Market study supports Coyotes’ move

A Toronto financial planner has added his data to the argument that an NHL club won’t work in Phoenix.

A Toronto financial planner has added his data to the argument that an NHL club won’t work in Phoenix.

The Coyotes rank 29th out of 30 NHL teams — ahead of only the St. Louis Blues — in market viability, according to Tri-Delta Financial CEO Ted Rechtschaffen.

His firm represents an American trying to sell his minority stake in a U.S.-based NHL club. Rechtschaffen crunched numbers to determine where that particular market ranked in the NHL. The club isn’t Phoenix, nor is it relocating, he said.

The NHL, the Coyotes and BlackBerry maker Research In Motion head Jim Balsillie, who has made a US$212.5-million offer to buy the franchise and move it to Hamilton, awaited an Arizona judge’s ruling Thursday on whether Balsillie can do that.

Pulling together five years’ worth of data from ESPN, Forbes, the U.S. Census Bureau and the sports teams marketing bureau, Rechtschaffen concluded the keys for an NHL club’s survival are location and gate revenue.

Without fan support, corporate sponsorship and television rights contracts teams die out, he said.

“In hockey, gate revenue is key, especially in market where hockey isn’t as core,” Rechtschaffen said Thursday.

“If you have hockey fans that are willing and interested in going to the games and are willing to spend a lot of money going to the games, that tends to be the heartbeat of a city’s long-term viability.”

His conclusions were also that the six Canadian teams were among the NHL’s top 10 in market viability, that only Northeast and upper Midwest markets in the U.S. are able to successfully support a team, and that population is a minor factor in a club’s survival because Calgary (No. 6), Edmonton (No. 10) and Ottawa (No. 7) are more viable than some bigger markets.

The Toronto Maple Leafs are ranked No. 1. Rechtschaffen has first-hand knowledge of the economic power of the interested fan there.

“We have Leafs season tickets. Why? We have them because even though they’re very expensive, we know if we have an opportunity to take a client to a game, they’re very excited,” he explained. “It means a lot to them. If there wasn’t a lot of excitement, we wouldn’t spend the money.”

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

A candlelight vigil will be held in Red Deer on Thursday to honour the 350-plus people killed in the Easter bombing attack in Sri Lanka. Contributed photo
Candlelight vigil planned for deaths linked to Olymel COVID-19 outbreak

A candlelight vigil is being planned for those who died due to… Continue reading

Red Deer Rebels forward Jaxsen Wiebe battles Calgary Hitmen forward Cael Zimmerman for a loose puck when the two teams squared off in February last season. (Photo by BYRON HACKETT/Advocate Staff)
Calgary Hitmen shutout Red Deer Rebels

Rebels name centre Jayden Grubbe team captain ahead of Friday’s game

Traffic will be delayed on 40th Avenue and 19th Street until the end of February. (Advocate file photo).
Traffic delays expected downtown this weekend

Red Deer drivers will be delayed in the downtown area of the… Continue reading

COVID
Red Deer down to 313 active cases of COVID-19

Alberta reports an additional 411 COVID-19 cases

Bryson, six, and Mara, eight, play with puppies from Dogs With Wings Saturday. (Photo by Sean McIntosh/Advocate staff)
WATCH: Dogs With Wings introduces Red Deer program

A program that trains puppies to be certified service, autism, facility and… Continue reading

Former Toronto Argonauts lineman Chris Schultz remembered as a gentle giant

Former Toronto Argonauts lineman Chris Schultz remembered as a gentle giant

Los Angeles Kings head coach Darryl Sutter, top, is shown on the bench after NHL action against the Clagary Flames  in Calgary, Alta., Thursday April 9, 2015. Sutter says he has "unfinished business" as he returns to coach the Calgary Flames. THE CANADIAN PRESS/Larry MacDougal
Darryl Sutter has ‘unfinished business’ in return to Calgary Flames

Darryl Sutter has ‘unfinished business’ in return to Calgary Flames

Walter Gretzky talks to people while at the funeral of Celtic music legend John Allan Cameron at St. Isaac Jogues Church in Pickering, Ont., Monday, Nov. 27, 2006. THE CANADIAN PRESS/Nathan Denette
‘A legend in his own right’: Hockey world pays tribute to the late Walter Gretzky

‘A legend in his own right’: Hockey world pays tribute to the late Walter Gretzky

Jordan Spieth follows his approach shot to the ninth green during the second round of the Arnold Palmer Invitational golf tournament Friday, March 5, 2021, in Orlando, Fla. (AP Photo/John Raoux)
Conners builds 1-shot lead at Bay Hill as McIlroy lurks

Conners builds 1-shot lead at Bay Hill as McIlroy lurks

Team Canada skip Brad Gushue makes a shot as he plays Team Ontario at the Brier in Calgary, Alta., Friday, March 5, 2021.THE CANADIAN PRESS/Jeff McIntosh
Brier in the Bubble: Defending champion Gushue beats Epping in opening draw

Brier in the Bubble: Defending champion Gushue beats Epping in opening draw

Switzerland's celebrates after the final match at the Women's Curling World Championship in Silkeborg Denmark Sunday March 24. 2019. The 2021 world women's curling championship is back on the curling calendar. THE CANADIAN PRESS/AP, Ritzau Scanpix - Henning Bagger
Women’s world curling championship back on calendar, added to Calgary bubble

Women’s world curling championship back on calendar, added to Calgary bubble

A guard stands outside the gates of an immigrant holding centre in Laval, Que., Monday, Aug. 15, 2016. Several men at a Montreal-area immigration detention refused food this week as part of a protest aimed at drawing attention to what they say are inhumane conditions and to secure their release.THE CANADIAN PRESS/Graham Hughes
Montreal-area immigration detainees on hunger strike over COVID-19 fears

Montreal-area immigration detainees on hunger strike over COVID-19 fears

Minister of National Defence Harjit Sajjan takes part in a year-end interview with The Canadian Press at National Defence Headquarters in Ottawa on Thursday, Dec. 17, 2020. THE CANADIAN PRESS/Sean Kilpatrick
Sajjan aide emailed military ombudsman about allegations days after meeting in 2018

Sajjan aide emailed military ombudsman about allegations days after meeting in 2018

Most Read