VIP-News Premium - Vol. 134 March 2011

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VIP- News premium ›› Vol. 134 ›› march 2011

McGowan’s Musings: Before we get into anything else in this edition of the News I think it very necessary that we make mention of the terrible events in Japan which create a sense of proportion that make the majority of things that occupy us seem trivial. The terrible consequences of earthquake and tsunami are now added to by the risk of nuclear meltdown, all in all the disaster is too huge to take in, I found myself trying to dismiss the sight of people in cars desperately trying to outrun huge waves of water and debris then disappearing as shots from a disaster movie… then being shocked into the realisation that this was real life…and death. Lets hope that the nuclear reactors are made safe, that the tremors abate and that all those affected receive all the possible help that they can to start the slow and difficult process of recovery.

Last weekend’s International Live Music Conference appears to have been a resounding success. This 23rd edition again sold out with registrations closing after a 1000 plus professionals booked in for the event. You have to have recommendations from two professionals, or members, who have attended the ILMC before in order to

Allan McGowan

register and it is a good indication of how the business is growing to note that there were 250 new delegates at London’s Royal Garden Hotel. The presence of this ‘new blood’ contributed to a freshness of the event, particularly in the conference sessions, where more new voices were heard in contributions from the floor – a very good thing! As we all know 2010 was marked by various problems including a shaky world economy and a drop off in concert attendances and ILMC 23 set out to consider these setbacks and to discuss remedies, even the ‘Lost World’ theme suggested a quest for rediscovery, however in the event the overall atmosphere and much of the comment was to do with future growth and optimism (see report in this issue).

Talking of improvement the UK record business seems to be quite pleased with itself in terms of performance with the great rival across the Atlantic. For the first time in 25 years UK acts Adele, former Floetry singer Marsha Ambrosias and Mumford & Sons have taken the top three places in the US charts. Also 140 UK acts are performing at SXSW in Austin, Texas this week, the largest contingent of any country outside of the USA. Feargal Sharkey of UK Music commented, “…while the investment involved in breaking an act internationally remains considerable, I’m convinced that with increased strategic support across music and creative content industries there’s no limit to the growth we could achieve”. So that’s all right then!

As it happens I decided not to go to SXSW this year, but as certain people send me messages talking about 26-degree temperatures and the fun they’re having I’m beginning to miss Austin! Still maybe I’ll just go for a walk by the sea and pretend to love the cold North wind that’s blowing at the moment, or shall I just stay in the warm and finish off, just for you Ladies and Gentlemen…The News!

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Analysing the Ticket: Live Nation Launches LiveAnalytics Allan McGowan am@vip-booking.com

As in the last couple of years one of the main buzzwords at ILMC was ‘data’. The word was of course particularly prevalent in the many rooms where ticketing, primary, secondary, paperless, mobile etc, etc, was discussed. (Farhad Wadia of E17 in India told me that he can’t understand the concerns and worries about secondary ticketing – as he says in his market they’re still getting primary off the ground!) It certainly seems that data is king and he or she who owns or has access to the data on the fan and the ticket buyer and knows how to analyse it, is ahead of the game.

In the Sunday Supplement panel at ILMC 23 it was revealed that certain larger ticketing companies are ‘borrowing’ ideas and techniques from the many new smaller, and enterprising ticketers who now work directly with promoters, venues, managers and artists. So it’s not surprising to hear that Live Nation in the US has launched a new division called LiveAnalytics which will provide promoters selling tickets via the Ticketmaster platform with more stats and such like on their artists’ fans.

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The launch of this service certainly seems to coincide with a changing view within the live music area as to what is more valuable; the commercial incentives many ticketing agencies offer in return for exclusive ticket sale rights, or the control over ticket sales that promoters, venues managers or artists, can benefit from by selling direct to fans rather than handing over all tickets to a third party agency like Ticketmaster

Writer and editorial: Allan McGowan am@vip-booking.com

Nathan Hubbard

The new business is a joint venture between Ticketmaster and an analytics company called Teradata, and they say that the new firm will offer Ticketmaster’s clients “rich data analytics products that provide clients with fan insights for their business”.

How the clients access this data and exactly what it is plus various other specifications are not yet fully clear.

As previously reported, now that Ticketmaster is owned by arch-rivals Live Nation live music giant AEG Live has withdrawn from the platform and has formed a JV with a Canadian company called Outbox Technology which plans to offer promoters and venues a technical solution which enables them to manage their own online ticket-sales and access any analytics generated. Ticketmaster’s move to provide clients with more stats may be a bid to beat its new competitor.

Confirming the new venture, Ticketmaster CEO Nathan Hubbard told reporters: “The launch of LiveAnalytics is a key step in our plan to further build on the value we bring to our clients in helping them connect with fans and to ultimately sell more tickets. We plan on being the global leader in fan data insights and consulting that will bring a new level of service and knowledge to our client base”.

Writer: Manfred Tari mt@vip-booking.com For advertising enquiries pls. contact Peter Briggs pb@vip-booking.com or +44 870 755 0092 Lay-out: Pekaye Graphics, Phuket – Thailand info@pekayegraphics.com

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Eurosonic Noorderslag receives a European grant for ETEP Allan McGowan am@vip-booking.com

understand the importance of the circulation of repertoire in Europe and the need for European careers for European artists, both for Cultural and economic reasons.”

