Global music behemoth Live Nation who have been dabbling in the Australian music scene over the last few years have decided to take on the market head on and have cemented their place by gobbling up one of country’s largest touring companies Michael Coppel Presents.
Live Nation are one of the biggest music conglomerates in the world, controlling a range of companies that look after touring, artist management, booking, and even ticketing through their subsidiary Ticketmaster.
They entered the Australian market in 2010 after dominating the market in the United States and United Kingdom, setting up shop with Luke Hede who previously worked for Michael Coppel.
The company are frequently in the headlines across the world for their jaw dropping 360 deals they sign with artists, such as their signing of Madonna to a gasp inducing $120m deal over 10 years to tempt her away from her record company of 25 years, Warner Bros.
This was quickly followed up with similarly massive deals for the likes of Jay-Z, Shakira, U2, Nickleback, and more. How do they pay for these deals? In 2009, Live Nation sold 140 million tickets, promoted 21,000 concerts, partnered with 850 sponsors and averaged 25 million unique monthly users of its e-commerce sites’. It also raked in $US4.2 billion in revenue which is the kind of money that lets you buy up artists as they do.
There have been reports over the last few years that the company is on shaky financial ground following the financial downturn and increased ticket prices in the US leading to lower sales, but that hasn’t stopped executives at the company from pursuing an aggressive expansion strategy..
Michael Coppel and his company have been touring bands for over 30 years and last year won the top independent promoter award at the Billbaord Touring Awards in New York. The savvy acquisition means that Live Nation now control the seventh highest grossing touring company in the world.
In 2011, Micheal Coppel Presents grossed $117.3 million from 136 concerts that drew more than 1 million people, according to Billboard Boxscore. Amongst the artists toured by the company that year are some of music’s biggest names such as Katy Perry, Phoenix, Rihanna, Chris Cornell, and Sade.
Live Nation’s existing concert promotion operation in Australia and New Zealand, which is led by promoters Luke Hede and Roger Field, will be combined with the new business acquisition and renamed Live Nation Australasia. Michael Coppel will head up the new business as president/CEO. Hede and Field will continue to serve as vice presidents of promotions.
“We have worked with Michael Coppel on a number of tours over the years and are now extremely pleased to be welcoming such a well respected and successful promoter into our international network,” Live Nation president/CEO Michael Rapino said in a statement.
“Australia is the 6th largest music market in the world and an increasingly important touring market for international artists. It represents a significant part of our opportunity for international growth.”
In a statement, Coppel added: “I am delighted to be joining Live Nation and look forward to working with Luke, Roger and my current team, together with the touring teams in Los Angeles and London to firmly establish Live Nation as the leading promoter in Australia and New Zealand.”
