The Covid-19 pandemic caused the South by Southwest festival, Austin, Texas to be cancelled in 2020. Many businesses were affected by the cancellations, venue closures and disruptions to travel plans.

After going completely virtual last year festival organizers and local businesses say they are now ready and excited to welcome thousands to Austin for the event which will begin Friday. The festival will also include an online component, making it a hybrid event.

Stephen Sternschein, managing Partner at Heard Presents (an event promotion and marketing company located in Austin), stated that while people are anxious, their expectations are healthy. “Everyone is just a little bit anxious, and ready to let loose and have more fun.

According to SXSW, more than 417,000 people came from 106 countries to the 2019 event, which includes film screenings, concerts, and panels featuring celebrities, business leaders, and innovators. The city earned a record $355.9 million from the event.

Although the festival organizers expect large crowds this year, it may be that there are fewer visitors overall.

Hugh Forrest, chief programming officer at SXSW, stated that although it’s difficult to predict the final numbers, there will be a healthy turnout. There will be many people at the various panels, presentations, films, and music festivals.

“Busiest Week of the Year”

SXSW, also known by South By, is the largest event in Austin’s hospitality sector with thousands of visitors each year.

Cody Cowan, executive Director of Red River Cultural District (a non-profit organization that represents a cultural hotspot neighborhood in the heart city), stated, “Before pandemic, South By accounted For Up to 50% of Annual Income for Venues, Bars and Restaurants.”

Jeff Mettler, a partner in the popular Austin restaurant Home Slice Pizza, described this conference as “the busiest weeks of the year” for Austin.

Home Slice sells approximately 2,500 pizza pies per week and over 4,000 individual slices on an average week.

The local pizza shop produces nearly twice as many pies during SXSW week. They make over 3500 pies and almost 10,000 slices.

Mettler stated that production has not increased to this scale since the last SXSW in person in 2019.

He said, “The last two years have been devastating for us both in terms of revenue and morale and for all businesses in the hospitality sector.”

Mettler believes that 2022 will see numbers similar to those of before the pandemic.

Mettler stated that “We’re going have all hands on deck.” We are increasing our supplies orders, from beverages to dough and paper goods, and doing so more proactively than ever before because of supply chains.

He said, “Everyone is feeling optimistic and excited about having that level of human interaction again because that’s what we are — it’s an essential part our business.”

Preparing for people and parties, as well as profit

SXSW will be changing this year, with added safety measures in the wake of the pandemic.

The Centers for Disease Control and Prevention reported that Covid-19 levels are significantly lower than they were in 1990, so that people living in the U.S. can live without masks.

SXSW requires attendees to show proof of vaccination or a negative Covid-19 testing in order to gain entry to the event. This will also allow them to keep their credentials.

The Austin Convention Center will also have a testing area.

“We are finishing up the first in-person SXSW event in three years,” read a March 3, tweet from festival. It’s amazing that this is actually happening. We can’t wait for you all to see it.

Local businesses are also ready for the influx of tourists.

Sternschein’s company operates three music venues, Empire Control Room and Empire Garage, which are often packed with thousands during SXSW. Sternschein stated that they bring in 30% of the company’s annual income.

He said that he expected to match or exceed those numbers this year because of the pandemic forcing other venues to close — creating a lack of rental spaces and driving up demand for his businesses.

Sternschein stated that “most of us agree that more money is best, and everyone wants to have the biggest party.” “But the bottom line is that we are getting together to have fun, to be friends — and that fruit to me is so much more delicious.”

Mettler responded that he anticipates making more pies and slices this year than he did in 2019.

He said, “We’re ready for the best and we’re preparing people both old- and new to come through our doors.” It’s going to be lots of pizza.