GETTING MILLENNIALS TO THE GAME

SKIDMORE STUDIO - 2016

How to mobilize a less interested, more budget-conscious generation of fans

GETTING MILLENNIALS TO THE GAME 2SKIDMORE STUDIO - APRIL 2016

EXECUTIVE SUMMARY

For many professional sports teams, leagues, and ticket sellers, the millennial audience is both difficult to court and

impossible to ignore. They’re the largest generation in the U.S., whose oldest subset is entering their peak earning years and

youngest is entering adulthood. They’ll soon make up the majority of the industry’s target audience, as baby boomers decline

in number and Generation X ages.1

The challenge: Millennials appear to have far less interest in attending professional sporting events than their older

counterparts. In fact, the greatest decline in avid sports fans in the last decade has come among 12- to 34-year-olds.2

In our own research for this white paper, we found that fewer than half of millennials have purchased tickets to a professional

sporting event in the last year.

So, what will get millennials to the game?

To tackle this question, we surveyed over 500 millennials across the U.S., researched industry trends, and analyzed recent

success stories. Our findings reveal a need to rework the value equation to give millennials more (perceived) bang for their

buck. In this white paper, we narrow in on three specific strategies to achieve this aim: experiment with ticket-selling

methods, foster a fan-centric experience, and create new reasons to care.

WHY THE MILLENNIAL AUDIENCE MATTERS

When it comes to getting millennials to the game, it’s not just about money made from ticket sales and concessions. Seats

need to be filled to provide the right backdrop for broadcast TV, and attendance has a big affect on advertising dollars – both

in stadium and out.

There’s also the fact that, in addition to this generation’s size and increasing purchasing power, millennials have a significant

influence on the interests and spending habits of their parents, friends, and children. Millennial fans are more likely to share

their game-day experiences, which can help teams grow their following and activate the next generation of fans.

3

THE CHALLENGE

According to sports demographer Richard Luker, the greatest decline in avid sports fans in the last decade has come

among millennials and younger generations.3 This drop correlates to pro sports ticket sales, which are also decreasing or

leveling off.4 Our study revealed that less than half of millennials bought tickets in the last year – and only 16 percent

were repeat buyers.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

53%

29%

11%

3%

HOW MANY PROFESSIONAL SPORTING EVENTS HAVE YOU PURCHASED TICKETS TO WITHIN THE LAST YEAR?

0 1-2 3-5 5+

These numbers should not be surprising. With so much competing for millennials’ time and attention, teams and stadiums

have to work harder for this generation’s dollar than any before it. Even in the NCAA, where student engagement is usually

taken for granted, athletic departments are struggling to keep attendance up. At the University of Georgia, students left 39

percent of the school’s student section empty over the last four years.5

Experts connect the decline in millennial attendance to everything from the proliferation of high-def TVs to readily available

post-game recaps in the form of tweets, Vines, highlight videos, and more. No longer does one have to be in the stadium to

feel a part of the action. And as Georgia president emeritus Michael Adams said, “Big-screen TVs close to your own

refrigerator are pretty compelling.”

4GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

Beyond the lure of their big screens, our survey revealed two main impediments to millennials’ purchase of tickets.

1 // THE PRICE OF TICKETS

Cost is by far the chief barrier to millennials’ purchase of tickets. This generation is more

budget conscious than their parents were at their age, and for good reason: they are straddled

with debt, unemployment, and earn the lowest median income (in inflation-adjusted terms)

since 1995.6

2 // APATHY OR LACK OF ENTHUSIASM

When it comes to millennials’ interest in professional sporting events, 16 percent listed “just

don’t care” as the reason they don’t purchase tickets, and another three percent answered

the same question with “games just aren’t fun.” This disinterested group comprises nearly a

fifth (19 percent) of the millennials we surveyed.

WHAT PREVENTS YOU FROM BUYING TICKETS TO YOUR HOME TEAM'S GAMES?

