"Yi Xiangtiankai went bankrupt"! "Yi Xiangtiankai pays off the debt"!
Since Zhang Jiefang announced the cancellation of five concerts, fans of Zhang Jie launched a condemnation of Yixiangtiankai Company on Weibo.
After that, Yixiang Tiankai, as the organizer, was later revealed to be financially worried.
Concert accidents have frequently occurred in recent years. In addition to the artist or organizer, it is more of the interests of the partners based on the concert business model. With the rise of video platforms, the exploration of new business models for live concerts may bring new profit points to the concert.
Yixiangtiankai "demolition of the east wall to repair the west wall"?
On September 28, 2019, the Planet Culture company, which Zhang Jie belongs to, issued a statement, suspending its cooperation with the tour organizer Yixiangtiankai Company, and announced the cancellation of the subsequent five concerts of Jinhua Station , Hefei Station, Nanning Station, Wuhan Station and Kunming Station. Zhang Jie's studio then forwarded the Planet Culture Company's "Statement on Terminating Cooperation with Yixiang Tiankai Company".
According to the statement given by Planetary Culture Company on the 27th and 28th, the drama "Focus" (ID: TVfocus) summarized the following key information:
1. Yixiang Tiankai Company has long owed Zhang Jiefang service fees and cooperation fees for many concerts.
2. Zhang Jiefang paid several fees for the concert without any resolution.
3. Concert suppliers have continuously contacted Zhang Jiefang due to the arrears of fees by Yixiangtiankai Company and posted a message to protect their rights at the Jinhua Station concert.
4. The Jinhua Station concert is about to be held, and Yixiangtiankai Company has not reported on the preparations for the concert.
5. In the absence of payment, he violated the provisions of the contract supplementary agreement and unilaterally notified the pre-sale work of Nanning Station to be started. After Planetary Culture Company made a request, he still received no response. After the Planetary Culture Statement, Ningbo Yixiangtiankai Company issued an explanation on "About the cancellation of the addition of Zhang Jie [No. LIVE] global tour, which will be returned to fans to buy group tickets."
According to the information released by its official Weibo, Zhang Jiefang and Yixiangtiankai's cooperation began at the end of 2018. As of the end of this statement of suspension of cooperation, 10 Zhang Jie's concerts in 2019 have been held in China. Judging from the official pictures, the concerts are full and the effect is shocking! Just as Zhang Jie's fans were looking forward to the next performance, a statement of canceling the concert came, and pointed out the many crimes of Yixiangtiankai's company. So, what happened to Yixiangtiankai?
Yixiang Tiankai Company began high-level changes in early 2019. Ningbo Yixiang Tiankai Culture Communication Co., Ltd. underwent a change in the legal representative in January 2019, and the legal representative of Hangzhou Yixiang Tiankai Company was changed in August.
According to the information obtained by Tianyan Check, Shanghai Youge Culture Communication Co., Ltd. invested in Hangzhou Yixiang Tiankai Culture Communication Co., Ltd., and Hangzhou Yixiang Tiankai Culture Communication Co., Ltd. has also invested in Ningbo Jiangyin Cultural Creative Co., Ltd.
Ningbo Yixiang Tiankai Company and Ningbo Jiangyin Cultural and Creative Co., Ltd. are the same person; Hangzhou Yixiang Tiankai Company and Hangzhou One Person One Vote Network Technology Co., Ltd. are one person; Shanghai Youge Culture Media Co., Ltd., Ningbo Jiangyin Cultural and Creative Co., Ltd. and Beijing Weidasi Audio Equipment Co., Ltd., the same person; the general manager of Ningbo Jiangyin Cultural and Creative Co., Ltd. and the legal representative of Shanghai Youge Culture Media Co., Ltd. are the same person.
htmlIn September, Shanghai Youge Culture Communication Co., Ltd. was exposed and lost the case due to a dispute over the transfer of property shares of the partnership, and compensated the plaintiff more than 18 million yuan. You should know that Shanghai Youge's registered capital is only 10 million yuan. Also in September, Hangzhou Yixiang Tiankai Culture Communication Co., Ltd. also issued a statement that its business license was lost and invalid.
Judging from the current situation, a series of changes in Yixiang Tiankai Company are likely to be due to the capital operation of "demolition of the east wall and repairing the west wall". Since its cooperation with Yixiangtiankai Company, Zhang Jie and his agency have held 10 concerts. The profitability level obviously cannot make up for the company's debt deficit. The company's desperate private ticket sales ultimately led to the "missation" of the concert.
Why do domestic concerts frequently "miscarriage"?
In recent years, domestic concerts have frequently "miscarried". When organizing the concert statements that have been cancelled in 2018 and 2019, TVfocus found that except for the reasons given by individual statements, the reasons in the cancellation statements of most concerts are not clear.
From the analysis of the market value chain of the concert, a concert is mainly divided into three parts: content production, concert preparation, and performance.
The current mainstream business model in the market is: artists and agency companies are mainly responsible for concert design and arrangement, artist performances, music and dance performances, preliminary content production costs, etc.
Concert organizers are responsible for promoting the overall coordination and planning of the concert, including but not limited to the following services: budget, sponsorship arrangement, publicity and promotion, ticketing, security, public relations, venue reservation, technical manufacturing and creative solutions, labor recruitment, license and license application, audience transportation, etc. In order to complete a series of work, the organizer will cooperate with multiple parties on this basis, such as concert investors or sponsors, technical production suppliers, production and subcontractors, venues and ticketing other suppliers.
