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Duo’s tale an example of finding its groove in today’s music biz | More inside Hear. And now. Use the QR codes at right to check out two video reports Studios and the state of the art Meet Dale Earnhardt Jr. Jr. from Crain’s about the business of music in . Learn about The energetic Here’s how: the latest Detroit duo 1. Open your favorite “QR code scanner” application on your movement in has indie-pop smartphone, or download one for free from the iTunes Store or the recording fans’ hearts Google Play Store. industry from racing. How’d 2.Point your phone’s camera at the code and scan. The code Detroit studio they get their will bring you to a mobile site where you can watch and listen. producers. start? 3. Enjoy! Related story, Interview on Page M2 Page M8 DBGateFlap.qxp 8/28/2012 12:34 PM Page 1 DBGatespread.qxp 8/28/2012 12:23 PM Page 1

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The home and future of great music and industry. 7%!s!$!s7!2.%2"2/32%#/2$3s!4,!.4)#2%#/2$3s7!2.%2-53)#.!3(6),,% 2()./2%#/2$3s./.%35#(2%#/2$3s#52"2%#/2$3s%,%+42!2%#/2$3s3)2%2%#/2$3 3)$%/.%$5--92%#/2$3s2)3%2%#/2$3s"%''!23'2/50s8,2%#/2$3s&2)$!9-53)# 20120903-SUPP--0001-NAT-CCI-CD_-- 8/29/2012 4:05 PM Page 1

FALL 2012 CRAIN’S DETROIT BUSINESS Page M1 Same old ? Not anymore, as new beat drives Detroit music biz usinesses in metro Detroit forced to your window to the world.”

adapt in an industry that has changed Yet this region has a vibrant patchwork of music- ONE HU G ND IN R T E forever ... oriented businesses. And they’re finding new rev- A D R Y B E E Seems like we’ve heard that one be- enue streams — merchandise and ticket sales — to A L R

E S fore, in automotive, health care and make up for dollars that once came from the sale of C 100 even banking. CDs and vinyl. Artists now think like entrepre- Now, Crain’s tells the tale for music neurs. Crowd-funding has become a way for per- — an industry that in many ways put formers to raise money from fans. DetroitB on a global map. Detroit’s music can be a bigger part of the This special report on Detroit’s evolving music in- local economy. Nashville uses music as the back- dustry shows how music-related businesses are adapt- bone of a growing economy, and it doesn’t have the ing. It’s a look at potential for growth, as old business- history Detroit has. es look at new business models. A great example of the evolving music businesses And this report is a debut of is Mack Avenue Records. This Detroit-based company greater coverage an industry that is replacing sales-oriented revenue with merchan- other cities — Austin and dising revenue. And it’s trying to harness the social — have used as a big part of the media outlets rather than purely compete. local economy. As writer and pro- Pandora and Spotify are the kind of services that fessor Richard Florida points out on take the place of CD sales. But, said Mack President M9, cities that are open to new Denny Stillwell, they’re still playing Mack . sounds are often open to new “There continues to be a broad range of opportu- technologies and businesses. nities to expose music even as our industry pulls it- “, Mitch Ryder and the self out of one of the worst periods in its history,” he Florida , the MC5, said. “One of our challenges is to be in the best posi- and , , , , the tion to take advantage of those opportunities.” White Stripes, pioneers — they de- And maybe the next chapter is the region taking fine Detroit in the popular imagination as much as advantage of opportunities, as well. do cars and the Motor City,” Florida said. “Music is — Daniel Duggan, deputy managing editor 00 SAVE $100 OFF Tracks Exporting Sites for sounds Detroit A list of the venues of metro Detroit, the capacity and big shows. Making money Page M10 in Detroit proves to be much harder Venues: than making money from Looking Detroit. Artists who built a Ronnie Euro back following What’s outside the region. Veteran music Shawn Neil and Jeff Wenzel Page M6 writer Bill of Groovebox Studios Holdship on the great venues of that metro Detroit’s history. In the studio Page M13 ticking The idea of just recording tracks for artists’ CDs is no longer viable for studios. A look at the new reality and Venues: Looking ahead sound? business models in metro Detroit. Performance venues have needed to Page M2 adapt and find new revenue streams. Given the changes Page M14 On the in the financial marketplace, Dale Earnhardt Jr. Jr. Music festivals your life insurance policies may not label be performing as intended. Considered an up-and-coming A guide to the major music festivals With a with Detroit roots, the duo discuss in town. What’s their niche, and A periodic analysis and review can: decline in their business and how it’s changed. what’s up next? sales for Page M8 Page M15 local music Save premium dollars labels, companies Improve, extend or guarantee your coverage have found Will the money come? Angie and Tom Linder About this project Generate cash other Austin, Texas, and Portland, Ore., of Detroit Techno revenue Militia have built economic growth Editor: Daniel Duggan, deputy Make sure your plan is on track streams to around their music managing editor, Crain’s Detroit replace what’s been lost. industries. Business Page M5 Detroit Design: Jeff Johnston, senior hopes to do designer, Crain’s Detroit Business Call for a complimentary analysis and review. the Copy editors: Gary Piatek, senior same. editor; Jeff Johnston; Tracy Balazy; and Ed Bradley, Crain’s Detroit Page Business M9 Cover photo: Nathan Skid, Crain’s BIRMINGHAM, MI 248.731.9500 WWW.SCHECHTERWEALTH.COM Detroit Business 20120903-SUPP--0002-NAT-CCI-CD_-- 8/29/2012 3:48 PM Page 1

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It used to be you go into a studio, make an , and that is what you sell. Now, is the product, and all the media it creates are talking points.

Shawn Neil, Groovebox Studios Industry in transition has studios changing their tune Fan-driven business models shift focus from cutting demos

BY NATHAN SKID The problem is, be it downloads, CRAIN’S DETROIT BUSINESS streaming Internet radio or a subscrip- tion-based model, digital music doesn’t obody has to tell Jeff Wen- have the same earning power as its phys- zel and Shawn Neil that ical counterpart. the global changes in the Entertainment lawyer Howard Hertz, music industry are im- founder of Bloomfield Hills-based Hertz pacting businesses in De- Schram PC, said that even though Nap- troit. ster’s free music model didn’t last, the The co-founders of De- change in the perceived value of the in- troit-based Groovebox Stu- dustry’s product and purchasing habits Ndios somehow manage to crack a of consumers did. smile as they talk about the “When people all of a sudden had a storage unit where 5,000 of choice of free music or paying $18, they their former band’s CDs sit went for free,” Hertz said. “By then, the wrapped in plastic, collect- toothpaste was out of the tube, and it’s ing dust. too to get back in.” The Sugar People’s un- Now look to do-it-yourself wanted CDs serve as a recording sessions, bands are becoming signpost to what they call social media marketing experts, record- the “delusion of the music ing studios work on singles instead of al- industry.” bums, and in some cases crowdsourced From 1999 to 2005, Wenzel funding is replacing development money believed that if he could just from labels. get his band’s album into a Those same labels are scouring social major retailer, it would lead media pages for the next hot act instead to a record deal. of sending scouts on the road. Wenzel persuaded Min- So what do those challenges mean for neapolis-based Best Buy Co. to Motown — the city, not the label — with carry the album. It flopped, its deep musical history of heavyweights selling just 20 copies nation- like , Bob Seger, Kid Rock, wide. , and But it set the pair up to use Eminem? their experience to create a new model for aspiring musicians. Groovebox uses crowdsourced A disruptive force funding to cover the $600 cost for a Groovebox Studios is Wenzel and live recording session in front of a Neil’s answer to more costly recording paid audience. The band gets to keep a studios, where rates hover around $650 a high-quality recording of the show, and day — too expensive for many cash- Groovebox gets its fee paid. strapped musicians. It’s just one new business model While traditional recording studios emerging in metro Detroit as the music work with musicians one track at a industry adapts to a new normal. time, Groovebox’s business model cen- Jeff Wenzel (left) ters on a live show of five to seven songs and Shawn Neil Digital devolution they call “One Band, One Room, One planned to make it Take.” Many of the changes go back to 1999, big by getting wide Groovebox charges $600 for the ses- release for their when the free-for-all digital file-sharing service Napster burst onto the scene with sion, but the whole thing is paid for by band’s CD. The the band’s fan base through the crowd- resulting flop led its promise of free music for all. them to a new On top of that, the sale of physical CDs sourcing website Kickstarter. business model when at an average price of $14.19 in 2001 has The band gets to keep the high-quality they founded shifted to $1 digital singles as of 2012. audio recoding of the session, plus a mul- Groovebox Studios in According to the 2012 Nielsen Sound- ti-angle video. Detroit. Scan midyear report, consumers bought The Groovebox method centers on a 91.1 million CDs worldwide in the first band’s ability to energize its fan base half of the year, and 231 million digital during a monthslong promotion leading singles. The average price of a CD fell up to the live show. from just over $11 in 2008 to $9.35 in About three months before the taping, 2011. Wenzel and Neil help the band create a CD sales were down 11.3 percent for list of rewards its fans receive in ex- the first half of this year, according to change for backing them financially. NATHAN SKID/CRAIN’S DETROIT BUSINESS the report, while digital sales rose The value of the rewards ranges from 13.8 percent. $10 to $200 — a night out with the band, 20120903-SUPP--0003-NAT-CCI-CD_-- 8/29/2012 3:50 PM Page 1

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When people all of a sudden had a choice between free music and paying $18, they went for free. By then, the toothpaste was out of the tube.

