SMEs Girls' Generation...

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    SMEs Girls' Generation...

    Post by Bento_box on Sun 22 Mar 2009, 11:18 am



    There has been an article in circulation declaring the financial stance of SM Entertainment and it goes something like this:


    SM Entertainment in Deficit for the Past Two Years
    Friday, March 13, 2009 Korea

    In the morning of March 13th, South Korean media reported that the past two-year deficits for Korea's SM Entertainment company reached around to 1.62 billion won for the year 2008.

    According to reports, SM's profits from TVXQ, Super Junior and Girls' Generation net grossed 43.4 billion won. Despite this, there is still a deficit of 1.6 billion for the year.

    However, profits for SM in 2008 has grown 30% compared to 2007, but because of BoA's entry into the American market, and because most of SM artists are groups, each event required much more travel/transportation fees and personal management fees than usual. Therefore, despite there was a higher revenue in 2008, SM still reported a deficit year-end.

    SM has full confidence in pulling out of deficit at the end of 2009. With BoA's first album in the American market, and the Korean activities for Super Juniors and Girls' Generation, SM's financial situation must improve.

    That article has been a source of a lot of discussions and from a word from our wonderful staff I found out that some have even declared that "SM is lucky to have the Gee craze". I guess the article and those comments have driven me in to writing a semi-expose in regards to them.

    In response, I think it's best to state that "SNSD are superbly lucky to have the SM dirty tactics team on their side".

    This "Gee craze" has been the biggest self orchestrated "craze" to ever have graced our humble planet. Everything about it was so "text book" and predictable, their marketing team knows what to do yet unfortunately, probably due to pressure, their timing is their downfall.

    What happened with Jang JaYun was a supreme tragedy, yet it should have at least opened the eyes to some, of the dirty, disgusting and downright despicable world of show business. Not everyone is lucky enough to be under a large label that doesnt have to send out their stars to get gigs, but it also doesnt mean that the reason they have to do that is not obvious. The simple fact that the small rate companies force their talents to meet with execs is because some companies have such "pull" that it's hard to get a chance to break in, however talented a talent truly is.

    Its unfair; the sordidness of their actions is unforgivable, but that only cracks the door open in to the world of showbiz. What Im getting at is, a company such as SM, big name label, with big name stars under its belt, should not be in the red for such a long time. Logically, it doesnt make sense.

    SM is a public limited company; they have shareholders, a board of directors to answer to and a lot of artists that bring in money. Just looking at the market without looking at the details, SM should be raking it in. The SK market is tiny compared to others, but a lot of the stars take a large share of the wealth that goes in to that industry. So doesnt it make sense, that since SM is a Korean company, a part of the Stock Market, that if they have such a large share of the industry, why arent they getting any profit?

    It's been going wrong for years, but SM has been keeping afloat for a few talents... namely, Super Junior, DBSK and BoA. Those artists have been in demand ever since they had their rise to fame. Super Junior has been split up in to plenty of sub groups, done a lot of solo work and sent abroad, but the point is, that nearly all of them have had steady jobs and large opportunities through out. The Yen has always been stronger than the Won to some extent, and DBSK and BoA make a lot of money in Japan, yet they are under contract with Avex. So, a percentage goes to Avex naturally, BoAs Avex contract probably means that SM do get to keep more than they used to, since BoA has been in Japan for a long time and guarantees a hit, DBSK is just starting to pay back what they owe to Avex per se. What that basically means is, although DBSK and BoA make a lot of money in Japan, the majority does not make its way back to Korea, not forgetting how long it took the boys to make it in Japan.

    I know Im taking a while to explain things, but y'all need to have the facts straight in order to get to the real point. With their biggest acts out of the country or subsequently out of "action", they needed someone to pull some weight in the industry and keep the SM name alive and kicking. And that was, dun dun dun, SNSD. SNSD was doing well in the beginning and getting them their money from their market audience, even pulling in from different target audiences with their well hidden pedo-bait theme but with a "girl power" song to start with. You can really see the downfall pretty much after 2 months of their debut. I must admit, SM had a good idea where they were going, but they were sloppy with their training and picking out the "right" members. They pretty much missed what they were so successful with with Super Junior. I dont know if you guys remember way back when, but when Super Junior first debuted there were a lot of things said similar to "why do they have 12 members, what are they trying to hide? They must all have little talent... or along the lines of. Yet Suju went on to prove their worth as individuals and as a group. When they first came out, I was actually really impressed, yes the number was ridiculous, and the debuting of such a large group was bold, but they offered something some groups couldnt... An opportunity for most young girls in their target audience to find a guy to their liking, be it one or all 12 (later 13), it was a genius marketing strategy, developing a group to suit most tastes with different images for all.

