Promoter wins $2.8m over axed Robbie Williams gig
World Touring Melbourne (WTM) has won its multi-million dollar claim against the Australian Grand Prix Corporation (AGPC) over the last-minute cancellation of a Robbie Williams concert in 2020.
AGPC has been ordered to pay A$2.84 million (€1.74m) to the promoter for loss of earnings after a judge found it to have provided misleading health advice that prompted the show’s cancellation.
Williams was set to headline the first World Tour Melbourne event at Lakeside Stadium on 14 March 2020 as part of the Formula 1 weekend, but the Grand Prix and surrounding events were called off the day before amid the looming threat of Covid-19.
WTM sued AGPC for breach of contract, seeking $8m in damages, after alleging it had been deceived by the organisation when it compelled the cancellation of the show by citing health advice supposedly mandated by Victoria’s chief medical officer Brett Sutton.
The case went to trial in May, with Justice Clyde Croft delivering his ruling this morning (30 August).
An email sent to promoters by organisers of the Formula 1 race claimed that Dr Sutton had advised Williams’ concert should not go ahead. However, evidence presented during the trial confirmed that no such directive had been issued.
“There was no reason to suppose that a concert of this nature could not otherwise proceed in any other part of Victoria”
According to the North West Star, Dr Sutton had texted AGPC officials to say that while he supported cancelling the gig, it was ultimately a decision for the organisers.
The pandemic state of emergency declaration, which restricted non-essential mass gatherings, did not come into effect until 16 March – two days after the scheduled show – with many other events proceeding as planned across Australia that weekend.
The court found that AGPC unlawfully prevented WTM from proceeding by depriving its access to the event site.
“There was no reason to suppose that a concert of this nature could not otherwise proceed in any other part of Victoria,” said Justice Croft.
Becky Artmonsky, co-CEO of WTM, says the company is “delighted” the case has been resolved in its favour.
“While the cancellation caused massive issues for our business and investors, this outcome clearly demonstrates that we were right to pursue this claim,” she says. “We had spent years and millions developing our partnership with AGPC to bring major talent to Melbourne and the investment we made in our business to support their goals needs repaying.
“We are grateful to the Right Honourable Justice Croft, the court, and our dedicated legal team for their relentless pursuit of justice in this matter.”
“Today’s ruling by Justice Croft affirms that we were treated unfairly, and we are grateful for his careful consideration and diligence”
Richard Beck, director of global touring for World Touring, adds: “We spent over four years planning our event series with AGPC and invested millions of dollars to produce this show, only for it to be wrongfully cancelled. The stage was set, the venue was ready, and Robbie Williams, along with his band, dancers, and crew, were all in town and eager to deliver an unforgettable performance for the Australian public.
“Today’s ruling by Justice Croft affirms that we were treated unfairly, and we are grateful for his careful consideration and diligence. This decision serves as a reminder that those in positions of authority must exercise greater care when making decisions that impact the live music industry and beyond.
“I’d also like to thank our promoter partner in Australia Paul Dainty, whose support throughout was unending and unparalleled. We look forward to returning soon with our global event series to deliver the incredible shows that were meant to be.”
An AGPC spokesperson said it acknowledged the court’s decision and would review the judgment to determine next steps.
WTM is now exploring further legal action against AGPC regarding the frustration of its exclusive five-year contract with the organisation.
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Strength in numbers: How firms are diversifying the workforce
When the global live music industry began its recovery from two years of lockdowns, many organisations found that their workforce had been significantly depleted. However, as a business that has often been criticised for its lack of diversity, a concerted effort began to try to improve the makeup of the teams of professionals behind the scenes that help artists go on tour and perform at festivals.
Forward-thinking companies and organisations have embraced the concept that a diverse workforce helps deliver a healthier balance sheet, as it better equips operators to cater for artists and fans from all walks of life while acknowledging that different people have different needs, both in the workplace and at live music events.
“Think about the differently abled community or those who are neurodivergent,” poses Lindsay LaBennett, Wasserman Group’s VP of impact and inclusion. “From an employer, they need a space where who they are naturally is accepted and appreciated. So, if you are on the spectrum – say being social takes too much energy out – you should be able to come to work and not have to go to the happy hour, not have to participate, because you do your best work when you aren’t having to be social.”
A 14-year staffer at Wasserman, LaBennett has been working in her DEI role for the past four years, but her interest in inclusive business practices and equity-based initiatives dates back to 2016.
“We have a diverse roster – it’s not cookie-cutter music: we have a mix of people, and we need our staff to reflect that”
“For me, it was the Colin Kaepernick situation that caused an internal shift,” she tells IQ. “I wanted to be part of the solution for Wasserman when it comes to making sure we are advocating for communities and that we are addressing our own inclusivity gaps. I was doing this internally since 2016, but at the end of 2020, I created the role that I’m in now.”
