Miami nightclub owners are struggling in wake of FTX and crypto downfall(businessinsider.com)
businessinsider.com
Miami nightclub owners are struggling in wake of FTX and crypto downfall
https://www.businessinsider.com/miami-club-owners-lose-top-spenders-ftx-crypto-downfall-report-2022-11
I'm calling BS on this statement. I worked for 10 years in hospitality and nightlife. $10,000 in revenue is an average Friday/Saturday night for a popular 150 person capacity venue in a mid-tier city. I have no doubt the crypto money dried up, but let's not feel bad for these people - the crypto spending was on top of their usual revenue, not a replacement. When you look at big spenders in the nightlife scene, these people are not buying tangible products that have an associated expense to the business (there's still fixed costs but scaling revenue with this clientele doesn't scale costs). Selling liquor (at a small mark-up) is not the same as selling a "table" which is nothing more than space inside the club for an exorbitant fee and the opportunity to purchase bottles of alcohol at 1200%+ mark-up. Clubs might thin out their staff a little in response to lower attendance, but they are not going belly up (unless there is some serious funny business in their treasury management).