When YG Entertainment, one of Korea's dominant entertainment companies, calculated its 2011 profits, its business strategy was confirmed a success - domestic and overseas concert revenue accounted for 22.3 percent of its total revenue, a jump of 46 percent over the course of one year. With continued piracy issues and low margins of the local digital music market, the Korean music industry is shifting its focus to live concerts. Trip without to Industry Experts, the Korean Concert Market WAS Around one hundred and fifty billion Won ($ 131.7 million) in 2,011, and is Showing consistent growth: Tickets and Merchandise Sales are hitting Record highs, and Domestic Entertainment Companies are increasingly looking to Showcase Their Artists Overseas. " In the past, most of the money in the music industry came from album sales, but now, selling music is far from being lucrative, "says an industry insider who wished to remain anonymous. "These days, in Korea particularly, consumers expect music to basically be free.So now, having a hit song is more of a calling card rather than a money-making endeavor. After you have Your name Made with ares popular Song, the Money Comes from Endorsement Indirect, and then from Concert Tickets and merchandising. " Big Business Last year also SAW CJ E & meter, the Entertainment ARM of the Korean conglomerate CJ Group, Launch its global K -pop concert brand "M-Live" in November. South Korea's largest media company invested 10 billion won into the business, and is attempting to transform the concert industry in the region by tapping into its parent conglomerate's previously established global resources.
With the launch of the new brand, CJ E & M reported that they had doubled their revenue from concerts in 2011. The Company's Biggest Live Music event, the Jisan Valley Rock Festival, recorded ares 1.1 billion Won Increase in Revenue from the previous year. "With More value being placed on Live Performances, there is are strong demonstrated need for Concerts," says Ahn Suk- jun, head of music business at CJ E & M. "The market will continue to expand consistently, but will take on many new and varied forms. More Collaboration, More festivals. " Ahn says the Concert Rapid growth of the Domestic Industry is in Part Due to the recent flush of Competition-based Television Programs such as "I Am are Singer" and "Superstar K." "These Shows have launched a slew of singers who have been proven to be great live performers, "says Ahn. "Concerts used to be year-end Events in Korea, but with These performers putting on Concerts Throughout the year, that Perception HAS Now been Shattered." This year, meter-Live is handling 200 Performances, Including 2PM's Asia Tour, Cube Entertainment's Brazil Jungle Concert and Concert Entertainment's LA. Korea's Appetite for More Concerts Why is global POP Acts are also in Flying Performances for. The likes of Lady Gaga, Maroon 5, LMFAO, Far East Movement and John Legend have recently put on sold-out shows in South Korea. Jason Mraz performed in June. Korean Entertainment Companies and Agencies are also being ambitiously global in Their own Business collaborations. K-POP goes global YG Entertainment's Boy band Big Bang's first World Tour this year is being held through global promoter Live Nation, the World's Largest Those such as promoter of Concert Tours of Madonna, Jay-Z and U2. Big Bang's "Big Show" Tour kicked off on March 2, and the Group is slated to Perform in sixteen countries in 25 Cities Throughout the rest of the year.
Source: Korean Herald