Do Soccer Associations Really Spend On A Good Thing? Empirical Evidence On Heterogeneity In The Consumer Response To Match Uncertainty Of Outcome
Abstract"The purpose of this study is to analyze whether previous results describing the effect of uncertainty of outcome on match attendance in team sports have been driven by heterogeneity in fan demand. We apply censored quantile regression methods and place particular emphasis on the relationship between match uncertainty and attendance demand, as previous results are highly ambiguous. This is more surprising, as each season association and league officials continue to spend millions on enhancing this uncertainty. We also control for season ticket holders, who are unlikely to be influenced by match specificities. Based on data from German soccer, our results indicate that fan demand shows heterogeneity across quantiles and that increasing match uncertainty of outcome exclusively benefits teams who already face strong attendance demand. "("JEL "D12, C14, C24, L83) Copyright (c) 2008 Western Economic Association International.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Western Economic Association International in its journal Contemporary Economic Policy.
Volume (Year): 27 (2009)
Issue (Month): 2 (04)
Contact details of provider:
Postal: 18830 Brookhurst Street, Suite 304, Fountain Valley, CA 92708 USA
Web page: http://www.blackwellpublishing.com/journal.asp?ref=1074-3529
More information through EDIRC
Other versions of this item:
- Men-Andri Benz & Leif Brandes & Egon Franck, 2006. "Do Soccer Associations Really Spend on a Good Thing? Empirical Evidence on Heterogeneity in the Consumer Response to Match Uncertainty of Outcome," Working Papers 0009, University of Zurich, Center for Research in Sports Administration (CRSA), revised 2008.
- Men-Andri Benz & Leif Brandes & Egon Franck, 2006. "Do Soccer Associations Really Spend on a Good Thing? Empirical Evidence on Heterogeneity in the Consumer Response to Match Uncertainty of Outcome," Working Papers 0048, University of Zurich, Institute for Strategy and Business Economics (ISU), revised 2008.
- D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
- C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
- C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models
- L83 - Industrial Organization - - Industry Studies: Services - - - Sports; Gambling; Restaurants; Recreation; Tourism
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Michael Hynds & Ian Smith, 1994. "The demand for test match cricket," Applied Economics Letters, Taylor & Francis Journals, vol. 1(7), pages 103-106.
- Whitney, James D, 1988. "Winning Games versus Winning Championships: The Economics of Fan Interest and Team Performance," Economic Inquiry, Western Economic Association International, vol. 26(4), pages 703-24, October.
- B Buraimo & D Forrest & R Simmons, 2004.
"Outcome uncertainty and the couch potato audience,"
542822, Lancaster University Management School, Economics Department.
- Koenker, Roger W & Bassett, Gilbert, Jr, 1978. "Regression Quantiles," Econometrica, Econometric Society, vol. 46(1), pages 33-50, January.
- Jeffery Borland, 2003. "Demand for Sport," Oxford Review of Economic Policy, Oxford University Press, vol. 19(4), pages 478-502, Winter.
- Daniel, Rascher, 1999. "A Test of the Optimal Positive Production Network Externality in Major League Baseball," MPRA Paper 25832, University Library of Munich, Germany.
- Baimbridge, Mark & Cameron, Samuel & Dawson, Peter, 1996. "Satellite Television and the Demand for Football: A Whole New Ball Game?," Scottish Journal of Political Economy, Scottish Economic Society, vol. 43(3), pages 317-33, August.
- David Peel & Dennis Thomas, 1996. "Attendance demand: an investigation of repeat fixtures," Applied Economics Letters, Taylor & Francis Journals, vol. 3(6), pages 391-394.
- Jones, J C H & Ferguson, D G, 1988. "Location and Survival in the National Hockey League," Journal of Industrial Economics, Wiley Blackwell, vol. 36(4), pages 443-57, June.
- Stefan Szymanski, 2003. "The Economic Design of Sporting Contests," Journal of Economic Literature, American Economic Association, vol. 41(4), pages 1137-1187, December.
- David Peel & Dennis Thomas, 1997. "Handicaps, outcome uncertainty and attendance demand," Applied Economics Letters, Taylor & Francis Journals, vol. 4(9), pages 567-570.