Describing that development as “staff-driven and corporate stamped,” LaBennett recalls that various colleagues were calling for DEI to become a priority. “We had people across our business saying that we needed someone whose role was to focus on it 100% of the time. And our leadership, Casey Wasserman, completely agreed.”
Such employee-driven demand is a common thread among the companies IQ spoke to for this report. “AEG worldwide has made DEI a corporate priority, appointing a DEI director that leads its efforts,” explains Samantha Fernandez, VP of global partnerships at AEG Presents. “However, it has had a number of employee network groups for far longer, which have highlighted and created spaces for various employees.” Those network groups include Pride AEG, of which Fernandez is the executive sponsor.
But it’s not just the multinational corporations that are making moves to improve the makeup of their staff, as Hilary Walsh, general manager at London-based agency Pure Represents, attests. “This is our third year in operation, and we are now a team of 15 people,” she states. “Angus [Baskerville], and his wife, Jodie Harkins, who set the company up, worked very hard on their planning for diversity in the workplace because we have a diverse roster – it’s not cookie-cutter music: we have a mix of people, and we need our staff to reflect that. As a result, we really strived to hire people from different backgrounds, so that when our artists come into our office, they’re able to see a diverse bunch of people who are working on their behalf.”
“Our success is how our fans and how our communities look at us”
She adds, “We’re not just diverse in terms of ethnicity, it’s in ages as well. We have an intern who came to us through Small Green Shoots and she’s brilliant. She’s 22 years old, so she has her finger on the pulse, and she comes at it from a completely different background and train of thought. That diversity in age is something that we actively look for when we recruit, because if we all like the same kind of music, nothing’s going to change.”
Multiple Benefits
Fostering diversity in the workplace doesn’t just help with A&R activities, as the positive impact it can have when dealing with consumers is having a major effect on hiring practices for those sectors that are fan-facing.
Launched in late 2015 with an employee count of just six people, Oak View Group’s impact on the global venues business has been nothing short of seismic, with a current headcount of close to 50,000, “And we’re on our way to 60,000 probably before the end of the year,” says chief people & culture officer, Ann Jackson.
Stressing the importance of having a diverse workforce, Jackson says, “Our success is how our fans and how our communities look at us. We can build buildings or manage buildings or provide services, but if the people think we don’t look like or represent their community, or don’t share the same feel or vibe, that’s not success. So, it’s important to our business model that we can get out there and be very intentional on our hiring process.”
“The language that we use in job postings and adverts has become more crucial than ever”
That sentiment is echoed by others in the venues sector. “We have a really strong local presence in the cities where we operate, with the majority of our staff coming from the immediate area,” says Lee Bayman, ASM Global’s HR director for Europe. “We’re going through a process of building our talent team at the moment, and what I hear in a lot of the interviews is that the candidates are existing customers, which is super positive, especially as I know that our existing employees also continue to be customers at our venues.”
He notes that ASM Global is currently updating its systems and processes to help with recruitment, with DEI being central to those manoeuvres. “There’s a lot of underground work that we need to do, and it’s not glamourous, but it’s essential to provide us with the tools that we need to then go on to the likes of social media to help with our recruitment drives,” he explains.
Elsewhere, Bayman says that advertising in trans publications and Pride magazines is helping broaden the search for new employees. “I don’t think we particularly struggle to get the message out in this industry, as live events are an open door to everyone. But the language that we use in job postings and adverts has become more crucial than ever, as we try to give people a feeling of what the culture is at ASM Global.”
Noting that Pure Represents uses specialist recruitment consultants, Walsh says the company also relies on trade publications to communicate about job vacancies.
“We’re always mining for where else we can find people: What are their locations? What other organisations can we get into partnership with?”
“We will advertise in the usual suspects of IQ Magazine and Music Week to reach a target bunch of people that we know want to work in music. If I put an ad in [the mainstream press], it might not achieve that goal,” says Walsh. “We’ve also had success advertising with Black Lives in Music, but finding all the right avenues is tricky, so we’re always open to hearing about new places where we can connect with a wider target audience.”
Walsh adds, “Being small and independent, we can choose who we work with to reach a diverse target audience. And that’s why working with a company like Small Green Shoots is really beneficial because they came with a whole selection of CVs to choose from.”
Detailing the OVG strategy for finding new staff, Jackson says, “Our head of talent acquisition and our head of DEI work very closely together to make sure that we’re always mining for where else we can find people: What are their locations? What other organisations can we get into partnership with?”
And with the venue conglomerate entering markets in the likes of Latin America, Asia, and the Middle East, education about cultural differences is hot on the agenda for the OVG recruitment teams.
“What really moves the needle is when we have our cis straight allies coming to the table”
“We need to make sure we understand the local culture by trying not to only have an American-centric view of everything,” stresses Jackson. “We try to make sure our Oak View Group values align with the local culture by talking to local people and engaging local HR professionals as well.”
Taking the Middle East as an example, Jackson says, “We need to learn what employee expectations are beyond the employment laws. From an employee experience perspective, we want Oak View Group to be a great thing in the Middle East, with our employees as our ambassadors, so it requires a lot of research and listening to our local partners.”
