Hong Kong Concert Market Faces Challenges

1.Introduction

The concert market in Hong Kong has seen a revival after easing social distancing measures and gathering restrictions. 2023 has seen an average of two major concerts held in Hong Kong by international stars each month, with each attendance exceeding 10,000, Yeung Yun-hung says at a Legislative Council meeting.

While it is true that the concert market has seen a revival compared to the pandemic period, there are some problems that cannot be ignored. The most crucial issues include Hong Kong's declining attractiveness to international superstars and the obvious aging trend of incoming singers.

In March of this year, Taylor Swift held a series of concerts in Singapore, which significantly boosted the Singaporean economy. However, Hong Kong missed many opportunities by not proactively seizing the opportunities as Singapore did. Many factors such as the venue’s capacity constraints have also prevented Hong Kong from hosting large-scale concerts of the same caliber. Furthermore, based on our analysis, the stars performing in Hong Kong tend to be older, with a proportion still belonging to the older generation. Not only are emerging stars not getting the opportunity to develop, but the young generation’s market is also not being fully explored.

Problems are highlighted during the Asian tour of Taylor Swift. Instead of coming to Hong Kong, the popular American singers choose to hold concerts in Japan and Singapore, which makes many Hong Kong fans disappointed.

“I thought she would come to Hong Kong, I was really looking for that,” Ming Wei, a fan of Taylor Swift, said. “Hong Kong should have sought the opportunity to hold such events, but it didn’t. I am disappointed.”

As global music tours resume in full swing, major international singers came to Asian stages in late 2023 and early 2024. However, Hong Kong seems to be less favored this season, with stars like Taylor Swift, Bruno Mars, Coldplay and Ed Sheeran choosing places like Japan, Taiwan, Singapore, and Thailand as their preferred stops.

Despite Hong Kong being a part of Bruno Mars and Ed Sheeran's previous Asian tours, data from the current season shows that the city has the lowest participation rate of European and American stars compared to its regional counterparts, Singapore and Taiwan. This trend marks a significant shift in venue preference among superstars.

Behind Hong Kong’s losing attraction and the shifting region preference of superstars, the cost for Hong Kong fans to attend the concerts increases.

“Instead of walking for several minutes, now I have to take flights for hours to attend her concerts,” Wei says, “airline ticket money and hotel accommodations even exceeded the price of concert tickets.”

While international star presence dwindles, local Hong Kong artists are thriving, capturing over 40 percent of the concert scene, which provides a substantial platform for local talent.

The participation of non-Chinese Asian artists (notably from Korea and Japan) remains consistent across Hong Kong, Singapore, and Taiwan, ensuring that Hong Kong fans still enjoy access to popular acts from these countries.

2.Ageing Trend in Hong Kong Concert Market

At the same time, from the perspective of the ages of artists, it seems that less singers of the new generation choose Hong Kong to hold concerts. For example, famous singer Ed Sheeran and the Korean girl team ITZY both choose Singapore to give the concert, but not Hong Kong.

From the perspective of artists’ age, less singers in new generation choose Hong Kong to hold concerts. For example, Korean idols Twice and (G)i-dle both choose Singapore to give the concert, but not Hong Kong.

Compared to singers who perform in Singapore and Taipei, singers who perform in Hong Kong are generally older. Of all the artists who come to Hong Kong for concerts, less than 40 percent are born after 1990. However, the percentage in Singapore can even go up to about 60 percent. This trend indicates that Hong Kong may not be as attractive to artists of the new generation as other regions.

Compared with Singapore and Taiwan, the singers organizing concerts in Hong Kong are relatively older, with higher ratio between 70s and 80s generations.

As singers get older, their loyal fans are going through a similar age change. For the older artists, although new young fans will continue to be added, the number of young fans is still relatively small. Former fans are still the majority which can lead to the phenomenon of general personnel aging in the music industry.

The history of concerts in Hong Kong has lasted for a long time, with many artists coming to give concerts as early as 2013. However, it seems that there are not too many changes of those singers who come here.

Comparison of birth years of singers having concerts in Hong Kong in 2013 and 2023

The overall trend in the age of singers who perform concerts in Hong Kong in 2013 and 2023 is almost the same. Most of the people who come here are still those who are singers of the previous generation such as Mayday and Hacken Lee Hak Kan.

As singers get older, their loyal fans are going through a similar age change. For the older artists, although new young fans will continue to be added, the number of young fans is still relatively small. Former fans are still the majority, which can lead to the phenomenon of general personnel aging in the music industry.

3.Venue Limitation in Hong Kong

Venue issues are one of the reasons why the competitiveness of Hong Kong concerts has declined. However, large-scale concerts in Hong Kong are mostly held in outdoor venues, such as the Central Waterfront Event Space and West Kowloon Chuk Tsui Park. These open squares’ acoustics are not as good as indoor squares, and back row audiences may be blocked by front rows. In contrast, Singapore's venues are mostly indoors, such as the Singapore Stadium whose dome can be closed.

Venue issues are one of the reasons leading to the decreased competitiveness of Hong Kong concerts. With better acoustics and visual experience, singers prefer to have their concerts in a more enclosed place. However, venues for large-scale concerts in Hong Kong are mostly open-air plazas.

