Musings on NHL Expansion
As my final post in my mini-series on NHL expansion in Las Vegas, I’m going to focus more on financial information. I don’t think that Las Vegas posts a great potential market for several reasons. First, it’s a tourist destination. Of the people that actually reside and work in Sin City, there are many that work around the clock – meaning, they don’t have a lot of spare time to watch hockey games. As a touristy place, Vegas already hosts a vast array of entertainment options, with which the city is synonymous. Sure, adding a sports team also adds to the entertainment value of the city, but it would be competing with so many other options for tourists.
I looked at the average ticket prices for all thirty NHL teams, and I compared them to the current value of the team. I got the ticket price data teammarketing.com, and I used the Forbes data as mentioned in previous posts. After looking at my findings, I realized that a lot of factors contribute to how much a team can charge for a ticket. Most notably, the interest of the market and the performance of the team itself.
So, in addition to measuring these two variables, I wanted to see how much correlation there was between Stanley Cup finals appearances and average ticket price.
Honestly, I thought the two would be more directly related. From this graph, I can assume that the ticket price relies more on the market itself than the performance of the team. Relating this back to the expansion into Las Vegas, I’m certain that the NHL could charge a goo amount for home game tickets. As a tourist destination, everything is already overpriced in the city, so hockey games might as well be also. Don’t get me wrong- I still genuinely believe that the NHL should not expand at all, especially not in Las Vegas, these are just my musings on ticket prices.