indeedido
Well-known member
Most people were initially shocked at MFC increasing the price of SC's by what appears so much for season 2023-24.
The truth is that the additional revenue the price increase will raise will not nearly cover the inflation impact on the running costs of the current operation. Nowhere near, as I posted shortly after the initial announcement.
That is before even considering any additional player related costs, team strengthening, stadium investment or other additional infrastructure.
Personally I really applaud the club being more open and communicating so much more info on revenue streams - in particular SC breakdowns by stand and age group.
So on analysing the data they released via the Forum (and posted by Rob) I would suggest the following observations based on that 2022-23 data:
(Obviously excluding Hospitality SC's, matchday tickets and away fans)
I think some slight variances may be explained by the Half Season Card inclusions by MFC in the figures.
1. Every SC offers very good value for money, at the very least.
I sit in West Upper, where on average adults paid £27.05 per match on a SC. I am a GC holder, so got the Free Drink too.
The cheapest adult average paid was in NW corner where £19.78 was the average price per match.
The average adult SC was £21.35 per match. (The Club obviously only receive £17.79 of this ex VAT)
2. Every Over 65 gets an excellent deal on a SC.
The Average Pensioner paid £15.00 per match on a SC.
In the West Upper (highest) they paid £19.40 per match mostly I'd guess with a free drink. The lowest paid was £13.52 per match in SW. In the GRFZ the pensioners paid £13.74 each. I don't think anybody could seriously criticise the pricing for supporters who almost by definition have been following Boro all their lives and paid in a lot of money over the years.
3. Under 18's SC prices are extremely good value everywhere.
Outside the GRFZ U18 SC's paid £7.52 per match on average.
The highest paid was £7.75 in South, the lowest outside GRFZ was £7.12 in NW.
Inside the GRFZ on average the 1,207 U18's paid £2.68 per match, with 791 of them paying just £1.88 per match.
All of those prices are extremely low, but the GRFZ ones are unrealistically and constrainingly low.
4. 18-21 SC prices are good value everywhere.
On average 18-21's paid £11.91 per match.
Highest paid was £14.19 in West Upper, where there are only 86.
Lowest paid outside GRFZ was in North £11.50 per match. GRFZ £11.13.
Only 1016 or 5.3% of our SC holders are 18-21.
5. The GRFZ is incredibly cheap, is predictably full, a closed shop.
The GRFZ is the only part of the stadium where younger kids get even cheaper access.
725 U11 kids paid absolutely nothing, while in total 894 U11's paid a total of £9,475 or £0.46 per match.
The gap to the average U18 at £7.52 per match everywhere else or £172.85 per season is very big.
2101 of the total 5131 Kids SC's in the whole stadium are in the GRFZ.
41% of the total kids paid £83,737 or 14% of the £607,462 total kids revenue.
That is a strange model to expand.
6. 618 Personal Assistants pay absolutely nothing.
This is appropriate, but extremely generous too by the Club.
Over 3% of the SC base.
7. There are still thousands of empty seats on average at every match and will be outside the PL.
We are currently averaging over 25,000 (inc Away fans and est £1k Hospitality), have 19,061 standard SC's, estimate 2,000 lost to segregation.
That leaves on average c5k empty seats at least.
Whilst the best way to fill them is PL football and or success on the pitch, it does appear that the club could be more creative to fill more of those seats more often.
Given the GRFZ FULL signs, I understand some leaping to the conclusion to simply expand the GRFZ and tie in those fans, especially the young ones. Just get some/any revenue for those empty seats.
I think this would be wrong for the following reasons:
a) The revenue concept is bizarre. There is no need to give lots more seats away at such incredibly low revenue, that then leave the club trapped as they currently are with GRFZ.
b) Existing families would try and switch in for the lower prices, reducing revenue immediately and leaving empty more seats in other areas.
c) Family groups also want to sit in other parts of the stadium.
d) It is the matchday pricing that prevents more of those empty seats being sold around the stadium. Simply, the premium is far too big and the matchday kids prices are simply way too high.
