Phil Castellini: "Both renewals and new ticket sales are up significantly"

[OnBaseMachine]

From John Fay:

“Both renewals and new ticket sales are up significantly,” he said. “We’ll have a better number when we get closer to Opening Day. But I’d say both are up at least 10 percent. You’d like them to be up 100 percent. But we’re still fighting a tough economy.”

http://cincinnati.com/blogs/reds/201...significantly/

[RedsManRick]

Interesting that ticket sales are the #1 source of revenue. By contrast, in football ticket sales are 3rd I believe, behind media and merchandise.

[kaldaniels]

Interesting that ticket sales are the #1 source of revenue. By contrast, in football ticket sales are 3rd I believe, behind media and merchandise.

I agree. I mean, it is a fact, but it is still hard to imagine that in the year 2011 there are not stronger revenue streams other than butts in the seats.

[RBA]

Interesting that ticket sales are the #1 source of revenue. By contrast, in football ticket sales are 3rd I believe, behind media and merchandise.

81 home games compared to <12, counting preseason?

[Blitz Dorsey]

I agree. I mean, it is a fact, but it is still hard to imagine that in the year 2011 there are not stronger revenue streams other than butts in the seats.

There would be, if MLB had a similar system as the NFL where all TV revenue is shared equally amongst all teams. It's very simple: MLB doesn't care about parity/fairness; the NFL does. It's not hard to see why one has emerged as clearly our nation's favorite professional sport.

[RedsManRick]

81 home games compared to <12, counting preseason?

Well, the averages Reds ticket was around $30. The Reds average ~25k attendance per home game. 30*25*81 = ~$61M


The average Bengals ticket was around $70. The Bengals average ~60k attendance per home game. 70 * 60 * 10 = ~$42M

So that's definitely part of it (though teams split the gate 60/40 in the NFL). However, I think the bigger issue is that in the NFL all media revenue and revenue from NFL licensed merch is split evenly between the teams. In MLB, teams keep about 70% of their local revenue and the rest of the 30% goes in to a pot which is split evenly.

I think it's something like the Reds get $30M from the revenue sharing pot whereas the Bengals get like $100M. It's a BIG difference.

[UKFlounder]

I'm not sure it's as much a current situation as a past one.

If the current NFL owners were establishing a system, I doubt they chose the one they have now - they'd likely be much more similar to baseball.

But (and you knew it was coming), some of the leaders of football, 40-50 years ago (Rozelle, I believe among them) had the vision to see that revenue sharing could be beneficial and they managed to put it through, while the NFL was nowhere near a national powerhouse.

The power of the tradition started then has continued with the same system, with only the court-ordered changes to free agency in the late 80s/early 90s having changed much.

Baseball, on the other hand, has a much more "everybody for himself" tradition, and sometimes well-established traditions (for lack of a better word - maybe "business models?") are tough to change



QUOTE=Blitz Dorsey;2318801]There would be, if MLB had a similar system as the NFL where all TV revenue is shared equally amongst all teams. It's very simple: MLB doesn't care about parity/fairness; the NFL does. It's not hard to see why one has emerged as clearly our nation's favorite professional sport.[/QUOTE]

[camisadelgolf]

Well, the averages Reds ticket was around $30. The Reds average ~25k attendance per home game. 30*25*81 = ~$61M


The average Bengals ticket was around $70. The Bengals average ~60k attendance per home game. 70 * 60 * 10 = ~$42M

So that's definitely part of it (though teams split the gate 60/40 in the NFL). However, I think the bigger issue is that in the NFL all media revenue and revenue from NFL licensed merch is split evenly between the teams. In MLB, teams keep about 70% of their local revenue and the rest of the 30% goes in to a pot which is split evenly.

I think it's something like the Reds get $30M from the revenue sharing pot whereas the Bengals get like $100M. It's a BIG difference.

So one thing I can draw from this is . . . Mike Brown is making a lot of money off his competition? That almost sounds selfish, and I don't know if I can buy that.

[jmcclain19]

Not surprised ticket sales are up. Most fans are bandwagon sheep. The Reds are popular once again because they are winning. Thus everyone wants to hop again.

Now the trick is Phil & Bob, keeping them around.

[RedsManRick]

So one thing I can draw from this is . . . Mike Brown is making a lot of money off his competition? That almost sounds selfish, and I don't know if I can buy that.

YouTube - Mike Brown and Art Rooney II, EP1

[camisadelgolf]

YouTube - Mike Brown and Art Rooney II, EP1

I already posted it to my FB even though I am no longer a Bengals fan. This is a must-see for any Bengals fan, though. Anyway, sorry to get off topic.

[Mario-Rijo]

Not surprised ticket sales are up. Most fans are bandwagon sheep. The Reds are popular once again because they are winning. Thus everyone wants to hop again.

Now the trick is Phil & Bob, keeping them around.

Could be a partial response to the Bengals mess also. Lots of those season ticket holders starting to file out of PBS.

[bucksfan2]

Interesting that ticket sales are the #1 source of revenue. By contrast, in football ticket sales are 3rd I believe, behind media and merchandise.

You have any info about how much money the TV contract from FSN generates for the Reds?

[Roy Tucker]

IIRC, MLB internet revenues are split evenly between the clubs. This may someday be a saving grace. I used to think that it was a small pot and not much room for growth. But streaming internet content is a viable technology now and may become a bigger deal in MLB.

http://bizofbaseball.com/index.php?o...net&Itemid=125

http://www.hardballtimes.com/main/ar...money-machine/

[REDREAD]

You have any info about how much money the TV contract from FSN generates for the Reds?

As I recall, it's one of the worst contracts of any baseball team (bottom 1/3).
I know the Indians do bettter than us.

It was really encouraging to see such strong ratings gains last year on FSN. This will put the Reds in a good position to negotiate future TV deals.

I hope the Reds see a good attendence bump next year. I plan to take my family after a long absence, however, I've been burned by buying tickets in advance and then seeing Steve Parris, etc.. So my policy is to always buy tickets a couple days befre.