Box offices are the physical locations where customers can purchase tickets for movies, plays, concerts and other events. Whether box offices charge fees beyond the base ticket price is a common question for many consumers. The short answer is that it depends on the specific box office. While some box offices only charge the base ticket price, others may tack on additional fees like service fees or facility fees. These extra charges can vary widely, from just a few dollars to over $10 per ticket. Understanding when and why box offices assess fees can help customers make informed decisions when purchasing tickets.
Common additional box office fees
Here are some of the most prevalent fees that box offices may charge in addition to the base ticket price:
Service fees
Also called convenience fees or processing fees, service fees cover the box office’s costs for providing ticketing services. These fees may range from $1-$5 per ticket and sometimes more for major concerts or events. Service fees offset expenses like credit card processing, staffing, and ticketing software/equipment. Many box offices justify service fees as a way to keep base ticket prices lower.
Facility fees
Facility fees are charged to fund the upkeep and maintenance of the venue itself. Like service fees, facility fees can add anywhere from a few dollars up to $10 or more per ticket. The reasoning is that these fees help pay for amenities like parking lots, lobbies, seating, restrooms, and so on. Facility fees tend to be highest for large venues that require substantial operational costs.
Order processing fees
Some box offices charge small order processing fees, especially for phone, mail or online orders. These fees cover the labor and systems required to process orders outside of direct in-person sales. Order processing fees are generally under $5 per order.
Factors that influence box office fees
Several key factors determine whether a box office location will charge extra fees:
Venue ownership and size
Venues owned and operated by Live Nation and AEG, the world’s largest concert promoters, frequently have higher fees. The considerable overhead of running major venues gets passed onto customers. Small independent venues tend to have lower or no fees.
Events with high demand
Box offices are more likely to charge substantial fees for ultra high-demand events like playoffs, sold out concerts, or exclusive performances. Event promoters and venues can capitalize on frenzied demand.
Third-party sellers
Tickets purchased through third-party resellers like StubHub often have exaggerated fees compared to buying direct through the box office. Reseller fees may be two or three times higher.
Online/phone orders
Buying tickets online, over the phone, or via mail typically incurs extra convenience and processing fees that are avoided by purchasing in person.
Credit card payments
Box offices recoup the costs of credit card processing by passing those expenses onto customers in the form of service fees added to each ticket. Paying with cash or check may avoid some or all of these fees in certain cases.
Ways to avoid box office fees
Savvy customers can reduce or eliminate pesky box office fees in some circumstances:
Buy at physical box office
Making ticket purchases in person at the physical box office avoids the extra processing and service fees tacked onto online/phone orders. Lines may be longer as well.
Check payment methods
Paying with cash or check often allows customers to bypass credit card service fees. Just be aware of charges for replacing lost cash tickets.
Buy season ticket packages
Venues frequently discount or waive fees for season ticket holders and group packages. Buying a multi-event bundle avoids per-ticket fees.
Look for fee waivers
Some box offices offer periodic promotions where they waive service fees as a perk. Fan clubs, email lists and social media are good ways to find out about fee waivers.
Buy direct from venue
Cut out the middleman fees by purchasing tickets directly through the venue’s box office instead of via a third-party reseller. This ensures the best price with the lowest fees.
The rise of dynamic pricing
Increasingly, theaters, concert halls and other venues are implementing dynamic or surge pricing systems for tickets. This means that rather than having fixed ticket prices, the cost fluctuates based on current demand. Hot shows and concerts that are selling out fast will have very high dynamic prices, well exceeding face value. Slow selling events will see prices drop below face value.
Dynamic pricing essentially lets the “free market” dictate prices based on supply and demand at any given time. As a result, fees become a moot point since the ticket prices themselves represent what the market will bear. While dynamic pricing maximizes revenue for venues, it also makes budgeting difficult for customers since prices change so frequently. Patrons lose the cost predictability that fixed ticket pricing provides.
For venues
Dynamic pricing allows venues to:
- Earn the maximum revenue possible for each seat.
- Adjust prices based on real-time demand signals like sales velocity.
- Incentivize early purchases by starting prices low.
- Reduce dependence on fees since main prices better reflect demand.
For customers
The effects of dynamic pricing on customers include:
- Uncertainty and difficulty budgeting due to fluctuating prices.
- Higher overall costs for high-demand events.
- Lower prices possible for low-demand events.
- Rewarding early planners as prices climb over time.
Case studies: Dynamic pricing in action
Below are some examples of entertainment venues utilizing dynamic pricing schemes:
New York Metropolitan Opera
The Met Opera was an early pioneer of dynamic pricing in the performing arts. Ticket prices at the Met can vary by hundreds of dollars depending on demand. The top price for a premium seat has gone as high as $899 while some last-minute seats may go for $25. Top-tier seats for very popular operas and performers can sell out a year or more in advance.
San Francisco Symphony
In 2019, the SF Symphony implemented dynamic pricing for 80% of seats across all performances. Prices update daily based on demand signals like web traffic and group bookings. While season subscribers have fixed prices, single ticket buyers see fluctuating prices. The average dynamic price has been about 20% above fixed subscription prices.
UK Premier League
Several UK soccer teams have adopted dynamic ticket pricing in recent years. Prices for a given match vary depending on factors like opponent, day of week and team performance. Clubs like Chelsea FC use sophisticated algorithms to price tickets. Unattractive matches may have $40 seats, while seats for a rivalry match could cost 10 times more in demand-based pricing.
StubHub
As a secondary ticket reseller, StubHub uses market-based pricing across all its ticket inventory. Sellers can choose any price when listing tickets. StubHub’s fees consist of a 10% seller commission and a 10-15% buyer premium. Event prices on StubHub fluctuate substantially based on inventory and demand. Cheap tickets often spike 3-5x in the last few days before an event.
Are dynamic prices more expensive?
Research indicates that dynamic pricing does generally lead to higher overall ticket costs for customers, though specific effects vary:
- One study found dynamically priced NFL tickets were 53% more expensive on average.
- Broadway musicals saw average dynamic prices 16% higher than fixed prices.
- Some smaller venues found dynamic pricing only increased revenues by 1-3% over fixed pricing.
The increased revenue typically comes more from high-demand events rather than across the board. Low-demand events may even see reduced prices. One offsetting benefit for consumers is that dynamic pricing encourages much greater last-minute discounting for slow selling events as venues slash prices to boost attendance.
Winners and losers
In summary, dynamic pricing tends to produce:
- Winner: Venues earn more revenue by capturing full demand.
- Losers: Customers pay higher prices for hot events, lose price predictability.
- Winners: Fans gain last minute discounts on low-demand events.
The core tradeoff is between venues maximizing revenue versus customers losing cost certainty and affordability.
Fees outlook and best practices
Looking ahead, added fees and dynamic pricing both appear poised for continued growth across the ticketing landscape. As these pricing practices expand, customers can benefit by staying informed and being flexible. Here are some best practices for minimizing box office fees:
- Check venue websites in advance for complete fee details.
- Buy early before dynamic prices increase over time.
- Join fan clubs and email lists for fee waiver announcements.
- Be open to less popular events/dates if fees are lower.
- