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Case Study - A Service Failure in The Entertainment Industry - Fyre Festival
Case Study - A Service Failure in The Entertainment Industry - Fyre Festival
Jordan Hood
Introduction
Fyre Fest was a music festival in 2017 that was brought on by a man named Billy
McFarland and rapper Ja Rule. This festival is widely considered to be a huge service failure in
the live events industry because it was a fraudulent festival with the sole goal of scamming a
wealthy audience out of their money. What was supposed to be the biggest music festival the
world has ever seen turned out to be the most unorganized event that left attendees scared for
their safety. As a result of this festival, many attendees were left trapped on an island during a
storm, with no food, shelter, or any escape back home. Fyre Fest is now remembered as one of
The expectation of this event didn’t come close to matching the true reality of the
experience. The event was marketed to be an immersive music festival that incorporated culture
with music and included the world’s most famous artists and celebrities. The founders used
social media to their advantage by creating a promotional video that shows supermodels on
beaches in the Bahamas with luxury boats and suites (Vargas, 2019). One huge positive aspect of
this event was the way they were able to use social media to their advantage to attract the right
audience as well as attract artists and celebrities. The reach this festival had on social media
played a huge part in creating this fantasy idea of what the festival was supposed to be, and that
is how the producers were able to trick so many innocent festivalgoers and celebrities into
The reality of this event was drastically different from the image people saw on social
media. Upon showing up, guests immediately realized there was something wrong. Some
immediate red flags were that they were not flying on private jets as the advertisements said,
they were transported from the airport to the festival grounds on school buses, and once they
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reached the grounds, there were trucks, boxes, and equipment scattered everywhere, with no real
stage or anything in sight. The “luxury suites” that attendees bought were actually disaster tents,
and most attendees had to carry the mattresses to their tents. Nothing was as advertised, and
attendees immediately knew they were in danger. There was also a huge storm across the island,
which prompted all artists to cancel their trips out to perform. Attendees were now stranded on
this island, getting burnt from the scorching sun, and deprived of food, water, or any shelter.
Some attendees paid upwards of $50,000 to attend this festival, and those are the circumstances
This festival can be a teaching experience for many members of the hospitality and
entertainment industry, specifically those looking to work in the festivals and live events
industry. This event is a prime example of all the ways an event can go wrong if the people
planning the event are unorganized and have skewed motives. There are many things to learn
from this event such as how long an event should be planned prior to opening, the kind of money
and effort that goes into it, and how it takes more than just passion and a vision to make an event
happen. Hospitality and entertainment managers would need to use this topic as a way to learn
what not to do want to when planning their own event in the future.
For several months following the inevitable conclusion to this event, news articles were
coming out left and right regarding the events that occurred on that island in the Bahamas and
gave first-person accounts from attendees that were there. There were even two documentaries
released, one on both Netflix and Hulu. The Hulu documentary contained a personal interview
with Billy McFarland and focused a lot of their content on his personal motives with the festival
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(Hulu, 2019). While most of the blame should go to McFarland, there is a lot to say about his
team of people and the amount of planning (or lack thereof) that went into this festival.
Billy McFarland referred to himself as a successful serial entrepreneur but was truly just
a con artist at work. Many events leading up to the creation of Fyre Festival reflected the
fraudster that he truly is, such as his creation of Magnises, the millennial’s version of a black
card (Huddleston, 2019). McFarland was able to get $500,000 out of an investor and attach
rapper Ja Rule to the project to make it more believable. Ultimately Magnesis is what planted the
idea in Billy’s mind that he could make a lot of money from defrauding millennials and investors
(Hulu, 2019). Once Magnesis began to fall off, the idea of Fyre Festival was created. This shows
that McFarland’s career is just a series of scams that eventually ends in his imprisonment for
defrauding “over 100 investors out of more than $26 million” (Huddleston, 2019).
The first red flag for this festival was in how long it took the organizers to plan the event.
This event was marketed to be the biggest most immersive music festival in the world, so one
would expect that this event spent years of planning in preparation for its fruition. According to
Chris Smith, the director of the Netflix documentary Fyre, “The organizers had six to eight
weeks to pull off something that should have taken close to a year” (Baggs, 2019). Coachella, for
example, is one of the biggest and most renowned festivals in America every year. Each year
“Coachella is normally held in April, but planning is done far in advance. In fact, organizers state
that they begin booking acts for the next year’s festival as early as August.” (gotügo, 2015).
There is a lesson in this for all future event planners as well as the organizers for Fyre Festival,
which is that festivals need to be planned months in advance, and had McFarland known this, he
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wouldn’t have waited until a month or two shy of the event weekend to begin figuring out
logistic details.
Another important aspect of this event that was not planned well has to do with the
location of the event and the weather for the weekend. McFarland had chosen a small island in
the Bahamas to host his event and did no further research into the location before showcasing it
to the attendees. One huge problem leading up to the event weekend was that the island’s biggest
event each year, the regatta, was planned to happen the same weekend as the festival, which
renowned restauranter Stephen Starr…but Starr…confirmed with PEOPLE that they were not
involved” (Spence, 2017). What the attendees received however was not authentic cuisine in any
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form. This tweet from @TrevorDeHass on Twitter explains that they received bread, cheese, and
a salad with dressing as their VIP meal. Another huge logistic failure of this event was the
housing they provided for attendees. Just like how attendees with VIP tickets were meant to
receive an authentic meal prepared by a famous chef, they were also promised VIP Villas for
about $20,000, and then upon arriving at the festival, attendees learned that everyone would be
sleeping in disaster tents, some without mattresses (EDM.com, 2017). As mentioned before, the
recurring theme with the organizers of this event is that they made many promises that they
been avoided.
