VIP News Premium - March 2020

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PREMIUM > VOLUME 232 > MARCH 2020

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VIP NEWS >

MARCH 2020

McGowan’s

Musings

Well – what is there to say? I think that

doors, then the next item informs that our

venues and promoters etc are not necessarily

considering the thoroughly confusing state

Foreign Secretary advises all UK citizens not

covered by their insurance.

of things, Bemusings is a more accurate

to travel anywhere in the world! For at least

description of the dreadful conditions in

the next month! I stare out of the window

We wait to see how governments throughout

which we find the live music industry and

and, as I have on a regular basis of late, I

the world proceed with offering assistance

ourselves. Excuse me if there’s little in the

think I must be imagining all of this. Or is

to an industry, which is facing disastrous

way of humorous observations in this edition

it all from an as yet to be published H.G.

economic effects resulting from cancellations

of the Musings and the News, though we’ll

Well’s novel? There is no precedent, nothing

and postponements. Please let us know how

see what we can come up with, and see

to compare, each day the global outbreak

you and your companies are faring. We are

where positive thinking takes us!

of COVID-19 brings more disastrous news

of course all aware that small and grass roots

as the virus spreads. Oh, and what’s that,

venues in particular are suffering, and need

As I write, the radio informs me that the

now Glastonbury joins all the other events

the sort of help that some governments are

Royal Albert Hall, the London venue that

that have been cancelled, or postponed, in

promising, but are still to put into action.

has operated for 150 years is closing its

the case of Glastonbury the land at Worthy Farm will lie fallow for another year.

The VIP team, and probably many of you were at the 32nd edition of the ILMC, which,

COLOPHON > VIP-News is published by: VIP-Booking.com Enghaven 19 Attrup 8444 Balle Denmark Managing Director: Ronni Didriksen rd@vip-booking.com General Manager: Peter Briggs pb@vip-booking.com Writer and editorial: Allan McGowan am@vip-booking.com Writer: Manfred Tari mt@vip-booking.com For advertising enquiries please contact: Peter Briggs pb@vip-booking.com +46 70 77 60 480 Charlie Presburg cp@vip-booking.com +44 (0) 7980 817496

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So, throughout the world, the live music

although 15% of delegates cancelled, went

industry, and other forms of entertainment,

ahead, happening just before the event

theatre, film, sport are brought to a halt, for

faced cancellation, like SXSW and other

an unspecified, but likely long term period.

events. Of course Covid 19 was a main topic

The Governments of different countries have

discussed at all areas of the Conference. We

gone about things in different ways, ranging

include an article on the Production session,

from the fully authoritarian demands for

which of course rearranged the topics to

venues to close, to the ‘advisory’ approach

look at how the business was to consider the

(so far) of the UK Government.

frightening effects of the Pandemic.

Various industry organisations, such as

The live music industry has always been

UK Music, PRS, PSA, AIM and the Music

resilient and will continue to be so during

Venues Trust, in the UK, and Live DMA

this unprecedented crisis. All the business

which represents a number of venues

associations and organisations are working

throughout Europe, have made approaches

together wherever and however possible to

and demands to governments, appealing

protect the interests and the livelihoods of

for support and financial assistance for

musicians, promoters, venue operators etc.

venues and businesses badly affected by

Live music is still available as artists come

close downs resulting from the effects of

together to stage on-line gigs and concerts.

the virus.

We hope that you’re all as well as you can possibly be, and of course we are thinking as

In the UK, the fact that British prime minister

positively as we can that things will improve.

Boris Johnson has advised, rather than

In the meantime Ladies and Gentlemen –

ordered, the closure of venues, means that

from a locked down Brighton, The News…

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MARCH 2020

Festivals stand united across Europe From VIP-Daily News

FESTIVALS STAND UNITED ACROSS EUROPE

Many of the major European festivals have joined forces under the

to ensure the best and safest environment for the festival community.

#FestivalsStandUnited name.

We share experiences and knowledge with each other. We stand united.

The Festivals have sent out an statement to the festival-goers and the industry itself.

Viewed in the light of these facts and with the knowledge that we have, we shall continue monitoring the current global health situation

In a very short space of time, the spread of Coronavirus/COVID-19 has put the whole world in an The statement reads: the following weeks, and together will communicate extraordinary and worrisome situation. A situation throughout that we handle best by not doing whatwe would otherwise seem like the most human thing to do when worlddecisions is against us matter.

– getting together. about the any further in this Nevertheless, we all expect Instead, we must now keep our distance to each other.

We must take care of our community In a very short space of time, the spread of Coronavirus/COVID-19 to carry through our festivals this summer. We will stand united to by not being together. has put the whole world in an extraordinary and worrisome situation.

make it a safe and sound experience for our participants and the

A situation As thatfestivals we handle by not doing what would means otherwiseto people. outside We world. about taking responsibility for the events– and it’s webest know what community areIt’sbehind events that, if anything,

aremost a celebration and togetherness.

Every we stand face to with the seem like the human thingof to life do when the world is against us summer, about taking responsibility forface the industry we’re part of. difference that the community does for the individual and for all people.

And we see the importance of music, art and culture in this context.

– getting together.

It’s an industry in which we, as major festivals, are the final part of a

Instead, weAs must now keep our distance eachthe other.

We must take food where the smaller players – the artists, the venues, sound festival organisers wetotake current situation verychain seriously. care of our community by not being together.

and light production and many more – are already suffering from the

We are monitoring the situation closely, and we are all, as always, cooperating closely with the As festivals we know what community means to people. We are behind serious situation we are in. They suffer so much that they may not be authorities and the emergency services to ensure the best and safest environment for the festival events that,community. if anything, are a celebration of life and togetherness. recover if theyWe are stand not given the opportunity to be a part of We share experiences and knowledgeable withtoeach other. united.