Howard Hertz, Hertz Schram PC

picking a cover song for the band to play, or an invitation to the live show and taping at the studio in the Russell Industrial Center are a few examples. Then Wenzel and Neil help the band create a promotional video with specific talking points discussing the project, what the money will be used for and what rewards are for sale. The video is posted to Groovebox’s Kickstarter page, where fans can buy those rewards. The money helps pay for the recording session. “One really important thing to under- stand is that Kickstarter is a tool. It’s not free money, and it’s not charity or a method of last resort,” Neil said. Most artists generate $740 to $1,000, but one raised as much as $4,328. Any amount over $600 goes straight to the band, mi- nus Kickstarter’s fees. Wenzel and Neil say the idea for Groovebox came from the failure of their band. They say they believed, like many bands, that if they practiced, wrote their own songs and played enough shows, their popularity would grow, en- ticing an agent from a major label to scoop them up and sign them to a record deal. “Labels used to be a filter for new mu- sic, a Rolodex of contacts and a bank to help musicians pay for recording,” Neil said. “That is no longer the case.” KENNY CORBIN Neil says musicians would be better ABOVE: Brian (left) and Mark Pastoria off thinking of themselves as a startup emphasize new media at UDetroit company and treating themselves and Harmonie Park Media Center, a studio their songs as such, rather than waiting and venue where performances are for a record deal. broadcast online. “Musicians are technically a business LEFT: At Rust Belt Studio in Royal that creates content,” Neil said. “The Oak, founder Al Sutton deals with smart ones are constantly updating their another side effect of the modern product and energizing their fan base.” music business: amateur recording, Metro Detroit native Mike Jbara, pres- which he says has eaten about 35 percent of Rust Belt’s total revenue. ident and CEO of WEA Corp., the U.S. “You don’t just see people coming in sales and retail marketing company of trying to cut demos anymore,” Sutton Warner Music Group Corp., said that trend said. is also evident at Warner, where the fo- cus is more on build- ing a ’s rela- tionship with fans instead of simply pushing a new album. “It used to be that everything was fo- cused on promoting Jbara and selling a record,” Jbara said. “Now, it’s more about build- ing a career — reaching an audience in KENNY CORBIN such a way that means they become pas- source, but the Pastorias say the music sionate, loyal fans.” Live from UDetroit fills the seats. Neil says the Groovebox experience is In 1996, brothers Mark and Brian Pas- The Pastorias said they wanted to cre- more about learning how to leverage a toria, founders of Harmonie Park Media ate a mutually beneficial place where band’s content to create and engage a fan Group, opened a studio on the third floor customers would hear new music and base over time than about getting a high- of a nondescript building at 1427 Ran- artists could get exposure and high-qual- quality recording of their songs. dolph St. in Detroit, where they have ity recordings of their performance. “It used to be you go into a studio, recorded artists from Aretha Franklin to “When these national groups that make an album, and that is what you Tori Amos. can’t get on the radio come in to per- sell,” Neil said. “Now, the band is the It was in that studio where musicians form, their set gets mixed by a profes- including Mötley Crüe and the Black product, and all the media it creates are sional and is videotaped in high defini- Crowes would play special acoustic sets talking points.” tion,” Brian Pastoria said. for 20 or so lucky call-in winners from lo- Groovebox has had 55 of 56 artists suc- The performances are also broadcast cal radio stations. cessfully raise $600 through Kickstarter live on UDetroit’s Internet channel, During one of the sets, the brothers de- which Brian Pastoria says receives campaigns, and Wenzel says they will cided to bring that style of entertain- have raised more than $100,000 through about 140,000 visitors each month. ment to the then-vacant first floor space. “Back in the day, if you wanted to get the website by year’s end. In 2011, the Pastoria brothers opened on the radio you could spend $500,000 on But Wenzel and Neil aren’t the only UDetroit Harmonie Park Media Center, a hy- radio promotions alone,” Pastoria said. ones in metro Detroit looking for a new brid concert venue, restaurant, radio “Now you need new media to get artists path to solvency in the world of dispos- station and television studio. able music. The restaurant is the main revenue See Next Page 20120903-SUPP--0004-NAT-CCI-CD_-- 8/29/2012 4:52 PM Page 1

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From Previous Page others, it can be a total obstacle for total revenue. Windsor-based CIMX 88.7 FM — Harmonie Park Music, but he says out there, and with UDetroit, our finishing a record,” Feeny said. “It “You don’t just see people com- better known as 89X — and host of the critical ear of a tried-and-true reach is global.” can take people ing in trying to cut demos any- “The People’s producer is worth the cost. But, Pastoria said, to be success- years to finish more,” Sutton said. “They do it Choice” and the “Even had George ful, artists still need to be devel- something that themselves. But the recording is “Homeboy Martin,” he said. oped, trained and pushed by a le- they could’ve never right, and they end up here Show,” says he gitimate producer. done in a good to re-record it anyway.” receives several studio quickly Rustbelt charges $650 a day to homemade al- The well is drying up and ultimately its facility. bums every Sutton, who has been producing ‘Even Beatles had George Martin’ spent less mon- Feeny says the biggest problem week from mu- music at Rust Belt Studio since While the media and technology ey.” with home recording is that most sicians hoping 1994, says belt tightening by major have changed, industry experts Tempermill recordings simply aren’t of high- to get on the lo- record labels has cut into his bot- charges $65 an enough quality. cal showcase. tom line. agree the role of the producer is Feeny Hudson still vital, especially as more musi- hour or $650 a “I’ve mastered a lot of home “Of all the Sutton says that 15 years ago it cians look to home recording as a day. Recording is still the studio’s recordings over the years, and records that get sent in, only 50 was for a to cheap alternative to a professional main source of revenue. some are pretty good, but the ma- percent are good enough that we have his studio work with a local studio. Al Sutton, founder of Royal Oak- jority of them are substandard,” can actually play them on the air,” band to record a three-song EP (a Dave Feeny, founder of The Tem- based Rust Belt Studio, which has Feeny said. “An artist recording at Hudson said. “I can’t air anything record longer than a single but permill recording studio in Fern- produced local artists like Kid home doesn’t always have all the if it sounds like it was recorded in shorter than a full studio album) dale, says home recording has ma- Rock, D12, Sponge and Electric resources that we can provide.” a garage.” for up to $10,000 per session. jor drawbacks. Six, says home recording has eat- Jay Hudson, music director and Mark Pastoria says it costs Then, Sutton said, someone “For some people, it’s great; for en about 35 percent of Rust Belt’s on-air personality for Bell Media’s about $2,500 to produce one song at from the label would visit the stu- dio to listen before the label even had a contract signed with the mu- sicians. “That’s completely dried up,” he said. “Labels don’t do that kind of stuff anymore. In my opinion, they just look at and see who’s got the best buzz and who’s already spent the money making their own records, built their own fan base, and then they go after those bands.” Sutton said Rust Belt used to get about three or four of those devel- opment deals a year, making up about $50,000 in combined rev- enue. Now, he says, bands are scrounging their own money to pay for studio time, if they even do that. “Today it’s, ‘I got $2,000; can I cut a record?’ ” Music attorney Hertz said labels don’t back developing musicians because it is more of a financial risk than it was before. “In the past, if a label signed 20 acts, it would feel confident that one or two of those artists would go on to be successful and sell Employee satisfaction. enough records that it would make up for those that didn’t,” Available in handy wallet size. Hertz said. “Now, since record sales are so weak, they are not as confident that they can make up for all those others, so they only want those with the fan base al- ready.” And as the number of musicians promoting their music online has Thousands of small businesses across the state have chosen Blue Cross Blue Shield of or increased dramatically, Jbara said, Warner has had to change Blue Care Network because they understand the importance of a plan that embraces total body the way it searches for talent, like health for their employees at a price that won’t break their budget. We can help your business find scouring Facebook pages. the best health plan for your needs. “The Internet has given talent spotters the ability to get a more SM BCN HMO HSA immediate sense of how fans An affordable, customizable option that combines a high-deductible health care plan with a tax- might react,” Jbara said. “That advantaged savings account. You pay lower premiums, and your employees control their health care. said, I’ve heard (talent) guys say many times that there is no substi- É1SFWFOUJWFTFSWJDFTDPWFSFEBUQFSDFOU OPUBQQMJFEUPEFEVDUJCMF tute for seeing an artist live.” É*OUFHSBUFEQIBSNBDZQMBO Regardless of the reason, the É%FOUBMBOEWJTJPOCFOFGJUDIPJDFT dwindling pool of development É$PPSEJOBUFE POMJOFIFBMUITBWJOHTBDDPVOU XFCQPSUBMBOEEFCJUDBSE money has studios looking at oth- É-BSHFTU).0OFUXPSLPGQIZTJDJBOTBOEIPTQJUBMTJOUIFTUBUF er ways to replace lost revenue. Feeny said Tempermill is taking Simply BlueSM more piecemeal work. "DPNQSFIFOTJWF110IFBMUIQMBOUIBUPGGFSTZPVSFNQMPZFFTUIFDPWFSBHFUIFZ¼WFBMXBZTXBOUFE “In a day, we might master one BUBQSJDFZPVDBOBGGPSE.PSFUIBO QFPQMFJO.JDIJHBOIBWFBMSFBEZDIPTFO4JNQMZ#MVFSM record, then do basic tracks for an- other artist, and then have a mix- É.VMUJQMFEFEVDUJCMFBOEDPQBZNFOUQMBOPQUJPOT ing session for a third,” Feeny said. É1SFWFOUJWFDBSFGVMMZDPWFSFE Sutton has begun developing a É'MFYJCJMJUZUPNFFUZPVSCVTJOFTTOFFET line of electronics for the studio industry called Acme Audio, and Find out what thousands of Michigan businesses already know. the Pastoria brothers are kicking Call 1-877-547-BLUE (2583) or visit bcbsm.com/grow. around starting their own label. “We are still busy, and I hate to paint a black-cloud picture, but it’s just not great,” Sutton said. “It just seems we are working more hours for the same or less money.” Leading Michigan to a healthier future.SM Nathan Skid: (313) 446-1654, [email protected]. : Blue Cross Blue Shield of Michigan and Blue Care Network are nonprofit corporations and independent licensees of the Blue Cross and Blue Shield Association. @NateSkid 20120903-SUPP--0005-NAT-CCI-CD_-- 8/29/2012 4:53 PM Page 1

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We’re not making money off tracks. They are used more as a tool for the producer to gain visibility and (have) the bookings increase.

Angie Linder, Detroit Techno Militia Labels don’t stick with the past Record companies take other tracks to recoup lost CD revenue

