Big Red Business: Season ticket holders vote with their wallet

Everybody knows Big Ten commissioner Kevin Warren has spoken. We’ve also heard emphatically from Nebraska athletic director Bill Moos, head football coach Scott Frost and players. Now, season ticket holders are weighing in.

In a year where their pocketbook is going to do some mighty important talking, season-ticket holders who have supported Nebraska through its nation’s best 375-home game sellout streak have some decisions to make. What will they do with their ticket money committed to the now-canceled 2020 season?

Do they want their money refunded? Are they content to roll over the money and seat contributions to 2021? What about adding to the coffers of the newly created Day by Day fund and gaining a tax deduction? And finally, would fans buy tickets for a potential winter/spring football season that could mean games in frosty Memorial Stadium?

After the conference unveiled a revised fall football schedule, the athletic department asked ticket holders to respond to a ticket and donation questionnaire on how they wished to proceed by Aug. 14. Days later, when the season was canceled, the athletic department pushed back the deadline by one week to Aug. 21.

The athletic department had not released information on its questionnaire, as of Thursday. Moos did tell the Lincoln Journal Star that around 20% opted to simply convert their ticket deposits into full donations and roughly 60% opted to have their payments rolled over to 2021, meaning only about 20% asked for full refunds.

HuskerOnline did its own survey on ticket payment options. According to HuskerOnline’s survey that attracted nearly 400 respondents, 69 percent said they planned to roll over the ticket investment to 2021. Sixteen percent are planning on a full refund, while 15 percent indicated they’d redirect their ticket money to the Day by Day campaign. All these numbers match-up fairly close to what Moos told the LJS on Thursday.

As for a spring or winter season, many who responded gave the idea a major thumbs down. But there’s also a scenario that calls for games this winter to be played in domed stadiums, such as in Minneapolis, Detroit, and Indianapolis.

Just as there’s ongoing debate over masks or no masks, there are strong words from Nebraska’s ticket buying fan base on what they’ll do with their tickets and why.

Said one ticket holder: “I figured I could use the money now for things I need so I took the refund option. Let them keep the (seat) donation for the Day by Day. I will renew next year.”

Another fan said he chose the roll over option to 2021. “I have no intention of ever giving up my tickets. They are in the family trust.”

And finally, this fan’s sentiment. “The Day by Day campaign. The university needs us.”

First, the numbers.

The athletic department said it is facing a revenue shortfall of between $40 million and $100 million because of the pandemic, a number that could climb now that the 2020 season is dead.

The athletic department counts on annual revenue of $69 million from tickets and seat donations, about $55 million from revenue sharing with the Big Ten and NCAA, and $22 million from sponsorships -- from Adidas to Runza.

Two of Nebraska’s three profitable sports programs -- football and women’s volleyball -- will be on the sidelines until further notice. The status of men’s basketball -- the third program with an operating profit -- is yet to be determined.

Put it all together and fan support will play a huge role on whether further steep cuts in the athletics program -- beyond what’s already been announced -- will be needed to get through this year.

The choices:

*Option one: Fans can get a full refund on their 2020 payment, a departure from past practices.

Option two: Fans can also roll over that 2020 ticket payment so it applies to the 2021 season.

Option three: Fans can donate to the newly created “Day by Day” campaign. The fund will allow Nebraska athletics to “apply donations to the areas of greatest need during this extremely challenging time,” according to the department’s email to ticket holders.

With the new fund, fans can choose to receive a 100 percent tax deductible credit, or opt for donor priority points for the full amount of the gift.

Donors to the new fund will also receive a commemorative poster autographed by members of the 1970 national champions, and an invitation to a 2021 event celebrating the back-to-back 1970 and 1971 national titles.

John Jentz, the department’s chief financial officer, gave Nebraska fans a shout out. When asked whether the athletic department’s 2020-2021 fiscal year budget had been completed, Jentz said the numbers wouldn’t come together until there was a definitive direction on football. All other sports, he added, will be influenced by football.

“What I can tell you is that decades of great fan support over the years positioned us as well as could be hoped for heading into this situation,” he said. “Also, coaches and staff have done well since March and even now adhering to the directive to limit expenses for essential needs only. I think I can speak on behalf of my colleagues that we take the stewardship of managing Nebraska athletics very seriously. We understand how important it is to our student-athletes, the university and state economy, and as an outlet and source of pride for our fans.”

Fans who responded to the two HuskerOnline surveys had this to say about what they plan to do with their 2020 season ticket money, and whether they’d buy tickets for a possible football season early next year.

Most Big Ten schools rolled out their new policies for season-ticket holders days before the season was abruptly canceled. The plans mostly resemble what Nebraska has put in place -- with the exception of Penn State.

A sampling from around the conference:

*Penn State offered ticket holders three options: converting their 2020 ticket value to charity, rolling in over to the 2021 season, or getting a full refund.

However, fans who request a refund will not be guaranteed their 2020 seat location and parking spot for the 2021 season.

*Iowa announced that tickets and per-seat contributions will automatically roll over to 2021. Fans also have the option of requesting a refund or converting seat and parking requirements to a tax-deductible contribution.

*Wisconsin, which is facing a revenue loss of at least $60 million and possibly more than $100 million this year, is appealing to fans to let the athletic department keep ticket money as a donation.

The department this month unveiled the Badger Legacy Campaign, which will support scholarships, training, and support services for athletes.

“Without further investment from our community, the experience we love as Badgers is at risk,” athletic director Barry Alvarez said in a letter to football season ticket holders.

The athletic department has asked that those who have paid for tickets give that money to the department as a tax-deductible gift. Season packages cost $324 per seat, not including an additional donation of between $100 and $400 per seat required for some sections at Camp Randall Stadium.

*Minnesota offered season ticket holders who had already renewed for the 2020 season several options for how to proceed. In all cases, fans will retain their seats and seating priority for 2021.

One option, converting any amount of a season ticket to a 100 percent charitable donation to the Golden Gopher Fund.

Season ticket holders can also request a 100 percent refund on their 2020 tickets.

*Michigan State season ticket holders have three choices: Convert their 2020 ticket payment to a Spartan Fund charitable contribution, roll their payment over to the 2021 season or receive a full refund.

The charitable contribution option is certainly what’s best for the athletic department, given that no football season in the Big Ten is an “existential moment for college athletics,” athletic director Bill Beekman told the Lansing State Journal.

Steve Rosen writes about the business of sports for HuskerOnline. Questions, comments, story ideas? Reach Steve at srosen@huskeronline.com.