[SF_Cardinal_Fan]

I was surprised to discover that someone associated with my youth track club in New Jersey is a member of Raider Nation. He was excited about the Las Vegas move. Lord knows why because I seriously doubt he will make more than a single trip from NJ, and that if he did, he would be just as likely to have gone to Oakland. I really don't understand anyone outside of Las Vegas praising the move.

I'm trying to understand the vagaries of the new NFL team revenue model. Certainly in-seat revenue from general fans is less important than TV money, but maybe the idea is to gain new money from PSLs, but that probably only pays for the stadium itself. I just don't get it.

Yvonne,
My understanding is that NFL owners share the revenue from standard seat sales. In contrast, private luxury suite sales revenue is not shared, but retained by the owner of that particular stadium.This is why the 49ers Santa Clara new stadium was designed with a focus of maximizing  luxury suite capacity.
Theoretically, an owner of a stadium with relatively small luxury suite sales is at a competitive disadvantage. For example, if owner A brings in $20 million annually from luxury suite leasing, and owner B only brings in $5 million, then owner A has a larger budget with which to finance his team's operations.
However, I think the reality is that luxury suite seating may do more harm than good. For example, spectators in those suites are essentially removed from the playing field environment, so they do not contribute much towards game day energy, noise, atmosphere etc...
Also, luxury suite patrons are often wealthy corporate clientele without much passion or knowledge of the game, and if the team is not winning, they may have a reluctance to attend the games.
Finally, an equal sharing of the League's television revenues is the largest component to a team's annual revenue inputs. This and the salary cap does  ensure that all team's are able to compete on a "level playing field". So, I consider an owner determined to create a "luxury suite filled new stadium", such as the one produced by the Santa Clara 49ers, as little more than senseless greed.

[SF_Cardinal_Fan]

I was surprised to discover that someone associated with my youth track club in New Jersey is a member of Raider Nation. He was excited about the Las Vegas move. Lord knows why because I seriously doubt he will make more than a single trip from NJ, and that if he did, he would be just as likely to have gone to Oakland. I really don't understand anyone outside of Las Vegas praising the move.

I'm trying to understand the vagaries of the new NFL team revenue model. Certainly in-seat revenue from general fans is less important than TV money, but maybe the idea is to gain new money from PSLs, but that probably only pays for the stadium itself. I just don't get it.

Yvonne,
My understanding is that NFL owners share the revenue from standard seat sales. In contrast, private luxury suite sales revenue is not shared, but retained by the owner of that particular stadium.This is why the 49ers Santa Clara new stadium was designed with a focus of maximizing  luxury suite capacity.
Theoretically, an owner of a stadium with relatively small luxury suite sales is at a competitive disadvantage. For example, if owner A brings in $20 million annually from luxury suite leasing, and owner B only brings in $5 million, then owner A has a larger budget with which to finance his team's operations.
However, I think the reality is that luxury suite seating may do more harm than good. For example, spectators in those suites are essentially removed from the playing field environment, so they do not contribute much towards game day energy, noise, atmosphere etc...
Also, luxury suite patrons are often wealthy corporate clientele without much passion or knowledge of the game, and if the team is not winning, they may have a reluctance to attend the games.
Finally, an equal sharing of the League's television revenues is the largest component to a team's annual revenue inputs. This and the salary cap does  ensure that all team's are able to compete on a "level playing field". So, I consider an owner determined to create a "luxury suite filled new stadium", such as the one produced by the Santa Clara 49ers, as little more than senseless greed.