BY BRETT CALLWOOD music. SPECIAL TO CRAIN’S DETROIT BUSINESS The label was created by artists to distribute music without a fee s digital sales replace but to make money off bookings — revenue from CDs — giving up the idea of making mon- but with lower profit ey on music distribution. margins — music la- “Music is donated to the label for bels look to publish- exposure and PR,” she said. “We’re ing and merchandis- not making money off tracks. They ing as crucial are used more as a tool for the pro- moneymakers. ducer to gain visibility and (have) AThe changes have forced an evo- the bookings increase.” lution to more licensing deals and Where 10 years ago labels could digital media rights for Detroit- make a CD for $3 or $4, then mark based Small Stone Records Co. it up to $7.99 or $10.99 retail, digi- “These days, we license more tal distribution is harder, she said. music to TV, “The profit film, video margins are games and not there with commercials digital distrib- than we actu- ution,” Linder ally sell hard said. “Even products,” said selling 1,500 Scott Hamil- tracks digitally ton, founder of will only yield Small Stone, in around 25 to 30 an email inter- cents per track view. “People after expenses are learning — if you are about new mu- lucky.” sic from social Detroit- media, satel- based Mack Av- lite radio, hip enue Records Internet has begun fo- sources like cusing on roy- Spotify, cool TV alty-based shows like contracts. ‘Breaking Bad’ “Our stan- and ‘Sons of dard agree- Anarchy,’ ver- GLENN TRIEST ment has sus the days of Scott says his Small Stone evolved over in-store play at Records Co. does most of its business in the years in a record store licensing music, not selling CDs. that we have or that former eliminated or pipe dream that was FM radio.” modified certain historically stan- Revenue from retail music sales dard elements of artist contracts has dwindled nationally and local- that were either confusing or un- ly. Sales for metro Detroit retail- necessary,” said Denny Stilwell, ers shrank to $27.7 million in 2007 president of the -focused label. from $121.7 million in 2002, accord- Mack’s agreements are not the ing to Short Hills, N.J.-based Dun & kind known as “360 deals,” where Bradstreet, which stopped tracking money from recorded output goes the sector after 2007. straight to the label. Nationally, the $14.6 billion “But we have borrowed ele- GLENN TRIEST from physical music sales in 1999 ments of that thinking where they shareholder with Bloomfield Hills- of streaming music in the next few Detroit Threads music and clothing dropped to $6.3 billion by 2009, ac- make sense for based Hertz Schram PC. years,” he emailed. “Services like store in Hamtramck stocks vinyl from cording to Forrester Research. us and our In the past 10 years, major la- Pandora and Spotify that program Angie and Tom Linder’s Detroit Techno Militia, but the money’s not in Digital music sales in the Unit- artists, such as bels have been competing with in- Mack Avenue releases currently record sales — and it’s certainly not dependents for revenue from mer- and are gaining in popularity are ed States, on the other hand, have publishing and in digital downloads, they say. been on the rise, from $4.6 billion merchandis- chandise and publishing, with bringing standardization to an to $5.2 billion over the past three ing,” he said. tours also part of the competition. area that has taken longer to ma- years, according to the Switzer- “We think our “The labels — both majors and ture than digital downloads.” land-based International Federation deals are fair, independents alike — are now of- As long as Mack’s agreements of the Phonographic Industry. represent the ten negotiating for a piece of the with the services are fair for the In the case of Small Stone, current state of touring income, recognizing that label, Stilwell said, they will be- Hamilton has replaced 80 percent our industry, as a band gains popularity, the come more important as sales of of the CD revenue with licensing Stilwell yet allow us to tours are often the best money- CDs diminish. deals for film, TV, video games, grow as a business.” making aspect of the artists’ ca- “There continues to be a broad commercials, digital entities like Smaller production companies reer,” Hertz said by email. range of opportunities to expose YouTube, and selling vinyl LPs. and labels, including those in De- Stilwell has an optimistic out- music, even as our industry pulls Replacing that lost income is troit, realize that, to have a better look on record labels making mon- itself out of one of the worst peri- hard, said Angie Linder, label chance at earning profits, they ey from digital music, as Mack Av- ods in its history,” he said. “One of manager for Detroit Techno Militia, should be involved in publishing enue artists are being included in our challenges is to be in the best a grass-roots label created to help and merchandising, said enter- the music-streaming services. position to take advantage of those techno artists distribute their tainment lawyer Howard Hertz, a “We see the continued maturing opportunities.” 20120903-SUPP--0006-NAT-CCI-CD_-- 8/29/2012 4:04 PM Page 1

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Detroit is a great place to work and live. But as far as making money off of your craft ...

Ronnie Euro, hip-hop artist Detroit cachet travels – with cash Artists often find better money on the road than in hometown

BY NORMAN WITTE III DJ from Detroit who goes by Jesse CRAIN’S DETROIT BUSINESS James. Wood and his cousin James ip-hop artist Ronnie Wood co-own the Detroit-based Euro, who uses the production company Nightsneak stage name Phat Kat, Entertainment, which combines has seen success in their business and creative talents Japan, the United together in a nontraditional way. Kingdom, Germany, Jesse Wood is in charge of the France, Switzerland, creative side, while James Wood is the and in charge of marketing and finan- Russia.H cials. As a result, Nightsneak is At 39, he’s successfully built a able to keep full control over its brand and image around his re- brand by booking its own shows gional , representing De- rather than turning such manage- troit in an industry where artists ment decisions over to an agent. from here are widely accepted and They have a strong presence, praised for innovation and hard with regular shows in Detroit, Salt work. Lake City and , and have But like many local artists, he organized events in , San hasn’t been able to make money Francisco and , as well. on his local fan base. Outside of Nightsneak averages around Detroit, he gets paid a minimum 2,000 people for electronic of $3,000 per show, and that num- music shows in Detroit, with audi- ber can move toward $10,000 for ences as big as 3,400. Their shows major music festivals. Inside the are held at large venues and ware- city, he doesn’t expect to get paid houses, and they make most of much more than $300-$500 per their money from ticket sales, show. which average $20-$30 per show. “Detroit is a great place to work In , their biggest and live,” says Euro, “But as far as market, they can expect an atten- making money off of your craft …” dance of 5,000 to 7,000 per show. A recent visitor from Manches- Overhead remains the same for ter, England, Cristian Chesha, each event, typically in the $60,000 noted his surprise when he saw to $70,000 range, and they often that some of Detroit’s most fa- break even or lose a little money mous techno artists, Carl Craig at their Detroit events. It is worth and Derrick May, were perform- it to have a strong presence in De- ing together for a small crowd in a troit, they say, but it’s more of a pizza parlor. He is used to seeing marketing strategy than a profit them sell out large venues back model. home. Also leveraging that Detroit In a city with a rich musical his- brand is DJ and producer Mark tory, it’s a situation that hurts lo- Thomas — better known by his cal artists trying to develop a sus- stage name Kenneth Thomas. tainable business model. Instead of techno, which has That’s the case for Euro, who name recognition in Detroit, has sold 14,000 vinyl copies of his Thomas has focused on the genre breakout hit, “Dedication to the of electronic music called trance, Suckers,” since it was released in which is considered by many to be 1999. unmarketable here. The first 5,000 copies were At 22, Thomas started out in the shipped to Japan, a market that basement of Clutch Cargo’s in Pon- many entrepreneurs from the lo- tiac, playing trance for a small cal hip-hop group of about 20 people. Within a scene have year, he was able to build that GLENN TRIEST tapped into, in- crowd up to about 100 and then Ronnie Euro, aka Phat Kat, is proud to be from Detroit, but does it make him more successful? Like other performers from cluding Ryan branched out to other clubs in the the city, he says his ties to the city and its image make his music more marketable to other cities and countries. Faulkner, a DJ area, continuing to build his audi- from West ence. BY THE NUMBERS Bloomfield Thomas moved on to producing Township. original tracks and . He Performances inside and outside Detroit can differ widely: Faulkner also started to market himself to Ronnie Euro’s income buys and sells locations throughout North Amer- $300-$500: from a show in Detroit. records through ica. At that point, he was spending Faulkner Euro’s income a business he about 80 percent of his time in De- $3,000-$10,000: from a show elsewhere. calls The Wax Museum, which oper- troit and the rest on the road. ates through several online plat- As Thomas produced tracks and Turnout for a Detroit show hosted forms, such as eBay and Discogs. remixes, he started to get noticed 2,000-3,400: by Nightsneak Entertainment. He specializes in Detroit hip-hop by bigger names in electronic mu- Turnout for a Nightsneak show vinyl and says Japan accounts for sic, like Armin Van Buuren and 5,000-7,000: in Salt Lake City. 20 percent of his online sales. Sim- Paul Oakenfold, both on Celebri- James (left) and Jesse Wood co-own ilar success stories come from tynetworth.com’s top five list of the Nightsneak Entertainment in Detroit. artists like Jesse Wood, a techno richest DJs in the world. 20120903-SUPP--0007-NAT-CCI-CD_-- 8/29/2012 4:03 PM Page 1

FALL 2012 CRAIN’S DETROIT BUSINESS Page M7

KENNY CORBIN Radio host Ann Delisi of WDET 101.9 FM says Detroit is special musically but needs to innovate to make the most of its potential.

A global hit on Van Buuren’s ment that has strengthened the Amsterdam-based la- music community in Nashville. bel landed Thomas a record deal Events there occur almost every with Perfecto, Oakenfold’s dance Once it happens here, day of the week, with workshops, music label, in 2006. mentoring and “open mike” As a serial entrepreneur, or doesn’t happen nights to bring artists together to Thomas started his first business work on their craft. at age 12, buying, selling and trad- here, is when people Delisi also cited the film ing collectibles such as baseball “Re:Generation” as a showcase for cards and comics. start to go outside of innovative ideas that could boost He opened a retail storefront in the music industry here. The doc- Waterford Township for his col- the region to get their umentary paired some of the lectibles business at 16 and toured world’s biggest DJs with a group as a professional in-line skater, all music noticed. of influential collaborators from before he made it in music. classic genres. Electronic produc- From the beginning of his music ers from a group known as The career, Thomas saw that the tradi- Ann Delisi, WDET 101.9 FM Crystal Method teamed up with tional revenue models for music Detroit R&B were dwindling. He works harder of the Vandellas and The Funk in Detroit to maintain his fan Brothers to inspire new music in- base, and makes less money here world why there has been, and fluenced by the Motown sound. than anywhere else, he said. continues to be, a fascination “Because Detroit is such a mu- But like Jesse Wood, Thomas about the artistic innovation that sic town, when artists make music has managed to leverage the De- happens here.” here, this is an obvious place to troit brand as a marketing tool to What can be done to improve start,” she said. “Once it happens build his audience abroad. the conditions and help artists here, or doesn’t happen here, is There’s a lot to be said for the succeed here? when people start to go outside of Detroit music community, even Delisi has a few ideas. She says the region to get their music no- though there isn’t a lot of money shows start too late on week- ticed. to be made, said Ann Delisi, host nights, and that there aren’t “It helps a lot of artists, if of “Essential Music” on WDET enough all-ages shows. It’s hard they’re good enough, to say COURTESY OF MARK THOMAS DJ and producer Mark Thomas — Kenneth Thomas onstage — built his passion 101.9 FM. Delisi sees a lot of artists for the average working person to they’re from Detroit.” for the trance genre of electronic music at local clubs before scoring a global hit get their start in metro Detroit. attend shows, and artists aren’t Witte, Web producer for Crain’s, and a record deal. He says the Detroit brand and his local fan base are key to his “There is a wealth of creativity able to market to younger audi- is publisher of the Detroit Under- success, even though he makes more money performing elsewhere. and talent in this town,” she said. ences due to drinking age restric- ground blog. Focused on indepen- “And when Detroit artists bring tions. dent art and music culture in De- their respective talents together, She also would like to see a troit, it can be found at we remind ourselves and the singer/ night, a move- www.detroitunderground.com. 20120903-SUPP--0008-NAT-CCI-CD_-- 8/29/2012 3:46 PM Page 1

Page M8 CRAIN’S DETROIT BUSINESS FALL 2012

My friend said ‘ Part Two, that’s ridiculous. You might as well call yourselves Dale Earnhardt Jr. Jr.’

