This interactive guide will help you execute live experiential marketing events featuring music AKA concerts. http://stevekaplandigial.com

1. Concert Promotion
Music 229

2. Concert Promotion
The Promoter is the entrepreneur who has a feel for the music
business and can see an opportunity to make money selling
tickets. Promoters are selling a moment in time. They have the
capability to persuade the ticket-buying public that this is the show
it has to see.
Concert Promoters
Large Conglomerates
Smaller companies
Arts Presenters
Festivals
Symphony Orchestras
Entertainment to enhance another activity
Fairs
Bars

3. Chapter 1:
Key Representatives
Entertainment Attorney
Read, Draft, and evaluate all contractual agreements
Lawyers are regulated by a code of ethics. Other members of the team are not.
A well established entertainment Attorney can be an essential networking bridge
for aspiring artists.
What to look for-Experience
Beware of attorneys who branch out into entering management, recording or publishing
contracts with their own clients.
Retainer
Billable Hours
Value Billing
Letter of engagement

4. Chapter 1: Key Representatives
Artist Manager
The individual who serves as the artists primary advisor is called an artist
manager, a personal manager, or simply manager.
-planner, advisor, organizer, strategist, overseer, coordinator, detail
person…
Key Elements
Identification of Parties
General Breadth of Agreement
Duties
Power of Attorney
Compensation
Duration
Sunset Clause
Key Person Clause

5. Chapter 1: Key Representatives
Booking Agent
A talent agent refers to any agent who finds work for creative artists.
Agents who concentrate on finding live appearances are
traditionally referred to as booking agents.
What Agents Do
Find Bookings
Route Tours
Buyer generally pays a guarantee-Front End
VS a percentage of ticket sales-Back End
Booking agents are regulated by the state and
require a license.
Afm-American Federation of Musicians (Scale)

6. Chapter 1: Key Representatives
What to look for in an agent
Reach-local, regional, national, international
Type of venues an agency books
In-house bookers
Honest and mutually satisfactory relationship
William Morris Agency
Creative Artists Agency
Club Agent
Line Agent
Responsible Agent (RA)
Marquee Value

7. Chapter 1: Key Representatives
Key Elements
Exclusive or nonexclusive
Duration-usually 1-3 years
Rate of commission-usually 10%
Commissionable income
Geographic Limits
Key Person Clause

8. Chapter 1: Key Representatives
Business Manager
A business manager works closely with the artist manager in establishing
budgets, regulating income, weighing in on various deals and running
the artist’s career as a “business.”
Like a CFO-a financial watchdog
Most are CPA or have in-house CPA’s at their firm
Tour Budgets
Tour Manager (road manager)
Manages the day-to-day needs of you and your entourage
Transportation and lodging
Responsible for Settlement at each venue
Coordinated publicity, interviews, appearances, ect…

9. Chapter 1: Key Representatives
Production Manager
Manages the technical side of your production
Sound, Lights, Stage Set
Stage plots & Tech Riders
Other Essential Personnel
Stage Manager
Sound Engineer
Monitor Engineer
Sound Crew
Lighting Crew
Backline Crew
Stagehands
Area Manager
Runners

10. Chapter 1:
Important Terms
Entertainment Attorney
Conflict of Interest
Retainer
Billable Hours
Value Billing
Letter of engagement
Artist Manager
Power of Attorney
Commission
Duration
Sunset Clause
Key Person Clause
Severability Clause
Booking Agent
AFM
In-House Bookers
Line Agent
Responsible Agent
Marquee Value
Exclusivity
Commissionable Income
Geographic Limits
Business Manager
Tour Manager
Settlement
Production Manager

11. Chapter 2: Making Money on the Road
Touring is a business, selling tickets, merch, and sponsorship are
important components of the business.
Selling Tickets
Headliner
Ticket prices have doubled over the past decade
Strategies to tickets sales
High Prices (Eagles)
High Volume (Brooks)
Ticket prices are often based on how much an artist wants to be paid and
how elaborate a production they want to present.
Prices are generally hammered out by the acts manager, business
manager and agent.