    Anyhow, in essence, SNSD were meant to be a female version of Super Junior, yeah SM do that a lot, but that was their idea from the get go, but somewhere down the line, SM realised that their target audience was simply not gonna cut it. They found that they were attracting a clientele that was going to not simply buy their merchandise from time to time, but do it as obsessively as the fanboys. The FanAjoushis.

    Now, Im not saying that they didnt plan to bank on them form the beginning, far from it, they were bound to get a percentage from that target audience seeing their choreography and image. But not to the extent that they had found out, SM discovered that the over 30s market was willing to not only spend some money on their girls, but a heck of a lot. So you can say, that SHINee was a direct result of that discovery too, it's all in the debut song. And it explains their sudden introduction to the music scene.

    Ok, I swear Imma get to it all now, the biggest reason why SNSD have been pushed on to us so much, and that all goes back to Dream Concert. Often I have to detach my fan bias to see things in the business sense, and once I do, I can tell why SNSD are being shoved down our throats more now. Actually, my fan bias has nothing to do with my business mind... :p Now, Businesses rely a lot on their public image to make money; they rely on the favor of the public in order to keep making a profit. You've heard it a lot no? That the fans make the idol, the public favor makes the President, the customer is always right? So, when something as large as Dream Concert happens where your "talent", is silenced by the majority of the crowd, something doesnt bode well, does it? I'm not going in to the reasons behind DC, cos that's been done to death, but I'm going to show you the SM Entertainments side to DC.

    Simply put, it was an utter disaster, similar to the proverbial walls crashing down around you when you come under crisis. People started asking "why", and a lot of things came to question in regards to SNSD. "Why" indeed. SM prides itself in being one of those that are large contributors to the Hallyu wave, they fly in Harvard Business School students for private lectures with old Lee SooMan himself, and MIT, and just recently they claimed that Harvard Law School students were coming to learn the "Gee" dance from SNSD. Since when did Harvard Law have anything to do with SM, or better yet SNSD? I can only draw up one conclusion; SNSD may be their future clients. Razz

    Kidding aside, if you try so hard to impress the public and make out as if you are the best, why are you being protested against, in such an unforgiving manner? Dream Concert is the most publicised event in the Kpop calendar; it's free and for a good cause. So why did the youth involved pick for it to be staged at that event, why did the youth involved bother to organise such a large event, such a large cry of disgust and injustice? Those questions were thrown towards SM, the media asked them, the public asked them, and what followed was some shaky responses and twisted propaganda from SM through use of an Mnet "documentary".

    Now within the walls of SM, what were they saying? The Board of Directors would have obviously not been happy. After all, SNSD is under the care and management of SM, no one else is responsible for letting things get so out of control, whats even worse, is that those that protested consisted, in their majority of fans of fellow SM artists. SM were forced to prove themselves, hence the long absence of SNSD afterwards. Prove themselves perhaps to not only the rest of the country, (theyre still a public limited company after all), but to the unbearable pressure of the Board of Directors and other key shareholders.

    SM has had failures before, but they have tried immensely hard after the debut of Super Junior to never go down that road again, and have by record succeeded. After all, no one since then has disbanded as of yet, have they? ;) To those that pride themselves on winning, to those that have made a name for themselves as the 'best', they needed to show the world that SNSD were 'forgiven', that those that protested against them were simply acting on petty thought and jealousy. And which they have done, just look at the SMTownLive cover-ups, all of them happened so quickly and with precision, to defend their name and to make themselves look more favorable to those that mattered the most, their investors.

    What Im getting at is, SM does not see SNSD as something so awe-inspiring, something so talented to keep them afloat. SM has started to see SNSD as the company that they desperately want the world to see as successful and thriving. It's a simple psychological insight, the desperation they seem to have with making SNSD look like such a great group, insisting they are the top dogs in the industry, waiting for their key competitors to leave the scene as to strike. It's actually all quite clear when you take the time out to look at it from an objective stance. After all, SM may find it hard to admit, but clearly JYP and YG have grown to such an extent that they stand on the same levels now, as opposed to SM being the top of the hierarchy in the idol business. I guess thats also translated in to SNSDs inferiority complex to the Wonder Girls.

