How One of Live Nation’s Core Business Strategies Backfired at Astroworld

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Astroworld had a setup ill-suited for a raucous crowd and little if any oversight from Live Nation’s most experienced festival executives.

The hands-off approach is by design. Live Nation CEOruns the company with a decentralized management strategy that encourages promoters it acquires, such as ScoreMore, to run as independent units, each responsible for its own revenue and expenses. That encourages the kind of aggressive booking strategies that keep Live Nation’s event pipeline full of shows that generate Ticketmaster fees, sponsorships and other revenue.

In the wake of the Nov. 5 tragedy, Live Nation and ScoreMore — an Austin-based company that the mega-promoter acquired in 2018 and now essentially operates as a subsidiary — have been criticized for allegedly cutting corners on Astroworld, but they don’t actually appear to have cut costs. In fact, the stage created just for Scott’s performance at the festival cost $5 million, according to ScoreMore.

Unlike most festivals with potentially aggressive crowds, however, the area in front of Scott’s stage didn’t have barriers on its left and right sides. His stage was 200 feet long — over three times the length of the main stage at Coachella — and since almost all of the action took place in the center, concertgoers swarmed into the main viewing area from both sides, then pushed toward the middle, according to numerous accounts.

 

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