The $10 dance spreads like a virus....
Well it was in the paper on Sunday, another Toronto Strip Club has joined the ten dollar price cut for dances.
The House of Lancaster was first and apparantly according to all accounts is doing bang up business, so the Manhatten has stepped up to the plate and has delivered the same deal to their patrons.
They are still charging the girls the same floor fees I hear which I think is totally unfair.
Mind you our floor fees are pretty low in comparison to what I have seen some clubs charged. So I guess we shouldnt bitch too loud abou that huh?
Re: The $10 dance spreads like a virus....
This is a totally naive question, but how much are they regulary?
Perhaps you can make up the money by having a higher volume of dances? Or maybe the $10 lapdances are not as good for the customer, since the dancer is not getting as much money and less motivated, and they end up taking their buisiness elsewhere, like to your club.
Just a thought.
Tyler.
Re: The $10 dance spreads like a virus....
As I posted in your earlier thread on this subject, hard economic times has now caused "deflation" in the Toronto market. This translates into dancers doing 50% more dancing (assuming an average of three $10 dances per customer in place of two $20 dances) in exchange for 33% less money ($30 instead of $40). Clubs refusing to reduce the house fees/tipouts in response to this price and earnings reduction has the effect of changing the 33% earnings reduction into a 35% or 40% earnings reduction instead.
The thing that you need to worry about now is how quickly $10 dances will spread to every club in the city. At that point, the number of club customers will again return to normal (versus extra customers right now at the $10 clubs). When this happens, it will be difficult to sell more dances than you were able to a month ago before the $10 trend started. This will lead to doing the same amount of work as before (2 dances at $10 versus 2 dances at $20), but earnings will be cut in half. Actually, cut to less than half if the clubs don't reduce stage fees and tipouts.