Every summer, we stand face to face with the difference that the

festivals like ours. in the light of and with the knowledge that we have, we shall continue communityViewed does for the individual andthese for all facts people.

monitoring the current global health situation throughout the following weeks, and together we By carrying through our festivals this summer, we can be a crucial part will communicate about any further decisions in this matter. Nevertheless, we all expect to carry And we seethrough the importance of music, art and culture in this context. of the to survival of itthis industry. our festivals this summer. We will stand united make a safe and sound experience for our participants and the outside world.

It’s about taking responsibility for the events As festival organisers we take the current situation very seriously.

– and it’s taking responsibility forasthe industry of.community, the music, the art and the culture to We are monitoring theabout situation closely, and we are all, always, Wewe’re owe itpart to the cooperating closely with the authorities and the emergency services

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assume responsibility together!

It’s an industry in which we, as major festivals, are the final part of a food chain where the smaller players – the artists, the venues, sound and light production and many more – are already suffering from the serious situation we are in. They suffer so much that they may not be able to recover if they are not given the opportunity to be a part of festivals like ours.

VIP NEWS >

MARCH 2020

LiveKomm calls for solidarity From VIP-Daily News

German venue organisation LiveKomm (LiveMusikKommission) founded a Corona crisis team on March 13 to support and save the German club and festival landscape.

The small and medium-sized cultural enterprises want to help themselves up to possible measures by the federal and state governments.

Club operators and network players from Hamburg, Berlin, Bremen, Bavaria, Brandenburg, North Rhine-Westphalia, Hesse, Saxony, Baden-Württemberg and Lower Saxony are currently involved in

with the Clubcommission Berlin and ClubKombinat Hamburg, is

the crisis team. Together, the first recommendations for action were

also developing a campaign that, in addition to supporting the club

sent to the almost 600 members to prevent club insolvency.

culture, also calls for solidarity across society. Eight percent of the donations are to be distributed to charitable causes. There are also

On the other hand, the crisis team initiated a flash survey in which

numerous solidarity actions by the clubs or by supporters.

more than 250 club operators took part within two days. “The results give a first impression of the effects of the crisis on the club

“The newly established crisis management team will have to deal

area,” says Hamburg. “Already last week, before the nationwide

with the rescue measures over the next few weeks, if not months,”

closings, the predicted damage was over 1.7 million euros.” An

says Axel Ballreich Chairman of Livekomm. “The published

update of the survey is planned for the next few weeks.

recommendations for action are a first step to point out the danger and prevent possible bankruptcy. We would also like to call on the

Numerous club networks nationwide are currently starting donation

public to support the current rescue measures of the networks and

and crowdfunding campaigns to collect short-term resources for

to refrain from reimbursement, especially for tickets from small club

the endangered music venues. The LiveKomm crisis team, together

shows that are now not taking place.”

Axel Ballreich

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VIP NEWS >

MARCH 2020

ILMC 32 - The Game of Live (and beyond) Unlike SXSW, ILMC 2020 went ahead. Unusually the editor of this article did not attend ILMC, potentially worrying about hanging around with the international live music community for some two weeks in London’s Royal Garden Hotel in case of an unexpected lock down as to be seen on various cruise ships these days.

However, the 32nd edition of this event as usual deserves coverage. It marks the beginning of a new era and an opportunity to at least catch up with a bit of the moment was to at least have Greg Parmley answer a few questions about ILMC 32 and beyond. But in a time of total business misery at least Parmley generated a little of bit of optimism, touching on terms of artist fees and how the Corona crisis may change the live music business.: Manfred Tari

VIP News asked the ILMC chief what were

Parmley: The situation is still developing

you expect this crisis will affect ticket

his conclusions regarding ILMC 2020?

and extremely fluid. No one in the business

sales and prices in the near future?

could have seen this coming, and we’re all Greg Parmley: It was a good edition. There

on the back foot right now. Fortunately, this

Parmley: Until a month ago you could buy

were a few members who couldn’t attend

business is populated by entrepreneurial

a ticket for almost any show you wanted

due to what was then an emerging issue

problem solvers and individuals used to crisis

to see and go to it. Now, many nations

with the Coronavirus, but for the 1,000

solving. So if any sector will bounce back

are locked down, and that community and

delegates who made it, it was a very unique

fastest, it’s this one.

physicality that comes with live shows is not

vibe... it really felt that the industry had

possible. I think this period of isolation will

pulled together united by a common cause.

VIP News: The Corona crisis will change

end with more demand than ever, and a

It’s crazy to look back at the photos just two

the industry. The social frictions are yet

greater appreciation of how special shows

weeks after and see how much fun and

hard to predict, but it seems more than

and festivals are. But that may well be

closeness there is - it’s so recent but feels like

likely that the social gap will rather be

tempered with a slower economic outlook

a completely different time.

widening than getting smaller. How do

over the coming months as we recover from this period.