Education
DEI training is also becoming more important internally at companies working in live entertainment, and numerous specialist consultants and organisations now offer guidance and tuition on aspects such as inclusive language and behaviour.
For her part, Fernandez believes that training needs to start with senior management. “What really moves the needle is when we have our cis straight allies coming to the table,” she tells IQ. “When a boss starts using gender-neutral references to their partner, it really makes a huge difference. That’s started to happen quite a bit at AEG, which has a lot to do with these education programmes, and diversity training – when you highlight it, it really does start to make its way through.”
“Not everyone is a behemoth like Wasserman, but there are small things that we can all do every day to be more equitable”
Externally, Fernandez reports that AEG has developed a long-standing relationship with the LGBTQ Center. “Our ‘Pride at AEG’ group has spent time there in various ways, including a recent career session where we brought folks from all divisions of AEG to a moderated panel where young people were able to fire questions at us. The idea was to give them an idea of the various roles that exist in entertainment. I oversee brand partnerships – a job I didn’t know existed when I was younger. So we need to tell young people that there are careers out there for them.”
That scenario also rings true for Walsh. “Growing up, I never knew there were jobs like a music agent or a lighting designer. It would be amazing if we got to a place where career guidance at schools might involve real live examples of people speaking to the pupils: ‘I am an agent, and this is what an agent does.’ If we were able to engage with high-school-aged people, that’s where we could find the most diverse array of potential new recruits.”
In terms of outreach, LaBennett tells IQ that Wasserman Group has historic relationships with Black colleges and Hispanic-serving institutions. “We partner with them with the intention of bringing our expertise to the students, because having people [from the industry] visit college campuses is so much more meaningful than just reading books or listening to lectures or podcasts.”
But she is cognisant that the resources of the corporate world should be used to help the wider sports and entertainment sectors. “We’re aware that a lot of smaller companies don’t have the resources or budget, but we want to educate them and say, ‘Don’t let those be hurdles to being equitable.’ Not everyone is a behemoth like Wasserman, but there are small things that we can all do every day to be more equitable.”
“Our main focus is creating safe spaces for the LGBTIQ+ community to connect with each other”
Under the Microscope
With Pride month events filling the calendar over the next few weeks, companies operating in the live entertainment sector are acutely aware that the makeup of their workforce is being scrutinised by event attendees and the talent who entertain them.
Detailing some of AEG’s Pride initiatives, Fernandez says, “Our main focus is creating safe spaces for the LGBTIQ+ community to connect with each other – and that also goes for our LGBTIQ+ staff and allies.
“AEG is an official sponsor of LA Pride, and we have a quite a large presence there. And then we do various internal events throughout the year. Last year, for instance, we screened a documentary by the Trevor Project and had a Q&A afterwards.”
However, noting that it can be difficult for some people to talk about their identity, Fernandez observes, “It’s not often that you’ll interview somebody and they’ll say, ‘Hi, I’m part of the LGBTIQ+ community.’ That’s a really interesting challenge – how to ensure we are casting a wide net when it comes to hiring, as it relates to the LGBTIQ+ community, but still wanting to protect people’s identity if they want it protected.”
“I think folks are expecting some kind of sort of visible commitment to diversity”
When it comes to recruitment, ASM’s Bayman observes that job candidates are more assertive than ever, asking probing questions of HR professionals in terms of DEI policies, sustainability, and staff support structures.
“It’s important to use the recruitment process to help people understand what your company culture is, but you also need to be prepared to be transparent and honest about what their role might be, both when it’s crazily busy and when it’s a quiet day, otherwise people start working for you and the reality is nowhere near what they might have expected,” he says.
Homing in on the kinds of proactive elements that can entice people from all walks of life to consider live music as a career path, Fernandez says, “I can speak mostly to the LGBTIQ+ community, of which I am a part. I think folks are expecting some kind of sort of visible commitment to diversity, both in the events that we do and the lineups that we book.
“There was a lot of press that came out of Coachella this year about the number of female queer artists, which was amazing to see. For our employee base, those kinds of things bring us a lot of, for lack of a better word, pride.”
“In the time that I’ve been at AEG, the leave policy for a non-carrying parent, and for a carrying parent more than tripled in both cases”
Fernandez applauds her employer for listening and reacting to the needs of staff. “In the time that I’ve been at AEG, the leave policy for a non-carrying parent, and for a carrying parent more than tripled in both cases. For somebody who is in a same-sex partnership, and who has both carried children and been a non-carrying parent, it really made a huge difference for our family.”
At Wasserman, LaBennett comments, “In my experience, what people need from their employer is to be able to show up authentically and to have a space where they feel a sense of belonging – they want to see other people that look like them. Imagine having a disability and when you come to work you see someone else with that same disability: there’s an instant connection and instant community. Whether you are Black, Hispanic, Asian, part of the queer community, you want to see people who are walking your walk.”
