The Relation between New Arenas and Gate Receipts in the National Hockey League
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This study examines the relation between the attributes of National Hockey League (NHL) arenas and gate receipts generated by NHL clubs over a period spanning the 1989/1990 through 1997/1998 NHL seasons. We find that the annual gate receipts of eight established NHL clubs increased on average by 47% after they moved into new arenas during the 1990s. This increase greatly exceeds a corresponding increase of 17% for other NHL clubs over the same period. These results hold after controlling for other factors that affect gate receipts, including the quality of clubs, the population and per capita income of a club’s metropolitan area, and a time trend variable. We estimate that a new arena with the average number of luxury and club seats of other new arenas would increase the gate receipts of the Pittsburgh Penguins by approximately $6 million per season in constant 1997 dollars. In short, this study documents that new arenas have a substantial effect on the revenues of NHL clubs. Katz Graduate School of Business, University of Pittsburgh April 22, 1999 Source |
Just a matter of time
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Sports business analyst says NHL's return to Winnipeg is a 'no-brainer' With the new CBA bringing both revenue sharing and a salary cap into view, a new arena in downtown Winnipeg that can derive much more revenue than the past Winnipeg arena, Mark Chipman has crunched the numbers. While he won't guarantee anything, he also won't rule anything out, as it pertains to the NHL returning to Winnipeg. Paul Friesen, Winnipeg Sun October 05, 2005 (Link not available to source) |
A sympathetic ear
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Great One recalls Jets' past and holds out hope for NHL future Gretzky comments positively about Winnipeg as he arrives in town for the first preseason game at the MTS Centre: "When the franchise left years ago, there were a lot of reasons as to why the team left," Gretzky began. "A lot of those issues have sort of changed. By that, I mean the salary cap, obviously, revenue sharing to a certain degree, the American-Canadian dollar is stronger than it was ... and the new facility. So there's a lot more in favour of Winnipeg maybe some day getting an NHL franchise back." He added, "I know the league, the players themselves, enjoy playing here." Gretzky concluded by saying, "The visiting teams enjoy the atmosphere in this city. There's a lot better chance in this day and age that this city could get a franchise than maybe 10 years ago. Whether or not it happens is something the league has to work out, and ownerships have to work out. But obviously this city's always going to get talked about, because it's a good hockey city." Paul Friesen, Winnipeg Sun September 18, 2006 (Link not available to source) |
Bench boss is lovin' it
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Gretzky brings his passion to coaching $1 million: the approximate gate revenue from last night's exhibition game between the Coyotes and Oilers. The profits were split between the Coyotes and True North with the Coyotes receiving a slightly larger share. Writer Paul Friesen penned "That's the kind of crowd it would take, at similar prices, every game, to make a big-league team viable here." Paul Friesen, Winnipeg Sun September 18, 2006 (Link not available to source) |
Thumbs up on 'Peg's new digs
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Both players and coaches alike from the Edmonton Oilers and Phoenix Coyotes were impressed with the MTS Centre. Ken Wiebe, Winnipeg Sun September 18, 2006 (Link not available to source) |
It's not likely at this point, but what if the Penguins were moved?