12. Chapter 2:
Venues
Making Money on the Road
Clubs
100-2,000
Ballrooms
800-1500
Theaters PAC
2000-8000
Auditoriums
500-10,000
Amphitheaters
10,000-15,000
Stadiums
15,000-100,000
Motor speedways 100,000+
Why play smaller venues
Genre or style can also determine venue
GA vs reserved seating
Multi-tiered seating-scaling
Usable seating/comps
Tour vs one-offs

13. Chapter 2: Making Money on the Road
Merchandising (“Merch”)
“Outside of ticket sales, merch revenue is the most important revenue
stream for touring artists.”
For beginning bands merch often bankrolls the band getting from point A to
B.
Managers solicit bids from companies
Basic deal is usually the longer of one album or touring cycle or
recoupment.
A buyout option is usually offered.
If there is a large advance, royalty rates are lower.
“for new artists most deals are worth 75-100k”
Merch company often has a employee on tour
House Rate or Hall Fee –usually 20-25%

14. Chapter 2: Making Money on the Road
Merchandising (“Merch”)
Basic Deal
Headliner ROYALTY RATE 72-77%
Artist pays hall fees out of its share
Artist nets 47-55%
Some artist handle their own merch
Investment
inventory
staff, warehousing,distribution,inventory selection.
merchandising is more than just selling t-shirts and hats
at concerts?

15. Chapter 2: Making Money on the Road
Merchandising (“Merch”)
One of the newest forms of merch is the concert cd
Basic instant Live Blueprint
Cd’s can be complicated with a revenue chain that includes the record
label, act, venue, promoter.
CD-$25
Label and Artists
30-40% (usually split)
Venue
5-10%
Packaging
10%
Instant Live
20%

16. Chapter 2: Making Money on the Road
Sponsorship
An artist being sponsored by a company was once considered a sellout.
Companies bankroll tours in every genre
Sinage
ROI
Contact ant the Company or Advertising Firm
Better to approach a niche brand
More likely to receive marketing support than hard cash
Endorsement deals
Label Support

17. Festival Sponsors

18. Festival Survey
• Demographics
– Gender
– Age
– Ethnicity
• Residence
• Homeownership
• Intention to Refinance
• Income
• Education
• Purchasing Habits
• Cell Phone/Wireless Co.

19. HAM Fest
Sponsorship Opportunities for the
Happy Artists Music Festival
May 3, 2009

20. HAM Fest
Sponsorship Opportunities for the
Happy Artists Music Festival
May 3, 2009

21. Introduction and Overview
§ Explain what makes the event, project, charity, etc. worth being
associated with.
§ You might want to describe the event’s history with an aim toward
showing growth in numbers, growth in participation, growth in
sponsorship, and consistency in reaching a desirable demographic
target: e.g., In 2008 HAM Fest went to 22 key markets presenting,
music, cultural events, and opportunities for marketing to over 880,000
fans of Happy Music and Happy Culture.
§ HAM Fest 2009 will go to 31 markets promising a total reach of 1.2
million Happy Music, Happy Culture fans presenting unprecedented
opportunity to market to this desirable demographic.
§ Past sponsors include: Big Record Company, Inc., Happy Cola
Company, Large Cell Phone Service Provider, Cool Clothing Designer,
Super Energy Drinks, and Wicked Awesome Sneaker, Co.

22. History
Provide a bit of background showing the history of the event:
“The HAM Fest was started to represent, speak to and capitalize on the
emergent Happy Culture. In the late 1990s, we realized grunge had
come and gone. People were looking for cheery festivals. Morose was
out, and happy was in. We saw a community of fans, artists and an
emerging youth culture. We capitalized on the opportunity.”
- Happy Rich Guy (Founder HAM Fest)

23. Testimonials
Provide Testimonials from past sponsors and past participants of note.
“We came in as a Tier 1 sponsor with HAM Fest in 2008. We saw a
marked increase in interest and brand recognition among Happy Music
enthusiasts age 18-25, a group we wouldn’t have otherwise reached.”
– Suzan Bigbucks (VP Branding, Happy Cola Company)
“We jumped on the HAM Fest juggernaut in 2001. Since then we’ve
seen a three-fold increase in core sales. Prior to HAM Fest, we sold
mostly left-footed shoes but had no luck with right. Tier 1 Prosciutto
Level sponsorship changed that.”
– Rubber Souls McGinty (Founder, Wicked Awesome Sneaker, Co.)