    Yes, SM does sell more CDs, but the other companies make more on digital sales. Key difference, SM pay more on each individual CD made, what with all the gifts sent out with them and the numerous versions. But, the truth still stands; SM is the one that's being documented of being in debt.

    SM can only go down that road for so long, concentrating on the progress of one group and clearing their name has only made their problems worse. As their efforts to make themselves still be seen as "the company to beat", they have neglected other artists and fans. Something that they failed to realise is perhaps one of the most vital reasons of the SNSD boycott and as a result the public shaming of SM Entertainment themselves. It pains me to admit that the DBSK and Super Junior comeback are an indication of that neglect. One can argue till the cows come home that DBSK had sold the most CDs last year and have commendably sold a lot, yet to those that follow the market and spending habits of those in that target audience, they hadnt sold what they could have. Simply put, whatever number DBSK would have sold, you have to split that up to the versions they released, and that would be 3. Because in essence, the typical fan of the idol market would buy all versions of CDs for sake of support for their artists, for bragging sake or for their collections. So for a true market analyst, they would realise that the demand has declined, now the reasons for this in detail demand more time and attention to do it justice and I'll set that aside for now. In Super Juniors case, it would have to be said that the sign that they didnt achieve the number one spot immediately, it shows that something is going wrong. After all, arent idols meant to take charts by storm every comeback? Isnt that how you show the true impact of an idol?

    My point I guess in this article is to show you guys just what a gesture like Dream Concert can really have, and to not always trust simply the media representation and publicity stunts that are thrown around. As a PLC, a company in the Kosdaq, SM need to try and seem like theyre always getting the most attention, that their stars are making the biggest impact in the industry. Lately, when you notice them overcompensating with SNSD, and orchestrating with media propaganda the "Gee craze", that is a clear indication that theyre making up for something that was so damaging.

    Every little moment and action of defiance counts. ;) And SM is paying for it and failing to see the right answer to all their problems, as simple as it is, their fans should be their number one priority. If they continue down this path, they will be dragging down what took years to build, and self-ruin is nothing to brag about.


    _________________________________

    Thanks to queenbee for bringing to my attention, the endless idiocy and lack of sense of the InS♥nes. Not that I didnt know that in the first place. :3


    Last edited by __acidandr0id on Sun 22 Mar 2009, 6:27 pm; edited 3 times in total (Reason for editing : typos are the devil :3)


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    Re: SMEs Girls' Generation...

    Post by Beat_Virus360 on Sun 22 Mar 2009, 11:43 am

    thank you for telling us BB!! =]
    you explained it the most awesomest!
    everyone should know the truth now.
    lets just see whats going to happen next.
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    Re: SMEs Girls' Generation...

    Post by stealing_life on Sun 22 Mar 2009, 11:49 am

    My my. The intelligence of this article just fried my brain <3 Looks like it took a long time to write >_<

    Wow. You pointed out so many things I would never have thought of - or stumbled across.

    In the morning of March 13th, South Korean media reported that the past two-year deficits for Korea's SM Entertainment company reached around to 1.62 billion won for the year 2008.

    I would never have guessed this. But with all the marketing, re-packaging, random little gifts that no one can really use... (DBSK Mirotic lanyard anyone?) I have to say this didn't throw me off one little bit.

    Simply put, whatever number DBSK would have sold, you have to split that up to the versions they released, and that would be 3

    That, I must admit, I had already thought of before. Not only would it just be the 100,000 pre-orders, but that's 700,000 Cassies not buying anything, which I know has already been discussed. I saw a report somewhere about Super Junior's comeback - Netizens have complained about the quality, apparently they only consider 2 of the songs actually worth being in the comeback album. As a comeback, surely it should have a bigger impact, like you said. SM really has gone downhill since SNSD debuted, why don't Insanes realise this?
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    Re: SMEs Girls' Generation...

    Post by Shardz on Sun 22 Mar 2009, 11:53 am

    Again, DBSK and Suju's comeback were all criticized. Why is it only SNSD's MINIALBUM wasnt? and hit up such a "Gee wave"? Clear form of neglecting your biggest stars to earn money oversea and pampering the favourites.

    With that being said, why arent SNSD thrown into Japan yet? Honestly, they would have better chance in Japan for the Loli-complex image. Just look at what they are wearing.
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    Re: SMEs Girls' Generation...

