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Estimating the private consumption benefits derived from the college football game experience

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Clemson University TigerPrints All Dissertations Dissertations 5-2009 Estimating the private consumption benefits derived from the college football game experience Anthony Dixon Clemson University, awdixon13@yahoo.com Follow this and additional works at: https://tigerprints.clemson.edu/all_dissertations Part of the Recreation, Parks and Tourism Administration Commons Recommended Citation Dixon, Anthony, "Estimating the private consumption benefits derived from the college football game experience" (2009) All Dissertations 374 https://tigerprints.clemson.edu/all_dissertations/374 This Dissertation is brought to you for free and open access by the Dissertations at TigerPrints It has been accepted for inclusion in All Dissertations by an authorized administrator of TigerPrints For more information, please contact kokeefe@clemson.edu ESTIMATING THE PRIVATE CONSUMPTION BENEFITS DERIVED FROM THE COLLEGE FOOTBALL GAME EXPERIENCE A Dissertation Presented to the Graduate School of Clemson University In Partial Fulfillment of the Requirements for the Degree Doctor of Philosophy Parks, Recreation and Tourism Management by Anthony W Dixon May 2009 Accepted by: Dr Shelia Backman, Committee Chair Dr Kenneth Backman Dr William Norman Dr Chi Ok Oh Dr Mark Henry i ABSTRACT The purpose of this study is to estimate the private consumption benefits derived from the college football game experience and determine whether these benefits would justify the utilization of public subsidies for construction projects of university sports facilities A systematic sampling strategy was used to collect email addresses from individuals visiting Clemson, South Carolina to participate in the Clemson University home football game experience The study’s response rate was 56.9% with a sample size of n=769 Results reveal South Carolina residents participating in the Clemson home football game experience derive $168.80 per person per game in private consumption benefits (i.e., consumer surplus) Multiplying the estimated private consumption benefits derived by South Carolina residents by the total number of South Carolina residents that visit Clemson, South Carolina to attend Clemson home football games, results in an aggregate value of $75 million in private consumption benefits for the 2008 football season ii DEDICATION This dissertation is dedicated to my family I appreciate all the support and encouragement you provided me Without your continued support and encouragement, I would not have made it this far To my wife, THANK YOU! You are the glue that holds our family together I love you with all my heart and I appreciate the confidence you have always had in me Andrew and Beth, my wonderful children, I am so thankful to have both of you in my life I will always cherish the time our family had together while in Clemson iii ACKNOWLEDGMENTS I would like to acknowledge my committee: Shelia, Ken, Chi Ok, Bill, and Mark, each of you provided me with the knowledge and guidance necessary to accomplish my goals and objectives The quality of my dissertation and research skills are the result of your instruction and the research opportunities you provided me I would also like to acknowledge the Clemson Athletic Department In particular, I would like to thank Mr Bill D’Andrea and Mr Van Hilderbrand for their cooperation with data collection during Clemson home football games Finally, I would like to acknowledge the other PRTM and Clemson University faculty that did not serve on my committee but assisted me in my development as an academian iv TABLE OF CONTENTS Page TITLE PAGE i ABSTRACT ii DEDICATION iii ACKNOWLEDGMENTS iv LIST OF TABLES viii LIST OF FIGURES xi CHAPTER I INTRODUCTION Justification of Study Purpose of Study Objectives Definitions Organization of the Dissertation 12 Summary 14 II CONCEPTUAL DEVELOPMENT 15 Introduction 15 Special Events 15 Sporting Event Assessment 18 Consumption Benefits of Sport Teams 21 Economic Contributions of Sporting Events 23 Theoretical Foundation 29 Public Good, Private Good, or Quasi-Public Good 35 Summary 36 III LITERATURE REVIEW 37 Introduction 37 Contingent Valuation Method 37 Contingent Valuation-Methodological Considerations 40 v Table of Contents (Continued) Page Empirical Applications of Contingent