Episode Transcript
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Speaker 1 (00:02):
Rockets fans, Welcome to the Rockets Launch Pod, an exclusive
podcast from the home of the Rockets, Sports Talk seven
ninety Red Nation. Get Ready, Ready, Get Ready. The Rockets
Launch Pond starts now.
Speaker 2 (00:22):
Welcome aboard, Welcome back, folks. We are joined today by
(00:49):
Gretchen Sheer, president of the Rockets. I'm Ben Dubo's joined
again by Dave Hardesty. We're recording this on Wednesday the
twenty second, the day after the Rockets lost a double
overtime regular season opener at Oklahoma City. The downside is
that they lost. The upside it was a very competitive
game on the biggest stage, first NBA and NBC game
(01:12):
in twenty something years, and the Rockets definitely look like
they belonged against the elite of the NBA. So, Gretchen,
let's start our conversation on that. How do you balance
everything that we saw last night? Both you know, the
bad that you had an opportunity to win and didn't,
but also the good that, hey, like, the Rockets look
like they belonged and it was a really good stage
(01:32):
for this team.
Speaker 3 (01:34):
Yeah, I think the opening night and kind of opening
week of the NBA is so exciting for us It's
like you work all off season. That's the time that
we're planning for what's to come for our fans and
what's to come for the seasons, and when that all
comes together on one night, it sometimes can super exciting,
but sometimes it can feel a little.
Speaker 4 (01:53):
Deflating, like, oh, it's been six months and this is Opening.
Speaker 3 (01:56):
Night, and I just think the NBA back on NBC
right being an OK seen as painful as it was
them getting their ring and their banner, their wonderful organization,
and just having two teams battle it out to double overtime.
Speaker 4 (02:10):
It's like it literally lived up to all of kind.
Speaker 3 (02:14):
Of the off season hype about what the potential of
this team is and how just exciting the competition in
the NBA is right now, you know, And Ben.
Speaker 5 (02:23):
If I got to ask, I think you've got to
be so excited at least, you know, even though they
did come up short in a double overtime game, they
had some things that didn't go their way. I mean,
just looking at some of these players, how much they've grown.
And then you know, we'll talk about, you know, the
addition of KD and stuff, but how exciting is it
watching this team and knowing how far you guys have
come in just a short time frame.
Speaker 3 (02:44):
Yeah, I mean it's when we were prepping for things
that we were talking about, you guys talked about you
know when I when I first moved into this role transition.
You know, the timing was about the same time that
we were rebuilding the roster, and so at that time,
like we literally did not know who our team was
going to be.
Speaker 4 (02:59):
We were rebuilding a team. We had to teach people.
Speaker 3 (03:02):
Who these players were and expose them to their game
and their backgrounds and their personality. And so to have
that all come together in a phenomenal game last night
on national TV to open the NBA season, To have
the national audience know our team No alp No and
then no Jar like all of that was just was
really exciting. I have a tendency too, when I watch
(03:23):
the games, watch the business part of the games sometimes
and take notes on, you know, different different aspects of
how crowds react and what different different arenas do differently.
Speaker 4 (03:35):
But I watched the game too.
Speaker 2 (03:37):
Let me follow up about Alpi specifically because I think
you know your first year was the twenty one to
twenty two season, correct, Well, I mean year, my.
Speaker 3 (03:47):
First year, My first year was the two thousand and one,
two thousand and two seasons.
Speaker 2 (03:52):
Sorry I met Tad lefton. You took over business operations
in like May.
Speaker 4 (03:56):
Yeah twenty one, right, yeah, yeah, twenty one.
Speaker 2 (03:58):
So your first year and your current role was when
Alpi's first year in the NBA was because he was
drafted in June of twenty one.
Speaker 4 (04:06):
Yeah.
Speaker 6 (04:07):
Yeah.
Speaker 2 (04:07):
What has it been like watching him as an athlete
as a person. You know, when he first came to
Houston and you first met him, I'm assuming in the
summer of twenty one, he didn't speak a lot of English. Obviously,
he took the initiative to learn. He learned quickly, and
you guys have capitalized on that. I still have I
should have in the background today, but I've got the shingoon.
(04:28):
I'm so happy bobblehead, which was an a giveaway from
a couple of years ago. But now he's a guy
who on the biggest stage just went up and put
up thirty nine points, eleven rebounds, seven assists against the
best team in the league on the road. He's incredibly charismatic.
What's that journey been like watching a guy who entered
(04:49):
you know, new to the country, not having much in
the way of past experience, and now within a few
short years is one of legitimately the best players in
the league and still.
Speaker 4 (04:59):
Getting Yeah, I think, you know, as as these guys.
Speaker 3 (05:04):
Came in young, I mean part of part of our
goal and it was really I don't want to say
a directive from Tillman and the for Tudas and Patrick,
but it was to make sure that our fan base
in the city and you know, basketball fans in general,
knew what our goals and our objectives were, right, and
it was to get a lot of talent, develop the team,
watch them grow. And part of our storyline was like, hey,
(05:25):
if you could go back right and be a part
of insert you know sports legends name right and watch
them from their rookie year on, knowing how great they
would be, that's a cool experience and I think everyone
would want to be a part of. And so hopefully
we did a good job over the last four to
five years of really telling the story of what we were,
(05:46):
what we were trying to accomplish, the belief that we
had and in these young guys and seeing it all
to come together and you know, his his summer, Like
obviously last year was great for all of the team.
