Resolution 5019 - Laserfiche WebLink

MARKET ANALYSIS aforementioned segments of the market. The number of surveys distributed was intended to yield a response adequate to form simple extrapolations with a margin of error of +/-5% at a 95% confidence level. The actual survey response of 504 forms yielded a margin of +/- 4.4% at a 95% confidence level. As detailed in Exhibits 7 & 8 of this report, the survey showed: • Ticket pricing assumptions were confirmed for utilization in the financial analysis for the project. For example, approximately 60% of all respondents said they would spend $9 - $15 on a minor league professional hockey game. Also, approximately 40% of respondents said they would spend $16 - $25 on popular, rock or rap music concerts. Further, 39.9% said they would spend more than $25 for such a show. The majority of respondents reported that if a new arena were constructed, they would attend more entertainment and sporting events than they currently attend. This data supports the attendance projections utilized herein. With regards to concerts and family shows, 69.8% of respondents said that they would attend at least one more show per year and 35.7% said they would attend at least three more shows per year For sporting events, 58.9% of the respondents said they would attend at least one more event per year and 29.8% said they would increase their attendance by three or more events per year Promoter Interviews B&D conducted a telephone survey of local promoters and entertainment providers to gauge their interest in, and potential support of, a new multi -purpose arena. B&D staff researched the relevant regional and national promoters and Interviewed them in order to determine their general interest in supporting a proposed multi- purpose arena in Everett through concerts, family shows, fairs, and events. Exhibit 6 is a listing of • the questions asked each respondent. The results of this survey are intended to yield qualitative data on potential corporate support of an arena. The survey was not designed or intended to yield quantitative or statistically reliable responses. Promoters generally describe the City of Everett's current appeal to the entertainment industry as "limited' . Promoters view Everett as a secondary, or ' shadow" market of Seattle. Major concerts and events are most likely to schedule dates in Seattle or the Tacoma. Although the Tacoma Dome is located within comfortable driving distance to Seattle, the facility has successfully attracted first -tier acts because of its relative market size. The majority of promoters stated that there is no modern mid -size venue (8,000 — 10,000 seats) within the Seattle area. Promoters pointed to the Mercer Arena (6,100 seats) as the facility that is closest to that mid -size seating threshold. However, these promoters do not consider Mercer to be a mid -size venue, but rather a small venue. While there is a need for a mid size venue, promoters emphasized the value and importance of any proposed facility's multipurpose nature. A multipurpose facility will more successfully maximize the number of events that can be accommodated. One promoter suggested the purchase of drop curtains to allow for more flexible configurations. Several promoters describe Everett as a good central location for an arena that can easily cater to the residents of Snohomish, King Skagit, and Island Counties with some limited penetration into the Seattle metro area. When made aware of Everett's redevelopment efforts, a number of promoters became even more Brailsford & Dunlavey/Ellerbe Becket Page 15