Since the debut of Just Dance in 2008, Lady Gaga has become a globally recognized superstar and pop culture icon. Unlike many artists, she has taken control of creating her brand from the beginning. Her passion for her music has shown through in several of her number one hits like Just Dance, Poker Face, and LoveGame. Gaga is not only a talented musical performer, but also a powerful marketing influence over her brand. For such an upcoming music mogul as Lady Gaga, canceling or even downsizing her tour are not viable options. Taking the financial and *** risk will be exactly what Gaga needs to further expand her brand, and truly become a household name.

Demonstrated in Exhibit 1, live music revenues have been steadily increasing over the past 10 years, whereas recorded music revenues have been declining. Live music concerts have become an extremely important source of revenue for artists, especially since illegal digital music distribution is becoming more and more prevalent. Many music labels have become focused on building an artist into a brand, rather than focusing simply on record sales. By 2009, annual revenues from touring exceeded $4billion dollars in the U.S. and record companies such as Streamline Records have begun creating 360 Deals in order to take advantage of the market share. By creating more than one outlet for an artist their brand will grow. By taking advantage of such an extensive tour, Gaga will be able to make the most profit. Other options include

Lady Gaga has created an extremely loyal fan base through the use of social media. Before she became the superstar she is today she utilized social media platforms such as Facebook and twitter to reach out to her fans and maintain an honest representation of herself to her fans. Along with posting her own tweets and Facebook comments, in 2009 Gaga began posting small “webisodes” to YouTube in order to give her fans more of an inside look at her life in the studio. Gaga furthered the relationship with her fans by calling herself “mama monster” and her fans as “little monsters”. Through the use of social media, Gaga was able to tell her own story and display her own personality, forging a strong relationship with her fans. “She is obviously very talented – she can sing, play, and write. But she is also highly driven, disciplined, and productive. And she is very good at self-marketing, particularly digital self-marketing.”, said Geiger about Gaga in an interview.

Through the use of marketing Gaga was able to build a loyal base of “little monsters”, these individuals felt as if they knew Gaga personally. Continuing the tour regardless of Kanye’s attendance would improve her relationship with her fans. The fans already admire Gaga’s determination and spirit, and would continue to support her success at larger venues.