Earlier today for MVN Outsider, I commented on the poor economy and how the Arizona Diamondbacks are taking steps to ensure that the consumer can still afford to go to a game while clubs such as our beloved Red Sox are content to squeeze us out of every last dollar. Some relevant excerpts:
In a feature by FORTUNE Magazine, the magazine tackles the economic issues facing the nation today and relates how the Arizona Diamondbacks — calling Phoenix home, a city with the lowest per capita income of any MLB city — are taking steps to protect their product.
Now, while making concessions that Boston has a far more rabid fanbase and more economically stable climate, what does it say about the Red Sox (and other similar market teams such as the New York Yankees) that a t-shirt costs $30 dollars while it costs $8 in Arizona?
Think about this for a second. I could either buy one Red Sox shirt for $30 or three (3) Diamondbacks shirts for $24.
Just a few years ago, Red Sox t-shirts were $20. It was still pretty high, but it was enough for me not to hesitate to buy a few t-shirts. And by a few, I mean a lot. Since they’ve raised it to $30, I’ve bought maybe… one? I might not even have bought any; I’m not sure. It’s just too rich.
That’s not all:
Not to keep bashing the Red Sox, but consider that they’re asking the residents of Fort Myers, Florida — in a region where the foreclosure rate is abominably high — to subsidize a new spring training stadium despite nothing being wrong with the current stadium. Oh, sure, there are small issues here and there, but I would think the club would be far more interested in making sure parents can send their kids to Little League and have actual, competent teachers in schools to shape their lives.
Bob Ryan had great commentary on this the other day. A few excerpts from his article:
How can the Red Sox even think about hitting up the local taxpayers for a facility estimated to cost between $50 million and $75 million, especially when, no matter what they say, they simply do not need it? They simply want what others have. …
For me, the most eloquent person was Albert Sengeto of Fort Myers. A sample of his presentation:
“The state and county are both suffering a budget shortfall. They want our underpaid teachers to take a salary cut or face layoffs. We are highlighted in the national news as an example of the recession with 10 percent unemployment . . . Newly built strip malls sit empty . . . home foreclosures are overwhelming the county. All branches of county employees face layoffs. Businesses are closing everywhere. With all this going on, the biggest problem for our elected officials appears to be where to build a ballpark for the Red Sox.”…
How bad are things here? The local Little Leagues are reporting a severe drop in enrollment because so many families cannot afford the registration fees. So instead of allowing the Lee County authorities to prostrate themselves at their feet, the Red Sox, who have benefited so greatly over the past 16 years from the generosity of the Fort Myers community, should step up and subsidize those registration fees for the families having such a hard time.
I love the guys on the field. Pedroia, Papelbon, everyone else on that field give all they can to entertain us fans. They’re also fighting for more dollars (especially Papelbon) as they’re well aware that the owners have the money to give it. The dollar figures may seem obscene to us, but we can all understand the thought process behind it.
I also have immense respect for the Henry ownership group. They took over a franchise that once had glory years but was all too content to be an “average” team. Not being fan and media-friendly; not taking steps to enhance Fenway Park, the cathedral of baseball; not tapping the vast New England market more.
Henry and Co. did all that and more. They saved and resuscitated Fenway Park. I will always be thankful for that. They brought in bright minds to make the Sox a powerhouse (and one that replenishes itself through the farm system). I will always be thankful for that. They tapped the New England (and beyond) market which increased awareness in the team and also increased profits. And to Henry’s credit, most of the profits have been put back into the team. Also, understand this: it’s a business. Businesses are not successful unless they make money.
But there’s a place where we all have to go, “Whoa, wait a second.”
What place would you suggest this be if not the second worst economical depression in America’s history (if not the world’s history)? Heck, people are forecasting that the 2010 year will be worse.
And the Sox are asking for $125 tickets? $30 T-shirts? $5-10 food and beverages?
I’m sorry, but I’m not going to rush out and congratulate the Sox for holding ticket prices steady a year after announcing that those $125 field box seats would become “premium” seats in 2009 and have cushions added to the seats. The new price? $200.
