NFL Uncategorized

Will more teams follow Atlanta Falcons concessions model?

The Falcons reduced concession prices could drive more fans to games.

Good news for Atlanta Falcons fans. Feeding yourself at the game won’t break the bank anymore. As reported by ESPN’s Darren Rovell, The Falcons announced highly discounted concession prices for their move into Mercedes-Benz stadium in 2017. The deals include all you can drink soda for $2 and beer for $5. That is an amazing deal, and really only rivals the prices fans see at The Masters in Augusta.

Cost of attending a game is generally one of the top complaints of fans throughout the country. Nevermind paying top dollar for tickets, but parking, concessions and apparel tend to add up, especially for a family trying to attend a live event. The Falcons can only be hoping that these concession prices build goodwill with their fans.

It can be looked at in a few ways. The Falcons are essentially giving up exclusive revenue since teams hold control of any revenue generated at the event and it is not up for profit sharing. However, if concessions are only a small amount of revenue generation — and the NFL and its teams get most of their money from billion dollar TV deals — then driving fans to the venue with a more affordable game-day experience can be more valuable. The Falcons could theoretically make up for the loss in revenue with higher concession volume. Fans who may have held off on buying a burger or another beer may now change their minds.

Major league teams are in a constant battle to get fans off their couch and away from their 70-inch HD flat-screen television. By giving fans cheaper food options it could get more people through the turnstile. Instead of ordering a $20 pizza from Papa John’s, fans could experience a live event and pay $2 a slice. Atlanta is a notoriously tough market when it comes to getting fans to the stadium and Arthur Blank and Falcons leadership can leverage their decreased concessions as a fan-friendly atmosphere.

Michael Colangelo is Managing Editor of The Fields of Green and Assistant Director at the USC Sports Business Institute.

Follow @MikeColange or @fog_sports on Twitter and like our Fields of Green Facebook page for updates

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