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VIP NEWS >

FEBRUARY 2020

McGowan’s

Musings

Hi All, and welcome to the first 2020 Vision

reaction and was commented on by many

from 1 April 2020. The decision reduces the

Musing of the year in it’s usual format; there’s

international live music industry professionals

overhead costs at one of the world’s oldest

been a lot to think about in the last couple

who are increasingly concerned with these

and most famous venues by over £70,000

of months.

issues. If you didn’t get your copy look out for

per year.

Firstly congratulations to our

VIP colleagues who put so much effort into

one in March at ILMC 32!

the VIP Magazine which was available in

In order to make sure that in these increasingly

print format at Eurosonic and on-line as last

Now, all our European friends out there, it

variable times I’m fully covered for travelling

month’s issue. In particular green issues were

probably hasn’t escaped your notice that we

to the essential international events that we

admirably covered in the Sustainability Check

Brits, like it or not, are having to come to terms

Vip people attend I have recently renewed

List; this feature received extremely good

with our departure from the European Union.

my UK passport. I’ve also made sure that I

This opens up all kinds of cans of worms (a

know where my Irish passport is – it’s called

great phrase that!) for the UK music business,

hedging your bets – another fine phrase! I am

not the least for the live touring business, so

preparing for a visit to Portugal for Westway

we’ve decided to ask a few knowledgeable

Lab, presuming that I get through another

people what they think about this, and what

ILMC in London early next month. At least I

we might expect in the near future, particularly

don’t need a passport for that fine event, and

when we are fully removed come December

I hope to see many of you there!

COLOPHON > VIP-News is published by: VIP-Booking.com Enghaven 19 Attrup 8444 Balle Denmark

31st. So – see the feature in this issue.

As well as the confusions of departure from Still, at least there are some encouraging

the European Union which we in the UK

signs of continuing European co-operation;

are faced with, we are all facing increasingly

on Saturday 1st of February Open Club Day

difficult times, the Australian bush fires,

saw European coordinator Live DMA arrange

storms and flooding in the UK, and of course

for more than 150 live music venues and

the Covid-19 Corona virus. Apart from day

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

clubs from 15 different European to open

to day life the live music industry will have to

their doors for the third European edition of

cope with on-going, unknown and possibly

Writer: Manfred Tari mt@vip-booking.com

Open Club Day. The event took place during

devastating effects on concerts, festivals and

daytime to invite music amateurs, neighbours,

conferences. We have of course to keep an

schools or local authorities to discover venues

eye on things and hope for the best!

Managing Director: Ronni Didriksen rd@vip-booking.com General Manager: Peter Briggs pb@vip-booking.com

Journalist: Anne Frank Henriksen ah@vip-booking.com For advertising enquiries please contact: Peter Briggs pb@vip-booking.com +46 70 77 60 480 Charlie Presburg cp@vip-booking.com +44 (0) 7980 817496

and clubs in unconventional ways.

Of course, as we know the live industry Also a good sign for the ever important

is undeniably resilient, it keeps going! For

small venues in the UK; hot on the heels of

instance did you notice that it is 50 years since

the UK Government’s announcement of a

Black Sabbath released their eponymous first

50% reduction in Business Rates for small

album! This means that metal is now officially

and medium sized Grassroots Music Venues

half a century old, now there’s sustainability

came a precedent-setting announcement

for you! Unfortunately though have just

for venues in the higher valuation bracket

heard that Ossie Osborne, has had to cancel

as Westminster Council announced a 100%

tour dates as he is suffering from Parkinson’s

Business Rates Relief securing the future

disease. We wish him well!

of the legendary London Grassroots Music Venue, The 100 Club (Hooray!) The venue

So, Ladies and Gentlemen we wish you all

will be offered 100% Business Rate Relief

good health and, here’s the News!

3

VIP NEWS >

FEBRUARY 2020

Luciano Ligabue ready to open the RCF Arena in Italy From VIP-Daily News

The new Italian concert venue The RCF Arena

Luciano Ligabue

will officially open on September 12th, 2020 in Campovolo, Reggio Emilia, an area already well known for hosting huge concerts.

With a capacity of 100,000, the RCF Arena will be the largest outdoor arena in Italy. It was created in the area already known as Campovolo and will be ready and operational

by September 2020. The venue will ensure optimal visibility and acoustics with a raked floor of 5%.

The construction work on RCF Arena Reggio Emilia, which began in 2018, will continue until the definitive testing of the structure.

The inauguration and the official opening to the public is set for 12 September 2020,

beng a place he has performed several times

and will kick off a programme of events with

with an event starring Luciano Ligabue.

that have left their mark on the history of

an international theme.

