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Brewers to announce largest-ever capital project at Miller Park (Latest: multimillion dollar concessions project, post 74)


1992casey
The concept of $1 hot dog day is to sell tickets, it has nothing to do with making a profit on hot dogs. It's called a loss leader. No different than bobble head days

 

It is different than bobble heads because I'm sure they still make a profit on $1 hot dogs. I can go to Pick N Save right now and buy an 8 pack of hot dog buns and an 8 pack of hot dogs for $5-$6. If I turn around and sell them for a dollar each I'd still make a profit, albeit a small one. But surely the people who sell concessions get a much better deal because they buy in bulk.

 

I think $2-$2.50 for a hot dog at a stadium is a reasonable price. At that price I think the profit would still be reasonable on each hot dog sold and I think you'd sell a lot more hot dogs. As you said most people don't pay the current prices because they are not reasonable.

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The concept of $1 hot dog day is to sell tickets, it has nothing to do with making a profit on hot dogs. It's called a loss leader. No different than bobble head days

 

It is different than bobble heads because I'm sure they still make a profit on $1 hot dogs. I can go to Pick N Save right now and buy an 8 pack of hot dog buns and an 8 pack of hot dogs for $5-$6. If I turn around and sell them for a dollar each I'd still make a profit, albeit a small one. But surely the people who sell concessions get a much better deal because they buy in bulk.

 

True, but it's still a loss leader because x number of people are buying a $1 hot dog instead of more expensive (larger margin) items. And, there is labor costs, napkins, condiments, cost to cook all those weiners, etc. So no, there's no profit on a $1 hot dog.

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The revenue creation part of this is 33% more points of sale. Faster throughput = more revenue per hour for the team, less waiting in line for the fans.

 

The question isn't whether YOU buy food/drink at the game, it's how long the concessions lines are and how many people choose not to buy because the lines are too long or because the quality of food is poor. I can almost guarantee that market research has teased this out. I don't go to a lot of games, but when I do the line at each concession stand is almost always 6-7 people deep unless it is a small beer-only stand. 33% more POS = shorter lines. And think of weekday games, people coming from work may have to choose between ballpark food (poor quality) or arriving late/parking further out because they stopped to eat somewhere along the way. With higher quality food more people may choose to go straight to the park.

 

One of the best ideas I've seen is a walk-through beer cooler at the Iowa Cubs stadium. All 16-23 oz cans from High Life to regional and national craft. Walk through, grab something off the shelf, check out when you walk out. Low labor cost - they don't have to pour, don't have to change kegs when they are empty, just have to stock the shelves pre-game and ring you up.

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One of the best ideas I've seen is a walk-through beer cooler at the Iowa Cubs stadium. All 16-23 oz cans from High Life to regional and national craft. Walk through, grab something off the shelf, check out when you walk out. Low labor cost - they don't have to pour, don't have to change kegs when they are empty, just have to stock the shelves pre-game and ring you up.

 

Great American Ball Park has this as well, so efficient.

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The concept of $1 hot dog day is to sell tickets, it has nothing to do with making a profit on hot dogs. It's called a loss leader. No different than bobble head days

 

It is different than bobble heads because I'm sure they still make a profit on $1 hot dogs. I can go to Pick N Save right now and buy an 8 pack of hot dog buns and an 8 pack of hot dogs for $5-$6. If I turn around and sell them for a dollar each I'd still make a profit, albeit a small one. But surely the people who sell concessions get a much better deal because they buy in bulk.

 

I think $2-$2.50 for a hot dog at a stadium is a reasonable price. At that price I think the profit would still be reasonable on each hot dog sold and I think you'd sell a lot more hot dogs. As you said most people don't pay the current prices because they are not reasonable.

 

Also, bobbleheads will really stop you up. Like eating too much matzoh.

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I think baseball is definitely moving in the same direction as the NFL with concessions.

 

Concession prices out are out of hand. I was at Comerica Park last week and 1 round of 4 beers (3 Miller Lite and 1 Coors Light) was $38.00, obviously not beer which would typically be high priced. We were on vacation and had all significantly over budgeted for the trip so we were happy to take turns buying rounds waiting out the rain, but that was far outside of our normal stadium experience. There's simply no way we would have bought 6 rounds of beer over 3 hours at a Brewer game. Granted the rain delay situation doesn't exist at Miller Park but there's no novelty to the Miller Park experience anymore either which would compel me to purchase anything inside the park (other than Brewer gear).