VIP News: Some panel speakers and commentators from the floor were of

Greg Parmley

VIP News: Artist fees agreed upon

course disturbed by the threat of Covid

before the ban of public events reflected

19. Like certain comments and postings

the previous overall good situation for

by some industry players on social media

live music events. Would you say that

outlets it seemed as though the economic

the heydays of high fees are gone for

consequences were more relevant for

the time being?

some than the well being of society

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and citizens. Do you get the impression

Parmley: I don’t think so, as it will depend

that in consideration of recent news the

on demand, and I believe there will always

situation in countries such as Italy, among

be demand for great artists. What’s more

others, may have changed?

interesting to me is how the business model

VIP NEWS >

MARCH 2020

will adapt in this period, and what new

ILMC Panel

ideas of products might be adopted long term. We’re already seeing a huge rise in the number of live streams as artists find new ways to stay connected with their audience.

That technology is not new, but it adds a whole new layer of potential income to certain shows. Rather than see this period as the business being closed, the bright sparks out there will be using the time to identify new business opportunities. I want to hear from those folks!

VIP News: The number of shows of being rescheduled these days is huge.

companies and touts will land up having

about our roles in our local communities?

But how should this work out when

to convert large amounts of tickets

Are we citizens that are playing a part, or

in Autumn 2020 or even next year the

bought previously into toilet paper?

will we simply hibernate for a bit and rely

number of shows and tours will be much higher than usual?

on others? This virus is a reality check for Parmley: Obviously we’re not in an ideal spot

the business. Maybe some of the things

right now, but a lot might come out of this.

that seemed so desperately important

Do you agree that perhaps the only

How will this change our understanding

before won’t be anymore. Perhaps we’ll

positive aspect arising from the Corona

of how teams work, or how offices are

all be a little nicer and a little more human

crisis

organised? What will this period teach us

when this is over.

is

that

secondary

ticketing

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VIP NEWS >

MARCH 2020

A Message from Italy Allan McGowan am@vip-booking.com

Our friend and doyen of Italian promoters Claudio Trotta sent us

All people working at the food shops here in Milano wear a mask all

a message to pass on to all of you VIP readers and others all over

the time.

the world.

Then we have a national protocol if we have symptoms like high Claudio writes:

fever, cough, cold: first of all we do not leave home for ANY REASON and isolate from the rest of the people with whom we are living.

A message to all our friends: please read and share it, as it is if you

Find a way to have shopping delivered at home; call the Doctor that

so wish…

we have with our public healthcare system and/or a specific number that the authorities have assigned for just this case. We have been

We are just telling you what’s going on here in Italy; we are proud

informed not to go to hospital emergency room otherwise we risk

that the Italian Government and local authorities all over the Italian

infecting other people. But these are instructions for Italy as they

Regions have chosen, maybe with some initial mistakes but now

made protocol to follow the people at home with symptoms, in order

working together firmly to try to save the lives of our old people.

to check the developmont of the disease.

Those that are suffering most from this disease Over here before the lockdown of the whole country they locked We feel that we want to make you aware of how our safety and

down a small city council very close to Milan called Codogno for 2

health system is operating and what we are being told and prescribed

weeks as they picked up the first spread of the virus - now they don’t

by our government and civil protection:

have any more new cases - no new person is infected, as it happened in China after 2 months of lock down; so this indicates that isolation

- To be isolated as much as you can - do not exit from home except

can work to stop the spread

for emergency health issues and to shop or if you must work outside with no possibility of remote working.

The main difference from any other flu is that this virus has a severe

- While you are shopping or working, keep a distance from anyone

effect on the lungs, and in quite a high percentage results in people

else of at least 1 meter.

being taken to intensive care units for many days - the average is

- Wash your hands frequently during the day and always when you

around 10 days - even if the disease is not so strong in your body

return from shopping or working wash your hands immediately and

it could be necessary to need oxygen support for many days with

use the gel disinfectant (use it also while you are moving around

consequent hospitalization.

shopping or working).

- Do not touch your face, your eyes, your mouth, and your nose.

No country in the world required so many intensive care units leading

- If you are immunosuppressed while you are out doing shopping /

to having so many patients causing all the systems of the hospital to

working you can use medical mask.

crash. That’s the reason why we locked down. To protect our health care system, to protect the other patient at the hospital, to protect the doctors and the nurses and to stop the spread, as, for now, it seems the only solution.

We unfortunately don’t know the “truth” we are not Doctors - we know nothing but we know that in Codogno near Milano after 2 weeks of isolation they don’t have any new cases of infection... and this is real and important!

Please keep in touch and please pay attention.

Claudio Trotta

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Ciao Ciao I vostri amici Italiani

VIP NEWS > INDEPTH STORY >

MARCH 2020

“Don’t Stop Me Now!” The Consequences of Show Cancellations Allan McGowan am@vip-booking.com

Carl Martin has been involved in design, build and, most importantly, the operation of arenas, stadia and various other types of events since joining the SEC complex, in Glasgow, in 1984.

Then followed involvement in numerous venues in the UK, Ireland, France, Germany, Malaysia, Hungary, Croatia, Italy, Turkey, Denmark, Malta and Kuwait. He is presently involved with a couple of new projects in Romania and the UK. He has also been sometimes employed as site coordinator for various artists’ tours, such as Sir Paul McCartney, Roger Waters, George Michael, the Ultra Europe Festival, Madonna and others.

In 2017, with a local promoter, he oversaw the start of and now organises the Event Production Forum East (EPFE), now going into its fourth year, in Budapest, Hungary.