According to the organizers there could be

Italian music. The opening event at the RCF

no better place than the Campovolo area

Arena, set for 12 September 2020, promises

The main strength of RCF Arena Reggio

to celebrate his extraordinary thirty-year

to be more incredible than ever as it is also

Emilia will be the management of major

musical career as this is both an area that

the 30th anniversary celebration of La Liga

events featuring artists of international

is close to the local artist’s heart as well as

and is set to go down in the annals of rock

renown, entrusted to Arena Campovolo S.r.l., a partner of C.Volo and formed

by Luciano Ligabue’s manager Claudio Maioli and Ferdinando Salzano, director of Friends&Partners S.p.A., the largest Italian company in the sector of live music, musical TV productions and major live events.

In 2017, Friends&Partners was purchased

by CTS EVENTIM Group thus strengthening its presence on the Italian, European and international market. Minor events and the related services in the Hospitality Area are managed by C.Volo, which for operating activities may also use the services of Smart Group S.c.a.r.l., an organisation comprising

10

companies

specializing

in marketing and communication, stand

RCF Arena

4

design and construction event organizing and fundraising.

20-22

DALLAS AUSTIN

GRAMMY® Award-winning producer, songwriter, musician, and film producer

ALLEN KOVAC CEO, Better Noise/ Tenth Street Entertainment

VIP NEWS >

FEBRUARY 2020

2025 First ETEP Charts Allan McGowan am@vip-booking.com

festival gramme has already reported 94 Pro ge han Exc nt Tale an ope Eur So far the 45 festivals. from 23 countries are confirmed for ing inat orig s act 58 0.

202 for s booking Road.

UK, are Squid and Black Country, New The two leading acts, both from the ETEP Artist Chart 1. Squid (gb), 6 shows 6 shows 2. Black Country, New Road (gb), 3. Georgia (gb), 5 shows 4. Altin Gün (nl), 4 shows 5. Meduza (it), 3 shows ws 6. Marina Satti & Fonés (gr), 3 sho shows 7. Muthoni Drummer Queen (ch), 2 8. Arlo Parks (gb), 2 shows 9. Los Bitchos (gb), 2 shows 10. Inhaler (ie) , 2 shows

ETEP By Country Chart 1. Squid (gb), 6 shows 2. Altin Gün (nl), 4 shows 3. Meduza (it), 3 shows ws 4. Marina Satti & Fonés (gr), 3 sho shows 5. Muthoni Drummer Queen (ch), 2 6. Inhaler (ie), 2 shows 7. Skynd, 2 shows 8. Oklou (fr), 2 shows 9. Alyona Alyona (ua), 2 shows 10. Fvlcrvm (sk), 2 shows

amount of ghts ESNS, doesn’t just monitor the insi lay airp with a dat P ETE the ng Combini of all ESNS also monitors the international airplay but , acts the for ws sho P ETE ed confirm prediction This enables further monitoring and rts. cha S ESN kly wee the ugh thro 2020 acts (gb), Altin Gün ETEP top 10 acts: Squid (gb), Georgia act. an of cess suc al tion rna inte of the S chart. ly mentioned in the top 50 of the ESN ent curr are (ie) ler Inha and (it) uza (nl), Med

Squid tops the ETEP charts

6

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VIP NEWS > INDEPTH STORY >

FEBRUARY 2020

What Can the Touring and Copyright Businesses Expect from BREXIT? Allan McGowan am@vip-booking.com

The UK Government has failed to inform the touring business what to expect from the changes to be brought about now that Brexit is to be brought into effect. However, already touring crews are getting some idea of what they may have to deal with. It seems that, although the Brexit transition period is supposed to run for another eleven months, many are already being presented with the sort of delays and bureaucracy that the future could bring. Delays aimed particularly at British touring parties are already being reported at borders. So, who knows what will happen? There are also other difficulties such as copyright agreements to be considered. There is a lot of uncertainty, and a many challenges appear to lie ahead!

VIP has asked some professionals for their observations and predictions:

Steve Farris stevefarrismusic.com I am a music consultant specialising in contract reviews, sync representation and publishing advice. For many years I have been a music publisher and have signed artists and writers including Snow Patrol, Belle & Sebastian, Nadine Shah, Here We Go Magic, Johnny McDaid (Ed Sheeran), Bilk and the Psychedelic Porn Crumpets. In the early nineties I toured extensively with the Levellers as their lighting designer.

