Attendees are willing to pay
Another weekend of Coachella is here, and people from all over the world are flying to the US to attend. Coachella has been part of music culture for a long time, and it continues to make waves beyond the music world. The headliners always dominate the two-weekend event, and most people go because they want to see their favourite musician make history. Going to Coachella has always remained a highlight of their lifestyle, and regardless of how much things cost, they still want to be part of the Coachella experience.
There are other festivals such as Wireless Festival and Glastonbury Festival, but nothing quite matches Coachella, and this shows its pull compared to other music festivals. Nevertheless, what has become clear in recent years is the price hike. Although some might argue that COVID and other external factors have affected the global economy, the increases at Coachella feel excessive.
This continues to be a problem, and the promoters of the event benefit from these prices. It does not seem as though they are keen to change things, as they believe attendees will continue to pay for these products, especially when people are willing to spend over £3,000 on a resale ticket for a weekend.
In the first week, Justin Bieber’s performance was a hit, with reports suggesting it broke records in the festival’s history. It has also been reported that he earned over $10 million for a 45 minute performance, and this highlights why tickets and on site products at Coachella are so expensive.
The perception of Coachella is that it creates a sense of exclusivity, making audiences feel they need to be part of it to experience the so-called Coachella fever. However, these prices are unlikely to fall, as the promoters know there is money in the system and people are willing to spend.
The purchasing power of consumers has grown over the last decade, as credit systems in the West have strengthened alongside the rise of Cryptocurrency and the use of credit cards. Cryptocurrency has created millionaires, allowing some to enjoy the finer things in life.
Studies suggest that many people who attend Coachella are relatively wealthy, which contributes to the rising prices. There needs to be an understanding that promoters will continue charging high prices, such as $90 for a charging locker or $17 for lemonade, as long as attendees are willing to pay.
Creating a sense of exclusivity at the festival should not come from high prices within the event, but from the strength of its line up. If prices continue to rise, there is a real possibility that Coachella could struggle in the long term, as strong line ups may become harder to sustain, and it could eventually resemble other festivals that have failed to last.
