Economical Relocation Analysis of NFL teams to Los
- Slides: 11
Economical Relocation Analysis of NFL teams to Los Angeles St. Louis Rams and San Diego Chargers Presented by: Alston Jude D’Costa Swapnil Shende
PROBLEM STATEMENT Economically justify the relocation move of the Former St. Louis Rams and Former San Diego Chargers through breakdown of expected revenues and income after relocation to Los Angeles
INTRODUCTION AND INCENTIVES BEHIND THE MOVE
ECONOMIC JUSTIFICATION OF RELOCATION Categories: a) Personal Seat Licences b) Luxury Suites c) Ticket Revenue d) Naming Rights and Sponsorships
PERSONAL SEAT LICENSES Assumption: All seats sold in stadium at $8000 per seat license • 18. 75% - Total revenue kept by Los Angeles Rams • $97 million - Los Angeles Rams and Chargers personal revenue • $842 million – Towards stadium funds
LUXURY SUITES • 275 luxury suites - expected in new stadium • $250, 000 – Individual luxury suite • $500, 000 – Dual luxury suite
TICKET REVENUE • 60% - Total home ticket revenue that can be kept by each team • 40% - Total home ticket revenue distributed among NFL teams • $78 million – Total ticket revenue • $46. 6 million – Revenue kept by both teams • $28 million – Previous ticket revenue for Rams • $35 million – Previous ticket revenue for Chargers
NAMING RIGHTS AND SPONSORSHIPS • 62. 5% - Of total revenue towards funding of stadium • $48 million TOTAL: $16 million – Naming rights, $32 million – Other sponsorships • $9 million – Individual revenue • $30 million – Funding towards stadium
CONCLUSION
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