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Rising Costs Not Hurting Attendance... Yet

Last post 10-10-2008 6:02 PM by radio silence. 36 replies.
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  • 10-08-2008 5:46 PM

    Rising Costs Not Hurting Attendance... Yet

    There's a nice set of articles on SI and this one is more baseball specific:  The Changing Face of the Sports Fan

    It seems like baseball will be doing fine for now with the large number of suites and high-end sections like the Mercedes picinic area or the pool areas in some stadiums (Tampa and LAA?).  However, those seats might not stay filled for too much longer.  When corporations start dropping out of the stadiums teams will lose a big portion of revenue.  And then what? 

    I know this is a capitalist form of earning salaries, but I think there's a point where organizations and players have to see that these $25 million/year contracts will be hurting teams more than helping them.  Then, if teams struggle, there will be a point where players won't be able to receive their money.  What would the players do then?!?!  Many would argue even at this point that the rising cost of salaries is expected when players are capitalizing on what they do.  The better players get paid more for their services.  It's the American way.  And the fans will still come and if the average fan doesn't come, the wealthy fans will still come.  But it looks like that might change if things don't improve.  If players were making only enough money to play, travel, and live (much like minor leaguers), then I would say that salaries do not need to be changed.  But what can these guys do with $10/year or more that they can't do with $3 mil/year?  Whether it's in a couple years or 5-10, I think something has to be done, or teams will lose the fans.

    Cub fans are the most immature and annoying fans... EVER.
  • 10-09-2008 8:37 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    Perhaps then 29 of the 30 owners will realize baseball needs NFL-style revenue sharing and salary caps and the player's union will be convinced as well.

    The Yankees will never go for it, but f*ck the Yankees anyway. 

  • 10-09-2008 9:02 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    The player's union will never go for a salary cap and why would they?

     

    Also, as long as the national TV contracts go up every renegotiation, salaries won't be effected that much, if at all.

  • 10-09-2008 10:35 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

     Right. The salary cap in the NFL has kept the prices of tix and concessions really low so that families regularly now can go to a football game. Hope this  happens in baseball.

  • 10-09-2008 12:42 PM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    I really think that if it salaries and stadium costs for fans get too much out of hand that not only will fans in the seats stop going, but the ones in the suites will stop too.  The average joe is already phased out.  If it gets too much and the economy goes even further south, the wealthy fans might deam going to the parks unneccessary as well.  Lose the fans, lose the revenue, lose the sponsors. 

    I see this as not a gradual change, but a shocking, abrupt situation in a matter of a couple years (the fans and sponsors stopping, not that this will happen in 1-2 years).  In my estimation, this could very well happen in 5 years, but I'm thinking more along the lines of 7-8.  Look at the inflated salaries.  A-Rod's salary was unfathomable when he signed it, but it doesn't look ridiculous now ($25 mil/year).  I have a feeling CC will even creep to $30mil/year and that could be topped eventually as well. 

    Cub fans are the most immature and annoying fans... EVER.
  • 10-09-2008 12:53 PM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    What's more outrageous:


    Alex Rodriquez making $25 million a year for working 7-8 months a year (plus off-season workouts) and having people plunk down up to $250 to see him perform.

    Or

    Brad Pitt making $20 million (plus a share of the profits) for working a month on a movie and having people plunk down up to $12 to see him on the big screen.

     

    I vote for B.

  • 10-09-2008 1:25 PM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    brewguru:

    What's more outrageous:


    Alex Rodriquez making $25 million a year for working 7-8 months a year (plus off-season workouts) and having people plunk down up to $250 to see him perform.

    Or

    Brad Pitt making $20 million (plus a share of the profits) for working a month on a movie and having people plunk down up to $12 to see him on the big screen.

     

    I vote for B.

    Um...Mr. and Mrs. Smith was a cinematic classic and Bradley pumped his blood, sweat, and tears into making it.  He deserved more than he got.