24. Testimonials
Provide Testimonials from past sponsors and past participants of note.
“We came in as a Tier 1 sponsor with HAM Fest in 2008. We saw a
marked increase in interest and brand recognition among Happy Music
enthusiasts age 18-25, a group we wouldn’t have otherwise reached.”
– Suzan Bigbucks (VP Branding, Happy Cola Company)
“We jumped on the HAM Fest juggernaut in 2001. Since then we’ve
seen a three-fold increase in core sales. Prior to HAM Fest, we sold
mostly left-footed shoes but had no luck with right. Tier 1 Prosciutto
Level sponsorship changed that.”
– Rubber Souls McGinty (Founder, Wicked Awesome Sneaker, Co.)

25. Demographics
Happy Music Fans:
§ 18 - 25 years old
§ Number over 35 million
§ Born in the 80s, came into consciousness in the 90s, established their
own buying habits in the new millennium
§ Define themselves through purchase of Happy Music, Happy Clothing,
Happy Soft drinks, and Happy lifestyle products and services
§ Active Consumers of Happy Culture and related lifestyle products
§ Spend nearly $ 90 million a year on music, clothing, soft drinks
§ Provide any other relevant demographic data that convinces potential
sponsors that buying in at any level provides quantifiable benefits

26. HAM Fest 2009
Happy Artist
The Cheery Cheerios
The Smiling Satisfaction Transaction
Smiley Smith
Joan Joyous
Glee Club Convoy

27. HAM Fest 2009 Dates
List all festival dates
List all festival markets
Provide any market specific information
Note if dates are tentative

28. HAM Fest 2009
SPONSORSHIP PLATFORMS
Tier 1: Prosciutto Sponsor
Tier 2: Jamon Sponsor
Tier 3: Candied Ham Sponsor
Tier 4: SPAM sponsor

29. HAM Fest 2009
SPONSORSHIP PLATFORMS
Tier 1: Prosciutto Sponsor
Tier 2: Jamon Sponsor
Tier 3: Candied Ham Sponsor
Tier 4: SPAM sponsor

30. HAM Fest 2009
Prosciutto Sponsor
§ Exclusivity in category
§ Logo / marks prominently
featured in all HAM Fest
print materials, signage,
ads, and collateral
§ Official product / service
designation
§ Presence and access to
hospitality suites at all
stops
§ Entrance signage
§ On-stage signage
§ Program book ad
§ On-line presence at hamfest.com
§ Branding on official tour
merchandise
§ Radio broadcast tags
§ Tickets to key tour stop
§ ID / tag in media buy
§ On-site sampling
§ On-site sales rights
§ Mailing lists
§ PA announcements
§ Tags in all local TV / radio
broadcasts

31. HAM Fest 2009
Jamon Sponsor
§ Logo / marks featured in
select HAM Fest print
materials, signage, ads, and
collateral
§ Presence and access to
hospitality suites at select
stops
§ On-site signage
§ Program book ad
§ On-line presence at hamfest.com
§ Tickets to key tour stop
§ On-site sampling
§ On-site sales rights
§ Access to select mailing lists
§ PA announcements
§ Tags in all local TV / radio
broadcasts

32. HAM Fest 2009
Candied Ham Sponsor
§ Logo / marks featured in
select HAM Fest signage,
ads, and collateral
§ Access to hospitality suites
at select stops
§ On-site signage
§ On-line presence at hamfest.com
§ One time email blast
§ PA announcements

33. HAM Fest 2009
Candied Ham Sponsor
§ Logo / marks featured in
select HAM Fest signage,
ads, and collateral
§ Access to hospitality suites
at select stops
§ On-site signage
§ On-line presence at hamfest.com
§ One time email blast
§ PA announcements

