This week the question is How Much Are You Worth?
The answer in the sales world is you are worth what anyone will pay for you at any given time. There is the old saying that there is a sucker born every minute and anyone can be convinced at any given time to pay for something that is worth nothing. That is called sales. This is not what we are talking about.
You can ask for any price but what are you worth? Where should your price point land when someone wants to know what it cost to book you. The truth is you might be worth a different amount in every market you play based on your touring history.
When it comes to real money and original bands in the music business you are worth what you can draw!
When a buyer asks me how much is the ask(cost) for the artist. If I say 10K, the buyer is going to then ask me when and where was last time they played in the market (tour history), and how many tickets were sold, what was the ticket price and what was the gross at the door?
To justify 10k, I need to show that last time the artist played the market they did at least 15K at the door and they covered all expenses including the guarantee.
If I can do that, the talent buyer will probably make me an offer. If I can't, then either the talent buyer is going to pass, or make me a lower offer. Having the data to back up your ask and have a fan base in the market that has showed up is always the key to how much you are worth. Most artists develop their worth building a market at smaller venues and converting fans and market tour history. That gives the agent the data to back up the price that you are want to charging.
What else do you have going on that might give the talent buyer a reason to pay you 10K.
1. Recent hit song on the radio, and the local radio station is playing the artist in heavy rotation and will support the show. Radio hits are becoming less important as Tik Tok, YouYube, Spotify/Pandora/Amazon music/I-tunes music play-listing and streaming continues to become the place most music fans find new music.
2. Huge Social media numbers, millions not thousands of subscribers on YouTube, TikTok. trending or going viral is not a number that is in the thousands it is multiple millions views, subscribers and fans in short periods of time.
3. Active mailing list with over 3,000 people in the market.
VERY FEW ARTISTS ARE WORTH 10K first time in a market, even with a hit song at radio your value might not translate into 10K first time in. Not impossible however, usually not. Without tour history the talent buyer or promoter will probably put in a lower offer.
If a buyer does agree to 10K and you don't sell advance tickets your show will be cancelled. If a promoter looses money and over pays for an artist there is a pretty good chance that artist will not be rebooked by that promoter, and word travels fast in the talent buying circles. It is not in your best interest to sell yourself at a price where the show will not play because you can't sell tickets.
If you don't have fans that will pay to see you, then you are not worth any money to a promoter.
The Ask: How much is the cost
The Gross: The total amount taken in at the door before expenses
Expenses: All cost associated with the show including artist fee, production, catering, hotels, security, advertising, taxes, credit card fees etc.
Net Gross: Money left from the gross after all expenses are paid for.