Baseball Dynamic Pricing Update for 2009
How are the experiments with dynamic pricing going at the ballpark?
“The Giants’ dynamic pricing experiment affects 2,000 of the 41,000 seats at the stadium. The team chose four sections in the upper deck in left field with 1,200 seats and three sections in the left-field bleachers that typically are among the last to sell. No season tickets were sold there.“
“Because the seats often went empty, the team felt that cutting prices to as low as $5 could entice more fans to sit there. … Fans at AT&T Park spend on average $22 a game on food and merchandise.“
“Through the first 17 home games, sales of dynamically priced tickets rose 20 percent, compared with sales in those sections during the same period last year. That works out to about 500 extra tickets a game.“
“But it is unclear whether cheaper tickets alone helped boost sales, or whether the team’s improved performance and the mix of competitors, including the rival Dodgers, were responsible.”