For example:
http://uk.news.yahoo.com/pressass/20080908/tuk-last-orders-for-five-pubs-a-day-6323e80.html
These places are closing here at a rate which is up 33% from the 27 bars and pubs that were closing every week last year.
Some of these are obviously live music venues. So, the market for where your band can play is likely to be shrinking isn't it?
Quite possibly. But it's far from being all doom and gloom. Remember the following:
1. Make sure you really now how to market your band
It is becoming increasingly essential to know how to promote your band better than your competition. This will make sure you'll have to stand out from the herd fighting for the gigs in those remaining venues which are still profitable.
2. There will still be plenty of venues featuring live bands.
You'll hear it argued that in "recession", venues will cut back on having live music or at least reduce gig nights. A few will for sure. But they will be the places that never had a crowd there in the first place.
The reality is that to avoid closing down too, successful bars and pubs will more need a "Draw". Something to get people out from in front of the TV or Wii and into their premises. Without their point of distinction (ie having live music on versus the bar down the road which doesn't) they will be MORE likely to fail not less.
3. Getting asked back is simple and essential
If you're feeling a lack of suitable venues in your area you need to make sure you're getting repeat bookings from as many places you play as possible. The keys are to ask for the next booking on gig night itself and ideally get more than further booking at a time.
4. Succeed when times are tough and clean up when they're not
This is a principle I advise all my business clients on. When times are tough you need to improve every aspect of your business to stay profitable. From a band situation this means you should examine everything from how much you pay for your guitar strings through to the quality of your live show (see point 4 below)and strive to make improvements.
If you're set up to be able to prosper when times are tough you'll be raking it in when things are good again.
5. You need a stand out live Act
Never has it been more important to give every audience (and venue) a night to remember than now. This needn't mean wearing fancy dress or setting fire to your drummer when you play. But think about how you can work some "events" or interaction into your shows. Your aim should be a moment or two that people will remember and smile about when they wake with a hangover the night after your performance.
Here's a great book for ideas on audience interaction if you're stuck:
http://www.gig-getter.co.uk/winthecrowdUK.html