Why Is Merchandise So Expensive These Days?
You’ll probably agree that being a fan of music artists is becoming very expensive. Yes, we all do it for the love of music, and it’s not like we get paid to follow them. However, if you are a super fan, you’ll need to be loaded, especially if you want to keep up with everything to do with your favorite artists. First, it’s the tickets; no thanks to the dynamic pricing system used by ticket sale companies. Merchandise has also become so expensive. If you can relate, let’s look at the reasons why merchandises are so expensive these days.
Why is merchandise important?
Whether it’s a T-shirt, tote, face cap, or wristband, merchandises are an important part of an artist’s revenue. So yes, buying your favorite artist’s merchandise supports them. According to a study by Betway, a BTS super fan can spend as much as £4,795 to keep up with everything BTS. The average cost of standard merchandise is over £700, of this amount is spent on merchandise, including signed items, and so on.
Furthermore, merchandises are also for brand awareness. When albums, tours, or new projects are announced, merchandises are a good way of promoting them. They also represent a physical or tangible item fans leave the show arenas with. Yes, music is enjoyed, and fans go “crazy” with joy seeing their favorite artists at the live shows. Still, merchandise, especially signed items, are other ways fans connect with their music idols.
Important merchandise.
Different fans have their favorite merchandise but T-shirts, hoodies, or other body-wearable merchandise helps put artists and their logos out there in an eye-catching way. For example, you probably know the tongue and lip logo of the Rolling stones, which is so iconic that even if the name of the brand is not printed alongside the logo, people already know it belongs to the Rolling Stones.
The tendency for album artwork to get shrunk into our mobile screens and be less visible is high. So, merchandise like T-shirts helps fill in the gaps, creating a more visual and cool way of awareness and representing artists out there. Heavy metal artists have been utilizing merchandising for a long time, especially on t-shirts, to cultivate a desired aesthetic for their scene.
How much do music artists make from merchandise sales?
Merchandise sales are undoubtedly a part of an artist’s revenue. For fans, it represents a tangible or physical representation they have with them since the days of CDs/albums were not very popular in modern times. The amount of revenue generated from merchandise sales depends on how big an artist is.
Artists also have to invest in printing/production. Usually, discounts will apply only if merchandise units to be produced run into thousands, which only top-rated acts could comfortably sell out without being left with a truckload of unsold merchandise.
Why are you paying more for merchandise these days?
There are many costs associated with merchandise production and sales that fans or customers don’t see. Tax swallows some percentage of the sale price. What’s more, depending on its capacity, the concert venue also charges a percentage for all merchandise sold. For example, a concert arena with a capacity of 10k and charges over 25% or up to 35% of merchandise sales. Typically, an artist may only be taking home, at most, 25% of the merchandise sales. Again, the bigger the act, the more the revenue
