Pages

Search This Blog

Friday, March 5, 2010

What is the price of football tickets?

Many times we think of price in terms of the dollars we pay for a good or service. However, there are times when prices do not reflect the true cost or benefit that you experience when you purchase something. Next season if you happen to go to a Miami Dolphins game that is played during the day you can pay a little more and sit in the shade. This is such a good idea that I am surprised someone has not thought about it before now. Ticket prices are usually based on how far you are from the action on the field, but that is not the only factor that affects your enjoyment of the game. If someone really dislikes being hot, they might prefer a seat in the upper deck in the shade to a seat in the lower level in the sun. There is an opportunity in a case like that for price differentiation. I noticed something similar when I went to an afternoon UGA football game. The section where alumni typically sit is in the shade for most of the game, whereas the student section and upper deck are in the sun for the entire game. Alumni get that benefit because they pay ("donate") to be able to buy season tickets. Sometimes things that should factor into a price just are not accounted for.

Miami Dolphins story:

For $5 more, Miami Dolphins fans can have it made in the shade

-Brad

1 comment:

  1. This reminds me of the self adjusting Coke machine. If the temperature goes up, so does the price.
    http://articles.baltimoresun.com/1999-10-28/business/9910280085_1_coca-cola-vending-machines-price-of-computer

    ReplyDelete