Consumer entertainment spending not being held back by inflation

Event promoters are expecting a bumper crop this holiday, with consumers shelling out for pricey events despite price hikes in basic amenities such as gas and food, which have left many Jamaicans financially strained this year. .

The latest business and consumer confidence survey – which indicated a increase of 4.2 percentage points Consumer Confidence also revealed that consumers were less inclined to make capital investments in terms of housing, but instead were enthusiastic about travel and vacations.

It’s actually playing out as event promoters say they’ve already started to see ‘evidence of this spending and this desire to go out and have fun’, Kibwe McGann, WiPay the country director saidLoop News.

Speaking to Nigerian sensation Burna Boy’s Love Damini concert tour which took place at the National Stadium in Kingston over the weekend, McGann said ticket sales were “in the range of 20,000 to 30,000”.

Tickets for the concert range from $7,500 for the general to $45,000 for the VVIP with a seating capacity of 45,000.

Entertainment is therefore “at the top of the list of what people want”, he said.

The lure of social media likes has also spurred the desire to spend and be “out there”, it seems.

“A lot of people are fueled by what they see on social media and as such, events benefit from it. People are willing to spend to get to these events to claim bragging rights on social media or the instant gratification of the number of likes,” he said.

“It’s fueled by the younger population. I think older people make long-term decisions and young people make decisions for tomorrow,” he explained.

It makes both money and “sense” for event planners to “put up things like photo walls that become a major feature at events with the decor so people can put their photos on Instagram, Tik Tok and Facebook,” McGann said.

“So I can tell you from now on that for this holiday season, every event sells out, McGann, who heads up marketing and event management team, Intuit Conceptssaid.

For Main Event CEO Solomon Sharpe, the price elasticity of events is mitigated by the quality of execution of the entertainment package because “consumers will respond positively to any price increase”. [and] introduce yourself once you give [them] quality, that’s what we achieved.

Sharpe answered questions at the latest quarterly review of the Jamaica Conference Board’s Business and Consumer Confidence Survey, presented by pollster Don Anderson, CEO of Market Research Services Limited.

Giving his reading of the impact of price increases on entertainment industry inputs as well as the 18.3% improvement in business confidence, Sharpe said that despite having to pass on the increases Main Event’s services on promoters who use its business to run events, and the resulting increased price for customers, promoters and consumers have always come away satisfied.

“Promoters who use Main Events for their performances have paid more and come away very happy. Their consumers are [also] very happy,” he said.

For him, “the most important thing for anyone who distributes a product, whether it’s a party or otherwise, is simply to give quality to your consumers and once you do that, they will be there to support you day after day. day. “

“I don’t think developers have any choice but to raise prices,” Sharpe added. Loop News, taking into account all increases in the factors of production.

“…And the more expensive your ticket, the more you should treat it like a commodity or a luxury item,” Sharpe said.

By Tameka Gordon

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