Presentation Title

Ski Lift Ticket Prices: A Hedonic Pricing Model

Presentation Type

Oral Presentation

School

School of Sciences and Social Sciences

Discipline

Economics

Mentor

Armagan Gezici

Abstract

Ski resorts are an important part of many local economies, and every year they must determine what price they are going to charge for lift tickets. There is substantial price variation across ski resorts in the US, and previous studies have attributed much of this variation to differences in average annual snowfall. This study explores lift ticket pricing using an original sample of 286 ski resorts derived from On The Snow and Wanderbat. The data is used to estimate, via ordinary least squares, a hedonic pricing model exploring the impact of average annual snowfall, snowmaking capacity, total acreage, vertical drop, lift capacity, trails, longest run and location. Initial results suggest that snowmaking and lift capacity are central influences. This research suggests that ski resorts should target subsequent investments towards these areas most likely to yield a return.

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Ski Lift Ticket Prices: A Hedonic Pricing Model

Ski resorts are an important part of many local economies, and every year they must determine what price they are going to charge for lift tickets. There is substantial price variation across ski resorts in the US, and previous studies have attributed much of this variation to differences in average annual snowfall. This study explores lift ticket pricing using an original sample of 286 ski resorts derived from On The Snow and Wanderbat. The data is used to estimate, via ordinary least squares, a hedonic pricing model exploring the impact of average annual snowfall, snowmaking capacity, total acreage, vertical drop, lift capacity, trails, longest run and location. Initial results suggest that snowmaking and lift capacity are central influences. This research suggests that ski resorts should target subsequent investments towards these areas most likely to yield a return.