Manchester
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.
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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.
Co-op Live look inside
Nick Flynn
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.
Courtesy of Oak View Group
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.
British rock band Elbow was never supposed to be the first act to play Co-op Live — the United Kingdom’s newest and biggest entertainment arena. That honor was originally supposed to go another Greater Manchester local, comic Peter Kay, who grew up in the nearby town of Bolton, and was slated to officially open the 23,500-capacity venue in on April 23.
But construction delays led to the cancellation of Kay’s shows and subsequent gigs for The Black Keys, A Boogie wit da Hoodie, Keane, Olivia Rodrigo, as well as a five-night run by Take That. After weeks of false starts, executives with building co-owner and developer Oak View Group — partners on the project with City Football Group (the parent company of Manchester City football club) – insist tonight’s (May 14) long-scheduled Elbow show at Co-op Live will go ahead. Across the live business, executives will be keeping a close eye on how events unfold in Manchester, where the much-hyped project is located.
Billed as a “game-changing” best-in-class new arena facility, Co-op Live has long been positioned as an important international pivot for co-owner Oak View Group, the LA-based arena development company launched by OVG chairman and CEO Tim Leiweke a decade ago. OVG has successfully designed, built and opened more than a dozen successful arenas in the U.S. including Climate Pledge Arena in Seattle and UBS Arena in New York and has a full slate of arena development projects in progress in Brazil, Nigeria, Canada and Wales. The firm has also confirmed that it’s in talks to open a new arena in West London.
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Arena construction is challenging under the most ideal conditions, and delays are common, but the arena’s aggressive opening calendar, with more than a dozen concerts planned in its first month, became a liability and source of embarrassment for the company as the delays worsened.
The first signs of problems became apparent at a press launch and invite-only test concert on April 20, headlined by U.K. acts Everything Everything and Rick Astley. OVG’s Leiweke travelled to England to be at the launch, which was attended by Billboard, and told guests of his extreme pride at what OVG and its partners had built in Manchester, which he enthusiastically called “one of the greatest cities on the face of the Earth.”
Foreshadowing some of the issues that were soon to follow, Leiweke urged those present to be patient as his team hosted an audience inside Co-op Live for the first time. “It won’t be perfect,” he said. “Please bear with us as we get through the growing pains and learn tonight how to better operate this building.”
As Leiweke spoke, extensive construction work could be seen and heard taking place in the background. At the time, only the ground floor and sections of the first floor were open to visitors. In those areas, lights, cables and wires could be seen hanging loosely from fittings. Temporary wall and floor coverings were a common sight and only a small number of toilets were accessible. The cold temperature inside the building suggested either its heating system was not working or had not been switched on.
Rendering of the interior of Co-op Live in Manchester, England.
Courtesy of Oak View Group
Hours before doors opened that night, Co-op Live announced it had cancelled thousands of free tickets for the test event, provoking an angry backlash from disappointed fans on social media. Inside the venue, the show went ahead smoothy in front of several thousand people — but it was hardly the grand unveiling OVG were hoping for and was overshadowed by negative headlines.
Less than 48 hours later, Co-op Live began detailing the construction issues delaying the building’s opening, starting with power supply issues that would push back shows for Kay, the comic, and The Black Keys by one week.
That news was followed by the surprise resignation of Co-Op Live building manager Gary Roden, who came under fire from the UK based Music Venue Trust for criticizing a proposal to raise money for venue preservation by adding a surcharge to Co-op Live and other U.K. arena tickets. The next day, the rescheduled opening shows by The Black Keys and Kay were postponed for a second time.
In an interview with the Manchester Evening News, Leiweke said Brexit, Covid and a record amount of rainfall were in part to blame for the delays to the project, while a joint statement from Manchester City Council and the city’s emergency services on April 26 blamed outstanding issues should been fixed in advance of opening including “a fully tested emergency services communication system… some remaining internal security systems, and fire safety measures.”
On May 2, during a soundcheck for A Boogie Wit Da Hoodie, a piece of the building’s ventilation system fell from the ceiling, shaking confidence in the building’s readiness. That led to another round of cancellations at Co-op Live, including upcoming shows by Rodrigo, Keane and Take That.
In response, A Boogie Wit Da Hoodie and Take That’s teams jumped into action and moved their concerts (six in total) to Manchester’s rival arena facility, the ASM Global-operated AO Arena, who’s general manager Jen Mitchell relished the opportunity, telling Billboard, “Everyone really pulled everything out of the bag at the last minute. It’s been a lot of late-night calls and problem solving, but in the best possible way.”
Mitchell declines to discuss operations at Co-op Live but says she empathizes with the issues the venue has experienced. “Arenas are big venues and there’s always challenges around those, and opening any space comes with its own [unique] challenges,” she says.
In Roden’s absence, Co-op Live is now managed by Rebecca Kane Burton, the former GM of London’s O2 arena, which is owned and operated by AEG.
Over the past two weeks, contractors have been working overtime to fix outstanding issues to the building and get it ready for tonight, insiders tell Billboard. An inspection by Co-op Live subcontractor, SES, found that the issues with its ventilation system, which led to the pulling of A Boogie Wit Da Hoodie’s May 2 show, was the result of “an isolated manufacturing fault.”
Sources tell Billboard that all premium member spaces for which tickets have been sold are up and running, including the venue’s deluxe spaces, Ciroc Lounge and AMP Club. As compensation for recent disruptions, ticket holders for all postponed shows would be offered a free drink and food item of their choice when visiting the arena, Co-op Live said.