. The performance generally corresponds to the audience participating in the concert by purchasing tickets. The characteristics of this business model are: whether the concert is profitable or not is entirely borne by the organizer.
Therefore, in order to ensure maximum profits, the organizer needs to coordinate relationships among multiple parties including: artists and brokerage companies, government approval, venue rental, ticketing sales, security levels, sponsorship investment promotion, etc. Any mistakes on either party may lead to the cancellation of a concert.
1, Approval
A stadium-level concert is generally one year, and the approval is submitted for half a year in advance. The approval projects include cultural approval, venue public security and fire protection approval. In order to maximize profits, the sales time cannot be less than two months. Therefore, some concerts will be forced to be cancelled because they have not received the approval when the preparations have been completed.
2, artist
As for the current concert market, only 20% of the organizers who are capable of investing and trading nationwide, but they hold 80% of the market resources. These companies are very strong in terms of experience, channels, operations and funds, so many first-line artists often choose to cooperate with such companies for brand guarantee. However, before the cooperation, most people will sign an bet agreement with the organizer for the number of audiences on the spot. requires the attendance rate of the individual singer to be above 80%, otherwise the artist has the right to choose to stop the show.
In addition to the betting agreement, the artist and the agency will sign a performance contract with the organizer to determine the cost of each performance. According to the First Financial Daily, in the mature performance market, the appearance costs of artists mostly account for less than 50%. However, in the performance market in mainland China, many artists' appearance costs account for 75% of the total costs.
In addition, the artist's physical condition or other negative news may also lead to the cancellation of the concert.
3. Cost accounting
Concert organizers need to calculate venue rental and other cost expenditures. Taking Beijing as an example, experienced organizers will cost about 400,000 yuan to win the Mastercard center venue, about 500,000 yuan in the first body and about 300,000 yuan in the workplace. The concerts at the Bird's Nest, from venue rental to security costs, from music equipment to volunteer costs, etc., will cost 5-7 million to total.
also has various equipment, labor, publicity and other expenses. It can be said that the organizer has already borne a huge expense before the concert. Therefore, once faced with various situations such as low attendance rate, poor box office, and few sponsors, many organizers will choose to cancel the concert when they clearly lose money to avoid greater losses.
As Tian Jingquan, president of Beijing Jingqi Feifan Film and Television Culture Co., Ltd., said: "There is a ceiling in the concert industry. Due to the limitations of venue and cost, the profit calculation is clear at a glance and there is no room for imagination.”
Therefore, whether it is the uneven distribution of interests between artists and organizers that are ultimately cancelled, or the accounting results based on expenditure and income, the cancellation of many concerts is ultimately due to interests. How does the business model of
"break the deadlock" of the concert business model?
In recent years, concert box office revenue has continued to rise, and the concert market is The total number of concerts held in China in 2013 was about 1,400, and increased to about 2,800 in 2018, with an average annual compound annual growth rate of 14.9%. Box office revenue increased from 2.1 billion yuan in 2013 to 4.4 billion yuan in 2018, with an average annual compound annual growth rate of 15.9%. It is expected that in 2023, the total number of concert programs in China will reach about 5,800, and the total box office will also reach 9.6 billion yuan.
reports point out that the box office revenue of many first-line artists has reached the 10 million mark. Jacky Cheung held a total of 146 concerts in the past few years, with an average box office of about 13 million. JJ Lin held 12 concerts this year, with a total box office revenue of more than 300 million.
's concert market has attracted a continuous influx of capital. As of 20 In 2018, the market for concert preparation in China was relatively scattered, with about 500 market participants. In 2016, 50 companies nationwide were the organizers of large and medium-sized concerts, an increase of 56.3% compared with 32 in 2015. A few organizers hosted about 70% of large and medium-sized concerts nationwide.
These companies have strong Internet production, publicity, business and execution capabilities across the country, and have mastered national investment and trading. In addition to leveraging the advantages of its own platform, the strength of the company is also actively exploring new business models for concerts to ensure the continuous expansion of interests.
Compass Culture in Wang Feng Bird's Nest Concert, through O2O's operation method, combined live performances with paid live broadcasts to create China's first 4k paid live broadcast concert. The artist agency Giant Culture transformed into a concert production when creating the Twenty Yuquan Tour Concert By connecting all partner resources, the resource integration and sharing in the entire concert has been achieved, and the interests of themselves, performers and brand partners have been successfully maximized.
Now with the rise of video platforms, especially the exploration of the "online concert" business model, the concert is also constantly adding new profit points. iQiyi "Scream Night" star series concert, using mutual Networked thinking creates a new model of concerts, and creates a new resource allocation method for "online live concerts" through linkage operation models and mechanisms, successfully integrating online and offline, and realizing the monetization of "music IP content" through multiple channels.
Tencent Video is committed to building a one-stop sales platform from promotion, promotion, interactive experience, ticket sales, and online live broadcast. Youku Tudou takes advantage of its existing advantages and strives to extend to the upstream and downstream of the industrial chain, striving for advertising and conferences Multiple parties make profits from members, tickets, on-demand, payment, derivatives, etc.
comprehensively, the continuous exploration and improvement of online concerts has broken the original platform resource barriers, driven the upgrading of product marketing strategies, created new profit points for concerts, and tapped more potential commercial value of concerts. But at the same time, the dependence on technological innovation and top content has left a long way to go for the business model of live concerts.