Valuation Method .48 Empirical Applications Measuring the Private Consumption Benefits of Sport 55 Summary 57 V RESEARCH METHODS 58 Introduction 58 Study Area .58 Why CVM 59 Steps in Conducting a Contingent Valuation Study 61 Research Questions 78 Summary 78 VI RESULTS 80 Introduction 80 Sample Size and Response Rate 80 Descriptive Statistics 81 Non-Response Check 90 Contingent Valuation Analysis 95 Validity and Reliability 105 Summary 107 VII CONCLUSION 108 Introduction 108 Answering Research Questions 108 Why Private Consumption Benefits 111 Implications 112 Limitations 115 Future Research 116 Summary 118 APPENDICES 119 A: B: C: D: Initial Email Sent to Clemson Football Study Participants 120 Follow Up Email Sent to Clemson Football Study Participants 121 Clemson Football Study Questionnaire (Paper and Pen Version) .122 Email Sent to Non-Response Participants 126 vi Table of Contents (Continued) Page E: Non-Response Questionnaire (Paper and Pen Version) 127 REFERENCES 128 vii C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an LIST OF TABLES Table Page 5.1 Frequency distribution of Clemson football spectators by Age category 81 5.2 Frequency distribution of Clemson football spectators by Gender 82 5.3 Frequency distribution of Clemson football spectators by Education 82 5.4 Frequency distribution of Clemson football spectators by Income 82 5.5 Frequency distribution of Clemson football spectators by Student/Non-Student 83 5.6 Frequency distribution of non-student Clemson football spectators by Residency .83 5.7 Frequency distribution of South Carolina resident Clemson football spectators by Residency in Pickens, Oconee, and/or Anderson Counties 83 5.8 Frequency distribution of Clemson football spectators by Ticket Type 84 5.9 Frequency distribution of Clemson football spectators by Team Affiliation 84 5.10 Frequency distribution of Clemson football spectators by Number of Games Attended 85 5.11 Frequency distribution of Clemson football spectators by Number of Games Attended Last Year 85 5.12 Frequency distribution of Clemson football spectators by Number of Years Attending Clemson Home Games 86 5.13 Frequency distribution of Clemson football spectators by Minutes from Residency to Memorial Stadium 86 5.14 Frequency distribution of Clemson football spectators by Party Size .87 5.15 Frequency distribution of Clemson football spectators by Number of People Financially Responsible For 87 viii Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an List of Tables (Continued) Table Page 5.16 Average trip expenditures for a Clemson football spectator 88 5.17 Frequency distribution of non-local resident Clemson football Spectators by Overnight Visits 89 5.18 Frequency distribution of overnight Clemson football spectators by Length of Stay 89 5.19 Frequency distribution of overnight Clemson football Spectators by Accommodation Type .89 5.20 Frequency distribution of non-response respondents by Age Category 91 5.21 Frequency distribution of non-response respondents by Gender .91 5.22 Frequency distribution of non-response respondents by Income 92 5.23 Frequency distribution of non-response respondents by Residency 92 5.24 Frequency distribution of non-response respondents by Number of Games Attended 92 5.25 Frequency distribution of non-response respondents by Ticket Type 93 5.26 Frequency distribution of non-response respondents by Minutes from Residence to Memorial Stadium .93 5.27 Comparison of full sample respondents and non-response respondents on Age, Number of Games, and Travel Distance 94 5.28 Comparison of full sample respondents and non-response Respondents on Gender, Income, South Carolina Resident And Ticket Type 95 5.29 Frequency distribution of Clemson football spectators by Response to Each Bid Amount Presented in CVM Question 96 5.30 Frequency distribution of South Carolina residents by Response to Each Bid Amount Presented in CVM Question 96 ix Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an APPENDIX C Clemson Football Study Questionnaire (Paper and Pen Version) 2008 CLEMSON TIGER FOOTBALL SPECTATOR SURVEY Section Please consider your experiences on your most recent trip to a Clemson football game How many Clemson home football games will you attend this season? (7 home games) _ How many Clemson home football games did you attend last season? _ Including this year, how many years have you been attending Clemson home football games? Did you physically enter Memorial Stadium to watch the Clemson football game? Are you a student of Clemson University?  