There are so many people with no sense of economics regarding the new Jamsil stadium
There are many people who think that building a larger stadium automatically means making more money.
First, regarding concert venues:
In Korea, a capacity of over 30,000 seats is largely meaningless.
Simply put, there are very few singers in Korea who can actually sell out 30,000 seats.
IU or Lim Young-woong? Even if you give them the benefit of the doubt, that's about the limit.
Even highly popular S-class girl groups find it difficult to fill more than 30,000 seats.
Groups like aespa perform in venues with around 20,000 seats.
Most of the famous singers you know mainly perform in venues with 10,000 to 20,000 seats.
But how many concerts do you think artists like IU or Lim Young-woong actually hold in a year?
If the purpose is just for concert venues, 30,000 seats is more than enough.
Literally, it is more than enough.
Then, wouldn't building it larger to accommodate more baseball fans result in more profit?
There are two ways to make money:
1. Building a larger stadium to increase the number of people (volume).
2. Increasing the price per seat to raise the unit price.
Do you know which baseball team currently has the highest gate revenue among all teams?
It's Hanwha. They get criticized for having a small stadium, but the reality is that they rank #1 in gate revenue because they raised their unit prices accordingly.
If you just build a slightly smaller stadium and raise the unit price instead, you make that much more money.
People want to watch baseball but there are no seats available, so they naturally pay more.
It is a basic principle of economics.
Furthermore, even if you build a 40,000-seat stadium, there is no guarantee that you will sell out every time and that gate revenue will increase proportionally to the stadium size.
On the other hand, to increase the stadium size, construction costs, duration, and maintenance costs all increase accordingly.
From a purely commercial standpoint, rather than massively increasing the stadium size and paying huge additional construction costs,
it is much more profitable to build it at a moderate size.
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