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MUSIC BUSINESS ARTICLES
BUSINESS PLANS AND PROMOTING PROMOTING GIGS AND EVENTS by Billy Tweedie Whether you are new to promotions or are well established, this guide should make for useful reading and help minimise the chances of last minute problems. If you're a new promoter, you'll need to think carefully about your overall plan of action. Ask yourself a few key questions: What type of promotional work do I want to undertake? e.g. dance music, venue based or over several venues? Have I done my homework? Who are my competitors, are there any gaps in the marketplace, what are people wanting to see promoted? Do I have any start-up finance or am I going to develop my promotions from a small start, just aiming to cover my costs? Or even aim to gamble with the potentially massive profile of a big act with the costs covered in the event of failure? If you're at all ambitious, you should develop a Business Plan. The main areas which a business plan should cover are: - Description of the Business - Type of Business (sole trader, limited Company, Partnership or Co-Operative) - Analysis of the Marketplace and your competitors - Business Promotion and Marketing Strategy - Financial Plans, showing all costs and income, and cash flow projection showing whne you may need to borrow money. - Who's involved, what experience they bring, where the business will operate from, and what facilities it will use (equipment and services). A Business Plan will be helpful in providing you with a clear focus. It can also help in attracting finance from the private sector (e.g. breweries) and other funders. However, its not essential if you are a small promoter running a weekly club night or band event. The main areas which you'll need to focus on as a promoter are: DEALING WITH BANDS. Developing Contacts. Keeping up with the developments and trends in the local & national music scene. Watching what your competitors are doing, particularly in the week before and after your event, including other demands on peoples' "leisure time" such as sporting or other national events. Booking gigs and negotiating money matters with artists or their management / agents. Sorting out the logistics and production details of the gigs. VENUE MANAGEMENT This may be covered by other venue staff, but you'll need to know who is responsible for each and how much you'll be charged if the venue provides the service: Venue Administration - staffing - licensing - health and safety checks - insurance liability - ticket sales - day to day office admin Finance - financing publicity - day to day venue running costs - future finding (a retailer, manufacturer or grant-giving organisation) - business sponsorship Building Maintenance and Decoration - repairs / maintenance - painting / decor - security - sound proofing EVENT PRODUCTION Technical Production - PA - lighting - staging - other facilities (toilets, access for equipment, dressing rooms, electricity supplies) Staffing - Front of House (Box Office, ushers) - Back stage (stage management, crew) - technical staff - catering, bar staff - security & door staff Catering - bar and hospitality - band rider Support acts Event scheduling - arrival times - sound check times - on stage times - transport & accommodation arrangements for performers and crew - transport and parking for audiences PUBLICITY & PROMOTION Press & Media Work Publicity materials (posters, flyers, etc.) Mailing lists Listings magazines (check their deadlines in good time) Distribution Advertising Word of mouth Ticket printing & distribution In smaller venues, pre-printed "raffle" type tickets or even photocopied tickets will suffice. Larger venues will use more sophisticated (anti-copying) tickets and computerised booking systems. Make sure that all the outlets that you want are included in the ticketing system and that they give your audience the correct information - especially if they run out of their own supply of tickets. Monitoring of ticket sales (before and after the gig) Remember that different publicity styles will be needed for certain types of event. Always think carefully about your audience and how to target them most effectively. Once the venue or promotions set-up is established, its time to take stock of how things are going. Review how you're getting on. Are you meeting your targets? Do you need to adapt your plans? Do you need to think about making improvements to your venue? Is your publicity effective? Perhaps the most difficult decision any promoter must consider is knowing when to cut their losses and abandon a gig, no matter how much money has already gone into it. The next stages should then be: Develop your profile..... Don't rest on your laurels. Continue to build on your strengths and rectify any weakness. Develop your audience Continue to find creative ways to target your audience... Ensure you are financially secure and tap into any funding opportunities Exploring new funding avenues if you are looking to expand. These could include: - The Lottery, your State's Arts Board - your local authority (who will have a funding officer already knowledgeable about funds available in your particular location). - Grant giving organisations, Foundations and Trusts. - Business sponsors. Create a Sponsorship pack which you can easily adapt for a number of businesses who might be willing to assist you, usually in exchange for some marketing advantage to themselves - make a clear list of all the options and benefits you can offer them. - Breweries, Clothing manufacturers / retailers, and other businesses trying to sell their product or service to your audience. If you're a small promoter you may simply decide to concentrate on further promotional and audience work. Here's a quick review of points to remember: 1. Always be absolutely clear about what deal you are offering your performers, the venue and what you are expecting from your staff and your suppliers. Be clear about dates and times, about responsibilities and logistics. Use a confirmation letter if possible, and don't delay in confirming any arrangements or contracts that you are offered. 2. Constantly look at how you can develop the profile of your venue or artist. 3. Invest time and energy in you promotional work, and don't leave it until its getting too late. No publicity = no audience = no money. 