Private consumption benefits arise when the cost an individual is willing to pay to attend a sporting event is greater than the actual cost incurred by the individual. The amount of money the individual is willing to pay above actual expenditures is a benefit or welfare gain to the individual (i.e., consumer surplus). The purpose of this study was to estimate the value of private consumption benefits derived by individuals from the college football game experience. The study’s response rate was 56.9% with a sample size of n=769. Results revealed state residents visiting a southeastern university to participate in the college football game experience derived $168.80 per person per game in private consumption benefits. Aggregating the private consumption benefits derived by state residents suggest the utilization of public resources (e.g., institutional support) to support the university’s athletic program would be justified. In addition, management applications are provided to assist decision makers in the utilization of these findings.
Dixon, Anthony W.; Oh, Chi-Ok; Backman, Shelia; Norman, William; Backman, Kenneth; and Henry, Mark
"Valuing the Private Consumption Benefits of the College Football Game Experience,"
Journal of Issues in Intercollegiate Athletics: Vol. 5, Article 9.
Available at: https://scholarcommons.sc.edu/jiia/vol5/iss1/9