Willingness-to-Pay in Non-Profit Sports Clubs

Pamela Wicker ()
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Pamela Wicker: German Sport University Cologne

International Journal of Sport Finance, 2011, vol. 6, issue 2, 155-169

Abstract: In Germany, some sports clubs increasingly encounter financial problems due to decreasing public subsidies. A way to compensate for the decrease is to increase membership fees. Therefore, the aim of this study is to analyze members’ willingness-topay (WTP) for membership fees and to identify determinants of WTP. For this study, active, adult members (n = 10,013) in 21 sports were surveyed. The results show that members paid an average annual membership fee of ?148 and stated an average WTP of ?265. The consumer surplus for all sports amounted to ?113 on average. The results of the regression analysis reveal that WTP is determined significantly by the current membership fee, personal income, level of education, years of participation, and level of performance. The findings of the study suggest that increasing membership fees might be one option for sports clubs experiencing financial problems. Sport-specific differences have to be considered in this regard.

Keywords: leisure economics; non-profit organization; membership fee; consumer surplus (search for similar items in EconPapers)
JEL-codes: L83 (search for similar items in EconPapers)
Date: 2011
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International Journal of Sport Finance is currently edited by Arne Feddersen, Babatunde Buraimo, Joachim Prinz and Jane Ruseski

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