A saturday Adult ticket in West Upper costs £36 to watch Preston and £21 for an U18. £57 for a parent to take just 1 kid. (North is £49) It is not surprising there are loads of empty seats except on Boxing Day in these areas.
The gap between SC price per match and Match day is too big.
The gap between GRFZ kids SC and other kids SC is too big.
The gap between GRFZ kids SC per match and Matchday kids is obscene.
I fully understand that Gibson is effectively subsidising all SC's through his Group loans to cover annual losses and it is his call to make, but it is still true that the rest of the SC's do subsidise the GRFZ.
The last thing I am advocating is reducing SC prices or not applying an increase for the new season as covered above.
I am simply suggesting that Matchday prices should not be increased further (SC discounts are already massive) and perhaps a Free U18 ticket should be available with every Adult Matchday ticket anywhere in the stadium to encourage more fans to attend more often and eventually trade up to a SC if they can.
So an Adult and kid for £36 in West Upper or £31 in North.
An existing Adult & U18 SC combo paid £34.64, so is still a little cheaper than the £36, in the North they paid £27.29.
If they were so "outraged" there are only 281 U18 SC's in the entire West Stand Upper at present and they pay just £7.59 per match.
I think other intelligent packaging of matches at discounted rates with Free Kids included would be worth pursuing. This could provide real value, sell seats, generate more revenue and not be nearly so constraining as an expanded GRFZ.
(I bet the opex in operating and refreshing the GFRZ is higher too).
Newy raises lots of points around Merchandising (Quality, Value, Availability, Revenue generated) and there is also lots that does need to be done to improve the experience and revenue generated by Concourse Operations. These could indeed help offset the need for large SC increases, but my own personal view remains that the SC prices are very reasonable and the increase absolutely justified.
Perhaps the person who should benefit from the extra revenue that is undoubtedly available from Commercial and Merchandise should be Gibson?
Maybe that would provide the money to refresh the stadium.
Before you say it Rob, yes this my opinion, but based on data provided by the club, not back of a fag packet.
I think most fair minded supporters will be grateful that MFC have opened up and appreciate the financial position and stark realities.
The truth is that the additional revenue the price increase will raise will not nearly cover the inflation impact on the running costs of the current operation. Nowhere near, as I posted shortly after the initial announcement.
That is before even considering any additional player related costs, team strengthening, stadium investment or other additional infrastructure.
Personally I really applaud the club being more open and communicating so much more info on revenue streams - in particular SC breakdowns by stand and age group.
So on analysing the data they released via the Forum (and posted by Rob) I would suggest the following observations based on that 2022-23 data:
(Obviously excluding Hospitality SC's, matchday tickets and away fans)
I think some slight variances may be explained by the Half Season Card inclusions by MFC in the figures.
1. Every SC offers very good value for money, at the very least.
I sit in West Upper, where on average adults paid £27.05 per match on a SC. I am a GC holder, so got the Free Drink too.
The cheapest adult average paid was in NW corner where £19.78 was the average price per match.
The average adult SC was £21.35 per match. (The Club obviously only receive £17.79 of this ex VAT)
2. Every Over 65 gets an excellent deal on a SC.
The Average Pensioner paid £15.00 per match on a SC.
In the West Upper (highest) they paid £19.40 per match mostly I'd guess with a free drink. The lowest paid was £13.52 per match in SW. In the GRFZ the pensioners paid £13.74 each. I don't think anybody could seriously criticise the pricing for supporters who almost by definition have been following Boro all their lives and paid in a lot of money over the years.
3. Under 18's SC prices are extremely good value everywhere.
Outside the GRFZ U18 SC's paid £7.52 per match on average.
The highest paid was £7.75 in South, the lowest outside GRFZ was £7.12 in NW.
Inside the GRFZ on average the 1,207 U18's paid £2.68 per match, with 791 of them paying just £1.88 per match.
All of those prices are extremely low, but the GRFZ ones are unrealistically and constrainingly low.
4. 18-21 SC prices are good value everywhere.
On average 18-21's paid £11.91 per match.