34. Contact
§ For sponsorship opportunities, contact:
§ Samantha Smiley at:
§ HAM Fest 2008
§ PO Box 123
Ebullientville, NY 12341
(212) 333-4444
ssmiley@hamfest.com

35. Chapter 2:
Terms
Headliner
Support Act
Billboard/Pollstar
General Admission
Reserved Seats
Comps
Scaling
Gold Circle
Merch
House Rate
Royalty Percentage
Roi (return on Investment)
Sponsorship Deck
Sinage

36. Chapter 3:
Why, When, and Where to Tour
Preproduction Phase-before capital is invested in gear and other costs
Benefits of the tour can be maximized.
The tam will map out the tour to fully realize venues and
exposure.
Plotting a tour is a process that starts with the act and it’s team.
As long as a year in advance
Plot out objectives
Key Factors-album release, tv exposure, tour announcement, on-sale
tour launch, routing.

37. Chapter 3:
Why to tour
Promote album sales
Sell Merch
Build fan Base
Attract Labels
For most groups signed to a label, touring is tied into a release date of an
album to capitalize on exposure, radio play, and the labels marketing
muscle.
Priorities are to:
Create and Event
Make Money
Have Fun

38. Chapter 3:
Touring to Promote Album sales
Parallel business
Create a buzz
In-stores
Sponsors
Touring to Make Money
All tours should be profitable
There is no shame in playing for the money
Heritage Groups
Touring to Build the fan base

39. Chapter 3:
When to Tour
Big name artists can dictate tour dates.
Headliner
Billed
C0-headling situations
Availability
New Release
Radio or TV exposure
Penetrate secondary Markets
Buzz-Plays
Timing the on-sales with radio play

40. Chapter 3:
Touring Traffic
To much touring traffic can be problematic
Most concert activity occurs between April and September
Acts should be cognizant of how often they play a given market
A general rule of thumb is every 16 months to 2 years
The right venue the right time
Arenas theatres and clubs tend to be busier in winter.
Playing on-offs
one-offs are rare
radio shows
Payola
Corporate Shows
Sell-out

41. Chapter 3:
Art of the On-Sale
On-sale or going-up (tickets available to the public)
Two strategies
Put tickets on sale early
Wait until a few weeks out to create a sense of urgency
Where to tour-Determining Markets
Where to Tour
Determining Markets
Secondary and Tertiary Markets
Anchor Dates
Building the fan base
Partnering with other groups
Skynyrd & 3 doors down-neither group played their best markets

42. Chapter 3:
Determining which venue to play
The type of venue is largely determined by the amount of tickets that can
be sold.
Another important factor is venue aesthetics
A general rule of thumb is that production tends to work better in a
controlled room
Some groups sell their music as a party and create lifestyle events that fit
better in “sheds”
Some groups need more reserved seating than GA
Sometimes there is a stigma attached to certain types of events?

43. Chapter 3:
Routing the Tour
The type of venue is largely determined by the amount of tickets that can
be sold.
Another important factor is venue aesthetics
A general rule of thumb is that production tends to work better in a
controlled room
Some groups sell their music as a party and create lifestyle events that fit
better in “sheds”
Some groups need more reserved seating than GA
Sometimes there is a stigma attached to certain types of events?
Avails-Second or third hold.
Smaller acts can move more quickly
Compare a historic venue to a new one.

44. Chapter 3:
Terms
Preproduction phase
In-stores
Heritage acts
Headliner
Billed
Buzz plays
Touring traffic
One-off
Radio show
Payola
On-sales
Going up
Secondary market
Anchor date
shed
avails
second third hold

45. Chapter 4:
Budgeting
You need to create a plan. A budget is one of the MOST important parts of
that plan.
Projecting Income
Ticket sales
Merch
Sponsorship
Other?
The goal is to tap as many potential revenue sources as possible.
Projecting income is more difficult that estimating expenses because there
is less control.

