Live Nation’s “On The Road Again” Initiative Deserves Scrutiny

On September 26th, Live Nation announced a new initiative called “On The Road Again” to the applause of many in the press and the music industry. With Willie Nelson as the face of the campaign, the largest live music promoter in the world and the owner of TicketMaster announced that it would no longer be asking for a percentage of merch sales from club-level performers at the company’s venues, and would also be paying them $1,500 on top of their nightly compensation to help with gas and travel expenses.
Live Nation’s “On The Road Again” campaign also announced bonuses to crew members at local venues that have put in over 500 hours of service time, and that Live Nation will be donating $5 million to the Crew Nation relief fund that takes care of behind-the-scenes personnel when they incur unexpected hardships.
Certain local venues owned by Live Nation and other companies take upwards of 15% to 30% of a band’s merch sales on a given night, eating into a major source of revenue for independent and up-and-coming artists. Performers such as Hank Williams III, American Aquarium, and punk rockers Jeff Rosenstock and Laura Jane Grace have been on the warpath in the past and present over this practice, making it public just how much these merch fees eat into their revenue.
But of course there is a catch to all of this. While much of the media reported on Live Nation’s initiative verbatim and without scrutinizing it or digging too deep into the details, others are speaking out, saying its a lot of smoke an mirrors to take heat off the massive company. It also could ultimately hurt many locally-owned music venues by pulling talent away from them as performers rush to play Live Nation venues to cash in on the $1,500 payments.
The biggest and most obvious caveat to the “On The Road Again” program is it’s very temporary. As many media outlets reported the dropping of controversial merch percentages that Live Nation venues and others take, they failed to mention this relief will only last until the end of 2023, or for three months. As the Live Nation announcement says itself, “Through the end of the year, the ‘On The Road Again’ program is expected to deliver tens of millions of dollars in extra earnings to club artists and crew…”
The temporary nature of the program and merch fee relief has since been confirmed by numerous sources. This also goes for the $1,500 extra payments. As soon as 2024 rolls around, all of this is scheduled to go away at the moment. Also, certain Live Nation vendors will not be forced to participate in the merch program, so it’s unclear just how much relief artists will ultimately be receiving.
“Live Nation wanted ‘their’ 20% cut of Merch tonight at The Hamilton in DC, even asked for it specifically in cash,” Alabama songwriter Drayton Farley tweeted out on September 27th, the day after the initiative was announced. “Too bad so sad. We made the Merch, we set the Merch up, and we sold the Merch. To hell with this mafia business.”
Of course a major corporation isn’t going to just slash merch fees and give away checks for no reason. Along with being a PR boon and a tax write-off when it comes to the relief fund donation, according to the National Independent Venue Association or NIVA, the “On The Road Again” initiative will actively hurt locally-owned independent venues, if that’s not the entire reason for the program. As the NIVA said in a statement,
Temporary measures may appear to help artists in the short run but actually can squeeze out independent venues which provide the lifeblood of many artists on thin margins. Independent venues and promoters are investing in and elevating up-and-coming artists every day, and NIVA is supporting those efforts nationally. The initiative announced yesterday may seem like a move to follow the lead of some independent venues. It is not that.
Instead, it appears to be a calculated attempt to use a publicly traded conglomerate’s immeasurable resources to divert artists from independent venues and further consolidate control over the live entertainment sector. Such tactics threaten the vitality of small and medium-sized venues under 3000 capacity, many of which still struggle to keep their doors open.
Independent stages, where the majority of artists, musicians and comedians start their careers, are small businesses and nonprofits. They are continually facing rising costs, increased deceptive ticketing practices in the resale market, and ongoing challenges following the global pandemic. Our stages are critical to the live entertainment ecosystem and local economies, and they must survive.
The economics of touring must drastically improve for artists and independent venues. There has to be a better way. NIVA will continue to support artists and empower independent venues as we collectively find it.
Live Nation received an incredible amount of positive press and praise from the announcement of the “On The Road Again” campaign. It comes at a time when Congress has considered declaring Live Nation a monopoly, and forcing the company to spin off TicketMaster, which is also facing heat and regulation for how it handles fees and surges prices for certain events that face high demand, while the ticketing system also seems to favors scalpers and resellers who bilk the public further with exorbitant prices that the artists themselves do not benefit from.