Josh Epstein, Dale Earnhardt Jr. Jr. From basement recording to indie spotlight Another metro Meet Dale Earnhardt Jr. Jr. (that’s Josh and Danny) anny Zott’s colonial We recorded “It’s a Corporate established. or not. Detroit project house in Ferndale World” in the basement. Our first couple of gigs were Josh: When other people manage looks like the others pretty good gigs. We opened for other people’s profiles, it gets at Warner: Jbara on his street. How did you come up with the Neon Indians and Sleigh Bells. A generic. Like, just news blasts. I’d There’s no sign name Dale Earnhardt Jr. Jr.? lot of that came from the fact that rather make a couple weird jokes. Josh: We had decided on Count- Among the local ties to New that, in the basement, as far as us being a local opener, Danny: Yeah, one that only your ing Crows Part Two or something. York-based Warner Music Group Dale Earnhardt Jr. Jr. people were at least interested in brain could come up with. My friend said, “Counting Crows Corp., bands such as Dale Earn- is recording a follow- what we were doing. Part Two, that’s ridiculous. You Are you talking about the differ- hardt Jr. Jr. might come to mind up to its much-celebrated debut al- Danny: Josh’s band was success- D might as well call yourselves Dale ence between posting information to — but not likely one of the com- bum, “It’s a Corporate World.” ful, more so than my band, but Earnhardt Jr. Jr.” audiences versus engaging them? pany’s top executives. Last year, Josh Epstein and Zott everyone kind of knew what we I called Danny and said, “What Josh: Yeah. I watched this Mike Jbara, president and CEO raised their profile beyond inde- were doing. Somehow that story about Dale Earnhardt Jr. Jr.?” He documentary, then the next time I of WEA Corp., the U.S. sales and re- pendent music, appearing on was interesting to people outside said it was great. And then we just saw them I felt like I knew every- tail marketing company of Warn- “Late Night With O’Brien” of Detroit. started calling our band that. one in the band. It was a profound er Music, grew up in Westland. and playing some of the biggest Josh: Nothing attracts a crowd But at that point, we weren’t go- moment for me. He has played trumpet in a music festivals around the coun- like a crowd. ing to play the music for anyone. range of bands, though his early try, including Bonnaroo and South Does being from Detroit carry any We were going to make a website I’m pretty sure that’s a lyric from an career path by Southwest. weight in the music industry? and put music online and if people old Soul Asylum song. was more sci- In April, the duo played in front Danny: People respect it not for found it, then cool. But we weren’t Josh: Really? Well, that has a lot ence than mu- of a sold-out crowd at The Majestic its music history necessarily; they counting on it being a “thing.” to do with it. sic. He gradu- Theatre in . automatically think you are a Danny: We had already been do- ated from the After saying some hellos, Ep- So how did you get your big break? badass. If you say you are from De- ing music for 10 to 15 years individ- University of stein, donning a cap, Josh: I got a phone call in, like, troit, you are legit. and a barefooted Zott headed to ually on our own in Detroit with 2010, from a lady that was like, “Hel- Michigan in Is “It’s a Corporate World” meant to the basement littered with guitars, different projects. We didn’t think lo, this is so-and-so from Warner; 1987 with a de- have an anti-corporate sentiment? effects pedals, drums and a that this was going to be the thing can you please hold for Kate Hy- gree in me- Josh: It’s not our place to tell you makeshift recording studio to talk that took off. We just had no idea. man?” Kate was a fast talker. She chanical engi- what you should think. It’s our neering. with Crain’s multimedia editor Did you have any pressure to goes, “I had my assistant searching Jbara place to make you think about it. Nathan Skid about their journey. Myspace pages and I found your Finding his change the name? That’s what I believe. music and we have to sign you.” I way to New York, he worked for How did you get your start? Josh: I think that when we were Say what you want about it be- was, like, yeah-yeah-yeah whatever. Andersen Consulting from 1987 to Josh: When we met, Danny was going to put the record out on coming a more corporate world, 1995. In 1996, he started at Warn- 25. I was 27. We had both been do- Warner (Music Group), at that point Myspace? sometimes it’s comforting to be dri- er, and in 2009 was named presi- ing this since we were 15. They say we revisited the whole name thing. Danny: Yeah, Myspace was al- ving in the middle of nowhere and dent and CEO of WEA. you don’t know how to do some- They said, “Before this comes out, ready done by then. There were no know that you can get the same cup But he comes back to his thing until you have been doing it do you want to change the name to updates to our page. It was just the of Starbucks coffee that you can get hometown regularly, and he re- for 10 years. something else because people music. I don’t know if she was old- at home. Sometimes it’s really an- mains on the hunt for new tal- We kind of knew each other at won’t take you seriously?” school or something. noying to think that the mom-and- ent. His favorite local spots are the time from our bands playing And then Dale Earnhardt Jr. sent Then we played a show at the pop coffee shop went out of busi- The Magic Bag in Ferndale, and shows. One day, Danny came over us a letter that was so nice about the CMJ Music Marathon in New York. ness because Starbucks moved in. PJ’s Lager House, The Shelter, St. to my apartment to pick up a DVD name. He said that he likes our mu- A guy with long hair and a back- But ultimately, corporations are Andrew’s Hall, UDetroit Café and my roommate was making for sic, and how he was rooting for us. pack jumps on stage right after our funding artists more than con- Northern Lights in Detroit. him. While he was waiting, he He sent you a letter out of the clear set and says, “Hey, I’m Steve Mc- sumers are right now. Many con- In March, Jbara was among played me an acoustic song on my blue? Donald from Warner. We love you sumers think music should be free, the keynote speakers at Crain’s couch. I said to myself, “Holy crap, Josh: No, we sent him an email guys. We have to sign you.” while corporations are saying there Idea: Detroit Conference, where he this guy is better than me.” saying we weren’t trying to mock Josh: Then that same week we is a value to what we are doing, said he admires the drive Detroi- I was thinking it would be so fun his family or anything. We aren’t had a dinner with Kate (Hyman) (that we) want to give you X amount ters have to improve their city. to work with someone who could making fun of him. We honestly and Seymour Stein, the guy who of money to use your song to sell “There is no taking Detroit put together a full song better than called our band that as a joke. founded Sire Records and signed our product because it’s valuable. out of someone who grew up I could. When we started working Danny: So really Dale Earnhardt bands like , Madon- In a lot of ways, corporations are here,” he says. “I feel that I have together, that’s the way it went. Jr. is responsible for us having the na and the . funding art more than consumers, an obligation, both personally Danny: Josh called me like a year name. Without his letter, we We made them take us to a place which is backward. If people want and professionally, to articulate later, and we met at my old house would be called something else. called Ninja in New York, where to stop seeing their favorite band to others what makes Detroit on Farnum Street in Royal Oak. everything had dry ice and we “selling out,” they need to realize such a special place.” How did you create thought it was funny. We … weren’t that they need to treat their art — Daniel Duggan the initial buzz about taking it seriously. It turned out with value if they enjoy it. Dale Earnhardt Jr. Jr.? they were serious. They released If you treat everything like it’s Josh: I think a lot our album without changing it. free, you will always have to find of this has to do something new because the artists How do you handle social media? with the fact that won’t be able to do their craft any- Josh: We do all of our tweeting we had been in more. and posting. I think you have to. I bands for a while Danny: It’s a weird time. There wouldn’t want someone other than Danny Zott (left) and Josh and were already are so many weird things in this one of us being responsible for say- Epstein make up Dale day and age of music. Everyone is ing something that someone who is Earnhardt Jr. Jr. expected to like so many bands. a fan of ours would think was us. How can you possibly like 20 new Warner allows you to handle your bands and buy all of their records? own accounts? You can’t do that. Josh: I think we are one of the I think that’s part of the reason only bands that doesn’t let Warn- people want stuff for free because er manage their social media. they are recycling through bands We have a unique voice, and I all the time. I don’t think people don’t feel comfortable having can really like that much music. It anyone talk for us. used to be that people would say, Danny: Everyone should be “I have three favorite bands and their own voice because you when they come out with a record, will be judged by it. And peo- I will buy everything.” People ple figure out if they like you don’t sit with a record anymore.

