March 9, 2011 | Volume 9, Issue 21

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Dealing with the Devil? Groupon Makes it Cheap!

New Jersey Devils uses "Deal-of-the-Day" website to reduce excess inventory

CONTACT

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Eric Kussin
Vice President, Ticket Sales & Services
New Jersey Devils
Phone: (973) 757-6217
Email: [email protected]

ORGANIZATION

New Jersey Devils

PROGRAM TITLE

New Jersey Devils' Groupon Deal-of-the-Day

OBJECTIVES

Like every team, the New Jersey Devils are constantly in search for new and innovative ways to persuade the casual fan into attending a game. It's the Devils belief that once you experience a game live at the Prudential Center, you will be hooked into the Devils Army! Nevertheless, ticket sales have been a strong point for the Devils this year, with per game tickets sold and revenue significantly higher in comparison to previous seasons. However, even with the increase in tickets sold, there remains ample excess inventory unaccounted for. Having exhausted all other resource outlets in order to sell the remaining tickets, the Devils' were looking for a new platform that could extend their reach in the New Jersey market. The Devils' objective was to sell the available ticket inventory and provide unique value to attract the casual fan, all while not upsetting their base of season ticket holders.

PROGRAM DESCRIPTION

The Devils decided to partner with the online deal-of-the-day website, Groupon, in order to fulfill its objective, providing a one day discount off preferred tickets to selected games. The Devils chose Groupon's social platform because of their reputation of providing enormous value to their vast and growing base of registered users, a large amount that live in the New Jersey area.

When deciding on what ticket promotion to offer, the Devils targeted midweek, non-rival games, nights where the excess ticket inventory was the highest. Since all deals through Groupon must offer at least a 50% discount, the Devils' presented a $29 ticket option which included one 100-Level ticket ($58 value) to one of three games to choose from to end the Devils' season. Once the date of the 24-hour deal was selected to be March 7th, Groupon posted the ticket offer on its website, Facebook and Twitter accounts, as well as emailed it to local registered users and made it available on their smart phone application. Once a user bought the ticket via Groupon, they would print out the receipt coupon and take it to the Prudential Center ticket office to select their actual seats.

A screenshot of the New Jersey Devils' Ticket Deal on Groupon.

MEDIA

The special discounted ticket promotion was only advertised through Groupon's platforms, which include a daily email to all local users, as well as postings on their Facebook page, Twitter account and smart phone application.

PARTNERS

The Devils partnered with the "deal-of-the-day" website, Groupon, in order to make this ticket opportunity a reality. This decision was an easy one for the Devils, as Groupon has localized to major geographic regions worldwide and has accumulated over 35 million registered users to date. Devils' Vice President of Ticket Sales & Services, Eric Kussin stated, "Groupon has been a great company to work with, working hard in order to be more enticing for sports properties. We were captivated by the idea of attracting the spontaneous purchaser that wants to see a hockey game and otherwise would not."

RESULTS

The results of the Groupon one day offer went as well as expected, selling over 1000 tickets of inventory that otherwise would go unsold. Although Groupon does not provide the Devils with any data of the purchasers, the Devils were also able to collect future ticket leads from the promotion, having each Groupon purchaser fill out a quick information card when they came to pick up their tickets. "We are extremely happy with the results of the Groupon promotion," stated Kussin, "The scarcity, urgency, and value made available through a promotion like this really moved the needle and we hope exposure of our great game to new fans will lure them to become new, loyal Devils' fans."

All tickets sold on Groupon were for seats in the 100-Level of the Prudential Center.

LOOKING AHEAD

As the end of the season is only a month away, the Devils have no plans to use Groupon for the rest of the season. However, the Devils were extremely happy with the results and will definitely consider using the platform when evaluating the excess ticket inventory for next season.

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For over 15 years, The National Sports Forum has been the largest annual cross-gathering of the top team sports marketing, sales, promotions, and event entertainment executives from throughout the broad spectrum of teams and leagues in North America. The 2011 NSF Conference and Trade Show will be held on January 31- February 2, 2011 in Louisville, KY. Additionally, NSF attendees and vendors rely on the NSF Alumni Association as their key resource for up-to-date and accurate information about what's going on in the sports industry. Visit www.sports-forum.com or contact The National Sports Forum at (619) 469-4101.

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