    Post by blabblepop on Sun 22 Mar 2009, 12:04 pm

    Couldn't have said it any better Obento!!
    You're too awesome! *applauds*
    Great job! This is what we're talking about..!!
    Anyway, SM has been in deficit since forever..
    I don't know.. they might be asking for pity or something
    but what I know right now is that they've been using more dirty money than ever..
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    Re: SMEs Girls' Generation...

    Post by Oh_Mona on Sun 22 Mar 2009, 12:11 pm

    Agreed. Thank you for shedding light upon it I love you Wonderful work!

    As a fan of a couple of artists in SME I'm constantly left disappointed and angry at SM and the way they deal with fans, Artists etc. Its only natural for fans of other artists to feel resentment towards SNSD for being given so much attention and having so much money spent on them while their Idols are left in the dust. I honestly never believed that SM ever thought that SNSD were worth the trouble either, I like to give them some credit for their mental capabilities (Can't say so much for Soshi fans though).

    It pains me to admit that the DBSK and Super Junior comeback are an indication of that neglect. One can argue till the cows come home that DBSK had sold the most CDs last year and have commendably sold a lot, yet to those that follow the market and spending habits of those in that target audience, they hadnt sold what they could have. Simply put, whatever number DBSK would have sold, you have to split that up to the versions they released, and that would be 3. Because in essence, the typical fan of the idol market would buy all versions of CDs for sake of support for their artists, for bragging sake or for their collections. So for a true market analyst, they would realise that the demand has declined, now the reasons for this in detail demand more time and attention to do it justice and I'll set that aside for now. In Super Juniors case, it would have to be said that the sign that they didnt achieve the number one spot immediately, it shows that something is going wrong. After all, arent idols meant to take charts by storm every comeback? Isnt that how you show the true impact of an idol?

    THANK YOU!

    I can't say how much I was disappointed by DBSKs comeback and it still pains me to think back at it. SM were so cheap with Super Juniors comeback too, aren't they the ones that are supposed to be raking in the most dough in the homeland/Abroad? (Not including BoA).

    It really sickens me to see them trying so damn hard to sell them (And them 'acting' surprised), really, from the pit of my stomach.

    On another note..
    Since when did Harvard Law have anything to do with SM, or better yet SNSD? I can only draw up one conclusion; SNSD may be their future clients
    I LOLed hard at that Razz

    But that has to be the biggest piece crap of the century, since when do law students prance off to learn dance moves that mostly consist of butts shaking and fingers pointing (Perhaps to prepare them for their future ventures in to the courtroom... If they live in the film "Legally Blonde" that is *Rolls eyes*)

    Stealing_life wrote:
    SM really has gone downhill since SNSD debuted, why don't Insanes realise this?
    Because they are Insane ofcourse, you said it yourself ;)
    But really SNSD fans are either :
    A) Pulling the wool over their eyes and flat out denying what is staring them in the face
    B) Hormonal Boys just in it for the legs/panties/poses
    C) Plain and simple fools who cannot think for themselves
    They just take what they are fed by SME and blindly except it, as long as its positive, which this article has proven is the usual.

    Thats why all the news about them hitting some sort of mark with album sales always says the same bloody thing "SM say they have sold..." with no source of any sort, they even tried to bash down the credibility of Hanteo. Shows how desperate they are.

    Just because a product is cheap, doesn't mean it has quality. (Not exactly said in the most creative way, but you get it ^^;)


    Last edited by Oh_Mona on Sun 22 Mar 2009, 1:21 pm; edited 1 time in total
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    Re: SMEs Girls' Generation...

    Post by jaejae19 on Sun 22 Mar 2009, 12:26 pm

    The intelligence of my halmou~~ it actually took me 3 rounds of reading before I fully comprehended the point of the article.

    Seriously, the truth of the matter is that SM is taking on a ridiculously wrong strategy here. He's losing more by making his plastics look good. It's a pretty bad cover up, and that which only works on InSane people. Because of this, Super Junior and DBSK (and need I say BoA?) have produced fairly satisfactory albums because everything has to be about those nine plastics.

    And yes, I do agree: SNSD could make it big in Japan with that type of image. But then again, what's an image without talent, ne? Besides, ikemen are ruling the music industry there. Must take a miracle for Japs to notice those plastics.

    LSM, a DEFICIT is what happens when you concentrate on developing the career of untalented plastics. And deficit does not entail just a small amount of money. I'm pretty sure you're very much aware of that.

