‘The market does not respond to pop stars.’ Jeffrey Campbell, economics professor, University of Notre Dame
Even if the naysayers are right that Swift isn’t such a driving force in the economy — or even a symbol of the spending we’ve seen in recent months — that doesn’t mean she hasn’t changed the game in other ways, however. In terms of the music business alone, she’s leaving an incredible imprint, say those who follow or work in the industry.
For years, there’s been talk about how Live Nation Entertainment’s (LYV) Ticketmaster subsidiary has done a poor job of serving fans and artists alike. But it took the Ticketmaster meltdown that resulted from Swift’s “Eras Tour” going on sale to prompt a Senate hearing on the issue.
At that hearing, Live Nation President Joe Berchtold defended his company, saying “Primary ticketing companies, including Ticketmaster, do not set ticket prices, do not decide how many tickets go on sale and when they go on sale, do not set service fees. Pricing and distribution strategies are determined by artists and teams.”
Still, the damage could be done. Politico reported in July that the Justice Department may file an antitrust lawsuit against Live Nation and its Ticketmaster subsidiary. The Justice Department didn’t respond to a MarketWatch request for comment.
Holly Gleason, a veteran, award-winning music journalist who’s also worked in the industry, says Swift’s role in the matter is undeniable. And her influence extends further, Gleason notes, pointing to how the singer is likely inspiring a generation of female entrepreneurs of all kinds.
“Whether you’re a little girl who wants to start a business or write a song or publish a book…Whatever it is you want to do, she’s the role model that says, ‘Hell, yeah,'” Gleason says.
Swift also sends a message of another kind, says Damian Bazadona, founder of the Situation Group, a New York-based marketing agency that specializes in live entertainment.
Swift didn’t earn her legion of fans for nothing, Bazadona explains. She did it by crafting hit after hit, from “Anti-Hero” to “We Are Never Ever Getting Back Together” to, yes, “Shake It Off.”
Then, she stitched those songs together in a three-hour, 15-minute “Eras Tour” concert that even the most hardened of critics praised as a stunning summation of her life’s work.
The inherent lesson is that you don’t have Taylornomics without talent.
“You got to put on a good show,” Bazadona concludes. “People will spend amazing money on a feeling worth feeling.”
Indeed, the best news for the stock market may be that while the “Eras Tour” is done in the U.S. for 2023, it will resume again in October 2024, starting with Swift’s performance in Miami. Meanwhile, Swift is continuing the international leg of her tour in Argentina next month, having already played Mexico in August.
For her part, Mahon, the New Jersey fan who already spent $10,000 attending Swift concerts, is looking to keep the party going. She’s already made plans to attend the “Eras Tour” stop in Vienna next summer and may add the tour’s closing European date in London as part of the same sojourn, leaving time for some sightseeing along the way.
“I do want to make a trip out of it,” Mahon says.
-Charles Passy
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11-02-23 0801ET
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