A new UBCO study has determined that homegrown players keep fans happy and help improve team revenues.
Everyone loves a hometown hero.
And now, a new UBC Okanagan study has determined that having homegrown players on NHL teams is not only good for the fanbase, it’s also good for the owner’s wallet.
Researchers estimate each locally born player who plays a full NHL season increases home game attendance by about 12,000 spectators and boosts team revenue by about US$4.8 million annually.
“This study addresses a critical gap in the literature on fan demand for professional sports,” says co-author Édouard Perron. “By analyzing both attendance and revenue data, this paper is the first to quantify the relationship between local players and fan demand in professional hockey.”
Perron worked with UBCO’s Dr. Min Hu, Assistant Professor in Economics with the Irving K. Barber Faculty of Arts and Social Sciences, while completing this research for his undergraduate economics honours thesis. He is currently pursuing his masters degree at the UBC Sauder School of Business.
The study, recently published in the Journal of Sports Economics, covers 14 NHL seasons from 2005 to 2018, focusing on the post-lockout salary cap era and concluding before the COVID-19 pandemic. During this period, the NHL expanded to 31 teams with the addition of the Vegas Golden Knights in 2017, resulting in 422 individual team seasons analyzed.
The researchers define a local player as one born in the same state or province as the team they play for, or born within 100 kilometres of the arena where the team plays.
Unlike other professional sports leagues that depend primarily on national revenue streams including TV or media deals, NHL teams rely more heavily on local revenue sources such as tickets, parking and concessions.
The league also uniquely emphasizes birthplace in player profiles and marketing materials.
“Where a player is born plays a more central role in fan identity and marketing due to the league’s geographically diverse player development pathways, which differ significantly from those of the NBA or NFL,” says Perron. “Locally born players are prominently featured in promotional materials, serving as relatable figures who enhance fan loyalty and foster community pride.”
The value of hometown players is comparable across the NHL’s diverse geographic contexts, including comparisons between the Original Six teams, primarily located in the northern region, and non-traditional teams in the southern region.
“The results underscore the strategic value of investing in and promoting local talent, particularly for teams struggling with comparatively low attendance,” says Dr. Hu. “It’s clear that homegrown players strengthen fan engagement by fostering stronger regional connections, acting as both cultural ambassadors and economic drivers.”
It makes economic sense to acquire a locally born player, adds Perron, as they clearly have a significant positive impact on attendance and revenue. While the research examines fan demand and its financial implications, Perron says it also offers actionable business, management and marketing insights for teams hoping to improve their financial performance.
Teams could invest more in locally based player development opportunities and work specifically with young hockey players to mentor them at an early age.
“The findings underscore the value of investing and promoting local talent, particularly for teams with lower attendance levels,” adds Dr. Hu. “By fostering stronger community connections and regional loyalty, locally born players enhance team identity, boost fan engagement and increase game demand.”
