Analysis Stadium deals - what, how, when - why we need a new one and the SA footy paradigm shift happening

[RussellEbertHandball]

The Adelaide Oval facebook page, in reply to a question as to when tickets will be on sale as no info can be found has replied "the on sale date for rounds 1, 2 and 3 is 17 March."

Then surely the deal has to be done (& announced) by then?

Why? The SANFL waited until Monday before the first game to give the 2 AFL clubs 36 hours or so to review 13 legal documents that covered not just the stadium deal, but also teams in the SANFL and licence sale to be formally signed on the Thursday arvo before the Saturday showdown. If the SANFL are haggling with the AFL about development monies, this will probably come right down to the wire before Rd 1 on the first weekend of April.

 

[SpasaPasa]

Why? The SANFL waited until Monday before the first game to give the 2 AFL clubs 36 hours or so to review 13 legal documents that covered not just the stadium deal, but also teams in the SANFL and licence sale to be formally signed on the Thursday arvo before the Saturday showdown. If the SANFL are haggling with the AFL about development monies, this will probably come right down to the wire before Rd 1 on the first weekend of April.

Hmm, I see.
I give up then.

 

[tribey]

Why? The SANFL waited until Monday before the first game to give the 2 AFL clubs 36 hours or so to review 13 legal documents that covered not just the stadium deal, but also teams in the SANFL and licence sale to be formally signed on the Thursday arvo before the Saturday showdown. If the SANFL are haggling with the AFL about development monies, this will probably come right down to the wire before Rd 1 on the first weekend of April.

Because South, North and West Adelaide deserves the political clout it has.

 

[PowerbaII]

Why? The SANFL waited until Monday before the first game to give the 2 AFL clubs 36 hours or so to review 13 legal documents that covered not just the stadium deal, but also teams in the SANFL and licence sale to be formally signed on the Thursday arvo before the Saturday showdown. If the SANFL are haggling with the AFL about development monies, this will probably come right down to the wire before Rd 1 on the first weekend of April.

Wow. I can't wait for the day the $ANFL is taken over by the AFL. Pissant league.

 

[blaargh]

Wow. I can't wait for the day the $ANFL is taken over by the AFL. Pissant league.

At least the crows have the first game this time around - it'll give us a little more wiggle room if the shit really does hit the fan.

 

[raptalia]

Some interesting reading in tomorrow's Monopoly Times. They will compare food prices at all AFL grounds. What they will not do is declare what, if any cut each club gets out of those prices.

 

[TheFVK]

Couldnt give a shit about prices provided my hard-earned is going to my club.

 

[bcswift]

Grow the pie.

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I live in Sydney so was only able to get to one game last year. I paid $5 for a bottle of Coke. So Adelaide Oval, in its wisdom, has decided to put that up to $5.30. That's a 6 per cent price increase when annual inflation is running at about 2 per cent. Now that's the sort of price increase which private health insurers are slammed for every year (except they arguably have better grounds for their increases, which are also approved by government largely in line with the rising cost of healthcare).

What grounds does Adelaide Oval have for increasing the cost of a bottle of Coke (and presumably other food) by 6 per cent? Is Coca-Cola profiteering? I haven't seen the price escalate anywhere else. Has a cost in their supply chain drastically changed? Hard to believe given that's a commodity service where competition is at play.

So, with the economy in a precarious position and a recession a real possibility, they have "structured our prices as best we can to fit our commercial model". Price gouging at it's best. Compare that to Port Adelaide's ongoing efforts to keep membership prices down.

 

[The_Wookie]

Some interesting reading in tomorrow's Monopoly Times. They will compare food prices at all AFL grounds. What they will not do is declare what, if any cut each club gets out of those prices.

I just love the puzzling tone in the comments made by Adelaide oval management over the G's decision to reduce food prices.

 

[raptalia]

I live in Sydney so was only able to get to one game last year. I paid $5 for a bottle of Coke. So Adelaide Oval, in its wisdom, has decided to put that up to $5.30. That's a 6 per cent price increase when annual inflation is running at about 2 per cent. Now that's the sort of price increase which private health insurers are slammed for every year (except they arguably have better grounds for their increases, which are also approved by government largely in line with the rising cost of healthcare).

What grounds does Adelaide Oval have for increasing the cost of a bottle of Coke (and presumably other food) by 6 per cent? Is Coca-Cola profiteering? I haven't seen the price escalate anywhere else. Has a cost in their supply chain drastically changed? Hard to believe given that's a commodity service where competition is at play.

So, with the economy in a precarious position and a recession a real possibility, they have "structured our prices as best we can to fit our commercial model". Price gouging at it's best. Compare that to Port Adelaide's ongoing efforts to keep membership prices down.

A 1.25ml bottle of Coke is $1.69 at Coles this week. A 600ml bottle would have to be less than $1.00. I reckon the mark up at AO would have to be over 400%. I was once told that a cup of Coke at Hungries or at Mac's was around 4c per cup because they use syrup concentrate and aerated water. At that rate I would settle for a coke at $2.00 a cup. I do not expect to buy at anywhere near supermarket prices but as you say there is a rip off here and while the PAFC is doing all it can to keep prices down the SMA and SANFL do all they can to jack them up.

