Category: Venue Management

Jeremy dives into the nuances of managing live entertainment venues.

The Strategic Importance of Brand Parity in Venue Management

Jeremy Larochelle

 

Brand parity is an important component to marketing strategy. At its core, brand parity is aligning your product with the anticipated demands of the consumer by making sure you have the same attributes as rivals in your market. In his paper “Measuring Perceived Brand Parity.” James A. Muncy, from Valdosta State University, defines it as, “the overall perception held by the consumer that the differences between the major brand alternatives in a product category are small.” That statement is important from a marketing perspective because it reminds us that strategically aligning your offerings with what is expected in the marketplace can mitigate potential competitive advantages of your rivals. In venue management, this can be witnessed quite well in heavy “club” markets such as Vegas, Sao Paulo, Montreal, and Berlin where consumers have come to expect items such as VIP/ bottle service, security, scantily clad cocktail servers, top-of-the-line sound systems, impressive light shows and marquee DJs on deck. Club owners are happy to oblige because they know to compete they must “keep up with the Joneses,” or as marketers state – establish brand parity.

 

This brings us to the other side of brand parity strategy in venue management – if your pockets are deep enough. You can use it to oust competition by creating barriers to entry. This can be witnessed in Las Vegas where resident DJ’s (look at the list below from electronic.vegas) cost tens of thousands of dollars in performance fees alone with many easily cresting the $100,000 mark.

 

3LAU – Omnia Nightclub
A-Trak – XS, Surrender, Intrigue, Encore Beach Club
Above & Beyond – Hakkasan, Omnia, Wet Republic
Adrian Lux – Encore Beach Club
Alison Wonderland – XS, Surrender, Intrigue, Encore Beach Club
Alesso – XS, Surrender, Intrigue, Encore Beach Club
Afrojack – Hakkasan, Omnia, Wet Republic
Armin van Buuren – Hakkasan, Omnia, Wet Republic
Arty – Drai’s Nightclub, Drai’s Beach Club
Audien – Marquee Nightclub, Marquee Dayclub
Axwell – Light Nightclub, Daylight Beach Club
Baauer – Light Nightclub, Daylight Beach Club
Benny Benassi – Marquee Nightclub, Marquee Dayclub
Bingo Players – Hakkasan, Wet Republic
Borgeous – Hakkasan, Omnia, Wet Republic
Borgore – Marquee Nightclub, Marquee Dayclub, Tao
Brillz – XS, Surrender, Intrigue, Encore Beach Club
BRKLYN – Hakkasan, Omnia, Wet Republic
Burns – Hakkasan, Omnia, Wet Republic
Calvin Harris – Hakkasan, Omnia, Wet Republic
Carnage – Marquee Nightclub, Marquee Dayclub
Cash Cash – Hakkasan, Omnia, Wet Republic
Cedric Gervais – XS, Surrender, Intrigue, Encore Beach Club
Chuckie – XS, Surrender, Intrigue, Encore Beach Club
Clockwork – Light Nightclub, Daylight Beach Club
Dada Life – Hakkasan, Wet Republic
Danny Avila – Hakkasan, Wet Republic
Dash Berlin – Marquee Nightclub, Marquee Dayclub
David Guetta – XS, Surrender, Intrigue, Encore Beach Club
Deadmau5 – XS, Encore Beach Club
Deniz Koyu – Encore Beach Club, Surrender
Deorro – Encore Beach Club
Dillon Francis – XS, Surrender, Intrigue, Encore Beach Club
Dimitri Vegas & Like Mike – XS, Surrender, Intrigue, Encore Beach Club
Diplo – XS, Surrender, Intrigue, Encore Beach Club
DJ Irie – Light, Daylight
DJ Mustard – Marquee Nightclub, Marquee Dayclub
DJ Shift – Drai’s Nightclub, Drai’s Beach Club
DJ Snake – XS, Surrender, Intrigue, Encore Beach Club
Duke Dumont – XS, Surrender, Intrigue, Encore Beach Club
Dyro – Light Nightclub, Daylight Beach Club
Dzeko & Torres – Hakkasan, Wet Republic
EC Twins – Marquee Nightclub, Marquee Dayclub
EDX – XS, Surrender, Intrigue, Encore Beach Club
Eric Prydz – Drai’s Nightclub, Drai’s Beach Club
Eva Shaw – Hakkasan, Wet Republic
FAED – Hakkasan, Omnia, Jewel, Wet Republic
Fedde Le Grand – Encore Beach Club, XS
Ferry Corsten – Marquee Nightclub, Marquee Dayclub
Fergie (DJ) – Hakkasan, Omnia, Jewel, Wet Republic
Flosstradamus – XS, Surrender, Intrigue, Encore Beach Club
French Montana – Marquee Nightclub, Marquee Dayclub
Galantis – Marquee Nightclub, Marquee Dayclub
Gareth Emery – Marquee Nightclub, Marquee Dayclub
Getter – XS, Surrender, Intrigue, Encore Beach Club
Ghastly – Marquee Nightclub, Marquee Dayclub
gLAdiator – Drai’s Nightclub, Drai’s Beach Club
Grandtheft – Surrender
GTA – Hakkasan, Omnia, Jewel, Wet Republic
Hardwell – Hakkasan, Omnia, Jewel, Wet Republic
Heroes x Villains – XS
Hook N Sling – Light Nightclub, Daylight Beach Club
Illenium – Hakkasan, Omnia, Jewel, Wet Republic
Ingrosso – Light Nightclub, Daylight Beach Club
Irie – Hakkasan, Omnia, Jewel, Wet Republic
Jauz – Hakkasan, Omnia, Jewel, Wet Republic
Julian Jordan – Hakkasan, Omnia, Jewel, Wet Republic
Kaskade – Hakkasan, Omnia, Jewel, Wet Republic
Kennedy Jones – Marquee Nightclub, Marquee Dayclub
Krewella – Omnia
LA Leakers – Hakkasan, Omnia, Jewel, Wet Republic
Laidback Luke – XS, Surrender, Intrigue, Encore Beach Club
Lil Jon – Hakkasan, Omnia, Jewel, Wet Republic
Lost Kings – XS, Surrender, Intrigue, Encore Beach Club
Markus Schulz – Marquee Nightclub, Marquee Dayclub
Martin Solveig – Surrender
Madeon – Encore Beach Club
Major Lazer – XS, Surrender, Intrigue, Encore Beach Club
MAKJ – XS, Surrender, Intrigue, Encore Beach Club
Marshmello – XS, Surrender, Intrigue, Encore Beach Club
Martin Garrix – Hakkasan, Omnia, Jewel, Wet Republic
Matoma – Hakkasan, Omnia, Jewel, Wet Republic
Morgan Page – Surrender, Encore Beach Club
Nervo – Hakkasan, Omnia, Jewel, Wet Republic
NGHTMRE – Hakkasan, Omnia, Jewel, Wet Republic
Nicky Romero – XS, Surrender, Intrigue, Encore Beach Club
Ookay – XS, Surrender, Intrigue, Encore Beach Club
Paper Diamond – Surrender
Party Favor – Hakkasan, Omnia, Jewel, Wet Republic
Paul Oakenfold – Marquee Nightclub, Marquee Dayclub
Porter Robinson – Hakkasan, Omnia, Jewel, Wet Republic
Puff Daddy – Hakkasan, Omnia, Jewel, Wet Republic
Quintino – Drai’s Nightclub, Drai’s Beach Club
Robin Schulz – XS, Surrender, Intrigue, Encore Beach Club
RL Grime – XS, Surrender, Intrigue, Encore Beach Club
Ruckus – Marquee Nightclub, Marquee Dayclub
Sander van Doorn – Marquee Nightclub, Marquee Dayclub
Skrillex – XS, Surrender, Intrigue, Encore Beach Club
Slander – XS, Surrender, Intrigue, Encore Beach Club
Stafford Brothers – XS, Surrender, Intrigue, Encore Beach Club
Steve Angello – XS, Encore Beach Club
Steve Aoki – Hakkasan, Omnia, Jewel, Wet Republic
Sultan & Ned Shepard – XS, Surrender, Intrigue, Encore Beach Club
Sunnery James & Ryan Marciano – Hakkasan, Wet Republic
The Chainsmokers – XS, Surrender, Intrigue, Encore Beach Club
Tiesto – Hakkasan, Omnia, Jewel, Wet Republic
Timmy Trumpet – Marquee Nightclub, Marquee Dayclub
Travis Scott – Hakkasan, Omnia, Jewel, Wet Republic
Tritonal – Marquee Nightclub, Marquee Dayclub
Tommy Trash – XS, Encore Beach Club
Ty Dolla $ign – Marquee Nightclub, Marquee Dayclub
Vice – Marquee Nightclub, Marquee Dayclub
Vinai – Marquee Nightclub, Marquee Dayclub
Virgil Abloh – XS, Surrender, Intrigue, Encore Beach Club
WeAreTreo – Hakkasan, Omnia, Jewel, Wet Republic
Wolfgang Gartner – XS
Yellow Claw – XS, Surrender, Intrigue, Encore Beach Club
Zedd – Hakkasan, Omnia, Jewel, Wet Republic

