Many world-famous artists charge fans large sums while touring. In some cases, a ticket may cost up to a substantial part of a monthly salary. But still, artists state that they barely make any money and sometimes even lose money while touring. In this article, we’ll look at why touring can be so expensive and how some major artists end up making little to no money on touring.
The criticism of Zara Larsson’s concert in Bangkok
Recently, the never-ending debate of expensive ticket prices has reached the public spotlight once again. This time, over a Zara Larsson concert that is supposed to take place in Bangkok, Thailand on November 1st. The tickets are for sale between 2800 and 9000 baht, which roughly translates to $84 to $270. Even though these prices may not seem dramatic for a Western audience, the price becomes hefty when compared to an average Bangkok salary, which lies just above 28000 baht.
In a response on Tiktok, Larsson stated “right now in my career I’m definitely not making big bucks on touring. It’s basically a non profit at this point … everything that I make goes into paying people, transportation, production etc”. This stirred up a new debate that caused people to question how an artist charging such high ticket prices still can lose money.
Therefore, we’ve tried to include some actual examples from artists that show how little profit major artists can be left with after touring expenses.
To assemble a band isn’t cheap
The cost of assembling a band is expensive. Paying a drummer, bassist, guitarist, back-up singers and dancers quickly adds up. Before a tour can even begin, rehearsals and other preparations also have to be completed. The costs of accommodating the band and tour personnel, transportation, equipment and other logistics can therefore set an artist back thousands of dollars before the first show has even taken place.
This is something The Who frontman Roger Daltrey discussed in an interview with USAToday in 2023. He explained that many major bands playing arena shows do not begin earning back their touring costs until the seventh or eighth show. According to Daltrey, rehearsals, accommodation, transportation, staging and other expenses can leave bands between $600,000 and $1 million behind before a tour has properly begun.
In other words, a tour that grosses a lot from ticket sales and therefore looks highly profitable, may still not be that lucrative when all costs have piled up.
Musicians that make money often tour without large crews
DJs often have an advantage when it comes to touring costs. In many cases, standard equipment such as CDJ’s and mixers are provided by the venue. Apart from more established DJs who may tour with sound and lighting technicians, the overhead costs are substantially lower than for artists who tour with bands.
Headlining shows sometimes can come with a deficit
For artists that tour with a band, the overhead costs become substantially larger than for artists who tour alone. Lewis Whiting from the band English Teacher told The Guardian how a headlining tour often comes out with a deficit. For the British indie rock band, the only shows that turn a profit are festivals, where the fees can be higher.
So how can Zara Larsson lose money while touring?
Artist manager Dan Potts at Red Light Management explains how he feels that people may not know that artists are the biggest employers in the industry. “They pay for the tour manager, session musicians, agent, manager, crew, insurance, travel, accommodation, equipment, rehearsal space, production” he says.
In the case of Zara Larsson’s Bangkok show, setting up an arena show for just one night and shipping it halfway across the world comes with significant costs. Travel, accommodation, transportation and equipment expenses all have to be covered before the show can turn a profit. Although the ticket price may seem expensive, little of the actual revenue likely ends up in Larsson’s pocket.
Conclusion
In a recent debate, Zara Larsson faced criticism for the expensive ticket prices for a planned show in Thailand. In response, she stated that she makes little to no money while touring. The examples in this article show that high ticket prices do not necessarily mean high profits for the artist. Artists often have to pay for session musicians, agents, managers, crew, insurance, travel, accommodation, equipment, rehearsal space and much more. For a big band like The Who, this can result in not breaking even until the seventh or eighth arena show.