Eurosonic Noorderslag has been awarded a grant of 2,1 million euros from the European Union for the European Talent Exchange Program (ETEP). The grant will enable Eurosonic Noorderslag to expand the already successful ETEP program over the next five years, which will benefit more European artists.

festivals throughout Europe. Since 2003 over 400 European acts have performed at over 1100 festivals, outside of their home country. The ETEP system has helped acts such as Kaizers Orchestra, Franz Ferdinand, Within Tempation, Voicst, zZz, Wir Sind Helden and White Lies to achieve cross border success at the start of their careers.

Eurosonic Noorderslag developed the unique European exchange program in 2003 in collaboration with the European Music Office, Buma Cultuur, the EBU (European Broadcasting Organisation), Yourope (The European Festival organisation) and with support from Sena Performers.

Peter Smidt of Buma Cultuur and one of the founders of the Programme told VIPNews, “We have been working on European ETEP funding since 2003. Thanks to our partners, Sena Performers, EMO, Yourope and all other supporters we have been able to develop the scheme. Thanks to this grant we will be able to expand and work the program for the next five years and help to create better circulation of European repertoire in Europe. It is very positive that the European Commission is rewarding our work but more important is that it seems that Commission starts to

The ETEP program supports European bands in securing gigs at 60 of the biggest ETEP member European summer festivals.

ETEP’s goal is to stimulate the circulation of European artists within Europe and internationally, by performing at selected ETEP

Over the next five years Eurosonic Noorderslag aims to expand the ETEP program from 60 to a 100 festivals and generate more media attention for European music and artists. This is made possible by a unique partnership which comprises a total of 13 European partners such as the European Broadcasting Union (EBU), festival organisation Yourope, Initiative Musik in Germany and the festival Italia Wave, who will collaborate and work on the shared goal of creating more exposure and opportunities for European music in Europe. Also, a specific part of the ETEP programme has been designed for the Central Eastern European countries in close cooperation with Sziget and Exit Festival. (VIP-News will report more on this in the next issue.)

For more information on Eurosonic Noorderslag and ETEP visit the websites: www.eurosonic-noorderslag.nl www.etep.nl

ETEP Festival

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Arthur Awards Presented Allan McGowan am@vip-booking.com

The Arthur Awards were originally introduced at ILMC as a ‘jokey’ response to Awards elsewhere in the entertainment industry – titles such as ‘The Most Strokable Agent’ etc demonstrated this, and the Arthur figure was based on a down at heel somewhat seedy would be entrepreneur character. However all that has changed as the winners and the media began to take these Awards for live music greatness very seriously.

With a capacity of almost 5,000, the world famous O2 Academy Brixton attracts over 500,000 visitors per annum, hosting over 120 events in a calendar year.

At ILMC 13 the winners were: Best Tour: Muse Best in Show: Walking With Dinosaurs Stage Show Best Festival: Montreux Best Promoter: Simon Moran, SJM Best Agent: Steve Zapp, ITB Best New Boss: Tom Taaffe, The Agency Group Best Production: Wob Roberts Best Professional: Ben Challis, Charming Music The People’s Assistant: Prue Almond, ITB First Venue to Come into Your Head: O2 Academy Brixton Brixton Best Service Company: Beat the Street Bottle Award (Outstanding Achievement): Neil Warnock, The Agency Group First Venue To Come Into Your Head: O2 Academy Brixton

The following Press Release shows just how seriously the Arthurs are now taken:

‘First Venue To Come Into Your Head’ - Arthur Awards 2011 ILMC 23 O2 Academy Brixton triumphed at the ‘Arthur Awards’ on Saturday 12th March

Neil Warnock won the Bottle Award at the Arthur Awards during ILMC

2011, winning the title of ‘First Venue To Come Into Your Head’ at the ceremony held at London’s Jumeirah Carlton Tower. The Arthur Awards are the live music industry’s favourite and most established awards and the winners are only decided by ILMC (International Live Music Conference) members and subscribers to IQ Magazine.

The ‘Arthurs’ recognise the heroes and highlights of the international concert business, from venues, promoters, agents, festivals, production stars and tours. Beating off stiff competition from its sister venue in the Capital, O2 Shepherd’s Bush Empire (London), Hallenstadion in Zurich, The O2, Dublin and Paradiso (Amsterdam), O2 Academy Brixton once again celebrates its iconic status in the international live music scene.

O2 Academy Brixton is a must-play for artists and must-visit for music lovers. It has scooped the NME ‘Best Venue’ award an incredible twelve times, received the Music Week ‘Venue Of The Year’ accolade, hailed ‘Favourite Venue’ at the prestigious, music industry TPi Awards as well as recognition from Time Out (Live Venue Of The Year) and Smooth Radio’s ‘Love London Award’ to name but a few.

