Quote:
Originally Posted by Enoch Root
Actually, they are 20 oz, so 99 cups, assuming no waste - or $3.43 per cup (using your math)
More importantly, beer is part of HRR, so half of the price goes to the players. So $3.43 cost (before labour and other items) and $5 revenue.
I'm not suggesting they are losing money or anything, but the HRR split took much of the profit out of liquor and food sales for the teams.
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My math is good, my costs are definitely inflated. That keg cost is what you and I would pay, which is way more than the Flames would. But I didn't realize the cups were 20oz which does affect the cost per beer. Regardless, it's still a very healthy margin, as it should be. Same goes for Popcorn, Fries, Pop and other food.
The HRR is a good point but not something that should really matter because that is a set share that has just as much to do with what the players are actually paid in comparison to what their contract dictates due to escrow. Players and owners both benefit from the profitability of beer so that doesn't change what the margin on beer should be.
I should state that I believe that any business should charge what the market will bear for the product in question. That goes for beer or ticket prices. If they believe that the increase will not negatively affect the profitability of their business, then they should raise prices. I still think being a season ticket holder outweighs not being one. But that's me.