MTS' life cycle

[kylbaz]

I'm talking about the future not now. Do you not think they could've used the extra revenue in the first four years? Extra revenue for four years is more important than achieving 100% sellouts in year 5. AFAIK the seats are all sold, just some STHs had to eat tickets.

The NHL may in the future also say we need to address it. They're doing that right now in Calgary. No all star games or drafts until they get a new arena.

That's the whole point of limited seating though. Sure you could easily have sold out games if it held 17,000 now, few more years from now? Probably not. The point of 15,000 is to have a demand for years to come and tickets hard to come by.

Yeah, CFL, NHL, same diff.

What are you on about?

I know this is over some people's head but I'm not comparing CFL and NHL, I"m comparing the fanbase, it doesn't matter if it's CFL or NHL, in fact CFL should be easier to sell, tickets are dirt cheap. The point is WInnipeg fans are cheap and won't pay to see a loser.

What will happen... sellout after sellout with ST renewals in the 95% range for a very long time. The Jets are in a unique situation because of the multi-year commitments that people have to do. The season ticket renewal performance has nothing to do with the on-ice performance.

Now, it might be totally different if the Jets allowed annual ST renewals, but they don't.

As long as people renew their ST's what difference does the vibrance of the resale market have on the team?

The Jets are still new, of course people are still renewing. If we put a bad product out there over the next five years, you think people will renew? No they won't. If they're already giving tickets away and can't sell them in our first poor year, what do you think happens after a few bad seasons? People don't want to pay $5k to watch a terrible team where they know they can't sell tickets. I know you love your Jets, but that's exactly what would happen if the team continues to play poor. The fact people had to sell tickets below face value this year already is enough evidence to prove that. If I'm a season ticket holder but like to sell half my tickets, but I can't sell those tickets anymore, do you think I'm going to renew my season tickets? Probably not. Add in the fact of how easy it is to get tickets today being a non-season ticket holder, many people will just go that route rather than being committed to multiple years. I know of plenty of people that aren't renewing.

 

[pegjets]

The life cycle is going to be looked at when TN's agreement with the city and province ends I imagine. It went into effect in 2004 and will expire in 2029. The agreement is both a revenue kickback (around $7M a year) and provincial arena rights for 100km beyond the City's limits.

I think a big factor will be how the NHL grows. If the NHL's popularity increases, there will be more demand from the league for TN to generate revenue from the Jets, and the current building's capacity will constrain revenue growth. Right now it isn't an issue, but there's a ticket price ceiling for our market which I suspect we are very close to currently.

The NHL in 2029 could look a lot different than what it is today.

 

[Guardian17]

My biggest problem with the MTS Centre is the cramped seats.

With True North Square and the hotels I think that any new arena will have to be built within a few blocks of the current one.

I think Portage Place would make sense.

 

[cbcwpg]

The Jets are still new, of course people are still renewing. If we put a bad product out there over the next five years, you think people will renew? No they won't. If they're already giving tickets away and can't sell them in our first poor year, what do you think happens after a few bad seasons? People don't want to pay $5k to watch a terrible team where they know they can't sell tickets. I know you love your Jets, but that's exactly what would happen if the team continues to play poor. The fact people had to sell tickets below face value this year already is enough evidence to prove that. If I'm a season ticket holder but like to sell half my tickets, but I can't sell those tickets anymore, do you think I'm going to renew my season tickets? Probably not. Add in the fact of how easy it is to get tickets today being a non-season ticket holder, many people will just go that route rather than being committed to multiple years. I know of plenty of people that aren't renewing.

I absolutely agree that if the product stinks people won't spend the money, and that's true of most things. And that's one of the factors why the Jets demand 3-4-5 year commitments. If the Jets had all the season tickets at 1 year renewals, then yes probably people wouldn't renew as much and there would be a higher turn over, and more movement from the waiting list. But, because it isn't 1 year renewals, people are still going to buy their STs on the hopes that the team becomes better in the next year(s) and wins, and they want to be there when it does.

The question that needs to be asked though is why did "you" ( the general public ) buy season tickets with the goal of selling tickets? I think if people bought into season tickets on the goal of being little ticket brokers, and thinking the demand would always be high and they would always be able to sell tickets, that was a mistake on their part. This is the same issue being faced in a lot of markets and it's cyclical. Demand will go up and down.

