One of the biggest events in music
is held in Austin, and some locals know exactly how to handle it.
South By Southwest (SXSW) is an
annual festival held every spring in Austin, Texas, releasing hundreds of
thousands of movie, technology, and music fans from all over the globe into the
city’s streets. Many of the locals are embittered by the traffic the festival
brings, but for more capitalistic Austinites, these numbers mean virtually
unlimited opportunities.
The New York Times refers to the
festival as “the envy of every other American City.”
It is no secret South by Southwest
is a gold mine for the city of Austin. Market research done by the festival
itself shows SXSW being responsible for injecting more than $190 million into
the Austin economy. This figure, according to the SXSW City of Austin Economic
Impact Analysis is drawn from two main sources: operational output and
attendance expenditures. The study goes on to note that third party income is
not included in the analysis.
With the festival’s ten-day
stretch, those travelling to Austin are looking to stay a while. Hotels fill up
almost as quickly as admission badges are sold, and festivalgoers are looking
for alternative places to stay.
Willing Austinites take advantage
of skyrocketing hotel rates by subleasing their apartments to travelling
attendees, and the profits can be hefty.
“I’m charging $650 [a night], and I
already have the interactive portion booked,” said Chris Callaway, an Austin
resident who subleases his apartment frequently.
South by Southwest is comprised of
three main sections: film, interactive, and music. Callaway plans to make
$3,900 from the technology section alone, which still leaves an opportunity for
the other two-thirds of the festival. In order to have a place to stay during
the music portion, Callaway charges $750.
There are risks involved, of
course. The subleasing organization Callaway uses has a damage reimbursement
policy that insures any damages will be monetarily accommodated.
“I am actually in the process of being reimbursed for damages done,” Callaway said. “Overall, it’s well worth the money.”
“I am actually in the process of being reimbursed for damages done,” Callaway said. “Overall, it’s well worth the money.”
Callaway asked that his real name
not be used, as many owners frown upon subleasing, and he prefers to avoid the
risk of eviction.
Websites like Airbnb.com allows
renters to post their home for travelers to pick and choose. Renters are
required to post bios and pictures of their house, and travelers put up reviews
rating the quality of their stay. Hosts are expected to prepare their living
spaces to the standards of a hotel, from clean sheets to stocked refrigerators.
Festivalgoers aren’t the only ones
targeted by Austinites. Exhibitors and bands that haven’t quite made it yet
don’t always have a place to stay.
Nathan Guus van Oort, a student at
the University of Texas at Austin, graciously offers his home to traveling
bands in exchange for admission badges to the festival.
“We hosted an Irish band called St.
Deluxe one year and got 8 wristbands,” Oort said. “Another year we hosted a
band called Skiggy Rapz, a Dutch hip hop group, and again got 8 wristbands.”
Oort said his role as host afforded
him to spend time with the groups, though Skiggy Rapz was “sketched out” by the
coop he was living in at the time, and they ultimately decided to find a hotel
instead.
“It’s a great experience.”
Some Austinites look for cash, others for a free ticket. There is a sector of locals that want neither: bloggers.
“Hits on my blog at least double during
South By South West,” said David Glickman, an Austinite running an indie rock
blog.
Glickman explained that if he can
get his coverage up quickly enough, everyone searching for bands they saw
during the festival visit his blog, which is a priceless opportunity for
bloggers looking for traffic. The results do not come without extra effort.
Getting coverage up on his sight the day of the performance is “near physical
suicide.”
“There’s a two day delay for the
coverage,” Glickman said. “My Wednesday coverage, for example, will start going
up Friday.”
On a normal week, Glickman puts up
4 to 5 posts on his blog. During SXSW, he clocks in around 16, at least
tripling his normal workload.
The world knows of the benefits of
South by Southwest: the best of independent film, the latest in cutting edge
technology, and a music scene great enough to give Austin the title of Live
Music Capitol of the World.
