Downtown Madison businesses have to cope with economic consequences when UW-Madison students leave during the summer months, but city events and tourism may help account for losses.
Ald. Mike Verveer, District 4, said downtown businesses are likely to experience a drop in overall customers because a large number of student patrons depart during the summer.
""When summer rolls around each year and a good chunk of students are not on campus that does make a difference for a lot of downtown businesses,"" he said.
According to Mary Carbine, executive director of the Central Business Improvement District, businesses on State Street or near the UW-Madison campus lose the most customers.
""The closer you are to campus, the more likely you are to have a student base,"" Carbine said. ""[Businesses] up by the Capitol may not be as reliant on the student base.""
Rachael Stanley, co-owner of Dotty Dumpling's Dowry, said customers drawn to their Lake Street establishment often come from crowds attending UW-Madison athletic events at the Kohl Center.
""Generally for the summer we'll notice a lot more families and smaller children as well as the business lunch crowd,"" she said.
Carbine said the loss of UW-Madison patrons and athletic fans during the summer is countered by prospective students visiting campus during the summer months.
According to University Book Store President Pat McGowan, his bookstore runs promotions, including a T-shirt giveaway, to attract future students to the store when they attend Student Orientation, Advising and Registration with their families starting in June.
Carbine said businesses also aim to attract visitors who travel to Madison for vacation, conventions, festivals or the farmers market. She said these people will typically spend more money when they are in town because they frequent hotels, restaurants and other establishments.
According to Carbine, downtown businesses pay attention to the influence of students in their business plans. She said establishments follow economic trends to gain a better picture of their area.
""The businesses that are very attuned to the student market are very attuned to the rhythm [of the city],"" Carbine said. ""They understand people's discretionary spending is currently down.""
Verveer said establishments know a loss of students is coming and can plan for it. He said some bars and restaurants have opened outdoor cafes and patios and have gained more revenue by doing so.
""The majority of downtown businesses know what is happening and make do, some [owners] even go on vacation themselves,"" he said.