TOO EXPENSIVE

I JUST DON'T CARE

TOO FAR OF A DRIVE

THEY'RE LOSING MORE OFTEN THAN WINNING

PARKING

GAMES JUST AREN'T FUN

53%

16%

10%

7%

5%

3%

5

Despite the major challenges facing marketers who want to reach this audience, there is some good news: 70 percent of

millennial fans prefer to watch live events from the stands rather than at home.7 The question is: What will compel them

enough to actually buy a ticket?

The key opportunity we discovered is that millennials are more focused on the overall experience than the team, sport, or

game itself. In fact, the vast majority of respondents (79 percent) say a team’s record has no impact on their desire to

purchase tickets. And when planning to attend a game, 56 percent of millennials are looking for the “full night out

experience” vs. just attending the game.

THE OPPORTUNITY

Millennials are more focused on the overall experience than the team, sport, or game itself.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

Here’s a breakdown of the reasons millennials purchase tickets. Note that 54 percent of the answers have nothing to do with

the team or sport.

WHY DO YOU BUY

TICKETS TO YOUR HOME

TEAM'S GAMES?

3%I LOVE THE VENUE

I LOVE THE FOOD + DRINKS 3%

I LOVE GOING WITH FRIENDS 27%

13%OTHER

THE TICKET PRICE IS REASONABLE

8%

35%

11% I LOVETHE SPORT

I LOVE MY TEAM

6

That’s not to say millennials don’t care about an exciting game – they do. But while it’s impossible to control the outcome

of a game, there’s plenty of opportunity for stadiums and arenas to capitalize on the other things millennials want from their

experience – things like great food and drinks, entertainment, and camaraderie with other fans. As marketers, we need to

align these opportunities with marketing strategies.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

WHAT DO YOU CARE MOST ABOUT WHEN YOU GET TO THE GAME? CHOOSE YOUR TOP THREE.

AN EXCITING GAME 72%

CAMARADERIE WITH OTHER FANS 26%

GREAT DRINKS 33%

ENTERTAINMENT 27%

GIVEAWAYS + AUDIENCE GAMES

22%

GREAT FOOD 43%

7

By and large, ticket price appears to be the biggest hang-up for this audience. But because millennials actually prefer to

spend money on experiences rather than things,8 we suspect the hang-up has more to do with perceived value than actual

affordability.

In other words, lowering ticket prices alone will not win over this audience. Teams and stadiums need to make full-scale

changes to their game-day experiences to rework the value equation for millennials. If the experience is great, millennials will

become repeat buyers and powerful brand advocates who draw fans to the stadium and advertisers to the table.

To help teams rework the value equation, we explored various strategies aimed at capturing the attention of this hard-to-

attract audience. Three key strategies rose to the top:

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

KEY INSIGHT: REWORK THE VALUE EQUATIONOffer millennials an experience worth the ticket price

EXPERIMENT WITH TICKET-SELLING

METHODS

FOSTER A FAN-CENTRIC EXPERIENCE

CREATE NEW REASONS TO CARE

1 2 3

EXPERIMENT WITH TICKET-SELLING METHODS

1STRATEGY

9

OFFER A TRADE-OFF

From fluid seat programs to discount prices for standing-room only, providing alternative ticketing options at cheaper prices

will lower the barrier to entry for budget-conscious millennials – or those who are simply more interested in socializing than

watching the game. Lower prices offset the less appealing aspects of the tickets (e.g. last-minute seat assignments or no seat

at all), but the setup gives millennials the power to decide if the trade off is worth it.

NBA teams – who arguably have the strongest millennial fan base in professional sports9 – are ruling at this. Last season the

Phoenix Suns rolled out the College Pass, a mobile-based program offering last-minute tickets to local college students for as

low as $5. Four other teams also experimented with fluid seat programs to maximize ticket revenue and build a stronger

following among younger fans.10 On some nights, these programs sold as many as 500 tickets – filling seats that would have

otherwise sat empty.

