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Live Nation And The Mysterious Charity Fee

05:01 PM Monday 4/6/09 |   |

While I may not be able to tell you where most fees tacked on to tickets sold by Live Nation (or Ticketmaster, for that matter) end up, I can tell you exactly where the “charity fee” added to tickets at some of the company’s venues in Northern California goes.

First a little background though: A couple of weeks ago, in a story about “parking fees” being charged by Live Nation at the PNC Bank Arts Center in Holmdel, N.J., New York Daily News writer Jim Farber offhandedly raised the issue of a $.25 “charity fee” that was also being charged.

Since the story was about charging everyone the $6 parking fee whether they drove to the show or not, the “charity fee” barely registered on my radar. Then a reader named Wildthing alerted me to the fact Live Nation was adding a similar “charity fee” to tickets in California.

Wildthing wrote:

I contacted Live Nation about this added fee, [and] they stated it was the artist who chose to make the contribution. They stated some artists will list who the charity [is] they are contributing to and sometimes they do not.

When Wildthing asked about declining to pay the charity fee, the company said it wasn’t an option.

It turned out the shows that Wildthing was buying tickets for were Coldplay shows at Shoreline Amphitheatre near San Francisco and Sleep Train Amphitheatre near Sacramento. A look at the Live Nation web site revealed that there was indeed a $.50 “charity fee” listed as part of the price of the ticket.

I decided to do a little bit of research and see if the fee was being added to tickets for other artists. A search for tickets for The Fray uncovered a $1 fee being tacked onto the band’s show at Sleep Train Amphitheatre with no explanation.

It was time for a few emails and phone calls.

My first stop was The Fray’s manager Jason Rio, who told me the band was adding $.50 to the cost of its tickets and that the money was going to Reverb, an organization that helps artists green their tours and works for environmental causes. Okay, that’s great, but what about the other $.50? Rio said he had no idea what that was about and directed me to the band’s agent, Jonathan Adelman.

Adelman confirmed what Rio told me and directed me to Rick Mueller, president of Live Nation's California division, to find out about the other $.50. Rick, as it turned out, was on vacation at the time, so I decided to turn to the Coldplay team for some answers until he could get back to me.

A call to the band’s manager, Dave Holmes, resulted in not only a voicemail message from him, but an email from Marty Diamond, the band’s agent.

Both Holmes and Diamond explained that while Coldplay doesn’t add a “charity fee” to its tickets, the band does “donate 10 percent on earnings on ticket sales, records and publishing to a variety of charities.”

Really? That’s pretty cool and it makes me respect Chris Martin and company a little bit more. But there was still the question of the $.50 cents being added to the band’s tickets as a “charity fee.”

Finally, after a week or so of waiting, I was able to get in touch with Rick Mueller, who, like everyone else I contacted about this by the way, couldn’t have been nicer or more straight forward. And here, without further ado, is Rick’s answer:

For some time now, Live Nation San Francisco has added a charity fee of $.50 to every ticket sold to an event at a Live Nation venue in Northern California. $.25 goes to the Bill Graham Foundation, which was established at the time of Bill’s death to support a variety of music charities. The other $.25 goes to our continuing efforts to reduce the environmental impact of concerts held at our six owned and operated Bay Area venues.

Generally speaking, the $.50 cent charity fee is built into the price of the ticket, but there are times, as in the case with Coldplay at the Shoreline Amphitheatre, where we break it out.

So there you have it. The money is really going to charitable causes. I haven’t made much headway with regard to the fee being charged at the PNC Center, but I imagine it’s a similar deal.

A couple of things still puzzle me about all of this though. First, we all know Live Nation could certainly use a boost in its public image, so why not let fans know about what they’re doing? It would be as simple as adding a line to the checkout page on their web site explaining the “charity fee.”

Second, part of me has a problem with people being forced to donate to a charity. Granted, it happens all the time, especially with festivals. But usually the artist or company is up front about a portion of ticket sales going to one charity or another.

In the end, this is yet another P.R. goof on Live Nation’s part. When are companies going to learn that the public will tolerate a lot more from them if they’re honest and straightforward in the first place?

Comments

  1. HappyMusic007 wrote:

    10:48 AM, Apr 14, 2009

    Thanks for investigating this! I agree with your comments at the end. I think it should be an option to put a charity fee on there.  Once again Live Nation is out for themselves, and not for passionate music/concert goers.

  2. texas_dan wrote:

    08:03 PM, Apr 08, 2009

    Thats the dumbest comment i've seen on here when HeavyMetalInfant said "But fans seem to think concerts are staged just out of the kindness of their favorite band's heart."

