Study finds $1.4 billion revenue loss for live entertainment industry due to Covid-19
With COVID-19 still impacting the world in more ways than one, further analysis made on different sectors has showcased the blow-out caused to the live entertainment industry. Resulting in a loss of $1.4 billion in revenue in 2020, the 2019 and 2020 Tikcet Attendance and Revenue Report conducted by Live Performance Australia (LPA), further indicates the massive hit felt by the sector amid the pandemic.
As expected, contemporary music remained the biggest category relating to the live entertainment sector, as it accounted for over 50% of total revenue, resulting in $309 million made via live performances as a result of 37% of attendances. However, when compared to 2019, a 63% decline in revenue and 65% in attendance was experienced in 2020 as a result of the pandemic.
With the closure of the live entertainment industry back in mid-March of 2020, the LPA have gone on to announce a 70% drop in attendance and revenue when taking into account the ticketing data. Such figures have only led to the collapse of confidence within the sector, with insurance schemes emerging as the only solution to this current issue.
When analysing the data presented in this latest report, the Chief Executive of the LPA Evelyn Richardson had the following to say;
”EY’s analysis of 2019 and 2020 data clearly shows the massive hit the live entertainment industry took in 2020. Ongoing restrictions, lockdowns and border closures caused significant disruption to an industry heavily reliant on national touring. In 2020, the number of tickets issued to live performance events fell by 68% to under 8 million, ticket sales revenue fell by 69% to $600 million, and the average ticket price fell from $92.89 to $87.14.”
With venue capacity and border restrictions putting a further hold on the industry’s return to pre-COVID activity, it has become more than evident that different measures need to be put in place in order to combat negative figures of such nature. With this in mind, a full analysis of the report can be found here, with a $90 million Business Reactivation Fund set to help kickstart the live entertainment industry during these uncertain times.
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