PROMOTE MILLENNIAL-GEARED PACKAGES

Because millennials are looking for a complete experience, teams should partner with popular local establishments,

beloved brands, or their own concession stands to develop special packages. These millennial-geared packages can ease

value concerns and position the game as a fun night out for a group.

Last November, the Jacksonville Jaguars teamed up with Uber to offer discounted game-day tickets via the app along with

rides to the stadium. The Boston Celtics have also been successful in reaching millennials with their Girls/Guys Night Out

Pack, which includes four seats at a special price plus food and drink vouchers.

In fact, offering any sort of complimentary food or drink with tickets would be extremely effective in winning over this audi-

ence: Our survey revealed that, next to ticket deals, the top thing millennials want from their stadium is concession deals.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

While lowering all ticket prices may not be an option, teams who want to attract the millennial audience should test new

methods of selling tickets. Millennials are famously open to trying new things, and quick to respond when they like

something. Why not switch things up? In fact, innovative pricing and packages may attract millennial fans who identify

as early adopters (as many in this generation do) just by virtue of being innovative.

Experiment with ticket-selling methods

Millennial-geared packages can ease value concerns and position the game as a fun night out.

1STRATEGY

STRATEGY 2

FOSTER A FAN-CENTRICEXPERIENCE

11

EMPOWER YOUR FAN BASE

For the ultimate fan-centric experience, take a cue from the world’s most popular sport. Soccer games have a rich history of

rituals, chants, songs, and an overall ecstatic participation by fans – leading it to attract the youngest and fastest growing fan

base in U.S. professional sports.11

The highly participatory, fan-centric nature of soccer games has strong appeal for socially oriented millennials. Best of all, it

requires their physical attendance – and makes for some great on-screen visuals.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

Millennials are notorious lovers of connectivity, but their love transcends the caricature of iPhone-tethered hipsters. Whether

it’s on Instagram or in a stadium of 60,000 people, they’re looking for community, belonging, and for their voice to be heard

and valued. This is especially true when it comes to an experience with a price tag. If teams want to be successful with

millennials, they need to create an ultra-connected, fans-first experience.

MEMBERS OF THE PORTLAND TIMBERS ARMY (MLSSOCCER.COM)

Foster a fan-centric experience STRATEGY 2

12GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

Connectivity is also essential to expanding in-stadium digital experiences that appeal to millennials, such as instant replays,

mobile concessions, or last-minute seat upgrades. And once big data can be collected during games, these experiences will

only become better tailored to fans’ wants and needs.

LET THEM HAVE WI-FI

Whether it’s sweeping mountain views, a jersey-clad selfie, or a helmet full of nachos, millennials want to share their

experiences in real time. Which leads us to the elephant in the room: the fact that many teams do not have the infrastructure

needed to support millennials’ demand for connectivity.

Wi-fi may not lure millennial fans in and of itself, but it’s an important vehicle for Snapchats, Instagrams, and tweets shared

by millennials to their networks. Sharing enriches their experience and activates other millennials’ FOMO (“Fear of Missing

Out”), a form of self-perpetuating advertising that’s especially effective among this audience.13

It’s time for stadiums to invest in technology.

MAKE THEM PART OF YOUR BRAND

Another way to elevate the role of the fan is to highlight user-generated content (UGC), whether on a dedicated page of a

team’s website (like the New Jersey Devil’s fan-curated Mission Control Center) or by featuring timely Instagrams or tweets on

the stadium’s Jumbotron. When UGC is featured, fans feel like an integral part of the team’s identity. And, if given the

chance to help shape a brand, millennial loyalty surges.

Major League Soccer teams the Seattle Sounders, Portland Timbers, and Sporting KC have all done especially well in

recruiting millennial fans. Each boasts enviably long season ticket waiting lists, sold out stadiums, and strong fan culture.

To foster this type of community, club owners partner with their core fan base, giving them standing meetings with staff

members and agreeing to keep fan sections at general admission prices.12

All pro teams want to generate this level of engagement, but it works best as a grassroots movement. Teams need to

empower superfans, providing them the status and resources required to bolster attendance and grow an infectious fan

community from the inside out. Once this happens, marketers can help capture and perpetuate this culture as a part of

the team’s brand.

