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CHAPTER 5 DISCUSSION QUESTIONS

1) What is the goal of any facility manager?
2) What is the lifeblood of sport & entertainment facilities?
3) What is the most important marketing concept that any business should
remember?
4) What are mini-plans?
5) What reasons are a season ticket beneficial to the organization?
6) What does the underground luxury suites at The Palace of Auburn Hills lack?
7) What do club seats offer the patron?
8) What is often the most important revenue source for many facilities?
9) What is a per cap analysis?
10) What do some teams charge fans in addition to the fee for entering the parking
lot?
11) What is one of the most important revenue sources for most facilities?
12) One of the critical components of maximizing the answer to Question 11 is to
police the facility for illegal sales of what?
13) What can sport & entertainment facilities provide a sponsor access to?
14) What was the company, team, & year the first time a company agreed to pay to
have its name attached to a professional sport facility?
15) What was the issue with SF Candlestick Park agreeing to naming rights?
16) What was the issue with the Houston Astros selling the naming rights to its
stadium?
1) WHAT IS THE GOAL OF ANY FACILITY MANAGER?


-TO GENERATE REVENUES THAT EXCEED EXPENSES.
-PROJECTING REVENUE &
EXPENSES IS ONE OF THE
MOST IMPORTANT ASPECTS
OF MANAGING A
SPORT/ENTERTAINMENT
FACILITY.
SPORT/ENTERTAINMENT FACILITY REVEUE SOURCES
THE 4 AREAS OF FACILITY RETAIL OPERATIONS
1) CONCESIONS 2) PARKING 3) MERCHANDISING 4) TICKETS


-TICKET OFFICE IS THE HEART OF SPORTS ENTERPRISE & KEY
TO FINANCIAL SUCCESS.
2) WHAT IS THE LIFEBLOOD OF SPORT/ENTERTAINMENT
                    FACILITIES?


                   TICKETS
2012 NFL ATTENDANCE




1) 708,249   2) 643,964   3) 637,236   15) 550,044
2012 MLB ATTENDANCE




1) 3,565,718   2) 3,542,406   3) 3,460,280   8) 3,043,003
“STUBHUB TAKES NAMING RIGHTS AT HOME DEPOT”

              SBJ: MARCH 4-10

               PAGE: COVER
1) Starting June 1, what will be the new name of the Home Depot Center?

-STUBHUB CENTER

2) What was the value of the agreement that Home Depot signed in 2003?

-$70 MILLION OVER 10 YEARS

3) What 2 MLS teams play home games at the stadium?

-LOS ANGELES GALAXY & CHIVAS USA

4) Who is StubHub's parent firm?

-EBAY

5) Announced in November, StubHub became the official ticket reseller for all venues
owned by what company?

-AEG GLOBAL PARTNERSHIPS
6) What is the name of the entertainment district across the street from the Staples
Center?

-L.A. LIVE

7) Where is StubHub based?

-SAN FRANCISCO, CA

8) What company did StubHub hire to help develop concepts related to activation of its
sponsorship?

-CAA SPORTS CONSULTING

9) Who was the first ticketing company to put its name on a major league sports facility?

-STUBHUB

10) What MLB teams pulled out of the StubHub-MLB deal when it was renewed in
December?

-YANKEES & ANGELS
“MOVING IN OUTFIELD FENCES GIVES PADRES ROOM FOR NEW SEATING”

                       SBJ: MARCH 4-10

                          PAGE: 13
1) The Padres moved the outfield fences how many feet closer to home plate?

-11 FEET

2) What is being installed just behind the right-field fence to fill the space left by the shift?

-14 4-SEAT TABLES & 7 2-SEAT HIGH-TOP TABLES & STANDING ROOM FOR 10 PEOPLE

3) What is the name of the seating vendor that was hired to install the tables?

-4TOPPS

4) How will be Padres be able to generate revenue with the new right-field wall?

-LED DISPLAY: A 105-FOOT-LONG, 7-FOOT HIGH SLECTRONIC SIGN WITH A 14-FOOT-LONG STRIP CARVED OUT FOR LIVE
VIDEO

5) What companies teamed up to produce the 105-foot-long, 7-foot-high electronic sign?

-DAKTRONICS & SONY

6) The new 6 boxes behind the Home Plate Club will be sold as all-inclusive season-ticket packages & cover the cost of what?

-FOOD, BEER & WINE, IN-SEAT SERVICE, 1 PARKING PASS, & ACCESS TO THE OMNI PREMIER CLUB

7) What company owns the naming rights to the Padres stadium?

-PETCO
3) WHAT IS THE MOST IMPORTANT MARKETING CONCEPT
      THAT ANY BUSINESS SHOULD REMEMBER?


THE MOST DIFFICULT & EXPENSIVE THING TO DO IS MAKE
                 THE FIRST SALE.


-A CONSIDERABLE INVESTMENT OF TIME & MONEY IS
REQUIRED TO TO GET A CONSUMER TO OVERCOME
INITIAL RESISTANCE TO BUYING INTO A
PRODUCT/SERVICE, BUT…
-ON AVERAGE IT COSTS 5X MORE TO GET A NEW
CUSTOMER THAN IT DOES TO KEEP AN EXISTING ONE.
-IF CUSTOMERS HAVE A POSITIVE EXPERIENCE DURING
THEIR FIRST VISIT THEY ARE MUCH MORE LIKELY TO BE
REPEAT CUSTOMERS.