Results
While endeavouring to build truly diverse teams is crucial to 21st-century commerce, establishing protocols to measure company progress can be a difficult proposition.
“We do employee testimonials to ask how they feel about new things we implement. So we’ll check-in with people three months down the line to gauge opinions as a kind of measure,” says Jackson of some of OVG’s efforts to track DEI results.
“At the end of the day, if we’re not making a difference, what are we doing?”
“We attach it to competencies within our performance management. Have we seen an increase in our hiring? Have we seen diversity improvement among suppliers coming to work at OVG? So, where we have data, we collect it to figure out ‘is this good enough for us?’ To be honest, so far, it’s not, but we’re giving ourselves grace because we know that we are committed to it.”
Fernandez notes that AEG carries out attitude-based surveys, quizzing staff if they feel connected to the work environment and if they feel their identity is being celebrated. Meanwhile, the company’s DEI and HR teams calculate changes in workforce demographics on an annual basis.
For a smaller company like Pure Represents, results are easier to assess. “We just need to look around the office to see the results,” says Walsh. “We heavily promote inclusion as one of Pure’s fundamental principles. So, when we have A&R meetings, for example, we invite marketing, we invite the intern, and everyone is encouraged to share their thoughts on the artists that we’re talking about. You can do that when you’re 15 people. If you’re in an office of 200 people, you may have less of a voice.”
Agreeing on the importance of monitoring progression in building diverse teams, LaBennett says, “We’re constantly challenging ourselves to come up with creative [key performance indicators] and metrics because, at the end of the day, if we’re not making a difference, what are we doing?”
“In order to get your bonus or to get promoted, there’s a DEI behaviour that we’re looking for”
One Wasserman-related yardstick she points to involves its college music business programme. “It boils down to whether we are able to hire the students: Did they secure an internship? After they secured an internship, were they offered full-time employment? If we’re able to say Wasserman hired eight interns, and of those eight, four of them are returning and two of them are getting full-time jobs, that’s a metric that matters.”
Indeed, in a move designed to ensure that those results continue to improve, Wasserman has integrated DEI participation into every employee’s performance review. “In order to get your bonus or to get promoted, there’s a DEI behaviour that we’re looking for,” explains LaBennett.
“That might be something as simple as working with a Black-owned caterer when you’re hosting an event. Or if you are going to go speak to college students, making sure you include people that are neurodivergent. There has to be some sort of element of your work that is equitable and inclusive.”
Challenges
While real strides are being taken across the live music entertainment business to fill vacancies with individuals from marginalised groups, the task facing recruiters is not without its difficulties.
OVG’s Jackson comments, “Underrepresented people, whatever group they’re part of, want to be valued. It’s our task to understand what is important to them, whether it’s through their culture or religion or whatever group they’re part of, and we need to show a value to that, rather than discount them or being deaf to them.
“This industry has historically been led by white males – and it still is – but the employees we’re hiring now need to be given the confidence that [they] will one day be the industry’s leaders. We want them to be leaders in 15, 20 years, and we will try to put things in place to let them see that we’re supporting that for real and that they have a long-term home here.”
“Being able to stick with it is crucial, because results are not immediate”
Considering career progression, LaBennett flags up staff retention as an ongoing battle. “It’s hugely important because career growth usually comes when you’ve been here for a while, then you get elevated to senior director or vice president. But, if we’re not able to retain that talent in the first place, that’s going to negatively impact our diversity ambitions.”
LaBennett also highlights empathy fatigue as a real challenge in the drive to embrace DEI initiatives. “In 2020, the world was revved up about the need to be more equitable and the need to help certain communities,” she recalls.
“Basically, we’re talking about biases – race and gender and sexuality and religion in the workplace – and 15 years ago, we weren’t doing that. Matter of fact, we were consciously staying away from it.
“Being able to stick with it is crucial, because results are not immediate. With DEI work, we’re sowing seeds and then we’re watering the seeds and then getting the sun to come in. But we won’t bear that fruit anytime soon.”
Work in (Good) Progress
As companies throughout the sector meet potential new employees who fully expect favourable DEI terms – often before they even agree to attending a job interview, those key policies are becoming essential throughout the industry, as suppliers and contractors are also being urged to step up their game.
“The bottom line is the more diverse a team you have, the more diverse the clients you’re going to attract”
“We have, like, a very robust supplier diversity programme here in the States,” Oakview Group’s Jackson reveals. “We gather data on suppliers, we measure that, and we set goals on how we want to grow, year over year.”
Pure’s Walsh observes, “At interview level, we find that potential employees often have read the ‘people and planet’ section on our website, where we outline our policies on diversity and sustainability. They also take a keen interest in our links to Earth Percent, Small Green Shoots and Black Lives in Music, the interviewee looks at the company holistically and its culture – it’s no longer just about the salary offered.”
