Pro Sports concessions prices

Anyone see this article on ESPN:

http://www.espn.com/nfl/story/_/id/24461717/atlanta-falcons-sell-5-craft-pale-ale-home-games-season

This might be my favorite news story I’ve seen in awhile! The Falcons are charging ridiculously low prices on their concessions(compared to other teams), but as a result have seen increased revenue(more people buy these items that already have large margins at their reduced prices).

How great would it be to go to a Twins/Vikings game and not have to spend $100+ on concessions? Or, spend $100 and get a full meal, snacks, beers, cokes, candy for your family.

Water: $2
Hot dog: $2
pretzels: $2
Unlimited Coca-cola:$2 (don’t know if this has anything to do with Coca-Cola being HQ’d down there).
Craft pale ale 12 oz: $5
Craft pale ale 20 oz: $7

I think a 20 oz beer at the Bank is ~$16 isn’t it?

Would love to see this gain some traction at more venues, would be foolish for it not to if the Falcons can prove additional revenue/profit as a result.

I rarely buy anything at Wild games. Partially because of prices, but mainly because of horrifically slow and inept service and what I call the “Crocodile Dundee approach” to concessions at the Xcel Center–you can eat it, but it tastes like sh!t.

I’ve heard of the Falcons approach before and wish it would catch on.

Grouse

Would be awesome!! Went to a concert at Target center this spring and paid $13 for a cup of tap light beer. Nice thing was lines were nonexistent because of this. We did pregame for free beforehand so that helped.

At Target field last Friday night, two 16 oz craft beers in a can a little over $20.00. Andrew Zimmer pulled pork sandwich $14.50. That was enough. At least the Twins won.

Ma and I went to the Vikes game last Saturday. We got a hotdog w/fries, a cheeseburger w/fries, a water and an iced tea…..$37.50. Granted, the tickets were nose-bleed 20 buck numbers but that concession crap is nuts. The food we had sucked and was basically cold.

Oh well….been there now and done that. Like tonight we’ll be watching at home and eating what we want when we want and if we want something to drink its still in the daily budget. Not in a hurry to go back but the atmosphere during the game was something to experience. But again….been there, done it.

I think that would be awesome if more teams would charge more reasonable prices for consessions. Thats why i love tailgating. Good food a few brews, brats, charcoal, and lighter fluid all for under $20.

That is really smart. I don’t see it happening in a lot of stadiums now because these prices would compete against all the other fancy options they have at the stadiums now. All the local restaurants have booths selling the local flavor. And these places can’t drop their prices much.

If it was back in the day when the only food was the hotdogs, nachos, and burgers, then yes, I think it would be very smart and be a hit. I know I’d buy a lot more stuff than I do now. Remember how well the concessions guys walking the stands would do at Twins games? Today, I barely see anyone buying from those guys. People are tapped out on funds. Plus, with so many more options to eat/drink before and after the game now around Target Field and US Bank, people just save their money for that.

Went to the viking game. Spent 48 dollars for my son and I to both get a burger, tots, and a drink.

The orioles instituted a similar drop in their concession (and ticket) prices this past spring when only a few hundred people showed up for their home games.

I would love if any of the MN pro teams reduced concession prices – they all make plenty of money via ticket prices and TV deals – but I’m not gonna hold my breath. One typically doesn’t get to be a billonaire team owner by being benevolent to the serfs.

I think Lou Reed wrote a song about this:

“Pro sports concessions never did give it away. Everybody had to pay and pay.”

TheFamousGrouse wrote:

I rarely buy anything at Wild games. Partially because of prices, but mainly because of horrifically slow and inept service and what I call the “Crocodile Dundee approach” to concessions at the Xcel Center–you can eat it, but it tastes like sh!t.

I’ve heard of the Falcons approach before and wish it would catch on.

Grouse

Yes… I don’t think they attract “top talent”.

tegg wrote:

I think Lou Reed wrote a song about this:

“Pro sports concessions never did give it away. Everybody had to pay and pay.”