Foster a fan-centric experience STRATEGY 2

3STRATEGY

CREATE NEW REASONS TO CARE

14

APPEAL TO HOMETOWN TASTES

One way to win over disinterested millennials is by appealing to their sense of city or state pride. Millennials have the highest

affinity for shopping local of all age cohorts14 – what culinary staples, breweries, or other regional favorites can be used to tap

into this type of loyalty?

Take the Seattle Mariners’ recent menu revamp. Last year, Safeco Field called upon local celebrity chef Ethan Stowell to

develop new concessions featuring local favorites. With items like Dungeness crab sandwiches and craft beer floats, the new

menu enjoyed significant buzz and earned Safeco a reputation as a foodie’s paradise.15 And we all know millennials care

about their food – 35 percent of our survey respondents placed “better food” at the top of their stadium wish list.

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

Teams, stadiums, and ticket sellers can no longer rely on the automatic loyalty and participation they received from older

sports fans. Instead, they need to ignite support from lukewarm fans and appeal to those who aren’t yet fans by providing

new reasons to care – reasons that reflect millennial interests and desires.

THE MARINERS "FIVE TIMES THE MUDD" BEER FLOAT (SEATTLE P-I)

CALL IN CELEBRITY BACKUP

Millennials also respond favorably to celebrity spokespeople – so long as their support is authentic. Teams lucky enough to

have celebrity fans – especially those popular among millennials – should find ways to strengthen ties, whether it’s a formal

partnership or a simple mention on social. The once-struggling Toronto Raptors have experienced increasing popularity since

hiring Canadian rapper Drake as the team’s “global ambassador” in 2013.16

Create new reasons to care3STRATEGY

15GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

DESIGN A STYLISH IN-STADIUM DESTINATION

From our survey we know that most millennial fans attend pro games for the complete social experience and not merely the

game itself. That’s why it’s important to design areas for millennials to kick back and hang out away from their seats.

Stadiums have begun to add lounge-like spaces to their layouts, such as the Colorado Rockies’ The Rooftop and the Detroit

Tiger’s New Amsterdam 416 Bar. These spaces have been wildly popular because, where there’s a laid-back, well-designed

(read: Instagram-worthy) place to socialize and recharge, millennials will flock.

Additionally, these in-stadium lounges can provide meeting places for pre- or post-game fare, so that teams can better

facilitate – and capitalize on – millennials’ desire for a “full night out.” For some millennials, the meeting place may even

become the primary destination – one that just so happens to be tucked inside a pro sports arena.

“If we expect this group to just go to a game, sit down and watch, we’re

really missing the boat.”

D A V E B U T L E R , C E O O F T I C K E T C O M P A N Y P A C I O L A N

17

(COLORADO ROCKIES MLB.COM) (CRAIN'S DETROIT BUSINESS)

Create new reasons to care3STRATEGY

16

Professional teams, stadiums, and ticket sellers can no longer rely on the automatic loyalty and participation provided by

older sports fans. Millennials aren’t attending games with the same frequency as previous generations, nor are they as

interested in sports.

Marketers must find creative ways to rework the value equation and offer millennials experiences they’re willing to pay

for – experiences that are custom-tailored to their lifestyle, tastes, and penchant for unique, sharable experiences. If you

experiment with ticket-selling methods, foster a fan-centric experience, and create new reasons to care, you’ll be able to

get millennials to the game.