    ...and you need some serious DAMAGE CONTROL LESSONS.


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    Re: SMEs Girls' Generation...

    Post by soshi4never on Sun 22 Mar 2009, 12:31 pm

    Thank You! :D
    I really do not have a reply to this.
    I would like to see Insanes try and respond to this.
    Honestly they have to see the truth.
    I really want to rub this article in those S♥NEs faces.
    i ♥ you Bento :]
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    Re: SMEs Girls' Generation...

    Post by queenbee on Sun 22 Mar 2009, 12:38 pm

    There has actually been numerous discussions on why the Suju boys are not winning in the music shows, considering the hype of their comeback...

    As much as I love 8282, i love mah boys more and I was also disappointed on their non-winnings... and the reason being is that ELF buys albums (with the free posters and photobooklets and all) as opposed to Davichi's supporters who do online DLs, where the music show rankings rely on...

    Same with DBSK during their comeback... they won almost a month after their comeback stage... which makes you wonder about SNSD doesn't it?

    SME knows Cassies and ELF will be supporting their boys... so what about SNSD? Buy an award or two, of course... and you guys wonder how SM is losing money.... XDDD



    Anyhooz... ajumma~ nice article...


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    Re: SMEs Girls' Generation...

    Post by desertthem on Sun 22 Mar 2009, 1:13 pm

    Oh, how I have missed your exposs!
    You said exactly what I was suspecting all along.. This whole thing is about prestige and a company's pride. The whole "Gee craze", proves it. I have yet to witness such orchestrated success as this before...Quoting Mama delusional "the GEE craze is something out of this world".. Yes Mama, out of this world by it's nonexistant nature. Taking a set formula from another ent company, and releasing a WG ver 2.0 (plus a pack of annoying girls), and release them when nobody is around and simulate a "CRAZE" ...Oh, SM you managed to fool us...yeah, right

    This thing was about about image, they are making sure to make it seem as if they have regained the public's favors.. This reminds me when they proudly announced a week (or was it two) after the comeback that they had sold 65 k copies? If Hanteo is THAT off, shouldn't most artists on that list announce that their album has sold more? Granted Hanteo is not a complete chart, but how can it be THAT off ?? Same goes with DBSK albums sales... They claim to have sold about 500k right? well Hanteo has their sales at roughly 385 K album sales.... I know there are discrepancies in numbers, but how can the gap be so wide? If the gap is like that for Hanteo numbers, isn't it safe to say that ALL the artists in the 50k + area should have sold more than 100k? or does the discrepancy only work for SM artists? See what I mean? this is all about regaining that public favor, but mostly to appease the shareholders... Maintaining themselves as SK's top company is very important at this point, since SNSD has tainted their reputation... So they made up a "craze", that nobody has really experienced except for their fans... This can also be seen with their Music Bank win... What a laughable attempt to brainwash the public!


    Ins<3nes are a lost cause, there is no need to try to raison with them anymore... I feel 10 years dumber, when I read their excuses and delusional plots....

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    Re: SMEs Girls' Generation...

    Post by SuperJuniorNShinee on Sun 22 Mar 2009, 1:27 pm

    DAMN...WHY THE DREAM COCNERT...I WILL NEVER FORGIVE WHAT THOSE FANBOYS DID TO DBSK&SUPER JUNIOR. WHY ONLY DBSK&SUPER JUNIOR'S COMEBACK ONLY GOT CICIRSIED? WHY NOT SNSD? SOMEHTING IS VERY FISHIE ABOUT THIS... Suspect STUPID INS<3NES
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    Re: SMEs Girls' Generation...

    Post by STANDupPEOPLE on Sun 22 Mar 2009, 1:59 pm

    lovely article. i feel as if i'm somehow much smarter, but don't quite understand. i honestly don't know what to say to that. other than... SM needs to put in more effort with the dongbang/suju boys. =..=

    Shardz wrote:With that being said, why arent SNSD thrown into Japan yet? Honestly, they would have better chance in Japan for the Loli-complex image. Just look at what they are wearing.

    i am waiting for the day that they get thrown in. the japanese market will chew them up and spit them out. then SM will realize how fail they are and finally take back CSJH since they're owning it up over there.

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    Re: SMEs Girls' Generation...

