Today First 20minutes FFFL Week 10 Stats Due VBS Lesson 4 – 10:00 NOTES: VBS Lesson 5 - Concessions

VBS – Lesson 5 Concessions

Learning Targets I understand why concessions are big business for stadium owners. Be able to analyze and discuss food and drink pricing for sporting events and concerts.

Key Terms Concessions Concessionaire Concession Pricing Game-Day Experience Price Cost Inventory Ordering

Concessions Fact: Americans consumed over 20 million hot dogs and 5 million sausages at ballparks in Remember: “Fans love and for the most part gotta eat”.

Concessions – areas on stadium property, both inside and outside, where food and drink are available for purchase. Benefits: – Major source of revenue – Typically operated by a third party (contracted) – Adds to fans Game-Day Experience Winning is the main focus of the franchise…..providing their fans with the best Game-Day Experience is an ultimate goal.

Concessionaire – the owner operator of the concession stand. Major Responsibilities: -Set prices for food and drink items -Staff the concession stand -Ordering (process of purchasing raw materials from suppliers/wholesalers) -Conducting Inventory (on hand supplies of food and drink) Concession Pricing can be vary from stadium to stadium. all you can eat seats discounts for season ticket holders Value Meals ½-off options.

Prior to setting prices concession owners must consider the Cost. Cost is the amount an item cost the owner plus the amount paid to workers to prepare and serve the item). Subtracting the this total cost from the price charged, and you can find out the Profit Margin for an item. Price – Cost = Profit Margin Example: Hotdog$2.50 – $1.00 = $1.50

How do fans get their food? Concession Stands – fans go up to the physical location and place an order. Mobile Vendors – vendors walk up and down the stadium isles and rows bringing the concession options to the fans. Delivery – certain high tickets offer “seat side” service where servers take orders from fans and bring their food/drink to them. Pre-Order – some MLB teams have apps that allow fans to place and pay for orders and then have it delivered to their seat.

Fact: Strict regulations govern how food is prepared and served at stadium concessions…..failure to comply could result in fines. Worst Concession – Washington Wizards Best Concession – New England Patriots

Assignments VBS Lesson 4 – Parking – Reading Quiz – Math Quiz – Sim Exercise VBS Lesson 5 – Concessions – Reading Quiz – Math Quiz – Sim Exercise Due end of class – Wednesday, Nov. 13 th

VBS Assignment Lesson 4: Parking Solution Main Lot - $23.00 Satellite Lots - $17.00