Alongside all of these activities, he has for the past thirteen years, with several others, organised and driven the ILMC

Carl Martin

Carl writes:

Production Meeting (IPM).

come from the production and touring

He was chosen because of his knowledge

management side of the industry, along

and industry experience. He was joined by

Little did anyone know the consequences

with others from venues, promoters, sound

Martin Goebbels, Miller Insurance Services

that would be visited upon us when this

and light suppliers, food and beverage

(UK), who only agreed to sit as a panellist if

panel was decided upon, as part of the

companies, staging services and a myriad of

it was agreed it would be a ‘not insurance’

IPM’s schedule, at the back end of last year.

other disciplines.

discussion, Tim Worton from ASM Global

The ILMC Production Meeting is held, and

(Australia) and, finally, Benjamin Hetzer from

has been for the past thirteen years, the

The programme consists of four main

FKP Scorpio (Germany), who was an early

day before the ILMC (International Live

panels, with chairs and expert panellists

victim of the coronavirus and could only

Music Conference) begins, in the first week

from throughout the world, each subject

join on Skype, his company having stopped

of March.

very relevant to the industry.

international travel.

Typically delegates, this year from over

The last panel of the day was chaired by Okan

Given the interest in this subject not only

twenty five countries throughout the world,

Tombulca of EPS Holding, GMBH (Germany).

were IPM delegates in the audience, but

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VIP NEWS > INDEPTH STORY > ILMC delegates were also invited. This increased the number of agents, promoters,

MARCH 2020

Martin Goebbels

production and tour personnel. A welcome increase of interested persons.

The initial theme of this panel centred on how the various international problems that arise are dealt with. The arrival of the coronavirus put a different light on the panel but Okan suggested dealing with the more frequent problems then to move onto the virus.

Tim Worton spoke first and catalogued the

this point deliberately, telling the audience

Martin Goebbels made the point early on

issues that have arisen in the Australasian

(1) there are not enough surveyors to go

that, since the 1st February this year, no

region and in the Far East. Artist illness is

around each event, as some call for, and

British Insurance Company had covered

a perennial problem in his region; no real

(2) it is not their job to be there to check

‘communicable diseases’ (i.e. coronavirus)

explanation can be given for this. More

things. Something else that is constantly

in any policy and he said that probably

devastatingly, as we are all aware, bush fires

agreed upon at IPM sessions. A statement

applied throughout the world. If bands

have been the most prominent problem

that needs to be listened to!

were not covered with cancellation policies

this year for Tim and his people, not only

implemented before this date they would

the fire and destruction but also the smoke

There were stories from the floor about

generated, which have far reaching effects.

collapsing stages, over zealous local authority

He was effusive in his praise for the fire

inspectors in Eastern Europe, of all places, plus

We heard that in Portugal, even at the end

fighters and the amazing job they do.

the opposite all over the place and customs

of February, there were doctors at events

Ironically, the fires were mainly extinguished

delays throughout the developing world.

and hospitals on alert. A tour accountant

by torrential rainstorms, which in their wake

not get cover.

told us of cancellations throughout Italy,

produced major floods. Not really a good

There was one interesting story about an

Switzerland,

time recently.

arena gig in Portugal, which had had a

his comments. Agents said they were

France,

others

reiterated

young audience queuing for days before.

working from day to day; people from

Benjamin Hetzer echoed Tim’s words in

Unfortunately, the band’s singer was killed

logistics companies were basically saying

relation to storms, which have affected

in a road traffic accident shortly before the

they did not know what would happen

many European festivals this year, as

gig. Rather than announce it on the social

next. Interestingly, when Okan asked the

have the Artists illnesses. Conversely, hot

media the band decided the audience

room who had plans for this event there

weather has caused havoc at some festivals.

should be brought into the arena and they

was only one response; Lisa Ryan from

A delegate from the floor, who was involved

would tell them personally, which they did.

EFM Global Logistics, put her hand up

with the Boardmaster festival, praised the

A sad occasion but there was one happy

and outlined her company’s observations

actions of the promoters in cancelling the

man, the merchandiser!

and decisions. There were a lot of worried

festival several days in advance due to a

folk in the room but it was agreed that

forecast for a major storm, thus averting a

Moving onto the subject on most people’s

the ‘Infodemic’ generated by the media

possible disaster.

minds, coronavirus, Okan invited comments

doesn’t help.

and advice from the panellists and the floor.

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Fortunately, this event was insured and

Tim Worton told us that there has obviously

The last comment from the floor was made

costs were covered, but Martin Goebbels

been a massive effect in Australia and the

by Renatas Nacajus, from ISEG, Lithuania,

made the point, not for the first time at

rest of the region; artists are cancelling,

who reminded the floor that this was their

IPM that insurance needs to be sorted out

a statement echoed around the floor by

job, they have to find a way to live with this

before the actual event, not just before or

promoters and agents around the world,

problem and to carry on doing what they are

even during. He emphasised that generally

ticket sales are being delayed and affected.

good at, producing good live music.

claims are covered on the evidence and

There is now a regime of hospital grade

words provided by the promoters. He made

cleaning throughout venues in the region.

This received a very positive reaction...

VIP NEWS >

MARCH 2020

World Touring Exhibitions Allan McGowan am@vip-booking.com Corrado Canonici is CEO of World Touring Exhibitions, a branch of

situation. It was a shame this year that, although I registered, due to

World Concert Artists Ltd, a London-based producer and provider

the coronavirus I decided not to attend the ILMC. I did miss it, Skype

with over 18 years experience in the international entertainment

meetings are not the same!

business. VIP News asked him about the Company’s business.

VIP News: You present a wide range of events, how do you source these and how did you first get involved in the world of exhibitions. What were the first shows you worked with and how did you manage to deal with the variety that you are now involved with?

