Saturday, February 19, 2011

How Much is Too Much?

When you attend a concert you normally want to take a little piece of it home with you, correct? The best concert memorabilia is merchandise such as CDs, posters, and t-shirts. Despite the popularity of merchandise at shows, it can be pretty pricey. Prices usually depend on who is headlining the tour. The headlining band usually sets all merchandise prices through what is called “price matching.” “Price matching” is the term that is referenced when bands set a certain price that the merchandise can be sold. Sometimes this hurts the bands more than help.
Normally when bands go on tour they take 3 opening acts. If the headliner sets a merchandis price match, the opening act bands normally suffer.. For example, if the headliner sets the minimum t-shirt price as $25, no t-shirt can be less than that even those sold by the opening act bands. Newer bands don’t have that many fans therefore it is unlikely that many concert goers would buy their t-shirts, especially when for the same amount of money they could buy a shirt from the headliner.
But who decides how much the shirts cost? Normally the headlining band and their management team determine the price, although many different factors come into play. One is coming up with a good business plan to sell the merchandise. Another is something called a “merch cut,” where the venue takes a cut of the merchandise sold. It can range 15-30% of the sales (Zemler, 2011). In most cases regarding the sale of merchandise it’s not just the band trying make profit, but also a lot of middlemen. Everyone wants a cut, which only increases the sale price
In the end, all things considered, is price matching fair? It has its ups and downs, but for the most part it creates a unified front at the merch tables across the tour. Also, no band is underselling the other band. These prices are becoming a norm for shows. I know when I attend a show I bring at least an extra twenty-five bucks for a shirt.


Zemler, Emily (2011). Retrieved on February 16, 2011 from
http://www.altpress.com/features/entry/expensive_white_ts_the_politics_of_price_matching/

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