‘Can Co-op Live ever make sweet music after bum note launch?’

Food-to-funeralcare giant the Co-op has been in the headlines for over a week, associated with some of the biggest names in entertainment.

It should have been great PR for the retailer, except the coverage has been for all the wrong reasons.

The botched opening of the flagship Co-op Live venue in Manchester has resulted in an ongoing slew of cancelled gigs as everyone from comedian Peter Kay to US singer Olivia Rodrigo was forced to pull big performances and the stage stayed dark.

Instead of being linked to memories of fantastic nights out, the Co-op’s name now conjures up feelings of disappointment among fans, some of whom were also left out of pocket by long journeys to see their idols.

It should be emphasised that the Co-op does not operate the venue – that’s Oak View Group – but took up naming rights in the expectation that a connection to the concert hall would enhance its reputation and bring business benefits.

“The Co-op’s support would have boosted the economy in the city with which it is so associated and proud to call home – it was good corporate citizenship”

Some would ask why the retailer, which has typically made support for local good causes around its network of convenience stores a foundation of its appeal rather than supporting grand projects, ever got involved.

However, the reasons were understandable at the time. The venue, in east Manchester, is in a regeneration area. The Co-op’s support would have boosted the economy in the city with which it is so associated and proud to call home – it was good corporate citizenship.

The vision also chimed with the Co-op’s bigger purpose, such as ethics and sustainability. The arena was designed to be “one of the most sustainable and socially responsible buildings of its type in Europe”, “at the forefront of Manchester’s zero carbon agenda” and would help tackle poverty through a zero-food waste scheme.

Through the partnership, about £1m per year will also be distributed to good causes by the Co-op Foundation.

The retail group’s members would also benefit. They are entitled to privileges including early access to tickets, food and drink discounts, and access to special backstage VIP experiences.

“Crucially, the hope is also that the partnership can help the Co-op forge bonds with a younger demographic”

As well as rewarding customers, among the more overtly commercial attractions for the retailer was that the venue would also sell Co-op eats.

Crucially, the hope is also that the partnership can help the Co-op forge bonds with a younger demographic.

The retailer had already started, through initiatives such as pop-ups at Glastonbury, to woo people aged under 36, who a few years ago accounted for only about 20% of its membership.

In the run-up to what was supposed to be the opening of Co-op Live, the retailer’s food director of marketing communications Amanda Jennings told live entertainment industry publication Pollstar: “Our values align quite easily with young people. We want them to understand how a membership-owned business works, and that we are a brand that’s for [them].

“We have to modernise and find ways to keep relevant and really demonstrate value for our membership.”

Co-op Live was envisaged as a venue that would compete on a world stage alongside places such as New York’s Madison Square Garden. At present, that prospect looks as distant as Manhattan.

However, perhaps the comparison ultimately will be with another once troubled, now loved, venue: London’s Dome.

That project, originally the Millennium Dome, was plagued by problems including on opening night that were described as one of the worst PR disasters ever.

Today the dome, of which Tesco was one of the original sponsors, enjoys success as The O2 arena – a naming partnership that has worked magnificently.

The Co-op struck its Live deal in 2020 as the pandemic raged. At the time Jo Whitfield, then leading the Co-op’s flagship food division, said: “The coronavirus pandemic is having a significant impact and our multimillion-pound investment is a signal of our intent for the future of the region, creating jobs and helping to bring some of the world’s best events to Manchester.”

This week Rodrigo told fans that she was “so bummed” about the cancellation of her shows. No doubt Co-op chiefs feel the same.

So far Co-op Live has been more bum note than sweet music. The tie-up was driven by goodwill and optimism in the future at a dark time. It also appeared to stack up from a business point of view.

Now it must come good on its promise – fast – or the hoped-for benefits to the Co-op may prove illusory.