Concessions are not a sunk cost. If you don’t sell a bag of chips at the game this week, you can sell it at the next game, or give it back to the vendor, depending on the arrangements. So $20 not being spent is probably more like a loss of $10 profit…maybe more because for the ungodly mark up…so maybe those numbers aren’t as off as I thought.
What is the goal, to find out how much more we could have made this year or just in general if we only sell half the stadium? I believe somebody had estimated 20k vs 40k as basically a million a game before. Your concessions are too high as I am assuming UH only gets like 50% or just a rental fee with some of them which means no loss in revenue. You could throw in merchandise, but probably not that high anyway. Lowest attendance we had this year was 29,810. In total we have had about 34,000 seats unsold. Assuming decent sales for Navy, then we only left 40-42k unsold in total.
I have seen no mention of the “donation” necessary in order to purchase season tickets. Seems to me that would reduce some of the “loss” numbers we are seeing in these comments . . . . .
The loss is based on empty (unsold) seats only. If we wanted to add the additional costs that come with adding season ticket holders, the opportunity cost would be much higher.
Duce630
(DustinK - I Stand With Israel - Bring Them Home)
11
I’d say opportunity loss, not necessarily a realized loss. I believe they reworked the concessions deal so that the school gets a % with a guaranteed dollar minimum, if it goes over the minimum they get more. That is how the deal SHOULD work, I know it wasn’t necessarily like that at first when the stadium opened.
You seen the lines at the concession stands? I would say $20 is an underestimate, but I’m not about to argue that point since none of us has any real data.