Yes (Skip to question 12) Are you a South Carolina Resident?  Yes  Yes  No  No  No (Skip to question 8) Are you a permanent resident of Pickens, Oconee, or Anderson County?  Yes (Skip to question 12)  No Was the Clemson football game the only reason you visited Clemson today?  Yes  No Will you be staying overnight in Pickens, Oconee, or Anderson County?  Yes  No (Skip to question 12) 10 How many days will you be away from home on this trip to Clemson? _ 11 What type of accommodations are you using? (Please check only one)  Hotel/Motel  Campground  Condo  RV/Camper  Friends or Relatives  I own a house in the area  Other, Please specify: 12 Including yourself, how many people were in your party? _ Including yourself, how many people in your party were you financially responsible for? _ 13 What type of group did you travel with to the Clemson football game? (Please check only one)  By yourself  Family and friends together  Other  Family  Friends  Club/organization 14 Approximately, how many minutes did it take you to get to Memorial Stadium from your residence? _ 122 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an 15 If you were unable to attend Clemson home football games because the travel distance was too far and/or due to financial constraints, what would you do?  Attend a different college football game  Attend a professional football game  I would not substitute another football game for a Clemson football game  Other, please specify: _ Section Questions 16 and 17 deal with the expenses you incurred while traveling to and visiting Clemson for a football game When answering the following two questions, carefully read the question and consider your most recent trip to a Clemson home football game 16 From the time you left your home until you returned, how much did you spend in total during your visit to the Clemson football game in the following categories? How much $ Restaurants and drinking places Grocery stores Hotel/motel/other lodging Game tickets (if season ticket holder, please provide a per game price) Concessions in Memorial Stadium Auto (e.g., gas) Other transportation (e.g., plane) 17 While visiting Clemson for the football game, how much did you spend in Pickens, Oconee, and/or Anderson County in the following categories? How much $? Grocery stores, clothing, gifts, other retail Restaurants and drinking places Hotel/motel/other lodging Recreational activities (e.g., golf, fishing, etc) Entertainment (e.g., music, movies, etc) Auto (e.g., gas, service, etc) Other, describe 123 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an Section Attendance Information 18 Are you a fan of ………  Clemson University  Opposing Team  Do not care 19 What type of ticket did you use to enter the Clemson football game……………  Single game ticket (Skip to question 22)  Season ticket  I did not enter the game (Skip to question 22) 20 Are you an IPTAY member?  Yes  No (Skip to question 22) 21 What is your IPTAY level?  Heisman  Fike  Tiger  McFadden  Champion  IPTAY  Orange  Howard  Collegiate 22 Approximately how many Clemson football home games you expect to attend next season? 0 1 2 3 4 5 6 7 23 If the cost of goods and services (e.g., gas, food, lodging, tailgating supplies, etc.) associated with a trip to a Clemson home football game were to increase, causing the trip to Clemson for a football game to cost $ more than your most recent trip, would you still attend the Clemson home football game?  Yes  No 24 Why did you answer NO to the previous question? Please choose the most important reason listed below  I cannot afford higher trip costs at this time  The amount you are asking us to pay is too high  I believe the costs associated with attending a Clemson home football game are already too high  There are many other activities to participate in besides attending a Clemson home football game  Other (please specify) Section Demographics 25 How old are you? 26 Gender:  Male  Female 27 Which of the following best describes the highest level of education you have completed?  Some high school or less  College graduate  High school graduate  Post graduate school  Some college/technical school 124 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an 28 What is your Zip Code? 29 Please select the category that best represents your annual household income?  < $20,000  $60,000 – 79,999  $120,000 and above  $20,000 – 39,999  $80,000 – 99,999  $40,000 – 59,999  $100,000 – 119,999 30 Is there anything else you would like to share with us? 125 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an APPENDIX D Email Sent to Non-Response Participants To: [Email] From: Researcher’s email address Subject: Clemson Football Body: The Department of Parks, Recreation and Tourism Management at Clemson University and the Clemson Athletic Department are conducting a study about spectators attending Clemson home football games You have been selected to participate in this study because your opinions will provide valuable information to the Clemson Athletic Department Your participation will involve answering nine questions about you and your visit(s) to Clemson home football games If you complete the following questionnaire, your name will be entered into a drawing to win an autographed football by Coach Swinney Below is a link to the questionnaire The amount of time required to complete the questionnaire is approximately minutes Please click on the link, and you will go directly to the questionnaire Here is the link to the questionnaire: http://www.surveymonkey.com/s.aspx This link is uniquely tied to this survey and your email address, please not forward this message Thanks for your participation! Please note: If you not wish to receive further emails from us, please click the link below, and you will be automatically removed from our mailing list http://www.surveymonkey.com/optout.aspx 126 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an APPENDIX E Non-Response Questionnaire (Paper and Pen Version) How many Clemson home football games did you attend this season? (7 home games) _ Are you a South Carolina resident?  Yes  No Approximately, how many minutes does it take you to get to Memorial Stadium from your residence? _ On your most recent visit to Clemson for a football game, what type of ticket did you use to enter the game……………  Single game ticket  Season ticket  I did not enter the game How old are you? Gender:  Male  Female Please select the category that best represents your annual household income?  < $20,000  $60,000 – 79,999  $120,000 and above  $20,000 – 39,999  $80,000 – 99,999  $40,000 – 59,999  $100,000 – 119,999 What is your zip code? 127 Stt.010.Mssv.BKD002ac.email.ninhd 77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77t@edu.gmail.com.vn.bkc19134.hmu.edu.vn.Stt.010.Mssv.BKD002ac.email.ninhddtt@edu.gmail.com.vn.bkc19134.hmu.edu.vn C.33.44.55.54.78.65.5.43.22.2.4 22.Tai lieu Luan 66.55.77.99 van Luan an.77.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.37.99.44.45.67.22.55.77.C.33.44.55.54.78.655.43.22.2.4.55.22 Do an.Tai lieu Luan van Luan an Do an.Tai lieu Luan van Luan an Do an REFERENCES Alberini, A., & Kahn, J (2006) Handbook on contingent valuation Northampton, MA: Edward Elgar Alexander, D., Kern, W., & Neill, J (2000) Valuing the consumption benefits from professional sports franchises Journal of Urban Economics, 48, 321-337 Andersson, T., Rustad, A., & Solberg, H (2004) Local residents’ monetary evaluation of sports events Managing Leisure, 9, 145-158 Ayers, K (1998) The economic impact of the Florida State University football team on the Tallahassee metropolitan statistical area Ann Arbor, MI: UMI Dissertation services Baade, R (1994) Stadiums, professional sports, and economic development: Assessing the reality Heartland Institute Policy Study Baade, R (1996) Professional sports as catalysts for metropolitan economic development Journal of Urban Affairs, 18, 1-17 Babbie, E (2001) The practice of social research Belmont, CA: Wadsworth/Thomson Learning Barget, E., & Gouguet, J (2007) The total economic value of sporting events: Theory and practice Journal of Sports Economics, 8, 165-182 Barros, C (2006) Evaluating sport events at European level: The Euro 2004 International Journal of Sport Management and Marketing, 1, 400-410 Bateman, I., & Willis, K (1999) Valuing environmental preferences New York: Oxford University Press Bishop, R., & Heberlein, T (1979) Measuring the values of extramarket goods: Are indirect measures biased? American Journal of Agricultural Economics, 61, 926930 Bishop, R., Heberlein, T., & Kealy, M (1983) Contingent valuation of environmental assets: Comparison with a simulated market Natural Resources Journal, 23, 619634 Bowdin, G., Allen, J., O’Toole, W, Harris, R., & McDonnell, I (2001) Events management (2nd ed.) 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