With new ticket strategy, Jay-Z is having the most profitable tour of his career
Don’t let $6 nosebleed tickets fool you, Jay-Z’s 4:44 Tour is set to be his highest grossing tour ever due to new pricing strategies that charge actual market rates for the best seats and make the furthest seats affordable.
According to Live Nation, the average gross of the 4:44 Tour is up 21 percent from the same point during Jay’s 2013 Manga Carter Tour.
Basically, Jay-Z and his team have decided to charge market prices for the best seats in the house, and those with exclusive experiences like VIP access, while making nosebleeds increasingly accessible and cheap.
— djtraks miguel melo (@djtraks) November 4, 2017
Billboard reports that the numbers for the 4:44 Tour demonstrate a change in headline tour strategy:
“Sales for Jay-Z’s tour represent a paradigm shift in concert tickets: by more aggressively pricing front row seats, VIP experiences and platinum tickets, concert promoters are getting increasingly more skilled at commanding high prices and record grosses from their best seating inventory. That’s bad news for ticket resellers — by pricing tickets closer to actual market value, JAY-Z and Live Nation are capturing more revenue and creating little room for brokers to mark up the best seats.”
By charging market value for the best seats in the house, and making the furthest seats affordable for virtually anyone, Jay-Z has basically eliminated ticket resellers.
— Mohamad Hamzeh 🇦🇷 (@MohamadHamzeh23) November 4, 2017
It’s a strategy that more and more big acts are adopting. According to Billboard, artists with massive tours are using these pricing outlines to their advantage,
“In the last year, artists including Tool, Radiohead, the Weeknd, One Direction, Coldplay and U2 have all presented sellout shows with both $500+ tickets for the best seats, and $15 get-in-the-door tickets on sites like StubHub.”
This way, big acts make a bunch of money off the best seats, but also sell out the nosebleeds as they’re more affordable.
— 💰 (@tonyshisname) October 28, 2017
Patrick Ryan, who works at ticketing company Eventellect, told Billboard that this is a popular new strategy in live shows,
“This might be the future of ticketing. We are seeing many creative pricing strategies and we are seeing artists find what works for them. You generate a ton of revenue up front, but you still have a $25 price point that makes it more affordable for individuals who want to see an arena show.”
While this is a big move for artists with massive worldwide tours, it’s also great for fans who want to see their favorite acts.
— joey. (@_Jo3y) October 28, 2017
By making the ‘worst’ seats more affordable, it grants more people the opportunity to get into the venue, it’s no wonder that this new strategy has seen a massive amount of success so far.