Would it make financial sense for the Sox to take their push for a new spring training home, paid with city money, off the docket and instead subsidize the Little League fees for children? Of course not.
It would create a ton of goodwill, and lord knows the Sox are among the sports franchises that do just that with the Red Sox Foundation… but a new spring training home will offer upgraded amenities, reduced travelling time and a larger stadium to… you got it, bring more money into the coffers.
Ya know, I’d listen a lot more respectfully to John Henry’s (and other owners) calls for a salary cap if they weren’t printing money and hoping to use the cap as an excuse to pocket more money.
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There’s a reason why minor-league baseball continues to set attendance records year after year. Independent baseball, too.
Let’s face it: Even with the improvements, Fenway is still cramped, dirty and has terrible sight lines. Real fans can’t get good seats and when you are lucky enough to get them, you’re surrounded by foulmouthed louts that are merely better dressed.
But in the minors (and the indys), it’s simply more fun. And you get much more bang for your buck. Tickets rarely cost more than $20 – even behind home plate. Concessions are generally cheaper and parking oftentimes FREE.
Folks on the South Shore owe it to themselves to see a game or ten at Campanelli Stadium. Folks on the North Shore were too stupid to see the magic in Lynn, but there’s still a chance to save Nashua (and see El Guapo) and support the American Defenders, nee the Pride. And out west, beyond 495 (*gasp*) there’s a team playing in Worcester that’s worth a trip to go see them play.
I have to agree with you and Ryan about building Fenway South in Ft. Myers, for all the reasons stated and a couple more:
1. Several of the front-running sites for the new facility are guaranteed to destroy fast-disappearing native habitat, unique ecosystems that have previously been off-limits. At least one of them will start a domino effect for intense development in formerly protected areas.
It is unthinkable that the intelligent Boston Red Sox allow, much less precipitate, an environmental disaster for a facility which is “more convenient.”
2. The residents of Ft. Myers are not fully on board with sacrificing themselves for a Sox and Twins economic boomlet which lasts only 6 weeks. They welcome the Sox into their community with open arms, but rightly don’t see Ft. Myers as home of the Boston Red Sox, or their economy dependent on ST.
The city of Ft. Myers is under the gun to get the facility built in a couple of years. The good old boy network is seriously pushing things through the system at an accelerated rate to satisfy the time requirements of the Red Sox. Under such pressure it is normal for the most ruthless plans and individuals to succeed, often at the expense of best solutions and procedures. I think this is what is happening. Perhaps both the city and Red Sox can take advantage of this legitimate financial crisis to take things a bit slower and do it right for all concerned.
Lets not be naive here though…the market sets the prices, especially with a shrewd businessman like John Henry at the helm.
The only way for prices to come down is for the fans to not sell out Fenway Park (which might happen) and/or if they do go, to not buy merchandise and hot dogs/beer.
Until the recession hits the market surrounding the Red Sox, steadying prices is the right business move. No need to reduce them until the market gives you that feedback directly.
Sure it’s not the answer people want to hear…but it is simple economics.
Yes, let the market set the prices for tickets and merchandise.
However, using public funds to build a stadium when returns on such projects don’t exist is not letting the market work.
Ans, installing a salary cap on players is certainly not letting the market work.
Gotta say I agree with Tim on this one for the most part. Evan, the Red Sox are trying to stay afloat as much as most teams are. They’re in a different financial situation and market than the Diamondbacks or Marlins and so comparing what the two do is like comparing apples to oranges…there just isn’t a way to do it.
And, after reading your Outsider piece, I think that if you were a struggling Red Sox season ticket holder that contacted the team you would get a response from them. You might not get the deal that the Diamondbacks lady did, but the Red Sox are fantastic customer service-wise and would definitely follow up with the customer. From what I’ve heard they’ve really been reaching out to advertisers and sponsors as well to make sure they can retain whatever they can.
