Any thoughts on how the reduced concession pricing plan is working?

[cutchemist42]

So just saw that the Argos are the latest to go to reduced pricing joining the trend started by Blank with Falcons/United FC. The theory being that fan perception is better when they feel they didnt get fleeced on food but dont mind paying more for stadium access.

Not sure if any NHL teams followed the trend but I've seen the argument that premium sports teams shouldn't reduce pricing and ruin their premium perception.

It's been a few seasons now so anyone think the strategy works? Have the Falcons said it's working or not?

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[TheWhiskeyThief]

Beers across the league in US markets are at $13, which is nowhere near what you would pay at a bar.

I know the Blues open the doors 2-3 hours before puck drop and offer competitive pricing on the concourse. Don’t know who else does that.

The concession contracts have to make that problematic.

 

[Hooby Dooby Doo]

So just saw that the Argos are the latest to go to reduced pricing joining the trend started by Blank with Falcons/United FC. The theory being that fan perception is better when they feel they didnt get fleeced on food but dont mind paying more for stadium access.

Not sure if any NHL teams followed the trend but I've seen the argument that premium sports teams shouldn't reduce pricing and ruin their premium perception.

It's been a few seasons now so anyone think the strategy works? Have the Falcons said it's working or not?

I heard they make great money doing it. People see $10 beer and maybe get one or stay away all together. Now cut that in half. Now you're going to get many more people purchasing because it's cheaper. Look it up, articles are stating that they're still making money and fans are happy. Last Panthers game I went to was 20 bucks for a bottled lemonade and a personal pizza for my son.

 

[Canadiens1958]

I heard they make great money doing it. People see $10 beer and maybe get one or stay away all together. Now cut that in half. Now you're going to get many more people purchasing because it's cheaper. Look it up, articles are stating that they're still making money and fans are happy. Last Panthers game I went to was 20 bucks for a bottled lemonade and a personal pizza for my son.

Do you need more people purchasing and drinking beer at stadiums and arenas?

 

[Hooby Dooby Doo]

Do you need more people purchasing and drinking beer at stadiums and arenas?

I understand since more beer equals fights and potential DUI. Im only stating that people will purchase and consume more if it's less expensive

 

[cutchemist42]

Do you need more people purchasing and drinking beer at stadiums and arenas?

The math is basically they charge more for the ticket while charging less for the food. It irritates people paying less to get in but feel they are getting fleeced on bad food and beer. The psychology works because will more easily pay for higher entry and than feel they paid fair price for the food quality.

So does anyone know of any NHL teams that followed the Arthur Blank model?

 

[Burke the Legend]

So just saw that the Argos are the latest to go to reduced pricing joining the trend started by Blank with Falcons/United FC. The theory being that fan perception is better when they feel they didnt get fleeced on food but dont mind paying more for stadium access.

Not sure if any NHL teams followed the trend but I've seen the argument that premium sports teams shouldn't reduce pricing and ruin their premium perception.

It's been a few seasons now so anyone think the strategy works? Have the Falcons said it's working or not?

Could really go a long way to bringing fans back to the Argos. Combine this with the new Ontario tailgaiting law and an Argos game could be a real party.

 

[tarheelhockey]

Beers across the league in US markets are at $13, which is nowhere near what you would pay at a bar.

I sure hope you mean $13 is a lot more than you’d pay at a bar.

 

[tony d]

I went to the Oilers game in December when I was visiting. A beer cost $12, you can get a dozen for twice the price of that at a store, way to much money for concessions across the board. Another reason why attendance is going down.

 

[BKIslandersFan]

The math is basically they charge more for the ticket while charging less for the food. It irritates people paying less to get in but feel they are getting fleeced on bad food and beer. The psychology works because will more easily pay for higher entry and than feel they paid fair price for the food quality.

So does anyone know of any NHL teams that followed the Arthur Blank model?

Not sure if Falcons fans pay more for tickets than other NFL teams.

 

[tarheelhockey]

Not sure if Falcons fans pay more for tickets than other NFL teams.

If organizations are smart, they'll continue moving toward a model where tickets and concessions don't discourage people from showing up. Those are the big-dollar revenue streams in the orthodox business model, but they're also Reason #1 and Reason #2 that people choose not to come at all. Drop the ticket prices and make the concessions high-side-of-reasonable, get people in the door. Then provide a variety of "premium experiences" that recoup the cash while giving people a feeling of having had a special time.