Highest paid was £14.19 in West Upper, where there are only 86.
Lowest paid outside GRFZ was in North £11.50 per match. GRFZ £11.13.
Only 1016 or 5.3% of our SC holders are 18-21.
5. The GRFZ is incredibly cheap, is predictably full, a closed shop.
The GRFZ is the only part of the stadium where younger kids get even cheaper access.
725 U11 kids paid absolutely nothing, while in total 894 U11's paid a total of £9,475 or £0.46 per match.
The gap to the average U18 at £7.52 per match everywhere else or £172.85 per season is very big.
2101 of the total 5131 Kids SC's in the whole stadium are in the GRFZ.
41% of the total kids paid £83,737 or 14% of the £607,462 total kids revenue.
That is a strange model to expand.
6. 618 Personal Assistants pay absolutely nothing.
This is appropriate, but extremely generous too by the Club.
Over 3% of the SC base.
7. There are still thousands of empty seats on average at every match and will be outside the PL.
We are currently averaging over 25,000 (inc Away fans and est £1k Hospitality), have 19,061 standard SC's, estimate 2,000 lost to segregation.
That leaves on average c5k empty seats at least.
Whilst the best way to fill them is PL football and or success on the pitch, it does appear that the club could be more creative to fill more of those seats more often.
Given the GRFZ FULL signs, I understand some leaping to the conclusion to simply expand the GRFZ and tie in those fans, especially the young ones. Just get some/any revenue for those empty seats.
I think this would be wrong for the following reasons:
a) The revenue concept is bizarre. There is no need to give lots more seats away at such incredibly low revenue, that then leave the club trapped as they currently are with GRFZ.
b) Existing families would try and switch in for the lower prices, reducing revenue immediately and leaving empty more seats in other areas.
c) Family groups also want to sit in other parts of the stadium.
d) It is the matchday pricing that prevents more of those empty seats being sold around the stadium. Simply, the premium is far too big and the matchday kids prices are simply way too high.
A saturday Adult ticket in West Upper costs £36 to watch Preston and £21 for an U18. £57 for a parent to take just 1 kid. (North is £49) It is not surprising there are loads of empty seats except on Boxing Day in these areas.
The gap between SC price per match and Match day is too big.
The gap between GRFZ kids SC and other kids SC is too big.
The gap between GRFZ kids SC per match and Matchday kids is obscene.
I fully understand that Gibson is effectively subsidising all SC's through his Group loans to cover annual losses and it is his call to make, but it is still true that the rest of the SC's do subsidise the GRFZ.
The last thing I am advocating is reducing SC prices or not applying an increase for the new season as covered above.
I am simply suggesting that Matchday prices should not be increased further (SC discounts are already massive) and perhaps a Free U18 ticket should be available with every Adult Matchday ticket anywhere in the stadium to encourage more fans to attend more often and eventually trade up to a SC if they can.
So an Adult and kid for £36 in West Upper or £31 in North.
An existing Adult & U18 SC combo paid £34.64, so is still a little cheaper than the £36, in the North they paid £27.29.
If they were so "outraged" there are only 281 U18 SC's in the entire West Stand Upper at present and they pay just £7.59 per match.
I think other intelligent packaging of matches at discounted rates with Free Kids included would be worth pursuing. This could provide real value, sell seats, generate more revenue and not be nearly so constraining as an expanded GRFZ.
(I bet the opex in operating and refreshing the GFRZ is higher too).
Newy raises lots of points around Merchandising (Quality, Value, Availability, Revenue generated) and there is also lots that does need to be done to improve the experience and revenue generated by Concourse Operations. These could indeed help offset the need for large SC increases, but my own personal view remains that the SC prices are very reasonable and the increase absolutely justified.
Perhaps the person who should benefit from the extra revenue that is undoubtedly available from Commercial and Merchandise should be Gibson?
Maybe that would provide the money to refresh the stadium.
Before you say it Rob, yes this my opinion, but based on data provided by the club, not back of a fag packet.
I think most fair minded supporters will be grateful that MFC have opened up and appreciate the financial position and stark realities.
