Wednesday, April 29, 2009

The Ivory Tower heard our calls!

Lo and behold, those perched in the Yanks Ivory Tower has heard our cries... well, not MY cries since I'm not spending half of too much anyways, but they have at least offered the olive branch to the rich folk and those too embarrassed to use their already paid-for tickets:

This from Hal Steinbrenner via the Yankees:

A few weeks ago I indicated that in light of the economy we would review the pricing of a small number of our premium locations at Yankee Stadium; specifically, our Suite Seats. I mentioned a small number of locations because in excess of 3.4 million seats, including 37,000 full season equivalents as well as approximately 85% of all our premium locations have already been sold. Yet, there are a few hundred Suite Seats in our premium locations that have not been sold on a full season basis. As a result, and for many of our fans who have already purchased full season Suite Seats in such premium locations, the Yankees are announcing today a program that adjusts certain prices and benefits affecting such Suite Seats.”

There's a lot of info at the link above, but what seems most evident is that in lieu of refunds, they are offering additional seats. The main exception being those who bought the infamous ridiculously priced $2500 seats and those right behind them in the $1000 seats.

From a business perspective, this is an interesting (and smart) approach. The team doesn't have to give back much money and it almost ensures that more and more seats will be filled. The Stadium will look more crowded, concessions and parking will perk up, and there should be a limited negative cash flow impact due to the limited refunds being offered.

For the ticketholders, I'm not sure how they should feel. I'm guessing that the extra seat for a family purchase might not be something they want or need, but the discount would be better felt/appreciated in their wallet. Some, however, who use these tickets for business entertainment purposes, might embrace the idea of an extra ticket to lavish upon customers/clients.

The refund option for the priciest seats might be a nice "face saving" choice for the corporates and Wall Streeters.

No matter what, it's wonderful that the team heard the cries and actually did something. I am guessing they had to have Randy Levine chained to a boiler with a bandana around his mouth until this hit the press. I could see him treating his office much like Paulie O'Neill used to treat a water cooler after a pop-up to first base.

1 comment:

ditmars1929 said...

Stupid, fucking, greedy bastards.

I have a degree in business. I can sum up what I learned thusly:

Consumer Behavior: Understand who your target audience is, what their expectations are, and expand upon that to understand your core consumer.

Marketing: Don't piss off your target audience. If it weren't for them, you would not be in business. It's not all about you, it's a two-way street.

Finance/Accounting: Always make a profit, but make a wise profit. Don't over-reach and screw yourself long term or alienate said target audience that is your bread and butter just to line your own fat wallet.

Management: Make sure you don't hire idiots who don't understand the above to run your business. Hello, Randy Levine.

But even better advice comes from my sister, Marian, who is a real estate agent, which is this: "If the house isn't fucked up to begin with, then don't move for a perceived upgrade."