And to watch Altpie continue that right and euro Ball
was really excited and just get a different level of
notoriety and obviously a talent that our team identified, you know,
early on, and to see others recognize it and see
(06:09):
his game.
Speaker 4 (06:10):
Uh live up live up to that has been great.
Speaker 2 (06:12):
And we'll talk about the other guys coming up, most
notably KD but Shingoon specifically. How useful is it to
you from a business perspective, but these young guys you know,
have personality like he's a guy. Yeah, I would say
amen to some extent as well. How useful is it
when you have that charismatic factor with guys like that?
Speaker 4 (06:34):
Yeah, I mean I think you'll you see it really.
Speaker 3 (06:36):
I mean everyone's personality is a little bit different, their
personality on the core versus their you know, their general
day to day demeanor. You know, all has little intricacies,
just like anyone in in life does. But I think
what's so great about this team and the players is
that they all like to hoop, right, they love this game,
(06:59):
They love this or they love doing it together. And
you know, we joked, you know, you joked about out
thes like I'm so I'm so happy. But when you're
just happy to like in anything, when you're just happy
to go to work and you love what you do
and the love and you love the people that you're
doing it with, and you love the environment that you're
doing it in, every everything is better and it feels
(07:20):
like that's the kind of team that that the Fertitas
and rafel and you may have really have really been building.
Speaker 5 (07:26):
You know, Ben mentioned two thousand and one, you know,
when you.
Speaker 4 (07:29):
Moved into that role, and I was five.
Speaker 5 (07:34):
I'm sorry, I meant to say twenty twenty one when
you moved into the president's role, But you know, a
lot of changes certainly occurred then. Obviously a lot of
the draft players drafted players, but also you know, coaching
change in the EMAY a couple of years later. But
you guys have had a lot of stability now for
several years with you and the president's role, you know,
Rafel Stone as GM, the Fertida family. You know how
(07:56):
beneficial and important is that to you and your job
to kind of have that consistency, you know, in the
front office and really all the way down to coaching staff.
Speaker 3 (08:05):
Now, yeah, I mean, I think the same thing that
we were just talking about with the players, right, when
you have people who hopefully, right are smart.
Speaker 4 (08:13):
Hopefully you think I'm smart and talented, right, but are.
Speaker 3 (08:16):
Are good, you know, good at what they do, who
are passionate, you know, are passionate, whose goals and objectives
align with ownerships. That sits you know, alongside basketball, and
you just enjoy being together and working together and doing.
Speaker 4 (08:30):
Great things for the city. It's it's it's pretty good.
Speaker 3 (08:34):
And it's hard to find something that can match that,
that would be you know, that would be better or different,
you know, so it's definitely good. We are super competitive, right,
pushing ourselves to be better, to try new things, and
you know that's particularly on the business side, but you
see it in basketball as well. And we want to
be leaders and we want to set a great example
for the city of Houston and deliver a product on
(08:56):
and off the court that our fans are proud of.
Speaker 2 (08:58):
We've mentioned twenty one if times, how different is this
opening week for you in twenty five compared to four
years ago, because you literally started at the bottom with
a team that was last place in the Western Conference.
Now it was by design. Everybody knew they were going
into a rebuild. It was strategic, there were legitimate basketball
and organizational reasons for doing so. But you're in the
(09:21):
business of selling the product and making sure that it's profitable.
So now that you have this team in twenty five,
led by the likes of Alpha and Shangoon and Kevin
Durant Na Men Thompson, with clear expectations that can go
toe to toe with the defending champs in OKC, how
different is your job kicking off the twenty five to
twenty sixth season and selling this team relative to when
(09:43):
you started four years ago.
Speaker 3 (09:45):
Yeah, I mean it's remember my so my job is
obviously running the business of the Rockets, but we also
operate Toyota Center. So when you think about, you know,
as this transition was happening, I was moving into, you know,
into this role.
Speaker 4 (09:58):
It was also you know, you're coming out COVID.
Speaker 3 (10:00):
We had had you talked about the season by design,
but remember that was limited attendance.
Speaker 4 (10:05):
So one of the first things that we did.
Speaker 3 (10:06):
Was was host the first full indoor capacity event with
UFC on I think it was May fifteenth, twenty twenty one, right,
So when you think back just about where the world
was and where live entertainment was in that timeframe to now,
and again, we were drafting players, we didn't know who
we were going to draft.
Speaker 4 (10:25):
We were starting a season with.
Speaker 3 (10:28):
Jayshon was here, right, But other than that, like everybody
else was kind of new or different, and it was
really you know, this franchise has been around since nineteen
sixty seven, has been in Houston shortly shortly after that.
