How much does it cost to create idols?

[sparklop.livejournal.com]

There has been a lot of controversy surrounding many idols about their "slave contract," especially in SM Entertainment. TVXQ's Junsu, Jaejoong and Yoochun left SM Entertainment because of it, and so did Super Junior's Hangeng, quoting the same reason. However, are their actions justified? SM Entertainment puts in an uncountable amount of effort, time and money to build the idols to what they are now.

So how much does it take to make one person to be an idol?

When SM Entertainment trainees sign a contract, they sign up for at least 3 years of training. During their trainee season, everything is paid for - including food, transportation and even dorms are provided for those who live too far away to travel back and forth every day. Not only this, but trainees get lessons on dancing, singing, acting and foreign languages. They are paid to go to gyms and hair salons and even to get plastic surgery if required.

Everything they need is paid for, and each person costs on average 20,000,000 KRW - 40,000,000 KRW ($18,000 USD - $36,000 USD) per year, and many end up costing more. Since large companies such as SM Entertainment has at least 20 trainees at a time, money spent on trainees end up being over 1,000,000,000 KRW ($900,000 USD) per year.

On average, every trainee spends about five years training. So if one person need 150,000,000 KRW ($135,000 USD) to debut, a 9-member group such as Girls' Generation will need at least 1,300,000,000 KRW ($1.2 million USD).

However, for them to debut, a manager needs to be hired, a car needs to be bought, and a dorm needs to be prepared. On top of that the artists need stage outfits, and albums need to be made, produced and promoted. In the end SM Entertainment spends at least 2,000,000,000 KRW ($1.8 million USD) just on their debut, and will keep spending about the same amount even after debut. For bigger groups like Super Junior the money is exponentially more. TVXQ also costs incredible amount of money because of their heavy promotions in both Japan and Korea.

Does this change your perspective of the contracts?

Source: Herald Biz +  Koreaboo

or you know, they could get a better business model that doesn't require the successful to pay for the failures

Comments

[iconusa.livejournal.com]

Nothing in this article surprised me

[soheefan.livejournal.com]

I honestly learned nothing new

[askbask.livejournal.com]

Does this change your perspective of the contracts?

[askbask.livejournal.com]

In other words, no.

[stopthedisco.livejournal.com]

tl;dr a lot of time and money

[keygasmic.livejournal.com]

♥

i cannot believe some of the comments on here.

[canttakeabreath.livejournal.com]

The problem with this entire system is that they take on to many trainees.

wait seriously? the problem is that the trainee system doesn't make sense. in the US, for example, you have to prove you'll be successful before you're scouted. which is why the industry "loses" far less money. the failures have to pay for their own failures.

now whether or not you think that's a positive thing is up to you. i quite like the trainee system. i think it makes sense. i also think these long contracts make sense. they do that in regular jobs to--a company will pay for my engineering phd if i sign a 6-year contract with them and work nights while i study. my degree might take me 4-6 years--that's a ten or twelve year contract. slave-contracts, what?

i think everyone complaining about this business model are focused on the wrong thing--the real problem is that the music industry isn't financially lucrative enough to recoup the costs. it's why these idols need to branch out into MCing and DJing and acting and all sorts of paying fields--they don't make enough money by album sales alone, and an idol can perform only so many concerts.

[mingobus.livejournal.com]

That's actually not much money, for an investment that could potentially make you hundred of millions.

[booksandsarcasm.livejournal.com]

Yeah... don't they pretty much cover those trainee costs after a few releases and going overseas (depending of course on popularity)? Considering the ratio of profit that goes to the company vs the amount that goes to the talent... I wonder what happens with a group that debuts but never becomes popular...

[xcherryblossomx.livejournal.com]

I think not all companies pay the whole training. Probably only the 3 big ones.

I wonder if they get pimped for money... Like send them to karaokes with the client$.

I read that with Johnny their trainees pay for most of the things and that is why they are so stressed out because they need to debut in order for Johnny to pick up the tabs.

[letseaticecream.livejournal.com]

but the Johnnys kids also get paid for backdancing in things like Shounen Club and concerts i think

[pinkeuu.livejournal.com]

Figures.

[831panda831.livejournal.com]

Does this change your perspective of the contracts?

not really , Its your fault you feel the need to create your idols instead of picking up talent from of the streets that doesn't need to be synthesized and shaped into the perfect ～‘＊ＩＤＯＬ＊‘～

[nisakomi.livejournal.com]

If they pick up talent from the streets that aren't perfect ~idols~ how can they be sure people you end up liking them?