Corrado: Our beginnings were mainly as managers and agents of ’70s artists and crossover musicians, so our first involvement was by chance: we were asked to help with a dinosaur’s exhibition and found that it worked well for us. From then on, we initially collaborated with more exhibitions to widen our offer. Meanwhile we were also widening our client list, having found that exhibitions are of interest to a pretty variegated range of institutions; literally from national museums to music promoters. We eventually managed to develop a pretty vast, different and effective list of client contacts as well as a strong roster. We also understood by then what was selling and what wasn’t, so we made an investment and started producing our own exhibitions “with a taste for popular”; our own products seem in fact to be the best-selling ones from our roster, which obviously pleases us.

VIP News: How international is your business? Which of your presentations are your leading features?

Corrado Canonici

Corrado: Our exhibitions have toured in territories including UAE, Germany, Italy, Cyprus, Ukraine, UK, Bulgaria, Romania, Bahrain,

VIP News: You often attend the ILMC, although not this year,

Russia, USA, and Spain. The current best sellers are Travelling Bricks

along with other normally regular attendees. Professionals

(made of LEGO® bricks), Interactive Science, 3D Doubt Your Eyes

who do business in the live music industry of course mainly

– all three have interaction at their heart. Space Adventure (NASA-

attend the Conference. However this event also attracts

backed) exceptionally popular too, we’d love to bring it to the UK.

operators like yourself who present major shows that are

Animatronics are still doing very well.

not specifically concerned with live music. How would you describe what you have to offer to international promoters

VIP News: Is there anything in particular that you’d like to tell

and venues?

us about your future plans?

Corrado Canonici: I took part in the ILMC for over 15 years, first as

Corrado: We are working on a very exciting collaboration with a

a music booking agent, then step by step our company went into

UK venue (stay tuned for more!) to start in September 2020; our

exhibitions. We found music promoters to be quite interested in what

exhibitions will be hosted there on a regular basis. A Ukrainian tour

we do, so we continued to attend the ILMC. What we offer is: a

for Monsters Of The Sea, Space Adventure in Greece, and more

civilised way of working (exhibitions do not threaten “not to sing

gigs in the Middle East. Our new exciting digital exhibition is now

tonight”…), edutainment products that are family-oriented hence for

under production. Basically, I need a holiday (although I’m afraid the

a broader audience, and a lower risk level than concerts. Win-win

coronavirus will give all of us that holiday soon!).

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Clementine Bunel, Paradigm Talent Agency

STICHTING EUROSONIC NOORDERSLAG

VIP NEWS >

MARCH 2020

Observations by a Middleman Manfred Tari mt@vip-booking.com

The term “Cutting out the middleman” does not apply to Matthias Grischke and

VIP News: What kind of effects does the

Matthias Grischke

current crisis have on likely structures

his company. In fact the current situation

and modalities of insurances for live

is a worthwhile example of the need and

music events in the future?

relevance of the role provided by such Matthias Grischke: Regardless of the crisis,

people and companies.

which was unforeseeable by anyone, we Grischke is a lawyer and founded Novitas in

assume that the modalities for insurances

November 2002. The company is based in

will change in the future. This will also

Ahrensburg-Schleswig Holstein and has 15

depend crucially on which insurers “survive”

employees. Novitas operates as an insurance

the current scenario in the first place.

broker and is one of the leading agencies

From the insurers’ point of view, the event

in Germany specialising in risk insurance

industry is a “peripheral industry”. The

in the fields of entertainment, media and

coverage of special risks is also always a

sports. As an insurance agency Novitas is a

special case. Whether insurers will continue

well know brand in Germany and beyond

to cover this area in view of the current

as a leading company acting as a service

conditions on the German market may be

provider, enabling agencies, artists and

million Germans in 2017. A global disease

problematic, but at the present time there

promoters to get insurance coverage for

like the Coronavirus with the corresponding

is no way of knowing.

their business activities.

consequences

did

not

appear

in

my

professional past, nor has it has even been

VIP News: What consequences do you

As probably agreed this type of business like

considered by those taking on insurances or

expect the Corona crisis will have in

other industries and businesses has on going

by insurance companies

terms of the live music industry?

companies such as Novitas as a mediator

In this respect, the corona crisis affects

Matthias Grischke: To be honest , I have no

between

needs and risks, explaining why it needs insurance

our daily activities in such a way that -

opinion on this. The vast majority of the

coverage and products provided by various

irrespective of the official orders - we receive

industry will fight for survival. However,

insurance companies.

a motley array of statements from insurance

I assume that concerts and live music

companies, which we only can only evaluate

events will continue to be held in the

With this in mind and when approaching

in an overall view in such a way that it will be

future, because the desire and enjoyment

Grischke for this interview, it instantly

difficult to find adequate insurance cover in

of concert events will be increased rather

became obvious why he and his team are

any case in the future.

than reduced on the part of concert goers.

those

looking

for

However, this presupposes that the current

extremely busy these days.

VIP News: What kind of questions does

“health aspects” have subsided and that the

VIP News: How does the Corona crisis

the assured ones have, what are the

enjoyment of events can grow again.

affect your daily business?

answers by the insurance companies?