    Post by mybff94 on Sun 22 Mar 2009, 2:28 pm

    Those who are not SNSD fans known that ever since they debut, nothing good have ever happened since then, all the drama they been causing in the Kpop since. But what really pisses me off is that there influence have influence on my boys too. DBSK ans SUJU, why didn't anyone criticize them before for there music, but after SNSD appearance, everything changes.
    I wait to see the days that SNSD disappear. The only really why I hate them is simply because they do the opposite of what they said.
    Adults? Adults my ass, making a mistake, then blame on others or have them cover up? I don't see that how an adults look like.
    Over all, all the things that had happen, SNSD always have something to do with it. cry

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    Re: SMEs Girls' Generation...

    Post by piao on Sun 22 Mar 2009, 6:11 pm

    the only reason sm did 3 versions of dbsk is because he knows lot of cass will support the boys and buy the album no matter what.but in case of snsd, they donot have much insones to support the plastics Razz
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    Re: SMEs Girls' Generation...

    Post by SparklingDiamond on Sun 22 Mar 2009, 7:12 pm

    i always like how you pinpoint things.

    SM is going downwards indeed.
    i was immensely shocked when i saw the
    number of sales of DBSK's Mirotic compared to their previous works.
    and Suju's comeback?
    everyone awaits for it and it is not sweeping the nation.. yet.

    this is what SM gets for spending too much
    money squeezing SNSD in any program.
    SNSD's propaganda is just too much.
    added to the fact that they did spend a lot
    making those magazine and pictures that comes
    along with SNSD's CD jus to make more ahjussis buy them.

    i dont like where this is going because..
    when SM is broke, they tend to overwork their popular artists.
    DBSK is their moneymaker and they will eventually overwork the poor boys.
    they are doing many back to back schedule,
    after Mirotic, Bolero and now Survivor --
    not that im complaing because i love seeing DBSK in action but
    poor them, they deserve to get a break too.
    and i doubt Boa's American album will do good in sales,
    that means more lost to SM.
    they are going to send out SHinee now
    to get more money =P

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    Re: SMEs Girls' Generation...

    Post by AngelWings on Sun 22 Mar 2009, 9:22 pm

    SME is so blind about their plastic girls that they didnt realize it sooner what has been happening in the company.. its just irks me that alot of good artists are now suffering because of it.. SME knows that CASS loves dbsg so much and will support them even if dbsg release not so good songs ( well this hasnt happen yet.. you can see dbsg's put a lot of effort in their albums / photoshoots ), suju have ELF on their backs too.. but what about the other artist?? jang riin, shinee, csjh and the others?? talented artists not having promotions they deserve.. *sighs*

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    Re: SMEs Girls' Generation...

    Post by bigbangislove on Sun 22 Mar 2009, 10:17 pm

    We all know JYP is the/one of the richest entertainment companies in Korea.
    Sure SM can buy all of these meaningless awards and push them into every CF, movie, TV show, etc, etc that he wants but in the end, that costs money!

    Money that SM just doesn't have right now.

    Will he stop spending money on SNSD though? No. Pretty soon the whole company will be burnt out and he won't have money to support even the bigger more established artists such as DBSK and Suju! As BB mentioned, Sm wastes a lot of money repackaging albums and adding special little gift with certain albums such as photobooks. When in reality the real money comes from digital sales!

    JYP knows where the real money is at, therefore JYP goes for the digital sales instead of arbitrarily making repackaged albums! Sure, these albums might sale a lot (especially in sense some come with prizes) but the profit doesn't come back 2 fold to them. In the music business record companies actually buy millions (or more) copies of an artists album and fake statistics for publicity. This doesn't only happen in the US I'm sure, so I'm pretty confident Sm could be buying SNSD albums too (jsut not millions. Maybe a thousand or so). When all of these things are added together (repackaging albums, giving people special prizes with each album, and the company buying the artists/groups album itself) the company usually doesn't, no most likely never makes back their full profit!

    So the ideal is not necessarily to make back the profit in full, but to come close to it or make a well grossed amount to compensate. Needless to say, SM hasn't been compensating. Why? Because SNSD, the group he's been pushing the most lately hasn't been giving him back a substantial profit! He pays out all of this money for them and they don't give him much back in return. Not even artists like DBSK are enough to pull him out of this slump, how does he expect SNSD to do it?

    Sm's best business move for now would be to stop using dirty cash and let the artists get by on their talent. One problem though, not many listen to SNSD for talent.