Steve Farris

Two elements of the British exit of the European Union that concern me are:

2. Article 13 The music business and the EU lawmakers had finally come to an

1. European Touring

agreement on a framework of rules for copyrighted works on

I have toured around Europe in a variety of situations including taking

the Internet, entitled the Digital Single Market. This took years of

out production, playing festivals, clubs and music conferences with

lobbying and negotiations, with trade bodies such as the Performing

the Levellers before 1999 when the Euro was introduced and the

Rights Society, who spearheaded the campaign to champion the

customs checks between neighbouring countries ceased. The main

rights of copyright holders in the EU. One of the main points was

issues we faced as a touring entity in the early nineties were the

to stop the ‘safe harbour’ provisions for Internet giants such as

carnet/customs and money. We would have to itemise and account

YouTube and Facebook, which has enabled them to ride roughshod

for every lamp, spare, lead, truss etc. for the carnet and be prepared

over copyrighted material to build up their empires. As of January

to be inspected at any border. We would do a show in France and get

24th 2020 the UK government announced that the UK would not

paid per diems and then wake up in Holland where the French francs

implement the Copyright Directive after leaving the EU.

would be meaningless. These issues were overcome in 1999 with

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frictionless borders and a single currency, which made for a much

In my opinion, these are both retrogressive steps that are a direct

easier, stress free touring environment.

result of leaving the European Union. Artists and their crewmembers

VIP NEWS > INDEPTH STORY >

FEBRUARY 2020

could move and work freely in 27 countries. They now will be subject

Chris Carey

to dealing with carnets, working visas, tax implications and limitations that weren’t there for two decades. After many years of petitioning and negotiations, copyright laws were finally looking progressive and equitable for rights holders and creatives in the digital age. One could perhaps conclude that the long fought for rights of the creators have been quashed in order to appease the United States in trade talks.

Chris Carey Head of International Marketing at TicketSwap TicketSwap is a safe, convenient and fair place to buy and sell e-tickets for concerts, festivals, sports events, theatre and day trips.

An entrepreneur at heart, Chris also runs the FastForward music

We protect buyers from overpricing by keeping to a maximum 20%

conference, taking place in London, Amsterdam and Sydney.

mark-up from the original sales price.

I see three key challenges for the UK as Brexit starts to unfold: Chris previously founded and ran Media Insight Consulting, a music centric data consultancy specialising in Consumer Surveys, and Big

Uncertainty: Almost the only thing that is certain with Brexit

Data Analytics, with a focus on the music industry. Clients included

is uncertainty. There is a lot of risk and cost created for tours by

Spotify, Sony Music, The O2 and BMG Music. He also worked as

uncertainty. Do you need to allow extra time for crossing borders, or

Global Insight Director at Universal Music Group and at EMI, and

can you book a show that evening? The lack of clarity can hinder an

Senior Economist at PRS for Music.

artist’s ability to optimise their tour and make money.

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VIP NEWS > INDEPTH STORY >

FEBRUARY 2020

Cost: In addition to the uncertainty there are actual financial costs; of visas, maybe for a carnet, as well as the time cost of organising the visas and the carnet! It also complicates the tax situation, which in turn increases the administrative burden on artists who should be making art, not doing an accident degree in accountancy!

Creativity: Maybe the biggest cost of Brexit will be more fundamental. The UK music scene punches well above its weight on the global music stage, but some of that success is built on being a cultural melting pot. As London competes with Amsterdam, Berlin and other European cities, to be a cultural hub, the giant ‘No Entry’ sign to people from around the world discourages that collision of cultures and jeopardises London’s position as a creative hub.

Dr. Dick Molenaar All Arts Tax Advisers Rotterdam The tax adviser Dick Molenaar is a well known figure in the live music industry, occasionally appearing in Brussels and is probably one of the very few industry players to have made a detailed study of the current

Dr. Dick Molenaar

Withdrawal Agreement between the EU and the UK. VIP News: Even if still too early to say how the legalities of the

No issues with income taxation, social security and VAT expected.

future relations between Brussels and London will be settled,

There will be a replacement for the A1, because that is very important

there are a couple of issues that soon or later will define a

and easy to realize, VAT becomes even easier after Brexit, because

new status and major changes for British and European live

listing is not needed anymore, and income taxation has never been a

music companies.

matter of the EU, but is governed by bilateral tax treaties.

Do EU-promoters in the transition period until the end of the

VIP News: The live music sector in the EU isn’t as internationally

year have anything to consider in terms of the “temporary

organized as the record industry or the copyright collection

entry and stay of natural persons for business purposes” by

societies. In fact other industries undertake lobbying efforts in

UK citizens, artists and companies?

order to make sure that their interest will be considered as part of on-going negotiations between the UK and the EU.

Dick: No, because nothing changes in the Transition Period, all the EU rules are still valid this year.

Please let us know the issues that seem crucial from your point of view, and which may lead to disadvantages as there

VIP News: Does the Withdrawal Agreement include or define

is no proper trade body installed for the live music industry

future obstacles for the live music sector?

in Brussels...

Dick: Not the Withdrawal Agreement, there will need to be an EU-UK

Dick: Indeed, it would be much better if the live music sector had

agreement for the time after 2020.

an international association. Such as Pearle (https://www.pearle.eu/).

That can also be helpful for matters as taxation, rates for collecting

VIP News: What particular topics concern you?

societies and much more.