For further information please check:

Matthias Grischke: The corona crisis is not

Matthias

only a crisis, it is a disaster for the industry

basically in line with the corresponding civil

Grischke:

Insurance

cover

is

- and by this I don’t just mean the live music

law and other regulatory provisions. As no

industry , but also the insurance industry.

reliable statements can be made for the

Circumstances have arisen that neither

future, especially regarding to the periods

policyholders nor insurers have even thought

of event restrictions and the type and scope

about before. In the past, there were local

of the event, the answers of the insurance

circumstances, such as Sars or Ebola, or even

companies are as varied as the questions by

a huge wave of influenza, which infected ten

the assured ones.

www.novitas-hamburg.de

13

VIP NEWS >

MARCH 2020

The Chinese Way of Live Manfred Tari mt@vip-booking.com

Eric de Fontenay has been based in Beijing

as Modern Sky’s Stay at Home Strawberry

an rare example of a city which had prioritized

since 2010, having moved his company,

concert series, these were primarily pre-taped

and supported the music sector, and Beijing

Music Dish, founded in 1997, from New York

footage from prior concerts and festivals.

had recently announced plans to support the sector with a view to make the city an

to China. He operates as a booking agent, manager, media publisher and consultant. A

VIP News: Is there any news available as

‘international music capital’ by 2025. But I

typical mix of entrepreneurial activities in a

to when concerts and events are likely to

fear that much of this may be overshadowed

business likes the music sector that requires

start up in China again?

by the hit the economy has taken across the board in the first quarter of 2020 due to

flexibility when working independently.

De Fontenay: No news at all. Some venues

Covid-19. The music sector is just not that

In terms of the Corona pandemic China

have been allowed to open in certain cities,

important to the government in the larger

is

restrictions

but these have been for DJ-club format and

scheme of things when the economy is likely

implemented by the Chinese regime include

not live shows. Even when live shows are

to declare its first round of negative growth

self isolation, the banning of public events

eventually permitted, capacity is likely to

since the 70s.

and major restraints in public life in general,

be severely restricted. Optimistically, we’re

now also appear in most other parts of the

hoping for the summer, though most Feb-

VIP News: As a promoter you also put on

world. But China may also be the first country

March tours were rescheduled for the fall.

shows in China. Have you discovered any

ahead.

Governmental

differences between the set up of the

to see the reappearance of live music.

VIP News: Most European governments

live music sector in Europe compared to

However, Eric de Fontenay maintains an

are currently considering the launch of

that in China?

outlook that requires him and those in the

support programmes providing financial

live music business to ask themselves what

aid to keep businesses alive. Some of

De Fontenay : I think the appropriate question

the near future means for their business.

these measures are to be dedicated

is whether there are any similarities. China is

to the cultural and music sector. Have

a case on its own for a variety of reasons:

VIP News: What is the current situation

similar measures already been installed

government regulations and its varying

for artists in China in terms of concerts

in China, too?

application across the country; the fact that

and festivals

both the regulations and their enforcement De Fontenay :Europe is very different because

shifts a lot over time, often unexpectedly;

Eric de Fontenay: Since the lockdown of

there are already existing structures to

China’s very different digital eco-system; tour

Wuhan in late January, there have been no

support the cultural and music sectors, often

planning and logistics;... I could write a book

public events or gatherings. While several

at the local, regional and national level. This is

on this subject.

actors quickly turned to webcasting such

practically non-existent in China. Chengdu is VIP News: Is there a difference between

Eric de Fontenay

Chinese and European music fans?

De Fontenay : So this is a completely subjective opinion of course, but I find Chinese fans to be more enthusiastic and open to new music and experiences. Many factors could account for this, including the relative youth of the live music sector (only 30+ years old); there are not nearly as many international bands playing China, whether festivals or tours; being relatively disconnected from the global digital conversation because of the blocking of Western social media in China; etc. I should note that this is not just

14

VIP NEWS >

MARCH 2020

my opinion, but is expressed by nearly every

and will contact restaurants in advance on

streaming can be an important complement

band I’ve toured in China.

the route to make sure there are no surprises.

to a live concert, but it can be no substitute.

VIP News: What is your advice in terms

VIP News: Currently the streaming of

VIP

of catering preferences for Western

concerts and events is the only option

installing more hand washbasins in clubs,

artists when hopefully, rather sooner

to enjoy live music. Is this a worthwhile

venues and on festivals sites in order to

than later, playing shows and concerts

substitute able to replace the live music

help bring live music back on track?

in China again?

experience?

News:

Would

you

recommend

De Fontenay: Those venues that have been De Fontenay : As a general rule, I want my

De Fontenay: Absolutely not. I think any sports

allowed to reopen have tried to do everything

artists to feel the true Chinese experience

fan would understand what I mean. Live

to

from the get-go, and it being China, food is

events are not just about watching, it’s about

availability of hand sanitizer, daily disinfecting

front-on-the-list. Of course, we consult with

sharing the experience as a community. And

of the venue, availability of disposable

them well before the tour and generally,

from my perspective, some of the best and

glasses, regular health check of employees...

they have all been open to trusting their tour

most memorable shows are in smaller venues

But I think it will take time before things get

manager and trying local foods. Actually,

where I am very close to the performer. Having

back to normal. As restrictions are slowly

where I’ve been the TM, I’ve made it a point

said that, we actually launched a new video

relaxed here in China, what I’ve noticed is

to introduce them to each local delicacy. The

series during the height of the Covid-19 virus

people opting to go outside and avoid indoor

greater difficulty has been for artists that

in China on our official Wechat subscription

gatherings. People who lived through SARS

require a gluten-free or vegan option as these

channel called LivExp, which stands for “live

in Beijing have told me that it took over a

are not readily available in China outside of 1st

experience”, because we believe that music

year for the live scene to return to what it

tier cities like Beijing, Shanghai & Shenzhen.

was meant to be experienced, not just

had been before. As promoters, we just have

Basically, we make a list of common Chinese

listened too on streaming services. But as the

to face that fact head-on and early, and not

dishes that conform to their requirements

owner of Beijing livehouse DDC explained,

paint feel-good rosy pictures.

reassure

their

potential

audience:

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AZ_in_stutt_VIP_2020_RZ.indd 1

info@in.stuttgart.de www.in.stuttgart.de

17.12.19 19:46

15

VIP NEWS >

MARCH 2020

DEAG reports a successful 2019 From VIP-Daily News

Two further acquisitions originally planned for the fourth quarter of 2019 were postponed until 2020 due to the Brexit issue which was not resolved at that time.

