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For those of you in the Birmingham area, be sure to pick up a copy of today’s Birmingham News. It features a story about the Biscuit on the front page of the Money section.

http://www.al.com/business/birminghamnews/news.ssf?/base/business/122770359357760.xml&coll=2

They even included a sweet shot of Biscuit partner Bruce Ayers, owner of the Comedy Club at the Stardome, and a bearded Jeff Gale, CEO of the Biscuit. Thanks to Roy Williams for showing us some love.

BHam News Article

This week, Jeff and I had the distinct pleasure of traveling to Southern California to promote BattlePass and our new relationship with Roy Englebrecht Promotions. As you may remember from an earlier post, Roy is one of the nation’s top promoters, and has been promoting fights in California for almost 30 years. Next year marks the 25th anniversary of his Battle In the Ballroom Series, for which we will be the official ticketing provider. Anyway, from this past Friday until Monday, Roy held Fight Promoter University Five, a four day seminar and experiential learning curriculum targeted at wannabe promoters. Since Jeff and I were very interested in establishing relationships with these guys, we decided to sit in on Roy’s classes.

Boxing and MMA Promoters have gotten a pretty bad rap recently, thanks largely to the antics of Don King and a few other shady characters. What I learned, though, is that promoters like Roy adhere to a few solid business principles that make them successful. Here are ten that I picked up this past weekend, that seem to drive Roy and his team.

  1. Always pay attention to details. The professionally printed fight card won’t make people buy tickets, nor will the police beacons above the ring poles. But, they do convey a sense of uniqueness and professionalism. These sorts of subtle clues can influence your credibility in a big way. Which leads us to #2:
  2. Credibility is everything. You have to cultivate relationships in business in order to last. The degree to which you can make and keep commitments and continuously deliver a phenomenal product at a great value is directly related to your longevity.
  3. Have fun. Though Roy got a bit stressed immediately before the fighter weigh in, he always looked in control and like he was loving it. As the night unfolded, Roy took on the persona of a master puppeteer, as his meticulously crafted show unfolded to the delight of the sold out crowd. He was entertaining 1500 people, and having a ball.

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    Yours truly with Michael Buffer. "LET'S GET READY TO RUMBLE!"

  4. Bartering is good business. You have something of value. You need something of value from another businessman. In a world where cash is king, the act of bartering buoys many a small business. Roy is a mastermind at the act of trade. Professionally printed fight cards? 20 seats. Fight Staff? Internship credit at the local junior college. Even Richard Schaeffer, the CEO of Golden Boy Promotions (on it’s way to becoming the largest fight promoter in the country), stressed the importance of bartering. Many of their sponsorship deals for their upcoming MMA fight have some sort of trade aspect to them.
  5. Do good. This one is pretty self explanatory, but for Roy, it is central to his character and his operation. If you do good, good things happen. Not just to you, but to the people around you, your sponsors, your fighters, employees, and so on.
  6. Empty seats breed empty seats. Roy will barter huge blocks of seats in exchange for products or services. While the exchange itself is valuable, there is also value in his attendees’ perception of a full house. It’s like verification that they are doing the popular thing. If you went into a restaurant at lunch hour and the place was empty, how confident would you be in the quality of the meal? In a more generic business sense, find out how much of your product you can afford to give away in order to establish a sense of presence in the market.

    The "Winterfist" Fight went on before a sellout crowd.

    The "Winterfist" Fight sold out completely.

  7. Try some crazy ideas. Jeff and I got pretty tickled hearing about some of Roy’s ideas. The most memorable was one where he set up a barber’s chair in the back of the boxing arena and ran a hair cutting promotion in the middle of a boxing match. For every crazy idea that didn’t work though, Roy had ten examples of things that did. Never be afraid of risk.
  8. Know who your customers are. You don’t sell out 19 straight shows on accident. Roy spends no money on radio, TV, or print advertising either. What he does do is create exciting incentives for every show attendee to provide their name and contact information. Roy used a cash prize promotion, a pretty straightforward idea. But, he incorporated principles of showmanship (calling out the winner and inviting them to a ringside seat for one bout) and instant and visible gratification (the winners were paid, in the ring, in front of everyone) to make it almost impossible to resist.
  9. Great people make a great operation. As part of the curriculum we got to watch one of Roy’s MMA fights. There were seven incredible bouts, many by fighters making their professional debut. Roy’s matchmaker, Arnold Berger, has a huge future in the business. The degree to which he spends his time and effort really getting to know the fighters was evident in the quality of the matches. The two hour show never got boring, even in between the bouts, thanks to Mike Hart, the ring announcer. Mike carried on a conversation with 1500 people with a smooth as butter style. And don’t even get me started on the ring girls. Roy hires right, period.
  10. Passion breeds achievement, achievement breeds success. This sounds like one of those cheesy inspiration posters, but it is nonetheless true. Only through the continuous relentless dedication of themselves to producing top quality shows has Roy and team been able to enjoy the success they have. You can’t fake it in that sort of pressured environment. Without passion, you burn out quickly.
    Jeff and "Razor" Rob McCullough
    Jeff and “Razor” Rob McCullough

Check out Roy’s website at www.battleintheballroom.com.

We’ve said this since, oh -2001. Why do companies break the ticket fee out in a line item to consumers? I’ve blogged about it on several occasions, but our general feeling is that “convenience fees” are hated by customers. I personally helped work the call center for an event recently, and more than one person expressed dissatisfaction with the fact that fees were charged at all.

Now, the company who trained consumers to hate convenience charges by systematically defrauding and flogging them for the past two decades has decided to swipe a page from our playbook. You can read the article here, but basically, TM is trying an “all in” ticketing price. The article implies that this was the idea of Irving Azoff, the high powered new CEO of Ticketmaster Entertainment who joined the company when Front Line Management merged with Ticketmaster earlier this year. They will test the strategy on the upcoming Eagles concert tour.

I tried to buy Eagles tickets for the “Hell Freezes over” tour back around 1994, Tickets were $90 for nosebleed seats at BJCC. I can imagine once you factor in all of the TicketMaster fees this time around you may drop two or three benjamins to see Glen, Don, and the crew phone in your favorites.

Regardless, this is a good idea. I have no doubt that Ticketmaster will see better numbers with this experiment, and this may become their standard operating practice in the future.

So let’s see- in the past couple of months Ticketmaster has:

  • Merged with FrontLine Management in a copycat strategy to address LiveNation
  • Renamed the company to reflect the acquisition
  • Named a new CEO, and
  • Changed their ticketing strategy

Seems like straw-grasping to me. In their quarterly revenue report, Ticketmaster showed that revenues dropped 76% from the quarter earlier. The economic downturn is hurting them (as it is most live entertainment businesses) and they are trying to respond. Will any of their responses benefit musicians or music fans?  Probably not.