Reason #28416 you shouldn’t believe their math

Auburn – you know, the Auburn that supposedly is losing money running its athletic department – is about to spend somewhere between $70 and $120 million upgrading Jordan-Hare Stadium.

Starting with a $14 million scoreboard.

60 Comments

Filed under Auburn's Cast of Thousands, It's All Just Made Up And Flagellant

60 responses to “Reason #28416 you shouldn’t believe their math

  1. Aladawg

    And we are helping pay for it. Senator what do you think of $115 tickets for nose bleed end zones. I’ll take my chances on TV or scalpers at the game. It’s ridiculous. I’ve been waiting for your comment.

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    • Russ

      Just more of the NFL-ification of college football. I hate to see it but can’t see it ending.

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    • The only good thing I can say about it is at least we’ll be reciprocating with their fans next year.

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    • In response, we’ll stick them for $115 a pop for the trip back to Sanford in 2016. It’s more of the same – treat fans like wallets instead of customers or guests until we say no more.

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      • Scorpio Jones, III

        “treat fans like wallets instead of customers”….excellent EE, sublime.

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        • Disney raises the price every year for admission to their theme parks. If you buy a one-day ticket, it’s about $100 just to walk in the gate. Overwhelmingly, people have a positive customer experience and, generally, consider they receive good entertainment value for their dollar whether they experience every attraction or just walk around following their grandchildren.

          College sports administrators could learn a few things by going to Disney for a day. Ease of parking and transportation options get people in and out efficiently. Reasonably good food options (still overpriced) run by people who appear to care about getting it right. Consistently clean restrooms throughout the day are available without 20+ minute waits.

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    • 3rdandGrantham

      Well, if they can get away with it, in which we fulfill our 10k allotment at such prices, then you really can’t blame them. Its like scoffing at a local restaurant’s $30+ pricing for the majority of its entrees, yet the place is continually packed with satisfied diners. If/when teams eventually price tickets above a certain threshold that others aren’t willing to pay, they’ll be penalized accordingly and will have to bring prices down.

      If I recall, Rutgers, of all programs, had the highest single game ticket cost last year, charging $200+ for the Penn State game. Yet the game sold out anyway, so Rutgers looked smart afterwards and was proven correct on pricing. I believe this year they will do the same with even more teams, but I suspect it will backfire on them for at least 1-2 of such premium priced games.

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  2. 3rdandGrantham

    Two things:

    The whole largest scoreboard thing is just for bragging rights only. Like buying a bigger boat than your neighbor’s just because (that and the surprisingly low finance rate you obtained).

    Auburn is being smart in going for quality over quantity in terms of seating capacity. Instead of bumping up the 87k Jordan Hare to the mid 90’s or more (seats that consistently never will be filled), they are opting instead to go with premium seating in terms of actual seats, club seating, and the like in the renovated sections. As more and more people choose the convenience of home, and all its accoutrements, to watch games, teams/programs around the country have to adjust accordingly and offer more than just a bleacher seat or similar for the price of admission.

    Oh yea, dynamic pricing wouldn’t hurt either. Charging the same (or nearly the same) price for Western Carolina or La Monroe as you would against Bama or AU is just absurd.

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    • Dynamic pricing is a good option if you don’t have a full season ticket subscription base. A season ticket holder’s price for the Alabama ticket is subsidized by the Georgia Southern ticket. No one will get into the Alabama game this fall on the secondary market for the face value of that ticket, but you also won’t have people willing to purchase the GSU ticket for the face value of the ticket on the secondary market. The athletic association allows the season ticket holder to hedge his cost by offering the same price across all games included in the package.

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      • 3rdandGrantham

        I was talking more for individual game tickets, in which (I believe) the cost is the same regardless of opponent. As for your Disney example, as a former central FL resident, I can tell you that Disney really hasn’t made anything more convenient or cleaner at all—its always been quite good. I remember 10-12 years ago paying around $50 with free parking. Last year it was just under $100, parking was around $20, and concessions were much higher than ever. Traffic/parking was far, far worse than 10 years or so ago.

        Simply put, the demand has been out of this world, especially from foreign visitors coming from countries that have exploded in terms of the number of middle/upper class citizens who now can travel abroad. When I was at Disney last fall, I’d estimate that 60-70% of the attendees were foreign visitors, especially from South American spots like Brazil. Back in the early/mid 00’s, that number was more like 15-20%.

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        • Good point on the individual game tickets. If there are tickets left over, season ticket holders have the ability to add tickets based on contribution score, so you do have a dynamic pricing component there, but the point is taken. When there are tickets to a baby seal clubbing available, make the excess available at less than the face value.