Q4 was still strong for DEAG, though. The group generated sales of €62.1 million, a 31% rise compared to the same period of 2018.

Deutsche Entertainment AG (DEAG) has reported a successful 2019, despite a drop in revenue and profit.

Q4 revenues thus accounted for 34% of total sales in the financial year 2019. EBITDA for the period was €6.2 million, compared to €4.2

For financial year 2019 as a whole, DEAG’s Group sales amounted

million in the previous year.

to some €199 million before consolidation and €185.2 million after consolidation.

For the current financial year 2020, DEAG had originally aimed for double-digit growth in sales and EBITDA. Due to the Coronavirus

As DEAG informs in its earnings report, “this almost completely

scare, however, it is currently impossible to provide a detailed outlook

compensated for the loss of sales from the deconsolidation of

for the current year for the reporting date.

Raymond Gubbay Ltd. and the significantly reduced number of Ed Sheeran concerts that were held.”

As DEAG informs, “any cancellations of current events and those in advance sales due to force majeure are fully covered by insurance

2019 group revenues declined by about 7% compared to 2018,

(including Covid-19) with one of the largest insurance groups

when DEAG turned over €213 million before, and €200.2 million

worldwide.

after consolidation.

“The first events that have incurred losses have already been assessed EBITDA for the full year 2019 amounted to €14.1 million, including

and paid for. For reasons of damage minimisation and in order to take

expenses of around €0.5 million incurred for the preparation and

fan interest into account, DEAG is in intensive contact with the artists

execution of aforementioned acquisitions.

and partners regarding postponement of the events.

DEAG has been on an acquisition spree last year, acquiring a total of

“Currently, more than 600 events have already been almost completely

five businesses between June and December. Those acquisitions have

rescheduled to the coming quarters. Accordingly, a change in the

only been included in the 2019 sales on a pro rata basis.

timing of sales and results is possible in the current financial year.”

Ed Sheeran

16

VIP NEWS >

NAMES & JOBS

MARCH 2020

DEAG appoints Chief Ticketing Officer

Matthias Behrer appointed CEO of Live Nation Sweden

From VIP-Daily News

From VIP-Daily News

Moritz Schwenkow has been appointed chief ticketing officer at

Mattias Behrer has been hired as the new CEO of Live Nation Sweden,

MyTicket owner Deutsche Entertainment AG (DEAG).

effective August 10. He will report to John Reid, President Live Nation Europe-Concerts.

Schwenkow will be responsible for DEAG’s entire ticketing business in the future and will develop synergies between the ticketing platforms

Behrer was previously CEO of media and marketing agency Dentsu

myticket.de, myticket.at, myticket.co.uk and the UK ticketing

Aegis. Prior to that, he spent 10 years at Viacom in several positions

platform Gigantic.com, which was acquired in December 2019.

including Global Marketing Manager for MTV and SVP for Viacom’s youth division in 1 countries across Europe. He is also the author

As CTO, he is also responsible for the expansion into further

of two best-selling business books; Event Marketing and How Cool

European countries and, in the long term, also for the consolidation

Brands Stay Hot.

of all ticketing activities.

John Reid, President Live Nation Europe-Concerts, said: “It is Schwenkow, son of DEAG CEO Peter, moves into his new role on 1 April

very gratifying to welcome Mattias to the team. With his broad

2020, following more than 15 years working in live entertainment. He

background as a business leader and with expertise in marketing

is also appointed a member of DEAG’s executive board.

to young target groups, there is no doubt that he will be a strong contribution to Live Nation Sweden.”

Schwenkow said: “I am very much looking forward to working together with my colleagues on the Board. The DEAG Group is

Mattias Behrer added: “I am very happy and humbled, for the task

already excellently positioned internationally in the area of ticketing

of leading Live Nation Sweden’s fantastic team and continuing to

through MyTicket and Gigantic.

develop the experience for fans and partners – before, during and after events. The live music industry is an extremely exciting area

On this strong basis and as a result of increasing digitalisation, we

with great potential and a very interesting business model that

want to continue to grow, provide impulses for other business areas

brings together fans, artists and brands and creates experiences to

and further expand our earnings power in the years to come.”

remember for life.”

Moritz Schwenkow

Thomas Johansson, Chairman Nordic’s Live Nation, added: “We are very much looking forward to welcoming Mattias aboard. His future at Live Nation is bright and he will have an amazing team behind him.”

Mattias Behrer

17

VIP NEWS > BUSINESS >

MUSIC IN SHARES

MARCH 2020

Music In Shares Manfred Tari mt@vip-booking.com

Those figures reported in the February issue of VIP News have a

CTS Eventim - Annual

Meeting Postponed

historic dimension. The same goes for the results as archived in the business year 2019. In February 2020 the share prices of Live Nation

Previously scheduled for May 12, CTS Eventim announced tre-

and CTS Eventim peaked. The same goes for March 2020, but this

scheduling the event. A new date isn’t fixed yet but will be announced

time brutally downwards.

later on.

