the corporate ticKet marKetplace - ALSD

Premium Seat Fact Sheet• There are approximately 30,000 suites and 800,000 clubs seats that comprise thepremium seat marketplace in North America.• In terms of dollar volume, the market has been conservatively estimated togenerate $10 billion per year which only accounts for sports, not the concert orentertainment side of the equation.• For a new building in a major market, premium seating now generates nearly50% of the total ticketing revenue. Much of this income is not considered part ofrevenue sharing with the league or its franchises.• In the past 20 years, nearly every sports team in the country has constructed anew building, almost entirely as a result of premium seating and the contractuallyobligated income (COI) it creates.• Premium seating consists of both luxury suites and club seating. Club seating,individual seats in great locations in the venue, are 60% of the marketplace.• If sold on a per-square-foot basis, club seating is the most expensive seat in thehouse. The most expensive club seating is courtside seats. Often, the front row ofcourtside seats is more than double the cost of the second row of courtside seats.• The most expensive suites are for the Super Bowl. However, the greatest revenuebrought in for suites in the US Open tennis tournament. Suites for this event aresold twice a day for a two-week period.• Food and beverage is a large component of the suite marketplace. Nearly 20% ofthe total cost of a suite can be allocated to F&B alone.• Occupancy for the premium seat marketplace has dropped a bit since the fall of2008. But a second generation of premium seating is now being developed withnew innovative approaches.• The face value of the average ticket owned by a business is $154.• The average ticket owned by a business is used to entertain $107,624 in potentialor current revenue.• The average ticket bought on the secondary market by a business is$366 per ticket.#SEATWinter2013 | www.alsd.com | S E A T | 59