djfrosty

LONDON — Four months after opening its doors following a troubled, repeatedly delayed launch, Co-op Live has announced the appointment of Guy Dunstan as general manager and senior vice president of the United Kingdom’s biggest entertainment arena. Dunstan succeeds interim GM Rebecca Kane Burton, who was parachuted into the role in April when the venue’s original manager, Gary Roden, resigned several days after an ill-fated preview test event.

Dunstan, who has over 25 years of experience in the live events industry, most recently as managing director of arenas for NEC Group, where he was responsible for the 15,685-capacity Resorts World Arena and 15,800-capacity Utilita Arena in Birmingham, takes up the post at the Oak View Group-owned venue Oct. 21. As part of the executive reshuffle, Burton is promoted to executive vp of venue management for OVG International, where she will oversee the firm’s facilities, sports, entertainment, and hospitality divisions.

Located in the city of Manchester, Co-op Live is OVG’s first major project outside the United States and cost £365 million ($462 million) to build. Billed as a “game-changing” best-in-class arena facility, the much-hyped 23,500-capacity venue was originally due to open April 23 but high-profile construction delays led to multiple rounds of show cancellations before British rock band Elbow became the first act to officially play at the Populous-designed arena on May 14.

Since then, Co-op Live has staged over 35 events, including shows by the Eagles, Pearl Jam, Liam Gallagher, Jonas Brothers and Megan Thee Stallion, and sold more than 900,000 tickets. In November, MTV’s Europe Music Awards (EMAs) will be held at the venue, marking the first time the event has been held in Manchester. Other upcoming bookings for 2024 include Paul McCartney, Janet Jackson, Crowded House, Glass Animals and Charli XCX.

“As we move into the next chapter of the venue’s story, Guy’s leadership will be a significant asset in helping us achieve our goals for Co-op Live to become the most sustainable arena in Europe and a first-choice venue for artists and fans worldwide,” said Jess Koravos, president of OVG International, in a statement announcing Dunstan’s appointment.

“What’s really exciting for me is that this venue has been specifically designed for live music and live entertainment,” Dunstan, a former chair and vice chair of the National Arenas Association, tells Billboard in an exclusive interview.

“When I first walked in and had a tour with [OVG chairman and CEO] Tim Leiweke I immediately said: ‘This is a dream to be able to work in a venue like this.’ Because everything has been designed to be focused on the customer experience and focused on the artist experience. That 365-million-pound investment means it is the top venue in the market, which makes it so exciting for me to be coming in to run it.”

Here, Dunstan discusses his vision for Co-op Live, his thoughts on the arena’s tumultuous launch, the recent furore around dynamic ticketing in the U.K. and more.

Congratulations on your appointment. What are you goals and long-term ambitions in the role?

A lot of great work has been done since the venue opened in terms of getting Co-op Live established and getting the promoters and artists used to working in the venue. That’s provided a great platform for me to be able to now come in, evaluate and focus on the areas that we need to carry on doing well, as well as those that we need to continually improve on. That’s what I’ve learnt in the past 28 years: our business doesn’t stand still. It’s continually evolving. Every day they’ll be a challenge that is thrown at you. And you have to have a structure and a team in place to deal with those unforeseen circumstances. Longer term, it will be about making sure that we’re providing the best possible experience for everybody who comes into the venue – front of house, back of house – and to thrive in that environment.

You were not involved with Co-op Live at the time of its troubled launch but as someone working in the live music business you must have followed the story closely.

My heart went out to the team. Every venue has had a day or a period where there’s been an issue, or a crisis and it has been under the spotlight. At that time, I reached out to one or two members of the team and took a very supportive view on that. What’s been great since then is how the team has bounced back and have really focused on the event programme. All the events that we’ve done since that opening period has really moved that [conversation] forward very quickly. 36 events have already been done. 900,000 tickets sold. In our business you have to learn, adapt, move on and grow. And I’ve definitely seen that in the time that I’ve been able to look at the venue.

What has been the reputational damage to Co-op Live from that chaotic three-week opening period and the many shows that were cancelled?

Things move forward very quickly. You’re as good as your last event and since the arena has been operating it’s been providing some great shows. Liam Gallagher was quoted as saying this venue is up there with [New York City’s] Madison Square Garden. The Eagles were saying the amenities, sight lines and facilities are what other venues should strive for. So that’s what I think is now driving that reputation. People are experiencing what the venue is all about and the focus is now on continuing that journey. We’ve got a venue that is first-in-class and that reputation and the awareness of that will grow every time we put an event on. When fans buy tickets and come into the venue that’s where their perceptions will really be built.

