Coronavirus DK: Entertainment industry on the ropes

Concert halls, theaters, clubs and other venues with live entertainment are warning that many of them will not survive (DK) unless the government changes its plans for reopening. These cultural organizations are still closed and are receiving compensation for fixed expenses and salaries. They are scheduled to reopen in phase 4 at the beginning of August. But the restrictions that they will need to operate under will make it impossible for many of them to make a profit or break even. 

The guidelines state that there must be 4 square meters’ space for each guest. The club Stars in the town of Vordingborg, for example, has capacity for an audience of 430 standing guests, but according to the coronavirus rule, it can admit only 50 people. “If we can’t fill the room, we can’t pay the musicians for playing and we can’t pay our bills,” says Simon Sandfield, who runs the club.

Politicians will rescue disco

“We’re being asked to open, but also asked to die,” says Eben Marcher, the head of Danske Live, an organization that represents cultural venues with live entertainment. “If we can let only one out of ten guests in, it can’t be a viable business.” Marcher estimates that half of these venues could go bankrupt.

MPs from both the opposition and the government’s supporting parties are listening to the warnings and calling on the Minister of Culture to take action before phase 4 begins. “We need a government and a minister that take responsibility and show leadership,” says Zenia Stampe of the Social Liberal Party. Minister of Culture Joy Mogensen responded in an email that if the restrictions are still necessary after the summer, the Ministry will consider how it can help cultural life. It invited Dansk Live and Danske Theater to a meeting on Wednesday.

Amusement park operators are not amused

Another segment of the Danish leisure economy is already suffering financially after reopening. Sommerlande are amusement parks (DK) for children that open in the summer; they have lodging, swimming pools and other recreational activities for young families. They are found in every region of the country, and they are reporting that they had many fewer guests than normal last week, the beginning of summer vacation for the schools. They opened six weeks later than usual, and they have had no foreign tourists, which account for one-quarter of their 12 million visits annually. 

They are also operating under other disadvantageous conditions, explains Søren Kragelund, the head of the amusement parks’ industry association. They have extra expenses for following hygienic requirements, and they are also subject to “unfair” competition. Under the government’s stimulus package, cultural institutions such as museums and zoos receive subsidies so that they can offer admission at half price. Amusement parks must demand full price and are losing customers to these other offerings.

“We’re talking about [organizations] that often already receive support and don’t risk going bankrupt,” says Kåre Dyvekær, the head of Sommerland Sjælland. There is some hope for improvement, though, as repeat customers with seasonal passes return. The weather was also very rainy last week. A sampling of museums and zoos revealed that they also had lower than usual attendance then.