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3.01 Identify Revenues in
Sports and Entertainment
Marketing
Budgets
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Budgets are
projections of
revenues and
expenses for a
business over a
period of time.
Budgets are
continually revised.
Revenue
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Money coming into a business.
Financial resources must be secured for
businesses to be successful.
Facility managers can increase revenue
through food and beverage services,
luxury boxes, special seating and
parking.
Revenues Include:
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Advertising, including sponsorships.
Investors are a source of money for
professional teams. Investors may be
silent.
Sales of official broadcasting rights.
Sales of official merchandise.
Revenues Include
(Continued):
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Percentage of sales from broadcast media
commercials.
Sales of tickets:
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Personal seat license (PSL)
Season tickets
Teams divide individual ticket sales, merchandise and
television revenue
Secondary events: pre or post events.
Public Avenues for
Securing Financing
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Hospitality tax is levied against hotel rooms,
car rentals, and at certain venues.
Property taxes are levied against personal
property (land, houses, automobiles).
Food and beverage tax is levied against
prepared food.
Ticket tax is levied against event tickets for
the purpose of improving facilities.
Municipal bonds may be sold.