Fans of Bay Dreams, one of New Zealand’s largest and most beloved music festivals, were left disappointed after organisers announced the cancellation of the 2025 event. The festival, which was originally set to feature top-tier talent like Kendrick Lamar in Tauranga and Queenstown, was canceled due to rising operational costs, difficulties securing big-name acts, and declining ticket sales driven by the cost-of-living crisis.
Festival founders Mitch Lowe and Toby Burrows, based in Tauranga, made the tough decision to hit pause, citing concerns that the event wouldn’t meet their high standards. “We’ve always wanted Bay Dreams to offer the biggest names and the best experience,” Burrows explained. “But if we can’t do that, we’d rather wait than put on a festival that feels underwhelming.”
A Festival Legacy Since 2016
Launched in 2016, Bay Dreams quickly became a staple of New Zealand’s summer festival scene, with past lineups that have included superstars such as Cardi B, Diplo, and Tyler, the Creator. The festival’s growing popularity led to expansion in 2019, with a second event hosted in Nelson, and later moving to Queenstown for its 2024 edition.
At its peak, Bay Dreams attracted over 50,000 attendees, earning its reputation as New Zealand’s premier multi-stage festival. However, a changing festival environment, combined with logistical and financial pressures, forced the team to rethink the large-scale format.
Rising Costs and Talent Sourcing Challenges
Securing top-tier talent for festivals is no longer as straightforward as it once was. According to Burrows, artist fees have skyrocketed. “It used to be that you could book a headliner for $300,000 or $350,000. Now, many of those same acts are demanding upwards of $1 million,” he said. With talent fees climbing, the team found it increasingly difficult to make the numbers work.
Lowe added that the team had worked for months trying to lock in Kendrick Lamar for Bay Dreams 2024. But when Lamar’s popularity surged even further in 2024, thanks to his hit single Not Like Us and a high-profile feud with Drake, his asking price doubled. “It became financially impossible to secure him,” said Lowe. With a shortage of viable headliners and the growing pressure to sell enough tickets to break even, the decision to cancel the event became inevitable.
New Models for Festival Success
The cancellation of Bay Dreams follows a trend in the festival industry, with other major New Zealand festivals like Splore and Nest Fest also taking a break due to similar challenges. Lowe sees this as a symptom of a broader shift in how people engage with live events.
He points to the success of UK electronic artist Fred again.., who sold out shows across New Zealand earlier this year with minimal marketing and short notice. “We call it the ‘Fred again.. effect,’” said Lowe. “People are looking for more intimate, single-headliner experiences where they feel connected to the music.”
Fisher to Take Center Stage
While Bay Dreams is on hold, Lowe and Burrows have found a new approach. Australian DJ and producer Fisher will headline two large-scale shows in January 2024, set to take place in Hagley Park and Victoria Park. These events will focus on creating a high-energy, one-headliner experience — a more financially sustainable model that avoids the risks of a sprawling multi-stage festival.
On his own, Fisher has nearly sold as many tickets as Bay Dreams did at its peak. “It could not have been a better decision for us,” Lowe said. “Fisher’s name alone has attracted the audience we want, without the complexities of a full-scale festival lineup.”
Looking Ahead to Bay Dreams’ Return
Despite the cancellation of the next two editions, Lowe and Burrows remain optimistic that Bay Dreams will return stronger in 2026. “We’re calling this a hiatus, not the end,” said Burrows. They hope that by taking a break and rethinking their approach, they can come back with an even bigger and better event in the future. For now, they will focus on smaller events and new formats to keep their brand thriving in an evolving market.
In addition to Fisher’s shows, the team has other festivals lined up, including the drum n bass event Famous Last Words and the indie-centric Le Currents. However, the cancellation of Bay Dreams underscores the increasing challenges of hosting large-scale festivals in a rapidly shifting market. “Everything is a cycle,” said Lowe. “By taking this action now, we’re making sure that when Bay Dreams returns, it’ll be the festival that fans remember.”
