REPORTING FROM TAMPA, OTIS
LIVINGSTON, STEVE, BACK TO YOU
IN THE STUDIO
THANKS TO OTIS
WELL, THIS WEEK, THE
YANKEES RAISED SOME EYEBROWS BY
CHANGING THEIR TICKET
DISTRIBUTION POLICY.
IT'S A MOVE THAT DIRECTLY
IMPACTS YOUR ABILITY TO
PURCHASE TICKETS AT LEAST ON
THE SECONDARY MARKET ON
ANYTHING BUT THE YANKEES TICKET
EXCHANGE.
FOR MORE ON THAT, LET'S SEND
YOU BACK DOWN TO TAMPA WHERE WE
FIND WALL STREET JOURNAL WRITER
JARED DIAMOND.
GOOD TO SEE YOU ONCE AGAIN.
THANK YOU FOR JOINING US.
GLAD TO BE HERE
ALL RIGHT.
THIS IS SOMETHING YOU WROTE
ABOUT LAST NIGHT.
FOR THOSE WHO WEREN'T CAUGHT UP
ON ALL OF THE PARTICULARS HERE,
DID HE QUICKLY EXPLAIN THE CRUX
OF THIS BUSINESS DECISION AND
WHY IT SHOULD MATTER TO FANS?
SURE.
IN A NUT SHELL WHAT'S HAPPENED
IS THE YANKEES HAVE OUTLAWED
PRINT-AT-HOME PDF TICKETS.
THOSE ARE THE TICKETS YOU
COMMONLY FIND ON STUB HUBS, YOU
UPLOAD THEM, THE BUYER BUYS
THEM, PRINTS THEM OUT AND GOES
TO THE GAME.
THOSE ARE NO MORE.
THE YANKEES ARE GOING TO A
MOBILE TICKET.
THE TICKET IS STRAIGHT ON A
SMART PHONE, YOU GO TO THE
GAME.
THE PROBLEM AS IT STANDS, STUB
HUB AND OTHER THIRD-PARTY
RESELLERS CANNOT TRANSFER
MOBILE TICKETS FROM THE
ORIGINAL PERSON TO THE NEW
PERSON.
THE ONLY WAY TO TRANSFER THEM
IS ON THE YANKEES TICKET
EXCHANGE WHICH IS RUN BY THE
YANKEES AND HAS A TICKET FLOOR.
WHICH MEANS YOU CANNOT SELL
YOUR TICKET FOR DIRT CHEAP.
THERE'S A BOTTOM FOR HOW CHEAP
YOU CAN SELL THEM.
AT STUB HUB, YOU CAN SELL THEM
FOR AS LITTLE AS YOU WANT.
THE YANKEES SAY THEY ARE
DOING THIS BECAUSE OF FRAUD.
IT HAPPENS ABOUT 1/100TH OF A
PERCENT OF THE TIME, STUB HUB
SAYS.
BUT THIS ISN'T REALLY ABOUT
FRAUD, IS IT?
NO, IT'S NOT ABOUT FRAUD.
IT'S ALMOST RIDICULOUS WE'RE
BEING TOLD IT'S ABOUT FRAUD.
EVERYONE IS AWARE, WHICH IS
ABOUT CONTROLLING THEIR
INVENTORY.
THIS IS THE YANKEES HAVING MORE
CONTROL OF THEIR OWN SECONDARY
MARKET.
THEY'RE NOT THE FIRST TEAM TO
TRY TO DO THIS.
THE DALLAS COWBOYS HAVE DONE
THIS, THE GOLDEN STATE WARRIORS
HAVE DONE THIS IN SOME WAY,
SHAPE OR FORM, TRYING TO TAKE
COMMAND OF STUB HUB AND THEIR
INVENTORY.
HOWEVER, FOR A BASEBALL TEAM TO
BE DOING THIS, IT COULD HAVE A
MAJOR IMPACT ON FANS GETTING
THOSE GREAT DEALS, AND IT COULD
LEAD TO FEWER PEOPLE IN THE
BALL PARK WHEN THE SUMMER
COMES.
YOU REPORTED 40% OF THE
TICKET SALES ARE DONE WITHIN 72
HOURS OF ACTUAL GAME TIME.