    I dont think i've seen anyone ever say the bands get paid too much.  The complaints are all the fees adddd to a concert ticket.  I think they should have an all inclusive amount.  When its all inclusive you know before you buy the ticket exactly how much it costs.   Sometimes buying a concerrt ticket is much like boarding an airplane you dont know how much your paying until your ready to actually check out.

  3. Heavy Metal Infant wrote:

    08:41 AM, Apr 08, 2009

    It's funny that if the prices were EXACTLY the same, but didn't include all the fees and breakdowns, most fans would suddenly think everything was kosher.

    They should just set tickets at one price and call it the "all-inclusive, money grubbing artist, too expensive stage production, no one makes any money unless the tickets cost this much" price. But fans seem to think concerts are staged just out of the kindness of their favorite band's heart.

  4. fireworksgal wrote:

    06:10 AM, Apr 08, 2009

    I have no problem donating to charities of MY choice, and as crass as it may dound, taking MY tax deduction.  Not only are we subsidizing charities which we may not want to support, but the "powers that be" are using OUR money and taking it as THEIR tax deduction.

  5. hooterville wrote:

    06:55 PM, Apr 07, 2009

    This forced 'charity' fee is ludicrous.  These celebrities and corporations can feel free to donate THEIR money.  More than likely I'm not interested in the latest celebrity pet cause.  I dont find most celebrities causes all that compelling or even worthy.  Im sure most of us can think of much better causes then the Garden State Arts Foundation or some 'enviromental impact' scam for our charity!

  6. angie wrote:

    05:03 PM, Apr 07, 2009

    Call me selfish, but I agree with texas_dan. How are you being charitable if you're being FORCED to donate?! Honestly, I have no problem with charity, I think it's a good thing and they picked good charities to give to, but like Jim stated in the article, I have an issue with donating and not having a choice. Given the choice, I would probably accept the donation, but under the circumstances of being lied to about the charge when they don't openly admit that there is one and/or being misinformed by seeing an extra charge and not knowing what it's for, I would probably deny it if I was in fact given the choice.

    I do however think this is a scheme and a bit crook-like as stated by Vic-tor, because they're not being open and giving options about it. Ticketmaster and LiveNation are already notorious for false and ridiculous fees, this does not help their image any more than lawsuits do.

  7. Insiderontheoutside wrote:

    02:54 PM, Apr 07, 2009

    The charity fees for the PNC Bank Arts Center go to the Garden State Arts Foundation. The venue is owned by the New Jersey Turnpike Authority and Live Nation leases it. The Arts Foundation is a non profit formed from the Turnpike Authority that puts on children programs, senior events, drug awareness events and such at PNC and select other locations. The funding for this origanization is brought in solely from donations and the charity fee tacked onto the tickets. If you call the venue, they will tell you.

    And the parking fee that is tacked on to tickets is also used to maintain the parking lots and grounds. You may not want to park your car there but you still want to be able to walk through the lots to get to a way home, catch a shuttle bus to be closer, have lights in the lot after a show and have bathrooms and portojohns available to you while out there right?

  8. monet2u wrote:

    10:19 AM, Apr 07, 2009

    I don't mind a small charity fee, it's all the other fees that make me really angry! What the HELL are those for??? someone answer me that!

    I believe in a decent pay for workers, but I find it hard to believe that the fees being charged by these tix agencies are just to support their workforce. Especially since I'm sure many of their workers are paid very little. So then what are we paying for? They are averaging $10 a tix in fees, so somebody is getting rich while I become poor.

  9. Vic-tor wrote:

    10:22 PM, Apr 06, 2009

    HAHAHAHAHAHA!!!!!

    Another nebulous fee tacked onto cost of a ticket by the Crooks at Ticketmaster & their brethren.

    Do what I do...inevitably some a-hole yuppie will arrive at the show with extra tickets for which I will usually pay $.20-.25 on the dollar. Then I laugh my ass off. NOBODY gets a cent from me, not charities, parking lot, convenience or facility fee coming out of my pocket. Like PT Barnum says...There's a sucker born every minute, and most of them listen to Coldplay!

  10. Jamin' wrote:

    09:46 PM, Apr 06, 2009

    Good work but ya didn't finish the story.....

    Did ya check with the Bill Graham Foundation to see how much of this "charity Fee" they got from Live Nation, Because thats alot of money.

    Good job though on following through and looking into this.

  11. texas_dan wrote:

    08:16 PM, Apr 06, 2009

    Charity is not charity if it forced on you.

  12. Mal,MNN wrote:

    06:55 PM, Apr 06, 2009

    Jim- great detective and "public service" work on this.  i agree with you fully, the charity idea is commendable, but should be completly transparent to the consumer (especially now for the ticket industry).  my guess is that there are likely comsumer protection laws already in effect.  Hmmm.........., could these firms be in violation??? !!!!

    best, Mal

    http://www.musicnewsnet.com/



Artists Mentioned in this article