ERIN GARCIA 20120903-SUPP--0009-NAT-CCI-CD_-- 8/29/2012 5:00 PM Page 1

FALL 2012 CRAIN’S DETROIT BUSINESS Page M9 City’s challenge: Building music industry Economic opportunities, nurturing atmosphere seen as key BY GARY ANGLEBRANDT find a place that has economic op- WHERE THE MUSIC BUSINESS SPECIAL TO CRAIN’S DETROIT BUSINESS portunities for you, and you hap- Seattle pen to think it has a hip music IS BIG BUSINESS or many people through- scene, you’re more likely to stay Portland Detroit out the world, Detroit is there and raise a family,” he said. Looking for concentrations of music business, the Martin as synonymous with mu- “Very few people will move pri- Rochester Prosperity Institute in sic as it is cars. Whether marily because of a music scene.” created this Metro Music Index they’re techno enthusi- To bolster its music industry, San -St. Paul New based on information about asts in Berlin and Tokyo, Detroit needs to bolster the general Francisco musicians and music-related Detroit rock fans in Lon- economy, rather than attempt to York businesses compiled from public don, or Motown fans just force music industry growth databases and information about everywhere, people recog- through top-down government and Nashville sources such as the Bureau of Labor F Las Vegas Statistics. Nashville, New York and nize Detroit’s musical pedigree. corporate funding, Anderson said. Los And yet, the music industry here “A lot of musicians have day lead the list, on which Angeles Detroit ranked No. 37. Named on the barely registers on the map, accord- jobs,” he said. “They subsidize map in addition to Detroit are the ing to a study by the Martin Prosperi- their creative activities with day index’s top 10 metro areas with ty Institute in Toronto. The study jobs. Well, you lose your day job, population over 1 million. The index looked at figures from the U.S. Bu- and it’s hard to pay for the activi- is based on 1.0 being the highest, reau of Labor Statistics and the U.S. ties. What Michigan needs is a lot for Nashville, with lower values for Bureau of Economic Analysis to pin- more day jobs.” cities with lower concentrations. point where music professionals Local governments might not be and businesses are clustered the best at creating scenes, but 0.2 0.4 0.6 0.8 among U.S. metropolitan areas. they can nurture what’s there. Cities such as Nashville, New That’s what Austin did, said Steve York, Los Angeles, Seattle and Alberts, communication manager es want to be where the artists troit. People have always looked at Austin, Texas, were among the top. for the Austin Convention and Visi- are,” Denson said. Detroit as a hotbed of musicians.” Detroit, however, came in at tors Bureau. He noted the many small venues He expects to begin releasing No. 37. The city’s marquee music event, where music happens every week, music next year. Detroit could have done more in South by Southwest, or SXSW, has such as Baker’s Keyboard Lounge and Artists are also finding help You can’t create cool. the past to use music as a path to been a must-attend for music in- Bert’s Marketplace, plus large events from loftier programs to comple- economic development, in ways dustry professionals since about like the Movement Electronic Music ment the do-it-yourself survival You can’t manufacture cities such as Nashville did, said 2002, said Joshua Glazer, an editor Festival, Concert of Colors, Downtown ethic, such as Timmy Lampinen, Richard Florida, a professor at the at electronic music magazine Urb. Hoedown and Detroit Jazz Festival. who uses the stage name of Timmy that, but what you can University of Toronto and New York But it started years before that, Denson hits up music venues Vulgar. University and a senior editor at in 1987. every day. It takes some effort, but Lampinen has played in local do is support what’s The Atlantic. “SXSW couldn’t start in 2012. It that adds to the sense of discovery, punk bands since the mid-1990s. “Nashville has built a strong had to be (25) years ago and grow,” he said. The Kresge Foundation awarded cropping up. economy, one of the more vibrant Johnston at Red Spot said. “I go to a different music venue Lampinen a $25,000 fellowship in and resilient in the nation, around Alberts said the Austin bureau every day,” he said. “The enter- 2010 as part of Kresge Arts in De- Mark Denson, music,” he said. “But Detroit start- has one staffer dedicated to pro- tainment scene in Detroit is not troit. The program, administered Detroit Economic Growth Corp. ed with many more musical assets. moting music, and the city has a something that comes out and by the College for Creative Studies, Nashville saw music as a business department, as well. grabs you. It’s not neon, it’s not awards grant money to local and a path to economic develop- “When groups want to hold Times Square. You have to get out artists every year. ment. That’s the difference.” meetings here, we work with them there and engage it.” “I’ve worked in kitchens and So what would it take to boost to hire Austin bands for just about Music is among the main De- restaurants to help support my the local music industry? any event,” he said. troit assets promoted by the Detroit music career,” Lampinen said. “I Not programs from on high, said Mark Denson, manager of busi- Metro Convention & Visitors Bureau, tour three weeks to a month out of Chris Johnston, owner of band ness attraction at the Detroit Econom- said Michael the year and have come home to management business Red Spot ic Growth Corp., said there’s plenty in O’Callaghan, ex- an eviction.” Management LLC Detroit to nurture. He arranges his ecutive vice He said the music business can’t in Ferndale. weeknights according to different president and be forced, but nurturing helps. Johnston also music events going on and is never COO, noting The $25,000 grant helped stabilize runs DIY Street left looking in vain, he said. that the other his business: He used the money Fair and Pig and He sees signs of new interest in assets are cars, to pay for a tour van, equipment Whiskey, two out- the local music industry, and the gaming, culture and equipment repairs, bills and door Ferndale creative class at large. A large na- and sports. merchandise to sell. events featuring tional record label is in talks with O’Callaghan Lampinen still has a day job. live local music. the DEGC about opening a Detroit said the conven- He’s a bartender at The Painted Lady Although it studio to vet and grow artists, O’Callaghan tion business is in Hamtramck, where he also dish- might be tempt- Denson said, declining to name picking up, and that should help es out his own handmade tacos. Johnston ing to first look the label. boost attendance at shows. Metro Music centers tend to cluster in to convention bureaus and govern- “This is the kind of interest Detroit is on target to have 10 mul- big cities and knowledge centers, ment promotional initiatives, a lo- we’re getting here,” he said. tiple-hotel conventions this year, such as college towns, Florida cal music economy starts at the The DEGC has a $2.5 million Cre- compared to four last year, he said. said, but it needs to be something ground level, Johnston said, with ative Corridor Incentive Fund to help Nighttime music shows are every city looks at for economic organized events and people who creative businesses get space in good for the local economy be- development. attend them. the corridor running from down- cause people spend more money at “Too many cities and regions “It’s a mindset; it’s a scene town to New Center. Some of that night, O’Callaghan said. see music and the music business thing,” Johnston said. money has to help music business- “That kind of visitor ends up as an afterthought. It is something One problem for Detroit is that es, such as UDetroit Cafe in Par- spending three times as much that comes from being affluent national music tours don’t do well adise Valley — formerly named money as a day visitor,” he said. and developed, not that con- here and some skip the city as a Harmonie Park. Harmonie Park Me- Johnston at Red Spot said the tributes to development,” he said, result. dia Group, a studio in the neighbor- music scene in Detroit is cyclical. adding that Nashville has made “I’m not sure why, but it’s a hood, opened UDetroit in 2011 and If so, maybe Phil Salatrik is about arts and entertainment a compo- tough market to do well in,” he said. broadcasts live performances on to ride the next cycle upward. nent of its strong economy. “That loses a lot of jobs right there.” an Internet radio station. Salatrik, whose day job is enter- And for Detroit, it’s a chance to A more vibrant local music in- “You can’t create cool. You can’t tainment director at Cliff Bell’s, this use its strong history. dustry comes from a more vibrant manufacture that, but what you year started a record label busi- “Motown, Mitch Ryder and the local economy, and Detroit’s mu- can do is support what’s cropping ness, Hamtramck Recording Co. LLC. Detroit Wheels, the MC5, Iggy Pop sic business went the same way its up,” Denson said. Hamtramck publishes music under and the Stooges, Bob Seger, Kid general economy did, said Patrick The DEGC plans to do more to two label names: Bell Hops, featur- Rock, Eminem, the White Stripes, Anderson, CEO of Anderson Eco- help the small-business side of mu- ing live performances recorded at electronic music pioneers — they nomic Group in East Lansing. Good sic by supporting production and Cliff Bell’s, and Bang Town, for in- define Detroit in the popular imag- economies attract people to go to distribution, performance spaces, dependent and music. ination as much as do cars and the shows, as well as the talent needed graphic designers and equipment “It’s essentially a hobby,” he Motor City,” Florida said. to play them. providers, he said. said. “There’s a long history of “Music is your window to the “No question about it, if you “A lot more mainline business- high standards for music in De- world.” 20120903-SUPP--0010,0011-NAT-CCI-CD_-- 8/29/2012 4:51 PM Page 1

Page M10 CRAIN’S DETROIT BUSINESS FALL 2012

The Palace of Auburn Hills hosted 64 Setting the stage in metroacts in 2011. Detroit Facts and figures on the area’s largest performance venues etro Detroit re- Founded: 1964 Founded: 1926 mains a key stop 19 Drive, Detroit Top executive: Dennis Mannion, Top executive: Roger Sobran, on every tour, Contact: (313) 394-7593 CEO of Palace Sports & Entertainment president www.olympiaentertainment.com Shows in 2011: 35 Shows in 2011: 5 with just about every band and Founded: 1979 Capacity: 7,701 Capacity: 4,404 Notable performances 2011: Bob Notable performances 2011: Jack artist making a Top executive: Tom Wilson, DTE Energy Music Theatre holds an president and CEO of Olympia Dylan with Leon Russell, LMFAO with White audience of more than 15,000. stop in “Detroit Rock City.” Entertainment Girl Talk, “Weird Al” Yankovic, Big Notable past performances: The MThe region, as a result, has Shows in 2011: 22 Sean//Big K.R.I.T/G-Eazy Rolling Stones, , “The built up a roster of music Luxury suites: 17 Notable past performances: Lou Phantom of the Opera” Reed, , Neil venues. Here’s a look at some Capacity: 20,647 (same for Young, , Stevie of them in Livingston, Ma- hockey) Wonder Notable performances 2011: Linkin comb, Oakland, Washtenaw Park and Rod Stewart/Stevie Nicks and Wayne counties, based on Notable past performances: , Chene Park information from the venues , , , Kid 2600 Atwater St., Detroit and Crain’s research, ranked Rock, , Jeff Dunham Contact: (313) 393- in order of maximum capacity. 7128, www. cheneparkdetroit.com Meadow Brook Music Festival can DTE Energy Music Theatre Founded: 1982 accommodate 7,701 spectators. 7774 Sashabaw Road, Clarkston Top executive: Shahida 2000 Brush St., Detroit Contact: (248) 377-0100 Mausi-Johnson, president www.palacenet.com Contact: (313) 262-2000, and CEO Detroit opened in 2001. www.detroitlions.com Founded: 1972 Shows in 2011: 30 Founded: 2002 Top executive: Dennis Mannion, Capacity: 6,000 CEO of Palace Sports & Entertainment 2115 Woodward Ave., Detroit Top executive: Tom Lewand, Notable performances 2011: president, Shows in 2011: 58 Music and Mastery, India.Arie, Contact: (313) 961-5451 Shows in 2011: 3 Capacity: 15,274 Deepak Chopra www.thefillmoredetroit.com Luxury suites: 130 Notable performances 2011: Tim Notable past performances: Mary J. Founded: 2001 McGraw, Motley Crue with Poison, Capacity: 47,000 (65,000 football) Blige, Detroit Symphony Orchestra, Top executive: Ben Doughty, Jimmy Buffett, Train/, J. Neyo, Jill Scott, Will Downing, Sheila E. general manager Notable performances 2011: Kid Geils Band, , Rascal Rock, , Kenny Chesney Shows in 2011: 47 Flatts, Toby Keith The White Stripes and Kid Rock have Notable past performances: The Notable past performances: Magic Bag Theatre Capacity: 2,888 each played at Magic Bag Theatre. Rolling Stones, Eminem, Beach Boys (every year from 1972 to 22920 Woodward Ave., Ferndale Notable performances 2011: , , Mac 1980), , Bob Dylan with Contact: (248) 544-3030 , Miller, Bush, , City & www.themagicbag.com Colour and Gabriel Iglesias 2100 Woodward Ave., Detroit Founded: 1991 Notable past performances: David Contact: (313) 471-2283 Top executive: Jeremy Haberman, Bowie, Metallica, Ozzy Osbourne, www.olympiaentertainment.com owner , , Eminem, Kid Rock Founded: 2000 Shows in 2011: 225 Top executive: Tom Wilson, Capacity: 5,000 president and CEO of Olympia Notable performances 2011: 1526 Broadway, Detroit Entertainment Fitz and the Tantrums, Whitney Cummings, Toots and the Maytals, Contact: (313) 961-3500 The Masonic of Detroit dates back to Shows in 2011: 4 www.michiganopera.org 1926. Luxury suites: 73 Carlos Mencia Bob Seger played Eastern Michigan Notable past performances: White Founded: 1971 Capacity: 41,000 (45,000 Top executive: David DiChiera, baseball) University Convocation Center in 2011. Stripes, , Metric, David Gray, , Kid Rock, Ben Harper founder and general director Notable performances 2011: Capacity: 2,700 Vans , Paul McCartney, Eastern Michigan University Kid Rock (two shows) Notable performances 2011: “The Convocation Center Magic Flute,” “Rigoletto,” Alvin Ailey Notable past performances: Bruce 799 N. Hewitt Road, Ypsilanti 2211 Woodward Ave., Detroit American Dance Theater, the Joffrey Springsteen, , The Rolling Contact: (734) 487-5386 Contact: (313) 471-3333 Ballet, “Carmina Burana,” “The Stones, Dave Matthews Band, Marriage of Figaro” www.emutix.com www.olympiaentertainment.com Founded: 1998 Founded: 1928 Notable past performances: “Margaret Garner,” “Dead Man Top executive: Tom Wilson, Top executive: Mark Monahan, Walking,” “Cyrano,” “Werther” Detroit Opera House is home to The Palace of Auburn Hills director president and CEO of Olympia . 6 Championship Drive, Auburn Hills Shows in 2011: 7 Entertainment Contact: (248) 377-0100 Luxury suites: 8 Shows in 2011: 119 Sound Board at MotorCity Casino Hotel www.palacenet.com Capacity: 7,800 Capacity: 4,831 2901 Grand River Ave., Detroit Founded: 1988 Notable performances 2011: Notable performances 2011: Contact: (313) 237-7711 Top executive: Dennis Mannion, Russell Brand, Lupe Fiasco, Bob Neil Young, Eddie Vedder, Paul www.soundboarddetroit.com CEO of Palace Sports & Entertainment Seger, Gaither Vocal Band, Tiesto, Simon, Founded: 2008 Number of shows in 2011: 64 Wiz Khalifa Notable past performances: Elvis Top executive: , owner Luxury suites: 177 Notable past performances: Jay-Z, Presley, the Motown Revue with Shows in 2011: 45 Capacity: 22,000 (24,000 , Bob Dylan, All American Diana Ross, with The Luxury suites: 2 Rejects, , Temptations, , Van basketball Capacity: 2,405 Notable performances 2011: Bob Black Crowes, , Indigo Morrison, , Liberace, Notable performances 2011: Seger, with , Girls , Prince, Bob Dylan Collective Soul, Brian Setzer, Cheap Foo Fighters, Kanye West/Jay-Z Trick, Diddy-, Hall & Notable past performances: Sting Meadow Brook Music Festival The Masonic of Detroit Oates, LeAnn Rimes, (first event and sellout in building, Aug. 13, 1988), Bob Seger (6 sellouts 3554 Walton Blvd., Rochester Hills 500 Temple St., Detroit Notable past performances: Anita on same tour in 1996), Garth Brooks Contact: (248) 377-0100 Contact: (313) 832-7100 Baker, Eminem, Goo Goo Dolls, (five consecutive sellouts in 1996) www.palacenet.com www.themasonic.com , Tony Bennett 20120903-SUPP--0010,0011-NAT-CCI-CD_-- 8/29/2012 4:52 PM Page 2

