Who Pays What

No one wants to pay agents.  It's a sad state for agents. 
Some cruise lines don't want to spend the money and 
Musicians don't like to pay from their earnings.  
But for people that need salespeople to help them find jobs,
Agents are the perfect service provider, and they get paid. But,
Who's paying?


To answer this question, we must first identify the customer.  But,
Who's the customer?

Example 1

There are two parties to a representation contract.

  1. The musician enlisting the services of an agent is the Purchaser.

  2. The agent providing services to sell and secure jobs on behalf of the musician is the service provider.

  3. The cruise line is the end-user. The end-user is not a party to the representation contract.

Given the above, it's reasonable to say that the musician, as Purchaser, is responsible for paying the service provider. The musician is the service provider's customer. When the service provider does not do the job they promise to do; the Purchaser stops using the service and requests a refund.  
However, what I just wrote is not always the case.

Example 2

  1. The cruise line enlisting the services of an agent to find, secure and staff talent exclusively for its fleet is the Purchaser.

  2. The agent serving on behalf of the Purchaser goes out and seeks talent for the Purchaser to hire.

  3. The musician serves as an employee of the Purchaser and has no relation to the agent.

This situation exists with a few cruise lines. There are a few agencies privileged to hold exclusive staffing relationships with these cruise lines, and they do good work. They also get paid by the cruise line. The musician does not need to pay in this instance. As well, the agent is not working on behalf of the musician either.  
However, what I just said is not always the case.

Example 3

  1. The musician enlisting the services of an agent is the Purchaser.

  2. The agent providing services to sell and secure jobs on behalf of the musician is the service provider.

  3. The cruise line is the end-user, not party to the representation contract and pays the commission on behalf of the musician.

The musician is still the client of the agent and is receiving a benefit from the end-user. However, 
The musician is probably working alongside other musicians who might be paying their agents. The work environment is a blend of example 1 and example 2. Many musicians and employers are uncomfortable with the situation. The agent, however, is happy.

The agent will receive their money from the cruise line and will not have to collect fees from the musician. But, the cruise line and the agency do not have an agreement not-compete nor do they have an agreement to pay. At any time, the cruise line can choose to stop paying the commission, and the musician (who is, in fact, the Purchaser) would need to pay for the service.  
Would you want to be in that situation?

A Possible Solution

Agents - who are you for?
Are you representing the musician?   Are they the Purchaser?  If so,
Focus on their experience.  
Ask them to pay for the services you render,
Demonstrate, and create value for them.  
Be an excellent service provider.  

Musicians - the world is not fair.  
It may not be fair to be in a work environment that blends Examples 1 and Examples 2.
It's not helpful, and you might feel de-valued.   
If you have an agent, accept that this might be the reality.  
If you don't have an agent and thinking about using one, ask yourself:

  • Do I need a dedicated and exclusive salesforce such as an agent?

  • Do I understand the terms of the agreement?

  • Am I okay with paying commissions when I don't know the work being done to earn it?

  • Is it clear how to leave this agreement if it doesn't work for me and my goals?

  • What do I need to come alive?

  • Am I doing it?

The customer's identity isn't always apparent.  
The ambiguity of not knowing can cause lots of problems for everyone.
The only real change agent is the service provider.  
Any agent with the guts to change can change the world.

Who’s got the guts?

Agents Need to be First.

Commissions are Fair