Coaches have come and gone, gms of coming gone, presidents
of common gone, players have come and gone, right, and
it's really just collectively what this franchise has meant to
(10:48):
this city. And so it was really making sure that
people understood, you know, our goals and our vision to
get back to championship caliber on the court, and then
our job was really to make sure that everything off
the court remained championship caliber and and.
Speaker 4 (11:06):
Hopefully, hopefully we did that.
Speaker 3 (11:07):
But it was a lot of it was a lot
of storytelling, it was a lot of promotions, it was
a lot of you know, this is why it's fun
to come to an event and be back in person
with people, right, So there was a little bit of
that that was happening at the time, and as your
product starts to develop and starts to speak a little
bit more for itself by delivering you know, on court
(11:30):
wins and excitement and player and player development, it starts
to become a little bit more right about the game,
and the experience has always been more than a game, right, Like,
it's you go, you have a great time. You're with
your friends, your families, your clients, You're creating memories. And
obviously it's wonderful if you win, or you know, if
you win the game. But most of the time, when
(11:51):
people talk about their most impactful experiences about sport, it
is about that time and that connection that they have
with other people, regardless of what happened. So we spent
a lot of time telling that story, right, and now
we can spend a little bit more time talking about
you know, being being being super competitive and and hoping
for big things on the court.
Speaker 5 (12:12):
You know, Kevin Durant, I know once famously said, you know,
you know who I am. You know, I'm Kevin Durant.
That's like this this famous thing, and it's true because
everybody knows Kevin Durant. It's like, you know, over decades
of basketball fans just know this guy, and he has
been a major impact superstar for this league for so
many years. How has that impacted your job? What has
(12:34):
the impact been since you know, you guys acquired him,
How has that impacted the business and maybe your job
in particular since Kevin Durant has gotten here.
Speaker 3 (12:44):
Yeah, I mean it's it's it's hard to ever say
what one thing right does does anything? I do think
it's it's a culmination of that we talked about kind
of what we have been doing, what our team has
been doing, how much our you know, our marketing and
our communications team has has been working to kind of
promote and tell.
Speaker 4 (13:01):
The story of this team.
Speaker 3 (13:02):
And last year you saw it come together, right, Well,
you saw it come together prior to last year, right,
But last year their return to the playoffs. So you
have all of these things happening, not at the same time,
but in parallel past. So we had a lot of
growth last year. We had excitement about going back to
back to the playoffs. We had a thrilling series going
(13:23):
to Game seven, right, and so that momentum was really
already kind of coming from from our fan base, from excitement,
we were getting notoriety, and then you layer in a
player like the you know, Hall of Fame, like one
of the best to have ever done this into that mix. Right,
it's we call it sometimes in the industry, peak on peak,
it starts to become peak on peak, right. And would
(13:46):
that have been the same had last year's momentum not
have already started, you know, yes, Like there would have
been excitement and there would have been you know, a
notoriety of someone of his caliber, you know, coming coming
to this market and coming to this team. But I
do think that kind of the addition to him to
the team and the foundation that was already built is
(14:08):
really what kind of led to the.
Speaker 4 (14:11):
Excitement and growth that we're seeing.
Speaker 3 (14:13):
And obviously, when you have a name that's been around
for you know, almost two decades, right, it's a story
that doesn't need to.
Speaker 4 (14:19):
Be you know, it's it's been told. People know his name,
they know who he is, and so it's really yeah, right,
Like it's definitely helpful.
Speaker 2 (14:27):
And the figures you guys sent out the other day
in the press release, so it's roughly a twenty five
percent bump in season ticket packages and a three hundred
percent bump in merchandise.
Speaker 6 (14:37):
Like it's relative to.
Speaker 2 (14:39):
I'm not sure if it's the end of last season
or the beginning of last season, but it's these are
pretty big.
Speaker 6 (14:43):
Figures, right yeah.
Speaker 3 (14:45):
I mean it's the I mean you and you and
I've talked about sort of some of the some of
the numbers that kind of get get thrown out sometimes,
but I mean, really it's it's just been the steady,
the steady growth of what we've seen.
Speaker 4 (14:58):
And when you're in an off season, it's really busy.
Speaker 3 (15:01):
For us, you know, on the business side, Like that's
the time where the arena is busy. We're working on projects,
we're planning for this season. We you know, the day
the schedule is released, you know, we are starting to
work through you know, retail promotions and ticket promotions and
you know, and all all of the things that go
into to running things behind the scenes.
Speaker 4 (15:20):
So when you look.
Speaker 3 (15:20):
At, you know, an off season, when you have that
much excitement layering on top of on top of everything else,
it's really good.