We are in year 5 and there was bound to be a shaking out of those that over-extended themselves, those who bought in just to be ticket brokers, and those who can commit long term. As people drop out for whatever reasons, they will be replaced by people on the waiting list, who will go thru the same process and will decide after a time if they can make a long term commitment.

**
Not to get OT, but this is more of a renewal issue and not a building issue. Long term the building will age and will need to be replaced regardless of if the Jets still play here or not. It's an entertainment facility, not just a hockey arena.

 

[Wolf357]

If true north could build independently of public funds it would be feasible but the public outcry of "giving millions to millionairs" would be so great that I can't see a new arena in many decades... However if a new arena could be done IMO the perfect location would be Portage Place... The mall never really worked if it got torn down there would be a massive footprint on portage ave to build a heck of a Arena..and there are skywalks True North Center and all the infrastructure ... Have mtscenter for concerts, Moose games, and be able to host world juniors maybe even a World Hockey Championship /World Cup

 

[Gm0ney]

If true north could build independently of public funds it would be feasible but the public outcry of "giving millions to millionairs" would be so great that I can't see a new arena in many decades... However if a new arena could be done IMO the perfect location would be Portage Place... The mall never really worked if it got torn down there would be a massive footprint on portage ave to build a heck of a Arena..and there are skywalks True North Center and all the infrastructure ... Have mtscenter for concerts, Moose games, and be able to host world juniors maybe even a World Hockey Championship /World Cup

You'd have to tear down more than just the mall to accommodate a larger arena than MTSC. You'd need to tear down the mall and probably at least one of the Promenade Place apartments. But yeah, that's about the only spot within a few blocks of the current location where you wouldn't have to close streets to get a big enough spot for a larger building.

 

[cheswick]

My biggest problem with the MTS Centre is the cramped seats.

With True North Square and the hotels I think that any new arena will have to be built within a few blocks of the current one.

I think Portage Place would make sense.

Portage Place land lease expires 2062.

 

[robertocarlos]

OK so you can't add seats as the extra revenue would never pay the construction costs. What about increasing seat size. That would mean 1500 fewer seats. Just increase ticket prices by 10% and you are even in revenue.

PS. what's another dollar for a Jet dog or beer?

 

[JetsNut]

That's the whole point of limited seating though. Sure you could easily have sold out games if it held 17,000 now, few more years from now? Probably not. The point of 15,000 is to have a demand for years to come and tickets hard to come by.



I know this is over some people's head but I'm not comparing CFL and NHL, I"m comparing the fanbase, it doesn't matter if it's CFL or NHL, in fact CFL should be easier to sell, tickets are dirt cheap. The point is WInnipeg fans are cheap and won't pay to see a loser.





The Jets are still new, of course people are still renewing. If we put a bad product out there over the next five years, you think people will renew? No they won't. If they're already giving tickets away and can't sell them in our first poor year, what do you think happens after a few bad seasons? People don't want to pay $5k to watch a terrible team where they know they can't sell tickets. I know you love your Jets, but that's exactly what would happen if the team continues to play poor. The fact people had to sell tickets below face value this year already is enough evidence to prove that. If I'm a season ticket holder but like to sell half my tickets, but I can't sell those tickets anymore, do you think I'm going to renew my season tickets? Probably not. Add in the fact of how easy it is to get tickets today being a non-season ticket holder, many people will just go that route rather than being committed to multiple years. I know of plenty of people that aren't renewing.

I'm not sure how you know plenty of people that didn't renew. The numbers are the numbers. I have ST's in P1, P2, and P3 categories I gladly renewed all mine. I don't personally know anyone that didn't. Sure there are some that didn't and it had more to do with circumstance than anything else. Your theory about not paying for a bad product and people not renewing is flawed. Outside a half a season last year have we been witness to a "winning team"?

Further if you're a season ticket holder and I want to sell half my seats right now, I have a list a mile long of people that would take that opportunity in a second. Sorry but I don't see any issues for the foreseeable future despite the product on the ice.