FALL 2012 CRAIN’S DETROIT BUSINESS Page M11

Music Hall Center for the Performing Arts was founded in Detroit in 1928. Fisher Theatre Pop, James Blunt, Top executive: David Zainea, owner The Ark 3011 W. Grand Blvd., Detroit Notable past performances: Shows in 2011: 265 (225 at 316 S. Main St., Ann Arbor , Nat King Cole, Louis Contact: (313) 872-1000 Magic Stick, 40 at Majestic) Contact: (734) 761-1818 Armstrong, The Police, R.E.M., Bob www.nederlanderdetroit.com Dylan Capacity: 1,000 www.theark.org Founded: 1961 Notable performances 2011: Founded: 1965 Foster the People, , Top executive: Alan Lichtenstein, Royal Oak Music Theatre Top executive: Marianne James, director of bookings Airborne Toxic Event, Odd Future, executive director 318 W. Fourth St., Royal Oak Steve Earle, Sleigh Bells, Bright Eyes Shows in 2011: 320 Capacity: 2,089 Notable performances 2011: Contact: (248) 399-2980 Notable past performances: The Capacity: 400 White Stripes, Wilco, Jack Johnson, “Come Fly Away,” “Million Dollar www.royaloakmusictheatre.com Notable performances 2011: Lucinda , , Flaming once performed at Royal Oak Quartet,” “Shrek the Musical,” Founded: 1928 Williams, Guitar Trio, The Music Theatre. “Disney’s Beauty and the Beast,” Blue Top executive: Justin Miller, Lips, George Clinton, Dead Weather Civil Wars, Crash Test Dummies, Raul Man Group, “Billy Elliott,” La Cage Aux general manager Malo, Delbert McClinton Folles,” “Mary Poppins,” “Jersey Shows in 2011: 121 Elektricity Notable past performances: Arlo Boys,” “Catch Me If You Can” Capacity: 1,700 15 S. Saginaw St., Pontiac Guthrie, Joan Baez, Toad The Wet Notable past performances: Mary Sprocket, Cowboy Junkies, The Avett Notable performances 2011: Contact: (248) 599-2212 Martin, Carol Channing, Joel Grey, Brothers, Ani DiFranco , , J. Cole, Wiz www.elektricitymusic.com Bernadette Peters, Lynn Redgrave Khalifa, Elvis Costello, Morrissey Founded: 2011 The Shelter Notable past performances: Lady Top executive: Amir Daiza, manager Detroit Symphony Orchestra Gaga, , Kid Rock, Duran 431 E. Congress St., Detroit Shows in 2011: 14 at the Max M. Fisher Music Center Duran, Eminem, , U2 Contact: (313) 961-8961 Capacity: 1,000 www.saintandrewsdetroit.com 3711 Woodward Ave., Detroit Clutch Cargo’s Notable performances 2011: Founded: 1980 opened in Pontiac in Contact: (313) 576-5100 Nadia Ali, Pleasurkraft, Cedric 2007. www.dso.org 65 E. Huron, Pontiac Top executive: Leif Christensen, Gervais, Chris Lake general manager Founded: 1914 Contact: 248-333- Notable past Shows in 2011: 78 Top executive: Anne Parsons, 2362 performances: Dada Life, Capacity: 400 president and CEO www.clutchcargos.com DEV, Nervo, Paul Founded: 1996 Oakenfold, Identity Notable performances 2011: Shows in 2011: 100 Luxury suites: 26 Top executive: Amir Festival 2012 Daiza, manager Notable past performances: Capacity: 2,089 Filming of “8 Mile,” , Queens of Shows in 2011: 24 Notable performances 2011: St. Andrew’s Hall the Stone Age, The Hives Stanley Clarke Band, Chris Botti Capacity: 1,400 431 E. Congress St., Notable past performances: YoYo Notable performances Detroit The Blind Pig Ma, Silk Road, Kid Rock with the DSO 2011: , Seether, Alkaline Trio, Clutch Cargo’s is in a Contact: (313) 961- 208 N. First St., Ann Arbor Majestic Theatre hosted 40 shows in , Plain White former Pontiac church. 8961 Contact: (734) 996-8555 2011; Magic Stick hosted 225. The Harpos T’s, Manchester Orchestra, Reel Big www.blindpigmusic.com two venues share a Detroit address. www.saintandrewsdetroit.com 14238 Harper, Detroit Fish Founded: 1972 Founded: 1980 Contact: (313) 824-1700 Notable past performances: Red Top executive: Betty Wells- www.harposconcerttheatre.com Hot Chili Peppers, Top executive: Leif Christensen, Goffett, owner general manager Capacity: 400 Founded: 1939 Top executive: John McCausland Macomb Center for the Performing Arts Shows in 2011: 88 Notable performances 2011: Capacity: 900 Yelawolf, Hard White, Meat Puppets, Shows in 2011: 75 (Crain’s 44575 Garfield, Clinton Township Blind Pilot, , Talib estimate) Contact: (586) 286-2141 Notable performances 2011: Blackstar, Neon Trees, Sam Roberts, Kweli, Trampled by Turtles, Capacity: 2,000 www.macombcenter.com Heartless Bastards, Bold Panda, Sloan, Notable performances 2011: Founded: 1982 That 1 Guy Notable past performances: , Anthrax, Top executive: Christine Guarino, Notable past performances: , Gwar, Devildriver, Tech9 Eminem, Kanye West, Nirvana, Iggy George Thorogood, R.E.M., Sonic director of cultural affairs and Pop, No Doubt, , Elektricity in Pontiac holds 1,000 Notable past performances: community engagement Youth, Soul Asylum, Rollins Band, people. Radiohead, Beastie Boys Soundgarden, Smashing Pumpkins, Metallica, Slipknot, Bachman-Turner Shows in 2011: 44 Overdrive, Huey Lewis and The News, Pearl Jam, Nirvana Capacity: 1,271 Snoop Dogg, Alice Cooper Notable performances 2011: MGM Grand Detroit Bobby Vinton, Herman’s Hermits 333 Madison Ave., Detroit Music Hall Center starring Peter Noone, “BLAST!,” “In 1777 Third St., Detroit Contact: (313) 963-9800 for the Performing Arts the Heights,” Four Bitchin’ Babes, www.gemtheatre.com Contact: (877) 888-2121 Rhythmic Circus, “In the Mood” Founded: 1927 www.mgmgranddetroit.com 350 Madison Ave., Detroit swing revue, “Stomp,” Founded: 1999 Top executive: Jim Forbes, Contact: (313) 887-8500 Notable past performances: Tony president Top executive: Steve Zanella, www.musichall.org general manager Bennett, , Johnny Capacity: 450 Founded: 1928 Mathis, , Bill Cosby, Shows in 2011: 40 Willie Nelson, Howie Mandel Notable performances 2011: Top executive: Vincent Paul, “Plaid Tidings,” “Sister’s Christmas Capacity: 342 president and artistic director Catechism” (Century Theatre), “Late Notable performances 2011: Joe The Ark in Ann Arbor dates back to Shows in 2011: 220 The Crofoot Night Catechism 3,” “Sister’s Easter Jonas, Sean Paul, Eric Deluxe, 1965. Luxury suites: 3 Catechism” Manufactured Superstars, Dirty 1 S. Saginaw St., Pontiac South and DJ Jazzy Jeff Capacity: 1,730 Notable past performances: Contact: (248) 858-9333 Notable past performances: Notable performances 2011: www.thecrofoot.com “Menopause The Musical,” “Escanaba in Da Moonlight,” “The Usher, P. Diddy and Bob Sinclair “FELA!,” Esperanza Spalding Founded: 2007 All Night Strut,” “Forbidden Notable past performances: Top executive: Dan McGowan, Broadway” PJ’s Lager House Count Basie, Lucille Ball manager 1254 Michigan Ave., Detroit Shows in 2011: 350 Contact: (313) 961-4668 Michigan Theater Capacity: 1,100 www.pjslagerhouse.com 2301 Woodward Ave., Detroit 603 E. Liberty St., Ann Arbor Notable performances 2011: Founded: 2007 The Eminem movie “8 Mile” filmed at Dashboard Confessional, Jordan Contact: (313) 471-3333 The Shelter in Detroit. Contact: (734) 668-8397 www.olympiaentertainment.com Top executive: P.J. Ryder, owner www.michtheater.org Knight, Wiz Khalifa, , Hot Shows in 2011: About 300 Chelle Rae, Destroyer Founded: 2004 Founded: 1927 Capacity: 150 Notable past performances: Top executive: Tom Wilson, Top executive: Russ Collins, president and CEO of Olympia Notable performances 2011: Jimmy Eat World, , Vampire Chris Degnore and the Black Drops, executive director and CEO Weekend, , Lady Gaga Entertainment Shows in 2011: 100 Shows in 2011: 93 Hymn For Her, Grave Babies, Melvin Davis with The United Sounds, Capacity: 431 Capacity: 1,710 Majestic Theatre/Magic Stick Sheefy McFly and The Delorians, We Notable performances 2011: Ann Notable performances 2011: Barbarians, Little Arthur, Dirty Mitten Arbor Symphony, Charles Lloyd 4140 Woodward Ave., Detroit “Ernie” Funk Band Quartet, Bela Fleck, Chris Cornell, Contact: 313.833.9700 Notable past performances: Five Notable past performances: Two The Civil Wars, Nick Cave, Joan www.majesticdetroit.com For Fighting acoustic performance, Hours Traffic, Pat Jordache, Baez, The Jayhawks, Primus, Iggy Founded: 1984 Gary Hoey, Evil Dead Moonface, Handsome Furs, Parlovr PHOTOS COURTESY OF VENUES DBpageAD.qxp 8/27/2012 11:52 AM Page 1

