Full Decade Price Freeze
September 15, 2011
The 2011-12 school year marks the 10th consecutive year of no increase in MHSAA Regional tournament tickets for football and boys and girls basketball; and it’s the ninth consecutive year without increase at the District level of those tournaments. This is noteworthy on at least three levels.
First, it means parents, grandparents, neighbors and friends on fixed incomes or struggling through a fickle economy have experienced no new costs to support their local school teams over the past decade.
Second, it means that what were the MHSAA’s largest revenue sources – gate receipts from District and Regional tournaments of football, boys basketball and girls basketball – have not been used to support the MHSAA’s expanding services.
Finally, when the freeze on ticket prices is combined with the freefall of girls and boys basketball attendance since the change of girls basketball season to the winter (the four-year average total attendance is down 9.3 percent for the girls tournament and down 21.1 percent for the boys tournament), the overall effect on the MHSAA’s operational budget is dramatic.
To compensate, the MHSAA has cut expenses and created new revenue sources. For years, MHSAA tournaments produced more than 90 percent of the MHSAA’s revenue. In 2010-11, it was less than 80 percent. The 2011-12 target is less than 75 percent.
Priming the Pump
November 28, 2014
Today and tomorrow bring an end to the MHSAA’s fall tournament season that, overall, experienced the worst weather I’ve witnessed in my 29 years of watching our fall events. We are grateful to those hearty fans who followed their favorites through wind, rain, ice and snow.
The MHSAA’s “bread and butter” is its season-ending tournaments. Try as we might to diversify our revenue, all our non-tournament revenue sources combined continue to account for less than 15¢ of every $1 the MHSAA generates. Sponsorships, broadcast rights fees and officials registration fees make a contribution to our enterprise; but the MHSAA operates without membership dues, fines and tournament entry fees.
That leaves gate receipts (ticket sales) as the largest (by far!) source of revenue; and it’s the football and basketball tournaments that pay the way for the many tournaments that the MHSAA operates at a financial loss (we call it an investment).
Because of this narrow flow of revenue, I asked a team of MHSAA staff to take a comprehensive look at the MHSAA’s marketing of its tournaments. Over a series of energetic meetings, these imaginative staff members have compiled a list of ideas to promote MHSAA tournaments by better using existing means and opening up new avenues to generate interest and increase spectator support.
The MHSAA Representative Council will soon vet and vote on a wide variety of ideas generated by our in-house task force. The objectives are a growing customer base enjoying an improved customer experience.