Fyre Festival utilized a social media strategy that worked in their favor greatly, and many
lessons can be taken from their marketing approach. Firstly, the way that the organizers were
able to create a name for themselves (considering this was the first time this event was taking
place) was through what is called influencer marketing. They were able to market the festival
through social media influencers, who proved to be very helpful in spreading the message of
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Fyre Fest (LiveArea, 2019). Millennials and youths are known for the trust they put into the
celebrities they follow on social media, and the organizers wanted to capitalize on that. An event
“that had not happened before was able to sell thousands of tickets because simply based on
trusting people they had never met” (Melville, 2019). Other than boosting ticket sales, this
marketing strategy proved to be effective because it helped them reach their target audience and
allowed for mass awareness of the event more quickly (Kaur, 2019). Their initial strategy was to
post a neon orange tile on Instagram as a way to stop people from scrolling. This, along with
their promo video was an excellent way to catch the attention of an audience whose lives revolve
around social media. The promo video featured this unattainable, fantasy vision of what a
luxurious music festival could look like. Though it did not nearly reflect the actual festival, it
was a great way to set an expectation and make people want to attend.
Managerial Implications
One of the biggest implications as to why Fyre Festival did not turn out as planned was
due to the amount of time that was allotted to plan the festival. According to Vargas from
Refinery29, the idea for the festival was original born in 2016, but other than going island
hunting for a location, McFarland didn’t begin to act on planning the festival until December
2016, just four months before the festival was set to happen (Vargas, 2019). This was the
creators’ first mistake, among many others. Future festival producers and hospitality managers
can learn from this because there is so much work and planning that goes into any event, and
four months is not nearly enough time to figure everything out. Even McFarland himself owned
up to his mistakes, though it came much later in 2021 while he was still behind bars. “McFarland
says his biggest mistake was setting an unrealistic timeline for the festival, and that if he had a
year or two more, he would have been in a better place,’” (Bueno, 2021).
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Another huge takeaway from this event is how Fyre Festival was able to market the event
and their social media campaign that brought in so much attention. As mentioned in the
discussion, the social media managers and marketers that Fyre Fest hired were very smart with
their decisions. “The influencer posts were evocative, giving just enough information, whilst
leaving the audience wanting more,” (LiveArea, 2019). The promotional video, along with the
orange-tile on social media worked greatly in their favor to target the exact audience they were
going for and to put the festival’s name out into the world.
A final note that has been a recurring theme through this analysis is that for an event to
take the world by storm, all the fancy promises need to be followed through with. Though it
doesn’t happen often, festival producers and marketers should plan and hope for the best-case
scenario and strive to live up to that expectation that’s being set. Fyre Festival made promises
they couldn’t deliver and created a fantasy event that would never realistically be pulled off.
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References
Baggs, M. (2019, January 18). Fyre Festival: Inside the world's Biggest Festival flop. BBC
News. Retrieved November 15, 2021, from https://www.bbc.com/news/newsbeat-
46904445.
Bueno, A. (2021, March 3). Fyre Fest Organizer Billy McFarland Admits From Prison That He
'Knowingly Lied' to Get Money for Event. Entertainment Tonight. Retrieved November 29,
2021, from https://www.etonline.com/fyre-fest-organizer-billy-mcfarland-admits-from-
prison-that-he-knowingly-lied-to-get-money-for.
Case Study: What Can Marketers Learn From the Fyre Festival Fallout? LiveArea. (2019,
February 14). Retrieved November 29, 2021, from https://uk.liveareacx.com/trends/fyre-
festival-marketing-lessons/.
EDM.com - Music Partners. (2019, April 20). The Envision Festival VIP Experience is the Fyre
Festival that Actually Happened. EDM.com. Retrieved November 20, 2021, from
https://edm.com/events/envision-festival-fyre-festival-actually-happened.
Huddleston, T. (2019, August 22). Fyre Festival: How a 25-year-old scammed investors out of
$26 million. CNBC. Retrieved November 19, 2021, from
https://www.cnbc.com/2019/08/18/how-fyre-festivals-organizer-scammed-investors-out-
of-26-million.html.
How To Plan An Event Like Coachella. gotügo. (2015, June 9). Retrieved November 14, 2021,
from https://www.gotugo.com/blog/events/plan-event-coachella/.
Kaur, T. (2019, March 17). The Power of Influencer Marketing: Fyre Festival Case Study.
Meltwater. Retrieved November 15, 2021, from https://www.meltwater.com/en/blog/the-
power-of-influencer-marketing-fyre-festival-case-study.
Melville, A. M. (2019, February 13). Fyre Festival - A Social Media Strategy that Ignited Chaos.
Sparkloft. Retrieved November 29, 2021, from
https://sparkloftmedia.com/blog/2019/2/12/fyre-festival-a-social-media-strategy-that-
ignited-chaos.
Spence, S. (2017, April 28). 'Literally Bread, Cheese, and Salad': How Fyre Festival-Goers
Were Duped After Promise of Celeb Chef Meals. PEOPLE. Retrieved November 20, 2021,
from https://people.com/food/fyre-festival-food-ja-rule-bahamas-fest/.
Vargas, A. (2019, January 18). Keep Track Of The Fyre Fest Disaster With This Detailed
Timeline. Refinery29. Retrieved November 29, 2021, from
https://www.refinery29.com/en-us/2019/01/221816/fyre-festival-timeline-what-happened-
netflix-documentary.