This Band Just Finished A 28 Day Tour And Made How Much?!

I suggest reading the whole article at the following link:

http://www.digitalmusicnews.com/permalink/2014/11/25/band-just-finished-28-day-tour-made-much

by
Jack Conte
Nov. 25, 2014

The following is by 1/2 of the band Pomplamoose and Patreon co-founder, Jack Conte.

Pomplamoose just finished a 28-day tour. We played 24 shows in 23 cities around the United States. It was awesome: Nataly crowd surfed for the first time ever, we sold just under $100,000 in tickets, and we got to rock out with people we love for a full month. We sold 1129 tickets in San Francisco at the Fillmore. I’ll remember that night for the rest of my life.

•••••

In order to plan and execute our Fall tour, we had to prepare for months, slowly gathering risk and debt before selling a single ticket. We had to rent lights. And book hotel rooms. And rent a van. And assemble a crew. And buy road cases for our instruments. And rent a trailer. And….

All of that required an upfront investment from Nataly and me. We don’t have a label lending us “tour support.” We put those expenses right on our credit cards. $17,000 on one credit card and $7,000 on the other, to be more specific. And then we planned (or hoped) to make that back in ticket sales.

We also knew that once we hit the road, we would be paying our band and crew on a weekly basis. One week of salaries for four musicians and two crew members (front of house engineer and tour manager) cost us $8794. That came out to $43,974 for the tour.

•••••

The tour ended up costing us $147,802 to produce and execute.

Where did all those expenses come from? I’m glad you asked:
Expenses

$26,450

Production expenses: equipment rental, lights, lighting board, van rental, trailer rental, road cases, backline.

$17,589

Hotels, and food. Two people per room, 4 rooms per night. Best Western level hotels, nothing fancy. 28 nights for the tour, plus a week of rehearsals.

$11,816

Gas, airfare, parking tolls. Holy shit, parking a 42-foot van is expensive.

$5,445

Insurance. In case we break someone’s face while crowdsurfing.

$48,094

Salaries and per diems. Per diems are twenty dollar payments to each bandmate and crew member each day for food while we’re out. Think mechanized petty cash.

$21,945

Manufacturing merchandise, publicity (a radio ad in SF, Facebook ads, venue specific advertising), supplies, shipping.

$16,463

Commissions. Our awesome booking agency, High Road Touring, takes a commission for booking the tour. They deserve every penny and more: booking a four week tour is a huge job. Our business management takes a commission as well to do payroll, keep our finances in order, and produce the awesome report that lead to this analysis. Our lawyer, Kia Kamran, declined his commission because he knew how much the tour was costing us. Kia is the man.

Fortunately, Pomplamoose made some money to offset some of these expenses. Let’s look at our income from the tour:

$97,519

Our cut of ticket sales. Dear fans, you are awesome. We love every ounce of your bodies. You’re the reason we can tour. Literally, 72% of our tour income came from the tickets you bought. THANK YOU.

$29,714

Merch sales. Hats, t-shirts, CDs, posters. 22% of our tour income.

$8,750

Sponsorship from Lenovo. Thank goodness for Lenovo! They gave us three laptops (to run our light show) and a nice chunk of cash. We thanked them on stage for saving our asses and supporting indie music. Some people think of brand deals as “selling out.” My guess is that most of those people are hobby musicians, not making a living from their music, or they’re rich and famous musicians who don’t need the income. If you’re making a living as an indie band, a tour sponsor is a shining beacon of financial light at the end of a dark tunnel of certain bankruptcy.

The Bottom Line

Add it up, and that’s $135,983 in total income for our tour. And we had $147,802 in expenses.
We lost $11,819.

But this isn’t a sob story. We knew it would be an expensive endeavor, and we still chose to make the investment. We could have played a duo show instead of hiring six people to tour with us. That would have saved us over $50,000, but it was important at this stage in Pomplamoose’s career to put on a wild and crazy rock show. We wanted to be invited back to every venue, and we wanted our fans to bring their friends next time. The loss was an investment in future tours.

•••••

We’re entering a new era in history: the space between “starving artist” and “rich and famous” is beginning to collapse.

•••••

tags: music business