July 22, 2019, 01:14:32 AM

Author Topic: [News]Bramley Moore Dock update  (Read 423271 times)

Offline Makis

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Re: [News]Bramley Moore Dock update
« on: December 23, 2018, 04:35:21 PM »
Simple economics here people. Make the stadium big enough to increase capacity substantially. 13 000 extra people is 33% increase already. If you keep people wanting to get in, you can raise the price of a ticket. Supply and demand in full force.

Now letís do the math. Say a ticket costs £40 currently. 39000 people in Goodison thatís ticket revenue of £1.56M.

To fill a 55 000 stadium consistently they likely wonít be able to raise ticket prices much. And thus ticket revenue at £40 per seat would be £2.2M per match.

If they made a stadium at 50000 seats and could charge £5 per seat more than current as they demand will be greater and seat availaibilty more limited they will increase match day ticket revenue to £2.25M per game.

With 52000 seats that match day revenue is 2.35M. So getting that sweet number that allows increase demand to outweigh the  increased supply means increased revenue at much lower capital outlay.
Main driver in all this is actually executive boxes. GP is desperately short of these. Increasing this number will increase match day revenue much more than just looking at seat numbers. They can now add enough boxes to meet demand (and some). Regular seats are a relatively minor matter income-wise.

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