ECONOMICS - music business

[mzracing76]

What does it cost to create a cd/album,
1-write a song
2-write the music
3-produce the album (in studio)
4-create the official cd/booklet)
5-markup rate to stores and selling price

What does it cost to put on a concert/tour?
1-event center rent payment
2-set up costs/crew
3-promotions director
4-
5-

How much revenue (give or take) per area can be genereated from a concert, and whag is the economic impact.

(Just like felt like starting a new type of discussion - and one for fun)

[lefty12357]

Most of the items you have listed vary so much depending on circumstances and contractual arrangements that they are hard to answer. Check out this site for some ideas of what it costs to produce CDs. http://www.discmakers.com/

If I write all the songs, record all the parts myself in my own studio, I can produce an album for very little. On the other hand, if I hire top notch studio musicians, producers, writers, etc. and record everything in a world class studio, it can cost quite a bit to make an album. Either way, there is also the cost of promotion and distribution. I could self-publish MP3s on the internet, or I could have a contract with a big company like Sony, or anything in between. The more people involved, the more people who are going to take a cut of what I make.

As far as concerts go, again it depends on the size of the venue and a large number of variables. So I don't think there is a simple answer to your questions.

[mzracing76]

I live in sioux falls, sd. We trying to build an event center (12-15,000 seats) to attract bigger bands and/or artists. Are really bands who wont perform in old arenas that only hold 8,000 people?

What is the economic impact on a city in bringing in large concerts, we all agree on extra sales tax revenue, hotel taxes/fees, etc. Do bigger and better bands/singers really promote your city better?

[ALS]

Pittsburgh raised it's amusement tax from 5% to 10% and the city took a bath when bands and conventions refused to come into the city. That 5% Amusement tax is on top of the cost of the ticket. The city fathers were forced to drop it back to 5% when people balked at coming here. Now the beef with conventions is we don't have enough hotel rooms available.

A nice place to live and work, run by mostly total morons.

The real question should be can these bands attract enough fans to fill the seats in a 12,000-15,000 seat event center.

That 8,000 seat venue you have now, is it being sold out for most of the bands that are playing there?

[Taxi Driver Aaron]

How to start a record label: http://images.eonline.com/eol_images...ers.031209.jpg

How to record an album in a studio: http://www.ehow.com/how_5529594_reco...um-studio.html

How recording contracts work: http://entertainment.howstuffworks.c...-contract2.htm

How to be a rock star: http://www.wikihow.com/Become-a-Rockstar

How Missy Elliot became a pop star: http://www.nytimes.com/2003/11/30/ar...ted=all&src=pm

[mzracing76]

We dont get big names bands/singers here in sioux falls, cause supposedly our arena is too small. Over the years we have had - kenny rogers, garth brooks, miranda lambert (this month), and few others. Unless its a political ploy orr what, they we are unable to attract the Taylor Swift, Miley Cyrus, bep, and these big names cause of venue size. Sioux City, IA 80 miles south of has the Tyson Center (15,000) that gets them. Which raises another question, can two cities roughly the same population (SFS, 170K & SC, 80K) both support these two event centers so close together. Then we have Omaha another 2 hours south that has a 20,000 seat arena.

Sioux Falls is proposing paying for this new arena thru sale of bonds, 25% cash up front, 25% private funds, and naming rights/sponsors to pay for opereational costs. They say they can build this for 115 millon.

[C-4]

With two cities as close in proximity as Omaha and Sioux City to Sioux Falls, it is my personal belief that most bands of the more famous type, such as you named, would opt to go to the larger venues south of you.

Smaller bands may be more interested in hitting all three cities, as they will want all the business they can handle. The larger bands cost more to set up, and play, so they must make their time and effort as profitable as they can.

Here in Florida, the larger bands hit only the larger cities, such as Tampa, Miami-Ft. Lauderdale area venues, Jacksonville, and Orlando. We have nice venues in our smaller area towns and cities, but the bigger acts find it not profitable to go to all the effort to set up for a limited audience.

[mzracing76]

Actually, sioux falls is bigger than sioux city, which is stuck inbetween sfs and omaha. Although I favor a event center in sioux falls (economic reasons), I worry what will happen to the Sioux City, IA. Sioux Falls has taken already alot from sioux city (jobs, airline service, business).

That begs the question. Can both SF & SC work together and unite each other to become business partners, so to speak, and bring in more events for the betterment of the Sioux Empire?

When Iowa built a brand 100 million casino near the iowa-south dakota border, many sioux falls residents and politicians attacked iowa for trying to capture some of the South Dakota business and taking jobs away from SD. I say to that, who cares, jobs are jobs, and many iowan visit sioux falls and go shopping and entertainment which brings in more sales tax revenue. Whats wrong with a littke trade off?

If the sfs event center will hurt sc, then I to will vote no for that exact reason. To be great neighbor.

MZ