    Last edited by bigbangislove on Fri 25 Dec 2009, 2:16 am; edited 1 time in total
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    Re: SMEs Girls' Generation...

    Post by wonderanti on Sun 22 Mar 2009, 11:45 pm

    SM Entertainment in Deficit is all because of soshit...!!
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    Re: SMEs Girls' Generation...

    Post by love_cinnabon on Mon 23 Mar 2009, 12:08 am

    Bento <3

    If there are more these kind of news floating around the media of the world, that will be such a sweet thing. Cuz the potential investors will surely back themselves off cuz of the poor performance. And the existing shareholders will find themselves having great headaches because of it. It's the time of economic depression after all.

    SM's losing the abilities to produce quality music - it's all about cover songs in their department, especially in RnB section. So they're left with no other choice but highly promote these non genuine 'gems' and make as if they're 'successful' and bring in the 'craze' through their 'Gee' as what been claimed as Delusionals as a 'history' ( Sleep ) - so that they'll be able to lure in other potential investors. Yeahhhh right...

    The more SM is making to promote them, the higher expenses they have to incur cuz they are high chances that they (SM) have to bribe people all the way. And yeah... the price for bribery is not cheap at all.

    SM produced mediocre quality for their acts yet they feel that it's harmless as they get to rely on the loyalty of Cass and ELFs who will buy the albums regardless of the quality. What they cannot see in the future is that by producing non high quality music, they will find it hard to find new fans for their artists as other potential fans are usually drawn to certain artists based on the good music. Then the existing fans on the other hand will slowly feel dissapointed for the declining quality performance of their fav artists (in terms of music) and slowly lose their interest and bam... the numbers of faithful fans will decrease. And by that time SM, how will you put out the growing deficit of your in such a 'full confidence'?

    My advise, SM... Learn to budget properly. Spend the money wisely, instead of spending it for the over promotion of the talentless girls. You've been promoting the girl's Gee comeback in full force, yet for Super Junior's comeback, you did the promo half heartedly - leaving the boys and the faithful ELFs to promote by themselves instead.

    And produce original high quality songs and no more cover songs, please. You've been incorporating the 'no originality' image on the company these few years back.

    Spend wisely or else you'll have to face the winding up process in no time. Razz
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    Re: SMEs Girls' Generation...

    Post by ~MiXiHae~DBSK on Mon 23 Mar 2009, 3:15 am

    Thanx BB & QueenBee for these report!!! number one number one

    OMG???!!WTF??
    Is this seriously happened???
    Why shouldn't people critic Gee???Why??
    Gee is not that better compare to TVXQ & SUJU songs..
    SM is crazy...yeah crazy...why should he lend all his money for the 9 plastics?
    HELLO SM!Thinks about the FUTURE,DUMBA**!!!
    If one day SNSD disband,you'll just waste ur money for them!Spend ur money for Super Junior more!C'mon!!!!They have made comeback!So,they need the supports!WTF are u thinking SM?Lost ur brain already??

    Oh,i wish something miracle would happen to destroy that SNSD and brings back SuperJunior,TVXQ,ZhangLiYin,Davichi,CSJH The Grace,Kara,After School,Wondergirls,2PM,2AM,U-kiss,SMASH,Jewelry and other Kpop artists to Live the Kpop World back!!!!
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    Re: SMEs Girls' Generation...

    Post by Mizuki on Mon 23 Mar 2009, 12:46 pm

    Thanks for this article, bento. <3 Though I had to read it a couple of times to let the information sink in piece by piece. ;]

    With SM trying so hard, it shows that the company is trying to prove itself innocent from previous downfalls. Ridiculous and shameful.
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    Re: SMEs Girls' Generation...

    Post by xjjjLOVE on Mon 23 Mar 2009, 4:11 pm

    wow does anyone REALLY think that this would be happening without the nine plastics?
    At least we know he's loyal to family
    seeing as he'd throw absolutely every single one of his BETTER and more TALENTED artists under the bus to support this sad excuse of a group.

    I think it's disgusting how, he's over working his poor artists to pay into his dirty little scams for his precious Shit dae's
    It's DESPICABLE.

    If he really wants to get out of debt?
    One thing is sure fire way,
    Get rid of the nine plastics,
    and he'll be out of that hole faster then a snap and a clap.
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    Re: SMEs Girls' Generation...