LaBennett states, “The bottom line is the more diverse a team you have, the more diverse the clients you’re going to attract. If you go to a music festival right now, you’re not seeing one kind of person: you’re seeing a myriad of people from different backgrounds. If we aren’t recog- nising that those are the ultimate people that our artists are trying to reach, then we’re failing.”
Walsh concludes, “Every day is a school day – there’s constantly new challenges, and what worked last week might no longer work this week. But so long as everyone is open to that, and open to learning, then I think we’re going in the right direction.”
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Covid pandemic – once in a generation?
Just a few short years ago a global pandemic would have seemed to be something which could only happen in a Stephen King novel, or in science fiction – The Stand, or 28 Days perhaps. The ‘Spanish Flu’ epidemic of 1918/20 notwithstanding, the thought of a virus today bringing the world to a halt, resulting in the deaths of millions of people would have seemed incomprehensible, but the warning signs were already there…
There were some near misses, most recently SARS in 2002 and Avian Flu in 2013, but the effects of these outbreaks were relatively contained, and anyone warning of a global pandemic was largely seen as a conspiracy theorist or worse.
The smart money now is on another pandemic happening sooner, rather than later. Covid is not expected to be a once in a generation occurrence, but, and it is a very BIG but – no-one can predict when or how it is likely to occur, although some studies suggest that there is a 30% chance that another pandemic will hit within the next 10 years. This shouldn’t be taken that we have 10 years to prepare ourselves for the next one as it could occur at any time – in 2024 alone, although not widely reported, there have been outbreaks which could quite easily have escalated very quickly, particularly one outbreak of Avian Flu. Fortunately these were controlled.
The live entertainment business fell off a cliff for a period of time, and it is great testament to all of the people in that industry that the business has recovered incredibly well – pre-Covid annual global live music revenues were $28.56 billion, in 2023 revenues were $28.86 billion, with 2024 expected to be even stronger.
As a direct result of the pandemic, insurance losses are estimated to be $44 billion, which makes the pandemic the third largest insurance loss ever, after 9/11 and Hurricane Katrina. Total losses, including uninsured, are calculated to be in the $trillions. It will come as no surprise that insurance companies, realising the sheer magnitude of their losses, retreated to lick their wounds, then applied huge rate hikes, and exclusions to coverage for almost anything Covid-related.
“If an insurance policy provides cover for the non-appearance of an artist due to illness, why should Covid continue to be excluded?”
Non-Appearance insurance and Event Cancellation insurance are essential for savvy promoters, managers, artists and almost every business involved in the staging of live events. So much investment, or potential revenue could be riding on a tour, or even one show – the values can be staggering – the Taylor Swift tour grossed over $1 billion. But since Covid, everyone has had to accept that insurance for this risk – the one that got up and punched the industry on the nose so badly that for some, it was a knock out blow – is one that they have to shoulder themselves. Should insurers now be doing more to offer protection for this?
Well, yes actually, and there are some extremely innovative solutions available now using parametrics, but these solutions really offer balance sheet protection for major corporations rather than for a show or a tour, and the cost is serious – minimum premiums are at least $100k, if not more.
Covid is now part of our lives – most of us consider it to be akin to flu, and if an insurance policy provides cover for the non-appearance of an artist due to illness, why should Covid continue to be excluded?
We’re making headway. Some of the insurers we work with have agreed tentatively to offer cover when an artist cancels a show because they’re suffering from Covid, but there are limitations – the number of shows which can be affected is limited, as is the monetary amount.
It’s not a total solution – that is a very long way off, but it’s a step forward, and every step forward is a step in the right direction for the industry.
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Metallica’s Covid insurance lawsuit rejected
California’s court of appeals has dismissed Metallica’s lawsuit demanding more than $3 million (€2.75m) in losses for concerts cancelled due to the pandemic.
The band sued Lloyd’s of London over six axed South American dates in 2020, saying they had acquired a standard cancellation, abandonment and non-appearance insurance policy to cover their losses if any of the tour was postponed or cancelled.
But Justice Maria Stratton ruled the shows were not covered by Metallica’s insurance policy because of an exclusion in the contract for any losses stemming from “communicable diseases”, reports Billboard.
The group had argued the case should have gone to trial, as a jury could have decided the gigs were cancelled for non-Covid reasons. But Stratton, who bizarrely quoted Taylor Swift in her ruling, said it was “absurd to think that government closures were not the result of Covid-19″.
“To paraphrase Taylor Swift, ‘We were there. We remember it all too well’”
“To paraphrase Taylor Swift, ‘We were there. We remember it all too well,’” she wrote. “There was no vaccine against Covid-19 in March 2020 and no drugs to treat it. Ventilators were in short supply. N-95 masks were all but non-existent. Patients were being treated in tents in hospital parking lots.
“The mortality rate of Covid-19 was unknown, but to give just one example of the potential fatality rate, by late March, 2020, New York City was using refrigerated trucks as temporary morgues. People were terrified.”
Lloyd’s has not commented on the lawsuit, except to point out that it is not an insurance company, but rather oversees and regulates a market of independent insurers.
