[Signs a 8 billion Won 3-years contract with Hakuhodo in Japan]
Male idol group BEAST has achieved a similar amount of revenue as 2PM in the last year. Driven from the K-POP heat wave, starting from this year onward, BEAST has become the largest CF group with an earning of 2.6-2.7 billion Won per year.
On the 21st, according to an evaluation on the strategic partnership with Cube Entertainment done by IHQ, BEAST recorded revenue amounting to 16.073 Billion Won in 2012, and this figure holds 70.1% of Cube Entertainment’s total revenue. Compared with JYP Entertainment’s 2PM who has earned 18.364 Billion Won, the group is merely short of 12.4% in terms of revenue.
Followed by the heat wave last year, BEAST achieved 34.1% of their total income (5.49 Billion Won) with their local and overseas concert as well as their Japan fan meeting. Although revenue generated from their activities in 2011 was merely 2.25 Billion Won, the figure managed to rose by 144.2% in just a year’s time.
MD (Lightsticks, slogans, characterized products and more) including DVD sales recorded at 3.094 Billion Won. CFs (2 Billion Won), album sales (2.794 Billion Won) and digital sales (947 Million Won) have been growing steadily as well.
In the industry, compared with other male idols, BEAST gained attention for their unusually high CFs revenue.
For the first half year of 2013, BEAST’s revenue is approximately 3.2 Billion Won. In July, BEAST’s second full album did not achieve a desirable sales due to time constraint. But it is expected that the coming 6th mini album in November, 3rd full album in April next year, and 4th full album in October (next year) will lead to a higher growth in sales.
In fact, BEAST earned 554 Million Yen (6 Billion Won) in Japan in the year 2011, and the sales was recorded at the 79th best seller on Oricon, 7th best seller in Korea. With such popularity, the group manage to sign onto Japan’s biggest advertising company H.
Company H will have full management rights over BEAST for a period of 3 years which spans from this year May 1st till 2016 April 30th, and the least amount of compensation for these 3 years would be 8 Billion Won. Moreover, Cube Entertainment may likely to achieve 2.6 to 2.7 Billion Won of other sales per year.
Accounting firms estimated that BEAST will record a sales of 17.929 Billion Won next year. This figure excludes Japan concerts, fan meeting and activities, which is merely a reflection of the least compensation amount received by BEAST. So the total sales is estimated to be 20 Billion Won (next year).
Under such circumstances, it is estimated that the members of BEAST will have a 30% income over the total revenue generated. Next year Cube Entertainment’s expected sales is 29.523 Billion Won, of which 7.763 Billion Won will be paid to artists. With this in consideration, if a member gets 26% ~ 30% of the total revenue, then each BEAST member would have earned 964 Million Won.
Meanwhile, Cube Entertainment’s sales for the first half year is 7.8 Billion Won and operating profit at 400 Million Won. Next years’ sales and operating profit is expected to be 29.5 Billion Won and 4.1 Billion Won respectively.
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Source: Money Today