Want to stand in the tunnel and high-five players on the way to the ice? Only $30! Want to upgrade your seats? Do it after the 2nd period for a bargain price! There's a team-themed kids' play zone on the concourse, only $10 entry! The healthy scratches will be coming down to meet & greet fans at intermission, add $20 to your purchase to get a wristband. Next thing you know, people are dropping hundreds of dollars on premiums because they want to and not feeling scammed.

 

[patnyrnyg]

If organizations are smart, they'll continue moving toward a model where tickets and concessions don't discourage people from showing up. Those are the big-dollar revenue streams in the orthodox business model, but they're also Reason #1 and Reason #2 that people choose not to come at all. Drop the ticket prices and make the concessions high-side-of-reasonable, get people in the door. Then provide a variety of "premium experiences" that recoup the cash while giving people a feeling of having had a special time.

Want to stand in the tunnel and high-five players on the way to the ice? Only $30! Want to upgrade your seats? Do it after the 2nd period for a bargain price! There's a team-themed kids' play zone on the concourse, only $10 entry! The healthy scratches will be coming down to meet & greet fans at intermission, add $20 to your purchase to get a wristband. Next thing you know, people are dropping hundreds of dollars on premiums because they want to and not feeling scammed.

Then people will complain that they are being nickle and dimed for every little thing once they are inside.

 

[patnyrnyg]

I heard they make great money doing it. People see $10 beer and maybe get one or stay away all together. Now cut that in half. Now you're going to get many more people purchasing because it's cheaper. Look it up, articles are stating that they're still making money and fans are happy. Last Panthers game I went to was 20 bucks for a bottled lemonade and a personal pizza for my son.

Considering they are likely paying ~$30/keg, they are making tons of money at even $5 per. The issue is the problems that arise with the increased drinking. Is it worth selling more beer for the extra money they will make? Note: they might be getting a lot of the beer for free in exchange for signage space.

 

[tarheelhockey]

Then people will complain that they are being nickle and dimed for every little thing once they are inside.

It’s the psychology of it. Complaints aside, people are much more likely to buy a cheaper ticket and then spend on “premium upgrades” than they are to buy a very expensive ticket that comes with the upgrades already included.

A sense of control and customization is important to most high-dollar consumers (which is what the NHL ticket buying demographic is these days), not to mention how much easier it is to make a rational purchasing decision at home than when you’re feeling impulsive at the event.

 

[GuelphStormer]

people drink beer at football games?

 

[TheWhiskeyThief]

Considering they are likely paying ~$30/keg, they are making tons of money at even $5 per. The issue is the problems that arise with the increased drinking. Is it worth selling more beer for the extra money they will make? Note: they might be getting a lot of the beer for free in exchange for signage space.

Nobody has paid $30 for a 1/2 barrel of swag beer in 15 years. $50 maybe for PBR. 15g gets you 100 large stadium beers.

They’re still making fat money on every keg up to $150/keg.

As for getting beer cheap for exposure, that’s not how American brewing works. You get discounts for volume up front, you get marketing support, but they’re never going to give you beer.

 

[tarheelhockey]

people drink beer at football games?

There are people who don’t?

 

[Randy Marsh]

They need to keep beer expensive to discourage people from drinking too much. Keeping food and soda cheap should be the bigger priority.

No one is getting hammered off $13 bud lights. It's happening in the parking lot.

 

[cowboy82nd]

There are people who don’t?

I am one of those who don't drink.

 

[Boxer Courage]

They need to keep beer expensive to discourage people from drinking too much. Keeping food and soda cheap should be the bigger priority.

No one is getting hammered off $13 bud lights. It's happening in the parking lot.

Agreed, cheap beer equals more drunks and more problems in an environment that is supposed to be family entertainment. Not everyone is a responsible drinker or not an idiot when they’ve had a few. Not to mention more drunk drivers hitting the road once the game is over. I don’t buy food and drinks at the game, I do it beforehand, and if they raise ticket prices to accommodate lower concessions, I’m much less likely to buy tickets and go altogether.

 

[Rhodes 81]

I've been to one Falcons game and a number of ATLUTD games. The pricing is great, it's so refreshing to not spend the price of steakhouse dinner for stadium food. MBS also has a large number of local restaurants with stalls and the prices are kept reasonable there as well. I always used to just eat before I go to these things but now it's more convenient and just as cheap to buy food there. Not to mention the craft beers on draft for cheaper than the local sports bar.

It's great for improving the experience at the game. That said, it doesn't factor at all into how often I can afford to go to games.