Dick: Crossing borders for persons and equipment, which may lead

VIP News: Would you say there are specific issues for the live

to visas, work permits and carnets. The UK wants the control back

music sector, which won’t be automatically looked after by

over its borders, so will have to accept reciprocity. Although both

other industries with similar needs?

sides have an interest in as little administrative work as possible, it will become more than now. And that will cost time and some money.

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Dick: This is beyond my scope as tax adviser and researcher.

VIP NEWS > INDEPTH STORY >

FEBRUARY 2020

VIP News: In the long run, how do you expect EU music export offices and policies will affect the market situation for new and upcoming UK-artists in Europe?

Dick: It is still all about the music and audience preferences. If UK music remains good and interesting, the UK artists can still have a good share of the EU market in the future. EU music offices and policies are doing well, but it is all about the music.

VIP News: What is your assumption in terms of the future relevance of UK agencies for the live music sector in the EU? Dick: Perhaps a little less dominant than up to now. But not very much, because it may turn out that Brexit will be remembered like the millennium bug. Perhaps some more administrative work, but nothing really problematic.

VIP News: Whom do you expect Brexit will deliver better results for in the live music industry, the UK or the EU? Dick: Maybe a small profit for the EU, but as I already wrote, it is all about the music and the administrative obstacles will not become big.

Please check www.allarts.nl for more information on Dick Molenaar.

Paul Pacifico Head of AIM – The Association of Independent Music The Aim CEO recently stated: “We are working alongside our colleagues at the Musicians’ Union and other partners at UK Music to promote the idea of a ‘touring passport’ to try to avoid a slide back to the bad old days of carnets and other bureaucratic hurdles that will make career development for emerging artists, especially, all the more difficult, expensive and fraught with risk”.

Beyond touring, he added, “we are scrutinising aspects of crossborder data sharing, transhipment of goods and all of the other areas of our businesses that could be disrupted if not considered properly, whatever the outcome of the various trade negotiations now underway”.

As for copyright reform, “whilst the government has stated clearly that it will not implement the [EU copyright] directive, we will not let up in our campaign to ensure the ‘value gap’ does not persist and that we are able to better balance the relationships and valueflows with some of the platforms, who remain crucial partners to our businesses, even though clearly some still need to reflect a better and more even balance of value in the protection of rights and flow of royalties”.

Paul Pacifico

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VIP NEWS >

FEBRUARY 2020

CTS Eventim in joint venture with Michael Cohl From VIP-Daily News

CTS Eventim is creating a new 50:50

hensive global live entertainment platform,

partnership with legendary US promoter

from concept creation to production and pro-

Michael Cohl.

motion for world-class content.

With this partnership, CTS Eventim together

Both

with Michael Cohl, will actively acquire

partnership. While Michael Cohl will add

world-class content for global touring.

will

contribute

to

the

his concert business and comprehensive More recently, Cohl served as the executive

network, CTS Eventim will provide full access

Cohl, who formerly served as Chairman of

producer for the controversial “Spider-Man:

to the EVENTIM LIVE network, ticketing

Live Nation, is credited with pioneering the

Turn Off the Dark” the most expensive

platform and its full portfolio of products

modern concert industry, producing tours for

Broadway production in history that featured

and services around live events.

artists such as the Rolling Stones, U2, Pink

music by U2’s Bono and The Edge.

Floyd, Frank Sinatra, and Michael Jackson.

He was also the man behind Live Nation’s

Both partners CTS Eventim and Michael Cohl Cohl now runs S2BN Entertainment, with

hold 50 percent of the shares of the new

offices in New York and Toronto.

company. CTS Eventim is fully consolidating

notorious splashy ‘360’ deals which secured

revenues and earnings according to IFRS and

exclusive touring agreements with top-shelf

For EVENTIM LIVE, CTS Eventim`s Promoter

has a controlling interest. The entity is based

artists such as Madonna, U2 and Jay-Z in

network, this step marks the next milestone.

in New York City, USA and will be led by

exchange for big payments.

The partnership is set to provide a compre-

Michael Cohl and Glenn Orsher.

Michael Cohl

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partners

www.juliusproduction.se Julius-Audience-223x295_print.indd 1

www.juliusbiljettservice.se

www.nojesteatern.se 2018-03-20 16:40

VIP NEWS >

FEBRUARY 2020

Tampere Hall - Finland’s first carbon-neutral conference and concert centre Peter Briggs pb@vip-booking.com Tampere Hall has been a pioneer in its sector since its establishment

Celebrating its 30th anniversary this year, Tampere Hall was the

and began building its own environmental programme back in 1992

first conference centre in the Nordic countries to receive the Nordic

as the first conference centre in the world to do so. The size of four

Ecolabel, back in 2014. Several improvements to increase energy

football pitches and hosting over 1000 events a year, the venue has

efficiency have been made in the building over the years, and various

been carbon-neutral since November 1st 2019.

items of equipment have been replaced during their life cycle. In 2019, the building’s energy classification was raised from E to C.