YOU SPOKE TO THE YANKEES' RANDY
MEDE ABOUT THIS, AND HE SAID WE
HAVE THE ULTIMATE RIGHT TO
PROTECT THE VALUE OF OUR
INVENTORY, AS LONG AS IT'S DONE
IN THE FREE MARKET SOCIETY.
IF THEY'RE SETTING A FLOOR ON
THE TICKET PRICES, JARED, WHICH
MAKES GOOD BUSINESS SENSE, CAN
THEY REALLY CLAIM IT'S A FREE
MARKET SOCIETY?
LET'S BE CLEAR.
THEY ARE NOT DOING ANYTHING
THAT'S ILLEGAL.
THEY'RE NOT DOING ANYTHING
WRONG.
WE COULD ARGUE WHETHER IT'S A
GOOD BUSINESS DECISION OR BAD
BUSINESS DECISION.
WE COULD ARGUE WHETHER IT'S A
GOOD PR MOVE OR BAD.
WHAT THEY ARE DOING IS
CERTAINLY ALLOWED.
THERE'S NO QUESTIONS THERE.
WHEN HE SAID IT'S A FREE MARKET
ECONOMY, TO ME, STUB HUB IS A
FREE MARKET ECONOMY.
IF THERE'S A WEDNESDAY NIGHT IN
MAY AGAINST THE WHITE SOX AND
NO ONE WANTS TO GO TO THE GAME,
YOU SHOULD BE ABLE TO SELL YOUR
TICKET FOR $3.
IF THAT'S HOW MUCH THEY GO FOR
ON STUB HUB, THAT'S THE FREE
MARKET.
ON THE YANKEES TICKET EXCHANGE,
THEY MAY SAY YOU CAN'T SELL IT
LESS THAN $9 OR $10.
STUB HUB IS REALLY THE FREE
MARKET BUT THE YANKEES DON'T
WANT THAT.
THEY WANT THESE TICKETS TO HAVE
VALUE.
THEY WANT TO BE ABLE TO TELL
THEIR SEASON TICKET HOLDERS,
LOOK, YOU WILL BE ABLE TO
RECOUP SOME OF YOUR INVESTMENT
ON SEASON TICKET HOLDERS AND
FRANKLY, IT WASN'T A VERY GOOD
LOOK TO SEE TICKETS ON STUB HUB
GOING FOR $5.
AS WE PUT A PIN IN THIS
TOPIC, WHICH I THINK IS GOING
TO BE A TOPIC WE'RE GOING TO BE
TALKING ABOUT THROUGHOUT THE
YEAR.
THE YANKEES ARE AN ORGANIZATION
BUILT ON CHARACTER BUT THE
BIGGEST MOVE INCLUDES A MAN
ACCUSED OF DOMESTIC VIOLENCE.
NO OFFICIAL RULING HAS COME
DOWN, BUT CHAPMAN COULD BE
BANNED FROM CAMP.
IF THIS IS TRUE, IS THE SPRING
SUSPENSION MORE DAMAGING?
JOE GIRARDI, THE MANAGER OF
THE YANKEES WAS NOT HAPPY ABOUT
THAT POSSIBILITY BECAUSE IF YOU
THINK ABOUT IT, LET'S SAY
CHAPMAN IS HANDED A 10-GAME
SUSPENSION FOR THIS ALLEGED
DOMESTIC VIOLENCE SUSPENSION.
PART OF THAT SUSPENSION IS YOU
CAN'T WORK OUT IN SPRING
TRAINING.
WHEN HE GETS BACK, HE'S NOT
GOING TO BE IN SHAPE BECAUSE HE
HASN'T WORKED OUT WITH THE
TEAM.
IF IT'S 10 TEAMS AND HE CAN GO
THROUGH SPRING TRAINING, HE'S
IN SHAPE, HE STAYS IN FLORIDA
10 DAYS, DOES AN EXTENDED
SPRING, COMES BACK OUT, NO BIG
DEAL, ENDS UP FLYING OUT AFTER
10 DAYS.
WE'LL FIND OUT.
ROB MANFORD MIGHT RULE ON IT AT
