Merely shrinking thoroughbred racing, as I proposed in my last post, would not, in itself, be enough to sustain the health of the industry, especially when racing is faced with a malevolent mix of (1) tough competition from casinos for the gambling dollar, (2) shorter attention spans in Generations X, Y, Z and whatever else followed us baby boomers, (3) decreasing discretionary income for most Americans, and (4) the continuing blots on our image from drugs, breakdowns and the neglect of horses (a special thanks to Ernie Paragallo for keeping that one in the news).
But there are some things we could fix, especially in the area of pricing. A more coordinated industry, and one that has racing as its primary focus (as contrasted, say, to Churchill Downs Inc.'s apparent focus on online bet-taking) could take some important steps that would attract more fans to live racing, increase handle, both on-track and off, and provide a fair division of revenue as between the track owners and the content providers, i.e., owners, trainers and jockeys.
1. Why Aren't Race Tracks More Like Casinos?
One of racing fans' persistent complaints is the nickel-and-diming by track management for admission, reserved seats and parking, combined with the outrageous prices for very ordinary food. Most casinos, in contrast, offer free admission, often with a refund of some part of public transportation costs for those arriving other than by car. I can take a bus from NYC to Atlantic City for $35 round trip, then have the casino hand me $25 in cash when I arrive. Try that at your local race track; actually, I have; the Long island Railroad charges me $12 for a round trip from Penn Station to Belmont, and I've never seen a NYRA staffer waiting at the station to hand me $5 or $10 back, even in the form of a betting voucher. Parking at most casinos is free, though a few might charge $5, often refunded if you're a regular. And if you're playing at a casino, the drinks are free -- well, a $1 tip is expected, but that's a lot cheaper than the $6-plus beers at most race tracks. True, the restaurants in most casinos are no bargain if you're paying in cash, but again, if you're a regular, you'll be accumulating "comp" points that you can use to lessen the damage by paying all or part of your restaurant bill.
I find it hard to believe that race tracks actually make money by charging for parking, once the cost of paying the parking lot attendants is figured in. And whatever pittance the tracks do make would be far offset by increased handle from those fans who resent the charge and don't bother to go. Similarly, free admission seems an obvious winner; every additional fan attracted by the freebie will certainly contribute more in betting handle than whatever he/she would have paid at the gate. Even if general admission is only a couple of bucks, that's enough of a deterrent to keep a lot of people away. And if you want to have a clubhouse that exudes higher class, why not do that by having a dress code (in Kentucky, anyway, that could be "church or business attire," a phrase one doesn't often encounter on the coasts), rather than a fancy admission price. Rich -- and not-so-rich -- horse owners get into the track for free, but guys on Social Security who want to hang out with friends and make the occasional $2 bet have to pay -- what's wrong with that picture?
http://businessofracing.blogspot.com/2009/07/racings-pricing-problems.html