World Cup stadiums almost full despite high ticket prices, says sports economist Thomas Peeters

Despite criticism over record-high ticket prices, stadiums at the FIFA World Cup in Canada, Mexico and the United States have proved to be almost completely full during the opening round of group-stage matches. According to FIFA figures, average stadium occupancy stood at 99.4 per cent after the first round of fixtures.

Empty seats prove the exception

According to sports economist and Professor of Strategy Economics Thomas Peeters of Erasmus School of Economics, the high ticket prices are the result of a deliberate strategy by FIFA to capture a larger share of the lucrative resale market. ‘At previous World Cups, tickets for the final might initially have been sold for a few hundred euros before being resold at much higher prices. Now, that price peak occurs much earlier in the process,’ Peeters says. Although images of empty seats at some matches appeared to support criticism that fans were being priced out, the official attendance figures paint a different picture. More than 65,000 spectators attended each match on average during the opening round of the group stage. Only a handful of less attractive fixtures recorded several hundred to a few thousand unsold seats.

Tournament primarily attracts affluent supporters

Peeters argues that the World Cup has never been aimed at entry-level football supporters with limited financial means. ‘Anyone flying to Vancouver, staying there for two weeks and attending three matches has already set aside around €10,000. In that budget, the cost of tickets represents only a relatively modest share,’ he says. The sports economist notes that the global nature of the tournament means it primarily attracts supporters with sufficient disposable income to travel internationally.

FIFA operates as a commercial monopolist

Peeters stresses that FIFA functions as a commercial organisation focused on maximising revenue. ‘There is sometimes still a perception that FIFA is some kind of charitable organisation, but that is simply not true. FIFA is a monopolist. It is an organisation that seeks to maximise the income generated by its activities,’ he says. That strategy is also reflected in the governing body's official ticket resale platform. FIFA has established its own marketplace, charging both buyers and sellers a 15 per cent commission, allowing the organisation to profit directly from secondary ticket sales.

Ticket sales becoming an increasingly important revenue stream

Revenue from ticket sales has grown significantly in recent years. Whereas ticketing accounted for roughly 12 per cent of FIFA’s income around the Qatar World Cup, that share has now risen to almost a quarter of the organisation’s total budget. Only broadcasting rights generate more revenue for the world governing body. According to Peeters, this development forms part of a broader economic strategy. Demand for World Cup tickets remains strong worldwide, even at historically high prices. The near-capacity crowds witnessed during the opening phase of the tournament appear to support that assessment.

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More information

Download the interview with Thomas Peeters from the Dutch newspaper De Volkskrant on June 19 above. For more information, please contact Ronald de Groot, Media & Public Relations Officer at Erasmus School of Economics: rdegroot@ese.eur.nl, +31 653 641 846.

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