THE BOTTOM LINE

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

17

NEED HELP FIGURING OUT HOW TO BRING IT ALL TOGETHER? GET IN TOUCH!Skidmore is a boutique creative studio with a unique expertise. We help entertainment brands engage millennials

through results-driven creative. With a specialized focus in entertainment and a deep understanding of Generation Y, we connect industry leaders with the largest and most influential consumer generation of our time: millennials. The research that went into this white paper is just one example of our mission to better understand our clients’ audience in order to provide value and expertise that drives results. View more insights

as well as samples of Skidmore’s award-winning creative work at skidmorestudio.com.CONTACT: TIM SMITH • 313-446-8200 • tim@skidmorestudio.com

GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

RESOURCES

Unless otherwise noted, all statistics are from Skidmore Studio’s 2015 Millennial Sports Survey

http://www.skidmorestudio.com/millennial-sports-survey/

1 Pew Research Center: This year, Millennials will overtake Baby Boomers

http://www.pewresearch.org/fact-tank/2015/01/16/this-year-millennials-will-overtake-baby-boomers/

2 Sports Business Daily: Industry looks for right recipe to attract fans among millennials

http://www.sportsbusinessdaily.com/Journal/Issues/2014/03/24/Events-and-Attractions/WCOS-main.aspx

3 Sports Business Daily: Fan Demographics Among Major North American Sports Leagues

http://www.sportsbusinessdaily.com/Daily/Issues/2010/06/Issue-185/The-Back-Of-The-Book/Fan-Demographics-Among-Major-

North-American-Sports-Leagues.aspx

4 Yahoo Sports: Keeping fans in the stands is getting harder to do

http://sports.yahoo.com/news/nba--keeping-fans-in-the-stands-is-getting-harder-to-do-005355696.html

5 The Wall Street Journal: Declining Student Attendance Hits Georgia

http://www.wsj.com/articles/SB10001424052702304795804579097223907738780

6 Slate: How Broke Are Millennials? This Broke.

http://www.slate.com/blogs/moneybox/2014/12/08/broke_millennials_the_decline_of_young_adult_incomes_since_the_

recession.html

7 Fuse: Live Event Attendance & The Contradiction of Digital

http://www.fusemarketing.com/live-event-attendance-contradiction-digital

8 Forbes: NOwnership, No Problem: Why Millennials Value Experiences Over Owning Things

http://www.forbes.com/sites/blakemorgan/2015/06/01/nownershipnoproblem-nowners-millennials-value-experiences-over-

ownership/#1267dd561759

9 The Washington Post: What the NBA gets that the other big sports leagues don’t

https://www.washingtonpost.com/news/wonk/wp/2015/04/06/what-the-nba-gets-that-the-other-big-sports-leagues-dont/

10 Phoenix Business Journal: Ticketing tools pay off for Phoenix Suns, other NBA teams

http://www.bizjournals.com/phoenix/blog/business/2015/04/ticketing-tools-pay-off-for-phoenix-suns-other.html

11 Populous: Designing for the MLS’ Growing Fan Base

http://populous.com/posts/designing-for-the-mls-growing-fan-base/

18GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

19GETTING MILLENNIALS TO THE GAME SKIDMORE STUDIO - APRIL 2016

RESOURCES

12 Fast Company: How A Risky Ad Campaign Turned The Portland Timbers Into One Of Pro Sports' Hottest Startups

http://www.fastcompany.com/3026949/marketing-with-a-kick-portland-timbers

13 Ticketing Today: Selling to Millennials: Building Social Media-Worthy In-Venue Experiences

http://ticketingtoday.com/selling-to-millennials-building-social-media-worthy-in-venue-experiences/

14 Inland Institutional Capital Partners Corporation: Shopping Patterns of Millennials

http://www.nareim.org/wp-content/uploads/2015/03/Shopping-Patterns-of-Millennials-ICAP-2-15.pdf

15 MyNorthwest.com: Ethan Stowell ups the ante for Mariners Safeco Field food offerings

http://mynorthwest.com/11/2740450/Ethan-Stowell-ups-the-ante-for-Mariners-Safeco-Field-food-offerings

16 Toronto Star: Drake joins the Raptors: Whose brand benefits most?

http://www.thestar.com/business/2013/09/30/drake_joins_the_raptors_whose_brand_benefits_most.html

17 Sports Business Daily: Millennials put ticket strategies to test

http://www.sportsbusinessdaily.com/Journal/Issues/2015/06/08/In-Depth/Ticketing-main.aspx