Nor'Easters Case Analysis

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Executive Summary
In Springfield Nor’easters case study, Larry Buckingham is the marketing director for the Nor'easters, a class A minor league baseball team in Springfield, MA. As any other profit-seeking business the objective of this sports club is to sustain a viable business by making profit, at least brake-even in the opening season. The two major sources of revenue for Nor’easters are ticket and concession sales.
Larry conducts market research to gain knowledge about potential customers and their willingness to attend Nor’easters games on different ticket price levels. The results of the survey and other information collected by various sources help Larry to develop a pricing strategy for the Nor’easters’ ticket and concession sales.
This paper evaluates the data yielded from the market research, presents two alternative pricing strategies and states the strengths and weaknesses for each. Finally, this paper concludes with a set of recommendations from the alternatives discussed.
According to the evaluation of survey data, the information provided in the case and assumptions made, at least 50% of the Springfield population need to attend at least one game throughout the season for Nor’easters to break even. However, although not fully reflective of the whole population due to limited sample size, the survey data states that only 39% of Springfield residents are willing to attend games. Nor’easters will have to escalate this to above 50% level by conducting marketing and communications actions or consider establishing itself in some other city.
I. Background
Larry Buckingham is the marketing director for the Nor’easters, a new Class A minor league baseball team in Springfield, Massachusetts. Since they just opened their offices, the team will not play a game until their first season starting in June 2009, 18 months from now. Larry is responsible of establishing the correct pricing strategy prior to season start to maximize revenue and at least break-even

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