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Scholars note there are limited studies analyzing ticket price determinants. Using the common seat approach, the authors sought to advance this line of research by analyzing determinants of National Basketball Association (NBA) ticket prices in the secondary ticket market. The authors’ research seeks to ask two questions. The first is how ticket prices in the secondary market are associated with common determinants of consumer demand. The second question is what impact the COVID-19 pandemic has on ticket prices in the secondary market.

Ticket prices of NBA regular season games in the 2021–2022 season were collected a week before the game day from Ticketmaster.com. A regression model was estimated with a group of independent variables: income, population, consumer preference, quality of viewing, quality of contest and pandemic (the number of COVID-19 cases).

Results indicate income, population, consumer preferences (e.g. team quality and star players) and quality of viewing (e.g. arena age and weekend) impact prices. Further, the number of COVID-19 cases did reduce the ticket price.

The present study illuminates the theoretical significance of analyzing ticket prices as a proxy of demand in professional sport, while providing practical implications regarding the potential opportunity to increase revenue.

Pricing studies have largely focused on sellers' pricing strategies and price determinants. To expand earlier work on sellers' pricing decisions, this study considers time as a major factor driving sellers' ticket prices in the secondary market. Specifically, because most secondary market transactions occur in the last moments before a game, this study considers how resellers adjust ticket prices within a few days prior to a game day including an actual game day.

To examine the impact of time on secondary market ticket prices for Major League Baseball (MLB), ticket prices were collected from StubHub (one of the largest secondary ticket markets) four times per game: from 3 days to 1 day prior to a game day and on the actual game day. Additionally, 10 control variables were obtained from previous research on price determinants (N = 19,155). A multiple regression model was created based on the extant literature regarding secondary market ticket prices.

Results indicate the number of days before a game negatively influenced ticket prices: resellers decreased ticket prices consistently during the last few days prior to a game's first inning. Specifically, secondary market ticket prices decreased relatively dramatically on an actual game day. Time had no significant effects on ticket prices 2 days prior to a game day. In addition to the role of time, league affiliation and the number of all-star players were identified as key price determinants in the secondary market. Moreover, changes in weather forecasts and the home team starting pitcher's ERA played significant roles in price changes.

Despite containing a relatively high number of data observations compared with prior pricing studies, this study's findings were limited to certain teams. Additionally, as only MLB secondary market ticket pricing was considered, different outcomes and implications may apply in other major sport ticket markets (e.g. NBA, NFL, NHL and MLS) featuring distinct league structures, policies and demand.

This study offers practical guidance for sellers' pricing decisions. Most secondary ticket market sellers lowered their ticket prices relatively dramatically on an actual game day. Reducing ticket prices prior to a game day can lead to greater chances to avoid unsold tickets that compromise revenue management. This study's results also afford professional sport organizations and secondary ticket market consumers a clearer understanding of the factors resellers consider when setting ticket prices.

Although previous studies have uncovered essential elements influencing ticket prices and consumer demand in the secondary ticket market, little work has examined how time affects sellers' pricing decisions within a few days prior to a game day. Little is known about the elements that significantly influence sellers’ decisions to adjust (i.e. increase or decrease) ticket prices in the secondary market as well. This topic deserves ongoing attention, as new outcomes can supplement previous studies' findings due to changing market environments.