At venues such as the Waterfront Event Space in Central and Chun Xiao Park in West Kowloon, back-row concert-goers often cannot see the stars and cannot hear the sound clearly because there are no step seats and the noisier ambient sound affects the acoustic sound.

Unlike Hong Kong, Singapore has stadiums with a seating capacity comparable to that of Hong Kong's open-air concert venues, such as Singapore Stadium, which largely guarantees the concert-going experience and has become a reason for its greater competitiveness.

The age of venues is also one of Hong Kong's problems. As can be seen from the figure, Hong Kong’s venues have the largest average age. For example, the Hong Kong Coliseum is the oldest venue. Although it is the most famous venue, its old facilities and small capacity make it not the first choice for large-scale international concerts. In comparison, the larger stadiums in Singapore and Taiwan were built in a shorter period of time and have newer facilities, especially the National Stadium of Singapore, which was constructed only 10 years ago and has a huge capacity.

Aging is another issue Hong Kong venues face. Among Hong Kong, Singapore, and Taiwan, Hong Kong's concert venues are the oldest. Due to the combination of old facilities and the ever-growing demand for capacity for today's concerts, Hong Kong's once-popular concert venues are facing greater challenges in attracting singers.

4.Cheaper Ticket Price in Hong Kong

By comparing the disparities in concert ticket prices among performers who have held concerts in Hong Kong, Singapore, and Taiwan, Hong Kong's concerts do not possess a distinct advantage in terms of ticket pricing apart from the physical infrastructure such as venues and facilities. Conversely, Singapore tends to exhibit relatively higher ticket prices compared to the other two locations. This could potentially explain why Hong Kong has encountered certain difficulties in attracting globally renowned superstars to hold concerts.

By comparing the ticket prices differences, concert ticket prices in Hong Kong do not possess a distinct advantage in attracting stars, because of the price limitation.

Ticket charges for concerts in Hong Kong are usually modest, and in these days of soaring concert ticket prices, ticket pricing in the Hong Kong concert market is often too low for singers.

Coupled with policy, for example, a daily rent fee of HK$56,750 or 20 percent of the ticket price for a concert held in Hong Kong's Hong Kong Coliseum, which take the higher price, according to Leisure and Cultural Services Department. Therefore, it is not cost-effective for singers to hold concerts in Hong Kong.

Many online media have also pointed out that the reason why some superstars did not choose to come to Hong Kong for their concerts was due to the late opening of customs after the epidemic, which did not allow enough time for the preparation of international mega concerts. However, according to the official notification from the governments of Singapore, Taiwan and Hong Kong on customs clearance, the opening time in Hong Kong was not too late, but the corresponding anti-epidemic controls were more stringent than in other regions.

Although the opening time in Hong Kong is not too late, the corresponding anti-epidemic controls during the pandemic are more stringent than in other regions.

According to the relevant anti-epidemic regulations, all travelers entering Hong Kong before 29 December 2022 are still required to undergo mandatory nucleic acid testing and to comply with the Vaccination Pass measure and the gathering restriction. However, Singapore stipulated on 1 April 2022 that vaccinated travelers are free to move around freely after entering Singapore without testing or quarantine, provided that they show proof of a negative test within 2 days before departure and proof of vaccination administration. The stringent epidemic control measures might therefore have created potential restrictions and related concerns for overseas singers at the time.

Regarding concert-related policies and government attitudes, Hong Kong is relatively lacking in direct financial subsidies compared to other regions. For example, to boost the tourism economy of Singapore through the influence of concerts of international superstars, the Singaporean Government has used huge concert subsidies to buy the exclusive right to hold concerts of international superstar Taylor Swift, monopolizing the right to hold concerts in Southeast Asia. The Singapore government's active and direct support for the concert has brought unexpected benefits to the country's economy.

The Hong Kong Government instead only provides appropriate assistance and facilitation measures. For example, it liaises with some concert organizers to understand their intentions and needs in organizing concerts in Hong Kong, provides "special booking" arrangements for performance organizers, and assists the organizers in solving various problems encountered during the organization.

5.Conclusion

The Hong Kong Government has also been actively preparing for the improvement of hardware facilities.

The Kai Tak Sports Park will be operational next year and can be used to host international large-scale concerts. Its main stadium can accommodate approximately 50,000 spectators, which is over three times the seating capacity of the Hong Kong Coliseum (which has 12,500 seats). Additionally, it has a retractable roof and a grass system, allowing for hosting various types of events regardless of weather conditions. In the past, Hong Kong lagged behind mainland China and other Asian regions such as Thailand and Singapore, missing out on many opportunities to host large-scale concerts and attract tourists. With the completion and use of the Kai Tak Sports Park, Hong Kong’s concert market may see some improvement.

Lee Ka-chiu said: "The economy of major events has a magnetic effect—the more major events there are, the better Hong Kong's attractiveness will be leveraged, and the better it is leveraged, the more major events will be attracted to be held here.” The Hong Kong government has already realized the importance of the concert economy. Let us look forward to the hosting of more spectacular large-scale concerts in Hong Kong in the future.