Speaker 2 (15:28):
And as a follow up, obviously people want to ask
about prices. When you bring in someone like Kevin Durant
and you have a team that's near the top of
the league, at least in terms of expectations, and well,
it's not your expectations. You've finished with the second best
record in the West last year and the fourth best
in the NBA. So this is legitimately one of the
best teams in the league. It's not just projecting. And
so people want to know, you know, how expensive is
(15:50):
it going to be, and you know the single game model. Obviously,
big draws are going to cost more, especially if you
know it's a game like Katie against Lebron, potentially Katie
against Steph Curry, those rivalries that define NBA history. But
I had heard that really there wasn't a huge bump
when it came to the season ticket packages because you
(16:11):
guys wanted to really prioritize building that base and getting people,
you know, back in the habit of coming to games
much more consistently. How important is it to focus on
Obviously you're going to have some people that want to
go to just a given game, but it feels like
you guys have really prioritized the packages and getting people,
you know, as many as possible into your pool of
(16:33):
regular attendees.
Speaker 4 (16:35):
Yeah, for sure.
Speaker 3 (16:35):
I mean it's really important to a t A Tilleman
and the Farkita family.
Speaker 4 (16:39):
I remember they this is.
Speaker 3 (16:40):
A ninth year right that they that they are, that
they are coming in, which is crazy, right, you blink
and time goes. But remember he's one of the longest
season ticket holders and is the biggest fan of this
franchise dating back, and so having a full building, having
a city, and having a fan base that is engaged
is absolutely the top, right, Like, make no mistake, like
(17:01):
we're still we're we are a business, but you know,
filling our building and having fans that are there, that
are excited, that are engaged, and that are proud of
what we are doing is key. So people can go
on right now and go to Rockets dot com. There
are still seats available for the home opener. It will
sell out for Friday. Like you know, I won't go
into kind of industry changes post COVID and ticket buying
(17:23):
habits of the consumer, we know all of those, right,
but it's seats are available. There's plenty of affordable options.
One thing that we've also added, Monday we will have
a Stranger Things Night.
Speaker 4 (17:33):
They will be a promotion on it.
Speaker 3 (17:34):
That Next Monday we have Dallas and there's an Amen
promotion that's going on two weeks later, there's gonna be
something almost every night that provides an option, you know,
a very affordable option for a fan to to come
to our game. So I feel very confident and very
proud of that ability.
Speaker 4 (17:53):
Last year you may have.
Speaker 3 (17:54):
Noticed we we dabbled in some kind of happy hour
promotional p with sodas and popcorn. Part of that is
early arrival, right like that's Houston is a huge city.
It's continuing to grow, it will continue to grow. It
shows no sign of shopping of stopping. That obviously adds
to some traffic challenges, and we had really good feedback.
(18:15):
We do surveys after every game with our fans, and
that was something that people were clamoring for. So the
kids meal is now a permanent item. So for five
ninety five, if you're bringing a family, you can get
a full kids meal. I think it's nuggets and fries
and a drink. We have three ninety nine hot dogs,
sodas and popcorn in multiple stands in the clubs, in.
Speaker 4 (18:36):
The lower bowl and in the upper Bowl.
Speaker 3 (18:38):
So really making sure that no matter who's coming, when
they're coming, that's that's an affordable option is available.
Speaker 6 (18:46):
And one more Katie question. This is up quick one.
Speaker 2 (18:49):
But obviously when you have a star of that stature,
you use them to help sell the product. That's how
all sports leagues, especially the NBA work. The last three
or four months, has it been like getting to know him?
What's he like behind the scenes?
Speaker 3 (19:05):
I liked basketball, so yeah, I mean it's the I
don't know if you guys have seen I've only seen
the first two episodes just because life is kind of crazy.
Speaker 4 (19:14):
Right now of starting five.
Speaker 3 (19:15):
But you know, he was described as like a watching
him play like to a symphony, right, and so there's
this artist and science like he's you know, it's it's
great to watch his game, but like he's he's a worker.
He's really smart, and he's super excited to be in Houston.
Speaker 5 (19:38):
I always joke around that my wife and kids are
kind of, you know, casual fans that and then the
joke to me has always been my wife will ask
if Yao Ming's still on the team. She kind of
casually follows the Rockets. But when they go to a game,
you know, and they have such a good time and
it's such an event, you don't have to be, you know,
a diehard fan of the team. Or follow it religiously
(19:59):
to have such a great time at a game. At
least that's been the experience that they tell me. What
is You've touched on this a little bit as far
as promotions, but you know, the experience has grown so
much of just being at a basketball game, NBA game,
specifically the Rockets. But what is different this year if anything,
you know, in consuming a game at Toyota Center.
Speaker 3 (20:19):
Yeah, I mean we are expecting good crowds, so that
that will be that we're excited about. But look last year,
I mean, this is the twenty third season in Toyota Center, right,
and there it's this balance of when people come to
a game, they know what to expect, there's a nostalgia,
something that's comfortable they know how to get with also
(20:39):
layering in new experiences and things that are things that
are different. So over the past two years, you know,
last year the scoreboard went up, but it started.
Speaker 4 (20:47):
Two and a half years earlier.
Speaker 3 (20:49):
That was a huge technology upgrade from control room to
wiring to fib or all inside of the bowl. That
added that new digital technology because that's so much more
part of the game.
Speaker 4 (21:01):
And then the new scoreboard was up last year.