 

This impressive list demonstrates that if one wanted to start a club on the strip in Las Vegas, they would be extremely hard-pressed to do so as the environment demanded by consumers in this area would force them to meet the venue design, ambiance, and reportedly $1 million Calvin Harris makes each night at Hakkasan. Quite simply, they would need to adopt the brand parity of a market put in place by conglomerates backed by casino money. And if they choose not to, they would be lost in the advertising noise of a collective market working against them.

 

Obviously, other attributes come into play when launching a venue. You could position yourself in a tighter niche in the EDM world such as trance. You could reduce costs and charge consumers less than the $30-$50 charged by the major-branded clubs. You could even move off of the strip and cater to the locals. However, that is not the point of this post. The lesson here is. When planning, launching and running an entertainment venue, one must forego the blanket advice of many armchair marketers to simply differentiate the brand. Rather, you need to pinpoint what attributes you should (and can afford to) fall in line with to meet the customer expectations your competition has put in place. Only then, should you look for ways to differentiate.

 

 

 

Respect the Pre-Gig Window

Jeremy Larochelle

 

 

Musicians and entertainers are a unique breed of individuals… an enigma if you will? Many times, that outgoing personality we see on-stage is not the same person behind it. In fact, from my experience, I find that most entertainers are more introverted than extroverted. They are reserved and highly emotional individuals partly because the product they present is based on emotional attachment.

 

This is why it is imperative that managers, stagehands, venue representatives, marketing personnel, etc. respect the pre-performance time of the artist. I am speaking about the hour directly before they hit the stage. During this time, that introvert is preparing to “come out of their shell,” and for your venue to succeed. You want them to complete that transition. Over the years, I have seen personnel mismanage acts large and small at this point because they do not understand this aspect of the entertainer psyche. I have watched security give them hard times as they approached the stage about their credentials (even with me leading them). Managers argue with musicians about bar tabs before they hit the lights and tech’s fight with DJs about their set-up minutes before showtime.  In all of these situations, the show suffered. Why? Because, in each instance, these events did not allow the artist to get out of their introverted state – a state you do NOT want them to be in when they are entertaining your audience.

 

I understand that any event is made up of numerous personnel with various personalities, job demands, and views of their position within the concert eco-system.  Regardless, in the end. The show is ALL about appeasing the audience and the person they are most connected to at that point is the entertainer. They are the direct link between your success and the audience and for the next forty, sixty, or ninety plus minutes the most important person on the property.  Here are some pieces of advice to help you set them (and your venue) up for success.

