RAC Arena says there’s still solid demand for corporate hospitality as it launches new product, The Terrace

RAC Arena says there is still solid appetite for corporate hospitality despite rising fuel prices and interest rates delivering a double blow to businesses. General manager Michael Scott said since launching the venue’s newest premium product, The Terrace, late last month it had already sold 18 of the 40 seats available. Located at the lower tier of the venue, each seat costs $24,500 a year, before tax, and has a minimum two-year agreement contract. It comes as consumer confidence sinks to its lowest level since 1973, fuelled by continuing pessimism as the effects of the Middle East war deepen and after two successive interest rate rises this year. But Mr Scott expects the strong demand for corporate hospitality to continue amid soaring cost-of-living-pressures. “When you divide (the cost) across all of the myriad of events and the types of events that we do, it’s actually great value,” he said. Membership for The Terrace includes food and drinks, free on-site event parking and private amenities. “When you do sign up you get absolutely every ticketed event that comes through,” Mr Scott said. “People have aspirations to have a better experience all the time and that’s our job to increase the experience of the fan that comes to the venue. “If we can give them a better experience, they’re absolutely prepared to pay for that.” With RAC Arena’s other premium products — the Crown Concert Club, Vantage and Up at the Suites — also at capacity, Mr Scott said the numbers spoke for themselves. RAC Arena commercial development manager Neil Wyatt said it wasn’t just small business owners and multi-national companies buying memberships for The Terrace, but also the general public. “The main point of difference . . . is the in-the-action seats, you are front and centre, you are courtside, you’re a stone’s throw from the main stage,” he said. “We’ve had a really strong record of full membership occupancy over our journey. “(It demonstrates) the strength of our content program here at RAC Arena . . . we have something for someone every month, we’ve got sport, we’ve got kids entertainment, we’ve got rock, we’ve got pop, country, comedy.” Asked how corporate hospitality demand had changed over the years, Mr Wyatt said: “Since COVID, most of our members are using their hospitality to thank and reward their staff.”