46. Chapter 4: Budgeting
Ticket Sales
Fees paid to an artist for performance but the talent buyer are know as
ticket sales.
Guaranteed Flat Fee
Percentage of ticket sales (door)
Combination of the two
If percentage deals are requested the band will want to suggest realistic
ticket prices.
“Priors”-are published weekly in Billboard and Pollstar
Venue Priors
Flat fees are known as Guarantees or “flats”
The percentage a band receives is called the “back end”

47. Chapter 4: Budgeting
Ticket Sales
The risk in a straight percentage deal is that the ticket sales is unknown.
Most groups will try to remove some of the risk by negotiating a
minimum versus as percentage, whichever is greater. This is commonly
known as the “versus deal”.
Merch Sales-measured per capata or “per cap”
Set up boundaries for expenses
Variables Costs-hard to predict

48. Chapter 4:
Your Budget
Create a detailed Budget for your event by next week.
Income
Ticket Sales
Merch
Sponsorship
Expenses
Artist fees
Sound Rental
Sound Person
Personnel
Budgeted
450
Projected
382(85% TS)
20
0 ($50 paid by club)
Actual
Delta

49. Chapter 4: Terms
Fee Structures
Priors
Flats
Back end
Gross Potential
Deductions
House Rate
Per Cap
Impressions
See pg 60
Production reimbursement
Variable costs-running expenses

50. Chapter 9: Types of Talent Buyers
A talent buyer is the person or company who pays an act or artist to
perform. The size and scope of talent buyers is very diverse.
Concert Promoters
National & International Promoters
College Buyers
Club Buyers
Venue and PAC
Fair and Festival
Casio
Private

51. Chapter 9: Types of Talent Buyers
Hard Ticket Buyers
Hard ticket buyers primary revenue stream is selling tickets.
Hard ticket buyers are commonly referred to as Concert Promoters.
Evolution of the Concert Promotion Business
Since colonial times
Big Band Era
True beginnings in 1950’s with Rock and Roll
Large packages with hit bands of the day
1960’s- Bill Graham
Attending Concerts became one of the primary entertainment choices for
the youth culture.
1980’s Promoters tired of watching the venues capture all the ancillary
revenue began building their own amphitheatre.

52. Chapter 9: Types of Talent Buyers
1990’s –All types of business begin to consolidate. Robert Sillerman begins
buying up regional concert promoters.
2000 Sillerman sells SFX to clear channel
2005 CCE spun off its live entertainment business creating the independent
entertainment giant Live Nation
2006 Live Nation owns
153 Venues worldwide
Produces 28,000 events annually

53. Chapter 9: Chapter 9: Types of Talent Buyers
The promoter pays the act usually through an agent. The promoter agree to
promote the show through whatever means necessary. Box office
proceeds traditionally go 15% to the promoter and 85% to the act-this is
negotiable.
From the promoter share come expenses-promotion, production fees, hall
rental, catering, any other costs.
Some have estimated the promoters profit margin at 1%
National & International Buyers
Deep pocketed corporate promoters with a presence in multiple markets.
Can build an advantage by cross-collateralizing across the tour.
May partner with local promoters
College Buyers
Student run campus entertainment buying association
May partner with local promoters-Sig. cost savings

54. Chapter 9: Chapter 9: Types of Talent Buyers
Large Venue Buyers
Many times the venue and the talent buyer are one and the same.
Club buyers, arenas, theaters, ballrooms, PAC.
Club Buyers
Venues have played an undeniable role in launching many artist career.
The club circuit remains an important vestige of the traditional touring
model. Promoters take chances on new acts in hopes that they will
remember the promoter if they are successful.
Clubs can offer better pay because the overhead is less.
Some groups are just better in clubs.
PAC
Most have in-house talent buyers

55. Chapter 9: Chapter 9: Types of Talent Buyers
Festivals & Fairs
Some of the most established buyers in North America.
Some are Hard ticket buyers some derive ancillary income streams.
Casino Buyers
Have become more diverse. Baby boomer demographic.
Private Buyers
One of the fastest growing segments of live industry
Often will partner with an experienced promoter