The Economics Are Broken: How Touring DJ Fees Are Killing Clubs (And Why Residents Are The Answer)

The maths doesn’t work anymore, it’s that simple. Clubs are closing at a record rate across the world, from legendary institutions to promising newcomers, and while there are multiple factors at play (rent, licensing, gentrification, the usual suspects), there’s one issue that doesn’t get talked about enough: touring DJ fees have become absolutely unsustainable. We’re watching clubs bleed out trying to afford headliners whose agents have convinced them are essential to survival, when in reality, they’re often the thing killing them. Now we aren’t tarring the same brush to all touring DJs or agents, we know there is countless amazing high profile artists whom I even personally know play at a loss, but overall, the model is broken, and it’s time someone said it plainly: fuck the headliners, bring back the residents.

Here’s what’s happened. Over the past decade, DJ fees have inflated to genuinely obscene levels, driven by festival culture, streaming metrics that mean nothing in a club context, and a tier of agents who’ve convinced the industry that a big name on your lineup is the only way to fill a room. Mid-tier DJs are commanding five-figure fees for a single night, and all the while clubs are expected to absorb these costs while dealing with rising overheads and punters who’ve been trained to expect cheap tickets through aggregator apps. You need to pack the venue beyond capacity, charge entry fees that price out your core crowd, and pray nothing goes wrong, all to break even on a single night. And next week? You do it all again with a different name, because the headliner model offers no loyalty, no return on investment.

READ ON AT DECODEDMAGAZINE

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