Gaylord Entertainment's earnings were up 14% in the 2nd quarter compared to the same period a year ago. That is the good news. The not so good news for fans of the Grand Ole Opry: The Opry and attractions segment saw revenue drop 27.6% to $17.7 million in the 2nd quarter.
Opry revenues down should not be a surprise. The Opry has cut the number of shows, reducing to 1 on a number of Saturday nights. Also, the Thursday night Opry Classics show is not bringing in the strong revenue that would have equalled the 2nd Opry Saturday show. The economic downturn has reduced the number of tourists and tours coming to Nashville, and that is still the majority of Opry ticket buyers. That said, the general feeling among financial people is that Gaylord is in better shape than it was a year ago and that the company is doing better in its management of its revenue.
It's kind of funny to think about. How do you increase revenue when you cut back the number of shows you sell tickets to? Granted, that might cut expenses ....
ReplyDeleteThere was an editor at The New York Times, A.M. Rosenthal, who said when other newspapers added water to the soup, The Times added tomatoes to the soup--in other words, they kept trying to improve. Adding new members is an improvement. Cutting back the number of shows, and the number of people on the shows, isn't likely to attract more crowds and revenue.