Live Entertainment Professionals Buried in the COVID-19 Mix
We need to share and get this information out to the Media as well as our representatives in the Senate and Congress.
“We are an industry almost 2.5 times the size of GM with total yearly revenues in excess of $337 Billion in 2016 compared to $125 Billion for GM in 2019. The impact on our industry has a direct impact on so many other non-entertainment industries (restaurants, hotels, airlines, and retail just to name a few).” -K.C. Jackson
COVID-19 Economic Impact Study Results
Please see below for the findings of our study – We had well over 1,000 detailed responses and feel that it is a really accurate sampling of data.
Please reach out to Chris Ward at email@example.com if you have any questions regarding this study.
All data, images, and text on this page are free to use in any capacity or publication.
The $34 billion Live Events industry has suffered a severe blow from the fight against coronavirus. Concerts, sporting events, trade shows, conferences, theatrical productions, and countless others have been cancelled by the thousands, leaving a thriving industry aggressively and suddenly in shambles. The financial impact from this comes not in ripples, but in tall, devastating waves. A COVID-19 Live Events Industry Impact Study was conducted by Elite Core Audio over March 11-15. Over 1,000 industry professionals responded with granular details of the losses they have already taken, and expect to suffer.The results are both staggering and sobering. The average American live event production company has already lost $157,573, which is 18% of their average expected annual revenue. Considering there are 78,000 of these companies nationwide, the total loss in the short term is expected to be well over $12 billion. Should the cancellations continue, this number will multiply quickly.When it comes to how these companies are responding, the results are grim:
- 91% of all companies are being forced to take major responsive actions
- 49% of companies are anticipating facing layoffs
- 43% of companies are anticipating the need to liquidate assets
- 29% of companies are anticipating facing bankruptcy or closing operationsWhile the Federal Government has responded quickly to the needs of the large companies through SBA loans, paid time off tax credits, and other incentives, there is a large group of individuals that face a difficult and uncertain future – the independent contractors. The provisions put forth by the government do not apply to independent contractors, who are widely considered to be the invisible fabric holding the entire entertainment industry together. It’s been estimated that upwards of 75% of the 269,000 workers in the live events industry are independent contractors, solely reliant on their next gig for securing their next paycheck.The stats for the independent contractors are even more bleak, with an average reported loss of 37% of their expected annual income. These independent contractors are typically the first to go when a company is facing layoffs – companies currently anticipate, on average, laying off 84% of their contract laborers until the live event industry has resumed.