One of the interesting areas of sports analytics is dynamic ticket pricing. Online sports management education explains this as a way that sales and marketing organizations within the front office of a professional sports team can impact revenues by pricing tickets dynamically. You may ask, “Well, what does that mean?” If you think back years ago, each ticket would have a static price. If the seat was in the 20th row at center ice or center court, or the middle of the football field, the 50-yard line, it essentially had one price for all games.

Today in many global sports, tickets are priced dynamically because we acknowledge that there’s different levels of demand based on the day of the week of the game. We also acknowledge the different levels based on the time of day that the game is being played and the opponent, including the star players that are coming in from the opposing teams. We even acknowledge the different levels if it’s an outdoor game based on the weather and the weather conditions.

It’s really important that we recognize that certain tickets might be worth two or three times as much under favorable conditions. If the Boston Red Sox are coming to play the Kansas City Royals and they’re playing on a Sunday afternoon in July, that ticket is going to be worth a lot more than if the Miami Marlins are coming in to play the Kansas City Royals on a Tuesday night in April. Those are the kinds of things that we can now capture.

Sports management education teaches us that there are algorithms and methods through data analysis. Looking at history and past history sales as well as ticket sales and pricing, we can assess what the relative demand is going to be for each of those games. We have mechanisms much like the stock exchange does so that we can price those tickets at a variable level. Sometimes teams will impose certain rules so that the tickets don’t float freely, but nonetheless they will vary. They’ll vary according to whatever parameters the team wants to permit them to vary based on the demand.

There are really two things happening here in global sports. One is we’re talking about how people consume sports. The sports ecosystem is really all oriented toward how people consume sports. And some of it is “live” and “in person” in a traditional way: that’s going to the stadium, or in some ways, going to a bar or a restaurant, and hanging out with other people. Some of it is consuming it just on your own and much closer to home.

The future of the esports ecosystem really is in, let’s use a buzzword, connectivity — meaning that all the things that are out there that make up this sports ecosystem, whether it’s live at a venue, whether it’s on the way to the venue, if it’s in your home, wherever it is that you are consuming sports — that’s where the future of this ecosystem is.

It’s no longer just about being in one place. It’s about being in one place and having access to everything everywhere.

Online Sports Management Education

During your sports management education studies, you need to focus on connectivity whenever possible. It’s important because the sports organization that you work for some day will rely on the sports ecosystem to thrive.

Why is there a sports business program? Why can’t you just get a business degree or get an MBA and go into sports business? Why should there be a special sports business program? There better be a good answer for that question or else there shouldn’t be any sports management programs. And the way I teach sports management is to first understand the difference between sports and sports business.

The question you must answer is, “What is sports?” Why is this business different from any other business? Why won’t they pack a stadium of 50,000 people to watch two guys close an insurance deal? Why do people make irrational, disproportionate expenditures on sports, on their teams, on their sneakers, on Muscle Milk, on all these kinds of things? What is it about sports that requires a whole separate program because it’s a different thing?

And I will tell you. It’s because it is a different thing. Sports has specific properties. It’s a cultural form that didn’t start out as a business, but it’s become a whole ecosystem of business because of the cultural form. It’s not just sales, it’s not just marketing. It’s stemming from something that is intrinsically human.

Every one of us, believe it or not, by virtue of being here as this species of mammal, actually likes sports in a way that’s almost critical to our survival. That’s why we have a sports management program. If you think about it that way, you will be able to be successful at sports business. You won’t just be a person who thinks about business without understanding the underlying thing.

Fantasy sports have become a fascinating element of the global sports system, and it’s a big sports management business in and of itself. Interestingly, athletes are keenly aware that they are on different fantasy teams all over. In addition, some athletes play in fantasy sports leagues of their own. It’s sometimes with a league of the sport that they professionally play, and sometimes it’s with a league of a different sport. It’s an exciting dynamic for professional football players to know that when they score a touchdown, they are doing something for thousands of people worldwide who have them as a player on their fantasy team. These players are contributing to the fantasy participants all over. I’m not sure how much of an impact it has on people, but it is something that athletes are aware of. If you’d like to learn more about this, consider pursuing an online sports management education.

What you’re seeing a lot of nowadays is that events are not only hosting sport-organization events, but obviously, they’re going to start hosting concerts. There are a number of concert series that will happen at Citi Field. So, they’ll clear out the entire field and make it an applicable space for any given concert or band.

There have been a number of different concerts that happened at the Mets stadium. One notable one is Billy Joel because he’s from Long Island, and he often represents Long Islanders, and therefore, New Yorkers. Again, it’s this whole idea that New Yorkers can go to Citi Field to feel as if this place is re-emphasizing their identity as a New Yorker, not only in terms of Ebbets Field, but also, in terms of the Jackie Robinson rotunda, which signifies this whole idea of the Brooklyn Dodgers’ history. It’s part of Brooklyn history.

Then they can go into this venue and see someone who represents New York, such as Billy Joel. We can usually take these venues and often translate them to outside events, such as concerts with Billy Joel.