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FALL 2012 CRAIN’S DETROIT BUSINESS Page M13

Every major act played Detroit back then, unlike today when numerous tours simply bypass the Motor City.

Bill Holdship Detroit full of sites with legendary sounds

BY BILL HOLDSHIP own scene as the Grande was dur- SPECIAL TO CRAIN’S DETROIT BUSINESS ing the late 1960s. It should be noted that the hen the wrecking Grande did have worthy competi- balls gutted Cobo tors in the form of the Eastown The- Arena in April and atre on Harper, where you could was see bills featuring everyone from demolished in ear- Grand Funk Railroad and Alice ly 2011, many baby Cooper to , Little boomers might Richard and ; and have felt like they’d lost good the Cinderella Ballroom on Jefferson Wfriends. Avenue, where The J. Geils Band Editor’s note: Bill Holdship has Both venues had stood out on recorded its breakthrough “Full covered music for more than 30 the musical landscape. House” live set. years. He was editor of Detroit’s For generations of music fans, Comerica Park and Ford Field famed and now-defunct memories from the “golden era” of have taken over — for the few Magazine from 1980-87, music edi- rock ’n’ roll — when Detroit was shows that actually still merit a tor for the New Times of Los Ange- one of the nation’s most important stadium — from the mostly de- les and most recently spent three markets — will be hard to match. funct . years as music editor for Metro Every major act played Detroit It was at the Silverdome where Times. back then, unlike today when nu- Elvis performed his first-ever merous tours simply bypass the New Year’s Eve concert in 1975 Motor City. One five-night period and famously split his pants. The in April 1978 sums it up for me. I Jacksons did their final area saw ’ Roger McGuinn shows with Michael there in 1984. and Gene Clark in a small club, And The Who broke box office followed the next night by David records when they performed in Bowie at Cobo. The next night it the ’Dome — a far cry from South- was Elvis Costello & The Attrac- field High — shortly after its 1975 tions’ dynamic local debut at the opening. AP/CORBIS/BETTMANN ARCHIVE Royal Oak Music Theatre on a bill The Beatles play Olympia Stadium in 1964. Unfortunately, there was a peri- with & Rockpile and od in the mid- to late 1970s when Mink DeVille, followed two nights has been garnering raves on the halls. “package shows,” featuring every- later by at Masonic Audi- indie circuit, including Michael The Who even played Southfield one from Jethro Tull to Frampton torium, during which Mitch Ryder Moore’s recent Traverse City Film High School in 1967, with Iggy & and ELO, played the massive space. joined him onstage for the encore. Festival. The Stooges following suit at It became a little like seeing From initial airplay on Wind- But one could easily justify doc- Farmington High three years lat- your favorite acts in the intimacy sor’s CKLW and Detroit’s even hip- umentaries on any number of De- er. Redford’s Nitro disco briefly be- of an airplane hangar, although it per WABX FM station, numerous troit venues — or just the local came a new-wave haven in the made sense for appearances by su- bands broke out of the Michigan scene in general during rock’s early 1980s, presenting the likes of pergroups like market via legendary local perfor- classic eras. Kraftwerk, and The (which first performed in metro mances. Most people have probably ex- Psychedelic Furs. Detroit at the Grande) and The Just ask Alice Cooper. And perienced a concert in recent Warren’s Motor City Roller Rink Rolling Stones in 1981. there was a reason Rod Stewart years at the Palace of Auburn Hills, was a punk emporium shortly be- A comprehensive list of the and the Faces considered Detroit (or DTE Energy Music fore that, presenting area’s great venues would include their American home away from Theatre, as the youngsters now and The Jam within five days of nearby Ann Arbor showrooms . That’s the focus of “Louder know it), Meadow Brook Music Festi- each other in 1980, as well as The Second Chance; numerous clubs Than Love,” a documentary that val, and the State (or the Fillmore, Pretenders’ local debut that same and bars, such as the Roostertail or focused on the internationally as the youngsters … ), among oth- year. ’s 714-seat Hamtramck’s Lili’s 21, where Iggy, revered Grande Ballroom, which ers. Punch and Judy Theatre presented Joe Strummer and Elvis Costello hosted nearly every great band And take it from someone who Talking Heads, Devo and Captain once hung out. Countless , during the psychedelic era (except spent 20 years in Hollywood, De- Beefheart around that same time. jazz and specialty clubs would need Hendrix and The Doors) and was troit still boasts some of the best None of these could compare to to be included, such as Harpos, the setting for “house band” facilities in the nation.Like most the Bookie’s Club 870, at 870 W. Mc- home to the local “extreme” metal MC5’s iconic live “Kick Out The major markets, Detroit has seen Nichols in Detroit. It was ground scene for decades now. Jams” album. some out-of-the-way and under- zero for local and international That could take up a book, how- The film by Tony D’Annunzio ground places turned into concert punk, and as legendary within its ever. Musical memories: Many local landmarks lost, others linger Without “Kiss Alive,” recorded central in 1973. The formances and Deep Purple pre- probably saw more shows at the past White Stripes concerts. As of at Cobo Arena, we might not be as and Aerosmith played its Septem- miering “Machine Head” months Masonic Auditorium than any other late August, DTE Energy Co. was widely known as “Detroit Rock ber grand opening. Kiss made its before its release. de- venue, whether it was Gene Autry threatening to shut off the power City.” Also live from Cobo: Bob local debut there, and Iggy & The buted “Dark Side of the Moon” or Ray Charles in the 1950s, Bob for unpaid bills. Seger’s “Live Bullet” and offerings Stooges performed a final shambol- here an entire year before its re- Dylan in 1964, or nearly every ma- Another 1920s movie palace — from Madonna, Kid Rock, Yes and ic show Oct. 6, 1973, a date that lives lease. jor 1970s artist on their way up — and home to Berry Gordy’s leg- Journey. Scoring tickets for the in punk infamy. pre- Next time Pink Floyd played Springsteen, Tom Petty and Bob endary Motown Revues — Fox The- Stones’ 1972 “Exile” tour, with Ste- miered his disco persona there in “Dark Side,” it was at Olympia Stadi- Marley, to name a few. It also atre was restored and reopened in vie Wonder, was nearly as impor- 1974, in front of a crowd expecting um, the huge “Old Red Barn” hock- hosted The Stones on their 1978 1988 after years of B-movies and tant to some locals as the military the Ziggy Stardust character he’d ey arena on Grand River Avenue. “” tour. Typical eclec- decay. It features some of the best draft lottery at the time. Much larg- introduced years earlier at the It was Elvis’ favorite local venue; tic bills included sightlines and sound in Michigan, er Joe Louis Arena, which stole its Fisher Theatre. Now a ruins-like the King played there in March with Queen; with as proved by recent shows by thunder in 1979, never had the parking garage, the building was a 1957, 1970, 1972, twice in 1974, and Buffalo Springfield and Electric everyone from Dylan and Leonard same marijuana smoke-filled ambi- backdrop in Eminem’s “8 Mile” in 1977. It also hosted The Stones’ Prunes; and Jimi Hendrix with Cohen to The Monkees — who ence. film and “Lose Yourself” video. legendary 1969 shows, and The Soft Machine and The MC5. Cur- sold out Olympia twice in 1967. The Michigan Palace movie the- Home to the Detroit Symphony Beatles in 1964 and 1966, the latter rently, it hosts mainly touring Detroit is fortunate to have a ater on Bagley opened in 1926 and Orchestra for three decades, Ford two weeks before their final live Broadway shows. Jack White venue this gorgeous and classic closed sporadically during the late Auditorium on the Riverfront pre- performance. It was razed in 1986. loves the place, most recently still standing. 1960s, re-emerging as “glam rock” sented ’s first area per- Music fans of a certain age playing it May 24, following seven — Bill Holdship 20120903-SUPP--0014-NAT-CCI-CD_-- 8/29/2012 4:03 PM Page 1

Page M14 CRAIN’S DETROIT BUSINESS FALL 2012

It was evident that you can’t survive by being just a concert venue. You have to be more than that.

