[BostonCard]

Topic du jour for football ticket prices:

https://gostanford.com/news/2019/6/17/fo...icing.aspx

Will the creeping calculus of "market price" be migrating to your favorite restaurant, bar, coffee shop, fitness facility, grocery store, auto repair shop, etc?

Will this be Rap or Disco?

The big difference is that for sporting events, there is a fixed supply (of seats), the marginal cost for each ticket sold is negligible, and the value of the product becomes zero shortly after the event starts.  For most of the other things you mention, supply can be expanded, marginal costs can be higher compared to fixed costs, and the value of the product is not time limited.  There might be a few exceptions (a fancy prix fix restaurant with a 6 month waiting list might work dynamic pricing into the mix), but I don't see how a fitness facility would do so.

BC

[BostonCard]

Topic du jour for football ticket prices:

https://gostanford.com/news/2019/6/17/fo...icing.aspx

Will the creeping calculus of "market price" be migrating to your favorite restaurant, bar, coffee shop, fitness facility, grocery store, auto repair shop, etc?

Will this be Rap or Disco?

The big difference is that for sporting events, there is a fixed supply (of seats), the marginal cost for each ticket sold is negligible, and the value of the product becomes zero shortly after the event starts.  For most of the other things you mention, supply can be expanded, marginal costs can be higher compared to fixed costs, and the value of the product is not time limited.  There might be a few exceptions (a fancy prix fix restaurant with a 6 month waiting list might work dynamic pricing into the mix), but I don't see how a fitness facility would do so.

BC