- McDonald, Mark & Rascher, Daniel, 2000. "Does Bat Day Make Cents? The Effect of Promotions on the Demand for Major League Baseball," MPRA Paper 25739, University Library of Munich, Germany.
- Peel, David A & Thomas, Dennis A, 1992. "The Demand for Football: Some Evidence on Outcome Uncertainty," Empirical Economics, Springer, vol. 17(2), pages 323-31.
- repec:lan:wpaper:3983 is not listed on IDEAS
- repec:lan:wpaper:3698 is not listed on IDEAS
- B Buraimo & R Simmons, 2006. "Market size and attendance in English Premier League football," Working Papers 574562, Lancaster University Management School, Economics Department.
- Pawlowski, Tim & Budzinski, Oliver, 2014. "Competitive balance and attention level effects: Theoretical considerations and preliminary evidence," Ilmenau Economics Discussion Papers 84, Ilmenau University of Technology, Institute of Economics.
- Dominik Scheyer & Sascha L. Schmidt & Benno Torgler, 2013.
"Any Given Sunday: How Season Ticket Holders' Time of Stadium Entrance Is Influenced by Outcome Uncertainty,"
QuBE Working Papers
024, QUT Business School.
- Dominik Schreyer & Sascha L. Schmidt & Benno Torgler, 2013. "Any Given Sunday: How Season Ticket Holders' Time of Stadium Entrance Is Influenced by Outcome Uncertainty," CREMA Working Paper Series 2013-21, Center for Research in Economics, Management and the Arts (CREMA).
- Nicholas King & P Dorian Owen & Rick Audas, 2010.
"Playoff Uncertainty, Match Uncertainty and Attendance at Australian National Rugby League Matches,"
NCER Working Paper Series
61, National Centre for Econometric Research.
- Nicholas King & P. Dorian Owen & Rick Audas, 2012. "Playoff Uncertainty, Match Uncertainty and Attendance at Australian National Rugby League Matches," The Economic Record, The Economic Society of Australia, vol. 88(281), pages 262-277, 06.
- Nicholas King & P. Dorian Owen & Rick Audas, 2010. "Playoff Uncertainty, Match Uncertainty and Attendance at Australian National Rugby League Matches," Working Papers 1007, University of Otago, Department of Economics, revised Aug 2010.
- Lahvicka, Jiri, 2012. "Using Monte Carlo simulation to calculate match importance: the case of English Premier League," MPRA Paper 40998, University Library of Munich, Germany.
- Leif Brandes & Egon Franck & Philipp Theiler, 2013.
"The group size and loyalty of football fans: a two-stage estimation procedure to compare customer potentials across teams,"
Journal of the Royal Statistical Society Series A,
Royal Statistical Society, vol. 176(2), pages 347-369, 02.
- Leif Brandes & Egon Franck & Philipp Theiler, 2010. "The Group Size and Loyalty of Football Fans: A Two-Stage Estimation Procedure to Compare Customer Potential Across Teams," Working Papers 0126, University of Zurich, Institute for Strategy and Business Economics (ISU), revised 2011.
- Coates, Dennis & Humphreys, Brad & Zhou, Li, 2012. "Outcome Uncertainty, Reference-Dependent Preferences and Live Game Attendance," Working Papers 2012-7, University of Alberta, Department of Economics.
- Lahvicka, Jiri, 2010. "Attendance of ice hockey matches in the Czech Extraliga," MPRA Paper 27653, University Library of Munich, Germany.
- Lahvicka, Jiri, 2013. "Does Match Uncertainty Increase Attendance? A Non-Regression Approach," MPRA Paper 48571, University Library of Munich, Germany.
- Humphreys, Brad R. & Paul, Rodney J. & Weinbach, Andrew P., 2013.
"Consumption benefits and gambling: Evidence from the NCAA basketball betting market,"
Journal of Economic Psychology,
Elsevier, vol. 39(C), pages 376-386.
- Humphreys, Brad & Paul, Rodney & Weinbach, Andrew, 2010. "Consumption Benefits and Gambling: Evidence From the NCAA Basketball Betting Market," Working Papers 2010-7, University of Alberta, Department of Economics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.