Jesper Sehested Jensen
Ticket Pricing Plan
When trying to determine the right price level for seats at the Nor’eastern minor league games, Buckingham should keep in mind that he is dealing with a very price sensitive audience. The average income in Springfield is very low, since the city manly consists of working class households. This fact is backed up by the survey that states that 94% of the respondents had a household income below $75,000. Therefore regular single tickets shouldn’t be priced to high and the overall pricing strategy should furthermore include generous discounts for certain categories such as students and seniors as well as fairly cheap season tickets. The overall objective of the marketing plan is to provide the baseball fans of Springfield with a good experience and first of all entertainment. For this to happen the right atmosphere at the games is of crucial importance. This kind of atmosphere is normally greatly enhanced by enthusiastic students, and it is important to attract this target group to the games. This will make it more attractive for families to attend the games, which will boost concession sales. We have chosen to set the price for a regular ticket to $12. This group mainly includes families, which have the relatively highest income compared to groups like students and seniors and this price level is therefore assumed not to discourage this target group from going to the games. Students are an attractive target group because they contribute considerably to the great atmosphere that you expect to get when attending a live baseball game. However, this group probably has the most limited means, and therefore requires the biggest discount. The appropriate price is found to be $7. We set the price for the child ticket low, $4, because families with children will consume more concession goods, and that is a target group we want to attract to the games. The family...