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Just done some sums on the likely turnover from the O2 shows...it's staggering. Prince's 21 night run at the O2 in London is a bold and audacious endeavour and I thoroughly enjoyed Friday 3rd's main show and I hope all who attend the remaining shows have as good a time as I did.
Pinch yourself right now...go on...this is happening right here and right now and those of us in the UK and nearby Europe have this wonderful opportunity available to us. Spare a thought for the millions of Prince fans around the world that cannot get to see the O2 shows... These shows will be talked and written about about for years to come and will become legendary. OK, so we enjoy the shows but just take a moment to do the sums:- 21 shows: Say 18000 each night paying £31.21 and 1000 VIP paying £235. I'll allow for 1000 non-paying corporate freebies or no shows. Fair enough? OK, on that assumption Prince will play to 399,000 paying seats. That's a gross turnover of £16.7 Million Oh, and don't forget 21 aftershows at 1700 say people a pop (over 35,000 people overall) grossing another £714,000 Then there's merchandise, OK hard to estimate but say a conservative estimate of 1 item at an average of £25 for 5% of each nights audience = another £498,000 Total turnover: £17.9 million Not bad for 6 weeks work eh? Oh and convert that to USD at today's exchange rate = $35.8 million Now do you see why he chose the UK with USD as weak as it is against the GBP he's doubling his turnover. Just up to the finance guys and lawyers to work out a way of shifting that cash back to the US without attracting taxes! Gazza [Edited 8/8/07 11:23am] [Edited 8/8/07 11:23am] [Edited 8/8/07 11:25am] [Edited 8/8/07 11:27am] | |
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Hmmmmm, interesting. He's not only one of the greatest performers ever, he is also a very shrewd businessman!!  [Edited 8/8/07 11:33am] | |
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The expenses will, of course, be huge too but he'll still make a nice profit. | |
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Is that his turnover though ?
What I mean is, not that I know much about these things, but I was under the impression that it is usually the promoter who gets the ticket returns, and the band/artist is paid a set fee for the concert regardless of ticket sales, or is Prince / 3121.com the promoter, and therefore getting all the ticket revenue? Lemmy, Bowie, Prince, Leonard. RIP. |
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I can't remember where I heard it, but someone said Prince is getting about 85% of the turnover. I think the band, dancers and general production costs are paid for from his cut, but it's still a hell of a lot. He hasn't got half as many promoters and corporate conglomerates taking percentages like most others do. | |
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AsylumUtopia said: Is that his turnover though ?
What I mean is, not that I know much about these things, but I was under the impression that it is usually the promoter who gets the ticket returns, and the band/artist is paid a set fee for the concert regardless of ticket sales, or is Prince / 3121.com the promoter, and therefore getting all the ticket revenue? I don't think Prince would agree those terms. I'm sure he has a crack team of sharks handing his finances and deals, bear in mind that the O2 is hugely in debt following it's aquisition and refurbishment and it's owners will be looking to bag high profile names in the first year to establish the venue as a premier slot on world tours as their business plan will be looking for longterm gain to repay the debts. Yes, these are gross turnover figures but he'll still be looking to net a healthy profit margin after all costs of say 30%..that's $10M..! If he didn't what's the point of this business venture? at least that's what his advisors will be saying! Gazza GB [Edited 8/8/07 11:50am] [Edited 8/8/07 11:51am] | |
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Haha, Wembley Stadium has been rebuilt, Wembley Arena had a complete refurbishment last year and the O2 is new. They'll all be fighting for the big acts.
Somehow I think O2 will win out over Wembley Arena. It's in a nicer area with better transport, closer to the centre of the city with far more things to do around the place, and the seating is much better laid out as a concert venue. [Edited 8/8/07 11:55am] | |
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I think you're miles out on your figures here unfortunately.
There will be max 200 VIP ticket holders each night. The maximum capacity of the O2 (20,000) will be for an end-stage general admission standing show - with Prince he's taking up more than half the entire standing area with his stage. I reckon the maximum capacity for each of these shows is about 14,000 no matter what any press reports may have said. And yes, the normal live performance arrangement is that the artist's management states a set amount which the artist will play for and then if the promoter agrees it is up to him to set the ticket price at a level at which he realistically believes he can a) cover that fee, b) cover his production and staff costs and c) make a profit. However, this is probably an unusual case, what with the set £31.21 price. Any promoter worth their salt would have rated the Prince experience at being worth easily twice that, although stretching it over 21 nights might have pushed it a bit these days. It was probably agreed upon between the parties. I imagine Prince had the notional idea of making it £31.21 per ticket and then they sat down with the promoter to see what that would equal out as an overall potential revenue and seen if that was feasible. Tell him u live on a lilypad with a horny toad | |
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GazzaBloom said: Prince's 21 night run at the O2 in London is a bold and audacious endeavour and I thoroughly enjoyed Friday 3rd's main show and I hope all who attend the remaining shows have as good a time as I did.
Pinch yourself right now...go on...this is happening right here and right now and those of us in the UK and nearby Europe have this wonderful opportunity available to us. Spare a thought for the millions of Prince fans around the world that cannot get to see the O2 shows... These shows will be talked and written about about for years to come and will become legendary. OK, so we enjoy the shows but just take a moment to do the sums:- 21 shows: Say 18000 each night paying £31.21 and 1000 VIP paying £235. I'll allow for 1000 non-paying corporate freebies or no shows. Fair enough? OK, on that assumption Prince will play to 399,000 paying seats. That's a gross turnover of £16.7 Million Oh, and don't forget 21 aftershows at 1700 say people a pop (over 35,000 people overall) grossing another £714,000 Then there's merchandise, OK hard to estimate but say a conservative estimate of 1 item at an average of £25 for 5% of each nights audience = another £498,000 Total turnover: £17.9 million Not bad for 6 weeks work eh? Oh and convert that to USD at today's exchange rate = $35.8 million Now do you see why he chose the UK with USD as weak as it is against the GBP he's doubling his turnover. Just up to the finance guys and lawyers to work out a way of shifting that cash back to the US without attracting taxes! Gazza [Edited 8/8/07 11:23am] [Edited 8/8/07 11:23am] [Edited 8/8/07 11:25am] [Edited 8/8/07 11:27am] Mmmm OK now subtract all the costs: Travelling / Hotel Suites Transport Cost of the venue itself Insurance plus a miriad of other costs I've not even thought about but you may be able to add on a percentage of all other takings in terms of food / drink sold on the nite in the O2 either way, he's probably cleared £5m - not bad for 2 months work, churning out songs you swore you'd never play again | |
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