The venue switched to using hydropower electricity generated from the Tammerkoski Rapids in 2012 and the building was connected

The venue’s restaurant serves low-carbon food and efficient solutions

to district cooling sourced from Lake Näsijärvi in 2015. Solar panels

have been implemented for waste management.

were installed on the roof of the building in 2017 and again in 2019, enabling the venue to produce part of the electricity it uses.

The roof of Tampere Hall is covered with more than 7,000 m2 of membranes that neutralise harmful substances from the air and thus

In terms of the energy it consumes, Tampere Hall achieved carbon

complement the conference centre’s carbon neutrality objectives.

neutrality in November 2019, as heating switched to the use of whole

According to studies conducted by Tampere Hall, the emissions

tree chips. Chips are computationally a carbon-neutral form of energy

generated by the commute of the company’s employees can be offset

and approved as emission-free by the EU. However, transportation

by these membranes.

and burning of the chips does generate some emissions.

VIP-News spoke to Tampere Hall’s CEO Paulina Ahokas

Paulina Ahokas

VIP-News: Being more sustainable was something people felt they SHOULD be doing a few years ago but now it’s also starting to make business sense. Would you agree and if so in which ways?

Paulina Ahokas: Wholeheartedly agree with this. Back in 1992 when Tampere Hall started its first environmental programme, none of our customers were really interested in it at all, but now both our B2B as well as our B2C customers and partners both appreciate and in many cases demand it.

VIP-News: What are the main steps you would recommend other venues to take in order to move towards making their venues carbon neutral.

Paulina Ahokas: Since buildings and their energy usage is globally even more significant in reaching carbon neutrality than transportation is, that of course would be the most important step to take. But every act matters, so just acting and initiating small steps towards the goal is the most important thing to do. Influencing your energy supplier to work towards carbon neutral energy sources is a good step, and if you reach a dead end, change your energy supplier.

14

VIP NEWS >

FEBRUARY 2020

VIP-News: Are you booking more Nordic acts than you did

Tampere Hall

before to help to reduce the carbon footprint of international touring?

Paulina Ahokas: Together with LiveFIN we are in a group of Nordic and Baltic organisations developing the most sustainable possible routing and travelling strategies to do exactly this: this helps us to be more sustainable both in terms of Nordic/Baltic and other international talent.

VIP-News: Would you turn down an artist if their method of touring was not sustainable?

taking place in the artists home country which is live streamed Paulina Ahokas: We do not have the tools to really assess this

at venues simultaneously worldwide?

properly at the moment. We do ask for sustainability measures and environmental programmes, but many artists do not have any

Paulina Ahokas: I am convinced this will develop as well, but I

of these as of yet. We believe that if we keep asking, they will be

also believe the need for people to really experience the live thing

implemented.

together with real people will only increase as well. It really seems the development of digital services has actually increased people’s need

VIP-News: Do you see live streaming of concerts at venues as

to feel and experience the real thing, proper closeness to others and

being a way forward and are there things we can learn from

physical communication. Our responsibility as an industry is to make

the sports industry when it comes to this matter i.e. one event

sure this will be realised in a sustainable way.

674 000 1 135

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The first carbon neutral event centre

Grand auditorium capacity 2 000 Park hall capacity 1 200

Small auditorium capacity 500 #tamperehall

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15

VIP NEWS >

FEBRUARY 2020

Ärzte Versus Viagogo Manfred Tari mt@vip-booking.com The “Best Band in the World”, in their own

nor the ticket platform OPM can tolerate

The following article comments on the

words, has a problem; actually, a huge

involvement with these huge financial

legal situation in Germany, France and Italy,

problem, with Viagogo. But considering

amounts, they are taking legal action and

including closing statements by Kiki Ressler

the financial differences in size between the

have obtained an interim injunction against

(KKT), Scumeck Sabottka (MCT) and Stephan

opponents, the trio with a global claim to

Viagogo for ticket sales of the bands “in the

Thanscheidt (FKP Scorpio).

fame come across as a David in comparison

ä tonight” tour including 26 dates and a

with a billionaire multinational Goliath, with

total volume of 320.000 tickets.

branches in seventy countries.

It is not the first time “that we and our artists have been upset about Viagogo’s

But even if the legal situation is clear, the

sales policy,” Kiki Ressler of the KKT concert

For years, the list of artists and event

implementation of this request is costly and

agency admitted to VIP News, explaining

organizers objecting to the business model

laborious and requires patience and of course

that “the pressure on ticket sales for the

of Viagogo and other ticket exchanges

additional costs. Viagogo, on the other hand,

first Die Ärzte tour since 2013 was extremely

has been growing. However, the business

follows the maxim “Divide et impera” (divide

high. As such, following a clear pattern,

of reselling tickets for events of all kinds is

and rule) and, like Google, earns a great deal

the offers on Viagogo were placed earlier

extremely lucrative and so profitable that

from operating in this manner.

and also at even higher prices than usual.