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Chapter 5

  • 1. CHAPTER 5 DISCUSSION QUESTIONS 1) What is the goal of any facility manager? 2) What is the lifeblood of sport & entertainment facilities? 3) What is the most important marketing concept that any business should remember? 4) What are mini-plans? 5) What reasons are a season ticket beneficial to the organization? 6) What does the underground luxury suites at The Palace of Auburn Hills lack? 7) What do club seats offer the patron? 8) What is often the most important revenue source for many facilities? 9) What is a per cap analysis? 10) What do some teams charge fans in addition to the fee for entering the parking lot? 11) What is one of the most important revenue sources for most facilities? 12) One of the critical components of maximizing the answer to Question 11 is to police the facility for illegal sales of what? 13) What can sport & entertainment facilities provide a sponsor access to? 14) What was the company, team, & year the first time a company agreed to pay to have its name attached to a professional sport facility? 15) What was the issue with SF Candlestick Park agreeing to naming rights? 16) What was the issue with the Houston Astros selling the naming rights to its stadium?
  • 2. 1) WHAT IS THE GOAL OF ANY FACILITY MANAGER? -TO GENERATE REVENUES THAT EXCEED EXPENSES. -PROJECTING REVENUE & EXPENSES IS ONE OF THE MOST IMPORTANT ASPECTS OF MANAGING A SPORT/ENTERTAINMENT FACILITY.
  • 4. THE 4 AREAS OF FACILITY RETAIL OPERATIONS 1) CONCESIONS 2) PARKING 3) MERCHANDISING 4) TICKETS -TICKET OFFICE IS THE HEART OF SPORTS ENTERPRISE & KEY TO FINANCIAL SUCCESS.
  • 5. 2) WHAT IS THE LIFEBLOOD OF SPORT/ENTERTAINMENT FACILITIES? TICKETS
  • 6. 2012 NFL ATTENDANCE 1) 708,249 2) 643,964 3) 637,236 15) 550,044
  • 7. 2012 MLB ATTENDANCE 1) 3,565,718 2) 3,542,406 3) 3,460,280 8) 3,043,003
  • 8. “STUBHUB TAKES NAMING RIGHTS AT HOME DEPOT” SBJ: MARCH 4-10 PAGE: COVER
  • 9. 1) Starting June 1, what will be the new name of the Home Depot Center? -STUBHUB CENTER 2) What was the value of the agreement that Home Depot signed in 2003? -$70 MILLION OVER 10 YEARS 3) What 2 MLS teams play home games at the stadium? -LOS ANGELES GALAXY & CHIVAS USA 4) Who is StubHub's parent firm? -EBAY 5) Announced in November, StubHub became the official ticket reseller for all venues owned by what company? -AEG GLOBAL PARTNERSHIPS
  • 10. 6) What is the name of the entertainment district across the street from the Staples Center? -L.A. LIVE 7) Where is StubHub based? -SAN FRANCISCO, CA 8) What company did StubHub hire to help develop concepts related to activation of its sponsorship? -CAA SPORTS CONSULTING 9) Who was the first ticketing company to put its name on a major league sports facility? -STUBHUB 10) What MLB teams pulled out of the StubHub-MLB deal when it was renewed in December? -YANKEES & ANGELS
  • 11. “MOVING IN OUTFIELD FENCES GIVES PADRES ROOM FOR NEW SEATING” SBJ: MARCH 4-10 PAGE: 13
  • 12. 1) The Padres moved the outfield fences how many feet closer to home plate? -11 FEET 2) What is being installed just behind the right-field fence to fill the space left by the shift? -14 4-SEAT TABLES & 7 2-SEAT HIGH-TOP TABLES & STANDING ROOM FOR 10 PEOPLE 3) What is the name of the seating vendor that was hired to install the tables? -4TOPPS 4) How will be Padres be able to generate revenue with the new right-field wall? -LED DISPLAY: A 105-FOOT-LONG, 7-FOOT HIGH SLECTRONIC SIGN WITH A 14-FOOT-LONG STRIP CARVED OUT FOR LIVE VIDEO 5) What companies teamed up to produce the 105-foot-long, 7-foot-high electronic sign? -DAKTRONICS & SONY 6) The new 6 boxes behind the Home Plate Club will be sold as all-inclusive season-ticket packages & cover the cost of what? -FOOD, BEER & WINE, IN-SEAT SERVICE, 1 PARKING PASS, & ACCESS TO THE OMNI PREMIER CLUB 7) What company owns the naming rights to the Padres stadium? -PETCO
  • 13. 3) WHAT IS THE MOST IMPORTANT MARKETING CONCEPT THAT ANY BUSINESS SHOULD REMEMBER? THE MOST DIFFICULT & EXPENSIVE THING TO DO IS MAKE THE FIRST SALE. -A CONSIDERABLE INVESTMENT OF TIME & MONEY IS REQUIRED TO TO GET A CONSUMER TO OVERCOME INITIAL RESISTANCE TO BUYING INTO A PRODUCT/SERVICE, BUT… -ON AVERAGE IT COSTS 5X MORE TO GET A NEW CUSTOMER THAN IT DOES TO KEEP AN EXISTING ONE. -IF CUSTOMERS HAVE A POSITIVE EXPERIENCE DURING THEIR FIRST VISIT THEY ARE MUCH MORE LIKELY TO BE REPEAT CUSTOMERS.