Reactions to story from Silicon Alley Insider

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  • Photo of SPORTSbyBROOKS

    Brett Favre Helps Jets Sell A Whole Lotta Tickets

    http://www.sportsbybrooks.com/brett-favre-helps-jets-sell-a-...
    30 days ago in SPORTSbyBROOKS · Authority: 849

    So who was the big winner in the Brett Favre sweepstakes? The New York Jets, for suddenly becoming relevant and upgrading from Chad Pennington to perhaps the best quarterback ever? Favre, for getting his wish to play and start this season? Or Jay

  • Author unknown

    Weekend Reading

    http://adynammic.com/blog/?p=82
    28 days ago in ADynammic · Authority: 3

    One of my favorite websites, Politico.com, will often on Saturdays and Sundays do a Saturday/Sunday reading post. I thought I would copy that model and share some cool and interesting links from around the web that I’ve enjoyed recently. Mark Cuban on Small Business Taxes. Real life Batmobile. A biodegradable flash drive. 5 Color pallete generators. These have helped me with marketing materials lately. Aston Martin now most expensive car in the world. Watch the Olympics online. How Brett Favre Made eBay $400,000 in 24 Hours.  A VC on Venture Fund Economics parts 1, 2, and 3. Lengthy but very informative. Music to Drive By. All Songs Considered blog. These are just a few things I saw this week I thought were interesting. Check them out if you have some time this weekend.

  • Photo of ticketbiscuit

    Brett Favre, Jets Tickets, and Dynamic Pricing

    http://blog.ticketbiscuit.com/2008/08/08/brett-favre-jets-ti...
    30 days ago in TicketBiscuit Blog · No authority yet

    Broadway Brett John brought a great article to my attention today: http://www.alleyinsider.com/2008/8/why-ebay-loves-the-brett-favre-trade-ebay-   Since Favre’s earthshaking trade to the Jets, Jet tickets have become THE must have item. The article cites StubHub data that shows over 7000 Jets tickets have moved within the last 24 hours (compared to 36 per week prior to the trade) and the average price has increased from $138 to $252. Probably almost as earthshaking as the Favre trade, though, is realizing that StubHub collects a 25% commission on all tickets sold.   Let me say that again. StubHub collects a 25% commission on all tickets sold - 10% from the buyer, 15% from the seller. Wow.   For yesterday’s action, Peter K (author of the linked article) estimated StubHub’s take to be about $400,000. Now, your venue or organization may not be giving up that kind of coin to the secondary market, but if you are hosting high demand or limited supply events, then you are giving up some.   This is why Dynamic Pricing will be important to the future of the ticketing industry. While no computer algorithm could have foreseen this kind of development (with Favre), we can tell with pretty close accuracy what the optimum price of an event should be. We use historical data from ticket sales, type of artist, geographical area, and venue, then we combine that with real time ticket sales. The result is a price that moves fluidly, approaching market willingness to pay. In short, you get to keep more of that profit being lost to ticket scalpers.   The Favre situation also illustrates a scenario in which the secondary market will still be necessary - if demand for an event suddenly shifts due to new or additional information surfacing after the sale. An analogous scenario is the escalating price of pre-sold tickets (season tickets) to college or pro football games, which increase in value the better that team does through the season. While computers will be able to predict to some extent this uncertainty, they will never do a perfect job due to the human factor involved.   As dynamic pricing becomes the status quo in the future, it will be interesting to see if the secondary market influences after-sale information release for events other than sports in order to preserve its profits.  

  • Photo of KingIng

    Brett Favre breaks the bank for Jets fans

    http://sportscracklepop.com/2008/08/08/brett-favre-breaks-th...
    30 days ago in Sports Crackle Pop · Authority: 62

    If you’re a Jets fan and haven’t gotten your tickets yet, I’m sorry to tell you that you’ll be paying about $115 more per ticket. Yesterday the average price of a Jets ticket on Stubhub was $138, and today it is $253. Not only did the price increase 80%, but the average number of Jets tickets sold on Stubhub went from 12 per day to over 7,000 in 24 hours. This ought to give Pennington fans skeptics just another reason to whine.