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How will the economic downturn effect Drivers Ed's

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Old 11-11-2008, 12:17 PM
  #31  
Bull
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Originally Posted by VaSteve
Right. I know DE can contribute to underwriting other events, but I didn't think it was deliberately run to make a "profit" more along the lines of benefit to the membership. I am a numbers guy by trade, but I don't know the economics of DE vs AX vs other events from a club's perspective. I have hear tales of $15,000 a weekend for the track rental. Don't know what flaggers cost, but it I know at Summit they use rank amatuers. I once went to the Turn 9 flagging tub to take some photos. The girls working the tub didn't know whether they were watching a race or what the event was. Really! And we depend on these folks for safety. I wonder if things got dire, could we have club members take a turn in the tubs ( but not at tracks like VIR for instance)?
When I was on the board a couple of years ago, the $15k weekends were history in our area. Recently, it has been more like $25k - $35k, depending on 2or 3 days, etc. We did our own flagging years ago, but that ended due to safety concerns (most pros are experienced and good, with some exceptions), insurance concerns and track requirements in some cases.




Originally Posted by VaSteve
That's what I'm talking about. If you constantly hear that the sky is falling and people are out of work it hard to think of dropping $250 to load of the car and spend another $200 in gas for a weekend of shredding a spare set of tires on a spare set of rims....in a spare car. However, nothing about my economics have changed, except the price of gas.
It is all about confidence...that if one spends a dollar today, it will be possible to replace it tomorrow.

Regarding gas prices...in my area the prices are below what they were for the past couple of years ($2.09 for 87 octane that my truck burns). Not so elsewhere?
Old 11-11-2008, 02:30 PM
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Driver8
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Originally Posted by VaSteve
I wasn't sure the point was to "make money" rather to cover costs and teach people to drive. I see non-marque organizers trying to make money, but my impression of what PCA and other clubs set out to do was supposed to be different.
We are a smaller region in NY (275 members) and we run 3 DE's a year. We rely on making a profit on at least 2 of these events so we can fund our newsletter, autocross, donate to charity and subsidize other club activities so our members do not have to pay out of pocket.

Aaron
Old 11-11-2008, 05:40 PM
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VaSteve,
As Driver8 points out, DE usually funds other club activities since PCA regions are all non-profit. IF DE loses money, there is no other source of funds for most regions. The profits we're talking about are small, a few percent of the total expense.

Regards,
Old 11-11-2008, 06:00 PM
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I know Zone 1 has DE events of their own, do other Zones have their own events?
Do any of the Zone reps assist in scheduling DE events to avoid competition for participants between regions?
Old 11-11-2008, 08:35 PM
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I am likewise concerned. My racing budget has eroded and coupled with a crash this year, things don't look good for racing. Fortunately, my GT3 is alive and well and track prepared and I have enough tires to last me quite some time doing time trials...

can't wait for that tax increase for those of a certain household income...
Old 11-11-2008, 08:57 PM
  #36  
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I know Zone 1 has DE events of their own, do other Zones have their own events?
Do any of the Zone reps assist in scheduling DE events to avoid competition for participants between regions?
Zone 2 has one DE each year as well. Part of the thinking I believe is so that the smaller regions in the Zone have a chance to attend a DE.

Our region has seen the income from DE drop this year and although DE has not run at a loss it does require some re-thinking about how the region funds all its events and publication in the up comming year. In past years many non DE members have enjoyed the benifits of DE income at numerious social and special events. With the decline in DE enrollment it is a challenge to continue on this path.
Old 11-11-2008, 09:06 PM
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Originally Posted by Bull
When I was on the board a couple of years ago, the $15k weekends were history in our area. Recently, it has been more like $25k - $35k, depending on 2or 3 days, etc. We did our own flagging years ago, but that ended due to safety concerns (most pros are experienced and good, with some exceptions), insurance concerns and track requirements in some cases.

....


Regarding gas prices...in my area the prices are below what they were for the past couple of years ($2.09 for 87 octane that my truck burns). Not so elsewhere?
OK, $15K was a guess on my part. I had no real idea.

Yeah gas is down here. I think <$2 for 87 near me. Of course this happens AFTER track season.


