Table of Contents
Scope and Themes
-
- What you need to know
- Definition
- Data sources
- Consumer survey data
- Advertising creative
- Abbreviations and terms
- Abbreviations
- Terms
Executive Summary
-
- Entertainment venue revenue drops 8% in 2010
- Industry responding: average ticket price drops second year in a row
- However, ticket volume is not growing, decreasing nearly 12% in 2010
- Frequency down: one third report they are attending less events
- Consumers reporting cost is what is keeping them away
- Ticket volume grew only for theaters in 2010
- Live Nation controls half of the tickets sold in 2010
- Sports arenas and stadiums dominate venue choice among respondents
- Soft drinks/water most likely to be bought at live events
- Operators should focus on messages that appeal to groups
- Mailed tickets rated higher than mobile, paperless ticketing
Insights and Opportunities
-
- Price freezing can reward loyalty, help ensure sales over time
- Refund model helps operators win back frustrated fans
- Host small alternate events at local venues to build hype for major events
- Link to music purchase
Inspire Insights
-
- Trend: “Who Needs Humans”
Market Size and Forecast
-
- Key points
- 2010 revenues drop nearly 8%, the first decline after years of increases
- Ticket volume decreased nearly 12% in 2010
-
- Figure 1: Total U.S. concert industry ticket sale revenues, at current prices, 2005-15
- Figure 2: Total U.S. concert industry ticket sale revenues, at inflation-adjusted prices, 2005-15
- Fan chart forecast
-
- Figure 3: Total U.S. concert industry ticket sale revenues, 2005-15
- Top 100 tours account for 52% of total concert industry revenue in 2010
-
- Figure 4: Total U.S. ticket grosses of the top 100 tours, at current prices, 2005-15
- Figure 5: Total U.S. ticket grosses of the top 100 tours, at inflation-adjusted prices, 2005-15
Market Drivers
-
- Promoters launching mobile ticketing apps to drive sales
- Controversy over paperless ticketing growing
- Entertainment tour sponsorships increase nearly 6% in 2010
- Music venue, festival, tour sponsorships expected to grow 7.3% in 2011
-
- Figure 6: Music sponsorship spending on entertainment venues and tours, 2006-10
- Average ticket price drops second year in a row to nearly $62
-
- Figure 7: Average ticket price for the top 100 tours, 1997-2010
- Heritage artists dominate tour sales, not current hit-makers
-
- Figure 8: Top-grossing world tours, 1997-2010
Segment Performance
-
- Key points
- Ticket volume declines nearly 12% in 2010
-
- Figure 9: Total tickets sold for the top 100 tours, 2003-10
- Theaters the only segment where ticket volume increased in 2010
-
- Figure 10: U.S. tickets sold, by venue or site, 2009 and 2010*
Segment Performance—Arenas
-
- Key points
- Arenas offer more revenue potential than competing venues
- Madison Square Garden dominates arena ticket volume with 9.8% of sales
-
- Figure 11: Top 10 U.S. arenas per tickets sold, 2010
Segment Performance—Amphitheaters
-
- Key points
- Amphitheater ticket sales increase
-
- Figure 12: Top 10 U.S. amphitheaters per tickets sold, 2010
Segment Performance—Theaters
-
- Key points
- Generous capacities, amenities make theaters safer bets for promoters
- Radio City Music Hall represents 14% of total ticket volume
-
- Figure 13: Top 10 U.S. theaters per tickets sold, 2010
Segment Performance—Clubs
-
- Key points
- Top 10 clubs control about 35% of all tickets sold at U.S. clubs
-
- Figure 14: Top 10 U.S. clubs per tickets sold, 2010
Segment Performance—Outdoor Stadium/Festival Sites
-
- Key points
- Of top 100 stadium/festival sites worldwide, only 15 are in the U.S.
- Destination festivals help stadium/outdoor site segment
-
- Figure 15: Top 10 U.S. outdoor stadium/festival sites per tickets sold, 2010
Promoter Overview
-
- Key points
- Live Nation controls half of the tickets sold in 2010
-
- Figure 16: Top 10 U.S. promoters, by tickets sold, 2009 and 2010
- Festivals represent half the 10 highest-grossing concerts of 2010
-
- Figure 17: Top 10 U.S. concert grosses, 2010
- Promotion companies set prices, control costs of entertainment events
Promoter Profile—Live Nation Inc.
