Meanwhile over in SFXE Ville things look pretty bleak as well. I know your a big fan of Festivals and EDM Matt Finstin, so am I but with both NGHT and SFXE reporting today I think your learning that being a fan and making money are quite different.
I get to look at the books of numerous Festivals every year. The one thing that I see with EDM is that these kids do not Drink or Eat very much for that matter. Alcohol sales are way off for the events. Id say that 80 % of the attendees are on Molly and they just don't need to eat or drink while rolling. That and the fact that these kids are not nearly as affluent as say deadheads or are older and have more disposable income.
The people making money are the Large Venues, The Artist,and the Drug Dealers.
IF SFXE can not make a substantial profit in the 3rd quarter on 267 events with 27 of the largest EDM Festivals in the world in their portfolio then I think you really need to reexamine your theses.
Lets face it November 14 was a dad day for corporate EDM. Looks like Pasquale Rotella made the right choice to go with Live Nation whom is much more diversified than SFXE.
For what its worth I sold out of sfxe today at a substantial loss, I drank the Koolaide too Mat. I had already sold my shares in NGHT.
I did learn allot on this board over the last year and Ill signal The General out for special mention. He actually managed to make money on NGHT as a long and that took skills.
AI
