These are the expenses involved with a legit real show. The next time that people gripe about ticket prices (not saying that some are not infated) they should keep in mind that it is not the band that keeps all of the money. In fact, on many major tours like the Stones, merchandise sales is the only real money maker, because they get 50% of the revenue. ALL other things are about non-profitable.
Obviously small tours will not cost as much, but some expenses will be the same. Gas, truck leasing, Prevost bus leasing, drivers, engineers, perdiems, legal, accounting, labor, etc cost everyone the same money. So bigger tours are more profitable because they will sell more merch based on attendance. Not necessarilly because of more ticket sales.
Here is who gets paid:
Band
Band's booking agent/firm (10% minimum of band's pay)
Band's manager/firm (10% minimum of band's pay)
Band's P/R person/firm (complicated, usually paid a flat rate)
Band's attorney/firm
Merchandise, merch sales manager
Production (Lights, Sound, Video, Staging, Rigging, Union and non-union labor, audio, video, lighting engineers, technicians, riggers, guitar techs, drum techs, stage managers, production managers, etc)
Transportation
Freight
Perdiems
Venue
Venue's take of concessions
Venue union/non-union electrician, rigger, system tech
Venue management
Venue security
Venue insurance
Promoter
Promoter's 50% cut of merch sales
Promoter's attorney/firm
Promoter's accountant/firm
Promoter's band buy-outs
Event Liscense/permits
Insurance
Anatomy of a Concert
They do make their money touring. I was merely showing what it takes to put on a show so that people would get a clue, and get off of Stryper's back and also understand why things cost the way that they do.
Often times if the tours are soft, but record sales are good, a band can go to the band and borrow money against the points to be earned on the next release. This is how they sustain themselves in between tours.
Often times if the tours are soft, but record sales are good, a band can go to the band and borrow money against the points to be earned on the next release. This is how they sustain themselves in between tours.
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