Live Nation deploying Willie Nelson and his iconic country song “On The Road Again” to be the figure head and slogan of the initiative is especially troubling. Live Nation clearly understood they needed a favorable character to help sell this initiative, and used Willie Nelson as a shield from criticism. Willie Nelson’s camp has close ties with Live Nation, and it’s unlikely the 90-year-old scrutinized the details of the program himself.
It’s not that certain artists and certain performances won’t benefit from this initiative in the next three months, though most artists already have their 2023 calendar booked out, making it difficult to take advantage of the program if they’re not already scheduled at a Live Nation venue. But artist and fans should be clear-eyed about the true aims of the “On The Road Again” program.
This is a savvy PR campaign by the biggest live promoter in the world that very well might be the difference between some independent venues surviving through the end of the year, or being forced to fold as they attempt to compete with Live Nation’s deep pockets. Most independent venues can’t pony up $1,500 additional dollars over the deal they’ve already promised to performers for the next three months.
“The mainstream music press did us all dirty yesterday by not adding ‘for the next 90 days’ to every headline about live nation ending merch cuts,” said independent punk/metal label Tankcrimes on September 27th. “I shared an article with skepticism but still became part of the misinformation. Big PR move, everyone ate it up.”
Meanwhile, the merch fees that have become so controversial with independent artists and their fans, they’re not going anywhere in the long-term, via Live Nation or any other promoter. They still remain a problem, as does the exorbitant amount that it costs for up-and-coming and independent bands to tour in the current environment.
October 2, 2023 @ 10:36 am
I think Live Nation should buy every act a brand spankin’ new tour bus.
While they’re at it they can buy all of these uber talented acts gift cards to all their favorite restaurants, gas cards to fill their bus, and cut them a bonus check for 50 grand, just for showing up.
How about the artists stop their belly aching and bitching, and appreciate being able to play some of these venues.
October 2, 2023 @ 12:05 pm
Bizarre take. Monopolies aren’t some godsend for artists.
October 3, 2023 @ 9:49 am
Live Nation provides some great places to see music.
With excellent musicians.
Not the subpar, whiny class.
Have tickets to see Brian Setzer this Thursday, at an acoustically excellent and beautifully constructed 2,000 seat venue, ~ 1 hour S. of INDY.
In the small village of Nashville (Brown County) Indiana.
In the last year have seen Jeff Beck, with Johnny Depp (last Oct. 28th). Joe Satriana, Marty Stuart, etc. at this wonderful venue, owned by Live Nation.
A mile away from the Brown County Music Center, is Hard Truth Hills.
A fantastic, totally laid back, fashionable distillery & restaurant, nestled amongst gorgeous hardwoods where the free concerts are especially appreciated in the fall ????.
I’ll be doggone if Isaac Rudd & The Revolvers aren’t going to be there, this Friday night.
People enjoy the outdoor concerts sitting at the picnic tables, lawn chairs they carry in, or from the decks of the restaurant.
Live Nation hasn’t hurt Hard Truth Hills, one bit, & they co-exist, a mile away from each other.
Guess what?
All the performers at Hard Truth Hills can sell all the merch their little hearts can carry in.
October 3, 2023 @ 12:00 pm
Di,
Your comments are as uninformed as they are stupid to the point of being dangerous. This article isn’t even about “whiny” musicians, it’s about Live Nation using a misleading campaign to monopolize the live music space.
Also, as I have asked you numerous times, this is a comments section, not a message board. Post comments that are relevant to the topic at hand please.
October 3, 2023 @ 2:12 pm
“Your comments are as uninformed as they are stupid to the point of being dangerous.”
Untrue, Trig.
You get angry to the point of being even more stupid because of valid counterpoints.
If a merchandiser wishes to sell a product, and they do not wish to purchase or construct their own building, they generally lease space to place their merchandise. Paying a handsome fee to the owner, for the opportunity.
What is wrong with Live Nation granting designated space in a Live Nation venue, and asking for a percentage of the total sales?
