Gothamist: Why are Broadway tickets so expensive right now? It’s not just inflation.

[MemorableUserName]

Posted: 4/2/24 at 1:15pm

https://gothamist.com/arts-entertainment/why-are-broadway-tickets-so-expensive-right-now-its-not-just-inflation

[ErmengardeStopSniveling]

Posted: 4/2/24 at 1:24pm

Doesn't tell us much that we don't already know...running costs are high, capitalizations are high, and for the rare high-demand show the prices can be set at the highest level that the market can bear.

Surprised they didn't speak to one of the "ticketing and revenue strategists" who have become much more common as consultants on specific shows and in the executive suites at theater owner chains. Those are the people with the most in-depth knowledge of pricing today, and they spend all day analyzing data and using it to inform pricing recommendations for producers.

[MayAudraBlessYou2]

Posted: 4/2/24 at 2:43pm

The article feels like it was written a while ago, sat on the shelf, and was only minorly dusted off and refreshed to be released now. (Plenty of examples were from last season, it talks about A Beautiful Noise like it isn't closing, compares The Prom and How to Dance in Ohio but only mentions the Prom closed at a loss, etc etc).

To me the article is a bit one sided and doesn't look very deep. And is in some places, just not actually correct with certain trends. For instance, it mentions an over reliance on jukebox musicals. But this season there are just 4 such shows out of 15 new musicals. Last season just had 2. This doesn't seem seem like an over abundance to me. 

Plus the author goes out of their way to say that producers are doubling down on big "blockbusters" like the movie industry, and we are seeing a lack of original content. Yet this season has plenty of original shows (Appropriate is a hit, things like Suffs, Lempicka or Patriots COULD be hits, and other shows are based on IP but not really IP that comes with a massive following in the vein of Marvel or Star Wars: Water for Elephants, Outsiders, Illinoise). Producers have also backed risky work like Here Lies Love, Days of Wine and Roses. And then you have recent hits like Hadestown, Six, Kimberly Akimbo (all still running), Fun Home, The Band's Visit, Dear Evan Hansen, Come From Away, and Leopoldstadt which weren't based on any type of IP.

I suppose many of the tidbits about pricing are useful to those outside of the industry, or at least those who don't pay any attention to the industry. But I can't help but feel this just tells us Broadway fans what we already know, without truly painting a complete picture of the industry landscape.

[mridley2]

Posted: 4/2/24 at 10:06pm

One of the points made in this article I simply do not understand.  Quote: "And then labor is way up, in part because of concerns about health and well-being and equity,” she said, referring to concessions won by labor unions coming out of the pandemic such as increased safety regulations, diversity provisions, and paid sick leave."

I am not convinced this is true.  All of the close friends I have who work "in the biz" are NOT making substantially higher weekly salaries then they were 5 years ago.  Most of them make the weekly minimums and a few friends with experience/credentials can command more.  Still the higher paid folks are getting $3,000 or $3,500 a week. They are certainly NOT making Nathan Lane money.
I believe the higher ticket costs are like everything else in our uber-Capitalist society. corporations and wealthy people taking more and more $$ from the pie.  I just do not understand where the $$ goes for these $25 Million capitalizations?  And I've seen some of the private documents. it doesn't make sense. I've never seen more "producer fees" and "advisor fees" in my life.  That is the source of $699 for Cabaret without dinner. It is not just the cost of labor, electricity, and lumber. give me a break.

** RANT OVER** my apologies. continue with your regularly scheduled $18 wine at the interval. Don't get me started on THAT!

 

[ErmengardeStopSniveling]

Posted: 4/2/24 at 11:58pm

mridley2 said: "I believe the higher ticket costs are like everything else in our uber-Capitalist society. corporations and wealthy people taking more and more $$ from the pie. I just do not understand where the $$ goes for these $25 Million capitalizations? And I've seen some of the private documents. it doesn't make sense. I've never seen more "producer fees" and "advisor fees" in my life. That is the source of $699 for Cabaret without dinner. It is not just the cost of labor, electricity, and lumber. give me a break."


You're kind of sounding like a conspiracy theorist here.

Those capitalizations are the physical productions, development costs (some shows do 5+ workshops before Broadway), legal & admin fees, marketing costs for before previews, contingencies to cover losses, out-of-town and enhancement fees where applicable. And the longer a show is in development, those fees can pile up. Sure there are General Manager fees and Producer Fees built into the capitalizations, but they're not crazy-high parts of the capitalization and those people do gratis work for years on a show when everyone else gets a union wage per-week. Nobody is getting rich off those fees pre-recoupment.

There are a lot of people being involved with a show, a lot of moving parts, and everything costs money.

Also must remember that the top price for a show is not the only price point available. Cabaret has much cheaper options including $25 lottery seats. And if there's price sensitivity then the top and mid prices will be lowered.

Updated On: 4/3/24 at 11:58 PM

[willep]

Posted: 4/3/24 at 12:01am

Very few shows have $25 lottery seats. I can think of, like, two on Broadway at the moment. Most are closer to $50 these days.

[Wick3]

Posted: 4/3/24 at 12:43am

The article mentions how getting an A-list celebrity is $$$ but at the very least it does recoup the capitalization for its investors most of the time. Examples are Hugh Jackman in The Music Man revival, Lea Michele in Funny Girl revival, Daniel Radcliffe in the Merrily revival, etc. I highly doubt any of those revivals would have recouped if that A-list star wasn't part of the cast.