Also, I think its unfair to call on them to bail out Ft. Myer’s Little League. While it would be a nice gesture, the Red Sox are going to have a tough enough time fulfilling all of their commitments to charities in New England (RSF and the Jimmy Fund particularly) given the struggle for revenue that the team will have and the tough fundraising year or two that these charities will have.
That said, I think them asking for a stadium subsidy (for which Ft. Myers should tell them to f*ck off…like any city should say to their sports teams) in the current economic climate is particularly odious, especially considering their shameless pandering for a salary cap (after failing to spend $180M on Teix). Hopefully Ft. Myers has the stones to say no to them and show some semblance of financial accountability which they clearly haven’t up til this point.
Believe me, I understand the argument for ticket prices and marketing all too well. As long as there is extreme demand, the prices will not come down. It’s that simple, and I understand it. I may not like it, but I get it.
The spring training stadium, though… there’s just no call for that.
Hey, let’s not knock on the whole North Shore– SOME of us went to Spirit games whenever possible and cried bitter, bitter tears when they went out.
I think there was a certain group of people who just weren’t keen on venturing into Lynn. And the parking situation was never great.
I wouldn’t make a big fuss about $30 shirts or $10 Cokes. After all, you can go to the ballpark without either. If folks have the money and wish to spend it on such luxuries, then let the Sox make their buckos that way if they really need it. But the supply/demand issue on the tickets is another issue. I have to believe that tons of people make serious money reselling Sox tickets. Just try to get a ticket in the “Sox virtual waiting room.” You’ll have more luck in the “sleep with Angelina Jolie virtual waiting room.” If these were fans simply buying tickets for their own use, then it would be a simple supply/demand situation. But people buy tickets (where IS the secret door out of the waiting room???) and then ratchet up the price exponentially. It would be nice to have normal people be able to buy a Sox ticket in a normal way without breaking the bank by having to pay reseller prices.
These scalping prices also apply to Spring Training. Unless you score tickets on the first day, you are at the mercy of stubhub and other entrepreneurs. If you can get them, ST tickets to good seats can cost $150. Yet, the stadii aren’t filled because the scalpers are still holding blocks of unsold tickets. Time for the owners to get a handle on this.
I don’t blame the FO for the ticket prices, because the Red Sox continue to sell out home games, as Tim pointed out.
I don’t blame the Red Sox for not selling t-shirts at the same price as the Arizona D’backs. Let’s face it, a D’backs t-shirt is an expensive dishrag.
OK I’m being facetious, but the market in Phoenix is different from the market in Boston, and the D’backs’ product is different from the Red Sox’ product. Phoenix is hurting in the current economic climate, so the D’backs SHOULD be taking steps to make sure that they don’t price themselves out of their community. Boston on the other hand is one of the few bright spots in the American economy right now, so the Sox don’t need to be so cautious.
And I know the D’backs managed to win themselves a WS, but seriously for most of their existence they’ve been pretty unexceptional (playing in one of baseball’s weakest divisions). The Red Sox have been wildly successful in the last decade, and especially since 2003.
Different markets, different products. And I know, Evan, that you’re just trying to illustrate a point, but perhaps Arizona is a poor analogy.
Where I do blame the Red Sox, though, is the ST facility. This isn’t the time to be asking for handouts anyway, and especially in Florida, which is being pummeled in the economy right now. Very insensitive of the Red Sox to be making requests now, in the first place. In the second place, is a shiny-brandy-new ST facility a necessity? Absolutely not, which really does render the request for aid odious, to use Tom A.’s word.
And of course the Red Sox are a business, and of course they’re out to make money where & how they can, but MLB in general needs to recognize that it won’t do well to step on the toes of the American people. Rich ballplayers and mega-rich owners are crying poverty while the rest of us are losing our jobs and homes. MLB is a kind of alternate reality, and that’s never been more apparent than now.
Baseball was once a game of the people: I doubt many of you guys are literature buffs, but is baseball healing our spirits now, as Walt Whitman predicted it would? No, instead of a game of the people, we have a game where the owners are kings and the stars are princes. It’s a sad, perverse situation.