Psy’s Spendy Second

Psy’s April 13 Seoul concert has been called the most expensive single entertainment event in Korean history. The show, titled “Happening,” is to take place at the Seoul World Cup Stadium and is said to cost upwards of $3 million to produce.

Most of the cost is in special effects and a helicopter that’s been chartered to film the entire event from the air.

About 50,000 are expected to attend despite the concert being broadcast live on South Korean TV and several other markets in Asia, as well as streaming on YouTube.

But as expensive as the “Happening” is, it apparently can’t compare to K-pop god G-Dragon’s first solo world tour, which started last month.

The Big Bang leader’s management company, YG Entertainment, invested $3.5 million in the tour, which is also being called the biggest in Korean history. Among the props are a transparent plastic sports car, neon wigs and more than 50 stage outfits. The lighting and the set decorations are being produced by Live Nation.

Not surprisingly, media are saying that despite brisk ticket sales, the tour will probably lose money in Korea and make it up in other countries. This is essentially what happened with the Big Bang world tour last year. As the tour continued, word of mouth grew and more tickets were sold.

That seems to be the K-pop strategy from now on. It’s difficult to make a profit within South Korea with such a hugely expensive show, but the expense is necessary to draw fans in other countries. The trick is to make sure they find out about it – and the gaudier the show, the greater the publicity.