Ben Doughty, The Fillmore Detroit

For Justin Miller at Royal Oak Music Theatre, it’s good news — in the form of more bookings — that musical artists now make more money from touring than from recording. KENNY CORBIN For venues, it’s not just about the music Biz, social events add to boost from traveling artists

BY NATHAN SKID size in the world, according to in- cult to duplicate the success they days,” Wilson said. “Companies are The reality is that live CRAIN’S DETROIT BUSINESS dustry research firm Pollstar’s Top had the first time,” Zainea said. using venues as a way to have dif- 100 Club Venues of 2011, up from Zainea said lesser-known bands ferent, memo- entertainment is not a hile artists, record 47th in 2010.But it’s not just Royal have a tougher time selling out rable meetings.” labels and studios Oak that’s drawing well. two shows if they are spaced just Wilson said piratable thing. There is struggle to replace Adam Schneider, senior vice months apart. the lobby of the the revenue once president of events and booking A band that fills the smaller Fox, which has value in that. filled by CD sales, for Auburn Hills-based Palace Magic Stick on its first appearance the capacity for live-music venues Sports & Entertainment, says ticket would book the larger Majestic 300 people, has have been growing. sales are up about 10 percent over Theatre for its second Detroit become a popu- Adam Schneider, Across metro Detroit, ticket last year at DTE Energy Theatre. show, but the bigger site wouldn’t lar destination Palace Sports & Entertainment Wsales are up by double digits as The increase comes as the sale matter, Zainea said, because the for weddings. more artists hit the road for tours of physical music continues to band would sell the same number “We are turn- to bring in cash, but also as savvy drop and digital sales fill the gaps, of tickets regardless of venue. Wilson ing away busi- venues open up to business and so- but with less profit for labels and “We are better off waiting for ness a lot of the time,” Wilson cial events. artists. A study by Cambridge, them to come back another year or said. “But that says great things There are increases at both small Mass.-based Forrester Research stay in the smaller venue,” Zainea about how the city is coming venues like The Majestic Theatre in shows physical music sales de- said. “But if they are good and they back.” Detroit or the Royal Oak Music The- clined from $14.6 billion in 1999 to have an audience, then, yeah, they Ben Doughty, general manager atre, as well as large ones like $6.3 billion in 2009 in the U.S. can sell out The Majestic after play- of The Fillmore Detroit, said ticket Clarkston’s DTE Energy Music Theatre Schneider said live entertain- ing it three or four months earlier.” sales are up 20 percent from last and The Palace of Auburn Hills. ment is doing well because it’s ex- But music isn’t the only thing year, but rentals are becoming a “It’s a totally different ballgame perience-based. helping the local venues. larger revenue driver for the 2,100- these days,” said Justin Miller, “The reality is that live enter- Private and corporate events seat concert venue. general manager of the 2,700-seat tainment is not a piratable thing,” are becoming ever more impor- The Fillmore has more than 100 Royal Oak Music Theatre. “Artists Schneider said. “There is value in tant to for Detroit- rentals slated for this year, com- used to make all their money sell- that.” based , Presi- pared to 80 last year. It had just 12 ing records; now they make all of But can it last? dent Tom Wilson said. rentals in 2007. their money touring.” The growing number of appear- Ticket sales are up 20 percent Rentals make up about 30 per- Miller said his theater sold 79,541 ances by music acts has a dimin- over the past two years at its cent of The Fillmore’s total rev- tickets for national acts in 2011, ishing effect on the interest from venues, which include the Fox enue, compared to just 5 percent compared to just 39,655 in 2008. the public, said David Zainea, own- Theatre, Joe Louis Arena and Comer- as recently as 2007, Doughty said. The small venue was able to er of the 1,000-seat Majestic The- ica Park. “It was evident that you can’t land Adele, whose album “21” atre and 500-seat Magic Stick, both Olympia hosted more than 400 survive by just being a concert spent 24 weeks in the No. 1 spot on on Woodward Avenue in Detroit. corporate events at its venues in venue,” he said. “You have to be Billboard magazine’s 200 chart and “A lot of times it’s not a good 2011, a 40 percent increase over more than that.” sold more than 5.82 million copies thing because (acts) are coming out the past two years. Nathan Skid: (313) 446-1654, in 2011. And the theater ranked too often and they are not support- “We are making a concerted ef- [email protected]. Twitter: 33rd in most-attended venues of its ing a new CD or single, so it’s diffi- fort to bring more people in on dark @nateskid 20120903-SUPP--0015,0016-NAT-CCI-CD_-- 8/29/2012 3:42 PM Page 1

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The Detroit Jazz Festival brings 750,000 people downtown over Labor Day weekend. Music fills the air at annual festivals

BY MICHELLE MUÑOZ SPECIAL TO CRAIN’S DETROIT BUSINESS

he Detroit area’s an- nual music festivals span geography and genres. Jazz, techno and country are a few of the genre-focused events, while live music Tstreams from many others. Here’s a look at some of the events:

Detroit Jazz Festival Ⅲ When and where: Always Labor Day weekend at Hart Plaza and extending up Woodward Avenue to Campus Martius. Crowds take over the streets of downtown Royal Oak for Arts, Beats & Eats on ABOVE: Detroit’s Labor Day weekend. Ⅲ History: The festival, held since Hart Plaza throbs 1980, started at Hart Plaza but grew with the over the years to its current size. It is Ⅲ History: Now in its third year in Ⅲ History: Held in Detroit since Movement billed as the world’s largest free jazz Royal Oak, the festival started in 2000. Detroit-based Paxahau Electronic Music festival. The Detroit International Pontiac 15 years ago. Oakland Promotions Group LLC took over Festival each Jazz Festival Foundation was County Executive L. Brooks Patterson production of the event in 2006. Memorial Day established in 2006. founded the festival, which raises Ⅲ The draw: Attendance for 2012 weekend. money for local charities. LEFT: A troupe Ⅲ The draw: Attendance for the was a record-breaking 107,000 fans performs African weekend is typically around Ⅲ The draw: Attendance in 2011 from all over the world, some from as dance at Concert 750,000. was about 335,000. The festival had far as New Zealand. its best year in 2010, drawing more Ⅲ What’s next: Organizers keep up of Colors at the Ⅲ What’s next: Performers expected Max M. Fisher to attend this year have been than 400,000. with the latest technology for the concert and try to bring in acts that Music Center in collectively nominated for and won Ⅲ What’s next: Expected new to the Detroit. more than 200 . Also festival this year is the Metro PCS make the event feel like an underground party. new this year is the presenting USA Basketball Dream Tour, stages. sponsorship of Auburn Hills-based featuring basketball activities and a Ⅲ Notable acts: , Ⅲ Chrysler Group LLC. visit from former NBA and USA Deadmau5, The draw: This year’s drew more than 100,000. Ⅲ Notable acts: ; Basketball player “Muggsy” Bogues. Ⅲ Wynton Marsalis Quintet; and Chick Ⅲ Notable acts: Travis Tritt, REO What’s next: With a move to its Corea, and the Harlem Speedwagon, G Love & Special 99.5 WYCD Downtown Hoedown new festival location — Comerica String Quartet Sauce Ⅲ When and where: Date dependent Park — the Hoedown has more room on the Tigers home schedule than its previous location on the (2013’s has yet to be set), at riverfront. The 2012 event featured Arts, Beats & Eats Movement Electronic Music Festival Comerica Park. acts such as Miranda Lambert, Dierks Bentley and Montgomery Ⅲ When and where: Labor Day Ⅲ When and where: Always Ⅲ History: Its 30th anniversary was Gentry. weekend in downtown Royal Oak; Memorial Day weekend (May 25-27, in 2012. The country music festival had been in Pontiac for years. 2013) at Hart Plaza. spans three days and has three See Next Page PHOTOS COURTESY OF LOCAL FESTIVALS 20120903-SUPP--0015,0016-NAT-CCI-CD_-- 8/29/2012 3:43 PM Page 2

Page M16 CRAIN’S DETROIT BUSINESS FALL 2012

From Previous Page . Ⅲ Notable acts: Reba McEntire, Ⅲ What’s next: The Ford Foundation Garth Brooks, Rascal Flatts became the new title sponsor in 2012. Inc. also joined the presenters in 2012 and added the Concert of Colors tune-up concert. A “Food Truck Meet Up” is expected again in 2013. Ⅲ When and where: Always in mid- July (the 2013 date has not been Ⅲ Notable acts: Ray Charles, George set) at the Max M. Fisher Music Clinton, Wu Man, Don Was Center, Charles H. Wright Museum of African American History and the Detroit Institute of Arts. Noel Night Ⅲ History: It started in 1993 at Ⅲ When and where: Always the first Chene Park on the Detroit riverfront Saturday in December (Dec. 1, as a celebration of ethnic diversity in 2012) in the Detroit area. It was expanded to Midtown’s three days in 2001. The festival Cultural Center Area. From left, Kris moved to the music center in 2006 Kristofferson, Tao and is now held in four different Ⅲ History: Rodriguez-Seeger, venues. It was expanded to four days The 2012 Pete Seeger and Jim in 2007. Noel Night Lauderdale perform Ⅲ The draw: The four-day concert marks the at the Ann Arbor Folk and tune-up show hosted about 40th Festival in 2009. 80,000 attendees, mostly from anniversary of the holiday tradition. The event features music, theater and Performers draw a dance crowd on Noel Night. performances, and establishments in the area, such as the Detroit Leads Institute of Arts and the Detroit Looking for Historical Museum, are free and open to the public. Ⅲ The draw: About 35,000 from the metropolitan area in 2011. Ⅲ What’s next: Organizers expect that are 40,000 to attend the 40th anniversary celebration. The lineup will be announced by early November. G d and Plenty? Ⅲ Notable acts: Thornetta Davis, the Tartan Terrors, Rhythm Society oo Orchestra featuring Paul King

Ann Arbor Folk Festival The Crain’s Book of Lists offers you 1,395 sweet leads! Ⅲ When and where: Always the last weekend in January (Jan. 25-26, 2013) at Hill Auditorium in Ann Arbor. It’s a classic! Gain access to Buy a full page in the Book of Lists Ⅲ History: Began at The Ark in 1977 as a one-day fundraiser then moved 1,395 businesses in southeast and receive a FREE copy of the to Hill Auditorium in 1985, taking a Book of Lists one-year detour to the Michigan Michigan, complete with names of digital version. Theater while the Hill underwent the executive team members. renovations in 2003. Ⅲ The draw: The two-day fest brings in fans from across the country and —mostly from Michigan, , Indiana and . The 2012 Contact Marla Wise for exclusive ad placement next to your industry list or event saw nearly 7,000 attendees. Ⅲ What’s next: The 2013 lineup will client list. Call 313.446.6032 or email [email protected] be announced in late October. Ⅲ Notable acts: , Lyle Lovett, Emmylou Harris, Rufus Wainwright

Contacts in the Metro Times Blowout Book of Lists Ⅲ When and where: Late : February/early March each year (no I CEO 2013 date has been set) in Hamtramck I Owner Ⅲ History: Has been held for 15 I President years, organized by alternative newspaper Metro Times. I Chairman Ⅲ The draw: About 10,000 annually I CFO Ⅲ Notable acts: The White Stripes, I COO The Dirtbomb, Katie Grace, Troy Gregory I CIO I HR Dally in the Alley I Marketing Ⅲ When and where: Always the I Vice President Saturday after Labor Day (Sept. 8 in 2012), in the alley between Forest I Choo-Choo Charlie! Avenue and Hancock Avenue, 3rd Street and 2nd Street in Detroit. Ⅲ History: It started as an art fair in 1977 and has grown to include four stages along with art, food and retail vendors. Proceeds from the festival benefit the North Cass Community Union. Ⅲ The draw: About 30,000 annually Ⅲ What’s next: Organizers have enlisted the help of Recycle Here to make the festival more eco-friendly. All trash will be sorted and recycled. All food vendors are required to bring biodegradable packaging. DBpageAD.qxp 5/10/2012 1:20 PM Page 1 DBpageAD.qxp 8/27/2012 11:22 AM Page 1

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