Call it the summertime blues for North American’s concert venues this year.

And Copps Coliseum is no different.

Hamilton Entertainment and Convention Facilities Inc. chief executive officer Duncan Gillespie expects to end the year with a deficit as the sluggish economy continues to take a bite out of the concert music industry.

“Even though it’s still July, we are projecting for the year end to be in red figures,” said Gillespie. “What we are finding is the conventions and entertainment (industry) lags behind the economic recovery. As companies retreat and reorganize coming out of the recession, they are doing so as a result of layoffs.”

As business shed people, they may be able to bolster their bottom lines, he said. But those laid off workers have less discretionary money to spend on such low-priority items as a Lady Gaga concert, he said.

It means people who may be interested in going to only one must-see concert, organizers say cash-strapped customers want good value for the expensive seats they are about to shell out. That economic reality has already sunk a number of A-list concerts this year. Rihanna, Christina Aguilera, Limp Bizkit, Bamboozle and the Go-Go’s and The Eagles have all cancelled concert dates this summer. As well, the Jonas Brothers and Kings of Leon have had slumping ticket sales. Earlier this month 10 Lilith concerts were cancelled across North America, including Montreal, Austin, Tex., and Raleigh, North Carolina. The concert featured Sugarland, Erykah Badu, Sheryl Crow and Grace Potter and the Nocturnals.

Still, some buzz-worthy concerts seem to be holding their own. Lady Gaga, James Taylor/Carole King, and Roger Waters are doing well, while Justin Bieber, Black Eye Peas, Taylor Swift and Bon Jovi have had successful ticket sales.

Still, the entertainment industry in 2010 is shaping up to be the worst for touring since the mid-1990s.

Live Nation, which operates the majority of the touring shows, is projected to earn $405 million in income this year, a drop of about 10 per cent from last year. And that’s despite Live Nation’s merger with Ticketmaster.

Pollstar, the touring trade magazine and website, reported in its mid-year business analysis that 2010 will see a 15 per cent drop in overall concern tour business compared to 2009. The Top 100 tours for the first half of this year have grossed $965.5 million, a decrease of about $196 million from 2009.

Gillespie says its difficult to predict what’s going to happen the rest of the year. But HECFI officials are looking at a soft market until early 2011.

“We are struggling with our revenue projections,” he said.

HECFI has had a successful July hosting the Moody Blues, Elton John and the American Idol Tour. Popular comedian Jerry Seinfeld arrives Aug. 6, and on Sept. 30 Alan Frew of Glass Tiger is scheduled.

Gillespie points out the Lilith Fair concerts, which in the past have always made money. Yet they cancelled concerts because of low ticket sales in key market areas.

So far HECFI hasn’t had any concerts cancelled.

Another factor is the high cost of buying a ticket for these big name concerts. For instance a ticket to see Lady Gaga at the ACC is $191. For two people that’s over $320.

“The cost of a ticket is enormous,” said Gillespie. “What you are doing is going to two concerts for the price of one.”

Over the last few years, while CD sales tanked, the concert business has thrived.

HECFI had its best year ever in 2008 when it hosted a who’s who of big-named performers, including Bob Dylan, The Who, and Bruce Springsteen, who earned the most revenue ever for HECFI at over $2 million. HECFI had a surplus of $100,000 in 2008, with the city contributing $2.9 million. This year the city provided HECFI with $2.8 million.

This fall, HECFI has scheduled the Crash Test Dummies Oct. 13 at Hamilton Place, and in Nov. 1 it has John McDermott and Nov. 4 Liona Boyd.

HECFI officials are looking at who’s making a splash in Toronto, such as the Molson Amphitheatre, and deciding which acts to book and which ones to take a pass on.

“You have to take a calculated risk,” said Gillespie. “This market is recovering, but slower than the other markets for the family with discretionary income.”