Air Zoo: Free Admission Promotion

The Air Zoo, an aviation museum located in southwest Michigan, is approaching its 30th anniversary and is faced with declining attendance and thus not meeting its financial goals. In early 2008, CEO Bob Ellis is considering the elimination of the admission fee during the peak months of June, July, August and September. The quantitative decision focuses on the estimates Bob presents as to the breakdown in the type of visitor that the Air Zoo is likely to attract with a free admission promotion. While there is some anecdotal evidence on the current make up of visitors to the museum, there is little information to support or refute Bob’s estimates. Given the limited amount of information Bob must make a go, no-go decision on the promotion.