Tag Archives: business

Support increases despite down year for Tigers

By Chucky Colin

Despite the LSU Tigers finishing the 2014 regular season with an overall record of 8-4, ticket sales and fan support did not waver. The 2014 season marks only the third time during Les Miles’ tenure that the Tigers will not win at least 10 games.

 

A stadium full of Tiger fans gets pumped up for the Alabama game.

A stadium full of Tiger fans gets pumped up for the Alabama game.

According to Brian Broussard, an associate athletic director and head of ticket sales and operations, this is the second highest year ever in terms of tickets sold ever.

The only season that generated more ticket sales was the 2011 season, in which the Tigers were undefeated during the regular season. The Tigers finished 13-1 with their loss coming against SEC West foe Alabama in the national championship game.

Ticket sales increased with the new seating available with the expansion to Tiger Stadium. All premium seating, which includes the club and suite levels, sold out. According to LSUsports.net, the capacity of Tiger Stadium prior to the expansion was 92,560.

That would currently rank as the ninth largest in college football in terms of capacity. Tiger Stadium’s current capacity is 102,321 which ranks, as fifth largest in terms of capacity.

Although there were more seats to fill, the attendance and overall capacity increased. The average attendance for a LSU Tiger football during the 2014 season was 101,723, which is 99.4 percent of capacity. For the previous season the average attendance was at 98.8 percent of capacity, which is approximately 91,500 people.

With the expansion and high attendance rates LSU generated nearly $30 million in ticket sales. Although a large number of tickets are sold they are distributed in a specific way.

Fourteen percent of tickets are sold to students (Approximately 53 percent in relation to the size of the student body.).  Approximately seven percent of all tickets are designated for visitor seating, while the remaining 79 percent of seats are for season ticket sales, recruiting, football player families usage, coaches, etc.

Ticket prices are determined by many variables, which include the opponent, day of the game, prices of games from schools within the SEC and throughout the nation.

Ticket sales can not be projected for next season. The impact that the 2014 season will have on 2015 season ticket sales can not be foreseen at this time.

As for the Tigers 2014 bowl game, they will be facing the Notre Dame Fighting Irish (7-5) in the Music City Bowl. The game will be played in Nashville, Tennessee.

The Tigers come into this game off of a previous bowl victory in which they defeated  the Iowa Hawkeyes in the 2014 Outback Bowl. That game was played in Tampa, Florida.

Despite LSU having a better record in 2013, it has already sold more tickets for the Music City Bowl versus Notre Dame than for the Outback Bowl.

“Both are great cities, but the history and name recognition Notre Dame brings far outweighs anything else,” Broussard said.

Business Impact of LSU Football

By Lauren Lenox

Schools all across the country are relying on other outlets to subsidize athletic departments. Louisiana State University is one of the seven schools that does not receive subsidies from other sources.

According to USA Today Sports, out of the 228 NCAA Division I schools, there are only seven schools who do not receive subsidies from anywhere else to remain afloat.

In addition to, LSU Athletics is one of the 23 athletic departments that is self-sustaining which relies solely on self-generated funds. However, LSU’s Athletic Department does not receive any additional funds or tax dollars from the state nor from the academic side of the school.

Furthermore, the LSU Athletic Department does not receive money from student funds like most schools. Instead, the athletic department provides over $7 million annually to the university academically to assist with educational needs.

In 2013, LSU Football brought in roughly $37.5 million directly through ticket sales, guarantees and parking to the athletic department. The remaining assets came from tradition funds, SEC Network, and smaller areas such as concessions and radio.

Ticket sales make a huge impact on LSU Athletics. For the last 10 years, season tickets have been sold out helping to generate the $32 million the athletic department receives.

According to LSU Athletics Business Coordinator, Matthew LaBorde, the LSU football team is a huge asset to not only the athletic department but to the university. The benefits of football help to create a great branding opportunity to promote athletics which in turn helps to create more attention towards the university.

“LSU is a brand in itself. Everyone who sees those three letters knows who we are. It puts us on a higher platform above others,” said LaBorde.

During the past decade, LSU Football’s success has brought a lot of attention to the school. With the media exposure, it has helped to shape a new brand for the university.

LSU Athletics Marketing Director, Daniel Nunes, shared how LSU Football does not need to be branded because it is a brand in itself.

“It’s (LSU Football) the porch to LSU Athletics just like LSU Athletics is the porch to LSU. It’s (LSU Football) the largest national brand,” said Nunes.

Many reasons one can attribute to the LSU football team is the increases in LSU’s student enrollment each year as well as higher graduation rates.

LSU students appreciate when the Tigers play at home. It is a chance for people to come together and to create an atmosphere like no other.

The students have been known to devote more time to the football team if the team has a successful season.

Even more importantly, LSUSports.net shared how LSU Football helps out with local businesses economically in and around the Baton Rouge area. This football program attracts people from all of the country bringing business to the local businesses surrounding campus.

LSU Football has been attributed providing about 4,000 jobs in the Baton Rouge Metro area.

Dr. Loren Scott, from Loren C. Scott and Associates, Inc., helped to breakdown the economic impact that LSU football has made on the state of Louisiana and the Baton Rouge Metro Area.