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ILMC The 23rd: Manfred Tari mt@vip-booking.com

For quite some time there were many that considered the International Live Music Conference to be an annual meeting of the good old boys network. But going by this year’s edition the ILMC is no longer what it used to be.

conventions such as Eurosonic Noorderslag or by:Larm. But it is obvious that while the ILMC becomes older its inventory actually gets younger.

The main asset of the ILMC is that it is a highly valuable hotspot for contacts and information. Besides the carefully undertaken measures of revamping the interior appearance of the conference each year, this industry event has been able, unlikethan Midem or Popkomm for instance, to maintain its attendance level in difficult times for a music industry which in general is going through many changes.

This year’s the usual ‘Flight Attendant’s Briefing’, assumed the new title of, ‘The Baggage Carrier’s Briefing’ which saw ILMC founder Martin Hopewell as usual delivering the opening introduction for the conference. Besides saying “Nothing last forever” Hopewell revealed the main statistics of the ILMC. This year the event sold out one week in advance and lured over 1.000 visitors from 60 countries to the Royal Garden Hotel in London, of which 200 had been ILMC ‘newbies’. Hopewell also asked the assembled delegates to thank Carl Leighton Pope for his amazing contributions to previous conference agendas of the ILMC over the years with his legendary ‘Talking Shop’. The omission of this session was probably the biggest victim of the modernisation process of the ILMC and it is certainly missed as a very classic item that for many years drove the vibe of this conference.

Of course the basic lay out of Midem and Popkomm and their target groups are very different from that of the ILMC or other

Greg Parmley, one of the team behind ILMC and the Editor of IQ-Magazine moderated ‘The Open Forum’ as the replace-

As already mentioned in last years report on this live music convention, this top gathering of live music insiders is becoming younger. Not only in reference to the average age of its delegates, but also in terms of the conference agenda and its speakers. The ILMC appears to be undergoing a strict course of modernising while retaining its essentials.

ment for the ‘Talking Shop’. He did well and steered the discussion with questions based on incomplete quotes from recent headlines of financial and other newspapers, in the style of the UK comedy news quiz ‘Have I Got News for You’. He opened up by asking his guests to complete the sentence with their own words, “New Blow to Music as “…..” Fizzle”, in reference to a headline in the Wall Street Journal about the decline of ticket sales for concerts and record sales. While putting the complete sentence on screen with the missing word ‘Concerts’ Fizzle”) the panellists were asked to comment on the relevance of this article. The overall opinion of the panel’s four industry heavyweights was that this headline was too US-centric and did not reflect the entire situation of the international live music industry.

»Growth had largely been driven by rising ticket prices, even as the number of tickets sold remained roughly consistent« - Greg Parmley

Paul Latham. COO of Live Nation International said “We’ve seen growth over 40 years” and Peter Schwenkow, CEO of DEAG added that the concert industry now serves “target groups aged from 8 to 88”. The discussion continued with Parmley referring once again to the WSJ article stating that “growth had largely been driven by rising ticket prices, even as the number of tickets sold remained roughly consistent.”

Neil Warnock, CEO of The Agency Group said that “saturation point had not been reached yet” and that the growing Eastern European market nowadays enables him to book “a whole second tour” for artists. He added that today a world tour could last up to 2 ½ years instead of only 8 months in former times. Serge Grimaux, CEO of Ticketpro ventured that emerging markets such as Poland for instance are still growing, with cities catching up and now having up to 4 or 5 venues. He also assumed that “never before there was so

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much great music” creating “exciting new scenes” but also agreed that these are “difficult times” for the live music industry.

On the subject of high ticket prices, Anthony Addis, the manager of Muse, con-

cluded that “people are greedy” and that “too many people want to have the fast buck”. Addis also said that the message of a flop travels fast in the business in reference to overpriced artists in response to Warnock asking “How do we position our

artists?” Warnock emphasized that high price tickets only involve 3 to 4 percent of top artists and that tickets prices for concerts should perhaps be seen in comparison to the high cost of London’s West End musical shows.

Parmley fed the discussion with more headlines. Another was taken from The Guardian headline, “Just the Ticket for Live Nation” referring to the merger between Live Nation and Ticketmaster earlier in 2010. The article stated, “It doesn’t take a genius to see that inflated ‘service fees’ and rising ticket prices are turning customers off.” Latham explained that Tickemaster invested $35 million in its new software and that the danger of market domination in the UK is not a big issue as the company only has a market share of 25 percent of the concert market. Warnock’s view of the merger’s impact on the concert market was that, “It is too early to comment.”

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Dan Silver from Value Added Talent who was in the audience contributed the comment that “booking fees are a big issue” to which Latham replied that it was too easy to blame Ticketmaster as they are not the only ones charging service fees that left ticket buyers wondering. As the discussion remained on the subject of ticketing Grimaux asked: “I wonder who is not in ticketing?” before moving the conversation on to the topic of “dynamic pricing”.

Latham argued that “the power is with the artist” while Grimaux stated there is no dynamic pricing in sport and other entertainment business.

The next headline was: “The show must go on for EMI” from The Telegraph at the beginning of February 2011. Schwenkow said that the earning rates before taxes, depreciation and amortisation for record companies is at 15 to 18 percent while for the live music industry it stands at 4 percent. Actually net profit results for record

companies are almost the same as for the live music industry or even negative as in the case of Warner Music or Live Nation.