    "It's been a long, long time comin'
    But I know a change gonna come, yes it will"
  • 10-09-2008 1:26 PM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    ike1024:

    brewguru:

    What's more outrageous:


    Alex Rodriquez making $25 million a year for working 7-8 months a year (plus off-season workouts) and having people plunk down up to $250 to see him perform.

    Or

    Brad Pitt making $20 million (plus a share of the profits) for working a month on a movie and having people plunk down up to $12 to see him on the big screen.

     

    I vote for B.

    Um...Mr. and Mrs. Smith was a cinematic classic and Bradley pumped his blood, sweat, and tears into making it.  He deserved more than he got.

    He came away with Angelina...I'd say that's more than enough!

  • 10-09-2008 1:31 PM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    brewguru:

    He came away with Angelina...I'd say that's more than enough!

    She's on my laminated list, so I think she's worth more than $20mil easily.
    Cub fans are the most immature and annoying fans... EVER.
  • 10-10-2008 8:47 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    Just saw that Johnny Depp is getting $56 million up front for the next Pirates movie.

     

    Yeah, but let's all rip on ARod and how overpaid he is.

  • 10-10-2008 8:48 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    A

    Who goes sees crappy movies?  Baseball you hafta go see.

    That's why they can pay Brad $100 million and I won't care.

     

  • 10-10-2008 8:57 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    brewguru:

    Just saw that Johnny Depp is getting $56 million up front for the next Pirates movie.

     

    Yeah, but let's all rip on ARod and how overpaid he is.

    How is that affecting baseball?  This started with an article about how baseball's costs are rising and are phasing out the average fan, and eventually the wealthy/suite holders may soon step away from their seats as well. 
    Cub fans are the most immature and annoying fans... EVER.
  • 10-10-2008 9:15 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    brewguru:

    What's more outrageous:


    Alex Rodriquez making $25 million a year for working 7-8 months a year (plus off-season workouts) and having people plunk down up to $250 to see him perform.

    Or

    Brad Pitt making $20 million (plus a share of the profits) for working a month on a movie and having people plunk down up to $12 to see him on the big screen.

     

    I vote for B.

    Brad Pitt has to renegotiate his salary for every project.  If his movies bomb, he won't make that much for his next picture.

    Alex Rodriguez has a guaranteed salary and will make $25M per year no matter what happens the previous season. 

    Of course they work in two completely different industries and it's kind of an apples to oranges situation.

    Salary caps are for communists. 

    Baseball is a game of the long season, of relentless and gradual averaging-out. Irrelevance—since the reference point of most individual games is remote and statistical—always threatens its interest, which can be maintained not by the occasional heroics that sportswriters feed upon but by players who always care; who care, that is to say, about themselves and their art. Insofar as the clutch hitter is not a sportswriter’s myth, he is a vulgarity, like a writer who writes only for money.

  • 10-10-2008 9:42 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    badger80:

    Salary caps are for communists. 

    Rising salaries in baseball will drive up costs and fans as well.  Rising costs of movies will eventually drive people to stay at home.  It's going to be a "fun" time when baseball realizes their costs have outgrown their customers.
    Cub fans are the most immature and annoying fans... EVER.
  • 10-10-2008 9:48 AM In reply to

    Re: Rising Costs Not Hurting Attendance... Yet

    UWWhitewaterGrad:

    badger80:

    Salary caps are for communists. 

    Rising salaries in baseball will drive up costs and fans as well.  Rising costs of movies will eventually drive people to stay at home.  It's going to be a "fun" time when baseball realizes their costs have outgrown their customers.

     

    They said the same thing in 1976 when free agency started.

    They said the same thing after the 1981 strike wiped out half the season.

    They said the same thing after the collusion scandal in the mid-80s.

    They said the same thing after the '94 strike.

    They said the same thing when the Yankees were winning 4 World Series in 5 years.

    Meanwhile, baseball keeps growing their revenue.

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