“There is a diverted spending issue associated with LSU football between state impacts and the Baton Rouge Metro,” said Scott.

In 2012, there were more than 1.5 million people in attendance at LSU Athletic events. This concludes that on a typical night in Tiger Stadium there were more people than there are living in 49 of the 64 parishes in the state.

In 2013, the average LSU out-of state fan spent about $237 in the state of Louisiana and of that amount, $169 was spent in the Baton Rouge Metro.

During the 2013 season, in-state LSU fans from outside of the Baton Rouge area spent about $62.8 million and of that $47.7 million was spent in the Baton Rouge Metro.

LSU Athletic Director, Joe Alleva, explained how LSU Athletics has made an economic impact on Louisiana and the city of Baton Rouge.

“We are partners with the community. LSU Athletics has a huge financial impact on the Baton Rouge community,” said Alleva.

In 2012, civic groups who helped on game days received about $815,000 as support for their establishments.

Disadvantages also come into play when talking about LSU Football. One of the main disadvantages to the athletic department is the student section.

The LSU student section is a huge factor because they will be future donors someday. They show a poor reflection of becoming a future donor by leaving games early and not wanting to preserve traditions. The athletic department depends on these future alumni to help provide funds for future athletic facilities and other major expenses.

The disadvantage that LSU football has on the community is that game days are huge events which cause changes to day-to-day routines.

For example, after big games the Event Management Department has to shut down roads and create a plan of contraflow to control the amount of people trying to leave the stadium.

Another disadvantage of football is the huge impact it makes on schools. For example, when LSU played at Mississippi State on a Thursday night in 2012, the school was shut down due to fans tailgating around the campus.

Also, the amount of work that goes into planning and preparing for a game is an excessive amount. LSU Athletics prepares months in advanced for the football season. There are about 2,765 people who work on a LSU Football game day.

Recently, the University of Alabama-Birmingham had to get rid of their football team due to the fact that the athletic department was struggling to keep its program operational. If LSU were to shut down its football program, the athletic department budget would decrease from $110 million to $20 million.

Hypothetically, of the remaining $20 million, only $5 million comes from ticket sales from the remaining sports. LSU’s Athletic Department could almost be viewed as an independent franchise.

With that being said, the athletic department relies heavily on the $80 million it generates from LSU football and would not be self-sustaining without the sport.

LSU Sports Shop Has A New Look

LSU Sports Shop

By: Serena Crawford

 

lsujersey

Sports fans across the country show their support not only by attending gaming event, but also by wearing their team’s colors from jerseys to miscellaneous items. These items can be bought online and at on site stores, throughout the entire year. On April 16, 2009, LSU made fan sportswear shopping convenient for fans by opening an onsite store on campus across from the stadium. However, LSU did not stop there. They opened sports shops inside the stadium as well as 18 shopping stands throughout the entire stadium. This is a brilliant idea that allows the sports shops to have a constant revenue even while fans are watching the game.

Surprisingly, some of the heaviest traffic which occurs during football season actually does occur during the game. LSU Sports Shop property manager Tyler Paulus, who has been managing the property for nearly 2 years, says their busiest days are during football season on Friday-Sunday.

“On Saturday’s the locations inside the stadium experience a lot of traffic based off of the weather, weather plays a big factor in our sales” said Paulus.

Being that Baton Rouge weather is constantly changing regardless the time of season, people may not have come prepared for the rain or cold and need some type of outerwear, Although weather is a big factor in sales it isn’t the only factor.

“A lot of our sales are also based on whether or not LSU is playing a big time opponent, resulting in a bigger crowd” said Paulus.

Sales are broken down by category between men, women, children, and then categorized underneath demographics by tees, jerseys, house ware, and etc.

“Men’s sales ranging roughly to about 30%, women 15%, youth 15%, and novelties 15%” said Paulus.

Also since Paulus has become property manager, the store has become privately owned by an e-commerce company by the name of Fanatics. This company owns stores like the LSU Sports Shop all across the nation for college and professional sports. They sell products for over 576 colleges and that number is continuously growing.

Lead salesman Laila Argrave, who has been working at LSU Sports shop for over 2 and a half years, has seen the outstanding growth of the sports shop since Fanatics became its owner.

“This store is definitely the best it’s ever been since renovations, also we are always coming up with new products to keep the fans happy” said Argrave.

Some of those new products are LSU memorabilia.

“We just started selling worn jerseys which are jerseys that have been played in on the field that are given to us by the athletic department, and they receive a share from the profit” said Paulus.

He assured that these jerseys are cleaned extensively before they are sold. However, some people confuse these jerseys for a different type of apparel.

“We actually get a lot of women who come in and ask to buy the jersey think their jersey dresses, then we have to explain to them that they actually have a jock strap attached” laughing hysterically said Argrave.

However, there are other memorabilia’s from the notably honorable Shaq, such as signed jerseys. Also previously worn helmets signed by former players and Les Miles himself.

LSU Sports shop are constantly finding ways to grow.

“Our newest item are customized jerseys, fans can come in the shop buy a jersey and get customized with their name and number” said Paulus.

Both Paulus and Argrave believe that the sky is the limit for the Sports Shop and that the business will only grow from here on out.