Already by this stage it had become obvious that for the first time differently from earlier ILMC editions, the panels benefited from a more rational conversation culture than the previous typical ILMC emotional but entertaining, for the rank and file of the business, rhetorical showdowns by the ‘establishment’ of the live music industry.

This first debate was also truly different from the ‘Talking Shop’ episodes

by Leighton Pope, especially since in his speeches he very often emphasized looking out for the next generation of live music entrepreneurs and players. The ‘Open Forum’ was very well chaired and moderated by Greg Parmley and every aspect that matters for the state of today’s live music business was appropriately covered and considered. The only aspect that

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may have fallen short on this panel was an emphasis on awareness of the issues that matter for the upcoming generation in this business. However, the generation change at ILMC is already very visible and the organizers initiated an overall process of modernisation throughout the rest of the agenda anyway.

VIP-News will publish a second part of the adventurous IMLC 23 in the next issue.

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Planning for the Future Allan McGowan am@vip-booking.com

One of the main worries for the future health of the live industry often referred to in a somewhat troubled 2010 was the development of new talent – where was this to come from with the record companies no longer investing? The live industry was aware that developing new acts to fill the midsize venues and festival stages was vital as these would then – hopefully – go on to become the arena and stadium acts.

Chris Carey of PRS for Music presented some interesting information about the present and future state of the live industry as part of the ‘Solutions’ panel at ILMC. There was one reference to the age of the artists in the leading concert attractions which was gleaned from the following Technology Media and Telecommunications (TMT) Predictions document from international accountants Deloitte: The whole article is very relevant to the A&R question and can be accessed at www.deloitte.com but for the convenience and the information of VIP readers we include it here:

Deloitte predicts that in 2011 the live music sector, with festival organizers at the forefront, will singly or jointly start expanding their talent creation and nurturing roles that until now have been largely left to music labels’ Artist and Repertoire (A&R) divisions. The live sector will identify, invest in, develop and commercialise the next generation of stadium-filling artists, using a variety of approaches, from talent contests at festivals to dedicated facilities for nurturing new talent. All aspects of the live music sector may get involved: venue owners, concert promoters, television production companies, ticket sales agencies and even some established recording artists.

The recorded music industry has traditionally built a pipeline of up-and-coming music acts through their A&R divisions. In 2010, the industry spent almost $5 billion on development and promotion of all acts, with about half going to foster new talent.

However, after a decade of declining sales, the labels’ A&R spending is shrinking both in absolute dollars and as a percentage of

sales. In some countries, A&R investment as a percentage of revenues is down about 25 percent since 20062. By contrast, the first decade of this millennium has been particularly prosperous for the live music industry. Revenues rose steadily and even fared relatively well during the recent recession3. However, the decade ahead looks to be more challenging, perhaps due to the ongoing decline in A&R investment by the labels.

There are two cyclical factors that could soften live music revenues in 2011 and beyond, forcing the live sector to pick up some of the slack in terms of identifying and commercialising new acts.

One factor is the vintage of the current highest grossing live acts. Some of the last decade’s biggest draws appear to be approaching the twilight of their touring careers. In 2011 the lead singers for eight of the 20 highest grossing live acts in the US from 2000-2009 will be 60 or older.

(The on-line article includes a pie chart that shows that of the top 20 grossing acts $05 were in their 60’s, 19% in their 50’s, 35% in their 30’s and 6% in their 30’s - Source: Deloitte Deloitte Touche Tohamtsu Limited, 2010, based on live tour data from Pollstar4; ages of lead singers from various websites.)

Only one of the top 20, Rascall Flatts, released its first album this century (in 2000).

Through 2009, Rascall Flatts grossed $222 million from touring. The other 19 acts, the majority of which rose to prominence on the back of single and album sales (and the associated promotional activity) grossed a cumulative $6 billion in ticket sales during the last decade: the sexagenarians alone brought in more than $2.5 billion A second factor is the economy, particularly in industrialized countries. Stubborn unemployment, increases in value added tax, and an austerity-focused public sector might keep consumer confidence low and concert attendance down5. In fact, a weak economy might have been one of the key factors behind the 17 percent decline in the US live market in the first half of 20106.

RascalFlatts

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While record companies will always exist, they might be unable or unwilling to handle their previous level of investment in new acts. If so, another part of the industry might need to take up the slack of identifying and publicizing new talent to a point where fans are willing to pay $100 or more a ticket to see them perform. The live music industry will need to build this new role into its long-term business model. The role of festivals in A&R is likely to increase as they rely most heavily on musicians to sell their tickets. This differs from an arena or stadium whose major motivation is to book any act that can fill up its seats, including, for example, stand-up comedians whose staging costs are generally far lower.

Television’s role in identifying new talent may start taking an increased focus on acts that are great recording acts but are even better at touring. Bottom Line As festivals start become more involved in nurturing talent, one of the promotional activities they are likely to take on is the release of new albums and singles (and all of the marketing activity that goes with it). This is likely to remain the principle way to raise awareness of bands and their latest outputs; for many fans, seeing a number one single performed live is likely to remain a key selling point.