-
- Key points
- Live Nation dominates ticketing, live entertainment market
- Live Nation revenues jump 21% due to Ticketmaster acquisition
-
- Figure 18: Live Nation revenues, at current prices, 2005-10
-
- Figure 19: Live Nation revenue streams, 2009-10 *
Promoter Profile—AEG Live
-
- Key points
- AEG Live concentrates on smaller venues, clubs to theaters
- Company avoids amphitheater market in favor of arenas, theaters, clubs
- AEG Live set to launch its own ticketing system
Promoter Profiles—Other
-
- Key points
- Regional operators control 25% of the market among top 10 promoters
- MSG Entertainment
- Feld Entertainment
- C3 Presents
- Broadway Across America
The Secondary Ticket Market
-
- Key points
- Secondary ticket market a threat to primary operators
- Ticketmaster under fire for sending consumers to its secondary resale site
- StubHub gross ticket sales increased 20% in 2010
-
- Figure 20: Top 20 secondary ticket sellers, April 2011
Innovations and Innovators
-
- Vendini creates software that processes tickets via mobile devices
- Veritix creates system that allows users to transfer paperless tickets
- Milwaukee club creates new revenue stream by streaming live concerts
- TicketForce allows consumers to purchase tickets via Facebook
- Ticketmaster announced dynamic pricing model to appeal to consumers
- Mobile phone app allows concertgoers to order food, drink to seats
Marketing Strategies
-
- Social media can be used to not just inform, but to entertain consumers
- Live Nation partners with Groupon to raise awareness about events
- Clean air advocacy partnership also provides chance for promotion
-
- Figure 21: Live Nation ad, woman’s car breaks down, 2011
- Online operators should not sacrifice helpfulness for convenience
-
- Figure 22: Ticket City ad, being helped by a real human being, 2011
Venue Types Visited For Live Entertainment
-
- Key points
- Sports arenas and stadiums dominate venue choice among respondents
-
- Figure 23: Types of venues visited for live entertainment, by gender, December 2010-January 2011
- Youngest respondents more inclined to attend events at most venues
-
- Figure 24: Types of venues visited for live entertainment, by age, December 2010-January 2011
- Higher-income groups most likely to attend events—period
-
- Figure 25: Types of venues visited for live entertainment, by household income, December 2010–January 2011
Frequency of Attending a Live Event: Paid Vs. Free
-
- Key points
- Split between paid and free events relatively even among respondents
-
- Figure 26: Frequency of attending a live event, by gender, age and household income, December 2010–January 2011
Live Entertainment Venue Types Visited Today Vs. Last Year
-
- Key points
- One third report they are attending fewer events
-
- Figure 27: Types of venues visited for live entertainment today versus last year, by gender, December 2010-January 2011
- 18-24 year olds attending more often this year than their older peers
-
- Figure 28: Types of venues visited for live entertainment today versus last year, by age, December 2010-January 2011
- Households earning $100K+ report attending about the same
-
- Figure 29: Types of venues visited for live entertainment today versus last year, by household income, December 2010-January 2011
Reasons For Not Attending Live Entertainment
-
- Key points
- Cost related to top three reasons why respondents not attending
-
- Figure 30: Reasons for not attending live entertainment, by gender, December 2010-January 2011
Items Purchased at Live Entertainment Events
-
- Key points
- Respondents most likely to purchase soft drinks/water, food at events
-
- Figure 31: Items purchased at live entertainment events, by gender, December 2010-January 2011
- Higher likelihood of buying items among 25-44 year olds
-
- Figure 32: Items purchased at live entertainment events, by age, December 2010-January 2011
- Soft drinks/water purchased the most by households earning $75K+
-
- Figure 33: Items purchased at live entertainment events, by household income, December 2010-January 2011
How People Find Out About Live Entertainment Events
-
- Key points
- Friends, family most dominant way event information spreads
-
- Figure 34: How people find out about live entertainment events, by gender, December 2010-January 2011
- Youngest respondents more engaged by social media, online sites
-
- Figure 35: How people find out about live entertainment events, by age, December 2010-January 2011
- Friends/family matters most to households earning the least
-
- Figure 36: How people find out about live entertainment events, by household income, December 2010-January 2011
How Consumers Buy Tickets
-
- Key points
- Ticketmaster remains the major channel for purchasing tickets
-
- Figure 37: How consumers buy tickets, by gender, December 2010-January 2011
- Households earning the least most likely to purchase from box office
-
- Figure 38: How consumers buy tickets, by household income, December 2010-January 2011
How Consumers Receive Their Tickets
-
- Key points
- Majority of respondents prefer hard tickets mailed to them at home
-
- Figure 39: How consumers receive tickets to live events, by gender, December 2010-January 2011
- Mobile ticketing rated highest among by those aged 25-34
-
- Figure 40: How consumers receive tickets to live events, by age, December 2010-January 2011
- Mailed tickets rated highest by wealthiest households
-
- Figure 41: How consumers receive tickets to live events, by household income, December 2010-January 2011
Impact of Race and Hispanic Origin
-
- Key points
- Nearly half of black respondents have not attended a live event in the last year
-
- Figure 42: Types of venues visited for live entertainment, by race and Hispanic origin, December 2010-January 2011
- Asians most likely to be going to more events
-
- Figure 43: Types of venues visited for live entertainment today versus last year, by race and Hispanic origin, December 2010-January 2011
- Black respondents most likely to purchase soft drinks/water, food
-
- Figure 44: Items purchased at live entertainment events, by race and Hispanic origin, December 2010-January 2011
- Black respondents use variety of sources for information
-
- Figure 45: How people find out about live entertainment events, by race and Hispanic origin, December 2010-January 2011
- How consumers receive tickets to live events
-
- Figure 46: How consumers receive tickets to live events, by race and Hispanic origin, December 2010-January 2011
Cluster Analysis
-
- Hi-Lifes
- Demographics
- Characteristics
- Opportunity
- Frienders
- Demographics
- Characteristics
- Opportunity
- Old Schools
- Demographics
- Characteristics
- Opportunity
- Cluster characteristics
-
- Figure 47: Venues clusters, January 2011
- Figure 48: Items consumers purchase at live entertainment venues, by venues clusters, January 2011
- Figure 49: How consumers find out about live entertainment events, by venues clusters, January 2011
-
- Figure 50: How consumers purchase tickets, by venues clusters, January 2011
- Figure 51: Live event participation, by venues clusters, January 2011
- Cluster demographics
-
- Figure 52: Venues clusters, by gender, January 2011
- Figure 53: Venues clusters, by age group, January 2011
- Figure 54: Venues clusters, by household income, January 2011
- Figure 55: Venues clusters, by race and Hispanic origin, January 2011
- Cluster methodology
Appendix: Other Useful Consumer Tables
-
- How consumers buy tickets and household income
-
- Figure 56: How consumers buy tickets, by age, December 2010–January 2011
- How consumers buy tickets, by race and Hispanic origin
-
- Figure 57: How consumers buy tickets, by race and Hispanic origin, December 2010-January 2011
Appendix: Trade Associations
Back to top