Originally Posted by Bob Rouleau
VaSteve,
As Driver8 points out, DE usually funds other club activities since PCA regions are all non-profit. IF DE loses money, there is no other source of funds for most regions. The profits we're talking about are small, a few percent of the total expense.

Regards,
When I was working with my club, I found that the newsletter was running a loss. It was a lot of work for the guy that did it, but he was burned out and it was "shopworn". I had assumed that the advertising covered the cost. They took a break and revamped the whole thing. The current one is World Class, but I doubt it makes money either.

I would suspect that DE-less region people are reading here, but I know not every region does events....how do they bring in $$$$??
Old 11-11-2008, 09:32 PM
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it appears to me that for Nor Cal, PCA golden gate region, the participants are not dropping off much.
but most other local clubs do see drop in participation.
there are two types of DE ppl.
type 1 are addicts. they would sell house, wife, kids so they can continue. those ppl i still see on track every time i am out there.
type 2 are recreational users. they definitely dropped in volume.
Old 11-11-2008, 10:12 PM
  #39  
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Originally Posted by RDL
So with the general consensus that DE participation, what chages are PCA regions making to their DE programs?
To start this off I think we need to review PCA DE's from different areas of the country. Being from Ohio, I know that the majority of the regions in Ohio, Western PA, Indiana and the state up north do rely on DE to be profitable. Particularly the small regions doing a DE requires a great deal of their budget. If it is not profitable they can not do the charitable or other events they would like to do.
With this premise, what changes do you see Regions doing to minimize the economic effect? Any cost containment measures, promotional ideas, etc?
I know that Ohio has suffered more than some of the other areas around the county, being heavy into auto Mfg, and the layoffs, it has surfaced this year. I don't have the numbers per se but participation is down. It is hard to insulate yourself from a loss. You have to pay the tracks up front and take the risk. The Regions are starting to work together in planning and coordination and you WILL see more joint events this year to spread the risk. Competition is another factor, PCA was the pioneer but many have come to the party, we have a good format and still offer a good program. Long time members may have to show some loyalty to the PCA more than before.
Old 11-11-2008, 10:40 PM
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I would say the Ohio area De's are down in numbers this year. Used to be I could go and instruct many times over the summer. This year I instructed one maybe two weekends tops. I tried with several other regions but no go. They were hurting for paying customers and I wasn't high enough on the instructor list I guess.
Old 11-11-2008, 10:55 PM
  #41  
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In Region 5
Lone Star Region 7 DEs this season, 1 canceled so far due to Hurricane Ike normal participation is 175 to 190 drivers
Hill Country Region 1 DE this season, 165
Maverick Region 6 DEs

At present our local economy is not in too bad a shape. We will see if this keeps up. Normally we lag the rest of the nation. We support charities with what ever is remaining at the end of the year.
Old 11-11-2008, 10:57 PM
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I bought my 1st Porsche just over 1 year ago. I attended 2 DEs in the last few months. I'm now in search of a dedicated track car. I plan to go to every DE I can.

I'm lower middle-class, single, female, and just stupid enough to do what I love despite what Wall Street tells me to do.

Maybe we'll get lucky and there will be a few more like me... and DE will stay alive and well.

Who's with me??!!!!
Old 11-11-2008, 11:05 PM
  #43  
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Originally Posted by 911vet
I bought my 1st Porsche just over 1 year ago. I attended 2 DEs in the last few months. I'm now in search of a dedicated track car. I plan to go to every DE I can.

I'm lower middle-class, single, female, and just stupid enough to do what I love despite what Wall Street tells me to do.

Maybe we'll get lucky and there will be a few more like me... and DE will stay alive and well.

Who's with me??!!!!

You go girl!
Old 11-11-2008, 11:28 PM
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Originally Posted by todinlaw
PCA was the pioneer but many have come to the party, we have a good format and still offer a good program. Long time members may have to show some loyalty to the PCA more than before.

Was PCA really the pioneer? I'm new to Porsche ownership (well 5 years this month) and I didn't even know about this stuff when I bought the car. Really. Sad isn't it.

Anyhow, I like to do PCA event since that's where my friends are. And they have spare parts.
Old 11-12-2008, 09:35 AM
  #45  
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Originally Posted by mooty
type 1 are addicts. they would sell house, wife, kids so they can continue. those ppl i still see on track every time i am out there.
.
HAHAHAHAHAHA, aint that the truth!


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