Meanwhile, a lawsuit filed by Live Nation in 2021 against insurer Factory Mutual for failing to cover its “unprecedented” losses as a result of the concert business shutdown, is still pending.
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Aussie live industry reports strong resurgence
Australia’s live industry rebounded from two years of Covid restrictions to post its second highest attendance and revenue on record in 2022, according to a new report.
Live Performance Australia’s 2022 Ticket Attendance and Revenue Report shows total revenue for the year was A$2 billion (€1.2bn), while ticketed attendance reached 24.2 million. The largest markets of Victoria and NSW accounted for 67.8% of live performance revenue and 62.4% of attendance.
Combined, concerts (average ticket price $87.01) and festivals ($169.53) made up close to half of total revenue ($940m) in the country’s live arts and entertainment industry, and almost 42% in total attendance. Contemporary music led market share for revenue (35.2%) and attendance (35.9%).
“Australians love live performance, and more people attended a contemporary music performance than the AFL, more saw a musical theatre show than the NRL [National Rugby League],” says LPA chief executive Evelyn Richardson.
“We saw many audiences come back to their favourite shows, venues and festivals in 2022 as Covid-19 restrictions were lifted and borders reopened, especially in Victoria and New South Wales. There was also a lot of pent-up demand in 2022 for shows, tours and festivals that had been delayed or rescheduled from the previous couple of years due to Covid-19 restrictions and border closures.”
“Despite the strong improvement in attendance and revenue in 2022, many parts of the industry are being impacted by ‘long Covid’”
More than 1.5 million people attended music festivals in 2022 – the highest ever recorded for this category – although 2022 revenue has not yet returned to pre-pandemic levels for contemporary music as major tours only resumed in the second half of 2022.
However, the report notes some categories showed declines in some states and territories, adding that the industry is grappling with “long Covid” impacts in 2023 and into 2024, with particular pressures for small to medium companies and the not-for-profit sector.
“Despite the strong improvement in attendance and revenue in 2022, many parts of the industry are being impacted by ‘long Covid’ and grappling with critical workforce shortages, soaring production and touring costs, and shifts in audience behaviour alongside deepening cost of living pressures,” continues Richardson. “We know these problems are particularly acute for some sectors of live performance, especially our small to medium and not for profit companies.”
Australia’s live music’s scene was recently said to have reached “crisis point” after it was revealed that more than 1,300 venues closed permanently since the start of the pandemic, prompting the NSW government to launch its first “live music audit” to help revive the region’s concert scene.
“It’s pleasing to see governments recognising the economic, social and cultural importance of live arts and entertainment through arts and cultural policy frameworks at the federal and state levels,” adds Richardson. “It will be absolutely critical moving forward that governments match their policy ambition with the level of strategic investment in our industry to achieve these goals over the longer term.”
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Kiss sued over death of guitar tech
The family of a long-serving Kiss guitar tech who died after contracting Covid-19 while on tour have launched a lawsuit against the band, alleging negligence and wrongful death.
Francis Stueber, 53, who had worked with the group for more than two decades, passed away in hospital in October 2021 after being quarantined in a hotel room in Detroit, US for two days.
The lawsuit names Kiss members Gene Simmons and Paul Stanley, their manager Doc McGhee, promoter Live Nation and hotel chain Marriott International as defendants, according to documents seen by Rolling Stone.
“The failure to enforce or have adequate Covid-19 policies or procedures caused a Covid-19 outbreak amongst band members and tour personnel,” claims the suit.
“As a direct and proximate result of the dangerous condition created by defendants, decedent suffered fatal injuries and plaintiffs suffered damages.
“Defendants… breached their duty to plaintiffs by their negligent production, operation, inspection, supervision, management and control”
“Defendants… breached their duty to plaintiffs by their negligent production, operation, inspection, supervision, management and control over The End of the Road Tour that ultimately resulted in the death of decedent.”
The band, Live Nation and Marriott are yet to respond publicly to the lawsuit.
Speaking to RS at the time, three crew members alleged The End of the World Tour’s Covid-safe measures were insufficient. “Every day during the shows, we weren’t tested,” claimed one roadie. “It’s horrible that Fran passed, and it’s horrible if this is our protocol just for us to tour.”
Kiss, who said they were “profoundly heartbroken” by Stueber’s death, issued a statement denying the claims, insisting their safety protocols “met, but most often exceeded, federal, state, and local guidelines”.
“Ultimately this is still a global pandemic and there is simply no foolproof way to tour without some element of risk,” the statement added. “If certain crew chose to go out to dinner on a day off, or have beers at a local bar after the show, and did so without a mask or without following protocols, there is little that anyone can do to stop that. Particularly when many of our tour markets did not have any state or local mask mandates in place.”
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Japan’s Summer Sonic increases domestic focus
Creativeman president Naoki Shimizu says Japan’s Summer Sonic is reducing its reliance on international talent amid a rise in domestic festival-goers.
