This transcript has been lightly edited by AI
Sean: How much does data analysis of ticketing data help? You mentioned Ribbon helps get better yields for seats across the stadium. How does the data analysis piece now help the sales process? Is it determining the right ticket or product to develop for specific fan types?
Steve: It's hugely valuable, but teams can get paralyzed by over-analyzing data. Some NBA teams have said, “We've analyzed all our data and have a larger propensity of people coming to our games from a particular zip code, so we're just going to blanket those households with marketing.” They're doing this without knowing if the person has any interest in their product. I believe in using data to analyze and improve marketing efforts. For example, with our Minor League teams, we track every dollar spent on Facebook ads and the return on that investment. Last year, one of our teams got $38 back for every dollar spent. We analyze email subject lines, body copy, and Facebook ad headlines to improve open rates and click-through rates. That's the valuable analytics – how to make your marketing better, not just targeting someone who looks like your existing customer.
Sean: How much has digital marketing and Facebook advertising changed the game from a sales perspective in your part of the world?
Steve: It's the only advertising I recommend to my clients now. In seminars, teams mention running radio spots, TV spots, and billboard advertising, but they can't tell you how many tickets they sold from those ads. They're just afraid not to do it. I flip the switch and say only market and advertise in ways where we can track it – digital click-throughs, email opens, and sales. It saves the team a significant amount of money. If a team has a $100,000 budget for outdoor advertising, I recommend they cut that in half, pocket it, and use the other half to hire two more salespeople who can provide a clear, tangible return.
Sean: Or having someone dedicated to managing those digital platforms to determine which markets are converting, and then it's just a matter of how much you increase that effort to sell more tickets.
Steve: Absolutely. When salespeople are properly trained and reaching out to people engaging with the advertising, the close rate skyrockets. It's a combination of targeted marketing to interested people and well-trained salespeople with a product the fan wants. Your close rate can be around 80 percent of everyone you talk to. That's where analytics and tracking information really become valuable.