Speaker 3 (21:04):
And so it really all year was kind of toying
around with different effects on the scoreboard and how to
engage the crowd, and they got there. You know, they
got their sea legs last year. So some cool scoreboard
integrations are coming. The post game when with the rocket
boosters has been a really fun, cool visual that's coming.
One thing that we hear a lot from fans is,
(21:27):
you know, we have a T shirt gun. It can
get seats to the Upper Bowl, we get it, right,
but it's like you only have so much time in
a time out. So we've added a hype squad for
upstairs for each of the aisles, in each of the sections,
so that when we're doing those promotions and crowd engagement
on the court, that you know that our fans in
the upper bowl have more connectivity to that. We've shifted
(21:51):
around some of the hot timeouts right to bring some
of that energy to the court. I think that you've
seen over the last few years, right, just our attendance
fans that were coming to games were really like into
the game. Our crowds have been phenomenal and keeping that
energy and that home court is there, so you'll see
(22:12):
a lot of interaction this year with the appropriate amount
of interaction with our game presentation with fans to help people,
you know, stay in the game from start to finish,
with all of that excitement to help create that Toyota
Center home court advantage. And then you know, I mentioned
it's the twenty third season, so it won't be it's
(22:33):
not as sexy all the time as a new scoreboard
and digital board. But starting I think it's like fourteen
days from now, the first seat will come out. And
so those seats are original to Toyota Center. They were
very well made. It was a great investment, but they
definitely have seen their time, and so we will start
(22:54):
on the upper concourse between games and concerts, and we'll
be replacing seats bsection throughout the course of the season
and into the off season, including if you go to concerts,
you notice that the setup is different. Some of the
seats are pushed back in and out. Those are on
retractable systems that are original to the building and those
(23:16):
are getting updated as well. So the whole seating will
have a different look and feel with a more modern,
sleek look.
Speaker 4 (23:23):
So we're excited about.
Speaker 2 (23:24):
It as a follow up to the fan engagement theme.
So We've talked a lot about, you know, getting fans
in the door, and you talked about some of the
initiatives to keep the upper level more engaged. One of
the big questions that comes up amongst diehards is how
you get the close fans to be engaged, because those
are the ones that show up on TV. And I
(23:46):
get so many questions throughout a year, and it's so tiring.
Why aren't fans at the game. I'm like, these tickets
are sold. I promise you it's that. Well, you mentioned
Houston traffic. That's obviously, especially early in games, often a factor,
particularly on weeknights. But also you've got these lounges. You've
got Lexus, P and C, and so especially if it's
(24:10):
like the last few years and the team isn't winning
at a high level, you might have someone that spends
a little bit more time in the lounge, especially if
they're bringing in clients and it's a you know, business
type event. I think organically some of this will resolve
itself as the games get bigger, the matchups get bigger.
We saw in the playoffs there weren't nearly as many
empty seats on TV because obviously everyone's way more engaged.
Speaker 6 (24:32):
It's playoff basketball. Yeah.
Speaker 2 (24:34):
At the same time, I understand why fans ask the question,
so what do you guys do to make sure that
your higher dollar ticket buyers, the folks in the club
sections that show up in the background of TV shots,
that those people are engaged and hopefully in their seats,
you know, as early and as often as possible.
Speaker 3 (24:52):
Yeah, I mean, look, it's sports. It's the age old, right,
it's the age old question. This is a huge city
with a lot to do, coming from a variety of places,
that's always going to be a challenge, right, It's human nature,
it's human behavior. I think that our fans are fantastic
and wonderful.
Speaker 4 (25:10):
Some of it is I sound like a broken record.
Speaker 3 (25:12):
Some of its angles, right, Like four seats that are
dead on a camera might be the only four seats.
But if that's what the shot is, that's what it
looks like, and in an end zone or in an
upper bowl you might not notice that on TV. But
our fans have been fantastic. They're definitely engaged. Yes, there's
times they're getting a drink. Yes, there's times that they're eating. Yes,
(25:33):
there's times that they may be conducting business or see
a friend to and from the seats like that's life.
And that means that they're having a good time and
they're enjoying it and that's okay, and they'll be there
there when when it counts.
Speaker 4 (25:46):
They're engaged in the game.
Speaker 3 (25:47):
And I think that I think that this is a
this is a great market with great sports fans, and
we feel we feel pretty good about it.
Speaker 4 (25:55):
But I understand why they ask the questions.
Speaker 5 (25:58):
The experience at toy Tost Center, to me, has grown
tremendously and it's like an event now, it's like going
to a concert. Like I said, you don't have to be,
you know, a diehard fan to necessarily enjoy.
Speaker 6 (26:09):
What is what is going on there for you? Yeah? Well,
two part question.
Speaker 2 (26:14):
So you mentioned some of the new things for this season,
such as the seating upgrades. Obviously that's not the only
thing that you guys have going on at present or
in the last couple of years. Because this is now
the third decade that Tudor Center has been in use.
So there's been a number of not.
Speaker 4 (26:31):
Making me feel old, third decade.
Speaker 6 (26:33):
I know, but it's actually true. You're twenty three.