The sold-out event will be held concurrently at Zozomarine Stadium and Makuhari Messe, Tokyo and Maishma Sonic Park, Osaka this weekend (19-20 August), headlined by Kendrick Lamar, Blur, The Strokes, Lizzo and Foo Fighters.
Other non-domestic acts on the bill include Fall Out Boy, Blur, Niall Horan, Thundercat, Two Door Cinema Club, Wet Leg, Honne, Pale Waves, Liam Gallagher and Evanescence, but Shimizu says the growing number of Asian visitors to the festival and the country itself is influencing a shift in direction.
“Summer Sonic is often said to be a festival centred on Western music, but the number of Asian acts is increasing year after year,” he tells the Japan Times.
After the event attracted a record 300,000 people across the two sites for its 20th anniversary edition in 2019, the pandemic ensured Summer Sonic did not take place again until 2022, when international acts accounted for just 40% of its offering due to stringent pandemic travel restrictions.
“The promoters have also become stronger, and we are ready for any other challenges ahead of us”
In addition, the festivals were reduced in capacity (Tokyo to 55,000 and Osaka to 30,000) and fans were subject to a number of restrictions. However, Shimizu reveals the planning for this year’s event was far more straightforward.
“Preparations have been pretty easy this year, compared to last year,” he says. “That’s what happens when you don’t have to install disinfectant stands or partitions. “Festival sponsors have also come back strong this year, after many avoided last year’s edition due to worries over criticism.”
The Japanese government only announced a relaxation of its longstanding ban on cheering at concerts and sporting events at the start of 2023, along with a reclassification of Covid-19’s disease status, but Shimizu says the market is now back to full strength.
“It’s recovered,” he says. “I think people have rediscovered the splendour of live music after being restricted from it over the past few years. But it’s back, and the numbers back that up. The promoters have also become stronger, and we are ready for any other challenges ahead of us.”
The Japanese government recently dialled back visa requirements, making it easier for foreign artists of varying success to visit the country. The changes were prompted by a recent boom in live music performances, according to Japan’s Immigration Services Agency (ISA).
The forthcoming issue of IQ, due out next week, will feature an in-depth look at the Japanese live music market.
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Strong bounceback for Danish concert business
The Danish concert business has bounced back to near pre-pandemic attendance levels according to newly released figures, but several venues say they have suffered a drop in ticket sales.
The latest publication by Statistics Denmark reveals the number of concertgoers reached 7.4 million in 2022 – close to the 7.5m and 8.2m reported in 2018 and 2019, respectively. The total had dipped to 2.8m in the Covid-ravaged years of 2020 and 2021, according to data registered with national collection society KODA.
While trade body Dansk Live welcomes the positive momentum, it notes that several of its members have reported a downturn in ticket sales, with the situation remaining unchanged as of spring 2023.
“It bodes very well for the future in the live sector and shows that we have come back well after a few years which hit the organisers hard”
“It is very good news that the figures for 2022 are so positive,” says Dansk Live director Esben Marcher. “It bodes very well for the future in the live sector and shows that we have come back well after a few years which hit the organisers hard. However, we must not forget that there are still venues that experienced challenges in ticket sales as recently as spring 2023.”
In 2019, Denmark’s regional venues had 700,000 fans for 4,600 concerts, compared to 530,000 guests at 3,900 gigs last year. The same trend applied to the country’s other venues, where there were 850,000 concertgoers at 6,900 shows in 2019, which fell to 630,000 guests at 4,400 concerts in 2022.
The country’s music festivals fared better, however, attracting 1.3m guests in 2022, up slightly from 1.2m in the last pre-pandemic year.
“We hope that the concertgoers really return to the places that have experienced the number of visitors as sluggish”
“We hope that the concertgoers really return to the places that have experienced the number of visitors as sluggish, and that they too can again reach the same level as before corona,” adds Marcher. “In any case, we will follow developments closely.”
A previous Statistics Denmark study indicated the number of young people attending concerts in the country has increased significantly on pre-pandemic levels. The Culture Habit Survey showed that one in four of the population attended a gig in the second quarter of 2022, with 38% coming from the youngest age group (16-24 years) – up from 25% in 2019.
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Attendances up for Dutch live business
The concert business in the Netherlands has reported a post-pandemic resurgence, but concerns over rising costs remain, according to the Association of Dutch Music Venues and Festivals’ (VNPF).
The newly published Poppodia and Festivals in Figures 2022 report shows venues and festivals received a total of 7.6 million visits in 2022, compared to 883,000 in 2021 and 8.6m in the last pre-Covid year of 2019, despite an “abnormal” year for the business, with corona restrictions not lifted until three months in.
Employment in the industry was also up, with music venues employing more than 8,000 staff last year – approximately 3% more than in 2019 – with more paid working hours and less voluntary work.
The statistics are based on figures from 48 music venues and 55 festivals. However, the report notes that the total expenditure of those venues increased by 8% in 2022 compared to 2019, even though fewer activities were organised in Q1 2022 due to the strict Covid measures.