          Regarding the Disney example, the guest experience is consistently high. We go to Orlando about every year, and our college age daughter is working there this semester. Yes, they are very good at separating people from their money, but they deliver an excellent experience for the price. As an example, we’re staying at the Polynesian this spring, but because they are renovating the pool area, they are giving us free admission to Typhoon Lagoon for the length of our stay. They haven’t raised the prices and just pocketed the difference as profit to the “reserve” fund. They reinvest in their facilities, hire top-notch people even into “unskilled” jobs, and innovate to improve the guest experience. When I think of value for my entertainment dollar, they get it right. That’s why I say college sports administrators could learn a thing or two from the Mouse.

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          • 3rdandGrantham

            No doubt and I agree with your last points regarding Disney. My main point was that, much like CFB, Disney’s popularity has exploded even more in recent years, hence the overall interest (and thus the ability to raise prices substantially in recent years).

            At some point, programs like UGA will have to wise up and offer better customer service if they want to continue to pack in 93k+ for home games. And poor traffic management, parking, restrooms, and concessions certainly won’t help their cause.

            As for dynamic pricing, I always cringe when I see UGA playing those early afternoon games on the SECN against lesser foes, in which huge sections of the upper deck(s) are totally empty. That one particular stadium camera shot they do from the bridge area is particularly brutal, and I can’t tell you how many rival SEC friends of mine give me a hard time about it (saying something like, “man…Sanford looks pathetic on TV…I thought you took your football seriously there.”)

            Lowering the prices against OOC or lesser SEC foes, IMO, would help quite a bit in keeping the stadium full for non-prime games.

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            • I get where you’re coming from on the dynamic pricing. Most of those sections are either in the 600 section where there are visitor section seats and the tickets get returned or in the student section where students are either just rolling out of bed or drinking on the Myers quad instead of going to the game.

              The thing is we ask for the noon starts instead of asking for games later in the day (especially in September). The empty seats and Andre Ware make me absolutely detest the noon game on the SECN.

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              • Bulldawg165

                “The thing is we ask for the noon starts instead of asking for games later in the day (especially in September)”

                In all honesty I can’t think of a shittier way to treat your fans than this. “Hey, pay $100+ per ticket to watch us play a cupcake. Oh, and we’re gonna make you BAKE in the sun for a few hours while you do it, too. Better drink a lot of water instead of booze during your hour and a half of tailgating cause you’ll be waiting 20 minutes for it inside the stadium and it might not even be cold!”

                Can you tell I’m bitter? lol. I’ll NEVER go to an August/September game again unless kickoff is 7 PM or later.

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            • JCDAWG83

              One major difference between Disney and Georgia is that Disney generally only needs someone to come to their park once a year at most. They do not rely on the same basic group of customers returning year after year and also cannot require “donations” every year for the privilege of being able to buy a ticket. Disney can get away with raping customers on price because they don’t have to rely on that customer’s return business. Because they can get away with exorbitant pricing on tickets, food, trinkets, etc, they can afford to have top quality facilities and staffing levels and training that insure good service. If Georgia were to adopt the Disney model and upgrade the staff, facilities and overall experience of the entire game day, the ticket prices or the “donation” would have to rise dramatically.

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              • 3rdandGrantham

                I for one don’t understand the use of words like “gouging,” raping,” etc. when it comes to basic capitalism. If Disney can charge $100 a ticket yet still pack them in by the tens of thousands daily, how exactly is that raping the customer? Disney keeps raising prices yet their attendance keeps skyrocketing right along with it, so obviously they have their pricing model pegged quite well. To be honest, given the insane crowds I experienced during a so-called ideal time to visit Disney (weekdays in late fall), I would have gladly paid 33% more, or $150 a ticket, if you could have reduced the crowds by 33% to boot. That would have been a win-win all around.

                A cursory understanding of basic, 101 level economics in relation to supply and demand should put such silliness to rest, but obviously that hasn’t and won’t happen.

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                • JCDAWG83

                  Good points about economics. I’m sure if Georgia thought they could increase ticket prices and/or “donation” amounts appreciably and get away with it, they would. Point was; Disney knows their customer is coming for a vacation and is willing to spend a certain amount for a certain product for a limited amount of time. Disney does not rely on that same customer returning year after year (in most cases). I would guess most people who do visit Disney parks do so no more than two or three times in their lives. Additionally, Disney does not have to worry about it’s customers experiencing the same basic thing by watching the rides and shows on television for free. Georgia has to keep it’s pricing at a level where it’s “customers” are willing to come back year after year and make the trip to Athens six times over a three month period.