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If the Penguins can’t find a new rink in Pittsburg, three cities are ready to take them, Winnipeg, Hamilton and Kansas City. Since Winnipeg and Hamilton are natural hockey markets with suitable arenas, they have an edge over Kansas City. Pierre Lebrun, Canadian Press October 05, 2006 Source |
Complementary Tickets and Total Gate Revenues (2006-2007)
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The Globe and Mail found a leaked NHL document from the 06/07 season showing how many freebie tickets were counted in “announced” attendances across the league. It also displayed the total gate receipt dollars brought in on a per game basis for each team. Average ticket price was then calculated. Mike Faille, The Globe & Mail January 01, 2007 (Link not available to source) |
The Fan 590: PrimeTime Sports with David Asper
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David Asper, Executive Vice President, CanWest Global, speaks with Prime Time Sports about Winnipeg and NHL expansion. David Asper has indicated his interest in being part of an ownership group and is comfortable with the MTS Centre as host. He further indicated that beyond Winnipeg being a rabid hockey market that there is a will to have a team in Winnipeg. The Fan 590 January 23, 2007 (Link not available to source) |
Canwest Global: Local Reaction To Gary Bettman's Support For Winnipeg
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Local reaction to the NHL Commissioner’s support for Winnipeg’s return to the NHL. CEO Edmonton Oilers, Pat LaForge, supports Winnipeg. Global also speculates on potential NHL financials. (Although much was understated or missing.) Claims that $260 million would be required before the first season starts are inflated with no mention how future revenues streams for both hockey and non-hockey events at the MTS Centre may offset a team purchase cost. Canwest Global January 26, 2007 (Link not available to source) |
CBC: Ron MacLean and Gary Bettman, All Star Game, Part 1
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Gary Bettman responds to Ron MacLean’s questions at the 2007 All Star Game in Dallas, Texas. The NHL Commissioner does think that Winnipeg can support the NHL again with the new CBA. CBC, Hockey Night in Canada January 26, 2007 (Link not available to source) |
CBC: HNIC Hotstove
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A week following Mr. Bettman’s supportive comments about Winnipeg, the group of reporters speak about some NHL governors support for it, a potential local ownership group has already reviewed two NHL teams books and concluded that the NHL would work in Winnipeg with the current MTS Centre at 15,003 seating capacity. CBC, Hockey Night in Canada: Hotstove January 28, 2007 (Link not available to source) |
NHL fans have left the building
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Gate receipts paint real picture of a false economy Mark Spector of the National Post examines the NHL’s gate receipts by game and by team and finds that without the spin doctoring, the numbers for some teams are very bleak. Canadian teams proved to be among the most financially sound. These numbers allow Manitoba Mythbusters to compare how a potential Winnipeg team’s ticket prices at the MTS Centre and gate revenues would show against the existing 30 teams. Mark Spector, National Post February 10, 2007 Source |
Why Not Winnipeg?
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With many teams showing dwindling interest in both attending NHL games or watching them on television, the writers conclude that Winnipeg is ripe for the NHL. Current Buffalo Sabre and former Winnipeg Jet, Teppo Numminen is quoted in endorsing Winnipeg’s fanbase. Darren Ford of Jetsowner.com provides a perspective on population size and arena size in detemining a market’s ability to support the NHL. Andrew Kulyk & Peter Farrell, Puck Stop March 14, 2007 Source |
Troubling signs abound for Thrashers
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David Shoalts of the Globe and Mail dives into the numbers from the 06/07 season showing how many freebie tickets were counted in “announced” attendances across the league. The situations seem dire for some current NHL teams, especially Atlanta, with complimentary tickets and gate receipts telling the tale. David Shoalts, Globe and Mail March 29, 2007 Source |
Ford thinks NHL's return to 'Peg is near
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Mark Chipman cautiously yet positively responds to Gary Bettman’s assessment about Winnipeg. Darren Ford brings up the topic of hockey market size and supply and demand effects for creating ticket scarcity with the proper sized arena. Avi Saper, WinnipegFirst.ca April 03, 2007 Source |
Tories fan NHL flames
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Both provincial parties that have governed Manitoba in the years after the Jets left, have stepped forward during the last provincial election to announce their support of the NHL’s return to Manitoba. Premier Doer of the NDP released an announcement just prior to Conservative Leader Hugh McFadyen’s press conference at the MTS Centre with former Jet Thomas Steen at his side. Many options are available beyond direct provincial treasury involvement say both leaders. Julie Horbal, WinnipegFirst.ca May 07, 2007 Source |
Bettman Mentions Returning to Winnipeg