 

[raptalia]

I just love the puzzling tone in the comments made by Adelaide oval management over the G's decision to reduce food prices.

It is almost as if the SMA is astounded that someone could actually reduce prices and not treat footy fans as cash cows.

 

[El_Scorcho]

600ml coke almost always costs more than 1.25L coke because it's a convenience item.

 

[bomberclifford]

Coke is a product that is priced according to the tolerance of the market, not due to its inherent value.
If people didn't willingly spend $5 for a 600ml bottle, the price would drop.

 

[proman_x]

Are you allowed to take your own food and drink these days ? If so, then it really is a no brainer.

 

[Portress Hill]

i think ill start bringing my own tv too, i wont even bother with their entertainment

 

[tribey]

Coke is a product that is priced according to the tolerance of the market, not due to its inherent value.
If people didn't willingly spend $5 for a 600ml bottle, the price would drop.

What the f@&k were they thinking with that ad a few years ago where some shoddy-looking campaigner supposedly switched out real coke for coke zero and literally no-one noticed bugger off mate drop a few sugarines in your fruity dyslexia and tell me it tastes like regular goon how brain damaged does Muhtar Kent (thats his real name) think we are

 

[bcswift]

Coke is a product that is priced according to the tolerance of the market, not due to its inherent value.
If people didn't willingly spend $5 for a 600ml bottle, the price would drop.

I'm not so sure about that. This is not normal supply-demand which is affected by price competition. If it was, raising the price of the most expensive bottle of Coke in Australia from $5 to $5.30 would reduce consumption. Give 40,000+ people on a night out a choice between being price-gouged or going thirsty and most will just put up with it. Ker-ching.

 

[bcswift]

A fairer comparison is what does the same size bottle of Coke cost in other locations? Sydney airport is a monopoly location. From memory, I think it costs about $4.50 in a vending machine. The airport makes a huge profit. Similarly, Sydney convenience stores in the CBD are below $5. This is an expensive city. I can't remember what the SCG charges - will have to keep an eye out next time. But the new MCG pricing can't be ignored.

 

[raman]

What the heck are people doing drinking Coke at the football?

 

[Forzaport]

I just love the puzzling tone in the comments made by Adelaide oval management over the G's decision to reduce food prices.

Those operating margins must be razor thin!

I'd like to take these SMA executives around town and make them pay "Adelaide Oval prices".

Burger Bar Cafe A.B. - $25
McDonald's Happy Meal - $12
Dominos Hawaiian Pizza - $18
Local Pub $9.90 Lunch Special - $30

 

[RussellEbertHandball]

A fairer comparison is what does the same size bottle of Coke cost in other locations? Sydney airport is a monopoly location. From memory, I think it costs about $4.50 in a vending machine. The airport makes a huge profit. Similarly, Sydney convenience stores in the CBD are below $5. This is an expensive city. I can't remember what the SCG charges - will have to keep an eye out next time. But the new MCG pricing can't be ignored.

If 25,000 people turned up to Adelaide Oval every day 7 days a week, I could see coke coming down to $4.50 a bottle even with the SANFL snouts in the trough. Economies of scale stuff. SCG prices are around $5 a coke and $8.x a beer. Was there for the Port game in June and pretty sure it cost me more than $25 for 3 beers in my round. If not there was bugger all change from $25.

 

[bomberclifford]

What the heck are people doing drinking Coke at the football?

Not everyone drinks their Coke at the football.
In the toilets in one of the exclusive bar areas, about 4ft off the ground, next to the mirror, there's a nice little stainless steel shelf.
It's like they've just given up pretending.

 

[RussellEbertHandball]

Some interesting reading in tomorrow's Monopoly Times. They will compare food prices at all AFL grounds. What they will not do is declare what, if any cut each club gets out of those prices.

Apart from Geelong all clubs get bugger all from catering from their stadium deals. When you see the wookies list of gate receipts
http://www.bigfooty.com/forum/threads/2014-annual-reports-and-media.1079199/
Gate Reciepts

• Hawthorn -$4,765,081, down from $4,482,122
• Melbourne - $3,337,002, up from $2,274,247
• Carlton - $2,517,758, down from $3,147,904
• West Coast - $1,673,074, up from $1,569,184
• Fremantle - $1,630,435, down from $2,252,037
• North - $1,614,14, down from $1,903,764
• Bulldogs - $1,543,716, up from $1,240,180
• Essendon - $367,170, down from $637,773

You gotta remember many of those home games - the MCG games in particular - they might get 20k to 30k paying at the gate. Its the deal over these gate receipts share is what these clubs push hard to negotiate for. It isn't from a share of the catering revenue.

WCE and Freo get nothing from catering to the general public at Subi. But they get all the other revenue streams - thats why its such a great deal. The same goes for the Gabba and Brisbane.

 

[Phhht]

What the heck are people doing drinking Coke at the football?

What are we going to pour the spirits from our hip flasks into?

 

[Schulzenfest]

What are we going to pour the spirits from our hip flasks into?

Your mouth?