Live & Touring

In Response To Low Tickets Sales Promoter Clear Channel Lowers Facility Fees

Indietvcrowd_1 Motivated in part by soft ticket sales nationwide, there have been increasingly loud discussions among touring industry professionals about how much high ticket prices, added ticketing fees, facility fees and other add-ons are hurting the live music business.  These issues are also often lumped together in a category insiders call the "fan experience"  (much like the customer experience" at retail) which also includes parking fees, the high cost of food and beer, and even the condition and cleanliness of the facility itself.
Now in a major shift of policy Billboard.biz reports:
Cc_logo_3 "In a surprising move, Clear Channel Entertainment, by far the largest U.S. amphitheater owner/operator, will eliminate many of its so-called "facility" fees at sheds next year."
"Michael Rapino, global president of CCE’s music division, says the move is a reaction to consumer demands following a year in which attendance at amphitheater concerts took a significant hit"

"This is a true testament to our desire to bring ticket prices down," Rapino tells Billboard.biz. "We are going to swallow millions of dollars in lost revenue."

"Facility fees have become viewed with increasing distaste by consumers and many in the concert industry as unnecessarily boosting already high ticket prices at sheds and arenas. Venues initially created facility fees to pay for upkeep and other vaguely defined services. In recent years, the fees have amounted to little more than an ancillary revenue stream, observers say."

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