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| How is Live Nation’s Entry Affecting the German Market? |
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Industry insiders expect the company to substantially increase the number of German gigs by top international acts. Although Ridgeway declined to comment on the number of Live Nation Germany shows planned for 2010, Mira Pfetzing, manager of chart-topping German pop/rock band Juli, believes more international acts could drain consumers' available cash for smaller shows meaning that small and midsize promoters and bookers will suffer. Prior to setting up their own operation, Live Nation had been represented through a 20% stake in Frankfurt-based promoter Marek Lieberberg Konzertagentur (MLK). But in December, Live Nation sold its stake to CTS Eventim, which now owns 71% of MLK and is Germany's largest promoter. MLK founder Marek Lieberberg is sanguine about losing its Live Nation business, claiming that throughout their relationship, Live Nation shows accounted for only 15% of ticket sales and no more than 5% of MLK's profits. Eventim’s CFO Volker Bischoff adds that shows by domestic acts usually generate higher margins than those of international acts with higher overheads. As a result, losing its Live Nation connection should have "a negligible effect on the group's profits," Bischoff says. According to promoters' trade group IDKV, the German market generated ticket sales of €3.6 billion ($5.4 billion) in 2008 but it also dropped 7% in value. IDKV chairman, Jens Michow, believes that Live Nation's entry can have only a negative effect on domestic promoters as Live Nation’s financial clout will inflate artist fees beyond their reach. And higher fees could force ticket prices up. But Alan Ridgeway downplays such fears, saying: "We'll be competitive. But I don't see this as a move that's going to push up
prices." Related Articles: Live Nation Unloads U.K. Theatre Division for Approximately U.S. $160 Million Live Nation
, the world's largest live music company, recently announced that it has
closed the sale of its remaining U.K. theatrical venues and operations
to The Ambassador Theatre Group, an owner and operator of regional
theatres in the United Kingdom. In addition, on October 23, 2009,... Live Nation Reports Strong Third Quarter Results Live Nation (NYSE: LYV) released financial results for the three months ended September 30, 2009 today.
“We generated robust organic growth from our operations during the third quarter as we focused on executing our fundamentals with excellence during the peak concert season,” said... Live Nation, Ticketmaster profits take a hit due to Proposed Merger
Live Nation and Ticketmaster
Entertainment Inc. both stated that their earnings were hurt by
costs related to the proposed deal, which is expected to continue into 2010 as
regulators examine antitrust issues.
Comcast Jumps into Ticketmaster Live Nation Merger Fray According to recent reports from Bloomberg, Comcast is looking to help ease the Ticketmaster Live Nation merger by massaging and lobbying for the marriage. Comcast is the largest U.S. cable operator and controls an
arena-management as well as a ticketing company.
Concert Videos Come to iTunes in Live Nation-Apple deal Apple iTunes on Tuesday began featuring downloads of live concerts by about 20 artists who are promoted by Live Nation.
Seven Per Cent Drop in German Live Entertainment The German live entertainment market experienced a 7% drop in revenue
in 2008, according to research commissioned by the German Federal
Association of the live entertainment industry. The decline was even
sharper - 9% - in live music.
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Almost a month on from Live Nation’s entry
into the world’s fourth largest live events market, US music industry
publication, 