In the heat of the summer of 2022 and in front of rave crowds, rapper Orelsan has surveyed the stages of Pause Guitare, Musilac, Garorock, Francofolies, Vieilles Charrues and many more. Laylow, the other character of French rap, also ignited the French festivals: Cabaret Vert, Crossover, Bauregard, Marsatac, We Love Green, Garorock … The tour – with dozens of dates – of these two major names testifies to the frenetic race that French music events are involved in.
The frenzy that popular artists know how to play goes far beyond these stars: Stamp prices are flying and threatening certain festivals whose economic model – the ticket office and public subsidies – relies heavily on this substance. This factor–decisive–among many others, rocks some festivals. In the face of explosive costs and returns that do not increase or even decrease, the financial equation, for many, is flying high. The summer 2022 season has been a symbol of heightened tensions in the music festival sector.
Musilac, in Aix-Les-bains, is on the verge of bankruptcy, with a deficit of 1.2 million, while Garorock (Olympia production), in Marmande, has seen its attendance drop to 140,000 in 2022, from 160,000 in 2019. To be revealed about at the end of September by Prodis Captivated fears must be confirmed for Challenges By dozens of players in this sector. Testimonies that reveal the extent to which this common good – culture – is caught in the vortex of a market economy. The sector, shared by private festivals and union structures, appears to be at a turning point in its history.
I’ve been shooting all summer pic.twitter.com/iOggaE8NPB
– OrelSan (@Orel_san) 2 July 2022
Competition intensifies between festivals
For the festival to be profitable today, the occupancy rate must reach from 95% to 100%, compared to 80% in 2019. “These events have always been fragile with very low margin rate but the inflationary context, Covid-19 and the economic crisis are weakening them more than ever”, notes Françoise Benhamou, an economist specializing in culture.
Some heavyweights have definitely pulled out of the game, like the special Rock-en-Seine Festival in Saint-Cloud, which filled the audience with 150,000 people over four days, or Hellfest which sold 420,000 tickets over 7 days in Clisson. But all of them have experienced a series of difficulties due to two years of Covid-19 and the economic situation.
Gasoline, energy, paper, service providers, raw materials… Costs increased everywhere. The Art Rock Festival, in Saint-Brieuc, saw its budget increase by about €3 million by 7% between 2019 and 2022. Instead of 30”, festival director Carol Mayer worries.
Disengage the audience
Festival ticket prices are much lower in France than anywhere else in the world, in Belgium, Holland or England in particular with ticket prices around 100 EUR, confirmed Mary Sabot, Director of We Love Green. In France, increasing ticket prices is much more difficult, it is not in the culture or in customs. “With an obvious risk:”“This exercise is risky and can intimidate audiences who shyly return to the rooms,” said Carol Meyer of Art Rock.
Especially since this summer, the public hasn’t always responded nowadays. rate, The decommissioning is about 20 to 30% according to O’Reilly Hanedoch, president of SMA. In question: the abundance of the 2,100 music festivals in France. “The organizers have given more concerts in 2022 to attract more people,” explains Jean-Philippe Thilay, president of the National Center for Music (CNM).
More dates, therefore fewer tickets are sold at each festival. The niche cultural event Levitation, in Angers, which usually draws a loyal audience around the psychedelic indie rock scene, has convinced only 3,000 people out of an expected 5,000. The event, with a budget of 400,000 euros, has a 15% deficit. “We felt the audience wasn’t ready to leave this year,” summarizes Christophe Davey, lift organiser.
Amazing Sigils
Stamps, hmm, do not know the crisis. Higher than ever, they burden budgets. Aurélie Hannedouche, of SMA, estimates it has increased by 20-30% since 2019. “Artists are being bought at auction. Artists who earned €250,000 four or five years ago could cost 750,000 today,” warns Marie Sabot of We Love Green .
