Chapter 1635: Touring Company

72_72291In the European and American markets, touring is always the most profitable business for singers, not only because the income of the album needs to be divided with record stores and record companies, but also because the album is a one-shot deal. But touring is different, not only can it attract a lot of sponsors, but it can also travel all corners of the globe for months or even years.

In fact, this is the same as a movie, it is very difficult for a film company to make a movie, and it is very difficult to make money by relying on the box office, unless it is like "life and death" to plunder ultra-high box office at ultra-low cost, or "Independence Day" is like ultra-high cost to create a box office, otherwise the box office profit of the film company is not large. Film companies rely more on the peripherals after the movie goes offline to make money, of which Disney is the most representative company.

From the rental of video tapes, to the sale of overseas copyrights, to the sale of copyrights of major TV stations and online screenings, to the peripheral development of toys, school supplies, and daily necessities, to the establishment of theme parks, and even the advent of derivative products. After the movie went offline, Disney's real profits were just beginning.

Touring is actually very similar to movie peripherals, because touring is not just a concert ticket, but also concert-exclusive T-shirts, cheering light sticks, desk calendars, posters and other peripheral products at the door, which can generate huge profits.

After many singers have fallen from the peak of popularity, the reason why their singing careers can continue for many years is because of the power of touring. Guns N' Rose, Madonna, Mariah Carey, U2, Miss Quack (Lady) gaga) and so on, they basically toured around the country during the non-album promotion period, and the income was still very considerable. The profits won by an album are often earned by relying on three or five concerts.

For example, if a singer sells more than 10 million albums and becomes the top store in the long history of music, he may earn about 10 million to 20 million US dollars; But a tour of 30 performances in the United States can earn 30 million or more. There are very few singers in history who can sell 10 million albums; However, there are countless singers in history who have been able to hold 30 concerts in a row and maintain a certain attendance.

That's the beauty of touring.

In Europe and the United States, where the entire touring market is exceptionally developed, even the singer at the peak of his career, Bruno Mars. Mars), Justin Timberlake, Taylor Swift (Taylor. Swift), Beyonce, Rihanna, Katy Perry. perry) and so on, all of them are on tour all year round, because this is far more profitable than the album, and it is also a way to continue to maintain super popularity, super high exposure, and be able to get close to fans, which can be said to be counted in one fell swoop.

It can be said that the tour is a golden cash cow.

Because of this, touring takes a long time and a lot of effort to operate, and most record companies don't get involved in this area, which is why regular touring companies are born. The bigger the tour company, the more venues they have, and they can choose the venue according to the singer's popularity level, whether it is 100,000 people, 10,000 people, or 5,000 people, so as to maximize the attendance rate, promote the excitement of the performance, and maximize the tour effect.

At the same time, the tour company is well aware of all the details of the entire tour process, such as the arrangement of the itinerary, the arrangement of the hotel, the alienation of fans, the cooperation of tickets, the selection of sponsorships, the promotion strategy, etc., they are all clear. It's like the distribution department of a film company, but it's far more complicated than distribution.

Just like the eight major Hollywood film companies, the world's five major music companies, and the three major agency companies in the United States, touring companies naturally have a leading boss, AEG Group (Anschutz. eaiใ€‚ group) and live. nation๏ผ‰ใ€‚

AEG Group is a well-known consortium that designs a wide range of contents, including stakes in the Los Angeles Lakers, Los Angeles Kings hockey team, and more than 100 sports and entertainment venues around the world. They have hosted world tours of the Eagles, Nirvana, Michael Jackson and many other top names, and the two-year world tour of Guns N' Roses was also hosted by AEG - a world tour that also saw the top rock band split within and be replaced by Nirvana.

LiveNation is not a consortium, but a professional touring company. AEG is at the top because they have more than 100 venues around the world, but Live Republic is at the top because of their strong planning skills, and if you talk about concert venues, Live Country can't compete with AEG, with 70 concert venues in the United States and nearly 40 performance venues around the world โ€“ but that includes Wembley Stadium in London. stadium). However, the number still lags far behind the AEG Group.

Live Republic is currently the world's largest touring company, with teams of professionals all over the world โ€“ and even in the Asian market, having planned major concert tours for U2, Madonna, Frank Sinatra, Pearl Sauce and many more. And their greatest achievement is that they once drove the Beatles to come to the United States behind the scenes.

