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Ever since Ozzy announced it February 6th I've been thinking about--and meaning to blog about--the very interesting format of this summer's Ozzfest. I actually should attribute this innovation to his marketing savvy manager-wife Sharon (leave it to a woman to get it done), as it appears she brainstormed the new concert format.

What's innovative about it? The show is completely FREE to event-goers at every stop on the 25-date tour which kicks-off July 7th in LA.
In Sharon Osbourne's words:"This will change everybody's impression of the way touring in the summer in America should be."
Since 1996 Ozzy Osbourne has been headlining an annual summer concert tour, aptly called "Ozzfest." The festival showcases many bands, both known and fledgling.
Last summer, the tour grossed $18.7 million with poor ticket sales that averaged $42.50 per person. Other big-name acts that have been a part of past events, like Iron Maiden, have not yet been announced but Sharon is hoping they'll come for the fans and make it up in merchandise sales (or "merch" as it's known in the business).
As in past tours, "baby bands" will pay $75,000 for a slot on the tour--so just like in retail, bands too pay slotting fees. For bigger name acts the Osbournes will pay for lights, sound and trucking costs in return for asking the groups to play sans a percentage of the ticket sales (since there won't be any).
Naturally the sponsors will need to carry the brunt of the costs and so far Jagermeister and Monster Energy Drink are on board. By filling venues with free crowds, the Osbournes and promoter Live Nation figure additional beer, food and parking sales will compensate for some of the lost ticket revenue. It will be interesting to see what other sponsors 'bite' (sorry, had to include an Ozzy pun). More interesting is whether "free equals must see". Especially since free can go one of two ways: it can draw in many customers or it can negate a product's value entirely.
What do I like about this model? A lot, actually.
I like that it focuses on the fans. I like the experimental value in it. But I most like when companies who, in thinking "outside of the box," come up with programs that put their customers first. Like with Amazon pulling the plug on TV ads and instead putting that budget into free-shipping offers for customers. These programs come across as smart strategies because they're 100% customer-focused.
Could it fail? Miserably...but still admirably.
I say admirably because we need always push those envelopes and try new tactics, formats and models. And I'm impressed it's not just youngbloods but people in their 50s (60s?) that are reminding us to forever reformat and push that envelope. Same old is, after all, same and old. Good on you, Ozzy (and good luck on your first drug-free tour, we're rooting for you).
P.S.: No bats were harmed during the penning of this post.
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Comments
Leave it to Sharon to revive an old idea. That's right, CK. Your youthfulness (a complement) means you don't remember the good ol' days when lots of bands performed "free concerts in the park" throughout the summers. And these were, at the time, rock's biggest and best.
That was back in the day when the brand of rock was about rebelling against the status quo, not about becoming rich and famous and creating the status quo within the genre. But you don't have to go back any further than the '90s to find the concept. Pearl Jam and other grundge bands frequently performed free.
What's unique about Ozzfest is that the entire summer tour will be free. And, yes, we metal guys will be there.
Posted by: Lewis Green | 02.26.07
Heavy-metal Lew: I've been to 1-day festivals where the only price of admission was the "ticket processing fee" but Ozzfest hasn't gone free yet...and yep, it will be free all summer long. I'm looking forward to hearing which big bands sign-on and if attendance soars or remains flat. On that note, I shall see you at the show ;-).
Posted by: CK | 02.26.07
I'm not a fan, but this looks like a stroke of brilliance. I'm looking forward to reading a case study about it once it's all over.
Posted by: Cam Beck | 02.26.07
Cam: I'm actually not a huge fan either but I will look to attend the show when they announce a NY date. Call it market research :-).
Actually, that's not true...I'm a HUGE fan of Sharon Osbourne. She is so marketing savvy and strong. The reality show was her idea as is this concert format it appears.
Posted by: CK | 02.26.07
Like you, CK, I love that this model is forging new ground -- and that some seasoned individuals are behind it. And I agree with you Cam -- it'll be interesting to see how this plays out, and whether others bands and businesses adopt a similar model. For example, I've thought for a long time that movie theater tickets should be free (or almost-free)... considering what concessions charge.
p.s. Does Ozzy actually play at Ozzfest? I always thought it was the lesser-knowns on stage more than the big names?
Posted by: Ann Handley | 02.26.07
Ann: Ozzy is at his show for sure. It's Ozzy, a few big names and then a lot of "little guys". This tour is big since he's gone completely free of price AND free of drugs. We'll see if both fronts hold to free throughout the tour.
Posted by: CK | 02.26.07
I also think it's great that Ozzy has committed to do the entire tour. And that the tour will feature an Alice In Chains reunion. That's a great foundation to sign other acts off of.
I think that most concertgoers will spend at least as much on merch that they would have spent on a ticket. They'll have a 'mental calculator' going. One sponsor that needs to jump on this is Instant Live. The company produces CDs of the concerts they are set up at, and sells the CDs about 15 mins after the concert ends. I believe they also offer the shows as downloadable MP3s. These CDs would be huge sellers on a free tour such as this.
Great idea and great post CK. I think the tour will have some heavy-lifting to do to get to the point where it makes more money free than it did as pay, but the more word-of-mouse it gets, the better!
Posted by: Mack Collier | 02.26.07
I've never been a big Ozzy fan, and when I see him interviewed on TV, I have to struggle to understand what he's slurring.
That aside, I do think this is an interesting approach to touring. I'm not thrilled about the participating bands having to pay $75,000 to be in it. That eliminates a lot of good bands, and you can't count on record labels to foot the cost anymore.
