"Ticket price 200,000 won"... Hive, burdensome 'fan heart hostage' of industry dinosaurs

The era of concert tickets costing 200,000 won has arrived. Once the price goes up, it never goes down. Prices that exceed the standard set by industry leaders always raise the industry average price. This market economy logic also applies to the entertainment industry.

The sharp K-pop inflation (an economic phenomenon in which the price of all products rises steadily overall) is being pointed out inside and outside the industry. One company contributing to this phenomenon is Hive, an industry giant.

Recently, the news that Enhyphen, a group belonging to the Hive label, is going on a world tour has been reported. The ticket price is 198,000 won for VIP seats and 154,000 won for general seats. Considering last year's concert ticket price of 132,000 won, it has risen by 15% to 34%. Other groups with Hive as their parent company, Seventeen and Tomorrow by Together, also had the same price tag.

Just looking at ticket prices for BTS five years ago shows that inflation is serious. In 2018, the pre-sale ticket for BTS' Gocheok Sky Dome fan meeting was 30,000 won. In March of last year, tickets for BTS' performance at Jamsil Olympic Main Stadium were sold for 165,000 won for regular seats and 220,000 won for VIP seats.

The industry is naturally based on BTS ticket prices. Ticket prices for singer IU's 14th anniversary concert this year ranged from 85,000 won to 165,000 won. The price for SM Entertainment's girl group Espa's solo concert in February was 154,000 won. Considering that it is Espa's first solo concert, the price tag is relatively high. Blackpink's range is wide, from 154,000 won to 264,000 won.

The industry cited rising prices and labor costs as the cause after the COVID-19 pandemic. It is a story that there is no choice but to cover expenses such as venue rental, various outsourcing expenses, marketing, and stage installation. However, the steep rise and price that cannot be ignored made fans (consumers) feel burdened.

There is also criticism that it is a 'hostage of fan hearts' by entertainment companies. Due to the nature of the industry, exclusive supply is possible. This is because consumers do not buy products by looking at them, but by looking at people and consuming. I dug into the point that fans would continue to consume even if the price was raised.

Hive opened the era of 200,000 won ticket price. They are currently proposing 'dynamic pricing (ticket price change system)'. Dynamic pricing is a system in which ticket prices are set differently according to audience demand. The intention is to raise the price of tickets for the concerts of their artists.

Hive's sales have risen significantly. Hive's performance sales increased from 87.7 billion won in 2018 to 191 billion won in 2019. In 2020 and 2021, which were hit by Corona 19, they recorded 4.6 billion won and 45.2 billion won, respectively. Last year, when ticket price inflation emerged in earnest, the performance sales alone recorded a whopping 258.1 billion won.

Reporter Yoon Jun-ho, Ten Asia delo410@tenasia.co.kr