Any ideas how this draping effect is done on this type of cake? 1 large piece of fondant and drape it over the side, or in sections? I can't wrap my mind around it.
It depends on how much you need to drape, some people do it in sections, the picture your referring to looks like it was done in sections :)
Here's a tutorial for that http://www.keeponcaking.com/tag/fondant-pleats/. Been dying to try it myself.
To make drapes/pleats/swags, I used dowel rods, each rod will give you 1 pleat. Lay them on your table, spaced apart, lay your fondant on top and carefully wave the fondant through. When you like the way it looks, pinch each end, pulling up on the ends and have the fondant drape in the center, attach each end to your cake with some water or gum glue, once the ends are attached you can fiddle with the drapes how you like
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