I remember the 1980s era of "pay to play" on the Sunset Strip in Hollywood. In order to play places like The Roxy, The Whiskey, The Troubadour - you had to purchase a block of tickets. You then could/would sell those tickets to your friends and family and whoever, and attempt to recoup the $$. I don't recall the exact numbers, but it was something like 100-200 tickets (I think we paid $10/ticket?), maybe more. They would pile 3-5 bands on a show, each of the bands purchasing and selling tickets. The specific band fans may or may not stick around to see the other bands. Usually there was a headliner, which would generally be the band selling the most tickets. So, this in essence was a way for the club owners to rake in $$ without having to advertise. The bands themselves often purchased advertising, i.e. buying a thousand posters and slapping them up on telephone poles around the city, and buying ads in local magazines and periodicals such as BAM and Music Connection.
The bands - desperate for exposure and record deals - were glad to pay to play (or not). We did it, as did every other band at that time. We actually did reasonably well, easily selling the tickets we purchased, and rising to headline shows, and getting to the point where we started to get paid by the venues. In the end, the band I was with didn't get a deal. Notable bands coming out of this world were Poison, Guns & Roses, Warrant. The positive side was there was a camaraderie of sorts amongst most of the bands, we'd go to their shows, they'd come to ours, it was a struggle but a labor of love. I did make a lot of friends, and the exposure I got paid off later on (to a minor extent).
In hindsight, it was a shitty machine, exploiting many of the struggling musicians, playing off their hopes and dreams. As the pay to play world unfolded, it rapidly spread across the rock 'n roll clubs in Hollywood. I don't know if it persists, I hope not.