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TSN reports a Canadian Press story that contains Gary Bettman's "righting a wrong" comment in relation to Winnipeg. A Canadian newspaper editorial made the point that if the NHL did add another Canadian team it should go back to Winnipeg first because they have a new building and the NHL owes it to them. "I'm not opining on whether or not that's an opinion that I agree with, but it is an interesting and intriguing thought," Bettman said in a comment that raised eyebrows. "When we had the chance to go back to Minnesota, we did. Because it made sense, the right ownership, the right building situation," said Bettman. "The market was strong and vibrant. We haven't studied Quebec City or Winnipeg or anywhere else in Canada, but the notion that if it could work to put a franchise back in a place where one was lost, feels good - provided we don't wind up in a situation where we've created a prescription for another failing franchise." Bettman concluded by saying, "so am I intrigued? It's obviously something I've thought about in terms of trying to make right something that one point in our history went wrong." The NHL Commissioner also downplayed a second team for Toronto. The Canadian Press May 28, 2007 Source |
Bettman 'intrigued' by idea of NHL in 'Peg
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This is the original article contains Gary Bettman's "righting a wrong" comment in relation to Winnipeg. Pierre LeBrun, Canadian Press May 29, 2007 Source |
Continue to be Passionate: Bettman
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Tim Campbell’s complete one on one interview with NHL Commissioner Gary Bettman included questions like “Did you really mean leaving Winnipeg was wrong?” and “Do you have rules on seats or luxury suites?”. Mr. Bettman’s responses were both fairly candid and positive and ended much worry over whether the MTS centre met NHL minimum standards. Tim Campbell, Winnipeg Free Press May 30, 2007 Source |
The party's over in Nashville, but it's just starting at Cup finals
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Light the Red Lamp John Buccigross of ESPN.com reviews the situation in Nashville. He summaries how Craig Leipold got $70 million wealthier, while the team's attendance shows that relocation is only a matter of time. Buccigross speculates that Jim Balissilie may in fact end up with the team and that Winnipeg with its new rink will be in the mix to become a relocation target. John Buccigross, ESPN.com May 30, 2007 Source |
Fuzzy NHL Winnipeg picture could clear
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You had to wade through the customary allotment of bafflegab and doublespeak, but when Gary Bettman invoked the name of Winnipeg during his state-of-the-union address earlier this week, it appears he did so for one of two reasons. The Vancouver Province's Ed Willes speculates on why Gary Bettman would bring up Winnipeg at his State of the Union news conference. "Mark Chipman, the Moose's owner, has maintained a dialogue with the NHL, studied the books of both Ottawa and Edmonton and he believes he could operate an NHL team on a break-even basis in his town." Willis adds, "Ten years ago, the NHL thought it had outgrown Winnipeg. It appears they've had time to reconsider." Canwest News Service June 01, 2007 Source |
Relocation, not Expansion
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Lyle Richardson, aka Spector, Foxsports.com June 08, 2007 Source |
MTS Centre is small, but 'just right': Chipman
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Mark Chipman explains why a bottom third seat capacity arena in Winnipeg offers better than bottom third revenues for a potential team in the Manitoba capital. Capacity scarcity offers value to season ticket holders in a rink that also has premium revenue streams in both club seats and luxury suites. Chipman also suggested that his ownership group has already run the numbers to suggest a ticket price face value average of $60 works. ($70 when fees and taxes are applied). Tim Campbell, Winnipeg Free Press June 30, 2007 Source |
Sens owner, Paddock tout Winnipeg for team
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Senators owner Eugene Melnyk says that talk about arena size in Winnipeg misses the point. Both he and former Jets GM and coach and current Senators coach John Paddock support Winnipeg’s return. Winnipeg Free Press, from the news services November 07, 2007 Source |
Hockey Hearsay
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A Loonie idea for Winnipeg A high-ranking hockey source says the league receives daily calls about bringing a franchise back to Manitoba. The NHL reportedly also reinforced its patent on the Winnipeg Jets name and logos. Sportsnet.ca November 07, 2007 Source |
The Big Small Markets
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James Mirtle discusses of how the concept of small and big markets has changed in the last decade. Quoting NHL player agent Ian Pulver, “ ‘small market’ oftentimes acts as a stand in for ‘big market, indifferent to hockey.’” Mirtle agrees and sees the label not appropriate anymore when it comes down to raw population or potential markets. James Mirtle November 08, 2007 Source |
Melnyk supports NHL in Canada
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The Leader-Post, canada.com November 10, 2007 Source |
