Due to uncertainties brought by the pandemic and its seen effect on different industries such as the live events, several scheduled Festivals and artistic performances halted their production to 2021. draft
In a memo sent to Billboard, Live Nation, expressed its intention to make specific changes in response to the new landscape of entertainment. The proposed change will include pay cuts to artists and performers.
READ ALSO: Live Nation CEO Waives $3 Million Salary for COVID-19; TicketMaster Ruling Angers Fans
Balance of Power per Live Nation
An unnamed Live Nation official wrote that they have to account for the shift in the market demand because of the modern times. Live Nation will be renegotiating terms for thousands of shows scheduled for 2021 apart from more than a hundred festivals worldwide.
The proposed changes would include across the board pay cuts. It will be an adjusted downward 20%. Involved also is the revision of practices on cancellations.
In the memo also published by the Rolling Stone, cancellation because of weak ticket sales would guarantee an artist of 25% fee. The move is a huge cut from the previous agreement to get 100% whether they help on the ticket sales or not. On the other way around if the artist cancels appearance, they would have to pay the promoter twice their entire artist's fee.
Events promotion will be less risky for the production unit and create a balance of power among parties involved.
The changes could mean vast business remodeling. However, a more significant risk for agents and artist would indicate a level playing field for other promoters that needs to recover.
Another change that Live Nation suggests is removing the artist from the promoter's insurance policy. The insurance covers the cancellation of the event in agreed circumstances. Live Nation will then require artists to avail cancellation policies on their own.
READ ALSO: AEG Offers Ticket Refund Within 30 Days for COVID Affected Concerts
Trial Balloon
Agents interviewed by Billboard saw the new directives of Live Nation as a point for discussion for 2021 events. They also recognize that all stakeholders should expect adjustments, particularly on fees.
Anschutz Entertainment Group announced that they would be renegotiating 2020 deals in line with the pandemic. In a memo to clubs and theaters, the group says artist guarantee will be reduced 25%-50% for shows with less than 90% of ticket sales.
Sound Talent Group tour director, John Pantle shared with Billboard that he would not be surprised if the directives are released to set the middle ground. Since Billboard has yet to comment, a Billboard source spilled that the memo is a framework for negotiation for 2021. Nothing is final about it.
Pushed Back to 2021
More than hundred of music events and festivals got either canceled or postponed as documented by Billboard. Included on the list is the annual Coachella and Stagecoach music gatherings. Concert tours of Billie Eilish, Cher, Kiss, and Post Malone were also pushed to other 2021 schedules. Broadway also shut down following the statewide ban on gatherings.
READ ALSO: Billie Eilish, Finneas React to Rayshard Brooks' Killing
© 2024 MusicTimes.com All rights reserved. Do not reproduce without permission.
