<div dir="ltr"><div><div><div>If the LNC wants to take a look at this while we're in Phoenix, I'll be happy to break out the super-cool spreadsheets that I've assembled in the convention archive. I guess that means I need to spend a little time filling in info-to-date for 2016 for comparison against past years...<br><br></div>I'm not opposed to giving it a try, selling 2018 convention packages at the 2016 convention. I think the pattern of package pricing over the years has been consistent enough that we can make a pretty good guess at what it will need to be in 2018 also. I've got data for that.<br><br>I'm not convinced that it will necessarily increase attendance or profitability of the event, but we don't really have data to say either way. I'd be willing to try it and see if it helps. If it doesn't, then no need to repeat the effort in future years.<br><br></div>I might be able to make a case from the archive data that starting to sell in December vs. January vs. February may not substantially change the final sales figures, but merely re-distributes the timing of those sales because the people who are going to come are going to come regardless of when the package sales start. I think by about 7-8 weeks prior to the convention, the sales across various years tend to catch up to a consistent level regardless of how early/late the sales started. This impression is not from thorough analysis, just from having looked at a decent starting pile of data, and maybe additional thought/input would push me to a different conclusion.<br></div><div><div><div><div><div><br></div><div>If it is the case that early sales don't actually increase the total sales, then the question becomes whether it's beneficial to have cash in hand early. I would say yes to a limited degree, but there's a point of diminishing return on having more cash on hand earlier because the biggest chunk of cash-out happens at the end of the convention after 100% of the revenues have been collected.<br><br>We do need to make some convention expenditures in advance, things like purchasing delegate badges, ribbons, binders, etc. We may purchase flights for non-delegate guest speakers and for staff. Those are relatively small percentages of total expenditures.<br><br>Without breaking out contracts to look at the precise details, let's guess that within a month prior we sometimes have to make an advance deposit for some percent of the expected food/beverage bill. With F&B running often in the $60k-70k range, if we had to put half down as a deposit, that could be $35,000...not chump change. <br><br>With total convention expenses likely to be $150k-170k, unless I'm forgetting something else large, we can ballpark that we need 30% of total revenues in advance for those milestones. Archive data argues that by 7-8 weeks prior, we've sold about 60% of our packages, so as long the number of attendees is on pace with expectations, that's usually sufficient to cover these kinds of advance costs.<br><br></div><div>Once we cover those with package sales, the largest expenditure comes after the convention when we get THE BIG BILL from the hotel. It includes the balance of food/beverage, the a/v which is a large chunk, staff hotel rooms, suites that we re-sold, etc. We get a large bill from the printer. Credit card purchases have to be paid in a month or so, and expense reimbursement requests trickle in.<br></div><div><br></div><div>My initial impression is that our typical sales patterns are usually sufficient to cover the advance costs, and the only value to selling tickets 2 years early is if it will end up increasing total sales.<br><br></div><div>One potential risk that comes to mind is that we could find that in the end we've sold about the same number of packages, but more people bought early at discounted rates rather than last-minute purchases at higher rates. The result could be just lower revenues from the same quantity of package sales.<br><br>I'm willing to try it, and after the 2018 convention we'll evaluate whether it worked or not.<br><br></div><div>-Alicia<br><br></div><div><br><div><br></div></div></div></div></div></div></div><div class="gmail_extra"><br><div class="gmail_quote">On Wed, Feb 17, 2016 at 7:16 AM, Scott L. <span dir="ltr"><<a href="mailto:scott73@earthlink.net" target="_blank">scott73@earthlink.net</a>></span> wrote:<br><blockquote class="gmail_quote" style="margin:0 0 0 .8ex;border-left:1px #ccc solid;padding-left:1ex"><div><div style="font-size:13px;color:rgb(0,0,0);font-family:Arial"><br>I am not sure why the ED is singling me out on this issue. I am pretty sure there are
other LNC members who think selling packages at a Convention for the <b>next</b> Convention is a good idea.<br><br>The
best people to comment on this suggestion are the members of the current
Convention Committee. Does the time-value of money work out such that
it is helpful to get that first $20,000 or whatever it is into the bank
account now, as opposed to waiting until January 2018?<br><br> Scott Lieberman<br><br><br>GGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGG<br><br><blockquote style="padding-left:5px;margin-left:0px;border-left:#0000ff 2px solid;font-weight:normal;font-style:normal;text-decoration:none;font-size:10pt;font-family:arial,sans-serif;color:black"><span class="">-----Original Message-----
<br>From: Wes Benedict <u></u>
<br></span>Sent: Feb 17, 2016 6:55 AM
<br>To: <a href="mailto:lnc-business@hq.lp.org" target="_blank">lnc-business@hq.lp.org</a>
<br>Subject: Re: [Lnc-business] early convention revenue strong cause prices set early
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Dr. Lieberman,<br>
<br>
I think you've always been a proponent of selling packages for the
next convention at the current convention. Do you still feel that
way? If so, and the LNC wants to, I'm for it. I've been reluctant
to do it before, but I think now I'm for it. You just need to set
the prices. I think the LNC can approve the 2016 Pre-Early Bird
prices as the prices for the 2018 convention. They are close enough.