Speaker 2 (26:36):
Yeah, so there's been a lot of projects that have
been funded by the Partita family the last few years.
So just you know, catch us up overall on what
those are. How toutor Center is going to look different
in say twenty thirty than it did in twenty twenty.
Besides the obvious that we hope in twenty thirty they're
actually you know, sold out crowds.
Speaker 6 (26:57):
In contrast to twenty twenty.
Speaker 2 (26:58):
But just catch us up on the old all you know,
improvement program and also you know, speak to why it's
so important beyond simply the Rockets games, because you know,
Dave just mentioned concerts. Obviously, you want this building to
bring in business outside of just the forty one or
I guess forty three plus playoffs home games that you
have for the Rockets. You want to bring in concerts.
(27:20):
People always ask about the WNBA, the NHL and the
opportunities that might be there on that front. March Madness
is coming back this year. You didn't get it in
twenty twenty, You do get it this year. What all
have you done from a you know, renovations perspective, and
why is it so important in regards to you know,
bringing in business outside of the Rockets.
Speaker 3 (27:40):
Yeah, I mean when you first of all, like we
live in one of the largest, most populous, continuing to
grow cities with a diverse population. So making sure that
this that this building is programmed year round for concerts,
other events. Obviously as many basketball games as possible that
we can play in there as always is always is
(28:01):
always fantastic.
Speaker 4 (28:02):
But some I mean so much of the work, like our.
Speaker 3 (28:05):
Facilities team, our maintenance team, our arena crew is so good.
Like it's when you look at the bones of Toyota
Center and how well I think that we have maintained
and managed.
Speaker 4 (28:16):
That is a great sign.
Speaker 3 (28:18):
Right the mayor talks about, you know, the health of
a region really being the health of your downtown. And
so with the development, when when the baseball park opened,
when we opened, when Georgia Brown was there, the Hilton
Americas was built, Discovery Green was built, Marriott Murkey was there,
None of that was there right when we moved to
(28:38):
the east.
Speaker 4 (28:39):
Side of downtown originally Houston First.
Speaker 3 (28:41):
And the Convention Center is working on an expansion that
will continue to transform the backside of that, and then
the highway project is coming. So when you think about
just this our city and how great of a position
the city in general is for growth. You've seen you know,
business Eli Lilly just made an announcement like you see
all of these things that are coming to this city
(29:03):
in this region. Making sure that the landmarks right that
are that are core to entertainment, which is such a
part of our of our community and our society, continue
to stay first class and top notch is important. A
lot of that work no one will ever see. You
do not want me to talk about the piping projects
(29:24):
and the electrical projects and the work that goes into
the bones of the building that our team is literally
working on three hundred and sixty five days a year
to make sure that this building stays stays top notch.
But when we think about from when the you know,
from when the Fertidas came in, you know, we there
was a Lexus Lounge update. We updated P and C,
We changed some of the concessions to make them speed
(29:47):
of service and different varieties coming in. We refreshed the
Sire Spirits Club, We updated the media dining lounge in
workspace to make yes there you go, to make sure
that well, you know, everyone was in a great place.
We put on a new roof in the building, right
because none of these things matter if a twenty three
(30:08):
year old roof is leaking on a court, which it
was not, but we needed to be proactive for that.
We are now looking at the seat, so you will
continue to see things come kind of year in and
year out to make sure that that is the case.
But at the same time, this arena serves this city
and this region, and so we need to do it
when we are still when we are operating and we
(30:30):
were having concerts, and so scheduling when work can be
done to improve the building while still delivering quality content
to the region is key.
Speaker 4 (30:40):
March.
Speaker 3 (30:41):
You know you mentioned the regionals. We had planned to
host it in March in twenty twenty. Obviously with COVID
that that event did not happen in our facility, so
we were able to get it in twenty twenty six.
Speaker 4 (30:53):
So we're very excited to be hosting that.
Speaker 3 (30:56):
We'll see it'll be a while before we know which
teams are there, but hopefully hopefully some competition and luck
of a.
Speaker 4 (31:04):
Drag goes our way for this region. We've got other
events that we haven't held in a long time.
Speaker 3 (31:09):
The Globetrotters are coming back to Toyota Center, which is
really exciting. They'll be here in February. We worked with
the city on a huge event that's coming in ch Cheer.
It's forty thousand to cheer competition that will happen throughout
the convention center and the arena that will bring forty
thousand people to this city to experience Houston. And so
(31:30):
we have the Republican National Convention coming in twenty twenty eight,
which is you know, which is a city wide event,
but the actual event that will be on TV for
a week, we'll be inside of Toyota Center. You know,
the footprint is very attractive to the events that we
talked about, March Madness, All Star Games. So it's a
really exciting time for the city and the facility for sure.
Speaker 2 (31:51):
Yeah, and with regards to March Madness, I should point
out there was a subtle change recently. There's a host
institution and it was recently changed from the University of
Houston to Rice. And so what that enables, and this
is well beyond your pay grade, Gretchen, I'm aware of that.
It comes down to you know, the NCAA selection committee.
