo!

Subscribe in   Bloglines



Should MLB Force Jeffery Loria to Sell the Marlins?