The live music industry might want to co-invest in the A&R process with companies outside of the music sector that wish to use music to promote their products.

Given society’s seemingly limitless affection for music, most vertical sectors — from fashion to mobile phones to automobiles — would likely value an association with music. Live music businesses could tap these brands to help pay for part of the talent development process, such as the funding of recording studios.

The record companies’ traditional A&R process was very effective, but also very resource intensive. In today’s environment where music fans seem to value a live experience more than a recording, the live music industry might be in a better position to identify top talent — specifically, the talent that can really deliver on stage. The various players in the live music industry must recognize their common need for an ongoing pipeline of new acts to replace the existing big draws — and they must take combined action.

Over the next few years, label-sourced A&R is likely to decline by roughly $500 million per year globally.

It seems reasonable to assume that the live music industry — or other source of funding — will need to step in to prevent the well from running dry. © 2011 Deloitte Global Services Limited: www.deloitte.com

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Building the Live Business – New Promoters Allan McGowan am@vip-booking.com

Get Plugged In: Of course new acts are vital to the future of the live industry but it is also important to consider where the new business professionals – promoters, venue managers etc are coming from.

In the UK MusicTank a non profit business development network for the UK music industry has partnered with Andy Inglis, co-creator and manager of north London venue The Luminaire to create a live industry course.

Designed as a much needed best-practice roadmap of the processes involved in live music promoting and venue management, the six part course draws on Inglis’ two decades of experience, sharing lessons learned and highlighting the pitfalls plaguing promoters and venue operators UK wide.

The course will cover an extensive range of topics concerning venue owners, promoters and programmers such as promotion, ticketing, legislative issues as well as the future issues facing Britain’s venues.

Inglis will be joined by a raft of leading industry figures such as Dominique Czopor, founder of Guildford venue The Boileroom, to give their accounts of the industry focusing on areas of specific expertise. Czopor will focus on the litany of legislation imposed on event and venue operators, be it bureaucracy linked to the Licensing Act, or a mounting list of health & safety regulations.

The course will draw to a close with a debate featuring Dave Newton, WeGotTickets, the leading paperless ticket agency in the UK; Howard Monk and Paul Hutton of promotions companies The Local and Metropolis Music as well as Andy Duggan of live music booking agency Primary Talent and David Phillips, manager of London’s live institution Koko.

Despite the 100 Club’s recent rescue from the brink there have been some much publicised London closures of late, The Luminaire itself not escaping the recession’s icy clutches. Part of the course will investigate the events that led to its closure, as well as what this award winning venue did to gain such an avid following and a special place in the hearts of Londoners.

Appealing to venue promoters and owners as well as tour managers, booking agents and artists this extensive course promises to guide and encourage those learning their trade as well as identify the risks felling even the industry titans in one of the last sectors of the business still able to generate income for new bands.

Andy Inglis commented, “I have 21 years experience in the music industry and co-founding and running The Luminaire has been, by turns, a hugely rewarding and massively frustrating experience. If I can’t illuminate the mistakes I made and stop others from making them, then what the hell. At least I got to hang out with Wanda Jackson.”

Keith Harris, Chairman of MusicTank added “With Live music becoming increasingly the most important part of the music business, this course is a timely opportunity to learn about ‘doing it live’ from the ground up.”

Keith Harris - Chairman of Musictank

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Targeting tour managers, promoters, booking agents, marketers, DIY artists and small-to-medium sized venue owners and operators, this innovative 6-part course sets out to provide all with a thorough grounding in the business of live music.

Current practice will also be analyzed in an open forum, to distill ways of improving revenue and maximizing opportunity.

Drawing from an extensive pool of experience, Luminiare co-founder Andy Inglis (with industry guests such as Live and The Boileroom founder, Dominique Czopor) will be looking at the live music industry’s continually evolving ecosystem providing pointers for best practice and comparing UK and European markets and helping to inform and inspire a new wave of live industry entrepreneur.

The Course will take place at the Chalk Suite: Meeting Room 2, University of Westminster, 35 Marylebone Road, London: 1. The Lie Of The Land A Live Sector Overview 4th April 2011 From 150 capacity rooms like The Windmill in Brixton, to 20,000 cap. arenas, we’ll examine both the common issues (marketing, promotion, how to turn a profit and customer service) and the unique issues they face (how to keep the regular bar punters happy while there’s a Japanese noisecore band playing in the corner). This introductory session will also explore the changing nature of the audience as attention spans shorten and technology takes over from live entertainment, as well it will delve into how venues can adapt to survive the worst recession in decades.

2. Selling The Gig Marketing & Promotion 11th April 2011 From the break-even-backroom gig all the way to national promoters we’ll look at the marketing methods used- what works and what doesn’t. Investigating whether press ads are worth the money and whether es-

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sentially the same methods are used to promote pub gigs and stadiums we will use Live Nation and Kilimanjaro amongst others as case studies in navigating the intricate world of gig marketing.

burgeoning raft of health and safety restrictions. We’ll ask how this affects the day-to-day of the live sector, who exactly is responsible and how the legislation best managed.