The point of “whiny musicians” stands.
Let the musicians get together, everyone kicking in some of their own $’s, and construct their own facilities.
What’s that?
Correct.
It will never work.
In the meantime, you have Live Nation coexisting with some very cool venues, that host some incredible musicians and talent.
“Performers such as Hank Williams III, American Aquarium, and punk rockers Jeff Rosenstock and Laura Jane Grace have been on the warpath in the past and present over this practice, making it public just how much these merch fees eat into their revenue.”
Ok.
Let Hank Williams III, American Aquarium, Jeff Rosenstock, and Laura Jane Grace, fund, construct and employee the people necessary to sell their merchandise.
They’re not going to do it.
Not feasible.
Business suicide.
They need a place to display and sell their merchandise.
Whether online, or at someone else’s venue.
October 3, 2023 @ 1:09 pm
The Brown County Music Center looks like a great venue. It was also made and is owned by Brown County itself, not Live Nation. You should be thanking local government, not a monopolistic company.
October 3, 2023 @ 2:38 pm
Adam, you are correct.
Brown County owns the venue.
Live Nation (Ticketmaster) pulls the strings.
“We work in conjunction with Ticketmaster to ensure you get the highest quality experience. We urge you to go through our box office, this website or directly through Ticketmaster.com to purchase your tickets. We cannot guarantee that tickets from miscellaneous sites will be valid and we’d hate for you to not be able to attend the show!”
“We are only able to support requests for verified tickets purchased through our ticket provider: Ticketmaster or Box Office sales.”
Those of us who currently live in this little village appreciate how convenient it is, to run up to the ticket window and grab tickets.
Wish everyone could experience their favorite bands & musicians at least once, in this facility.
The acoustics would blow your mind.
October 4, 2023 @ 4:53 pm
Livenation Di Ticketmaster lady turned off the ability to respond to her comment so I will use yours.
“We work in conjunction with Ticketmaster to ensure you get the highest quality experience. We urge you to go through our box office, this website or directly through Ticketmaster.com to purchase your tickets. We cannot guarantee that tickets from miscellaneous sites will be valid and we’d hate for you to not be able to attend the show!”
Its just that easy! I’m so glad this giant company doesn’t have obvious connections to all them “alternative ticket sites” that jack the price up to ridiculous rates. Just try and get a ticket through Ticketmaster to a big show you want to see. Two seconds after the sales open, all the seats have disappeared and are already on the alternative sites. Ticketmaster also offers the exact same seats that show open as some high demand price that is two or three times the listed price three seconds after they go on sale. They have a monopoly and chicks like Di love to rub our noses in it. I rarely go to big shows anymore because of these practices. When I do, I hold my nose.
October 4, 2023 @ 6:21 pm
Ed S.
Did you miss the comment in reference to the Brown County Music Center that Live Nation pulls the strings?
Am going to have to stop using innuendo.
The reason those of us who currently live in this area are so appreciative of having the ticket window to go to, is we can bypass the Live Nation upcharge, fees, etc.
Not rubbing anything in anyone’s face.
There is plenty of discussion in this geographic area concerning questionable business practices.
October 2, 2023 @ 12:51 pm
I don’t entirely disagree with the notion that there’s a little bit of churlishness regarding LiveNation’s existence as a whole coming through in some of the reactions to this particular effort.
But I do think that’s less of a corrosive issue for local music scenes than LiveNation’s attempt at the Walmartification (or probably more precisely the AMC-ification) of small music venues. Particularly this attempt, which is both crass and transparent.
October 2, 2023 @ 2:35 pm
> probably more precisely the AMC-ification) of small music venues.
This is the ultimate goal. If you’re a touring band and you have the choice: are you going to play at a venue that gives you $1500 or the other place that can’t?
Independent venues start losing out on major touring bands, they lose revenue, and could be put in a situation where they need to sell. Here comes LiveNation buying them out, with the capital sustain regrowing/rebranding, and more venues under their umbrella.
October 2, 2023 @ 10:55 am
This is well done, Trig, thank you for shining a light on it. We don’t always see eye to eye but you do a lot of good work on behalf of artists.
