Short-run Broadway shows bring in stars to try to turn a profit
Short-run Broadway shows bring in stars to try to turn a profit
It’s been a little over three years since Broadway reopened after being closed for 18 months because of the pandemic. And it’s starting to show signs of recovery, with higher box-office figures. This season, some of Hollywood’s biggest stars are coming to Broadway’s stages for limited runs. But can producers make money when the shows play just a few months?
Right now, Patti LuPone and Mia Farrow are in a short run of a play called “The Roommate.” In the spring, you can see George Clooney in an adaptation of his film “Good Night, and Good Luck” for 12 weeks only. Denzel Washington and Jake Gyllenhaal will star in Shakespeare’s “Othello” for 15 weeks.
“That isn’t a lot of time for investors to make much of a profit in an era of exorbitant production costs,” said Philip Boroff, editor of the newsletter Broadway Journal, which tracks theater finances. “‘Othello’ will cost about $8.5 million to produce. It seems to be selling very well and tickets I see are $821.”
That’s right, $821 is the top ticket price for the best seats to “Othello.” But there are lottery or rush tickets for considerably less. To make their money back in a short run, producers use “dynamic pricing,” much like the airlines — the higher the demand, the higher the price.
“The nature of the pricing part of it is so that the money can go to the place that it needs to go to recoup the costs of the show,” said John Johnson, one of the producers of “Good Night, and Good Luck.” He compared prices to other entertainment options. “Look at the price for World Series tickets in both New York and L.A. Same thing for Taylor Swift, for Beyoncé tickets in the last two years.”
Once tickets for “Good Night, and Good Luck” go on sale, they’re bound to be snapped up, said Boroff. “Obviously with stars, part of what you’re selling is scarcity. So, you know, people are paying a lot of money to be in a relatively small space with the biggest celebrities on Earth.”
And Broadway is one of the toughest markets to make money — only 1 in 5 productions break even or make a profit, said Johnson. So, a show with a celebrity at its center or based on a well-known intellectual property gives producers a leg up.
Sometimes. Splashy musical versions of “Back to the Future” and “The Notebook” are closing soon, at a loss. So, you never know what will catch on.
Still, Boroff said, “I don’t know anyone who doesn’t want to see George Clooney or Jake Gyllenhaal and Denzel Washington in Shakespeare.”
As long as you can afford a ticket.
Stories You Might Like
There’s a lot happening in the world. Through it all, Marketplace is here for you.
You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible.
Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.