At present, the two companies of Live Country and AEG Group together can monopolize more than 80% of the international performance market, and they are well-deserved industry leaders. The former has expertise and experience, while the latter has funds and venues, each with its own advantages and disadvantages, and it is really difficult to distinguish the winner from the loser.

When the "Road to Glory" tour was launched two years ago, the tour company responsible for Honor to Death was not either of the two powers, but the company responsible for the tour plan at the time signed a lease agreement with AEG Group to borrow a large number of AEG Group venues to provide tour space for Honor to Death. Take Madison Garden Plaza, for example.

However, this time the glory to death is obviously at a different level, EMI Records has only released a rumor in the industry, and a group of touring companies have flocked to it, and the two giants of the live country and AEG Group have not shown weakness, and then they started negotiations with EMI Records, and there was a lot of noise for a while.

Everyone clearly knows that this is a global tour that will last for half a year, with at least 50 tour cities, more than 100 performances, and a profit of at least 50 million - this is the most conservative minimum bottom line estimate, and many industry insiders believe that with the momentum of Hugo and Glory to Death, there is no big problem for tour profits to cross the 100 million threshold.

So, every touring company is eager to get their hands on the project, and the sponsors behind them are already waving checks ready to deliver money to their doors, which makes all the companies do their best, rack their brains, mobilize all their connections, and hope to reach an agreement as soon as possible.

However, in fact, after the on-site country and AEG Group announced that they would join the competition, other touring companies knew that they had little chance, after all, the strength of the two was almost impossible to oppose, not to mention, with the momentum of glory to death, only these two top companies could shoulder such a grand performance.

Sure enough, after three days of intensive and detailed negotiations, EMI Records decided that it would eventually identify a company between the Live Country and AEG Group to be responsible for the Glory to Death global tour. But as everyone knows, the live kingdom is more professional and can provide a more valuable tour plan for glory to death; AEG Group is more confident, and they can provide a better performance venue for Glory to Death.

After discussing with Roger Fason, Henry also consulted with the other members of Glory to Death, and after asking everyone's opinions, he came to Hugo, hoping to find a plan that was most suitable for Glory to Death. Because Henry knew that this tour was essential for glory unto death; The same is true for Hugo.

"Scheme, yes, scheme, I've seen it." After Henry's reminder, Hugo finally came to his senses, and his enthusiasm for the tour was unprecedentedly high, because this world tour was a good opportunity for Hugo to sprinkle water and fertilize the seeds of rock 'n' roll, and it was also the only way for him to move towards his dream.

In fact, long before the official announcement of the tour, Glory to Death had already begun to prepare for the tour, to be precise, they had been preparing for this tour since the first half of the year's outdoor studio journey. Now everything is ready, just choose a tour company, and after it is put into operation immediately, the tour can officially hit the road.

Hugo still has a problem, though.

"Are you sure the plan isn't wrong?" Hugo frowned slightly, showing a puzzled expression, but now Henry and Joseph showed puzzled looks, and they didn't understand where Hugo's words came from, Hugo had to explain, "I looked at the amount of the tour, AEG Group offered 20 million dollars to sign this tour?" They're crazy! โ€

It's just the right to sign the agency of the Glory to Death tour, and then the profit dividends, sponsorship dividends, etc. of the tour still have to be given to Glory to death, AEG Group actually gave 20 million US dollars - the contract renewal of EMI Records was 20 million, and it was the amount of two albums within three years.

Of course, now EMI Records' signing move has been recognized by everyone as a decision worth $100 million, proving Roger's wisdom in the first place. But AEG Group paid such a high amount of money just for the sake of acting for the glory to death tour - just this time for the world tour, it is simply unreasonable! Rich people are really capricious.

However, even the live country has offered a signing fee of 10 million US dollars, which is not as good as AEG Group, but it is also more than the 10 million US million that Michael Jackson signed with AEG Group not long ago for "History", which opened in Prague on September 6, and the tour will last nearly two years and will be held in two parts, making it the biggest concert ever.

When Hugo saw the signing fees offered by the two touring companies, his first reaction was that the plan was wrong, because the number was incredible.

Looking at Hugo's surprised expression, the corners of Henry's mouth lightly outlined a smile, and a shallow light flashed under his eyes, showing his good mood, "The contract is not wrong, they are not crazy, the numbers are all right." โ€ใ€‚