3. Selling The Gig Ticketing 18th April 2011 As Ticketmaster squares up to WeGotTickets, secondary ticketing opens up a whole new front jostling for a slice of the lucrative festival market. We’ll look at booking and administration fees, kickbacks, paperless tickets and what new technologies will mean for the future of ticketing.

5. Learning By Example UK & Overseas Case Studies 16th May 2011 The Luminaire- from award-winning venue to joining the ranks of the fallen London venues. A thorough examination of why it was opened, how it tried to be different, what worked and what went wrong from one of the people who built and managed it. For an international perspective, we’ll look at other markets covering mainland Europe but with a focus on that super-rich anomaly of Norway - the world’s third largest oil exporter pumping tens of millions of pounds into culture a year.

4. Compliance 9th May 2011 Venue owners and promoters face a slew of legislation from the Licensing Act to a

6. What happens next?

23rd May 2011 With recording income slowly dying, can live music support the weight of the industry or even an independent touring band? We’ll analyze what role festivals play and whether they can be used by artists to provide year round income. Rounding off the course with a debate, four industry experts from opposing corners of the industry will discuss whether the booking agents have too much power, if the national promoters are muscling-in on the independents’ turf and whether there is room for everyone in the new industry landscape.

Link to further information including fee can be found at: www.musictank.co.uk/events/courses/ live-industry-course

UK Government Prepared for Discussions on Live Music Bill Allan McGowan am@vip-booking.com

‘Start up’ gigs are vital for the development of new music talent and it is essential that small clubs and pubs are encouraged to provide stages for young bands and artists to learn their craft and to build up fan bases.

The UK 2003 Licensing Act introduced new provisions that were meant to make it easier for small venues to present live music, however the Act introduced complications that had the opposite effect and resulted in many stopped presenting gigs.

Liberal Democrat Lord Tim Clement was convinced that the Licensing Act had to be amended in order to promote live music and to help the growth of new talent and with high level support from the likes of Lord Grade and Baroness Bakewell his Live Music bill has made good progress. Following his private members bill passing through its second reading in the House of Lords earlier this month Clement-Jones has begun discussions with the Government about the sort of changes it would wish to see in his Live Music Bill before it moves in to the House of Commons.

At the recent International Live Music Conference in London Lord Tim ClementJones told VIP-News, “ It has been a great pleasure being among friends at the ILMC this weekend. At the extremely lively and informative Venues panel I was able to update conference goers on the progress on my Live Music Bill . With the support of UK Music, the MIA, the MU, Equity and the ISM and the public house industry I’ve proposed an exemption from the Licensing Act for audiences up to 200, for unamplified music across the board and a number of other reforms designed to reduce the red tape surrounding live music performance. I’m delighted that the Coalition Government has now indicated its support for the Bill subject to a number of amendments-mainly technical changes- and an official Impact Assessment to ensure there are no unintended consequences. As a result I’m confident that that finally we’re going to see real change which will greatly benefit musicians and small venues and enhance our great live music heritage in Britain.”

Once the Bill has passed through the committee stage it will go to a third reading before moving to the Commons where it will have to be sponsored by an MP.

Tim Clement-Jones

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Business News Manfred Tari mt@vip-booking.com

Music in Shares Preliminary Annual Business Report 2010 by CTS Eventim Analysts and financial media evaluate latest figures with some concerns.

While in recent years sceptical media or research reports regarding CTS Eventim have been very rare the current preliminary report on the company’s business results for the business year 2010 have caused some concerns.

On first viewing the results indicate growth and solid prosperity, and in fact CTS Eventim remains a profitable company but the

current figures did not meet the expectations of some analysts. Revenue rose from 466.7 to 519.6 million Euro, but the company had to face a backlash on the earnings of about 15 million Euro due to the acquisition of Ticketcorner and See Tickets Germany (Ticket Online) as well as higher spending on legal affairs regarding the ongoing case with Live Nation. While no information was given on the net result of the company in the current press release, CTS Eventim reported an EBITDA result (Earnings before interests, taxes, depreciation and amortisation) of 88.0 million Euros and an EBIT result (Earnings before interests and taxes) of 70.6 million Euros.

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An analyst report by Warburg Research states that CTS Eventim did not meet the expectations. In particular the figures for the 4th quarter of 2010 did not meet up with expectations. The report states that results are 13 percent lower than estimated. The revenue expected by the analyst for the Live Entertainment division for the past business year was 349 million Euro but was actually only 333 million Euro. However, once again CTS Eventim was able to increase its revenue result for this part of the company, as in 2009 this was 318.7 million Euros. Nevertheless the profit margins did not rise in line with the improved revenue result. The EBITDA went up from 24.5

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to 26.5 million Euros, the EBIT results from 22.2 to 24.5 million Euros.

The Ticketing division was and is the pride of the company. But unusually the profit margin for this part of the company shrank due to the acquisition expenses of Ticketcorner and See Tickets Germany. EBITDA result within this segment was 61.5 million Euro and an EBIT result of 46.1 million Euro.

