A sudden increase in venue fees by the Seoul Arts Center is causing distress among concert organizers and artists who had previously agreed to contracts under different terms.
A recent decision by the Seoul Arts Center to double the venue fees for performances has caused significant concern among local concert organizations. One representative, identified only as Mr. G, reported that he was informed he would have to pay double the originally agreed amount just as ticket sales were about to open for an event scheduled for April. This change is due to a new regulation that considers any performance branding a sponsoring company as a corporate event, thus incurring a higher fee. Despite having made arrangements a year in advance under previous terms, this abrupt change puts these organizations in a precarious financial situation.
Other agents, like the representative Mr. N from a mid-sized concert planning company, expressed their disbelief over the situation. Initially signed in accordance with the 2022 venue regulations, they found that the years referenced in their contract had been changed to 2026 without notification. The lack of communication regarding these significant changes has led to feelings of betrayal and frustration, as many had prepared their performances based on the agreed-upon terms.
The heart of the issue lies within the updated regulations regarding corporate concert fees, which previously only applied to events that invited over 70% of seats. Now, any mention of a corporate sponsor is enough to categorize a concert as a corporate event. Smaller organizations, which rely heavily on corporate sponsorship to maintain affordable ticket prices, will find it increasingly difficult to sustain their operations. As Mr. G pointed out, this shift not only threatens their financial stability but could also force them to elevate ticket prices or, in worst-case scenarios, perform without compensation, jeopardizing the sustainability of the arts community.
