earticle

영어

Sales volume of sports games might be strongly habitual attendance oriented. Based on habitual tendency, we develop a dynamic life-cycle consumption model and apply it to Korean Professional Baseball(KPB) data. The empirical results suggest that there is weak habit-formation in the demand for attending KPB games unlike Major League Baseball games in USA. Optimal pricing should be based not only on the habitual factor to maximize game revenue, but also on the strategy to strengthen habitual formation for attending games. For example, a sports team maintains its price low enough to get more habitual attendance which will derive more future attendance. Various kinds of seasonal tickets might improve habitual formation as well.