What you’re starting to see is an evolution of sports organizations and sports management and how they’re constructing their venues. Previously, it was just however much capacity it could hold. Certain baseball stadiums would hold 50,000, maybe 60,000 seats, without mini suites or party events. And as you saw, perhaps in the early 2000s to 2010, new stadiums were limiting the capacity in terms of the amount of people the stadium could hold and opening up more suites areas, VIP areas.

The idea was while they might not be getting the extra 10,000 seats by going from 50,000 to 40,000 seats, they would actually be getting more bang for their buck in charging more for the suite tickets. They’re earning more revenue, getting more of a bang for your buck, given these suite tickets.

However, what we’re seeing today is that even these suite parts, or these web arenas or areas, in where individuals can come and pay a hefty amount for a ticket — those are actually starting to be on the decline because people are starting to prefer in-house watching. They’d rather actually sit in their house rather than come to a stadium. What stadiums have been doing nowadays is transforming some of these suite areas into priority areas, into communal areas, kind of representing certain living-room-style events.

It’s an interesting thing that sports organizations are now doing in global sports. They’re actually offering certain types of living-room-style events at the stadiums so family members can come together. Groups, communities can come together in this open space so it’s not just so much for watching the sporting event, but it’s more so a medium to come together where you can enjoy time together within the venue.

This information is part of our sports management education course.

This idea of my identity, this idea that I get to walk around with pride, is about all the different ways we get to plug into sports. It’s what Jesse Owens did to Hitler in the Olympics. Here’s a guy saying, “I’m going to take over the world, and my pure race is better than all of the other races.” That included black people, and that included Jesse Owens. In front of the whole world, in Berlin, Jesse Owens dramatically disproved that theory in human, real, on the ground — literally on the ground — terms.

Two Jewish sprinters weren’t allowed to run, so that footnote should be made. But this is the way sports can amplify, magnify, and otherwise powerfully communicate social conditions in a way that very few other things can, differently than movies or books or plays, which are enormously powerful cultural vehicles. But they’re scripted. The author is intentional. The author is in control.

In global sports and sports management, we don’t know what will happen. And that’s the excitement. That is the humanity of it. We don’t know what will happen until it happens.

Sports management education courses tackle the theme of sports and national identity.

With the advent of social media in global sports, we can see there are now a number of new things coming into consideration within the sports media landscape. Obviously, we still have those same members in sports management. We have the content providers, which are still the sports organizations, the athletes, and the events. And we still do have the mass media, which is television, radio, newspaper, and magazine.

But now, it’s not just one mass audience. In particular, it’s different niche audiences. So, it’s no longer just the entire United States or the entire world. The media could not only be talking to New York segments, but they could also be speaking to Boston segments or California segments.

We could, in fact, be speaking to California residents, and within California, we could be speaking to any number of different team fan bases and fan groups from any given team. What we’re seeing with social media is that those individual fans now have their own platform for themselves. And, in fact, all of the teams allow for platforms. Certain fan groups have certain platforms. So, content providers are giving their information to the mass media.

The mass media has an option to give it to any given fan group or any given niche audience. Where this is also going to differ is that we’ll see that content providers don’t have to go through mass media channels. They can, in fact, with social media, directly communicate with any given fan group [and] with any given niche audience. So content providers, such as the Dallas Cowboys or the New York Rangers or the San Francisco Giants, can now directly communicate not only with certain fan groups but in some cases with individuals who are fans.

They have a sense of direct communication. And what you’re going to see on the bottom is not only direct communication going from the content providers to the niche audiences, but the niche audiences, very importantly here, can have a direct communication line with the content providers themselves. This goes back to great relationships that we can have with having the audience members and the sports teams organizations.

What we’ll see is that the niche audience will not only have the ability to relate directly with content providers, but they’ll still get information from these mass media sources. So, they can get information directly from the sports organizations or the athletes. They can also still get their information from ESPN.

In this case, they have a number of different options [on where] to get their information. They can watch it on television, as would be the traditional manner. But they can also hear [it] from ESPN on any social media medium. So ESPN, Fox Sports, CBS, NBC — they not only have a television channel now, they have the ability to directly reach individual fans through social media. And just like the niche audience has had the ability to give feedback to the sports organizations, you’ll see there’s a small feedback loop where the niche audiences are able to give feedback back to these mass media entities through social media.

Michael Shear informs us that there are a lot of data points fans hit when they attend a game. They are hitting data points when they use their mobile devices to buy tickets, enter the building or come in through a particular gate. Data points also track where the crowd goes once the game starts, whether they stay in their seats during halftime or leave, if they visit the concession stand and what their food and beverage choices are. This information is all pertinent.

He tells us that one of the first questions he was asked when he started was how many people turned left when they came into the main entrance of the building. This seemed like an off-the-wall question until he realized that Budweiser asked it. They were asking because they had signage to the left of the main bar and wanted to know how many impressions they were getting right out of the gate.

The way that he figured out the answer to that question was by looking at the ticket scans. Out of all the people who had their tickets scanned at the main entrance, he could deduce how many of them went to the concession stands on the left-hand side. From there, he figured out the percentage.