Totally unexpectedly, the live music business has been confronted with

In reference to the annual performance, this is down ‘only’ 26 per

the grim reality that their ever-growing business model has collapsed

cent. The recent archived annual low has been 25.54, on March 25

within just a few weeks. The near future is uncertain and will remain

the share price recovered up to 37.38 Euro....

so for the time being. It doesn’t need a crystal ball to realise that record results as gained in the business year 2019 certainly won’t be

DEAG - Going with the Flow

easily and quickly regained.

Even if the share price of DEAG is much lower in comparison to the The worldwide economic frictions are massive, causing disastrous

biggies, in terms of the ups and downs in these days it is in line

effects, among others, indicating that the social impact of the Corona

with those. However, the annual markdown is only 20 per cent, the

pandemic still can’t be evaluated yet. The current crisis is additionally

ultimate low at 3.00, meanwhile up to 3.62 Euro...

accompanied by a traumatic shock for social life. Even if most of the governments currently planning and working on the launch of

Eventbride - Minus-Leader

programmes and initiatives to provide financial aid for most parts of the economy, can at least be said to ensure that those will create a

Down 64 per cent is even a bit tougher than the price markdowns of

completely different, indeed a new normality.

the shares usually covered by VIP News .The recent lowest share price was $5.80, the previous highest $25, now it is $7.45...

The last few weeks have delivered an on going news flow mirroring how vulnerable the business model of live entertainment is whilst

Live Nation - Upside Down

simultaneously emphasizing the related risks. At least in the case of CTS Eventim analysts from Bankhaus Lampe and Berenberg Bank

The rating agencies Moody’s and S&P venture concerns regarding the

have voiced the assumptions, that the ban on public events will only

credit ratings of Live Nation. Nevertheless at least the share price of

temporarily affect the Company and expect a recovery in 2021.

the company has recovered a bit.

An optimistic scenario Indeed, that hopefully matches with reality. The

The ultimate low was down to $21.7 on March 18, , the highest

current situation in fact rather indicates a domino effect, shaking up the

at $76.60 just in February, the overall annual minus meanwhile is

entire value chain of this industry. Apropos ‘value chain’, perhaps the

41percent resulting from a share price of $42.99 on March 25.

only positive effect the Corona crisis may cause is the effects on Viagogo and like-minded Companies in the near future. Bearing in mind that just

Spotify - Less Affected

in November Viagogo purchased Stubhub from Ebay for $4 billion, the question of how deep the pockets of this company remain.

Streaming works it seems in the time of shut downs: Down only 14 per cent, currently at $129...

Meanwhile now that the Olympic Games have been postponed, it is more than likely that the festival season 2020 also won’t proceed

Tencent - Nevertheless Down

as normal. Taking such aspects into account, a markdown for the second and third quarter is more or less obvious.

18

One year ago on March 4 at $19.42, meanwhile down to $9.94...

VIP NEWS > MISC >

MARCH 2020

MEMBER PRESENTATION

This space is dedicated to present some of our clients using VIP-Booking.com. Companies presented here have our best endorsement...

ARTIST AVAILS BEAUTIFUL BADNESS Territory: Worldwide Period: 2020 - 2021 Agency: A.A. Productions SPRL Agent: Nicolas Gamin Phone: +32 479 528 066 E-mail: nicolas@next-step.be Homepage: www.next-step.be/artist/11-beautiful-badness

KAREN MÉNDEZ Territory: Worldwide Period: 3 years Agency: Be Real Agency Agent: Paul Fourmy Phone: +32 485 365 696 E-mail: paul@bereal.agency Homepage: www.realkeymusic.com

The Mercedes-Benz Arena The Mercedes-Benz Arena opened in September 2008 and holds a capacity of 17.000 people.

The arena is promoted by Anschutz Entertainment Group.

OUMAR KONATE Territory: worldwide Period: 2020 Agency: Clermont Music Agent: Chris Nolan Phone: +1 518 755 5089 E-mail: chrisanolan3@clermontmusic.com Homepage: www.clermontmusic.com/oumar-konate/

SAUDADE Territory: Worldwide Period: 2020-2021 Agency: A.A. Productions SPRL Agent: Nicolas Jaumain Phone: +32 479 528 066 E-mail: nicolas@next-step.be Homepage: www.next-step.be/artist/127-saudade

References include: Coldplay, Dolly Parton, Elton John, Iron Maiden, Kylie Minogue MAMADOU KELLY Territory: Worldwide Period: 2020 Agency: Clermont Music Agent: Chris Nolan Phone: +1 518 755 5089 E-mail: chrisanolan3@clermontmusic.com Homepage: www.clermontmusic.com/mamadou-kelly/

P!nk, Paul McCartney and many more...

THE GOLDEN YEARS OF MUSIC TOURS Territory: Worldwide Period: Generally available Agency: Cheyenne Productions Agent: Patrick rocher Phone: +1 928 852 0032 E-mail: cheyenprod@msn.com Homepage: www.thegoldenyearsofmusictours.com

About Our Company VIP-Booking’s core product is the largest­database­for the European Live Entertainment Industry www.vip-booking.com­developed as a tool for industry professionals­. Since it’s launch in the year 2000, we have consistently offered our subscribers the very best in database services and now boast subscribers­in over 50 countries.

MORE ARTIST AVAILS ON: WWW.VIP-BOOKING.COM POST YOUR ARTIST AVAILS ON: WWW.VIP-BOOKING.COM

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19

HOW TO USE

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Use VIP Analytics to lo cate where your artist has the most in terest:

VIP-Booking.com for Agents/Managers

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ues Use our Tour Builder to locate ven or agents within a given area:

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Find the Talent B uyer and relevant other contact s:

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