“I think the lesson to be learned in all of this, is never over promise and under deliver because it will catch you out,” says Mark Borkowski, founder of London-based communications agency Borkowski and an expert in crisis and reputation management.
“The magnifying glass is now on them but if they can get it right, and they have got to get it right, then all of this will be forgotten.” says Borkowski.
He cites the troubled birth of London’s Millennium Dome, which was subsequently redeveloped as The O2 arena, as an example of high-profile building projects that experience major teething problems before eventually turning it around.
“No project of this scale runs to plan,” adds Borkowski. “The negative headlines that surrounded the Millennium Dome totally dwarfed what’s going on in Manchester, but now [The O2] is held up as one of the best in the world. Co-op Live can use that as exemplar of what they need to do.”
Olivia Rodrigo apologized to fans on Wednesday (May 1) after learning that her planned Friday night (May 3) show at Manchester‘s troubled new arena, Co-Op Live, had been postponed due to what the venue said are ongoing “technical issues”; Rodrigo’s second show on Saturday as part of the launch of the U.K. swing of her GUTS world tour has also been postponed.
“I’ve been having such a great time in Europe so far and I’m sooooo disappointed that we’re unable to perform in Manchester due to on-going venue-related technical issues,” Rodrigo said on her Instagram Story on Wednesday night. The singer said her team are doing their best to reschedule the shows, adding, “I’m so bummed and I really hope to see you all soon,” she told fans.
According to NME, just two days before the first Rodrigo show the venue announced that the dates had been pushed due to ongoing technical problems at the 23,500-capacity building. The arena was slated to officially open on April 23-24 with a pair of shows by comedian Peter Kay, but they were moved back to April 29-30 due to a failed power test after a half-capacity dry-run event with singer Rick Astley.
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In addition, a show by the Black Keys scheduled for April 27 was pushed to May 15 and the Kay shows were moved again (now slated for May 23-24), with Kay expressing his disappointment in an X post in which he wrote, ““My apologies once again but unfortunately the Co-op Live still isn’t ready and so, as yet, remains untested for a large-scale audience. Consequently, they are having to reschedule my two shows yet again (I know I can’t believe it either).”
The technical issues appear to be unresolved, with the venue announcing on Wednesday that a show by rapper A Boogie Wit Da Hoodie was cancelled just 10 minutes after doors opened. “Due to a venue-related technical issue, tonight’s A Boogie Wit Da Hoodie show will no longer go ahead. We kindly ask fans to leave the area. Tickets holders will receive further information in due course,” read a statement.
Not long later, the venue announced that Rodrigo’s shows were also being pushed back. “Due to an on-going venue-related technical issue, the scheduled performances of Olivia Rodrigo’s GUTS World Tour on 3rd and 4th May are being postponed. Ticket holders can either hold onto their tickets or obtain a refund at point of purchase,” read a statement.
After the latest setback with the Rodrigo shows, Manchester Evening News reported that a Co-Op Live spokesperson said the technical issue was related to part of an air conditioning unit falling from the rafters during soundcheck before the Boogie show; nobody was hurt in the incident according to reports.
“During soundcheck, a component of the heating, ventilation and air conditioning (HVAC) system, used to direct air, separated from the ductwork,” read a statement from a spokesperson for Oak View Group, the company backing the venue. “There was nobody injured. Although we believe this to be an isolated incident caused by a factory defect, we were not able to verify that all similar nozzles were free of such defects. In conjunction with wider stakeholders, Oak View Group has made the necessary call to ensure the full safety of all visitors to the venue, and to postpone the performance.”
“We understand the need to reassure fans over future shows. We are working with artist management and promoters to limit the impact on the opening season schedule,” the statement continued. “Where necessary, we will identify alternate dates, and will continually reassess to provide fans with sufficient notice regarding imminent shows. Should shows be cancelled or rescheduled, fans will be contacted by their point of purchase and offered a full refund where preferred. “
Oak View Group CEO/Chairman Tim Leiweke added, “The safety and security of all visiting and working on Co-op Live is our utmost priority, and we could not and will not run any event until it is absolutely safe to do so. Today was a very unexpected situation but without a doubt the right decision. I deeply apologize for the impact that this has had on ticket holders and fans.”
The venue — which at press time still listed the original Rodrigo dates on its site — has shows booked with Keane, Take That, Eric Clapton, Barry Manilow, Nicki Minaj and the Eagles scheduled through the end of the month, followed by planned gigs from the Smashing Pumpkins, Liam Gallagher, the Killers, Pearl Jam, Megan Thee Stallion, Justin Timberlake and Noah Kahan through mid-August.
The venue situated next to the Manchester City football pitch is the largest indoor arena in the U.K. and it is slated to host the 2024 MTV European Music Awards in November.
See statements from the venue below.
Due to an on-going venue-related technical issue, the scheduled performances of Olivia Rodrigo’s GUTS World Tour on 3rd and 4th May are being postponed. Ticket holders can either hold onto their tickets or obtain a refund at point of purchase.— Co-op Live (@TheCoopLive) May 1, 2024
Due to a venue-related technical issue, tonight’s A Boogie Wit Da Hoodie show will no longer go ahead. We kindly ask fans to leave the area. Tickets holders will receive further information in due course.— Co-op Live (@TheCoopLive) May 1, 2024
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