A trend that is starting to develop around the NBA is when a franchise builds a new stadium, its capacity is much lower than the average NBA arena. If a team builds a new arena, their new one has less seats than the previous one. Historically when a professional sports team builds a new stadium they want to be the biggest and the best stadium in the league. Recent examples of that are the Dallas Cowboys and Jacksonville Jaguars pouring huge sums of money into their new, giant stadiums that hold large amounts of people.
Contrary to that, the former New Jersey Nets, now known as the Brooklyn Nets built the Barclay’s Center in Brooklyn as their new home. The old stadium, the Izod Center, had a capacity of 20,049 and the new stadium has a capacity of 17,732 for a basketball game.
This trend will be followed by the Sacramento Kings when they construct their new stadium, set to be built by October 2016. The design of where and how the limited number of seats is designed to drive profits. Although there are fewer total seats, there are a much higher number of premium seats and luxury boxes. Since there is more premium seating, the average price per ticket will be increased. The team is able to market more tickets as high end, premium seating. This type of marketing attracts the rich customer, who is willing to pay a lot of money. Not only will this strategy look to increase profits in the long run, it also gives the team a higher chance to sellout their entire arena, since there are less seats. Since everyone cannot afford these expensive seats, cheap seats will still be offered around the $10 range to market to cheaper fans as well, but the main objective of this model is to drive big spenders to spend big bucks on nice season ticket seats.