 

If I'm going to drink we get there early and tailgate and then bring water into the game so we're good for the drive home. Once prices started going up we just adjusted our behavior and reduced our in stadium spending down to tickets.

 

I would think there would definitely be a point of diminishing returns, it's not like WI is booming and salaries are keeping up with the massive inflation of ballpark concessions. Who are these people willing to double the cost of a game buying stadium concessions on a regular basis? I highly doubt the majority of season holders would, in fact I bet on the whole they are most miserly inside the stadium, at least the small # of season ticket holders I know are.

 

Honest question, have you been to a bar downtown anywhere other than Milwaukee? $7 or $8 Miller Lites are not uncommon. That price really isn't that outrageous.

 

Wisconsin has one of the lowest distilled spirits tax and one of the lowest beer taxes nationwide, so collectively, we get a distorted view.

 

Every game my friends go to, they buy dinner at Bombers in the stadium. They both get off work after 6 most days, so they go right to the ballpark.

For them, the $9 spent there is good value

"I wasted so much time in my life hating Juventus or A.C. Milan that I should have spent hating the Cardinals." ~kalle8

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Honest question, have you been to a bar downtown anywhere other than Milwaukee? $7 or $8 Miller Lites are not uncommon. That price really isn't that outrageous.

In 2012 I moved back to WI after spending 6.5 years in LA and 1.5 years in NYC. When I was looking for a place to live I met my sister and brother in law for happy hour at a bar/restaurant in the McFarland area. I ordered three 22oz beers - a Stella, a Leinies, and a Miller Lite. I gave the waitress a $20 and asked if that was enough.

 

I was not expecting her to give me $12 change.

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Honest question, have you been to a bar downtown anywhere other than Milwaukee? $7 or $8 Miller Lites are not uncommon. That price really isn't that outrageous.

 

Except you can't compare two different markets. Comparing the Miller Park beer costs to somewhere hours away doesn't work. You have to compare it to the local market around Miller Park.

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Awesome. More choices of food for me not to buy.

 

I don't understand why teams can't figure out that if they simply lower the price of food more people will buy it. I went to a Brewers-Twins game in MN a few years ago and just happened to go there on a dollar dog night. Between my bro in law and I we bought like 10 hot dogs. I'm sure they weren't the same quality hot dogs you get for $4.50 or whatever on a regular night but who cares. Had they not been a dollar I can guarantee our total bought would have been zero.

 

Back when MP first opened or sometime not long after they had one stand way up in the left field area by the kids zone or whatever that sold dollar hot dogs all be time. People would walk all the way up there from all over the stadium to get them, so much so that they ended up ending that deal. Again, not the same quality hot dog as the regular one but good enough for people to pay a dollar for. Adding more overly expensive food products and acting like they are doing the fans some huge favor shows me how tone deaf professional organizations are when it comes to concessions. Other than maybe beer, the average fan is just not willing to pay what they are demanding.

 

 

The Brewers have $1 hot dog/soda days as well.

 

$1 hot dog days? This year?

 

I was at one. So they did it at least once. They were small and cheap, but wasn't bad.

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Is bear expensive at Miller Park? Last time I was in Milwaukee you could still visit the Leiny's Lodge for $4.50 pours. That compared to $8-10 beers at every other ballpark I'd been to. I figured Milwaukee had to have affordable stadium beer prices due to the competition from people tailgating.

 

Glad to see they're taking my idea of a custard stand....seemingly 15 years late. Can't believe there's no Gilles, Kopps, or even Culvers branded location

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It is different than bobble heads because I'm sure they still make a profit on $1 hot dogs. I can go to Pick N Save right now and buy an 8 pack of hot dog buns and an 8 pack of hot dogs for $5-$6. If I turn around and sell them for a dollar each I'd still make a profit, albeit a small one. But surely the people who sell concessions get a much better deal because they buy in bulk.

 

I think $2-$2.50 for a hot dog at a stadium is a reasonable price. At that price I think the profit would still be reasonable on each hot dog sold and I think you'd sell a lot more hot dogs. As you said most people don't pay the current prices because they are not reasonable.

 

A hot dog at Miller Park costs $3.50, so not far off from what you consider reasonable.

