This is the second article in a series where we pick the brains of live entertainment promoters to discover their tips and techniques for staying successful amidst worsening economic times. If you’ve got some good tips you’re willing to share, please email Eric Housh or DM @ticketbiscuit.
Sequoia Slentz is an independent promoter that does events all over the country through his company CleanBox Entertainment. He is the booking agent for the “Killer’s of Comedy” which features comedians from the Howard Stern show. Sequoia also books all of the West Coast Shows for “The Fab Faux,” a Beatles tribute band featuring Will Lee from David Letterman’s show and Jimmy Vivino from Conan O’Brien’s.
I caught up with Sequoia the first time on January 20th, four days before the scheduled Fab Faux show at the Orpheum in Los Angeles. “At this point last year, I had sold this show out- 1400 tickets – without spending a dime on advertising,” he told me, continuing, “this year, I’ve done it all – radio, mailers, you name it, but to no effect.” Four days left until show time, and Sequoia had almost half of the house left to sell.
This tale is all too common lately- promoters struggle to sell tickets in the face of an economy that has forced people to eliminate line items from their budgets. Line items that are typically seen as discretionary, such as concert tickets, are often the first things to go.
The next time I talked to Sequoia was last Thursday, January 29. The Fab Faux show did not sell out, but he did move enough tickets to make money. I asked him to share his secrets for success.
Negotiate, Negotiate, Negotiate!
The thing about the economy is that it impacts almost everyone, and that includes venues, radio stations, hotels, and many other businesses. This opens up incredible opportunities. “The idea is to spread the deficit around. Radio stations need to sell ads. Hotels need to fill rooms. Venues need shows. We all need each other, we gotta help each other out,” Sequoia states. He advises to negotiate with the venues for discounted rates, and with radio stations for discounted air time or ticket giveaways. “Radio stations have an incredible amount of inventory, and they’re willing to deal to sell them all.”
Working with Hotels was effective for Sequoia as well. As part of his effort to increase sales, Sequoia struck a deal with the Kyoto Grand Hotel to offer discounted tickets to hotel visitors. After the deal was sealed, he was approached by four other hotels wanting to ink similar partnerships. “If these guys have empty rooms, they’re losing money – so again, you can help each other out.” He says to also negotiate for inclusion in email blasts sent from the hotel, venue, or radio stations to their respective customer or fan lists. “It’s free and easy – most of the time they will be glad to.”
Being creative also helps. For this last show, Sequoia approached a Professor of the Music Institute and convinced the professor to give his class extra credit for attending the show and writing a paper on it.
Use the Tech Tools
Sequoia uses email marketing religiously. “I’ll use it to communicate with my lists, and I used promo codes to give folks the opportunity to buy tickets at a discount price.” While promo codes are a very effective way of generating sales and tracking marketing effectiveness, Sequoia cautions against the “double pitch.” “If I send an email out on the on-sale date, and someone buys a ticket at full price, then I send that person another email closer to the date announcing half price tickets, one of two things will happen. Either they will become trained to wait for the discount, or worse, they will get mad and not buy any more tickets at all. Both are bad, obviously.”
He says the way to avoid the double pitch is through careful customer management or third party surplus ticket sellers. “I used a surplus seller for this show and it ended up putting an additional $3k in my pocket at the very last minute. I was very happy with it.” Surplus sellers have opt-in databases of people who agree to be notified when discount tickets become available, so the dangers of discounting are mitigated.
Pay attention to the details
“The littlest mistakes can kill your operation. In 2008, I put the tickets for the Fab Faux show on sale in early October, and the show sold out without me spending a dime in advertising. This year, I put them on sale a month later- in November.” While this may sound harmless to the lay person, Sequoia says it was probably a key factor in the slow sales. “Sure, all of the bad economic news was weighing on people’s minds, but also, in November people are thinking about Thanksgiving, and Christmas, and travel, and mentally budgeting. The entire frame of mind changes.” He advises that promoters pay close attention to on-sale dates and times, and the trends of how the tickets move. “I’ve already put the tickets for the October 2009 Show on sale,” he added.
Stick it out
Business will continue to be tough for promoters, with recent estimates saying that the economic recession will last well into 2010. But while the business is admittedly tougher, Sequoia says it’s actually good for his operation. “We’re learning a lot and having to become better and more creative. Not all promoters will come out of this, but if you can stick it out, you will be positioned securely.”
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