Viagogo can now afford the 4 billion US

On average these prices were three times

dollars (3.6 billion euros) to acquire its

A reappraisal of an unrestrained business

the regular retail price, although the terms

competitor Stubhub.

model, which in the age of market-

and conditions of the tour’s exclusive ticket

dominating digital giants requires new legal

vendor, OPM, clearly prohibit this.”

Now, whether they want to or not, the

regulations both in Germany and at the

band Die Ärzte and their fans have entered

European level, in order to deal with the

The German trade paper Musikwoche

the picture, and are indirectly contributing

unequal power struggle between large and

had reported earlier on in February, that

to the billion-dollar deal. However, since

small players in a legally better way than

the band, KKT and OPM had obtained an

neither Die Ärzte, their concert agency KKT

currently exists.

interim injunction against Viagogo from

Die Ärtze

17

VIP NEWS >

FEBRUARY 2020

the Munich Regional Court through the law

ruling was, according to a court decision in

then be doubly damaged. On the one hand

firm Schütz Rechtsanwälte, which prohibited

Switzerland, supposed to be unenforceable.

he buys a ticket at a completely excessive price, then on the other hand he is denied

the company from “applying incorrect original prices in sales offers for tickets of

Nevertheless, the question remains as to

the entrance to the long awaited concert.

the band Die Ärzte“. Headquartered in

what efforts KKT will now undertake to

But, as long as there is no legal regulation of

Switzerland, Viagogo subsequently informed

counteract the unwanted resale of tickets

this ticket black market, we must somehow

Musikwoche that the company did not

beyond the actual ticket price. Ressler

act to protect our artists and ourselves.”

receive the injunction, which is why it was

comments: “In future, we will further

supposed to be ineffective and thus “had no

streamline the pre-ticket sales construct in

As far as the assessment of the legal situation

influence on the user experience of buyers

order to achieve even better enforceability

is concerned, Christian Karl of the law firm

and sellers on our platform”.

against black marketers. For exclusive,

Schütz Rechtsanwälte, which was entrusted

smaller shows of big acts we will only work

with the case, describes it as follows: “Our

However, the reception problem of legal

with hard personalized tickets. And we will

barely regulated system therefore leaves

notes is not an isolated case at Viagogo.

also control and enforce this at the door.

such regulations ultimately to the promoters

According to a recent court order from

Unfortunately the example of other acts

themselves. Of course, this involves a lot

the Hamburg Higher Regional Court dated

using this system shows that it doesn’t stop

of effort and impairs fair fan and ticket

16.01.2020 (AZ 5W 1/20), the court ordered

Viagogo from offering such restricted tickets

purchases, for example when ID cards have

the company to pay a fine of 20,000 Euros,

as well. Although the buyers will not actually

to be checked and re-personalisation is only

since it claimed that a previous interim

be able to get into the shows with the tickets

possible via special online platforms.“

injunction filed by MCT against Viagogo in

bought via Viagogo at much more expensive

November 2018 for ticket sales of shows by

prices. We have already struggled to pass

“In

Rammstein are invalid, as the German court

the problem on to the ticket buyer, who will

solutions have been established that are

the

meantime,

however,

practical

18

VIP NEWS >

FEBRUARY 2020

easy to implement and have been repeatedly

Christian Karl

confirmed by the courts (keyword: name field

for

self-registration)”,

says

Karl,

because: “Among other things, ticket blocks are made possible by this kind of ticket design. However, the clear advantage of ‘strict’ prohibition norms, e.g. in criminal or administrative offence law, is that such prohibitions have a deterrent effect and can be consistently enforced by state authorities. This alone ensures a high level of acceptance and a preventive effect, provided that the state is able to deal with such tasks additionally.”

Sebastian Ott, a lawyer from the law firm Lichte Rechtsanwälte, has a similar opinion, and he also notes that in Germany “Unfortunately there are no special laws for the area of the secondary market for tickets in place. Although the legal situation in Germany is clear, according to which nonpersonalized tickets may be traded on the secondary ticket market, or if the tickets are

our experience, any form of information

with the fines ultimately flowing into the

personalized, they may not be freely traded

about the “Viagogo business model” in

state treasury. In contrast, conduct that

on the secondary ticket market”.

itself helps, since countless consumers

is criminally relevant is prosecuted and

still do not even notice from where they

sanctioned by the state. As far as the

Ott, one of the lawyers who legally represent

are actually buying their tickets, and how

financial framework is concerned, this

the interests of Rammstein and its concert

significant the sometimes demanded price

should of course be appropriate in all cases

agency MCT among others in this matter,

premiums really are.