    Post by yushin013only on Mon 23 Mar 2009, 6:38 pm

    honestly, i never really like SME....if it's not only for SuJu and the Grace i wouldn't even dare have interest in that company....

    he's very unfair with his artists...i'm very disappointed with what is happening to SuJu right now...with all the comeback thing, with only 12 members...and the album contents....he brought down all his aces with SNSD and left elf do their own promotions with Super Junior...remember the posters...he scattered those freakin' posters of SNSD all over Seoul while with Super Junior, he made elf do it all by them selves....
    he send The Grace to Japan so they will not collide with his fugly freakin' dolls...he deserves everything that is happening to his company...

    why not send those 9 freakin' dolls to mars?!
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    Re: SMEs Girls' Generation...

    Post by izzybellboo on Mon 23 Mar 2009, 7:26 pm

    Even with "Gee" promotions supposingly "over", I still log on to my news sites, and see posted articles translated from Korean news regarding them (like that Harvard thing, which seriously blew my brains across for a few minutes or so).
    This can only tell us, that LSM is desperately still trying to get the "craze" going (when in the first place, there was no such craze. It was merely a great exaggeration orchestrated by their hundreds of loyal insanes in their fanbase to get publicity stints for their plastics) by once again shoving them onto us wherever he can.

    I did mention the word DESPERATE, right?

    With all that hard work and care put into churning money onto his worthless product known as SNSD, we can only see that his talented hardworking veteran artists like DBSK and BoA who are obviously his cash cows, working their butts off. Have you people noticed how tired out the boys seem in Japan these days? I'm not surprised, after looking at their posted schedules. And BoA is in America right now, and that definitely costs some serious bucks.

    It seems like everything that LSM does these days is sloppy. This is not like him. What happened to the good old days? Clearly, everything has gone downhill since SNSD, and then he's even had the nerve to create a project group using Rose as recyclement form the TRAX.
    Poor Traxians.

    As much as I'm happy with SuJu being back as a full group again, and I love the new album, I can honestly say that it could have been better. It was definitely not as grand as I had expected, and it almost seemed rush. As for the new album, sad to say, but there are at least 4-5 out of 10 songs that I seriously like.

    Getting back to SME, Lee Soo Man has definitely made absolutely poor choices since last year (the poorest choice was creating SNSD all together), what with CSJH's absence in SM Town Thailand, and much more.
    I'm not surprised that the company is facing a huge slap to their financial ass.
    I can only hope that his talented artists like ZLY that have yet to see the light of day at the moment, can pull through.

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    Re: SMEs Girls' Generation...

    Post by cancerian on Mon 23 Mar 2009, 8:35 pm

    i am very sad about DBSK. i think LSM worked them to the bones, i think they sound different from before. T^T aww. they should seriously consider switching to JYP man. -.-'' & oh, i only bought one copy of mirotic (bad fan i know D;)

    and anyway. i dont think LSM will throw SNSD into Japan soon, as i dont think the nine shits know Japanese right? not as if they will try hard to learn anyway. and they are so fake, Japan has like natural cuties, they will be like, rejected. and they are so rude, and since Japan is like, how to say, a country where most are like polite and stuffs, i doubt shitdaes will be accepted. they will be REJECT.

    and most probably shinee will be the next sacrifice to be shipped off to spawn more money so that LSM can buy more awards for shitdaes. yucks.

    & yes, frankly, i was disappointed by DBSK's come back last year, i expected something, better, like more impact. and with the number of Cassies, i sort of expected them to top the charts like, on the first week or something, but nope they didnt, so frankly i was kinda disappointed. but well. i still love my boys I love you it just pains me to see them being so tired and stuffs ;( sigh.

    and there LSM is, giving shitdaes rest, when they are active, for what? 3 months? please. DBSK and other artistes are the ones who NEED the rest man. LSM should seriously stop pissing fanclubs off man =/=

    and suju comeback recently. honestly, i was kinda disappointed too, i mean, they earn alot more for SM as compared to shitdaes right? but why is it that i feel that SM is not investing alot in them? they have like way better talents than shitdaes (obviously)

    and if suju & DBSK cant top the charts the first week that their albums are out, what makes you think shitdaes can. its all scripted scripted!

    and whats up with shipping CSJH to Japan and ZLY to China? thats like, irritating please. i cant believe all the good talented artistes are being neglected while the non-talented shits are being promoted as if they are gems.

    i hope SM suffer more losses this year, for promoting and buying awards for shitdaes. and i hope the investors in SM decide to disband shitdaes. *prays prays*

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