One of the biggest criticisms of Co-op Live from visitor reviews is the high price of food and drinks with a pint of beer costing almost £9.00 (almost $12.00). How do you justify those prices?

Since the pandemic there’s been a huge increase in cost in terms of food and beverage provision, so those prices are in line with the general arena market, and we have to reflect that in the price that we pass on to the consumer.  What I would focus on there is the quality and range of the product [available]. When you walk into Co-op Live, one of the things that really strikes you is that the facilities feel like what you would expect to see on a high street or at the high-end range of clubs and bars. 15-20 years ago, venues at this level were essentially just bowls with a functional concourse for people to get around and some holes in the wall to get a burger and a warm pint. There was no real focus on the customer experience, but that’s where our industry has evolved over time and Co-op Live has taken it to a new level.

Co-op Live is OVG’s first arena outside of the U.S. and marks the start of the company’s international expansion plans. What impact has OVG’s entrance into the European market had on the touring and arena business?

It’s really important from a U.K. point of view that we’re an attractive proposition to artists and promoters. We’ve got over 20 arenas operating in the U.K. and introducing top-quality facilities into the market is a real positive because the whole market benefits from that. What OVG have done is refreshed the focus on venue management. I think there was probably a complacency in there. The market was well established with the major operators and what OVG have done is come in and completely focused on venues providing great customer experience, state of the art facilities and venues that are actually designed for the product they are delivering. I think OVG have really shifted that focus and revolutionized the way that operators look at their own venues.

One of the biggest stories in the U.K. live music industry recently has been the furore over dynamic pricing on tickets for Oasis’ comeback tour next year. What are your views on dynamic ticketing and is it something that Co-op Live welcomes?

Ticket pricing and how that is set is very much an artist and promoter focus. As venues, we will work with promoters to make sure we are facilitating their needs and requirements, but the subject of [dynamic pricing] is something I’m going to leave to artists and promoters to take a position on. The venue has no benefit from how that plays out.

Nevertheless, a key part of your business model is offering concert goers a wide range of premium, and VIP upsell seating options?

We don’t want customers coming to just one show a year to see their favorite artist. We want them to have a really great experience when they’re here and want to come back again and again. And we’ve seen that through the growth of premium, which has really shifted. There was a gap in the [premium] offer that [Co-op Live] has helped meet. In the past there was a big gap between the highest-level premium and general admission and to many people premium was seen as not attainable. Now there’s different entry levels and it is affordable. The proof is in the pudding in that demand for those premium experiences, over and above just buying a standard ticket, has grown immensely.

Earlier this year, a Parliamentary committee called for a new voluntary tax to be added to arena and stadium tickets sold in the United Kingdom to support struggling grassroots music venues. Is that something OVG and Co-op Live supports?

Yes. Where there is an opportunity to put a voluntary levy or artist-led additional fund onto the ticket that can then go back into supporting the grass roots sector is something we will support as an organization. There’s a will and a momentum to take this forward right across the live music chain, from artists to promoters to venues. This is something we have to do that benefits the sectors that really need that support.

U.K. live music trade groups have also been calling for a cut in VAT sales tax on concert tickets, which is currently set at 20%, to bring the sector closer in line with other European countries. What impact would that have on the U.K. live business?

The benefit would be felt right the way through [the ecosystem] – from venues of our size and nature to the grass roots sector. There is clear evidence [from other European countries where the VAT rate is lower than the U.K.] that it does benefit the live business. [Cutting VAT on tickets] is something I completely endorse because hopefully it brings ticket prices to a level that is more attractive. But also it can be used to support other parts of the eco system and enable it to be more viable at a grass roots level.

One of the biggest issues facing the live sector post-pandemic is the rise in costs throughout all levels of the production chain, coupled with wider economic pressures impacting on consumer spending. How do you offset those cost rises and what are you doing to make sure live music remains affordable for fans?  

That’s been a real challenge, particularly over the past three years or so in running venues of the size and scale that we operate. We have got to be really agile in the way that we manage costs and there’s costs that we have to continually review and monitor. Equally, we have to be mindful of how we deliver the customer experience and price sensitivity is really important. What I do see is that whilst the cost-of-living crisis has been a major issue globally, people are still really keen to come to entertainment venues. We’ve not seen an impact on ticket sales and what we have also seen is that people are still willing to spend money in the venues.

Harry Styles, who grew up in the small Cheshire village of Holmes Chapel, around 30 miles outside of Manchester, is an investor in Co-op Live and advised on aspects of the venue’s design. Can we expect to see him perform at the venue anytime soon?

When he is ready to tour, we’re ready and welcome for him to come and play and we really hope we’re the first venue [he chooses] when he comes back to play in the U.K. market.