and as deterrent as possible. The five-figure

also comments “German law is applied in

fines we have so far obtained against

principle. This is shown by the large number

The aforementioned fines are court ordered

Viagogo in a number of civil proceedings

of court decisions in the area of the ticket

coercive measures to enforce the civil law

are at least a start. In the event of continued

secondary market against companies such

decision of a court in individual cases and

violations, it can be assumed that the fines

as Viagogo and Ticketbande. However, it

are at the discretion of the court. This

are likely to increase rapidly, even in the

becomes extremely problematic when it

means of coercion is threatened in the event

individual case. However, if one considers

comes to the actual enforcement of this law

that a defendant does not comply with the

that Viagogo is paying just 4 billion dollars

in Germany.”

court’s decision. Theoretically, an amount

to eBay for the takeover of StubHub, one

of up to EUR 250,000 per case or even

must seriously raise this question.

According to Karl, the “protracted legal

the imposition of administrative detention

enforcement

well-positioned

would be possible. In the run-up to this,

In Italy and France, the legislators there have

opponent such as Viagogo with address

however, the plaintiff, regularly a promoter,

long since enacted much tougher laws against

and mailbox in the French-speaking part

must first obtain a temporary injunction or

the flourishing black market in admission

of Switzerland, who if necessary, as in

a judgment and then - in the case of newly

tickets. In France, for example, since 2012,

France, does not shy away from going

established infringements - apply for the

unauthorised intermediary ticket trading has

through all approaches and even to a

imposition of an administrative fine himself

been punished with a fine of 15,000 euros in

constitutional court, is then of course very

in the course of additional proceedings.

the first case and 30,000 Euros in the second.

against

a

long.” However, Karl is confident that the

19

Italy followed in 2016, where such violations

great effort for each individual procedure is

All proceedings are therefore conducted at

can be punishable with fines of between

worth it, because at the same time, “from

the instigation of the respective plaintiffs,

5000 and 5 million Euros.

VIP NEWS >

FEBRUARY 2020

Promoters’ Concerns and Political Wish Lists As the current legal situation in Germany

instituted, for example, in our neighbouring

apparently fails to meets the interests of

country, France.”

secondary ticketing opponents, VIP News asked German industry heavy weights about

Stephan Thanscheidt at FKP Scorpio: “There

their political wish lists and their concerns

are already initial developments at political

regarding the role of Google in serving the

levels that are going in the right direction,

business model of Viagogo.

e.g. the first EU guideline on ticketing as part of the “New Deal for Consumers” legislative.

Being somewhat pessimistic regarding the

At the same time, it is a step backwards that

support by politicians, Kiki Ressler at KKT

Viagogo has reappeared in the top search

told VIP News: “What should I say about this

results on Google. I think that the public

one? We only sell concert tickets, not cars.”

needs to be informed more precisely about

Scumeck Sabottka

the business model of Viagogo and other Scumeck Sabottka at MCT says: “It is

similarly operating providers. I would like

perfectly understandable that a politically

to see us have uniform legislation across

or an executive at your company, attesting

induced decision and a change in the law

Europe that regulates how we deal with

to having affiliation or partnership with the

are not easy to install, as the issue of ticket

such companies.

event-associated group.”

complex. Nevertheless, I appeal to the

In fact, the discrepancy between the claim

Scumeck

political representatives to address this issue

and the commercial reality of Google in

expect a US company like Google to follow

quickly, because this loophole in the law

particular raises questions. For example,

guidelines when they can adapt and side

means that a great deal of money is being

one

proprietary

line the situation to make even more profit;

taken out of the pockets of fans, artists

guidelines for ticket resale advertisements

from my point of view this company does

and event promoters - and this in a country

states that it requires a ‘contract or legal

nothing else but operate in the same way

which purports to be democratic. It would

documentation

or

as the current political majority in their

be in the interests of the Federal Republic of

partnership between your company and

country - a pity of course, but it doesn’t

Germany to curb this situation immediately,

the event-associated group’ plus ‘a letter

really surprise me.”

in the manner that has already been

on company letterhead signed by a lawyer

sales on the secondary market is extremely

of

Google’s

self-set

indicating

affiliation

Sabottka:

“I

honestly

didn’t

Stephan Thanscheidt: “I am not a lawyer

Stephan Thanscheidt

and do not want to judge whether Viagogo formally meets these criteria or not. My primary concern is the customers who lose confidence in our products or even in the industry because they pay excessive fees for tickets that don’t even always allow them access to the event. And I hope that with the help of politics and legislation, customers will be better protected in the future.”

Kiki Ressler: “No, you can’t be disappointed

by Google. It fits into the picture of an exclusively sales-driven group that feels no obligation to anything else. Even here, without

binding

guidelines

from

the

legislator, nothing will change.”