But if the committee decides that U of h is
(32:13):
going to be the you know, we hope they're the
top seed in the South Region. Then, because Rice is
now the host institution and not u of H, u
of H can play in the March Madness Games at
Toyota Center because of that change. Obviously, you don't have
control on that front. It's the selection committee. U of
H needs to go out and have a good season,
all of those caveats. But yeah, there is a path
(32:35):
now for u of H to actually play at Toyota
Center in the Sweet sixteen and the Elite eight, which
I'm guessing would be would be pretty good for business, right,
that'll be fine.
Speaker 5 (32:49):
I know you mentioned earlier that you noticed things, took
notes from a business side from the game last night.
I know, Brent, Ben and I when we watched games,
we just take notes, basketballs of things that we can
discuss after the game. One of those things that you
notice from a business perspective, maybe if a game in
Okac or a game in New York or anywhere else
that maybe, you know, our eyes would not see the
things that you look for from a business standpoint.
Speaker 3 (33:11):
Yeah, I you know, when I'm when I'm watching a
game in another arena, obviously, I'm watching the game, I'm
a fan.
Speaker 4 (33:18):
I'm doing that.
Speaker 3 (33:18):
Sometimes someone will notice something and I was like, oh,
I didn't notice that. I saw that they ran this
three sixty led sponsor signage in a way that I
hadn't seen before, and my my eye.
Speaker 4 (33:28):
Goes there at times.
Speaker 3 (33:29):
But you know, I watched how they gave their rings
to their team. I watched how they raised the banner.
I watched how you know, NBC will be on National
TV twenty eight times this year, right with multiple new
broadcast partners. So I watched where their setup was, how
large was their table, where did they have their sideline reporters.
Speaker 4 (33:50):
You know, things that from an operation standpoint will be
relatively consistent.
Speaker 3 (33:56):
Right, a broadcast is you know, I would say a
broadcast is a podcast. NBC did a phenomenal job really
making Opening Night feel like Opening Night.
Speaker 4 (34:06):
It was just it was just fantastic.
Speaker 3 (34:09):
But you know, there's there's subtle differences that you know
on a setup crew on where the wires are pulled
and where the tables go, and where I need to
clear out or I might have an usher is now,
where a sideline reporter is, right, Like those are those
are the types of things that I'm looking at and
thinking that about a lot of times during during a game.
And then how they engage you know, what they do
(34:30):
to engage their crowd, right, how is their get loud noise?
How are they using their their sponsor signage? You know,
is there a way that they show, you know, their
replays in game that has their fans reacting away or not?
You know, all all the things that are business related
decisions in a game. I watch when I am at
(34:51):
like away games or watching on TV.
Speaker 4 (34:53):
Some sometimes the stuff that I look for it's hard
to see on TV. It's it's easier to see in person.
Speaker 2 (34:57):
Yeah, all right, shifting gears. And this will be the
last question for me. You had a busy off season
personally because you brought in a couple of new executives
on the business side. So tell us about the folks
you brought in and why is it important for you
to sort of, you know, continually look outside the organization
(35:17):
for you know, hires that can elevate, elevate the experience,
Like what are what are these new hires potentially going
to do for the business side of the team that
maybe you couldn't do before.
Speaker 3 (35:28):
Yeah, one, I mean I think. I mean, I've known
you guys for a long time. Like it's the I've
had every opportunity to grow internally in this in this organization.
We have a business staff that has been here that
has a ton of tenure that speaks to the culture
that we have built and the opportunities that we have
created for people to grow their careers working for phenomenal
(35:49):
owners in a great city. So you know Klay Allen
and Larry Kaiser who is our CFO who's been there
for twenty seven years, Doug Hall who is our general
manager of the arena, Tracy Hughes who has been there
since I think she was born, like me Z French
who runs our ticketing, Don Hugh Don, Don Keene, and
Sarah Gibson, and like we have so many people that
(36:11):
have been a part of this organization for for so long.
Speaker 4 (36:15):
You talked about in twenty twenty one and kind.
Speaker 3 (36:17):
Of where we were and where we where we were,
where we knew we were going to go on the
court and also on the business side, and we talked
about the renovations.
Speaker 4 (36:25):
We talked about.
Speaker 3 (36:27):
Events that we are looking at differently that we want
to trap to Toyota Center, we talked about potential other
opportunities to program the building, you know, in different ways.
We talked about the business growth that happens, and so
having some external folks that have done this for a
long time in the business that I have respected as
(36:48):
friends and colleagues that had the opportunity to do something
different and to help us. You know, when you look
at something at the same time for twenty plus years,
you know it, you don't always see things right, it's
this is how we've always done it.
Speaker 4 (37:03):
This is the case.
Speaker 3 (37:03):
And so having a fresh set of eyes to make
sure that we're always trying to improve and push And
then for me, a lot of that is remember I've
been here for a long time, and so some of
the decisions and some of the things that we do
might have been something that I put in place. Maybe
like we should evolved and not do that anymore, right,
But that's hard for someone to do when it was
(37:23):
you know, it was something that not that anything is
ever my decision, right.