The revenue rose from 152.5 to 193.9 million Euros.

The Warburg Research analyst rates CTS Eventim in the light of the latest results as ‘under review’ while a research report by Nord LB recommends t ‘hold’ the share but mentions that the current price level is already on a high level and that the analyst considers the business model of the company to be still promising.

While on February 25 the share stood at 48.9 it has since dropped to 42.95 Euro.

Live Nation Losses Widen Tough times for the global concert giant.

Once again the 2010 annual business results for the leading player in the concert market reports a loss for all company segments.

The company turnover went down from $5,584bn to $5.063bn, the net loss rose from $60.1 to $228.3 million, and the long term debts reached the level of $1.67bn compared to $699m the year before.

»We are focused on increasing online ticketing conversion, growing our online advertising business and building out our fan database and CRM resources« - Michael Rapino

In the report Michael Rapino commented: “We have entered 2011 with the strategic benefit of our combined operations focused on executing our plan to maximize ticket sales and improve our operating performance.” Rapino furthermore said: “Our investment priorities centre on further building on the value proposition of

Vince Power

Ticketmaster.com, one of the world’s top five eCommerce sites. We are focused on increasing online ticketing conversion, growing our online advertising business and building out our fan database and CRM resources.”

In reference to the overall difficult business situation for the company he said: “While the macro-environment remains challenging given pressure on the consumer, we are encouraged with overall year-to-date ticket sales trends. In addition, the pipeline of artists planning to tour this year is strong and we are taking steps to better price and promote our shows, while carefully managing our costs.”

The number given for total attendances went down from 52.148mn to 47.262mn, for the different business units the revenue figures decreased within all five company segments. The revenue in the concert department went down from $3.7bn to $3.4bn, in the ticketing division from $1.18bn to $1.039bn, the revenue for Artist Nation fell about 20 percent from $452.8mn to $362.2mn. Only the decline for the eCommerce and Sponsorship departments was moderate. The eCommerce revenue went down from $89.6mn to $87.9mn while the income stream for sponsorship only went down by about 0.4 percent from $162.4mn to $161.7mn.

The price of Live Nation shares went down from $11.45 on February 18, to $10.0.

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Speculation Regarding Take Over of DEAG On February 24th The German financial newspaper Handelsblatt reported rumours regarding a likely take over of DEAG as unlikely; the German trade magazine Musikwoche picked up on the story again on March 17 in reference to an analyst report by tradecentre.de published on March 14 concluding that take over of the company could be likely.

Sony Music and Live Nation had been mentioned in the story as potential buyers. Also the Handelsblatt actually wrote in their story that the company structure of DEAG could make a hostile take over possible, but also reported that other analysts currently did not see evidence for such a buyout attempt. The journal furthermore reported that a fund had quit its engagement in DEAG and that therefore a higher number of shares was available in the market which were bought by an unknown buyer. Currently since February7 the share has moved from 2.5 Euro up to 2.88 Euro before coming down to 2.62 Euro on March 18.

Vince Power Floats Festival Company on Stock Exchange Vince Power, the music entrepreneur who built up the Mean Fiddler group of venues

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and took them to the stock market, goes public again next month with the planned flotation of a venture hosting music festivals in Britain and Spain.

Power’s Music Festivals Company is to be floated on the London Stock Exchange’s alternative investment market.

Organisers of the Hop Farm and Benicàssim events, Music Festivals is joining Aim in April, six years after Mean Fiddler was taken private. Chief executive Power and finance director Jon Hale, also ex-Mean Fiddler, are hoping to raise a minimum of £3m in the public offering, advised by corporate finance group Merchant Securities. The cash is required to help buy other fledgling festivals in the UK and overseas.

The listing comes three months before this year’s festivals. The Hop Farm event, the fourth so far, is in early July, headlined by the Eagles and Morrissey.

Previous headliners at the Kent festival have included Bob Dylan, making his only 2010 UK appearance, and Neil Young. In Spain, Benicàssim is in mid July, with headliners including Arcade Fire, Arctic Monkeys and Tinie Tempah.

Power is best known for his time in charge of Mean Fiddler, which he founded in the 1980s with one venue in north London and expanded to included the Reading festival and a 39% stake in Glastonbury. He floated Mean Fiddler on Aim by reversing into a failed dotcom business in 2001, and sold it in 2005 for £38m to a consortium of the US entertainment group Clear Channel and the Irish firm Gaiety Investments.

Power pocketed £13m from the deal but lost £7.9m when his music promotions and pubs business, Vince Power Music Group, went into administration last year. He eventually bought it back from the administrators for £600,000.