As the record-breaking sector is in crisis, artists are earning their income from festivals and exerting strong pressure to raise prices. Multinational companies such as Live Nation, producers and organizers of festivals (Lollapalooza and Main Square, with budgets of 10 and 6 million euros respectively) also exert a significant influence on the entire sector. They take advantage of their artists’ portfolio to negotiate “artist fees or artist packages” at exorbitant prices, according to Emmanuel Negrier.
Lady Gaga, Gorillas, Pitbull, Post Malone, to name a few, are among the 3,000 artists included in the American Juggernaut catalog that has a worldwide turnover of $6 billion. Angelo Joby, director of Live Nation France, defends himself from criticism. For him, managing festivals is above all “work” and implementing a strategy.
It is always easier to criticize Americans. These are festivals that are a threat to themselves, by chasing the same headlines. Today, sponsors of sponsored festivals take public funds to program the same artists as their neighbors, he touches.
Competition intensifies between festivals
There is no doubt that the fierce competition between festivals contributes to the inflation of fees. “The people in charge are also the forerunners, those who play the game of individual superiority,” Emmanuel Negrier recalls.
Like Rock-en-Seine, owned by Matthieu Pigasse’s LNEI holding company, and American giant AEG, a competitor to Live Nation. To attract the organizers bet on an exceptional program. Stromae, Arctic Monkeys, Tame Impala, Kraftwerk, Thérapie Taxi or Iggy Pop have attracted more than 150,000 fans of all ages.
The budget of €14 million has doubled compared to 2019. Fees represent nearly 50% of the total. “We’ve taken more risks and have paid off this year,” notes Matthew Ducos, organizer of Rock-en-Seine.
The nuances of economist Françoise Benhamou: “Although they are partly responsible, the major private festivals also suffer from increases, they are dragged into an inflationary spiral.”
This audience.. an exceptional evening. Thank you. Thank you and see you tomorrow ❤️
📸 Tweet embed pic.twitter.com/x8hwZxOfkE
– rockenseine August 27 2022
“The market is not necessarily balanced. On the one hand, there are multinational companies that control some international artists because they show them in theaters or stadiums, and on the other hand, heavily subsidized festivals, as high as 60% for some, analyzes Marie Sabot of We LoveGreen. Sometimes some belong to multinational companies and are also very supportive. The split is very strong. Between the two, I find it difficult to position myself, to find a profitable model in this impossible competition.“.
We Love Green offers 3% general support in its budget. An independent model that weakens it, according to its manager, in the face of competition promoted by international companies. The festival with a budget of 12 million euros this year is running short, although the event was sold out before the sale. But due to violent storms, the festival had to evacuate 40,000 people on the evening of Saturday, June 4. This year, the Marie Sabot Festival director will re-calculate the event to balance equity. But she is worried about the future of her event.
More than an uncertain future for festivals
The future is not more rosy for more sponsored festivals. They live in fear that their benefits will be reduced, and even cut. During the Covid-19 crisis, local authorities have continued to subsidize festivals. They are now facing accelerating inflation, and there is no guarantee that aid will continue. The festival model will likely be reinvented by diversifying sources of funding, especially private sources. Carol Meyer, director of Art Rock, whose budget is privately funded, wants to bolster that weight, particularly through its sponsored scenes.
Nor can acquisitions or equity investments by large groups be ruled out in the coming months. To reinvent the paradigm, reflection on the environment and the carbon footprint of events will be mandatory. This is the direction of demand from festival-goers and a real lever for changing the economic paradigm, believes Françoise Benhamou. What should I get off the top of a model that looks like it’s panting
hand rarity-Manpower and technical equipment hit the sector
Security guards, technical service providers, sound engineers… All festivals faced an alarming shortage of manpower Work and theater materials all summer, which further complicates the task of the organizers. In question: the Covid-19 pandemic, which has caused many technicians to be retrained. “Technical providers are reporting a 10% shortage in their teams,” explains Aurélie Hannedouche, of SMA. As a result, Raf Dumas, head of the 20/20 Alternative Festival, for example, had no choice but to wear bodyguard or security guard uniforms for the duration of the 32-day festivities, due to staff fault.
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