 

But let's do some math. Let's say it costs the Brewers $0.50 to sell a hot dog. If they sell it for $1.00, then they make $0.50 on every hot dog sold. If they sell it for $3.50, then they make $3.00 for every hot dog sold. So, by selling it at the current price, they stand to make six times more profit. So even if you and your brother got 10 hot dogs on dollar dog night, they'd actually make more money by selling you each just got one on any other night. Seeing as most people don't buy 10 hot dogs even on dollar dog night, I'm sure they make more money on hot dogs at regular prices...which is why they are the regular prices.

 

As has been stated there are people better at business than us that are analyzing every penny that goes in and out of the park, and the prices are set to make the most money.

I am not Shea Vucinich
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Glad to see they're taking my idea of a custard stand....seemingly 15 years late. Can't believe there's no Gilles, Kopps, or even Culvers branded location

 

...yet.

 

That "strategic partnership" has value, presumably either a sponsorship deal (IIRC, Culvers used to sponsor either the kids club or the Major League Moment) or leverage on the contract terms. If they don't have an announcement before the 2017 season, it's because they couldn't get the value they anticipate out of it.

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Because I'm coming from out of town, I can't make a ton of games. But, when I come up, the family enjoys the Gehl club.

 

The food in there is plentiful but underwhelming, especially if you compare it to club seating elsewhere. I wonder if they are upgrading that food?

 

The concessions at Miller Park have out of whack pricing. I bought concessions at MP and then when the Brewers were in Chicago, attended a game at Wrigley in the same year a couple of seasons ago. I noted that the concession prices in Wrigley were lower. In the back of my mind, I irrationally thought that the expensive food (and apparel) I was buying at MP was "supporting the team" which indirectly may help them compete. The Brewers have always done an excellent job of marketing their "small market constraints" to the fans, all the while charging big bucks at the park.

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I buy food almost every time I go there, and I'll continue to do so.

 

Except for Bratchos. Whoever came up with that deserves the chef version of DFA.

Why you have to hate on the Bratchos? I did literally lol on your comment though. Chef version of DFA. Nice :) ... I am with you. I love me some good ballpark food. There is so much variety and some really good options. When I go with my kids, they don't want to tailgate. They just want to get into the game and watch BP and go to the kid zone. I am with you and the small few who say they will appreciate the change. I do agree that it is a little underwhelming with the hype, but I never really thought a lambeau / Busch stadium experience was going to happen. I was just hoping for a big tent outside for an official Brewers tailgate zone with a band, beer and some limited food options.

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62.73%.

 

Seriously how the heck I am supposed to give you an exact number? I'd say the majority. I say because when I go to games I do not see half of the fans with something from the concession stand. And a good percentage of those that do have beer only. Whatever analytics you are talking about are skewed by the fact that Miller Park has a monopoly on food sales so they can charge whatever they want. That doesn't mean they should nor does it mean that charging $4.50 for a hot dog and selling less is a better idea than charging $2 for a hot dog and selling more. I get it. The Brewers are a business and businesses are out to make money. But again, don't act like you're doing some great service to the fans by telling us you're going to to give us more overpriced food options.

 

Here is a slight rebuttal to all your comments. Here is a link I could find about the Packers 2005 financial report which is the only report made public. I couldn't find an actual link to their Financial Report and one from the last 10 years either. It's not on their website, not sure if anyone has a link to it.

http://legis.wisconsin.gov/LaB/reports/Green%20Bay%20Packers.pdf

 

Here is some key data from this report.

$2.4 million in other revenues, which include revenue from concessions, parking, souvenir programs, and other sources. Concession revenue constitutes the largest source of revenue in this category. We attempted to report concession revenue separately but were prohibited from doing so by the Packers, based on restrictions in their contract with Promotion Management, Inc.

 

That is in a 10 game season. I know it lumps concessions in with parking, programs and some other unmentioned items. The Packers have a fairly small parking lot compared to the Brewers sea of Parking they offer. But back to the report. It says in 2005, they had roughly ~70,000 people a game. So their attendance isn't even 1 million people per year and they made 2.4 million. I would say trim off the .4 which is probably parking and other. So maybe $2 million per year.

 

The Brewers pull in 2-3 million people annually. If you take the ~2.4 million made (in 2005 money) on about 700,000 fans, add in some math (2,500,000 / 700,000 = 3.57 3.57 x 2 = $7.1 million. So with about 2.5 million fans, the Brewers will take in around $7 million from concessions. And to be frank, the food selection at Lambeau sucks so I am guessing they are leaving money on the table but probably make up for lack of food sales in beer sales.