October 2, 2023 @ 1:19 pm
Was about to say the same Ricky. Fantastic article.
October 2, 2023 @ 2:34 pm
This is why the DoJ is supposed to prevent these companies from getting so big. Instead they rubber stamp damn near every merger request that comes through their office.
October 2, 2023 @ 3:41 pm
I abhor the practice of taking a cut of a band’s merch in the clubs. But also look forward to someone taking up the initiative to end the practice of headliners finishing their set around midnight on a weeknight. I am an old fart with a job. I have to get up early and work. I would go to a heck of a lot more shows if I wasn’t gonna get home at 1am. Takes my old ass a week to recover from that.
Must be a reason they do that but I can tell you I don’t know a soul who doesn’t wish they’d stop.
October 3, 2023 @ 6:38 am
oh good, i thought that was just me that took days to recover from one late show in the middle of the week. shit goes to hell after 40.
October 2, 2023 @ 4:37 pm
Make no mistake, Live Nation is a BIG corporation, and they WILL make record profits. That’s why they exist. They will dominate, they will cut any kind of deal possible to screw the little guys. They want a monopoly, of course. This is all about cutting out the little venues and ensuring they are forever neutered. PURE BUSINESS move. And of course the artists will go for it, why not? You would too if given the choice between keeping all your merch profits or giving up 20%. And $1500 for gas money? No Brainer. This is the ugly truth. But the music biz has historically always been shady, at every level.
October 3, 2023 @ 1:45 am
This and the PCPCPCPP Awards fiasco proves that you are a better journalist than those on the Row. All those miles and articles are stacking up, Trigger!
October 3, 2023 @ 5:31 am
“The music business is a cruel and shallow money trench, a long plastic hallway where thieves and pimps run free and good men die like dogs.
October 3, 2023 @ 3:27 pm
“There’s also a negative side.” Hunter S. Thompson. (You have to say the full quote or it doesn’t count).
October 3, 2023 @ 9:47 pm
Thanks for posting the truth about what goes on with Live Nation. Live Nation is trying their damndest to build or buy a venue in Portland. To the uninformed, it seems like a great idea to bring in acts that have been skipping the city. The articles you publish show (with facts to back it up) that its not a good thing for anyone except Live Nation. What they did to Wild Hare by bringing the FairWell to the state truly sucked. Keep up the good fight!
October 5, 2023 @ 2:32 am
So do you better support a performer by ordering merch directly from their website rather than at a venue, or is there a hidden hand taking a chunk of online sales as well?
October 5, 2023 @ 7:15 am
Good question.
Always best to buy directly from the artist if possible. Sometimes there is a facilitation company that takes a small cut for managing an artist’s merch, but that is through their choice, like if they pay them to fully manage if from manufacturing to shipping.
Not all venues take a percentage of merch, and sometimes artists or bands raise the cost of their merch to cover the percentage the venue is taking. In this instance, it is the fan that’s paying the higher cost, and sometimes this disencentivizes fans from buying merch at all because it is so expensive.
I wouldn’t be afraid to ask at the merch table, “Is the venue taking a cut of this?” and then purchasing accordingly.
The reason venue cuts are so concerning is because often it can be the difference between making it or breaking it on the road for a band. They often rely on merch to make it to the next destination.
October 5, 2023 @ 10:14 am
I had no clue venues took a cut of merch until BJ Barham started raising a stink about it. The venue does nothing except provide space for a table. Venue workers don’t set it up, don’t work the booth, it is all the band. Hell if I was told that, I’d set my booth up outside by the bus or van and sell from there. I almost always buy something, even if it is a $5 koozie that I don’t need, just to help the band out a little. That’s why I have a closet full of band tees and forty koozies on my kitchen counter, but if it helps gets these guys and gals down the road and on the road, better they get it than me buy another beer or whatever.
October 8, 2023 @ 4:57 pm
We’ve been working on a nonprofit whose aim is to help smaller to mid level bands tour AND help create a sustainable community for them
To do so. We’ve been developing this for a year. If anyone wants to check it out I’ll put a link at the bottom. Nice of LiveNation to “fix” a problem they’ve created.
https://townsontour.wedid.it/