Atlanta Falcons Broke the Rules of Stadium Food and It Paid Off

When the Atlanta Falcons announced the meals prices at their new $1. 5 billion stadium — $2 hot dogs and sodas, $3 nachos, $5 beer — supporters loved it, and people in other metropolitan areas started pushing their local ownership groups to follow along with suit.

Falcons owner Arthur Empty had made a calculated bet that what the organization dropped in markup, it would recoup within volume — fans would come previously, stay longer and buy enough foods to make up the difference.

He has been half-right. About 6, 000 a lot more fans per game entered the particular stadium earlier than they did within 2016, and in general, the location sold as much food by the end from the first quarter of Falcons online games as it did in full games within 2016.   Fans also provided the Falcons the highest satisfaction ranking in the NFL for food and drinks, up from No . 18 within 2016, and the highest rating intended for security satisfaction, in part the result of outlines made shorter by all the earlier entries.

They also purchased more food — sales had been up 53 percent — every fan spent, on average, 16 % more on concessions. It wasn’ capital t enough to offset the fall in prices, though. The group made less on concessions within 2017 than it did the entire year before, according Steve Cannon, ceo of AMB Group, the company by which Blank owns the team.

“ Sure, we could shake out some more dollars of margin under the older model, but we believe that the particular direction we’ ve taken, provided all the other positive benefits, is the larger revenue play, period, ” Canon said.

Atlanta’ t pricing, part of a unique partnership with concessionaire Levy Dining places, is a dramatic departure from regular prices in NFL stadiums. With $2, hot dogs at Falcons home games cost less than fifty percent the league average $5. nineteen, according to the 2016 Team Marketing Statement . The league’ s typical price for a beer was $7. 38, with the San Francisco 49ers getting over $10.

Whilst no other major sports franchise offers replicated the plan, they are taking notice. Cannon said “ dozens” associated with team owners and venues have got called asking for more details on the prices strategy.

The team’ s 2018 goal is to enhance efficiency and expand the menus. Cannon said he believes that will eventually, the Falcons’ food and drink profit will eclipse its 2016 numbers. “ This is just a very first report card, ” Cannon stated. “ And it says that we transformed the dynamic inside of an industry which was fairly set in its ways, it’ s having an amazing impact on our own fans’ satisfaction, and, oh incidentally, spending per person did increase. The system-wide impacts are great. ”