 

Give them their space. Make sure the act has a spot where they can “get away” if they need to. It doesn’t need to be a green room. A small corner of the lounge or section of the patio will work. Many times, you will see artists “hide-out” behind the stage.  This is usually a sign to leave them alone.

 

Hold off on your reprimands. Was the artist late? Did they not dress properly? Did they load-in through the wrong door? Did their last show bomb?  NOW is NOT the time to address this with them. You will have plenty of time to discuss these items later on. If you want a great show, you can’t send them on stage worried or thinking about how they already failed. Give them feedback after the show, or better yet. The next day.

 

Make them feel tech-secured. Make sure your technicians touch base with the artist and ask them if they have any questions, comments, or concerns about a 1/2 hour before showtime. Then, actively listen to their demands. NOW is NOT the time to fight with them about mic placement or to start a rift regarding in-ear monitors. Rather, NOW is the time to make them feel like you have their back for the next 45-plus minutes.

 

Treat them like rock stars. Even if you hate their music or dislike the entertainer as a person because he stole your girlfriend. Smile and tell them to have a great show as they head towards the stage. If you have a history of their performance. Tell them about something they did at the last show that you thoroughly enjoyed. Just don’t tell them your mom or grandma likes their music and don’t oversell your enthusiasm.

 

Remember the Berklee Recording Rule. While studying briefly at Berklee College of Music, I spent many hours in recording sessions with my roommate who was in the final year of the program. I heard variations of the following phrase.

“It is your job to support the artist and stay out of their way.” 

I learned that this meant that you supported the artist’s physical and mental space above all else. You rolled with every punch.  You didn’t force the drummer to move his snare for better mic placement. You worked around it. If the pianist runs all of his keys through the same amp, you find a way to work within his set-up and don’t force him to change it. If the singer feels comfortable in the dark with candles – you shut the lights off, even if you can’t see a damn thing.

 

What Berklee’s recording and engineering lesson teaches us is that ultimately, your goal is to send an artist on stage feeling confident, respected, and in-demand. This will help pull them out of their introverted headspace, let their artistry shine, and focus on connecting with their fans. The end result is a better show with a greater opportunity for success.

 

 

 

 

KPI’s in Venue Management

Jeremy Larochelle

I recently asked my LinkedIn network what KPI’s, besides revenue, they use for their entertainment venue analysis.

 

I figured this would be a tough question because I removed the most prevalent answer when it comes to venue management analysis – revenue generation. I wanted to omit the low-hanging fruit to force my network to consider other Key Performance Indicators regarding their entertainment space and how valuable they can be.

 

For those who do not understand what KPI’s are.  Here is a quick and simple breakdown from Investopedia. According to their site. “Key performance indicators (KPI) are a set of quantifiable measures that a company uses to gauge its performance over time. These metrics are used to determine a company’s progress in achieving its strategic and operational goals, and also to compare a company’s finances and performance against other businesses within its industry.”

 

The revenue metrics are the most important and fairly easy to digest in regards to entertainment booking. If you book a band and they sell out the venue. That is a positive KPI. Just remember, if you are in charge of assigning revenue metrics you should include ancillary income such as food and drink sales.  I have seen many situations where one act didn’t sell out the room but brought in a demographic that drank the house dry resulting in an overall larger return on investment.

 

Key Performance Indicators go beyond just revenue-generating metrics. Better institutions will assign them to other areas of the business eco-system such as cost reduction, process improvements, and customer satisfaction. All of these variables work off of one another and when assigned properly and analyzed consistently can lead to exponential growth.  Here are a few suggestions of non-revenue generating KPI’s to consider for an entertainment venue.

 

Cost Reduction: Is the venue overstaffed? Are your performance hours not in-line with your demographic (e.g. does the room die at 11:00 pm, but you are paying entertainment and employees to be on-site until 2:00 am)?

 

Process Improvement: Are you getting your guests in fast enough and moving them to areas of revenue such as the bar efficiently?

