AUSTIN, Texas -- Small businesses are trying to navigate the aftermath of SXSW’s cancellation. Lost revenue and withdrawn orders are becoming a familiar unfortunate story, as efforts are underway to host “unofficial” events and to encourage lending a helping hand to those who lost their gigs.
- South by Southwest canceled amid coronavirus fears on March 6
- American Color Labs among Austin businesses that rely on SXSW
- Company manufacturers signage for the festival
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“Business was going fantastic so far this year, and we were looking forward to our biggest SXSW ever, but with the cancellation of SXSW, now we are slow,” Andrew Mondi, CEO of American Color Labs, said.
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The Austin-based digital printing business creates banners, posters, and creative displays, which include building wraps, car wraps, and direct-to-metal prints.
Mondi told Spectrum News employees manufacture about five football fields of signage for SXSW, working up to 20 hours in the days leading up to and during the major event. In less than two weeks, Mondi said they can generally make a month’s revenue, making SXSW the biggest opportunity for the business every year.
An employee of American Color Labs prepares printed materials in this image from March 9, 2020. (Reena Diamante/Spectrum News)
“As a business that relies on local commerce, and relies on events that are happening right here, this is just a huge opportunity that, frankly, has gone forever. It's not coming back until next year, hopefully. So, the word that comes to my mind is just very painful,” Mondi said.
Before City of Austin and Travis County officials made the announcement last week, the American Color Labs crew had already begun preparations, with some inventory purchased and some signage created. But now, that merchandise must be packed up, with no certainty if it will be ever used.
Mondi said orders have been canceled and quotes never materialize. The team is working to make up for the losses, even reaching out to customers not necessarily associated with SXSW to find out where there are opportunities. Despite the setback, Mondi said he remains hopeful.
“We’re all missing out on a great opportunity here. The best thing we can do is get out and support the local businesses and brands that we've come to know and love,” he said.