(CelebrityAccess) – In a recent sit down with CNBC, Live Nation CEO Michael Rapino told the news network that “around the world, the demand for the live show is bigger than ever.”
Rapino attributes the surge in demand to the constant growth of the internet saying that “it has really unlocked the global potential of a live customer.”
With some 90 million music fans having attended a Live Nation concert in 2018 alone, the company has captured a 30% market share already, however, Rapino is confident that LN can add another 40-50 million customers to that base over the next 10 years.
Even with the introduction of something like VR technology into the live space, Rapino believes the concert experience is simply not duplicatable. “Those two hours you go with your wife, your college roommates to reminisce on ACDC or your son’s first concert, those are Kodak moments. Those are great to watch on Youtube, but going to that show and having that [hair raising moment] where you’re so excited, those are not duplicatable.”
In the face of changing technology, more and more artists have also come to rely on the live industry as an increasingly important component of their revenue stream. Rapino explained: “We’ve seen it over the last 10 years. We predicted this rise of live as recording and streaming and downloads were going through their transition.”
He went on to note that while artists today have to ensure that their singles are being streamed and downloaded across all of the leading streaming platforms, it is not where most are making their money. “[Artists] are not making the revenue from that side of the business that [they] historically did.” He added, “Live and on the road is going to be how [artists] pay most of the bills and reach most of [their] fans from an engagement [perspective].”
According to Rapino, Live Nation believes that “live music is a passionate, top three thing that a consumer wants to do in life.” He says buying a concert ticket is not like going through a supermarket where one might make an impulse buy. With the average fan going to two-and-a-half shows a year, concert tickets are a commitment and a planned experience.
Bearing this in mind, Rapino says Live Nation views itself as a “concierge” of sorts within that equation.
To watch the full interview, click HERE.