It’s no surprise that Liverpool fans were quick to protest about a now abandoned rise in ticket prices. According to an analysis by the Financial Times, they have the highest average season ticket prices as a percentage of typical local income.
Liverpool’s cheapest season ticket in 2015-16 cost £300 less than Arsenal’s, but after adjusting for income levels in the area surrounding a club’s stadium, local followers of Liverpool are the worst off, paying more than 4 per cent of median gross annual earnings for the cheapest seats at Anfield.
It’s no surprise that Liverpool fans were quick to protest about a now abandoned rise in ticket prices. According to an analysis by the Financial Times, they have the highest average season ticket prices as a percentage of typical local income.
Liverpool’s cheapest season ticket in 2015-16 cost £300 less than Arsenal’s, but after adjusting for income levels in the area surrounding a club’s stadium, local followers of Liverpool are the worst off, paying more than 4 per cent of median gross annual earnings for the cheapest seats at Anfield.
Next in the table are Tottenham Hotspur and Arsenal at more than three times median earnings. They are followed by West Ham and Liverpool’s Merseyside rivals, Everton. Least expensive are Stoke City, Manchester City and Watford where a ticket costs less than one times median gross annual earnings.
Soccer economics guru Stefan Szymanski sees the ticket price row as a result of a broader trend in global sport, towards dynamic pricing. This system where prices rise and fall depending on demand was pioneered by American Airlines in the 1980s. It has long been a feature of US sport.
It would result in higher prices for certain seats at some games, but not all the time. Szymanski told the Pink ‘Un that casual fans who are willing to pay more per game but only go once or twice a season, would probably become more common if such a model was introduced.
Premier League stadiums are typically 94 per cent full, suggesting there is no lack of demand. This compares with 67 per cent in La Liga and 60 per cent in Serie A. At Anfield, the figure is 99 per cent.
US investors control five Premier League clubs and hold significant stakes in two more. If a US-led deal for Everton is completed as expected in the next few weeks, just five clubs would be left without foreign shareholders.
Match day revenue has been falling as a percentage of overall revenue as broadcast rights have soared and commercial revenues increase. Manchester United’s match day revenue as a share of income dropped from 29.7 per cent a year ago to 22.7 per cent in the latest quarter.
Arsenal’s Arsene Wenger does not think there is a level playing field with foreign clubs. He pointed out that Bayern Munich paid €1 for their ground whereas the Emirates cost £128m. French clubs pay nothing for their stadium or for maintenance. Hence, clubs like Arsenal have to generate more revenue.