As I sit down to write this post, Coachella has just come to a close. It’s safe to say that one weekend at Coachella can easily set you back $2-$3k, maybe even more. Yet rising ticket prices and area lodging averaging ~140% higher than any other peak time haven’t curbed attendance at all. In fact, Goldenvoice, the group that operates Coachella, added forty acres to this year’s festival site, allowing attendance to skyrocket from 99,000 to 125,000.
The bottom line is that experience and event spending habits that were once reserved for the wealthy have become commonplace amongst Millennials and Gen Zer’s alike. Plus, with continuing consolidation in retail, it’s not a big stretch to infer that discretionary income once used for aspirational tangible goods has shifted to aspirational experiences.
Some savvy retailers have found new success by aligning with these spending habits and joining forces with large-scale events and festivals, keeping them at the forefront of retail innovation.