governor’s ball project final

GOVERNORS BALL:

FESTIVAL ON A FREEWAYKYLE ROBINSON

MNG 6975/16/16

AGENDA• INTRODUCTION• BUSINESS STRUCTURE• REVENUES & REVENUE SOURCES• EXPENSES

• S.W.O.T. ANALYSIS• SUMMARY & RECOMMENDATIONS• Q&A• SOURCES CITED

INTRODUCTIONYOUR FESTIVAL MAP FOR THE GOVERNORS BALL

INTRODUCTION• 2011 – HELD ON GOVERNORS ISLAND – 1 DAY FESTIVAL

• HIGHEST GROSSING EVENT ON GOVERNORS ISLAND

•2012 – MOVED TO RANDALL’S ISLAND – EXPANDED TO 2 DAYS•2013 – EXPANDED AGAIN TO 3 DAYS – WEATHER ISSUES•2014 – 2016 – FULL STEAM AHEAD•OPERATED BY FOUNDERS ENTERTAINMENT• LIVE NATION PURCHASED STAKE IN FESTIVAL IN 2016

FESTIVAL OVERVIEW• CURRENT FESTIVAL LAYOUT• MULTIPLE STAGES SPREAD TO

PERIMETER OF PROPERTY• SEVERAL FOOD & BEVERAGE CLUSTERS• SPONSORSHIP ACTIVATIONS SPRINKLED

THROUGHOUT• LIMITED TRANSPORTATION OPTIONS –

NO PARKING OR TAILGATING

AMENITIES• CULINARY DELIGHTS • FOOD TRUCKS, POPULAR NYC RESTAURANT

POP-UPS

• SILENT DISCO• PING PONG & LAWN GAMES• PHOTO BOOTHS & INSTALLATIONS• SPONSORSHIP ACTIVATIONS GALORE• SPONSORED LOUNGES, EXPERIENCES,

AUTOGRAPH SIGNINGS AND MORE

• VIP EXPERIENCES• REGULAR & SUPER PACKAGES• PREMIUM SEATING OPTIONS IN

FRONT OF EACH STAGE• AIR CONDITIONED AREAS• LIQUOR SALES• SUPER PACKAGES INCLUDE SHARED

LOUNGES WITH ARTISTS, MERCH PACKAGES AND MORE

GOVBALL’S DIGITAL

PRESENCE

BUSINESS STRUCTUREBACKSTAGE PASS INTO THE FINANCES OF ONE OF THE NATION’S PREMIER MUSIC FESTIVALS

TICKET PRICINGGENERAL ADMISSION• 3 DAY PASS = $305 + $40 IN FEES

= $345• SINGLE DAY = $105 + $30 IN FEES

= $135

VIP TICKETS• 3 DAY PASS = $700 + $50 IN FEES

= $750• SINGLE DAY = $240 + $40 IN FEES

= $280• SUPER VIP PASS = $2,000• CABANAS = $15,000 +

GETTING THEREBROOKLYN SHUTTLE BUS• RUNS CONTINUOUSLY• LEAVES BROOKLYN BOWL IN

WILLIAMSBURG• 3 DAY PASS - $65• 1 DAY - $30

MANHATTAN FERRY• RUNS CONTINUOUSLY• LEAVES 34TH & FDR DRIVE• 3 DAY PASS - $75• 1 DAY - $35

REVENUES• PAID ATTENDANCE IN 2015 – 150,000• ESTIMATED TICKET SALES = $12 -

$15M• ESTIMATED PER CAP @ $50 = $7.5M• FOOD & BEVERAGE• MERCHANDISE• PREMIUM EXPERIENCES &

UPGRADES

• GROSS REVENUES BETWEEN $20 – 23M• ADDITIONAL SPONSORSHIP

REVENUES - $2 - $5M

EXPENSES• FOOD & BEVERAGE C.O.S.• TICKET FULFILLMENT & C.O.S. • LABOR• SECURITY• A/V & STAGE CREW• COPS/EMT• SANITATION & WASTE REMOVAL

• SIGNAGE/SUPPLIES

• PERMITS• BOOKING & TALENT ACQUISITION

FEES• MARKETING & ADVERTISING• EVENT INSURANCE• HOW DOES LIVENATION HELP WITH

SOME OF THESE COSTS?

S.W.O.T ANALYSISBATTLE OF THE BANDS: HOW GOVERNORS BALL STACKS UP AGAINST THE COMPETITION

STRENGTHS• DIVERSE MUSICAL ACTS• STAYS AWAY FROM “JAMMY” ACTS • CATERS TO MILLENNIAL CROWDS

• LOCATION• CULINARY EXPERIENCES• VIP EXPERIENCES• SPONSORSHIP ACTIVATIONS

WEAKNESSES

• NO CAMPING• TRANSPORTATION OPTIONS• LITTLE TENTED OPTIONS• NYC PRICES

OPPORTUNITIES• CREATIVE SPONSORSHIP ACTIVATIONS• HD QUALITY HEADPHONE RENTALS• SPOTIFY PLAYLISTS & LIVE RECORDINGS• LIVE STREAM ACTS DIGITALLY AND AT SELECT VENUES• EXPENSIVE MARKETPLACE CAN MAXIMIZE REVENUE

THREATS• WEATHER• MORE FESTIVALS • LIMITED SUPPLY OF ACTS• DIRECT LOCAL COMPETITION

• FESTIVALS WITH CAMPING • AT THE MERCY OF NYC PARKS

DEPT

SUMMARY & RECOMMENDATIONTHE LOAD OUT: HOW CAN GOVERNORS BALL IMPROVE THE GIG?

RECOMMENDATIONS• ARTIST ANNOUNCEMENT EVENT• ADD TENTED STAGE• PARTNER WITH VENUES AND BARS

ACROSS U.S.• CURATE SPOTIFY PLAYLISTS &

RELEASE LIVE CONTENT• CREATE VR EXPERIENCE ON SITE

AND AT HOME

Q&A

SOURCESHTTP://FORTUNE.COM/2013/07/03/HOW-MUSIC-FESTIVALS-MAKE-MONEY/ - ACCESSED 4/25/16HTTP://WWW.MARKETWATCH.COM/STORY/HOW-TO-GO-TO-A-ROCK-SHOW-LIKE-A-ROCK-STAR-2014-06-12 - ACCESSED 4/25/16HTTP://WWW.WSJ.COM/ARTICLES/ROCK-N-ROLL-AND-CREATURE-COMFORTS-AT-GOVERNORS-BALL-1402280347 - ACCESSED 4/25/16HTTP://WWW.BENZINGA.COM/NEWS/16/04/7826370/LIVE-NATION-ACQUIRES-MAJORITY-STAKE-IN-GOVERNORS-BALLS-PARENT-COMPANY - ACCESSED 4/25/16HTTP://WWW.CNBC.COM/2015/06/05/BRANDS-JOIN-GOVERNORS-BALL-AND-THE-FESTIVAL-CIRCUIT.HTML ACCESSED 4/25/16HTTP://CONSEQUENCEOFSOUND.NET/2014/12/FESTIVAL-OF-THE-YEAR-2014/ - ACCESSED 5/11/16HTTP://GOVERNORSBALLMUSICFESTIVAL.COM/ - MULTIPLE DATES BETWEEN 4/25-5/11/16IMAGES PROVIDED THROUGH GOOGLE IMAGE SEARCH