WHY ARTIST ARE LOSING A LOT OF MONEY ON TOUR (LIL SIMZ x CARDI B) | MY PERSPECTIVE

Summary

In this video, the creator discusses the financial challenges of touring, drawing insights from Cardi B and Little Simz. Cardi B reveals that her tour costs far exceed the revenue generated, highlighting how expensive production can lead artists into deficit despite selling out shows. Little Simz, an independent artist, also shares her struggles with the high costs of U.S. touring. The video emphasizes the importance of meticulous budgeting, the role of a skilled tour manager, and smart decisions to minimize hidden costs like unnecessary production expenses. Ultimately, artists must balance creativity with financial realism for a successful tour.

Takeaways

• 😀 Cardi B highlights the financial strain of touring, mentioning she’s going over budget by millions and may need to use personal funds to cover production costs.
• 😀 Many artists don’t make money on tours due to the high production costs, which often exceed the revenue generated by ticket sales.
• 😀 The role of a tour manager is critical for keeping things on budget and helping artists navigate the financial and logistical challenges of a tour.
• 😀 Promoters advance money for the tour but often don't cover the costs of the artist's creative requests, which can lead to artists spending their own money on extravagant elements like special lighting or stage props.
• 😀 Little Sims canceled her U.S. tour in 2022 due to financial constraints, revealing the difficulty independent artists face when they have to fund the entire tour themselves.
• 😀 Touring costs often include unforeseen expenses, and artists may only make a small profit or even a loss from sold-out tours due to high overheads.
• 😀 Brand partnerships and sponsorships are vital for offsetting production costs and helping to balance out the financial burden of touring.
• 😀 Artists can find hidden costs in their touring budgets, such as unnecessary items like expensive towels or bottled water, which can be cut to save money.
• 😀 It’s important for artists to set realistic expectations about the financial viability of a tour, as tours rarely generate substantial profits for the artist themselves.
• 😀 Successful tour management requires not only a good understanding of logistics but also financial savvy to prevent artists from overspending on unnecessary creative desires.
• 😀 A strong team and attention to detail when managing budgets and creative elements are essential for ensuring a successful and financially viable tour.

Q & A

Why does Cardi B mention that she can't afford to put on her tour at the current capacity?

Cardi B explains that she has gone over her budget for the tour, with the production costs exceeding the planned expenses. This financial deficit forces her to potentially invest her own money or make adjustments to ensure the tour proceeds.

What is the primary reason artists like Cardi B may not make money on tour?

The primary reason is the high production costs involved in creating an elaborate show. Even with a sold-out tour, the revenue generated may not cover these expenses, leaving artists with little to no profit.

What role do promoters play in an artist’s tour finances?

Promoters are responsible for advancing money to fund the tour and are expected to make a profit from the tour's success. They handle the logistics and marketing of the shows, but the financial risks often fall on them as well.

How can creative decisions by artists affect their tour's financial situation?

Creative decisions, such as wanting extravagant production elements like special effects, vehicles, or specific set designs, can significantly increase costs. These additional expenses often come from the artist’s own funds because they aren't covered by the promoter’s budget.

Why is it important to have a good tour manager (TM)?

A good TM helps manage the budget by balancing creative ambitions with financial constraints. They ensure that the tour stays within budget while still delivering a compelling show, helping the artist make smart financial decisions.

What financial issue did Little Simz face when planning her US tour?

Little Simz canceled her US tour because, as an independent artist, she would have been left with a huge financial deficit after covering all the costs of the tour. She emphasized the mental stress and financial burden of managing a tour without external support.

What is the difference between festival performances and traditional tours in terms of financial outcome?

Festival performances are generally more financially rewarding because they require less production investment compared to a full tour. Artists can earn substantial amounts from festival appearances, which often helps offset the high costs of touring.

What are some of the hidden costs in a tour that can quickly add up?

Hidden costs include things like towels, water bottles, hotel rooms, and travel expenses. Even small items can become significant expenses, which may not be essential for the artist but are included in the tour's budget.

What are some strategies to reduce the financial strain of touring?

Artists can reduce costs by negotiating for less extravagant production elements, cutting unnecessary items from the tour budget (like expensive towels or water bottles), and partnering with brands to cover some of the production expenses.

What advice does the speaker give to those organizing tours or managing budgets?

The speaker advises having a detailed and attentive management team that carefully reviews all costs in the tour budget. They emphasize the importance of making smart financial decisions and focusing on essential elements like rehearsals and stage production.