Making money as a local venue in 2024: Dhruv Chopra, founder of Brooklyn venue Elsewhere, talks memberships, building community, and how Gen Z gig-goers want more than cheap beer
Aug 30, 2024
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Dhruv Chopra, founder of the innovative Brooklyn venue Elsewhere, shares insights on redefining local music spaces for 2024. He discusses the shift towards subscription memberships and a vibrant community through digital platforms. Chopra highlights how Gen Z gig-goers demand richer experiences beyond cheap drinks, prompting venues to adapt to new audience expectations. He explores the ongoing struggles of small venues in a competitive landscape and the importance of fostering connections within the live music ecosystem.
Local venues like Elsewhere are innovating with membership models that foster community engagement and enhance live music experiences for Gen Z.
The small venue ecosystem is challenged by rising costs and evolving consumer expectations, necessitating a focus on community connection and enriched experiences.
Deep dives
The Evolution of Live Music Venues
Live music venues are adapting to the changing landscape of music consumption and performance. Smaller clubs focusing on dance music are becoming more prevalent, with a notable decline in traditional live stages. These shifts reflect a broader trend where the boundaries between artists and audiences blur, reshaping how music is experienced. Venues like Elsewhere are pioneering new business models, emphasizing community engagement and local culture while navigating financial challenges in a post-pandemic era.
A New Business Model: Membership Programs
Elsewhere is experimenting with a membership model that includes a digital community and various engagement strategies. This model offers financial incentives, such as discounted tickets and free events, making it more accessible for fans while fostering a sense of belonging. The success of this initiative reflects a growing demand for inclusivity and community within the music scene, particularly as young audiences seek richer live experiences. This approach serves not only as a revenue stream but also as a method to enhance music discovery and connection among fans.
Challenges Facing Small Venues
The landscape for small music venues is increasingly difficult due to rising operational costs and consumer behavior changes. Inflation has placed a strain on traditional pricing models, forcing venues to compete with larger events that are draining consumer budgets. Despite these challenges, venues can still thrive by focusing on creating strong connections with their audience and emphasizing the importance of community. However, issues such as skyrocketing insurance rates and the ongoing pressures from big corporations in the music industry make sustainability an ongoing struggle.
Community Engagement in the Digital Age
In an era dominated by digital interactions, the integral role of live venues as community hubs remains crucial. Venues like Elsewhere are creating environments that encourage real-world social interactions while leveraging online platforms, such as Discord, to facilitate connections. This dual approach addresses the growing need for community, particularly among younger audiences who crave genuine experiences and human interaction. By blending live events and digital platforms, these venues can maintain their relevance and cultural significance in an increasingly virtual society.
Ep. 159: Dhruv Chopra, co-founder/CEO of Brooklyn venue Elsewhere, joins Joe Sparrow to talk about finding new ways of running local independent venues. Dhruv and Elsewhere are reaching around to find a new business model in a new gig-going world. Today, music is consumed, created, performed, played, discovered, experienced and valued differently – and yet, the basics of live music are the same: a group of people in a room while some music happens.
So Elsewhere is trying something that is both the same, and yet different – by exploring what a local live music venue can be in 2024, and how it can make money. The model that they have landed on involves a subscription membership, a digital Discord community, and a real-life “cultural epicentre”. It’s perhaps all the things that local venues have always been, but with more explicitly-defined models and platforms.
Dhruv also talks about the state of the small venue ecosystem in a post-pandemic era, when young consumers are demanding more from their live experiences than cheap beer, and $150 stadium show tickets are monopolising the budget of gig-goers.