08S7B trailblazers

Economy of Arts Performances in Our School

Many of us may have noticed that these two months have been filling with various concert. Quite sad that cannot go for choir concert last night coz of training. But I heard it was awesome!! Hope they will perform even better tomorrow!

I was just amazed by the numbers of concert held these two months in our school only, ranging from Drama to Dance, from instrumental to vocal. Besides our internal performances, we also see a lot of promotions of performances from other schools such HC-RJ joint production of Shakespear 24 as well as Straitstime Pocketmoney fund. However, the problem lies with the purchasing capability of the students. For the majority of the student body, they do not have particular preference towards any performing arts. (this is an assumption because either string or band won’t make much difference to me as it is just a chance of enrichment of arts) On the other hand, I think we go for various concert mainly to support our friends in their CCAs. However, as some of my friends have complained they are nearly bankrupt already this month because they are forced to buy too many concert tickets. In a performing arts CCA myself, I’m just wondering how the situation can be improved and earn maximum revenue next year.

Assuming the students buy various concert tickets without particular preference but only to support their friends in various CCAs, we can say these concerts are close substitutes with one another. Since the buying powers of the students are limited, students will run out of pocket money soon in a month since most concerts are cramped together. Hence the first suggestion we can draw is that performing arts societies can spread their concert over the whole year rather than confined to term II only. However, it is very practical since students have Block Test in Term III whereas Promo in Term IV. On the other hand, there is not sufficient time for practice is the concert is scheduled in term I. Hence, it seems we can do little about the time period and all the concerts (product of different CCAs) have to come to our HC market at the same time and compete with each other.

Another interesting point to note is that some concert sells their ticket at much higher price than their competitors ( maybe the tone of the word is not so correct =) Generally, concerts held outside school and renting external theatres have higher prices as their cost is higher. These concerts have larger scope of audience since they are held in public places. In addition, concerts held in Victoria Hall or Esplanade convey the idea that they are superior, I assume so. Hence they can attract more high-end customers, is it? Since some concerts are able to charge higher prices whilst secure their ‘market share’, it proves that our concert market is not perfect competition since the products are not identical. Some concert also enjoys better fames so they have developed their ‘brand loyalty’, making the demand for their concert more price inelastic.

When Huang Cheng (Chinese Drama) first came into the market, it charges very high prices yet they sold out all the tickets for three performances at the Victoria Theatre. I attribute their market success to following reasons: 1. Early introduction. By the time Huang Cheng is introduced, it was the first concert(production) in our school. With no outstanding competitors, Huang Cheng was more like a monopoly at that time and clear out its stock very soon. 2. Introduction to the market at the perfect time. Huang Cheng debuted in March, when most students were largely free since not many tests were coming out. 3. Official promotion. Our college was formerly known as Huang Cheng and video of Huang Cheng CCA was displayed during Orientation. The school has given much attention to Huang Cheng as well. Hence most students feel both proud and obligatory to go to watch Huang Cheng.
You may like to note that both Huang Cheng and Choir sell their ticket at different prices whereas other concerts charge uniform prices. Intuitively I think it is a form of price discrimination. However, this does not satisfy several conditions of PD. For example, there is not distinct segmentation of market since everyone is eligible to buy the ticket at whichever price he likes. No measures could be carried out to prevent seepage of tickets. On the other hand, it is a form of price differentiation since tickets with higher prices are in exchange of better seats or better timing of a concert. Even though the cost of the chairs and cushions are the same, seats in front and on the ground floor render better views (better services). So they should definitely be charged at higher prices. Similarly, we can explain why concert on Saturday night is dearer than other those held at other time.

Yup, some more point to add. MAD(Music and Dance) and Chinese Dance will have their joint production next week. Wish they have a successful performance as well! I’m not suggesting the MAD and CD are not competitive, but I think a joint production make both more viable. It is like a merger of two firms, which results a larger company that can compete more effectively. Of course, we can expect their ‘concert’ is more multifaceted since they have mixing of traditional dance and modern pop! And I think this is applicable to several other CCAs as well, for example, Guitar and Harmonica, String and CO and have joint production as well. Even inter-school CCA concert! Since a larger scope of audience is expected, the concert may be held twice or thrice. But each CCA does not need to practise so many pieces of songs. Hence, students in performing arts may not need to stay at school beyond 7 pm as Mr Ang has promised during principal dialogue. =]

I also expect the CCAs will hold promotions as their concerts are approaching. However, this does not happen even though the audi/theatre was not fully seated in the end. For those concerts held inside our campus, marginal cost selling the ticket to one more student is low since only a simple booklet needs to be provided. Hence why not cut down the price, attract more customers and generate more revenue? Bulk purchase is also possible. A class with more than 10 ordering may enjoy a discount, for instance. Anyway is such kind of promotion forbid by school or such behaviours will make the concert appears inferior?


Oops, I don’t expect to write so much…so tired after coming back from training today. Good luck to all upcoming players in their concert, including me as well!

Sicheng

Labels: concert, economic analysis

posted by AphelionWang @ 6:33 PM