Saturday, May 29, 2010

Business Week: Bonnarro a $30 million success story

Bonnarro, a huge Free Market success.

Link HT: Steve Bartin
That decision led to the founding of the Bonnaroo Music and Arts Festival, a 100-band jamboree that has been the top-grossing music festival in North America for eight years running. This year, from June 10-13, 75,000 fans will make the pilgrimage to a 700-acre farm an hour southeast of Nashville for what observers ranging from Rolling Stone to the concert chronicler Pollstar have called the best music festival in the country.

As live concerts have supplanted album sales as the music industry's chief moneymaker, Bonnaroo (which means "good times" in Creole) has flourished. Ticket prices range from $250 for a general-admission pass to $18,500 for a luxury package that includes an air-conditioned bus, on-stage VIP viewing platforms, and a chauffeured golf cart to shuttle between the two. Meanwhile, the promoters have 16 other profit centers on-site, including concessions, merchandise and, yes, paid showers. Last year the festival grossed around $30 million, approximately $18 million of which came from ticket sales. And since, according to Goodstone, Bonnaroo "funds itself on ticket sales," the other $12 million was profit.