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Reverse Cover Charge Idea
Run a night club? Peter Caputa has a promotion idea:
Most bars and clubs charge 5, 10, 15, 20 dollars at the door. A bunch of that goes to the promoter: the person supposedly responsible for bringing the people there. In a live music venue, it goes to the band. Instead of spending money on advertising the dj or the “theme”, fire the promoter and tell people to sign up at the website to get paid when they show up. Then, pay $5 to the first 200 people that show up. Net. Net. It is the same cash spent. Or maybe it is even less.
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Thomas Clarke on August 17th, 2005 1:26 pm
Keep the cover charge, and give the customer 2 free drinks. You keep the cash, drinks get rung up as “buy-backs”, they getting written off as business expense. You provide customer with value equal to cover charge, which only costs you your wholesale liquor cost.
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