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The Economic Side Of Lagos Nightlife

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Lagos, Accra named among world’s best nightlife cities in 2024

…City never goes to sleep as club houses host patrons

…Business activities start where corporate offices stop

…Some deals sealed as networking thrives

In his farewell speech, after four years in Lagos, a young cultural attaché of an European embassy confessed to a select group that he would miss the vibrant nightlife of Lagos.

Not just him, many visitors say the same, and even those who left for a while still long to return for a piece of the wild excitement of Lagos nightlife.

From the mainland to the island; poor neighbourhoods to highbrow areas, there are many things to do at night and lots of outfits opening their doors to patrons and night crawlers.

The saying that “the more you look, the less you see” is a reality in Lagos nightlife as some places that look corporate in the day, turn wild at night.

It is also intriguing that some ‘exclusive residences’ are becoming hotbeds for nightlife activities without being noticed due to the discrete operational models of some nightlife outfits.

As well, Lagos’ nightlife is dynamic; from bars, rooftop lounges and nightclubs, it has shifted towards outdoor events, open-air concerts, live DJ sets, and festivals, especially following the pandemic.

There are also data to back the billings of Lagos as a city that never sleeps, amid a thriving nightlife economy.

Lagos ranked 6th Best City for Nightlife in 2024 by Time Out Magazine, ahead of Rotterdam, Netherlands, and Manchester.

According to a report by Oui Capital, Lagos nightlife is worth nearly N1.5 trillion.

The above includes revenue generated from late-night entertainment such as clubs, events, and concerts.

Also, a report by MO Africa, an advisory firm, disclosed that Lagos nightclubs generated an impressive N4.32 billion ($2.7 million) in revenue during the “Detty December” period in 2024.
Reviewing the economic side of the nightlife, Jide Omolade, an investment banker, explained that there is gain for everyone that partakes in Lagos nightlife.

“The taxi driver is awake late night to pick night crawlers at a very high fee, alcoholic beverage suppliers make brisk business, DJs sing for their money, dancers and performers earn big exciting the audience, bouncers are happy, clubs rake in millions and the government takes its share from taxes.

“So, it is a win-win for all, especially the patrons who unwind and get value for their money,” Omolade said.

The investment banker also pointed out that nightlife business offer good returns on investments; one of the reasons for the proliferation of nightclubs today.

“I can point to many big businesses that are closed today, but Lagos nightclubs of 80s and 90s are still open despite more clubs on the same streets today.

“In fact, on a street off Allen Avenue in Ikeja, there are three nightclubs, which most residents don’t know because there are no signposts, yet the patrons know the exact locations and rules of engagement,” he noted.

In the same vein, Stanley Ojumu, a nightclub promoter, noted that Lagos nightlife is a goldmine, as the business hardly fails unless the owner is financially reckless, fails to maintain it or managers intentionally run it down.

“Nightlife business is the crude oil. Whether open or rooftop bars, nightclubs or lounges, as long as the doors are open, music plays on and drinks flow, the owners will always smile to the bank,” Ojumu said.

The nightlife culture, according to him, is a generational thing, hence people must nurture such cravings.

“The only time nightlife paused in Lagos was during the pandemic. It was temporary. You saw how patronage more than doubled when the government lifted the restrictions. Even if the economy gets too bad, people must club and merry at night in Lagos because nightlife is now a city culture and way of life,” Ojumu added.

But Bukola Olajide, who runs a nightclub on Adeniran Ogunsanya Street in Surulere, attributed the proliferation of nightclubs and outfits that support nightlife to the growing number of young adults, who seek respite from the stress of their demanding work.

“Young people are moving their networking to clubs now. It is no longer venue to only drink and dance, but meeting and networking venues too. “Beyond the noise in the club, they still get along,” the club owner, who is popularly called Aunty Bukky said.

Again, she noted that as population increases, it puts pressure on infrastructural facilities in an area, including nightclubs for many who want to unwind.

“We have three nightclubs on my street alone, and more than five within this area. We want more because of the growing demand. There is no competition here because everyone makes money at the end of the day,” she said.

Ekene Olisaemeka, a young telecoms industry worker, noted that young people with disposable income are taking to nightlife on health, social and career progression grounds.

“Our HR and health experts always advise on work and life balance. They always ask you to take time off to rest when stressed, so clubbing provides that avenue to rest,” he said.

According to him, some young people now fix their networking, especially on weekends in clubs for exclusivity and the party-after-party effect.
But Marvelous Iyatse, a doctor, noted that nightlife offers one opportunity to do something different and without prying eyes.

He also noted that nightlife is thriving in Lagos because of the city’s safety.

“People don’t club or move around in Abuja for nightlife like we do in Lagos because here is safer,” Iyatse said.

On how the clubs make money, she noted that club prices are as high as double or thrice the regular prices in the open market.

“We have exclusive sections that are very expensive and people pay for them, prices of drinks are very high here and we encourage membership.

“We need the money to pay our DJs and dancers, pay government people, especially their agents from Surulere Local Government, Ministry of Environment, police and others,” she said.

On why many nightlife businesses are discrete, Marcel Ogenyi, an open bar owner, noted that it is necessary to protect the privacy of the patrons.

“You will notice dull lights in nightclubs, just to blur the scene, protect the identity of the people and offer them enabling environment to unwind,” he explained.

Nobody, according to him, would be proud to be called a night crawler as the society puts a negative tag on such lifestyle.

“So, being discrete reflects the belief that everything that happens in the club, should stay in the club,” he said.

Apart from the need to protect the privacy of their patrons, nightlife outfits are often discrete in their operations to also evade the multiple taxation and levies by the government and its agents in Lagos, until they are buoyant to pay.

“You don’t expect an owner of a residential property turned into nightclub to make noise about it. Many do not even launch the outfit just to keep away prying eyes, especially from police and the Lagos government,” he noted.

Narrating the challenge his business associate, who bought a property in Gbagada last year, faced in converting it to a club, he said, “The Community Development Association fought him, he paid through his nose to get approvals, yet he still pays all manner of taxes and levies, including daily pays to security outfits”.

Aunty Bukky also confessed that nightlife businesses are often discrete in their operations because some dark things, unfortunately happen in some clubs.

“Of course, we know that some bad elements use clubs as platform for drug business, meeting points, amid initiating or carrying out shady deals.

“But many are clean, they come dancing and drinking responsibly. We also warn against such, installed CCTV cameras to track them and ban them from coming in the worst cases,” she said.

In his conclusion, Omolade noted that he will bet on nightlife business any day because of the good and sure return on investment.

He is also excited that Lagosians have adjusted to the pressure from the economic reforms of the president administration, and patronage has improved as well, though they are paying more at clubs now due to inflation.

However, the improvement has encouraged more investments in nightlife businesses looking to reap from Lagos that never sleeps.

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