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Published byМајка Лазаревић Modified over 6 years ago
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Economical Relocation Analysis of NFL teams to Los Angeles
St.Louis Rams and San Diego Chargers Presented by: Alston Jude D’Costa Swapnil Shende
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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
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INTRODUCTION AND INCENTIVES BEHIND THE MOVE
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ECONOMIC JUSTIFICATION OF RELOCATION
Categories: Personal Seat Licences Luxury Suites Ticket Revenue Naming Rights and Sponsorships
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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
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LUXURY SUITES 275 luxury suites - expected in new stadium
$250,000 – Individual luxury suite $500,000 – Dual luxury suite
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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
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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
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CONCLUSION
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