Chief among its stated concerns are high cost increases for venues, including for personnel, housing, catering and programme, while municipal subsidies “were not increased proportionally”.
“The costs for energy, personnel, catering purchasing and artists rose sharply, and will still do so in 2023”
“In addition to the aftermath of the pandemic, VNPF members also faced high inflation in 2022,” it adds. “Among other things, the costs for energy, personnel, catering purchasing and artists rose sharply, and will still do so in 2023.”
VNPF stages received €36.1 million in Covid intervention in 2021, with the vast majority of that amount coming from the national government and the organisation stresses the need for further support from the authorities.
“The figures for 2022 show that the municipal subsidy is increasing, but not enough to cope with autonomous cost increases,” it says. “This is particularly worrying for the longer term. This means that talent development of both artists and staff and the retention of good staff will come under further pressure.
“Adequate and appropriate subsidies for the subsidised part of our sector remain of vital importance. Organisations that are not subsidised also need the government as a cooperation partner and facilitator.”
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LIVE study highlights ‘battle for next generation’
The pandemic’s impact on young people’s concert-going habits has been made clear by the latest study by UK live music industry umbrella group LIVE.
LIVE’s Deep dive into consumer trends Q2 report is based on a nationally representative survey carried out by insight agency Opinium, which collected 2,000 responses in November 2022 and a further 2,000 responses in April this year.
While the previous report highlighted how a section of customers had got out of the habit of attending gigs and others were attending less frequently due to financial pressures, the 2023 findings are more positive.
Among the headline findings are that 16% of respondents are now attending fewer events overall, compared to 22% five months earlier. Ticket-buying attitudes also appear to be softening, with 27% (a 4% decrease) of participants saying tickets are too expensive, 19% (-3%) saying everything feels expensive post pandemic, 18% (-4%) saying they have less disposable income to spend on tickets and 15% (-4%) saying they were trying to reduce their spending to only essentials.
However, concerns remain around nurturing young fans, denied the opportunity to develop a gig-going habit by lockdown. LIVE chief economist Chris Carey tells IQ the findings highlight the “battle for the next generation of lifelong music fans”.
“The world has changed in terms of convenience – people expect things to be available last minute and don’t plan as far ahead”
“Because they never got the habit, they’re going to less events overall,” says Carey. “We can make sure we’re promoting the right stuff for them and putting on things that are cost-effective.”
The 18-24 and 25-34 age groups also retained the biggest concerns around Covid, indicating they were put off buying tickets because they were worried they would get ill and be unable to attend the show.
“It’s a bigger barrier for them than for the older groups,” says Carey. “Gigs were banned for health reasons. [To them], gigs were dangerous, other people were dangerous. And I think we’re still living with some of that.”
Elsewhere, the trend towards late sales looks set to continue as 18% of 18-24-year-olds and 16% of 25-34-year-olds said they buy tickets later because they were confident tickets would still be available.
“People feeling confident they’re going to be able to attend regardless is an odd dynamic for the live music industry,” says Carey. “The world has changed in terms of convenience; people expect things to be available last minute and don’t plan as far ahead. But I also think that dynamic of, ‘tickets will still be available’, had never been true before, and now it has become true sometimes.
“It’s quite a risky dynamic for us and is something we’ve got to manage quite carefully – particularly given that selling tickets out early helps with cashflow and getting the next shows on. If people are waiting, it has a dramatic impact on the business overall.”
“Younger fans are more likely to not show because of the expense of the whole night”
No-shows have also persisted post pandemic, according to the study, with only 62% of people definitely using tickets. A key point for Carey is that 6% say they did not attend because of the expense of the whole night.
“That is hugely problematic for us and partly drives people towards having one giant night out, rather than four or five nights out,” he says. “It also raises questions about the middle market and how much support they’re getting. Is there a risk that the middle market becomes prohibitively expensive, not because of the ticket price, but because of the cost of everything around it?
“And is there an opportunity there? Can we bundle food and drinks with tickets to get people in the room spending at our venues and help soften the blow of the cost of that whole night? Or getting the money upfront so they get two beers on arrival? Or 20% off a burger once you’re in the venue? That’s something we possibly could be doing.”
He adds: “Younger fans are more likely to not show because of the expense of the whole night. If we jump back five years, you would expect 18-24, 25-34 to be your core audience. But at the moment they’re the ones with the core challenges and that’s something we should be very aware of.”
Turning his attention the next edition of the report, Carey, whose FastForward conference returns to London with an expanded two-day programme from 19-20 September, has a number of objectives in mind.
“I would hope to see that the Covid concerns continue to soften and the attitude to ticket buying improving slightly, and that enough people have got back to their first event since Covid by that time,” he says. “You have to experience it to remember just how good it is and I hope, after this summer, we will have many more people who have experienced it again and have renewed excitement for it. And that will boost us and bolster us.”
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