[mridley2]

Posted: 4/4/24 at 1:40am

exactly. and how many winners of those $25 Cabaret seats will there be for each performance? A lot of these lotteries are gimmicks to get people invested in seeing a show. Anyone claiming lottery is providing accessibility "at all price points" doesn't grasp the reality of the situation at hand.

e.g. The crazy BS that Sweeney Todd is doing at the Lunt-F is a prime example of this lottery bs. Nobody wins lotto but they do an aggressive "upsell rush" every morning at 10AM. box office: Oh we have rear mezz rush for $49 but I can get you in the 5th row orchestra for $99...

Yet NOBODY Is winning that lottery for Sweeney. hmmmmm..
it's a bloodbath.

 

[quizking101]

Posted: 4/4/24 at 7:01am

MayAudraBlessYou2 said: " Plus the author goes out of their way to say that producers are doubling down on big "blockbusters" like the movie industry, and we are seeing a lack of original content. Yet this season has plenty of original shows (Appropriate is a hit, things like Suffs, Lempickaor Patriots COULD be hits, and other shows are based on IP but not really IP that comes with a massivefollowing in the vein of Marvel or Star Wars: Water for Elephants, Outsiders, Illinoise). Producers have also backed risky work like Here Lies Love, Days of Wine and Roses. And then you have recent hits like Hadestown, Six, Kimberly Akimbo (all still running), Fun Home, The Band's Visit, Dear Evan Hansen, Come From Away, and Leopoldstadt which weren't based on any type of IP.”

 

 

FUN HOME was a graphic novel and THE BAND’S VISIT was a 2007 film before either became a musical

 

[hearthemsing22]

Posted: 4/4/24 at 2:44pm

mridley2 said: "exactly. and how many winners of those $25 Cabaret seats will there be for each performance? A lot of these lotteries are gimmicks to get people invested in seeing a show. Anyone claiming lottery is providing accessibility "at all price points" doesn't grasp the reality of the situation at hand.

e.g. The crazy BS that Sweeney Todd is doing at the Lunt-F is a prime example of this lottery bs. Nobody wins lotto but they do an aggressive "upsell rush" every morning at 10AM. box office: Oh we have rear mezz rush for $49 but I can get you in the 5th row orchestra for $99...

Yet NOBODY Is winning that lottery for Sweeney. hmmmmm..
it's a bloodbath.

"

That's a bit of exaggeration hun. People are winning the lottery 

[rattleNwoolypenguin]

Posted: 4/4/24 at 5:27pm

It's like the more expensive Broadway gets,

the worse the sets get

[Wick3]

Posted: 4/4/24 at 6:06pm

Obviously the best seats (center orch) will always be priced at a premium nowadays and those are expensive. However, a better statistic is the cost of the last row of rear balcony (or mezz if there is no balcony) or the worst seat in the house. Is it actually affordable?

[hearthemsing22]

Posted: 4/5/24 at 4:53pm

I don't think this would ever happen. But it would be kinda neat if shows discounted their inventory at maybe half hour to curtain to try to fill their houses. Maybe some sort of special $30 to 30 deal. I don't know how successful it would be though 

[Wick3]

Posted: 4/5/24 at 5:28pm

hearthemsing22 said: "I don't think this would ever happen. But it would be kinda neat if shows discounted their inventory at maybe half hour to curtain to try to fill their houses. Maybe some sort of special $30 to 30 deal. I don't know how successful it would be though"

For How to Dance in Ohio, they had the deal where any unsold seat day of will cost $50. 

 

[hearthemsing22]

Posted: 4/5/24 at 5:45pm

Wick3 said: "hearthemsing22 said: "I don't think this would ever happen. But it would be kinda neat if shows discounted their inventory at maybe half hour to curtain to try to fill their houses. Maybe some sort of special $30 to 30 deal. I don't know how successful it would be though"

For How to Dance in Ohio,they had the deal where any unsold seat day of will cost $50.

"

And how long did that show last...so while it would be amazing if they did something like this and lowered the prices, it's never a guarantee that it would fill houses 

[ErmengardeStopSniveling]

Posted: 4/5/24 at 6:18pm

hearthemsing22 said: "And how long did that show last...so while it would be amazing if they did something like this and lowered the prices, it's never a guarantee that it would fill houses"

Every show is its own specimen, but as has been posited in the past, there are some shows where you could put all seats on sale for $30, advertise as such, and they STILL wouldn't sell out.

Price sensitivity is a real thing for some shows, but I do think it's less of a problem than some people make it out to be. If the genuine interest is there, the barriers of ticket prices start to melt.

[Hopelesslydevoted24]

Posted: 4/5/24 at 11:04pm

This $50 offer had a strict time window. A more apt description for this was any seat purchased between 10am—1pm was $50.  Frankly, it was even more restrictive than a regular rush policy. 

[GiantsInTheSky2]

Posted: 4/6/24 at 6:35am

From: “it would be kinda neat if shows discounted their inventory to try to fill their houses.“

To: “it would be amazing if they did something like this and lowered the prices, it's never a guarantee that it would fill houses”

🤷‍♂️

[RippedMan]

Posted: 4/6/24 at 9:06am

But then you look at the capacities from last week and pretty much every show was doing decent, so clearly the high ticket prices aren't turning people off. I've seen a slew of shows here in Chicago for substantially less. Like $25-30 for pre-Broadway shows. 

[PurpleMonkey]

Posted: 4/15/24 at 10:38am

MayAudraBlessYou2 said: "The article feels like it was written a while ago, sat on the shelf, and was only minorly dusted off and refreshed to be released now. 

To me the article is a bit one sided and doesn't look very deep."

Popping in late to say that the Broadway League is in negotiations right now with a small, but crucial union (ATPAM, represents Press Agents, House Managers, and Company Managers). Don't be surprised if you start seeing more of these, and especially if they point the fingers at "labor costs". The union members are severely unpaid for the work that they do, and are asking for decent changes in pay to match.