 

Customer Satisfaction: Are you monitoring the social chatter regarding your venue?  Are the reviews of your entertainment, venue, and operations positive? Are you surveying past customers to learn about their experiences to share with your team?

 

*BONUS – Employee Satisfaction: Are you talking to your team to see if THEY are happy? Do you survey guests regarding their experience with specific employees through analysis such as Net Promoter Scores and satisfaction surveys?

 

These are just a few suggestions regarding non-revenue KPI’s you can adapt for your entertainment venue. Just remember each business environment is different and you may have to tweak your analysis to uncover your areas of weakness and opportunity.  If you would like some help analyzing your entertainment venue, give me a shout.

 

 

Five Take-A-Ways from Five Years Booking and Managing Entertainment

Jeremy Larochelle

I celebrate my five-year anniversary with Mike Moloney Entertainment on March 1st, 2018 and what a crazy, chaotic, and fun ride it has been. So, I wanted to share with you five take-a-ways from my time as a booking agent and entertainment manager.  Enjoy!

 

Is EDM About to Tip Over?

Jeremy Larochelle

First and foremost. This is just my opinion on where the Electronic Dance Music (EDM) genre is headed. However, I will apply some scientific theory to my analysis. If anything more, than to just make me sound MUCH smarter than I am.

 

With that being said, I want to start off by presenting you with the basic Adoption Cycle.  It looks something like this. Some may notice it is a bell curve with a normal distribution and standard deviation.

 

A basic adoption cycle

 

The adoption cycle concept runs through nearly every conceivable business offering and music consumption is no different. Credit of the current model can be traced back to Everett Rogers who organized consumers into various groups based on their personality traits. According to Rogers, these traits influence their adoption of a new offering in the marketplace. The fashion industry is a great example of how the adoption cycle works. In this example, Gucci will unveil a new line at Milan Fashion Week. Right out of the gate, Innovators will spar and pay top dollar to be the first to don the coveted threads as they are typically of a higher social class and thus inelastic to price. Shortly thereafter, the Early Adopters will seek out the new styles. Many of these individuals are of the opinion class, industry gatekeepers, who influence the longer running growth of the Early Majority, which follows to the apex of the Bell Curve.

 

At this point, another economic principle takes hold. With Innovators, Early Adopters, and the Early Majority showcasing their new wears, more potential consumers are influenced and demand increases. However, those left are more price sensitive, so they seek out alternatives, which are satisfied through bargain stores such as Macy’s and Target that appeal to that Late Majority. At this point, Gucci has lost their competitive advantage and the company will move onto the next great design, leaving the market to these lesser profitable sales channels. With that exit, price continues to drop allowing the Laggards to pick up knockoff items for bargain prices at lower-cost outlets. Then, the cycle starts again with the newest fashion.

 

One might think that the adoption cycle is entirely the brainchild of the master brand to get you to purchase new items every year. And in many ways. It is.  In the technology market, this is called product obsolescence. However, the cycle is also a reflection on how different consumer personalities correlate to a particular product at various price points on the supply/demand curve and when analyzed from this perspective. One can more-easily predict when a product, fad, or trend is about to change or even disappear from the mainstream market altogether.

 

This analysis can be applied to the product of music as well. How many times has a friend told you about a new group that you have never even heard of? In this situation. That friend is an Innovator. Or have you ever listened to the radio or a curated playlist, heard a great new band, and then went and streamed their album. (That channel who lead you to the band is made up of Early Adopters). A year down the road, you go to their sold-out 600 seat show to join the Early Majority who have been influenced by those Innovators and Adopters. A year after that, your new favorite band is in-town playing before 1,500 Late Majority fans who have finally caught on. As the years follow, the band continues to pick up fans, but at a less rapid pace. They play to 1,850 the next year and 2,000 Laggards the year after that while a newer act fills the venue across the street on their second route through town.

 

This is also the case with entire genres of music.  Remember Grunge?  How about the Ska movement?

