C's Expected To Raise Ticket Prices

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http://www.businesstoday.com/business/business/fcs03042003.htm
Celtics could go to zone in new ticket structure

by Scott Van Voorhis
Tuesday, March 4, 2003

The new owners of the Boston Celtics are poised to jack up the price of
some of the FleetCenter's best perches while expanding the number of $10
seats, industry sources say.


The team's new ownership group is expected to roll out ticket prices for
the playoffs and for next season later this month. The group is an A
team of local business magnates led by Hub-area venture capitalist
Wycliffe Grousbeck.

But instead of an across-the-board hike, the Grousbeck team will take a
page from other franchises across the country, sources say.

They are said to be eyeing a more calibrated approach.

In a difficult economy, professional sports teams are increasingly
looking for ways to boost the price of their hottest ducats, while
keeping costs down for the cheap seats.

Grousbeck has spent the last few months intensively studying the Celtics
ticket price situation, drawing on team officials and high-powered
outside consultants for help, sources say.

``We have not decided any prices for the playoffs and next year,''
Grousbeck said in a recent interview. ``We will have to set those prices
soon. We will keep it very reasonable, if we do anything.''

As they study the Green Team's ticket structure, the new Celtics owners
may see room for increases. The team is a distant No. 18 in the league
when it comes to premium seating prices.

Grousbeck and his partners last fall quietly touted the prospect of
years of steady ticket price increases as they recruited investment
partners, financial documents related to the sale show.

One area that may be in line for a big price increase is the highly
sought after courtside seating. Now retailing for about $550 each, these
roughly 60 seats may jump dramatically in price under the team's
soon-to-be-released ticket plans for the playoffs and next season,
sources say. But the new Celtics owners are expected to balance any
ticket increases with an effort to increase the number of more
affordable seats, observers say.

Grousbeck indicated the team plans to expand the number of $10 seats
available at Celtics games. Those are the cheapest of the cheap seats.

``On targeted ticket pricing, it's the right thing to do,'' said Smith
College sports economist Andrew Zimbalist. ``There is clearly some
excess demand at the top and you want to preserve as many of the seats
as you can for the middle-class fans.''