                  Both places are working within the rules of capitalism. Georgia, however, cannot rely on a national or international customer base to fill up the stadium with different people each game. If Georgia decided to raise ticket prices to $250 per game and upgraded the seats, concessions, restrooms. parking, etc to Disney standards, the stadium would likely be very empty.

                  Disney is very good at what they do but I don’t think there is a lot than can transfer between Disney theme park experiences and college football games.

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                • Yes, they could. Simply keep the restrooms in working order and clean, have plenty of food and drink options available for purchase, and get people in and out of the venue efficiently without feeling they have to break their kid’s hand holding on to them going in and out. I was genuinely afraid for my daughter when she went in the student gate for the Clemson game this year. I don’t think anyone is asking for world-class entertainment during TV timeouts, but they can learn lessons on crowd management from them.

                  Oh yeah, by the way, the Mouse does rely on people who come year after year. That’s why they got in the vacation club/timeshare business and the cruise business. When you call their customer service line, they ask a question about how many times you’ve visited and use that information to route your call. Their brand depends on loyalty and customer profitability over time. They are masters at it.

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                • Bulldawg165

                  “I for one don’t understand the use of words like “gouging,” raping,” etc. when it comes to basic capitalism.”

                  Agreed. Then again, I’m one of those silly people that consider entertainment such as going to Disney World or a attending a football game to be a want as opposed to an actual need

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            • Bulldog Joe

              That corner is the last student section to fill after the lower and end zone sections do. Also the fraternity blocks in that section for the noon “hangover” games are always late to fill, if they ever do.

              That issue is not unique to Georgia.

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              • JCDAWG83

                Students absolutely hate noon kickoff games. The fact they are usually against a cupcake leaves the game with very little appeal. The alumni and ticket buying fans feel the same way and the empty seats on the South side and the East end zone attest to that.

                It is the same everywhere. Noon kickoffs against crap opponents do not draw crowds.

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      • Bazooka Joe

        And you don’t really think for a second they are going to lower the price of the scap games to even out against the big one(s) do you….

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  3. Silver Britches

    Auburn is not to be trusted. Ever.

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  4. Bulldog Joe

    Good strategy to reduce the number opposing fans in the stadium.

    Get the opposing school to return the tickets, put them back on the market, if they don’t sell, stick the boosters with the tab. Winning.

    http://www.wsj.com/articles/while-football-ticket-prices-soar-auburn-struggles-to-profit-1415750933

    Thinking Tennessee is now kicking themselves for charging Georgia fans only $90 per ticket.

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  5. Reservoir Dawg

    Maybe they’ll fix this while they’re at it.

    http://tinyurl.com/l425j8r

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  6. So their reinvestment rate of profits is over 100%.

    What this means is that there eventually be a wide gulf between their facilities and ours sorta like an IPF at the stadium.

    Fall behind and more behind – eVentually we will be on a par with Tech or Wake or Vandy compared to the village on the plains.

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    • Dawgwalker07

      Eh, to me what that means is they’re going to go broke trying to keep up with Alabama long before we end up looking like the poor step-cousin.

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  7. Just Chuck (The Other One)

    And their COA supplement is projected to be the highest in the conference. Where will they ever get the money?

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    • Bulldog Joe

      Playing fast and loose with the numbers is an Auburn University Trustee tradition.

      “Colonial disclosed on Aug. 4 (2009) that federal agents had executed a search warrant at its mortgage warehouse lending offices in Orlando, Fla. It also had been forced to sign a cease and desist order with the Federal Reserve and regulators at the end of last month related to its accounting practices and recognition of losses, which limited its abilities to make dividends or other payments to investors.”

      http://money.cnn.com/2009/08/14/news/companies/colonial_bancgroup/?postversion=2009081418

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  8. I am excited about more in-your-face video and sound. If we could get rid of those marching bands and play some second rate 60s, 70s, and 80s rock tunes, I will be pleased.

    Also flashy graphics. I need enough flashy graphics to exacerbate every case of epilepsy in the county.

    That’s what makes a fall Saturday special, memorable.

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  9. Aladawg

    One other comment. If the tickets are returned to Auburn or Tennessee, they HAVE to sell them at the same price as the visitor. Georgia has experienced that several times now. Last year we sent tickets back to Missouri, Kentucky and Arkansas. Thus, already there is an impact. I’ll take my chances on scalpers tix being lower on game day if I choose to go to either game. This will be my first turn down of road tickets, but it’s just not worth it to subsidize their programs.

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