Sport palais Antwerpen
vibes associated with a shiny new arena did tempt a number of big deals. In Scotland, a new £125million (€151m) arena under construction alongside the SECC will be called the Scottish Hydro Arena after the energy supplier agreed a ten-year deal worth £15m (€18m). The 12,000-seater building is due to open next year. Also in the UK, automobile supermarket Motorpoint invested a “seven-figure sum” to secure a five-year deal for the 7,500-capacity Cardiff International Arena. Now known as the Motorpoint Arena Cardiff, the contract followed the same brand inking a similar deal for Sheffield Arena (Motorpoint Arena Sheffield) in August 2010. In the Netherlands, the new 17,000-capacity Ziggo Dome will open in June 2012 and takes its name from the country’s largest cable TV and broadband supplier. EAA head Bull admits sponsorship has become vitally important to the venues sector in recent years and points to clever deals such as the LG Arena and the state-of-theart technological support it gets from its partnership with the electronics giant as an additional benefit to finding the right benefactor. “Sponsors have seen some huge deals like O2 securing naming rights and how they have leveraged that and gone forward. But in these cash-strapped times, I definitely think there are some bargains to be had at the moment for sponsors in the arenas market.” Despite the vast strides forward made across the arenas sector, new buildings are not welcomed by all, as competition from other venues and the scramble for artist tours were also prominent business factors flagged up across the continent in our survey. Martin Ingham at the Capital FM Arena Nottingham notes, “Leeds Arena will add a new dynamic to the UK Arena market, the result of which may affect most of the other larger venues, with the exception of The O2 [arena].” But slightly further north at the SECC, head of concerts and events sales Allan Snedden sums up the bullish nature of the arenas business. “Our confidence is underlined by the fact that we are building a new arena,” says Snedden. “Providing that the quality of product is maintained and all areas of pricing remain sensible and in tune with market forces, the sector can sustain the growth of recent years. There is no doubt that margins will be under pressure and ancillary spend will be harder to achieve, but nobody said it was going to be easy.”
Conclusion All in all, Europe’s arenas enjoyed a solid year despite a challenging financial environment during 2011, and it could be argued that, given the economic black hole in which many countries find themselves, governments could do well to follow the lead of the venues market – invest when the chips are down to ensure the future health of the business when normality returns. The emergence of live music during the last decade as the primary source for artists’ income has also seen managers, lawyers and accountants trying to squeeze every last penny out of promoters and venues, with 80/20 deals becoming commonplace and 90/10 splits being cautiously whispered about. Despite such pressures, the arenas business continues to thrive and with a slew of new stateof-the-art halls raising the bar for both performers and their audience, existing venues across Europe have initiated ambitious refurbishment plans and invested millions of Euros to deliver comfortable, high-spec spaces for punters to enjoy their fill of live entertainment. That ongoing commitment to improving buildings has undoubtedly helped the European arenas market become the envy of the world – and a must-visit circuit for international artists looking to take their talent on the road. The achievement of increasing total attendance by 11% cannot be understated. Unemployment figures are rising throughout the continent and there are very few households that are not cutting back on luxuries during this prolonged recession. But, if anything, the public desire for live entertainment has increased and that is attributable in no small part to the foresight of arena management collectively putting its money where its mouth is. The fact that venues are now ramping up their VIP offers, improving food and beverage facilities and taking more control of ticketing is another indication of the savvy, longterm strategic thinking prevalent throughout the business, which should keep the sector buoyant for years to come.
Participating Arenas Ahoy Rotterdam (NL), Amsterdam Arena (NL), Ancienne Belgique (BE), Antwerps Sportpaleis (BE), Arena Beograd (RS), Arena Leipzig (DE), Arena Riga (LV), Capital FM Arena Nottingham (UK), CEZ ARENA (CZ), Earls Court & Olympia (UK), Echo Arena Liverpool (UK), Gran Teatro GEOX (IT), Hallenstadion Zürich (CH), Hanns-Martin-Schleyer-Halle (DE), Hartwall-Areena (FI), Kultur-und Kongresszentrum Jahrhunderthalle (DE), LG Arena (UK), Lotto Arena (BE), Malmö Arena (SE), Mediolanum Forum (IT), Metro Radio Arena (UK), Motorpoint Arena Cardiff (UK),
58 | IQ Magazine March 2012
Motorpoint Arena Sheffield (UK), O2 arena Prague (CZ), o2 World Hamburg (DE), Odyssey Arena (UK), Olympic Hall Munich (DE), Palais Omnisports de Paris Bercy (FR), Palalottomatica (IT), Palau Sant Jordi (ES), Pavilhão Atlântico (PT), Porsche-Arena (DE), Press & Journal Arena (UK), Rittal Arena Wetzlar (DE), Royal Albert Hall (UK), Salzburgarena (AT), SAP Arena (DE), SECC (UK), Stechert Arena (DE), The NIA (UK), The O2 arena (UK), The O2 Dublin (IE), Tipsport arena (CZ), Wembley Arena (UK), Westfalenhallen Dortmund (DE), Westpoint Arena (UK).