<div class=”d4p-bbt-quote-title”>TheFamousGrouse wrote:</div>
I rarely buy anything at Wild games. Partially because of prices, but mainly because of horrifically slow and inept service and what I call the “Crocodile Dundee approach” to concessions at the Xcel Center–you can eat it, but it tastes like sh!t.

I’ve heard of the Falcons approach before and wish it would catch on.

Grouse

Yes… I don’t think they attract “top talent”.

Are you saying somewhere in the kitchen bowels of the X there isn’t a Superstar? Or a #1 center frycook?

I blame Riseboro.

Grouse

the Falcons’ move also reflects a business attempt to energize the local fanbase due to low spending. even with the standard high concession prices, the Vikings are doing a heck of a lot better on a per-person basis than the Falcons.

per the Forbes team valuations:

Vikings 2017
– gate receipts: $64M
– revenue/metro population: $42.00/person

Falcons 2017:
– gate receipts: $57M
– revenue/metro population: $21.00/person

and then of course there’s the Packers

Forbes should probably use a better metric than a team’s “metro” area, as total population in the home TV viewing area would provide a more realistic comparison.

Packers 2017:
– gate receipts: $68M
– revenue/metro population: $590.00/person

I think that’s kind of a weird comparison to make if we are just talking about concession prices though. You’d really want:

total concessions revenue / total attendance.

Atlanta is a 5.8MM person metro area compared to MSP at 3.6MM. So unless the Falcons stadium holds 1.6x as many people as the bank, it just doesn’t seem like a relevant statistic for concession price comparison.

I think the idea is that lower prices = more volume. If that increased volume makes up for the difference in margin, then it should be a no brainer. Atlanta isn’t doing it ‘to be nice to football fans’, they are doing it because they’ve proved it brings in more money for them, even though it’s a bit counter-intuitive.

It’s great to see this approach. In reality, it may not maximize profit at all venues. I’m sure most venues have hired economists who know exactly what amount to charge down to the penny to maximize profit. The Falcons didn’t just blindly lower prices without evidence to support the move would in-fact make them more money. Economics 101.

Attachments:

1. 

   500px-Supply-demand-right-shift-supply.svg_.png
   

Im watching the lions preseason broadcast. Their team president unveiled a consession pricing idea that is similar to atlantas. For the first hour of an event $3 beers $3 cocktails and $5 specialty cocktails whatever thats is. Also $12 hotdog and a beer.

Im watching the lions preseason broadcast. Their team president unveiled a concession pricing idea that is similar to atlantas. For the first hour of an event $3 beers $3 cocktails and $5 specialty cocktails whatever thats is. Also $12 hotdog and a beer.

I refuse to buy $8 beers and hot dogs at venues……so we usually hit a nice restaraunt before a game/event
! then have a few beers afterwards somewhere reasonable. If the prices were reasonable at the venue I would prefer to just eat and drink there.

buckybadger wrote:

It’s great to see this approach. In reality, it may not maximize profit at all venues. I’m sure most venues have hired economists who know exactly what amount to charge down to the penny to maximize profit. The Falcons didn’t just blindly lower prices without evidence to support the move would in-fact make them more money. Economics 101.

I don’t know why they don’t have a pricing specialist set the prices.

Also implement a halo pricing by creating jumbo sizes. You can then price the normal large at a higher price per ounce and make a killing because buyer psychology kicks in and says, I don’t need that jumbo or that price but I’ll take the next one down. Which turns out to be more expensive per oz.
Movie theaters do that all the time.

None of my business how people spend their money,but for a person who grew up loving sports I can’t bear to spend the money to go to a pro sports game. To me once the games over the money’s gone. Rather throw it at my mortgage principal.

The way most teams in this state play they should be giving the beer away for free just to make it bearable to watch.

Economics 101 Bucky should also have an exponent somewhere of the drunk moron factor when alcohol becomes cheaper at events.

Super cheap beer in Detroit and Atlanta? Yikes