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Sports betting markets are an attractive setting to evaluate the degree to which publicly available information is efficiently incorporated into asset prices. Weather information represents one category of potentially undervalued public data, and we assess its impact on wagering outcomes and market behaviour in American college football. We uncover statistically significant effects of weather characteristics on totals market outcomes, indicating that the market does not appropriately assimilate this data into its forecasts. We also demonstrate that weather characteristics are not statistically significant predictors of totals market line movement magnitude. Together, these results suggest the market systematically undervalues weather data. We then develop simple wagering strategies utilizing only three weather characteristics and illustrate the ability to profit. [ABSTRACT FROM AUTHOR]

Research examining how information influences pricing, efficiency, and line accuracy in sports betting markets is common. The existing literature, however, does not consider that the natural release of information through standard game play may be systematically related to changes in line accuracy. We test this hypothesis and find a statistically significant improvement in line accuracy in both the sides and totals markets as more information is released. This indicates the information produced through game play is valuable in improving contest forecasts by both oddsmakers and the market. We also find a reduction in line movement in both the sides and totals markets as more information is released, suggesting forecasts of oddsmakers and the market converge along with an increase in available information. [ABSTRACT FROM AUTHOR]

The scholarship on the economics of individual sports is scant relative to that of team sports. This study advances sport management scholarship, particularly sport economics, by using consumer-theory modeling to estimate Ultimate Fighting Championship (UFC) pay-per-view purchases. Our generalized linear models show fan preferences for certain weight classes, star fighters, outcome uncertainty and comain event quality factors as well as scheduling preferences for holiday weekends. The popular notion that The Ultimate Fighter reality series served as the impetus for the UFC's growth is supported in part. The study concludes by showing how the modeling results impact firm revenue generation via fight card characteristics. [ABSTRACT FROM AUTHOR]

Mixed martial arts emerged as a major player in the sports industry during the 2000s, with the Ultimate Fighting Championship (UFC) growing into the sport's foremost promotion. Critical to the promotion's management is understanding fan consumption choices. Using economic demand theory, we draw on the spectator motivation and team sports demand literatures to provide an empirical analysis of what drives demand for mixed martial arts events. Our regression models show that economic and scheduling considerations explain the variation in UFC attendance. The popular notion that The Ultimate Fighter reality series served as the impetus for the UFC's growth is unsupported by time series analysis and numerous independent variables in our model. [ABSTRACT FROM AUTHOR]