We don't need detailed calculations and projections to get more
precise prices. If, later, we decide we need to raise prices, well
we can honor the prices for the people who already bought them. If
we decide to lower prices, we can issue refunds later. <br>
<br>
What do you think? If y'all pass it at this LNC meeting, we'll have
forms ready for 2018 Convention shortly after, and certainly we'll
bring them to the 2016 convention and push them often. All I need
from the LNC is an approved price list. For convenience, here's
2016.<br>
<br>
2016 Convention Pre-Early Bird Prices (were valid till 12/31/2015
plus a few days until I updated the website):<br>
2016 Attendee Ticket is 95<br>
2016 Basic Ticket is 139<br>
2016 Bronze Package is 259<br>
2016 Silver Package is 349<br>
2016 Gold Package is 399<br>
<br>
<br>
<br>
<pre cols="72"><span class="">Wes Benedict, Executive Director
Libertarian National Committee, Inc.<a href="http://lp.org/membership" target="_blank"></a><br><br></span>GGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGG<br><br></pre><span class="">
<div>On 2/17/2016 8:57 AM, Wes Benedict
wrote:<br>
</div>
</span><blockquote type="cite"><span class="">
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Below is from a January 20 email I sent to BetteRose and a few
others:<br>
<div>=================<br>
<u></u>
Additional important data point.<br>
<br>
Do you know what our convention revenue for the 2014 convention
was as of January 20, 2014? I'll tell you in a second.<br>
<br>
Our revenue for the 2016 convention as of today is<b> $62,501</b>.
That's without having even mentioned anything about any specific
speaker.<br>
<br>
Our revenue for the 2014 convention as of January 20, 2014 was
$0 (zero dollars).<br>
Same for the January's corresponding to 2012, 2010, 2008, and
2006. January 2004 revenue for the 2004 convention was $1,100.<br>
<br>
Why $62,501 for 2016 when it was practically zero for the prior
decade?<br>
<br>
#1 reason is because YOU set the prices early. #2 reason is
because LPHQ put up a payment system soon after you set the
prices, and then later mentioned it in emails. In the past, the
convention committee could never get their prices decided and
they also usually tried to make a website on their own which set
things back even further. <br>
<br>
So I guess I'm making two important points. #1) People are
coming to the convention regardless of who the speakers will be;
#2) We are way ahead on revenue but must be cautious--we are
ahead on revenue because we set prices and took payment--we
can't tell if final demand for the convention will be high. <br>
<br>
BetteRose and Daniel, I very much appreciate your work on this
convention. I think you are doing a great job when I compare
your work to previous conventions. It has been a pleasure
working with you both. You seem to allow staff to make
suggestions and actually listen, regardless of whether we agree
on everything. <br>
<br>
It's going to be a great convention. Let's keep it up. Don't let
my concerns about speaker fees concern you too much. Thanks
again.<br>
<br>
<pre cols="72">Wes Benedict, Executive Director
Libertarian National Committee, Inc.<u></u><u></u></pre><u></u></div><br>
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