Speaker 4 (37:28):
So, you know, Ryan and I have worked together since
two thousand and two. He was literally one of.
Speaker 3 (37:32):
The first people that I met in the business that
was not in the city of Houston. So he had
come down to we had started this new department at
the Rockets, and the Timberwolves heard about it and they
thought it was a good idea. And this is before
like league meetings and conferences and virtual calls, so they
flew into Houston to see what we were doing. And
that's when I met him, and he went back to
(37:53):
Minnesota and replicated it and did a good job. And
it has been someone that I bounced ideas off for
a while, and we have been working to kind of
restructure some of our other areas to add some support.
It just all kind of happened to occur kind of
at the same time. So maybe it feels sudden, but
it's things that we've been working on for multiple years
(38:13):
and right time, right place came into play. But it's
really just to add just like when you're building a team,
right you want to add kind of free agents when
the right time comes to make.
Speaker 4 (38:23):
Your team, you know, glue together and push further. And
same thing on the business side.
Speaker 6 (38:28):
Yeah, and how do you pronounce Ryan's last name?
Speaker 4 (38:31):
Thanky?
Speaker 6 (38:31):
Thanky? Okay, I wasn't sure. And then he's unless.
Speaker 3 (38:34):
You're unless you're my unless you're my phone and Siri
or whoever connects it calls it, says Ryan Tonk.
Speaker 6 (38:42):
So yeah.
Speaker 2 (38:43):
And then Laura Meyer is the other one you brought
in from the Chimberwolves, right.
Speaker 4 (38:48):
Yes, yeah, yeah, yeah. Laura's great, same thing we've worked there.
Speaker 3 (38:51):
She's one of the smartest people in the business on
the business intelligence side. That's really kind of technology consumer
segmentation that you know, all the things that we talked
about about what do you do when business growth and
how do you maximize your tickets and still provide fan
friendly pricing and and and she's just an expert.
Speaker 4 (39:07):
In that area and is really has really helped us.
Speaker 6 (39:10):
Well, that's everything in my list this season.
Speaker 2 (39:12):
Yeah, Dave, anything else you wanted to get to.
Speaker 5 (39:15):
No, I just was to say, it's going to be
an amazing season. I think you guys are going to
have tremendous success this year. If last night is any indicator,
Like I was telling Ben last night in our post
game that like, I felt like I played some of
the game because I was so it was so up
and down, so emotional for drama filled.
Speaker 4 (39:29):
It was so funny.
Speaker 3 (39:31):
It's so funny when you said that, because when one
other thing, I was like, I'm not going to say
that when you were like, what were your impressions of
last night, I was like, I'm going to be tired
this season right like that that was.
Speaker 4 (39:40):
My I didn't play, but I'm going to be tired
right because it is. It is super exciting. And I
know with with with your with.
Speaker 3 (39:48):
Your following, and just how wonderful you guys have been
through the years and how great it's been to work
with you, not only professionally but but to know you
guys personally. Is all congratulations on all the success. I'd
be remiss if I did not give a shout out
to kind of our production and our content crew, particularly
for the folks that are watching or listening and we'll
(40:09):
be reading this. I mean, I think you guys know
we have Emmy winning award winning game presentation for our
video board and all of our content, but Basketball has
been so fantastic of you know access and some behind
the scenes. So if you haven't gone to our YouTube
channel to watch our first episode of in Flight, we
will be doing about an eight to ten episode throughout
(40:30):
the season that kind of gives the behind the scenes
looks on you know, what this team is building. And
so the first episode was released the other day. It's
kind of behind the scenes media day kdi's kind of
first first look at the arena, so be sure to
check that out.
Speaker 5 (40:46):
Absolutely, Houston Rockets, I believe on YouTube. Yeah, that's going
to be awesome. Can you tell people again before we close,
just where to go to get tickets, because I think I.
Speaker 4 (40:54):
Can always always go to Rockets dot com. Just go directly,
just go directly to us.
Speaker 3 (41:01):
If there are primary in the industry, we would call
it a primary seat, which means it is being directly
sold from US. It will be available. It is our pricing,
not the secondary marketing pricing. And there's also integration on
the secondary market. So if it's sold out, you still
go to rockets dot com. You will see the other
listings as well. Yeah, or the app Rockets dot Com
or the app Unconnected beautiful.
Speaker 2 (41:22):
Yeah, and those videos. The production quality is just so good.
I'm consistently in all of the technology that you guys have,
and you know, even just the behind the scenes stuff
from practices at the new practice facility, which is another
thing that the Partida family has invested in recent years. Yeah,
the technology that they use is really good. I'm consistently impressed.
(41:44):
So yeah, those behind the scenes will be really good.
Speaker 4 (41:48):
Yeah. They are a talented, talented group, folks.
Speaker 2 (41:51):
That's scretching your president of business operations with the Houston Rockets.
I'm been to Bo's on behalf of me and Dave Hartesty,
editor of Clutch Fans. Gretchen, thank you so much for
the time.
Speaker 4 (42:00):
Thank you. I'm so good to see you. Do you
two men,