Abramovich surprises by freezing ticket prices

They're the best and chasing the title – but Chelsea has refused to profit from ticket sales. “It's a gesture toward the fans,” says expert.

Last season, the club owned by Russian billionaire Roman Abramovich recorded its worst result in two decades, finishing tenth in the Premier League. It was understandable that ticket prices didn’t increase – the club didn’t want to further provoke already frustrated supporters.

Today, things are very different. Chelsea is playing the most attractive football in England and is on course to win the league title. That’s why the club’s latest announcement came as a surprise: ticket prices will be frozen again for the upcoming season.

The club voluntarily gave up the opportunity to earn tens of millions more from ticket sales. The cheapest season ticket will still cost £750 next season. “It’s a gesture to the fans and a sign of gratitude for their support even during difficult times,” said sports analyst and football agent Jozef Tokos for the Economic Daily.

The importance of ticket revenue is decreasing
Interestingly, among London’s three wealthiest clubs, Chelsea has the cheapest season tickets compared to Arsenal (£1,014) and Tottenham (£765). “It’s clear that Arsenal is the club most focused on maximizing profits from its fans. But to be fair, they have a beautiful, modern stadium with significantly higher capacity,” Tokos explained.

The difference is also evident in total ticket revenue. While Chelsea earned the equivalent of €93.2 million from ticket sales last year, Arsenal earned €40 million more. Another reason why Chelsea – along with most Premier League clubs – has frozen ticket prices in recent years is that ticket revenue has become a smaller part of total income. For example, at Chelsea: in 2007, tickets made up 38% of total revenue; last year, it was just 21%. This decline is due to the huge increase in revenue from television rights and sponsorship deals. “The stadium has a fixed capacity. While the club can invest in expanding it, for English teams especially, ticket income will never again be as important as it once was,” said Tokos. Chelsea’s largest revenues now come from TV rights – over €191 million.

New stadium, new pricing policy?
In addition to freezing prices, Chelsea will continue to support away fan travel by capping away ticket prices at £30. “This might be the last time Chelsea keeps ticket prices unchanged. A financially demanding reconstruction of Stamford Bridge is being planned, and with increased capacity, a new pricing policy may follow,” the sports analyst believes.

The £500 million stadium redevelopment is set to begin next summer and should last for three seasons. British media are currently speculating where Abramovich’s club will play its home matches during the construction period. The most likely option appears to be the Olympic Stadium, which hosted the Summer Games five years ago. Though it is now the home of rival West Ham United, hosting two Premier League teams should not be a problem.

According to The Times, Chelsea’s leadership is leaning toward the Olympic Stadium. The annual rent for 19 league matches and additional games in European and domestic competitions is expected to cost £20 million.

Most expensive season tickets in England
(by price of the cheapest season ticket in GBP)

1. Arsenal – 1,014

2. Tottenham – 765

3. Chelsea – 750

4. Liverpool – 685

5. Bournemouth – 550

6. Southampton – 541

7. Manchester United – 532

8. Crystal Palace – 420

9. Everton – 420

10. Swansea – 419

Source: The Sun