Increasing total revenue is great. Unless you don't make any profits. That means your business isn't operating efficiently. In some situations, your product may be undervalued - such as season ticket prices not increasing since 2009, the AD made that change this year. Good businesses drive growth organically to achieve greater revenue. Attract more customers and keep them through great service. Bad businesses try to increase revenue by drastically raising prices when they aren't fully meeting demand.
Sports are weird. Every team has a fan base. That fan base is not likely to grow exponentially relative to their markets. Loyal Viking fans are not going to just switch to be Packer fans because of a few bad seasons. So, how do you increase your total revenue and grow your business? First, sell out the stadium. More butts in seats mean more revenue from other streams such as concessions, parking, merchandise, etc. When the stadium is sold out, acquire that TV contract to get your product in front of more people in the market. Increase revenue from advertisements, etc. The U has BTN and the ESPN/ABC deals. Then when you have exhausted those options, you increase prices.
I completely understand what the U is trying to accomplish. But with the competition for entertainment dollars in the Twin Cities and the fact the U couldn't sell out TCF this year, it just seems like a huge gamble to be making. It may work out in the end.
I met a gentleman a few years ago and he provided a great perspective on Gopher football. He told me that the people walking into TCF were coming to have an escape from whatever other challenges life may have. It may be the only sporting event they go to all year. Saturdays are to be something special and no one on the team should let them down. Minnesotans are counting on them, and the players can't waste their opportunity. Even the marching band can't waste their opportunity.
That gentleman was Jerry Kill.