 

Come on. Restaurants are much more reasonably priced than ballparks and you know it. Would you pay $4.25 for a soda at a restaurant with no free refills? I sure wouldn't. Would you pay $4 for a bag of peanuts at a restaurant? Or $4 for water? Or $4.50 for a hot dog? If you saw those prices at a restaurant you'd walk out. That's the difference.

Those are some nicely selected items to drive home your point. Sheesh I don't think the variety of options they have for under $10 is all that different than me stopping at Qdoba and eating a $8 burrito. They have a large variety, you are in a stadium, so I would expect the increase of cost. I do not find it outrages. Sure on water, ya, that is one item I just don't get that they have to raise the price so high when you can just bring in your own. Also, have you ever been to a place like Sammy's, Martino's or the Dogg Haus? You will spend about $5 for a hot dog there too.

 

I understand, that you hate they would actually spend money on improving something you have zero use for. But just think, there will be others (and I will guess a good amount) who are really going to like the changes.

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Honest question, have you been to a bar downtown anywhere other than Milwaukee? $7 or $8 Miller Lites are not uncommon. That price really isn't that outrageous.

 

Wisconsin has one of the lowest distilled spirits tax and one of the lowest beer taxes nationwide, so collectively, we get a distorted view.

 

Every game my friends go to, they buy dinner at Bombers in the stadium. They both get off work after 6 most days, so they go right to the ballpark.

For them, the $9 spent there is good value

That is a ridiculous price. You can get a pint of actually good beer for much less than that all over Madison.

Fan is short for fanatic.

I blame Wang.

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Is bear expensive at Miller Park? Last time I was in Milwaukee you could still visit the Leiny's Lodge for $4.50 pours. That compared to $8-10 beers at every other ballpark I'd been to. I figured Milwaukee had to have affordable stadium beer prices due to the competition from people tailgating.

 

The cheapest beer at Miller Park I believe is a small Miller product tap at $6. A larger tap is about $7.75. Miller Lite/Coors Light in a 16 oz can is $7.50 IIRC. A tap from the Leinie Lodge is going to be in the $9 range.

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I think baseball is definitely moving in the same direction as the NFL with concessions.

 

Concession prices out are out of hand. I was at Comerica Park last week and 1 round of 4 beers (3 Miller Lite and 1 Coors Light) was $38.00, obviously not beer which would typically be high priced. We were on vacation and had all significantly over budgeted for the trip so we were happy to take turns buying rounds waiting out the rain, but that was far outside of our normal stadium experience. There's simply no way we would have bought 6 rounds of beer over 3 hours at a Brewer game. Granted the rain delay situation doesn't exist at Miller Park but there's no novelty to the Miller Park experience anymore either which would compel me to purchase anything inside the park (other than Brewer gear).

 

If I'm going to drink we get there early and tailgate and then bring water into the game so we're good for the drive home. Once prices started going up we just adjusted our behavior and reduced our in stadium spending down to tickets.

 

I would think there would definitely be a point of diminishing returns, it's not like WI is booming and salaries are keeping up with the massive inflation of ballpark concessions. Who are these people willing to double the cost of a game buying stadium concessions on a regular basis? I highly doubt the majority of season holders would, in fact I bet on the whole they are most miserly inside the stadium, at least the small # of season ticket holders I know are.

I would just say beer prices are out of hand. I don't think the food is all that crazy, IMO. Beer is skyrocketing and it's absurd, especially with the large increase they put on craft beer. I was in San Fran in 2015 and we paid $24 for 2 beers. That's nuts. Sure they were some craft beer, but that's high. I am on board with you, I have significantly reduced the amount of liquid (Beer, soda, water) I will buy at stadiums.

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One of the best ideas I've seen is a walk-through beer cooler at the Iowa Cubs stadium. All 16-23 oz cans from High Life to regional and national craft. Walk through, grab something off the shelf, check out when you walk out. Low labor cost - they don't have to pour, don't have to change kegs when they are empty, just have to stock the shelves pre-game and ring you up.

 

Great American Ball Park has this as well, so efficient.

I am going to guess, the Brewers will have this now too. St. Louis has it and it is the best way to go grab a beer. There was no line and there were a ton of people grabbing beer out of those coolers. For those who haven't seen it, it's like walking into a gas station and going to their coolers and having them stocked with a wide variety of beer (domestic and craft), water and soda.

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Surprised it hasn't been said yet but this is such a Brewer move. Make a big deal about something only to severely underwhelm.

