Teams Rethinking Ticketing Strategy to Maximize Single-Game Upside

The New York Knicks begin their NBA title defense this evening (Oct. 20) against LeBron James and the Philadelphia 76ers. They’ll do so with a larger share of single-game ticket buyers in the building than is typical of most NBA, NHL and MLB teams.

But how pro sports organizations are going about filling their buildings is changing. Teams are increasingly retaining inventory to sell on a single-game basis rather than committing those seats to season ––or miniature–– ticket packages.

For context, the Knicks had more than three times as many single-game tickets under team control during the team’s run to the Finals last season as the Heat did during LeBron James’ tenure in Miami (think: 2011-2014). 

And the expectation is that more organizations will retain an even larger percentage of ticketing inventory to sell on a single-game basis in the years ahead. All the math points in the same direction.

“If you can sell the same seat four times, you make more money by selling it four times than you [can] by selling it once,” Cleveland Cavaliers and Rock Entertainment Group CEO Nick Barlage explained in a podcast interview with Navigate.

Professional sports teams have historically prioritized maximizing season-ticket sales. As recently as 10–15 years ago, 10,000 season tickets was the benchmark against which NBA teams measured ticketing sales success.

Clubs would then sell the remaining inventory to group and single-game buyers.

That is no longer the case. The target is now as low as 3,500 season tickets in select cities.

The shift began when teams started dynamically pricing ticketing inventory. But it reflects how fan lifestyles and attitudes toward season-ticket ownership have evolved.

Most fans today do not want to commit to 41 or, in MLB’s case, 81 home games. They would prefer to attend fewer matchups and enjoy a more memorable experience when they do go (see: premium upsell opportunities).  

And those who are willing to buy season-tickets generally aren’t attending all the games. So, they end up selling and profiting on the best games and liquidating seats to the least desirable ones. 

Neither outcome serves the rights owner’s interests.

Teams have been regaining control of how their building sells by reducing the number of tickets allocated to season packages and being more selective about where their season-ticket holders (STH) are located. 

As a general statement, courtside seats tend to be the most difficult to manage/sell on a game-by-game basis, and single-game buyers tend to show less interest in upper-deck seats.

The most fiscally aggressive NBA clubs now sell an average of 10,000 single-game tickets per game—and more for their most anticipated matchups. Those organizations tend to reside in large markets and have owners comfortable with visiting fans maintaining an outsized presence in the building.

More conservative rights owners are breaking up their season ticket inventory into smaller packages and simply selling those at higher prices.

Ultimately, to maximize revenues, a club should retain the number of single-game seats it can effectively sell within its market for a game with healthy but not exceptional demand.

A sharp pivot away from a season-ticket focused sales strategy is likely to result in fewer attendees and less revenue on a per-game basis for a meaningful portion of the home schedule, additional risk (at least in the eyes of the club’s CFO and financial institutions), and have an impact on cash flow management.

But the upside for the teams’ ‘good’ games outstrips all of that. Total ticketing revenue should easily rise 20%-30% (or more) during the regular season.

And organizations that lean into single-game sales stand to enjoy a windfall during extended playoff runs. The Knicks found that out last summer. It was reported the club routinely generated gate receipts north of $20mm per home game.

Of course, once a team regains control of its ticketing inventory, generating sales requires more than listing thousands of additional seats on Ticketmaster and hoping buyers show up. Consider doing seat-specific bobblehead or jersey giveaways to help drive demand.

While NBA, NHL and MLB teams will collectively sell fewer season tickets in the years ahead, that doesn’t mean full-season packages are going to disappear entirely. 

Nor does it necessarily mean every organization will have fewer STHs in the future than it does today. Teams currently with low totals are not going to want those figures to drop further. 

Remember, season ticket holders tend to be an organization’s most loyal and vocal supporters within the community.

Full-season equivalents also convolute the math (think: two seats for half the home games).

But even those organizations will be more deliberate about where STHs buy within the building.

For those wondering, the flexible sales model permeating the three RSN leagues is not expected to carry over to college sports. Collegiate ticketing is closely tied to donation revenue, and many schools’ remote locations make it difficult to consistently attract single-game buyers.

On the latest episode of JaneWallStreet Presents: At The Table, JaneWallStreet Executive Chair Deirdre Lester sits down with SPORT BEACH CEO Beth Sidhu. In this 55-minute conversation the two explore Cannes’ value as a deal-making hub, why athlete partnerships should go beyond name, image, and likeness, why the ongoing sports boom comes with a deadline to deliver, and more.

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