 

Which brings me to my contention regarding EDM.

 

Specifically in the U.S., we currently seem to be sitting at (or even slightly over) the apex of the bell-curve regarding the EDM adoption cycle. Evidence of this lies in where the genre has permeated society. It used to be that EDM was underground, held at house parties and hidden raves where Innovators caught artists such as Armin Van Burren, Daft Punk, and Afrojack on their rise. Music consumers looking for alternatives to typical live-music caught on, helping push these artists into larger clubs and thus acquiring a steady stream of Early Adopters. Eventually, DJ AM among others brought the genre to thousands with residencies in Vegas. Quickly pushing the genre up the Early Majority side of the curve. Today, EDM has found homes in most casinos, numerous festivals that dwarf anything live-music can match, and even terrestrial radio bringing the entire genre to the apex of the bell curve. Now, it is not uncommon to catch quality DJ’s in Nordstroms, restaurants, and even Whole Foods, which suggests the genre has not only peaked but actually may be moving into the Late Majority.

 

This does not mean that EDM is over. The bell curve representing this genre’s adoption is quite large compared to other musical choices such as, say, Texas Swing or even punk, which only lasted in the mainstream from about 74-84′. EDM’s start can be traced back to Jamaican dub in the 60’s with electronic music entering the mainstream in the 1980’s. This means that if we are in fact cresting today, in 2017, the genre has taken nearly 40 years to cover half of its adoption cycle.  Even if its fall is half that time, we still have a lot of booty shaking electronic bass to go.

 

However, as always in entertainment, the question remains.

 

What is next?

 

 

 

 

 

 

 

 

 

 

Volume…what makes a good entertainer GREAT!

Jeremy Larochelle

 

As someone who books bands for a living, I can’t believe I am going to say this. “Acts that don’t actively monitor their volume drive me nuts.”

 

There I said it.

 

Now, I am specifically speaking to the artists who perform in “background music scenarios.” Performance spaces in hotel lobbies, small bars, and restaurants that typically don’t focus on the entertainment (e.g. they don’t have a stage and dancing isn’t encouraged). In these situations, it is crucial that the artist pay careful attention to their volume as they are not the center of attention. Unfortunately, many newer performers have trouble grasping this concept and I believe that inexperience is to blame.

 

If you were to observe a veteran performer against a greenhorn in a similar environment, you will likely see what I mean.

 

Thanks to years of trial and error, veterans have been psychologically conditioned to accept the fact that they are not the focus of the room, which places them in the proper headspace to handle the gig. This comes through in everything from their song choice to their banter with customers and even how they read the room. As such, a true club pro will read a “background music” gig differently. If they see patrons leaning in too close to talk or notice the overall volume has increased. They will intuitively pull back the dynamics to restore order. The true masters will even alter their song selection choosing keys with darker…less bright characteristics such as D over E Major.  Notes that don’t conflict with the timbre of the average speaking voice and thus raise the overall decibel level in the venue.

 

As mentioned, seasoned pros typically fair better in these situations. However, other psychological factors come into play.  Artists still seeking the coveted “record deal” will have more trouble adjusting to these situations as their professional focus is to break through the noise and get noticed. As such, many have (rightfully so) adopted a mentality where they seek to command the stage and everyone’s attention. Chances are if an entertainer has more original tunes in their catalog than covers. They may be inside that headspace and the booker should enact more due diligence and proceed with caution.

 

A final word of warning is this. When vetting an act propositioning you for a gig. Many will say anything to earn the job and that includes telling you that they can meet any volume requirements.  It is always best to look beyond their puffery, especially if you notice that they are less-experience or more focused on the original music track of their career.

 

As for you artists out there. Don’t be discouraged by these gigs. For one, they can supplement your career and put food on the table.  They are also an excellent way for you to better your room-reading skills and ability to perform at softer volumes, thus increasing your overall dynamic control. These skills will come into play in other avenues of your career.