Concessions: Bread and Circuses

1
Chapter 13

• Concessions Bread and Circuses

2
Concession Strategies

• Understand the role that food will play at your
  event. Concessions have the potential to create
  sizable profits for an organization
• Having refreshments available at an event will
  often prolong the length of a visitors stay
• Once the role of food has been established, a
  realistic assessment of the available resources
  to provide the food and beverage services must
  occur

3
Concession Strategies

• A cost-benefit analysis of an in-house operation
  should be conducted to determine the return on
  investment for a concession program provided by
  the event organizers
• If the benefits of in-house concessions dont
  outweigh the costs, you should determine the
  local resources that might meet the objectives
  for food services at your event

4
Some Things to Consider

• An increase in the number of vendors increases
  the communication demands between your
  organization and the vendors and multiplies the
  potential for problems
• The failure of a single-source concession can
  adversely affect the entire event
• Based on research findings, food served at
  outdoor fairs and festivals is perceived as
  significantly less healthful and less safe than
  food at other food preparation sites

5
Clarify the Decision

• What facilities are available on site to provide
  food services?
• What are the overall dimensions of the event?
• What is the time scale of the event?
• Will attendees be allowed to bring food and
  beverages to the event?
• What are the legal ramifications and
  responsibilities of using outside vendors instead
  of an in-house operation?

6
Food and Beverage Contracts

• Depending on the objectives of your event,
  selecting a caterer or concessionaire may have a
  significant impact on its success
• Your expectations must be clearly enumerated and
  communicated to the potential vendors through a
  written contractual agreement
• Include your perception of the role of the
  vendors in the success of the event in the
  contract

7
Food and Beverage Contracts

• A set of bid specifications or other form of
  communication of the expectations for food and
  beverage service should be made available prior
  to any consideration of potential vendors
• A specification sheet will effectively eliminate
  vendors that do not meet the programmatic needs
  of the event

8
Food and Beverage Contracts

• A professionally run concession will want
  information regarding
• -Past performance of the event including
  attendance
• -Gross income
• -Number and type of vendors used
• -Guidelines concerning exclusivity of products
• -Other items of importance to the potential
  vendor

9
The Concession Contract

• Identification of the Parties
• License to do Business Temporary Permits
• Health Certificate
• Insurance Information
• Liability and Indemnification Statements
• Fire Marshal Requirements
• Selection Criteria
• Description of the Event
• Length of Festival

10
The Concession Contract

• Hours of Operation
• Proposed Menu and Prices
• Inclement Weather Procedures and Dates
• Set-up and Breakdown Times
• Financial Considerations
• Vendor Service Management
• Method of Food Preparation
• On-site Managers and Contacts

11
The Concession Contract

• Disposal Procedures
• Weapons
• Cleanup Deposit
• Limitation of Cash on-site
• Maintenance of the Premises During and After the
  Event
• Lodging Guidelines
• Appropriate Dress

12
The Concession Contract

• Naming of Booth
• Photos of Tent Booth or Trailer
• Exclusivity Rights for Products
• Onsite Supervision of Vendors
• On-site Inspections
• Surrender of Premises
• Audit Rights

13
The Concession Contract

• References in the Past Twelve Months
• Default and Termination of Agreement
• Festival Authority
• Signatures and Dates
• Booth Fees
• Percentage of Sales
• Materials Supplied by Your Organization
• Materials Supplied by Vendor

14
Merchandise and Souvenirs

• For some events, such as art fairs, the buying of
  merchandise is central to the experience of
  participating in the event
• Merchandise is an effective means of creating
  brand recognition for your event
• Decisions must be made concerning the rights and
  control of such merchandise as the event
  organization should be positioned to gain the
  greatest benefit from these types of items

15
Community Organizations as Vendors

• If appropriate to the objectives of the event, it
  is wise to involve as many local organizations as
  possible
• Most service groups are not in existence to run
  food concessions and only take it on as a means
  to support a good cause or to make money at the
  event
• Additional resources need to be dedicated to
  working with these groups to ensure that quality
  products and services are provided in a healthy
  and acceptable manner