The London-based Abba Voyage experience has witnessed a significant financial boost, doubling its pre-tax profit over the past year.
With turnover crossing the £100m mark, Abba Voyage has proven to be hugely popular, drawing in over a million visitors in 2023.
Surge in Show Sales
The company behind Abba Voyage reported a pre-tax profit increase from £3m in 2022 to £6m in 2023. This considerable growth was largely driven by show sales, which surged from £58.8m to £101.5m. This rise in revenue underscores the strong market demand for the unique entertainment experience provided by the show.
According to the recently filed accounts with Companies House, the total turnover for the business rose from £97.1m to £103.6m. Despite these impressive figures, earnings from film rights sales and stage rights sales saw notable declines. Film rights sales dropped sharply from £15.3m to £1.1m, while turnover from stage rights sales decreased from £22.8m to nearly £900,000.
Increased Performances and Visitor Numbers
In 2023, there was a significant rise in the number of performances staged by the company, increasing from 228 performances in the previous year to 374. This expansion in performances attracted over one million visitors, a notable increase from the 675,600 visitors in 2022. The substantial rise in visitor numbers further highlights the show’s growing popularity and commercial viability.
A statement from the board of Abba Voyage articulated their long-term strategy: ‘The group’s long-term strategy is to continue to run the show in London for as long as it remains commercially viable.’ This statement reflects the company’s commitment to maintaining its operations and catering to the high market demand.
Employment Growth
The surge in popularity and increased number of performances have also led to a significant rise in the average number of employees at Abba Voyage. The number of employees grew from 64 in the previous year to 113 in 2023; this growth in staff reflects the expanding scale of operations necessary to support the increased activity.
This strategic increase in the workforce has been essential in managing the operational demands of the additional performances and the accompanying rise in visitor numbers. Maintaining a higher number of performances and managing over a million visitors necessitates substantial human resources.
Digital Avatars and Technological Integration
A distinctive feature of Abba Voyage is its use of digital avatars. These avatars depict the members of the group as they appeared in 1979, offering audiences a nostalgic and technologically enhanced experience.
The concerts occur at Abba Arena, a purpose-built venue located in the Queen Elizabeth Olympic Park. This bespoke setting allows for an optimal blend of traditional concert elements with advanced digital technology, providing a unique viewing experience for attendees.
Financial Performance of Technology Partner
The technological backbone of Abba Voyage is provided by Oxford Metrics, the company responsible for the digital avatars. In the first half of 2024, Oxford Metrics reported a revenue of £23.5m, marking an increase of 10.5 per cent from the previous year. This revenue growth is indicative of the successful implementation and popularity of the technology behind the show.
However, despite this growth in revenue, Oxford Metrics experienced a 17 per cent decrease in pre-tax profit, reducing to £2.8m compared to the same period in 2023. This decline in profit, amidst rising revenue, suggests increased investments or operational costs associated with the technological aspects of the show.
Market Demand and Future Prospects
The directors of Abba Voyage have expressed confidence in the continuing market demand for the show. With over a million visitors in 2023 and consistent high demand, the directors anticipate a continued high level of activity throughout 2024.
The ongoing popularity and financial success of Abba Voyage underline the potential for sustained profitability and growth. The strategic approach of the company, focusing on maintaining and expanding its unique entertainment offering, positions it well for future success.
Conclusion
This impressive financial performance and the strategic expansion in operations reflect the robust demand and strong market positioning of Abba Voyage. With continued popularity and a clear long-term strategy, the company is poised for sustained success and profitability.
Abba Voyage’s financial growth and operational expansions highlight its strong market presence and demand. The company’s strategic focus on maintaining and enhancing its unique offering bodes well for continued success in the coming years.