Document Type : Original Article

Authors

1 PhD Student, Faculty of Physical Education and Sport Sciences, University of Tabriz, Tabriz, Iran.

2 Associate Professor, Faculty of Physical Education and Sport Sciences, University of Tehran, Tabriz, Iran. and Professor, Department of Sport Management, Faculty of Sports Sciences and Health, Tehran University, Tehran, Iran.

3 Associate Professor, Faculty of Physical Education and Sport Sciences, University of Tabriz, Tabriz, Iran.

4 Associate Professor, Department of Agricultural Economics, Faculty of Agriculture, Urmia University, Urmia, Urmia, Iran.

Abstract

Purpose: This research aimed to estimate the economic-recreational value of Azadi Stadium from the spectators' perspective using a contingent valuation approach (CVM).
Methodology: This research was descriptive and applied in nature. The statistical population includes fans who have attended matches at Azadi Stadium at least once in 2022. A sample of 418 individuals was selected from this population using simple random sampling, and the necessary information was collected through the willingness-to-pay questionnaire developed by Wicker and Colleagues (2016). Data analysis was conducted using the logit method, utilizing the Stata and Shazam software.
Findings: The findings reveal that the average willingness of fans to pay to attend games at Azadi Stadium is 91,000 Tomans per game, and the estimated economic and recreational value for one season is approximately 1,350 billion Rials. Furthermore, factors such as income, watching matches on television, satisfaction with stadium facilities, and enjoyment of the games significantly and positively impact the willingness to pay to attend stadium matches. On the other hand, variables like age, education level, proposed price, and marital status negatively influence this willingness to pay.
Originality: Limited research has been conducted on the economics of recreational sports facilities, explicitly focusing on contingent valuation methodology. Estimating the economic value is crucial for decision-making regarding investment, improvement, and operation of stadiums.

Keywords

Askarian, F., Dana, F., Faraji, A., Goodarzi, J., Jafari, J., & Afshar, D. (2005). Examining the Economic Status of the Sports Industry in Iran in the Years 1377 and 1380. Harakat, 24(24), 25-43. https://joh.ut.ac.ir/article_10336.html?lang=en
Bidram, R., Saffari, B., & Daruvar, D. (2018). Estimation of Economic Value of Foolad Mobarakeh Sepahan Football Club for Isfahan. Urban Economics, 2(1), 37-50. https://doi.org/10.22108/ue.2017.79472.0
Castellanos, P., García, J., & Sánchez, J. M. (2011). The Willingness to Pay to Keep a Football Club in a City: How Important are the Methodological Issues? Journal of Sports Economics, 12(4), 464-486. https://doi.org/10.1177/1527002510385301
de Boer, W. I. J., & Koning, R. H. (2022). Willingness to Pay for Professional Road Cycling Events. In D. Van Reeth (Ed.), The Economics of Professional Road Cycling (pp. 181-193). Springer International Publishing. https://doi.org/10.1007/978-3-031-11258-4_8
Dehez, J. (2023). An investigation of outdoor recreational users' willingness to participate in aquatic invasive plant control. Biological Conservation, 277, 109830. https://doi.org/10.1016/j.biocon.2022.109830
Funahashi, H., Shibli, S., Sotiriadou, P., Mäkinen, J., Dijk, B., & De Bosscher, V. (2020). Valuing elite sport success using the contingent valuation method: A transnational study. Sport Management Review, 23(3), 548-562. https://doi.org/10.1016/j.smr.2019.05.008
Galan, Y., Yarmak, O., Andrieieva, O., Yuriy, M., Sukhomlynov, R., Zoriy, Y., Koshura, A., Ivanchuk, M., Vaskan, I., & Bohdanyuk, A. (2021). Impact of football clubs on the recreational activities of preschoolers. Journal of Physical Education and Sport, 21(2), 803-812. https://doi.org/10.7752/jpes.2021.02100
Hanemann, W. M. (1984). Welfare evaluations in contingent valuation experiments with discrete responses. American journal of agricultural economics, 66(3), 332-341. https://doi.org/10.2307/1240800
Hoseini, F., Dousti, M., & Tabesh, S. (2022). Estimation of Economic Value of Persepolis Football Club (Fans’ Point of View). Sport Management Journal, 14(3), 70-53. https://doi.org/10.22059/jsm.2020.299493.2436
Humphreys, B. R., Johnson, B. K., Mason, D. S., & Whitehead, J. C. (2018). Estimating the value of medal success in the Olympic Games. Journal of Sports Economics, 19(3), 398-416. https://doi.org/10.1177/1527002515626221
Khodaverdizadeh, M., & Kavosi, M. (2011). Estimating the ecotourism value using contingent valuation method: A case study of Sahoolan Cave, Mahabad. Geography and Development, 9(23), 203-216. https://doi.org/10.22111/gdij.2011.565
Lee, C. W. (2022). Watching the FIFA World Cup under cosmopolitanisation: how football fans in Hong Kong followed the 2018 World Cup. Leisure Studies, 41(4), 587-600. https://doi.org/10.1080/02614367.2021.2022180
Molaei, M. (2013). Estimating Double-Bounded Dichotomous Choice Contingent Valuation Models Using Seemingly Unrelated Bivariate Probit Regressions. Iranian Journal of Agricultural Economics and Development Research, 44(2), 245-258. https://doi.org/10.22059/ijaedr.2013.36722
Nicoliello, M., & Zampatti, D. (2016). Football clubs’ profitability after the Financial Fair Play regulation: evidence from Italy. Sport, Business and Management: An International Journal, 6(4), 460-475. https://doi.org/10.1108/SBM-07-2014-0037
Orlowski, J., & Wicker, P. (2019). Monetary valuation of non-market goods and services: a review of conceptual approaches and empirical applications in sports. European Sport Management Quarterly, 19(4), 456-480. https://doi.org/10.1080/16184742.2018.1535609
Robert, R. (2017). The Contingent Valuation Method in assessing the value of sport’s stadium in developing nations. The case of Poland. [University Library of Munich]. Germany. https://ideas.repec.org/p/pra/mprapa/80581.html
Royuela, V., & Gásquez, R. (2019). On the Influence of Foreign Players on the Success of Football Clubs. Journal of Sports Economics, 20(5), 718-741. https://doi.org/10.1177/1527002518807960
Sarlab, R., Khodadadi, M., & Kashef, M. M. (2021). Willingness to pay and Estimation of Economic Value of Sports venues in Tabriz. Sport Management and Development, 10(4), 84-97. https://doi.org/10.22124/jsmd.2021.5359
Whitehead, J., & Wicker, P. (2019). Valuing nonmarket benefits of participatory sport events using willingness to travel: Payment card versus random selection with mitigation of hypothetical bias. International Journal of Tourism Research, 21(2), 180-186. https://doi.org/10.1002/jtr.2252
Wicker, P., Hallmann, K., Breuer, C., & Feiler, S. (2012). The value of Olympic success and the intangible effects of sport events – a contingent valuation approach in Germany. European Sport Management Quarterly, 12(4), 337-355. https://doi.org/10.1080/16184742.2012.693117
Yang, C., & Cole, C. L. (2022). Smart Stadium as a Laboratory of Innovation: Technology, Sport, and Datafied Normalization of the Fans. Communication & Sport, 10(2), 374-389. https://doi.org/10.1177/2167479520943579
Zamani, M., Hosseini, E., & Rajaee, H. (2013). The Impact of Sport Expenditures on Gross Domestic Product in Iran. Sport Management Journal, 4(15), 143-156. https://doi.org/10.22059/jsm.2013.29836