GazMorris wrote:Hmmmm.....
I'm prepared to give the new guy a chance but the NRA should do some thinking about price elasticity, i.e. how much demand goes up by when you lower prices. As there is no real restriction on range availability (utilisation rates are probably less than 25% by my guess) it is quite possible that reducing prices will actually result in a greater profit because a) the corresponding increase in demand will outweigh the reduction in price and b) the cost of range use only goes up very slightly with actual use (i.e. running 2 targets doesn't cost twice as much as running 1 target.)
It is, of course, entirely possible that this thinking has been done and the NRA has demonstrated to everybody's satisfaction that this won't work; however I doubt it. I'd be willing to wager a beer on the verandah of the North (or in the Surrey if your tastes run that way) that the process consists of assuming range use will be the same and then adding a cost price increase to the previous year's fees.
Gaz
Spot on.
I wonder what the range utilisation rates (and revenue flow) would be like if, say, £5 was added to the daily weekday rate - and £5 taken off the weekend day rate. Or whatever combination of numbers you like.
What is a single lane on Century or Stickledown in high season with a marker now, £80 or £90?