But by knocking out the cost for fans (or even lowering it a lot), I'd think it will be a hit, in terms of attendance at least. And if it means even more commercialism at the shows, that probably won't be a problem. Rock fans have become used to it.
We'll see.
Posted by: David Reich | 02.26.07
"For example, I've thought for a long time that movie theater tickets should be free (or almost-free)... considering what concessions charge."
I've always thought that there is a market for a theater chain that charges a flat fee for a movie ticket, along with a drink and one candy item, or popcorn. But the key is, the theater and bathrooms stay IMMACULATELY clean. Even if it means losing screenings to take time out to clean inbetween showings. I think if everyone paid a flat fee up front, and the theaters were clean and comfortable, that it would be a hit.
Posted by: Mack Collier | 02.26.07
I've never gone, myself - but my friends who have were discussing this over the weekend. Although they thought the concept was cool, they were worried that good bands won't sign up because it has already been announced as free.
They've gone to Ozzfest a few times, and they're not going to see Ozzy (who they have seen perform at it) - they're going for the great other bands.
So we'll see. I expect that a lot of decisions to go will be last-minute, as opposed to before, where you took a day off for it and planned way in advance. Are most of the dates on the weekend? That will help the decision along.
Posted by: Jessica Boucher | 02.26.07
Hey Mack, don't get me started re. movie theater operators and their prices. It burns me up that you have to pay $10+ (here in NY, anyway) and they still bombard you with commercials before the show. I resent that so much, and I used to drive my wife crazy by saying I won't go to this theater or that one because they show commercials. Now they all do, so I'm stuck.
As for concession prices, I bring in a can of Diet Coke in my pocket.
But I digress.
Posted by: David Reich | 02.26.07
One other thought: My guess is that a show like this would "sell" out almost instantly.... how can the Great Oz control ticket distribution? Or hoarding? Would a number wind up being sold anyway..? On eBay? On the street outside the 'fest?
Second other thought: Compare this approach with tickets to this summer's Police reunion tour. I tried to get tickets for their Boston appearance at Fenway Park... but to get on the list for tickets I first had to join The Police fan club for $100... THEN I could pay upwards of $100/ticket. Thanks... but I'm full.
Posted by: Ann Handley | 02.26.07
Ann,
Welcome to the headbangers ball. My guess, it's all general admission, come early, camp out, stay late, and sharpen those elbows baby. Just like old times in the '60s and '70s-Black Sabbath and crank it up.
Posted by: Lewis Green | 02.26.07
David I forgot about the commercials at the theater, that was part of it as well. Say charge $15-18 for a ticket, medium coke, and your choice of medium popcorn or a candy item. In return, you get a spotless and comfortable theater and restroom, and NO COMMERCIALS.
I think it would be a hit. Not even sure if it's feasible for theaters to dump the ads, but would be nice if they could.
Posted by: Mack Collier | 02.26.07
Ann I think they are going to allot a certain number of tickets to fans that have signed up through their website, I assume on a first-come/first-served basis.
BTW if you want to sign up for email notifications for when you can get tix, here's the link:
http://www.ozzfest.com/globalsignup.html?sid=748459086
Posted by: Mack Collier | 02.26.07
I;m not sure we are still talking about Ozzfest or whether the subject has changed to movies, but for those with questions about how Ozzfest will work, here is the latest from the official site:
"More Ozzfest 07 info will be released by the end of the first week in March! As far as making sure you get your FREE OZZFEST tickets, your first step is signing up to Ozzfest.com to receive email notifications. You will then be sent all the band, date and ticket info when it is released. Stay tuned, more coming soon!!
Posted by: Lewis Green | 02.26.07
Jessica: You hit on yet another metric that will need to be measured at the last minute--in every city, as momentum builds...the bands signing up. I do not know if 75k is tenable for them. My guess is "yes" since they've paid those fees in the past.
Ann: They've not yet announced the ticketing process but I would think that everyone would need to show I.D. to claim their ticket. The Ozzfest site is not annoucing details until March.
David: I didn't mind the "targeted trailers". When there were like 5 of them. It's unbelievable now; I agree.
Posted by: CK | 02.26.07
CK, I don't have a problem with trailers (coming attractions) at the movie theater, in fact, they can be fun.
I mean outright commercials -- sometimes the same commercials we see on TV at home. It annoys me that we pay a lot of money to go to the movies, and then we're forced to sit in a dark theater and watch commercials. I woul;dn't care if they have ads running on TV screens inthe lobby area,or even in the bathrooms. But not on the big screen in thje dark, when I am pretty much FORCED to watch.
Grrr.
Posted by: David Reich | 02.26.07
Sharon is brilliant!
The record companies will be more than happy to foot the $75,000 so the band will be more indebted to them.
Posted by: Tammy Strnatka | 02.26.07
I've actually been pushing for this model for a couple years now for a Denton festival I ran back in college. We've been dealing with the same sort of things since I "retired," less people, increasing prices, bla bla (although we were still peaking at about 20k back when I was involved, and yes, I'll pat myself on the back for that).
But it just makes too much sense. The healthiness of any festival is largely dependent on the number of people showing up. The more people show up, the more those eyeballs can be monetized, for both the artists and the promoters. I'm glad to see Ozzie getting out on the forefront of this.
I'm willing to bet that their biggest problem will be where to put all the people...
Posted by: Paul McEnany | 02.26.07
Tammy: well said.
Paul: 20k is awesome for turnout, do pat yourself on the back for sure. I think Ozzy wants the problem of too many people (vs. too few) and it will be interesting to see how they'll award the tickets (as info. won't be released until March). I do very much like this model as well.
Posted by: CK | 02.27.07