by Big financial interests are involved in Rammstein’s two gigs at the Groninger Stadspark. Who gets what from the band’s performances centered around controversial vocalist Till Lindemann?
There’s plenty to do about German metal band Rammstein’s two concerts on the 6th and 7th of July at the Groninger Stadspark. Vocalist Till Lindemann is accused of drugging and raping young fans after concerts. The German Public Prosecutor’s Office is investigating Lindemann’s business. On July 6 there will be a protest in Groningen against ‘rape culture’.
Here and there, voices can already be heard canceling Rammstein concerts. It’s not that far (yet). For many people who bought tickets, this would be hard to digest. There are also many financial interests at stake.
Pop concerts on big stages are big business. This is evident only from the price of tickets. Visitors had to pay 95 euros for Rammstein concerts in the Groninger Stadspark. In all, 110,000 tickets were sold, do the math: ticket sales alone amount to 10.4 million euros. From this amount, 6% VAT and 7% music royalties must be deducted. This leaves a net turnover of 9,112,680 euros.
The rental amount depends on the number of visitors
The municipality of Groningen leases the trotting track to concert promoter Greenhouse Talent. According to municipal spokesman Corien Koetsier, he pays a standardized fee for this. The value depends, among other things, on the number of concert days, the duration of construction and dismantling and the number of visitors who come to the two concerts. The municipality does not want to reveal the exact amount, but we can deduct it from a budget that should be 125 thousand euros.
In addition, Rammstein have to pay 6814 euros in fees to the municipality for the license, which are the costs of an event with more than 25,000 visitors.
The organizer of the show Greenhouse Talent from Breda / Ghent also does not want to divulge the exact amounts for organizing the shows. We may rely on information from competitor Mojo.
There’s a lot involved in such a bombastic mega show
In 2017, CFO Leo Jaarsma listed the costs and revenues of such an event. However, prices have risen enormously, but the relationship between values will not have changed substantially. The calculation was based on a random concert with 5000 visitors who had to pay a ticket of 39 euros. At Rammstein in Groningen, the turnover is fifty times higher. Some costs will increase accordingly, others much less.
There’s a lot involved in such a bombastic mega show. It is estimated that between 300 and 500 employees are involved in the construction and dismantling alone – which, according to Rammstein’s Koetsier, takes twenty days.
According to Jaarsma, every artist who comes to Holland wants a guaranteed value without a single ticket being sold. In addition, an agreement is concluded on net profit (revenue minus costs). The most common split is that 85% goes to the performer and 15% to the show organizer. For great artists, this ratio is 90:10.
It’s no secret that famous artists have big earnings
Based on Mojo’s calculation exercise, the costs (act of support, security, insurance, cleaning, light and sound, catering, ticket scanning, technical team) for the concert promoter Greenhouse Talent amount to at least 5 million euros . This is offset by on-site catering revenue and 10 or 15% of net income. Rammstein gets around 4 million, but the audience also gets a spectacular show for it.
It’s no secret that famous performers have huge earnings. So I brought the split tour Ed Sheeran’s record figure of €707 million, i.e. €2.8 million per performance. And Guns ‘N Roses, who visited the Stadspark a year ago, have done it before with the Excursion not in this life… 2.9 million euros per show.
There are many other interests. All hotels in Groningen are sold out on the 6th and 7th of July. ,,I suppose,” agrees hotel manager Tetsia de Zeeuw of the Martini Hotel. ,,This also happened during Noorderslag, the TT in Assen and last year at the Guns ‘N Roses concert. Our own 116-room hotel was fully booked immediately after Rammstein’s concerts were announced. We have a lot of guests from Germany.”
‘Rammstein is an extra for hospitality’
De Zeeuw estimates that there are approximately 1,500 hotel rooms in Groningen. Compared to other cities, this is little, according to her. These rooms are usually full on weekends, but not during the week. That’s why it’s convenient that Rammstein’s first concert night falls on a Thursday. “It’s an added bonus for the hospitality industry.”
In addition, the small company in Groningen also makes good money with the arrival of a band like Rammstein. Spectators go out to dinner, settle down in a cafe and visit shops and museums. Finally, it also promotes Groningen as a music city.
