For nearly two years, COVID-19 noticed to it that there was no dwell music. Tours stopped, roadies misplaced their gigs, venues suffered, and assist workers had been laid off. But as soon as COVID restrictions had been lifted, the trade got here again to life, albeit with a non-insignificant diploma of problem.
For instance, Sum 41’s Deryck Whibley advised me that once they returned to the street, they needed to do it old-school in a van as a result of no tour buses had been out there. Most had been parked for almost two years and weren’t roadworthy but. Supply and demand jacked the costs of any rental company that did have buses out there and people had been taken by acts who may afford it. Sum’s buses ended up going to Metallica.
There had been different issues. Many roadies who had been thrown out of labor left the trade and didn’t need to come again. Finding sufficient sound and light-weight gear to hire was laborious. Many venues didn’t survive the lockdowns and had completely shut their doorways.
But this summer time has seen a return to The Before Times. Concerts and festivals have been packed. And at the same time as Taylor Swift and Beyonce are getting probably the most consideration for hoovering up a whole bunch and a whole bunch of tens of millions of {dollars} in field workplace income, different acts are doing properly.
On his present tour, Drake is taking part in in entrance of as many as 34,000 folks an evening and lately turned the primary rapper to earn over US$5 million for a single present. Ed Sheeran’s BC Place gig on Sept. 2 attracted 65,601 folks, breaking a 2009 report held by U2 set throughout their 360 Tour. The Weeknd broke attendance data in London by bringing in over 160,000 folks over two nights. A swing by Australia noticed 120,000 be a part of him for 2 nights in Brisbane, near 250,000 over three nights in Sydney, and someplace north of 150,000 for 2 reveals in Melbourne.
My residence market, Toronto, has seen unbelievable demand over the summer time with acts routinely backing 17,000 folks into Live Nation’s Budweiser Stage. And woe to anybody making an attempt to get round downtown on an evening there’s a live performance at Scotiabank Arena, particularly when the Blue Jays have a house stand at Rogers Centre.
Live Nation and AEG, the world’s largest live performance promoters, are seeing report revenues. One estimate says that dwell music income in Canada will hit someplace round $1.3 billion with a projected annual progress charge of over three per cent. The common spend by a Canadian concertgoer is approaching $200.
So all’s good, proper? Mostly, however …
Just like each different sector of the financial system and society, the dwell music trade is coping with rising prices, greater insurance coverage premiums, greater rates of interest for financing excursions, servicing money owed left over from COVID-19, airfare and lodging wants, and different monetary pressures. There are tales about porta-potties being in such excessive demand that some festivals have been underserved. And there’s loads of opportunistic gouging, too. Someone despatched me an image of an extraordinary service car parking zone in Seattle that was charging $120 a spot for a Taylor Swift present.
Running a small-to-mid-sized venue is more and more tough as a result of there’s a restrict to how a lot operators can scale issues. It’s far simpler for Live Nation to juggle rising prices than it’s for a 250-capacity bar that desires to characteristic dwell acts. These challenges are mirrored not solely in greater ticket costs however will increase on what we have now to pay for parking, concessions, and alcohol at reveals.
Which brings me to Gen Z. These younger followers born between 1997 and 2012 are the lifeblood of so many dwell scenes. They appear particularly delicate to purchasing booze at gigs. Reports are that they’re ingesting much less, placing a giant kink into an essential income stream. Young followers are both pre-drinking earlier than heading out or choosing a few edibles earlier than going to the present. Many are pursuing a extra straight-edge way of life, eschewing alcohol and medicines in pursuit of higher psychological well being. Since smaller venues enormously rely largely on bar gross sales for survival, there’s trigger for fear. And how will you fault Gen Z for imbibing much less of the demon alcohol?
Fewer gross sales on the bar have created a brand new downside: merch cuts.
An essential income stream for artists is the sale of T-shirts and different memento ephemera at reveals. Because these gross sales take up ground house, venues demand a minimize of gross sales. To compensate for greater prices and decrease alcohol gross sales, venues are demanding that they get extra of a style. It’s no longer unusual for a street supervisor to fork over 15 to 25 per cent of gross mushy good gross sales (T-shirts and the like) together with extra vig on issues like CDs and vinyl. These charges are sometimes negotiable, however likelihood is the artist will find yourself paying one thing to the venue.
Jeff Rosenstock, an American singer who’s been on the street for a lot of the summer time, is aware of this all too properly. He’s been documenting how a lot he’s needed to fork over for merch cuts.
It’s actually laborious to take sides as a result of each the small-to-medium-sized artist and the small-to-medium-sized venue are battling inflation, elevated rents, a bounce in taxes, and better labour prices. Bigger performers additionally need to pay these charges but it surely’s actually simpler for a Taylor Swift to roll with the modifications than it’s for a punk band travelling from present to indicate in a 1977 Ford Econoline van and current on leftover hotdogs scavenged from 7-11.
There are different points afoot. Dec. 31 is the deadline for repaying Canadian Emergency Business Account (CEBA) loans. Many venues throughout Canada had been relying on that hand-up to outlive by 2020 and 2021. The Canadian Live Music Association is nervous that a few of its members received’t be pay again these loans in time. If that occurs, then what? Meanwhile, governments are additionally making noises about reducing again on the sum of money they get to the humanities sector. That will inevitably impression the dwell music trade.
High costs are right here to remain. What lies forward? Let’s study that.
Fans may have to select between saving up their cash to see a giant act or utilizing that very same money to see a number of smaller reveals. Music residencies are additionally rising in popularity. Instead of artists travelling the world to succeed in their followers, extra are opting to arrange in a given metropolis and have followers come to them. If, for instance, you’re a Canadian fan of U2, your solely present choice to see them is to pay huge American {dollars} for tickets to their residency on the MSG Sphere in Las Vegas. Plus fork out more money for airfare, lodge, and meals, in fact. Other acts are prepared to play in venues like casinos. At least two main Ontario casinos opened new efficiency areas this yr, a pattern that we’re seeing throughout the continent. Again, this places the journey burden on the fan.
Back on the artist aspect, there’s the rising lure of taking part in company gigs. This has no bearing on the typical live performance fan and is usually restricted to well-off acts who’re blissful to take a few million {dollars} from some tech bro to play at an organization retreat. But such paydays generally create a nasty odor if phrase leaks out to the fanbase.
So the place will we go from right here? How far can acts and promoters push us? Inflation and rates of interest are prompting everybody to take a look at their discretionary spending. Entertainment is often one of many first issues that will get minimize.
Again, the large acts, the large venues, and the large promoters will most likely find yourself doing simply fantastic. But what in regards to the little man? I assume we’ll see.
— with information from FYIMusicNews.ca