The Future of Stadium General Admission Retail
Adam Summerville
CEO & Managing Partner at Ground Control Global - Leading Food & Beverage Consultants for Stadiums & Airports: Director & Board Member at Eat From Your Seat
We have been working on several stadia and sports precinct projects recently that are long-term with large infrastructure redevelopments and builds and therefore will not be open and in play until the late 2020s and beyond.
The question clearly becomes how do you future-proof these assets and ensure that in 5 – 7 years from now you are designing and planning what will be cutting edge and best in class for the fan and consumer.
In some way, the corporate & members spaces are clearer in the direction they are going and several current trends such as greater interaction, experienced-based and brand/chef-led experiences will just continue to evolve on a similar path.
General Admission Retail, the engine room for many stadiums' F&B programs and revenue base however look like going through major changes and possibly heading in a completely new direction.
Given the teenagers of today will be a large part of the core fan base in 5+ years and are immersed in the convenience generation, standing in a concession stand queue most likely will not cut it.
Currently in most stadiums however the traditional way of consuming F&B (albeit whilst being a better product with some high street influence and a wider choice) is to queue at a concession stand and in some cases queuing twice for food and then alcohol.
The pie chart below is a fairly simple representation of today's experience and as per above the main way to consume F&B in GA areas is to queue at a concession stand, with some emerging trends starting to gain a bit of traction:
So based on what we know of current trends, emerging trends, Gen Z and even Gen Alpha and how they want to consume we think General Admission Retail will look something like this in 5-7 years:
Basically a total shift to three specific and emerging areas – socialising in stadiums (see our post from 2020 – Socialisation in life and Stadiums) and technology-driven ways to consume including a massive rise in Just Walk out style outlets and in-seat delivery, as stadiums, operators and architects look to build in the infrastructure to support these ways of consumption.
Socialising in stadiums is nothing new however it’s normally reserved for corporate and members' spaces. Designers (rightly so) are now ensuring that general admission patrons have availably to more social bars and restaurant spaces to enhance their day out. It’s a focus on mixing the experience with the entertainment of what’s on the grass or court.
The redevelopment at Progressive Field is a great example of a total focus on the socialisation of a day at the ballpark. The upper deck concourse is a prime example of this and sure to be a game changer for the way fans interact with space and the game itself. As the render perfectly shows it's about social moments as much as the game itself.
The two next areas are both emerging and we believe will play a significant role in F&B consumption in the years ahead.
Technology such as Just Walk Out and Zippin are already starting to change the retail experience through the sheer convenience and speed that these stores offer, they are tailor-made for stadiums (and airports for that matter).
It’s being reported that stadiums and arenas that are dipping their toes into the tech by launching one store are quickly following with the addition of second and third stores as they and the consumer embrace the technology and benefits.
The second tech-driven change will be a larger focus on in-seat delivery as fans demand a level of service and convenience that they get in their everyday lives. As we have written previously the likes of Uber Eats and Doordash have accustomed Gen Z and Millennials to having whatever they want whenever they want it delivered directly to them.
The stadium environment can/should be no different as not only will it elevate the consumer experience it can drive significant revenue upsides.
We recently undertook some work to find the drop off in revenue as a game comes to its conclusion and the fan can be very reluctant to leave their seats to go to a concession stand and as a result stadiums & arenas start to close down, bars in particular. Our research showed that less than 10% of all F&B retail revenue comes in the last qtr of a match giving rise to convenience taking over and in-set delivery being the vehicle to keep revenue flowing.
Ground Control Global is a leading Food, Beverage and Hospitality Consulting firm to stadia and sports precincts. If you are looking to grow, develop or change your F&B offer please get in touch.
Chief Operating Officer at Greater Group
2 年Another super read mate!
Senior Partner & Asia CEO at Greater Group | Co-Founder at Tada! | Expert in Retail Design, Execution & Omnichannel Strategy | Driving Global Brand Transformation Online & Offline
2 年Great article mate.
Enhancing places that matter - Venues, Events, Sports and Entertainment across the globe.
2 年Nice one