20

Clementine Bunel, Paradigm Talent Agency

STICHTING EUROSONIC NOORDERSLAG

VIP NEWS >

NAMES & JOBS

FEBRUARY 2020

Matt Schwarz leaves Live Nation GSA

Lucy Wood joins The Roundhouse

From VIP-Daily News

From VIP-Daily News

Matt Schwarz, COO and Managing Director at Live Nation GSA,

UK Venue The Roundhouse has announced the appointment of

leaves his position with immediate effect.

a new Head Of Music in the form of Lucy Wood, who joins from Live Nation’s Festival Republic business, where she led the music

In an email he wrote that he resigned today (February 19.) and that his

programme for the Latitude Festival. Prior to that she worked with

colleagues Carrie McNamara, Matias Muelas and Nastassja Roberts

London promoter Eat Your Own Ears.

will now take over the day-to-day business and current projects.

In her new role, Wood will head up the team that deliver a wideSchwarz has been the head of Live Nation`s Berlin office since the end

ranging programme of gigs each year and the Roundhouse’s own

of 2015. He previously worked as Vice President Touring & Festivals

In The Round and Rising festivals, as well as supporting early-career

at the Marek Lieberberg concert agency in Frankfurt for twelve years.

artists via the venue’s prolific education programme.

In a keynote speech at Reeperbahn Festival 2019, Matt Schwarz

Confirming the hire, Roundhouse Programmes Director Delia

referred to Live Nation`s track record in the GSA region. Since the

Barker says: “We are really looking forward to welcoming Lucy to

beginning of 2016, the number of concerts hosted by Live Nation GSA

the team at such an exciting time for the Roundhouse. She has a

has more than doubled - from around 800 shows in 2016 to 1700

great track record and is well respected across the industry and will

shows per year, “and the trend is increasing,” as Schwarz added. In

bring an incredible energy to support our emerging artists. All whilst

the four years, they had already sold more than 12 million tickets and

programming some of the biggest names in the world on our iconic

had a current annual turnover of around 250 million euros.

stage”.

“Live Nation and Matt Schwarz have mutually agreed to end their

Wood herself adds: “I’ve had a brilliant three years working with

collaboration,” reads a statement from Live Nation GSA. “Matt

amazing music from across the spectrum of genres at Latitude, as

Schwarz has resigned as Managing Director with immediate effect”.

part of Festival Republic – building on my time promoting at London’s

“Live Nation would like to thank Matt Schwarz for his successful

cherished Eat Your Own Ears. I’m THRILLED to be joining the team at

work over many years.”

the Roundhouse, a world-class arts institution with incredible history, and to be supporting its exceptional work with young people”.

Matt Schwarz

Wood takes over from Jane Beese, who is leaving the Roundhouse to become Head Of Music at the Manchester International Festival.

Lucy Wood

22

VIP NEWS > BUSINESS >

MUSIC IN SHARES

FEBRUARY 2020

Music In Shares Manfred Tari mt@vip-booking.com

DEAG - A solid start going into 2020 DEAG archived a surprisingly strong upward trend since the beginning of the new decade. At the beginning of January it still stood at 4.39 Euro, the share price steadily rose to 6.00 Euro as this issue went to press...

Spotify - Bucking the trend At the beginning of October 2019 stood at $112.5, going up by For those who haven’t noticed yet: Warner Music intends to once

January 10 to $156, and since then, dropping to $144.4, fitting the

again undertake an IPO (Initial Public Offering). As filed in the SEC

term “volatile” perfectly...

document, In the business year ending September 2019, Warner gained revenue of $4.47 billion and a net result of $258 million.

So far, no information has been published as to when the company

Tencent - Maintaining the share price - continuously

will actually go public. The IPO will be serviced by the banks Morgan Stanley, Credit Suisse and Goldman Sachs.

It’s level shortly before Christmas Eve in December 2018 of $12.19 and currently in February 2020 of $12.68 appears to indicate that the company is still capable of keeping its share price level. However, one

CTS Eventim - Going strong in January, slowing down in

year ago in February 2019 the share was still worth around $17.8.

February

News sources have recently reported that Tencent may be facing stricter regulations in China, causing sceptical analyst ratings...

On January 2 the share price of CTS Eventim was 57.20 Euro, and has been on the rise until January 24 to a new all time high of 61.30, before gradually slipping down on February 18 to 58.40 Euro...

Eventbrite - Going with the flow Even for Eventbrite the share price shows an upward trend: Earlier in January it stood at $20.95 and is in the meantime $22.14. Not worthwhile mentioning you may think? Well, bearing in mind that at the beginning of June 2019, the share price was at $15.30, current results definitely appear quite a bit more positive than previously...

Live Nation - Leading the flow In Mid December fell to $62.91 but a rise in February to $74.13 may please shareholders and company executives...

23

VIP NEWS > MISC >

MEMBER PRESENTATION

FEBRUARY 2020

This space is dedicated to present some of our clients using VIP-Booking.com.

Companies presented here have our best endorsement...

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