4. Consider how you want audiences to talk about your venue, and ask honest friends what they think of it. Think about what has to be done to bring their opinions up to the standard you aim for. How would you achieve remarks such as "Its the coolest place in Pittsburgh", "Thursday nights are unmissable" or "its a great meeting place". The Early Stages. Build up a list of bands/performers/DJs with contact names and telephone numbers..... Keep your eye on which acts are attracting attention and which have a strong following in the area - think about your audience's interest, not just your own. Keep a list of national promoters and agents if you're hoping to attract national touring acts or performers from out of the region. Assess what facilities your venue can offer in-house, and what additional services and staff need to be brought in on a temporary or permanent basis (e.g. PA, lighting, technical staff). Ask yourself if the in-house PA is adequate, could the acoustics be improved, does the decor need improvement? The Deal - Negotiating with bands / performers Be clear about the finance of the deal. Options include: 100% door take to the performers Door split (split between promoter and performer) Fixed Fee Percentage of bar-take (e.g. 10% to performer) ticket deals venue hire:Fixed charge to the band, who then receive the door. Run through the event or gig logistics in detail with the band. Be clear about: dates & times ticket prices PA facilities and crew backline equipment support acts facilities for merchandising, catering, games machines etc. plans for get-in, sound check, on-stage times, get-out any special arrangements for parking, overnight storage, accommodation, hospitality etc..... Aim to sign your contract with the performers well in advance to allow time to agree all the details The venue Important areas to check are: PA. In-house, hired-in or coming with performers Lighting. In-house, hired-in or coming with performers Production. In-house team: hired-in crew: or coming with performers Security. Staffing, exits, electricity, safety, fire precautions. General atmosphere and ambience of the venue Pricing policy. Tickets, bar prices, pass-outs. Licence. What entertainments licence does the venue hold and between what hours does it operate? What liquor licence and between what hours? What provision is there for under 18's? Gig Production If you are promoting a gig or event you should always check the following: Bands should be aided in appearing on-stage on time, and equally aided in coming off-stage on time. This is especially important if you're promoting several performances in the one evening. Ensure that there is some degree of stage management which will help the event run on schedule and can anticipate the needs of the performers and technical crew with whatever facilities they need and with good communications between technicians, performers, front of house staff and, of course, yourself. The stage manager is crucial in keeping performance times on schedule, or at least keeping any lee-way under control. Double check that the sound quality is good and that there are no technical problems unresolved well before the gig starts. Listen to feedback from your audience and performers and be prepared to listen to criticisms. OUTGOINGS Venue Costs Venue hire $ Staff costs $ Sound & lighting costs $ Production staff $ Security, door staff, box office $ other venue costs $ TOTAL .........................................$ __________ Promotional costs Administration & office costs $ Printing Posters & flyers $ Advertising $ Distribution of publicity & tickets $ Press kits & mail-outs $ Transport $ Performers' Fees $ Accommodation / catering / hospitality $ Merchandise costs $ Other $ TOTAL .........................................$ __________ INCOME Estimates: Ticket sales: (quantity)_____ @ $______ each = $______ Other income: (bar split) $ (merchandise sold) $ (raffle tickets etc) $ TOTAL .........................................$ __________ Estimated PROFIT/LOSS ...............$___________ Actual income: ticket sales (quantity)_____ @ $______ each = $______ Other income: (bar split) $ (merchandise sold) $ (raffle tickets etc) $ TOTAL .........................................$ __________ Actual PROFIT/LOSS .................... $___________ Here is a typical venue hire contract: CONTRACT HIRE 1. The period shall be from 4pm (get in) until 12 midnight Mon - Sat, 4pm - 11:30 pm Sun. Earlier access, curfew extension and late bar may be available, however extra charges may be made to cover staff overtime. Door - 7:30pm (earlier opening by arrangement) 9:00 pm for clubs / private parties 7:00pm on a Sunday Bar hours are as follows: Mon - Sat 7:30 - 2am Sunday 7:00 - 10:30pm 2. ********* is an over 18's only club, and we reserve the right of admission as adjudged by our management. However, we will make entry as smooth as possible and help the booker with any problems in this area. 3. The venue hire fee shall be: ___________ 4. Deposit of $ _______ must be made to secure confirmation of the booking. 5. Promoter's guest list for any booking is limited to 20 places unless by prior arrangement. 6. Cancellation charges are as follows: 6 weeks or more prior to the event $80 3 weeks to 6 weeks $100 3 weeks or less ******** reserve the right to charge the full commercial hire fee up to $1000 7. ********accepts no responsibility regarding illegal flyposting and will be obliged to give promoter's contact number if directly asked by local authorities if this occurs. No posters to be posted on the external doors and walls. 8. (a) Cash from advance ticket sales from the box office and door take will be paid to the hirer at the end of the hire period, minus the hire fee. In the event of advanced/door sales not covering the hire fee, the balance will be paid by the hirer in cash or check with bankers card on the night. (b) The hire shall receive all advanced complimentary (if applicable), and door/ticket stubs and a reconciliation of the cash/tickets at the end of the hire period. 9. Posters/flyers to be paid for on collection, mailout costs etc. payable in advance, both direct to the marketing department. 10. Any other costs, eg crew, will be charged on the night. 11. The hirer shall keep ******** informed of advance ticket sales - this is essential as it will affect staffing levels for the event. 12. The capacity of ********* main venue is 800 and ********upstairs venue is 330, both including guest list and complimentary tickets, and will be enforced to comply with legal requirements. 13. The hirer will agree to admit ******** "Gold Card" holders, these cards are issued to our Management Committee members, to our permanent staff and to ticket outlets. 14. Any extra PA/lighting requirements over and above the attached PA/lighting specifications will be the liability and responsibility of the hirer. 15. In line with legal requirements, 3% of the nett door receipts will be deducted from the total income for PRS. 16. In the event of ********* being closed in consequence of any public calamity, epidemic, public disorder, fire, act of God, or any circumstances arising beyond the control of the venue no claim will be made against the venue in respect of the terms of this contract. I have read and understood the above conditions of hire and agree to abide by them On behalf of _______________________ Signed ____________________ Date_________ On behalf of *******************: Signed ____________________ Date _________ written by Billy Tweedie ©2001