The economics of Broadway shows...

[DGUtley]

The economics of Broadway shows - How the pandemic has made Broadway’s risky business even riskier.

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In early October, Rachel Sussman felt catharsis as she sat among hundreds of people for the Broadway debut of Is This A Room at New York City’s Lyceum Theatre. After the curtain fell, the backstage crew joined the actors to glow in the applause. The person who inspired the show, Reality Winner, beamed in from Zoom, connecting the drama of the stage to real life.

“Going back… helped me remember this is what it all leads up to, getting to a theater and feeling such pride at watching a really incredible piece of work in front of your eyes,” Sussman, a coproducer of the show with her company Plate Spinner Productions, told The Hustle. Then, a few weeks later came some unfortunate news: Is This A Room, which had been lauded by critics, was closing early. Crowds were still hesitant to return to recently reopened Broadway, and the producers and investors who spent $3.5m to bankroll Is This A Room and a sister play, Dana H., were not making enough.


So how do the economics of Broadway function? To find out, The Hustle researched statistics dating back to the 1920s and spoke with several insiders about production, theater ownership, and the difficulty of predicting a hit.


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The economics of Broadway shows (thehustle.co)

[Standing Wolf]

This may just be a flyover country rube speaking, but why would I want to pay upwards of $200 to see a musical play that will, if it's any good at all, probably be streaming on my big screen at home in a couple of years? If I had some reason to be in New York (or I lived there) and I had the money to burn and I was really into the subject matter or I was a big fan of one of the actors - yeah, maybe. Otherwise, I suspect it's just a status thing among the uber-cultured set...something they expect one another to do. Or something a visitor from flyover country might do in order to brag about it for the rest of his or her life. ("Yes, I went to a Broadway play.")

[DGUtley]

I think it is a status thingy.

[carolina73]

I have a wedding this spring in NYC and I'm not looking forward to going.

The threat of more lock downs, closures and crime rates in NYC make that even less appealing.

[Street Glider]

This may just be a flyover country rube speaking, but why would I want to pay upwards of $200 to see a musical play that will, if it's any good at all, probably be streaming on my big screen at home in a couple of years? If I had some reason to be in New York (or I lived there) and I had the money to burn and I was really into the subject matter or I was a big fan of one of the actors - yeah, maybe. Otherwise, I suspect it's just a status thing among the uber-cultured set...something they expect one another to do. Or something a visitor from flyover country might do in order to brag about it for the rest of his or her life. ("Yes, I went to a Broadway play.")

I went to my first Broadway show when I was in the 10th grade. Our high school librarian was the brother of Patti Lupone, who was starring as Eva Peron in "Evita". It was a pretty cool experience; I'd never seen a live production quite like that.

Asking "why would I go to a play if it'll be streaming in a couple of years" is akin to saying there's no sense in going to a concert because you can listen to the album. There's an energy you feel at both. It's something which, if you need to have it described to you, is something you'd probably never understand...

[Standing Wolf]

I went to my first Broadway show when I was in the 10th grade. Our high school librarian was the brother of Patti Lupone, who was starring as Eva Peron in "Evita". It was a pretty cool experience; I'd never seen a live production quite like that.

Asking "why would I go to a play if it'll be streaming in a couple of years" is akin to saying there's no sense in going to a concert because you can listen to the album. There's an energy you feel at both. It's something which, if you need to have it described to you, is something you'd probably never understand...

I totally get what you're saying. I've never been much of a concert or theatre goer - I've probably been to fewer than a dozen in my entire life - so maybe the "live" experience just doesn't resonate with me as it does to many other people. I was no doubt being unfair to attribute someone else's viewing habits with status seeking or bragging rights without acknowledging that some folks, like yourself, go to live events for other reasons. Still, unless someone lives in New York (or close to it) and has the money, wouldn't it make more sense to wait for a local production, that you can access without paying a small fortune or traveling? I've seen 'Cats' twice, live, in the Phoenix area, and enjoyed it very much. I'm not sure that seeing it in New York would be all that much different.

[Street Glider]

I totally get what you're saying. I've never been much of a concert or theatre goer - I've probably been to fewer than a dozen in my entire life - so maybe the "live" experience just doesn't resonate with me as it does to many other people. I was no doubt being unfair to attribute someone else's viewing habits with status seeking or bragging rights without acknowledging that some folks, like yourself, go to live events for other reasons. Still, unless someone lives in New York (or close to it) and has the money, wouldn't it make more sense to wait for a local production, that you can access without paying a small fortune or traveling? I've seen 'Cats' twice, live, in the Phoenix area, and enjoyed it very much. I'm not sure that seeing it in New York would be all that much different.

Well, I guess it depends on whether you want to see a show with the original Broadway cast (which often includes some rather notable actors) or are content with Mrs. Henderson, who's the VP of the local PTA, starring as Eva Peron. I grew up on Long Island, so New York City was what made sense for us. It just happened to be the epicenter for musicals and plays...

[RMNIXON]

A city opened up quite a large theater in my area many years back and had been making good money with plays, musicals, and even one act performers including a few minor celebrities. All shut since COVID of course......