Traditionally, sports teams gauge the success of their auctions by two metrics: did we raise a lot of money, and did we sell all of our items?
One could argue, that these metrics are out dated. Of course, we want to raise money and sell all our items, but the digital auction provides so many more opportunities for a sports franchise to drive further business. Here are two examples:
- Fan impressions: When teams are able to hit and measure a high fan engagement number, they’re now able to sell their digital auction as a sponsorship asset. Digital auctions are not only generating revenue based on item sales, but also providing a strong secondary source of sponsorship revenue.
- Meaningful items: Teams come in all shapes, sizes, and ages. For this reason, auctions should not be exclusive to memorabilia or jersey auctions. To elaborate, some teams will have 50% of fans attending their games as a first time buyer. Thoughtfulness in their auction items are important to driving further business and revenues. Experiential items in this case, would serve a purpose in driving fans back to the arena: 4 premium tickets, gameday experience, food/beverage card, etc.,.
As the trend of digitizing auctions continues to grow throughout sports, the purpose of auctions will vastly differ among teams and leagues. No two teams are the same, nor their fanbase. Driving the highest dollar amount is not always the indicator of true success.