 

Except they didn't really make a big deal out of it. It was more like all of us and our wishful thinking blowing it way out of proportion. The one guy mentioned it about 2 weeks ago really casually. They then mentioned a press conference not even half a week before it was set to take place. Honestly I don't see where they made a big deal out of anything. They had a big project taking place and did a small press conference.

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Those are some nicely selected items to drive home your point.

 

Pick an item then. Ice cream? Brats? Cheeseburgers? What are you going to find at Miller Park that is cheaper, or even modestly more expensive than the same item at a restaurant?

 

Sheesh I don't think the variety of options they have for under $10 is all that different than me stopping at Qdoba and eating a $8 burrito

 

How much do you think that very same $8 dollar burrito would be at Miller Park? I guarantee it wouldn't be $8. That's my point. Whether it's unreasonable or not at a restaurant it's going to be even more expensive at the stadium.

 

If they sell it for $1.00, then they make $0.50 on every hot dog sold. If they sell it for $3.50, then they make $3.00 for every hot dog sold. So, by selling it at the current price, they stand to make six times more profit.

 

Again, I've never suggested they sell hot dogs for $1 all game every game. You can't just change my argument to make it worse. I understand the math. I get that if you sell it for less you have to sell more of them to make the same profit. Like I said, the Atlanta Falcons just slashed their concession prices. Let's see what happens with that before we claim either of us are right or wrong.

 

I understand, that you hate they would actually spend money on improving something you have zero use for. But just think, there will be others (and I will guess a good amount) who are really going to like the changes

 

I don't think you do understand. I don't "hate" anything. It's not my money they are spending so I couldn't care less what they do. I just thought that it was a very underwhelming announcement. And I'm apparently not the only one.

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I buy food almost every time I go there, and I'll continue to do so.

 

Except for Bratchos. Whoever came up with that deserves the chef version of DFA.

Why you have to hate on the Bratchos? I did literally lol on your comment though. Chef version of DFA. Nice :) ... I am with you. I love me some good ballpark food. There is so much variety and some really good options. When I go with my kids, they don't want to tailgate. They just want to get into the game and watch BP and go to the kid zone. I am with you and the small few who say they will appreciate the change. I do agree that it is a little underwhelming with the hype, but I never really thought a lambeau / Busch stadium experience was going to happen. I was just hoping for a big tent outside for an official Brewers tailgate zone with a band, beer and some limited food options.

 

I had my one and only Bratchos experience this year and honestly thought I was doing damage to my organs with the amount of fat and sodium. It was just so over the top. A big basket of potato chips with ground bratwurst, cheese, sour cream & chopped onions, etc.

 

Plus, potato chips aren't strong enough to scoop up the toppings, so 5 minutes in, the center of your basket is a big soggy mess...if you last that long before they bring the defibrillator.

 

The whole Frankenfood experience is lost on me. Ice cream or custard pinched between two donuts? Blechh.

 

As for the big capital expenditure...I'm fine with it, though a little ho hum. Zaffiro's pizza is fine. I'm not a fan of AJ Bombers. I'm not going to partake in the craft beer selection. I'm not really sure how the changes will affect me, if at all.

 

I'm a Loge Level guy, and I never really had a problem with waiting in super long lines. You can watch the game on the monitors at the concession stands anyway.

 

Like everything, it's really on the Brewers to make it a good experience. If it's too expensive or if the menu options are too limiting, or if they didn't guess right on foot traffic and bottlenecks, we aren't forced to buy into their grand vision. I hope it's great, but won't get all worked up if it's not.

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If you can get by the health aspect of Bratchos, the flavor is still really, really salty.

 

I get the comments about the quality of the food, but I wouldn't make it a sweeping generalization. There are some food items that are great. There are others that are hit and miss, e.g. there's a big difference between a freshly cooked brat and one that's been lying around for a while.

 

I wouldn't generalize about prices either. Water is horribly expensive; bring it in. But getting what amounts to a meal for $10 or so is a great deal.

 

When I first saw that the announcement had to do with concessions, I yawned. But when I read the article and saw that there'd be 33% more points of sale, I was pleased. Lines are long, and this should be a significant help. $18 million is a huge investment. Rick S. said that a lot of changes won't be visible to the fans, and that makes sense. So I'll make my judgment based on the experience next season.

That’s the only thing Chicago’s good for: to tell people where Wisconsin is.

[align=right]-- Sigmund Snopek[/align]

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