What I think had a WAY more negative effect was the Cavs acting like Nazi Germany early on.
They were threatening season ticket holders left and right about being a ticket "broker" i.e. trying to sell tickets for an arbitrary price they deemed to be too high.
This caused a larger majority of people to list tickets way too close to face value. Why does that matter? Flash Seats is just a cesspool of people trying to pay WAY less than face value for seats. So when the Cavs threats caused the average ticket price on there to go down, it also really undercut bids. Instead of listing tickets at lets says twice face and accepting a bid at 100-120%, many games you face eating the seats or taking a loss because people are too paranoid to list their tickets at market prices.
I've been lucky to avoid that in almost every game but the majority of bids I get on the site are WAYYYY below the face value of my seats. When I had tickets in 2009-2010, there honestly was 1/10th the number of low bids there are now. For that reason, it's unlikely I'll renew my tickets.
The Cavs hardline stance has made it a lot less economical to buy tickets, even for someone who's going to use them. The playoff guarantee is nice but with the current system, you open yourself up to a lot more financial exposure than a traditional contending team. I'm sure it's great for all the people in the organization on the take but season tickets should be about rewarding fans willing to invest in the team, not squeezing every last penny out of them for the betterment of the casual fan (buying single game tickets).
/endrant