MUMBAI: The crowd watching the stars on stage may never know about organizing live shows, especially that of international stars, is no laughing matter for the promoters. The risks are high, the way full of red tapism and logistical nightmares and the fact that promoters barely make any money.
Blue Note Entertainment, which has arranged Sean Paul’s maiden three- city tour in India has invested up to Rs 50 mn (5 crores) for the tour. A major component of the investment – 80 per cent- is borne by the company with 20 per cent coming from the highly visible sponsors. Tickets sales contribute a negligible amount.
The tour commenced on 2 November at Huda Grounds in Gurgaon, followed by Mumbai at Andheri Sports Complex on 3 November and Bangalore on 4 November.
Speaking with Radioandmusic.com (RnM) Blue Note Entertainment director Prashant Kumar said that the country’s bureaucratic red tapism and lack of infrastructure are other stumbling blocks.
“Promoting events, especially international ones are tough. No one supports us regarding permissions and licenses and there are no concert arenas to hold the shows. Since we can’t go on a loss, we get corporate sponsorships which takes up to half the ticketed seats in the venues. The biggest support we get is the one we get from the artists themselves- like Sean Paul,” noted Kumar.
Many international stars are keen to tour and perform in India but the aforementioned costs and logistics prevents many of them from coming to India. An artist like Grammy winning Sean Paul for example had to wait for six years for the current tour to happen. And unlike local stars, whose shows can be arranged within a week, finalizing a show with an international star takes 6-7 months.
“International stars charge a hefty amount- between Rs 20-30 mn (2-3 crores) and they have to be paid up front which comes from our pockets. For example, Enrique Iglesias fees was Rs 25 million (2.5 crores). Production costs account for another Rs one crore. So for holding a concert in a top Indian city for top artists, the investment is Rs 30-40 mn (3-4 crores),” says Kumar.
But the business of event management is growing although no figures are available to give one an idea about the size. From marriage event companies to big players like Wizcraft, more people are investing in the field. Profits can be made if things fall in place.
“Our margins are 10-15 per cent but only if good sponsors are involved. A lot also depends on the artist and the venue. Rock bands costs more and music styles shift every six months. But big players like Wizcraft have their own set-up now. “
Though Sean Paul is Blue Note International’s first international gig in its seven-year history, Kumar is keen to get more stars from abroad to India.
“ I’d love to get both Justin Timberlake and Justin Beiber to India. I want Rihana too but she is too expensive at $ one million for a show. We might get Snopp Doggy in 2013, he’s not that expensive.”