Sports Management Improves With Technology

Years later, after gaining more advanced Wi-Fi systems and mobile ticketing devices, he and his colleagues were able to verify that the initial hypotheses and percentages they came up with were correct. This showed that things were only becoming more impactful. As we enter more of the mobile space, teams are now relying on these things. They include mobile ticketing, mobile transactions, cashless arenas and other items of that nature.

We’re talking about broader data sets and how to manage them. How are teams going to capitalize on that, whether it’s to drive ticket sales or sponsorship sales? These data sets are only getting more extensive and more complicated to manage. They continue to be a challenge because teams need to focus on the fan experience. In some instances, a data warehouse would be beneficial.

What separates going to a live event or game from watching it in the comfort of your own home? This is the challenge that teams have to figure out. The data helps to leverage the personalization aspect and help put fans in seats.

Michael Shear says that when he first started this job, he thinks it was right at the beginning of the trend of leveraging data and analytics in sports. For example, there weren’t many teams that even had an analytic team or an analysis department. He and his associates more or less acted as the CRM (Customer Relationship Management) for the team.

Some teams were just using their ticketing system as a CRM platform, so they didn’t really know that much about their buyers. They weren’t aware of who the ticket holder’s favorite players were or what size shirt they wore. These details can come into play as marketing tactics. Before mobile ticketing, it wasn’t possible to accurately know the fans. You could know who purchased the hard ticket, but you couldn’t know who they were bringing with them.

The Future of Global Sports Relies on CRM

Now, things are definitely more about the big data aspects. The advent of mobile technology has made a major difference. Teams now have entire departments devoted to analytics and business strategy. For example, the CRM of a sports team usually has to keep track of their fans. So, a fan buys a mobile ticket, and that sale goes into the CRM platform, which allows you to track that ticket’s behavior. For instance, you can follow what the fans are buying and what they like to buy, where they live, their geography, their demographics, if they’re married, if they have kids and things of that nature. This is a way for the service team to keep that line of communication open and try to either upscale the fan or personalize their experience.

“With data analytics, there are a number of different opportunities not only on the field, but off the field,” says Dr. Brandon Brown. “You can be a data analytics tracker in terms of understanding which metrics are going to influence game outcome.”

“One key career that I see moving forward in the sport industry,” adds Dr. Andrea N. Geurin, “especially related to marketing and sports management, is going to be in the marketing analytics space. This is where people have the ability to take a lot of data and look at it and make decisions and understand how that data impacts the organization. Everything that is done in marketing — it does have a very creative twist to it now — is very much tied to data. And data is driving the decisions that we make.”

So in marketing analytics, business analytics is a really important role that organizations need and will be hiring for. I think in terms of marketing and global sports, it’s also a space where people working in sports marketing need to have the ability to use digital media. They need to be able to do video editing. They need to be able to put little promotions together.

They need to have really strong writing skills because when you put something out on social media, again, it needs to have a specific voice, a tone. It needs to just kind of match the brand. So, having the ability to write well and write in different voices is an important skill. Digital media managers and social media managers will be hugely important for sport organizations as we move forward.

Sales is a hugely important piece to every organization. A lot of people, when they start their career in sports, will look to starting in sales. One of the reasons that’s so important is because if you work in sales — and you can show that you have added this much value to the organization this year — that’s a really great personal marketing piece to be able to move up through the organization and to continue a career in that organization or in that field.

Sales gives you some really hard numbers that you can point to in terms of saying, “I created this many new clients this year, or I generated this much in sales this year.” It’s a really important career that sometimes gets overlooked, but it can definitely lead to moving through an organization very quickly.

In the past, I’ve taught sport sales courses. My students have always done hands-on projects where we’ve worked with an organization. The students actually have to get on the phone, cold call people who might want to buy tickets. They have to learn to sell, but they get a lot of guidance from the organization.

It’s been absolutely wonderful for those students because some of them were able to get internships or jobs with the organization that we partnered with in the sports management education course. It introduced them to the idea that, “I could go into sales. This is a really valuable skill.”

I’ve seen so many of my former students who have taken positions in sales. Their careers have skyrocketed within a few years because they did really well at that role, and they were able to move up quickly in organizations and also to get new opportunities with other exciting organizations.

There are so many parts of the sports ecosystem. We tend to think that it starts out with teams or players and fans. But it’s so much more. Sports touches so many different parts of our world. It touches business. It touches government. It touches the nonprofit sector.

Almost everywhere that you turn, there’s probably something that, in some way or another, is connected to sports and sports management. Maybe the drink that you have by your side right now is a company that sponsors something in sports, or sports sponsors something that the company is doing. Or, maybe it’s both.

This really speaks to where global sports is at today in our world. Sports is a reflection of society, and society is a reflection of sports. It’s really something that, in today’s world, in today’s day and age, the relationships of companies, of organizations, and institutions, really connect around sports. Sports, increasingly, is a way to develop all of those.

This is information provided in the sports management education course.