[stopthedisco.livejournal.com]

they sign up for at least 3 years of training

lol not all of them

[headswillroll88.livejournal.com]

Wow some of them have literally been raised with SM.

[jlie-ly.livejournal.com]

I'm still confused, didn't back then the boy (well at least Yunho and Jaejoong, some SJ members too) say in talk shows that they had had to struggle for a living when they were a trainee, housing, food, and tuition fee at SM academy? o,o so SM don't cover every cost right?

[whynotplay.livejournal.com]

i think it was jaejoong who said that when they were trainees they went to get ramen from a street vendor or s/t because they were really poor and hungry and some woman was scoffing at them being like "i wouldn't even feed that to my dog!!" but idk if i'm remembering right lol

[cherrypop.livejournal.com]

The training is so just sooo... unnecessary in my opinion. Why can't companies choose people who are already struggling singers and musicians instead of people with no background in music whatsoever?? Or people who already possess great entertaining skills instead of people who have to spend time to develop it? It's very stupid and puts those people who are working hard to develop their talent on their own even more at risk.

[freezing-flames.livejournal.com]

ia

[notyourgeisha.livejournal.com]

The very fact that new groups are "created" by their agency points to a fundamental flaw in the system - this business model suggests ownership, not partnership, and when an artist and agency are not working hand-in-hand but are instead in a faux-indenture servitude relationship, the artist themselves simply cannot blossom and maximize their potential. Additionally, just because a company bore the financial burdens of the creation of a group doesn't give it the right to burn it to the ground either.

[nisakomi.livejournal.com]

This is my biggest problem with the kpop system.

[t-domination.livejournal.com]

Didn't YG have like, no trainees at some point?
But now they have those superstar k people.

[kimivalkyrie.livejournal.com]

YGE doesn't have as frequent recruitment cycles compared to SME and JYPE, I don't think.

[shiz-lestat.livejournal.com]

Does this change your perspective of the contracts?

Nope. Not at all.

[anathema-switch.livejournal.com]

I just randomly remembered sm academy I wonder how much money they make/save through that.

[erbalurbal.livejournal.com]

It doesn't matter what business model you use. It is very expensive to debut and promote an artist even in the western world. That is why most artists make no money from album sales unless they write or sell millions.

[jyusou.livejournal.com]

No, it doesn't. And this model is trash considering how unsustainable and risky it is.

[julili.livejournal.com]

Man what a waste of cash. Why don't they adapt the Japanese way of creating idols? Practically costs nothing

[saintalecto.livejournal.com]

Wait, I thought that the Korean system was modeled off the Japanese system. LOL JE?

[stopthedisco.livejournal.com]

lol no i'd do it too. my nose is weirdly shaped.

then again idk if a nosejob is worth harsh criticism, attacks, endless schedules, etc...

[alchemywow.livejournal.com]

It's kind of a brutal system, really, but I completely get why so many people want to audition and be part of a company. It's just a shame that they don't think of a long term investment. The companies seem to want a fast turnover, then move on to the next new thing, leaving the kids out to dry after their five years of being run into the ground. If they took a little more care perhaps, they could make even more money.

[saintalecto.livejournal.com]

Because idols are cool and they look like they live the life. Some of them actually might- look at YG's groups. They get a lot of creative license and freedom, it seems.

[lovejae23.livejournal.com]

i thought trainees have to pay for their own lessons

[anrixan.livejournal.com]

It just amazes me how they were all babies when they started with SMET. How can you tell that someone is going to be an idol when they're 11 or 12???? Voices change, voices mature....

[letseaticecream.livejournal.com]

which is why a majority of idols can't really sing, and there's probably worse ones who weren't allowed to debut

[iheartomntd.livejournal.com]

I think some of us has talked about this business model to death already. It's a flawed system but companies continue using it.

[queefing.livejournal.com]

yep. deadhorse, oldhat, wut to do

[eliteseal.livejournal.com]

Fans will never look at the business kind of view.they will always think it's easy to produce the stars and from the numerous Cfs album etc,the management company will make tons of money.but they dun realise the whole company doesn't revolve around the stars only.there are numerous other behind the scene workers who need to be fed too.training a star has it's risk they won't know whether they will debut successfully and thus money may be wasted.while some may argued that the slave contract may be unfair, but the personnels involved had the right not to sign.

Both parties should take a step back and resolve matters amiacbly.