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The Novelty Effect of the New Football Stadia: The Case of Germany

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Author Info

  • Arne Feddersen

    ()
    (Hamburg University)

  • Wolfgang Maennig

    ()
    (Hamburg University)

  • Malte Borcherding

    ()
    (Hamburg University)

Abstract

When decisions are made to construct new stadia or to undertake major renovation work, the decision makers often assume that more spectators will be attracted. This so-called “novelty effect” is used as an argument that an impulse towards increased demand for the region and its services will be created, thus justifying public sector management to supply public funding. This study registers the novelty effect of soccer stadia in Germany since the beginning of the Bundesliga (1963-64) up to the end of the 2003-04 season and is based on annual team attendance per game. The data from all 12,488 completed games was used to create the annual attendance per game for each team. A persistent novelty effect of around 2,700 spectators per match (10.7% increase) can be seen. This value is significantly below the values calculated for the US-American professional leagues. The extent to which public funding for soccer stadium buildings can be justified will be small indeed.

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Bibliographic Info

Article provided by Fitness Information Technology in its journal International Journal of Sport Finance.

Volume (Year): 1 (2006)
Issue (Month): 3 (August)
Pages: 174-188

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Handle: RePEc:jsf:intjsf:v:1:y:2006:i:3:p:174-188

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Related research

Keywords: sports venues; attendance estimation; novelty effect; public funding;

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Cited by:
  1. Stan du Plessis & Wolfgang Maennig, 2007. "World Cup 2010: South African Economic Perspectives and Perspectives Policy Challenges Informed by the Experience of Germany 2006," Working Papers 004, Chair for Economic Policy, University of Hamburg.

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