Things that make you laugh Ronni Didriksen rd@vip-booking.com

artist avails ›› Kaizers Orchestra Territory: Europe Period: 1st of April (Vienna day after)

+ Summer Festivals Agency: Vox Artist Agent: Eivind Brydoy Phone: +47 45 048 048 E-mail: eivind@voxartist.no Homepage: www.kaizers.no Anthony B Territory: Europe Period: 24th of June to 23rd of July 2011 Agency: Magicbox Agent: Pedro Pontes Phone: +31 5 915 378 951 E-mail: pedropontes@magicbox.pt Homepage: www.magicbox.pt EPMD Territory: Europe Period: 27.05 - 31.05.2011 Agency: Company Entertainment Agent: Nawid Company Phone: +49 511 562 411 E-mail: nc@company-entertainment.de Homepage: www.company-entertainment.de LA Guns (feat. Phil Lewis & Steve Riley) Territory: Europe Period: 01.09 - 31.10.2011 Agency: ARM Entertainment Agent: Dana Strutz Phone: +1 651 483 8754 E-mail: ds@armentertainment.com Homepage: www.laguns.net Within Temptation Territory: Worldwide Period: March 2011 and onwards Agency: X-Ray Touring Agent: Paul Bolton Phone: +44 (0) 20 7749 3500 E-mail: paul@xraytouring.com Homepage: www.xraytouring.com Groove Armada Territory: Europe / Worldwide Period: Worldwide 2011 Agency: WME - William Morris Endeavor

Entertainment Agent: Steve Hogan E-mail: SHogan@wmeentertainment.com Homepage: www.groovearmada.com

More Artist avails on: www.vip-booking.com Post your Artist avails on: www.vip-booking.com 15 VIP-BOOKING.COM

VIP- News VIPNews - A u-g M u s ta2r0c0h 5 2011

Monthly featured Artist ››

SIMON FAGAN Origin: Dublin, Ireland Style: Acoustic Rock (Americana/Folk-Rock) Tour period: Summer ‘11 Territory: Europe

Agency: Name: Email: Phone:

Loose Robe Productions Andrew Wilkinson andrew@sianrecords.com +35 387 241 2000

Not our typical Irish singer songwriter, Simon blends elements of gospel and folk with acoustic rock to produce a big Americana sound. He is renowned for his live shows which vary from the very imitate solo gigs, to the highly energetic full band shows.

and Egypt; supported Smokey Robinson; Lionel Richie, Ocean Colour Scene; and performed on over 40 radio shows including 9 BBC prime time shows.

Simon is planning a UK tour in April/May to coincide with the release of the ‘Music Xray Compilation - Great Tracks by Independent Acts’ album. Due for release through Flicknife Records (Universal) in the UK, where Simon’s track ‘Damn Honey’ will be the second single, promoted to UK radio.

“Outside Looking In” – Album Out Now

He is then looking to tour the festival circuit throughout the summer.

Best Performance – International Songwriting Competition

This classically trained artist has been performing music in some for or another since the tender age of 5. In the last two years he has released 2 EPs, an album; toured Ireland, the UK, US, Canada

“’Water’s Edge’… Truly mouth-watering” – Hot Press Album Of The Week – RTE Radio 1

“I love it when I hear something this compelling and recognize it on a first listen“ –Huffington Post, USA “Good honest song writing” – Drop-d.ie 9/10

Simon Fagan

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VIP- News - M a r c h 2 0 1 1

Member presentation ›› In In this this section section we we offer offer members members of of VIP-Booking.com VIP-Booking.com some some space space to to present present their their company company to to VIP-News VIP-News readers. readers.

If you would also like to present your company please contact Peter Briggs at pb@vip-booking.com If you would also like to present your company please contact Peter Briggs at pb@vip-booking.com

RWE Halle - NOT just a Venue - Showbiz-Management & Booking Agency RWE Halle - a multi functional Venue focused in Concerts, Galas, Conferences & Sport Events offering a perfect service to visitors, Artists and Promoters.

Showbiz-Management & Booking Agency is the exclusive Marketer & tenant for the RWE Halle - 45468 Mülheim an der Ruhr Germany

In the Heart of Germany with best infrastructure and Cities around like Duisburg, Essen, Oberhausen, Cologne and Düsseldorf – 15 million people catchment area.

All kind of booking enquiries could be sent by e-mail to: rwe-halle@showbiz-management.com

Capacity from 1000 to 4000, seated 3500 and 3 variable Tribunes gives multiple potentialities.

Some Facts and services we offer: Large Foyer incl. separate Ticket Entries, Bars, Guest Wardrobes and culinary offers, Luxury VIP Lounge, 3 tiers variable to use, Externally roofed huge Terrace, Close to City Centre and Central Station & Airport, 14 Wardrobes incl. Showers and Lounge Furniture Sauna area, Weight & Sport room, Production Offices incl. LAN, ISDN & Fax, WLAN all over the Venue, Press & Conference & Catering Rooms, Short distance (under 10 meter) from Loading Dock to Stage ground level, Bus and Tram stations named “RWE HALLE” are immediately outside the Venue.

RWE Halle

About Our Company VIP-Booking’s core product is the Internet’s oldest and largest database for the European Live Entertainment Industry www.vip-booking.com developed as a tool for industry professionals. Since it’s launch in the year 2000, we have consistently offered our subscribers the very best in database services and now boast subscribers in over 30 countries.

Today VIP-Booking offers a range of tools for the industry – including VIP-News, VIP-Booking, VIP-Book and VIP-Contract.

Please visit vip-booking.com for further information.

Your comments and suggestions are always appreciated.

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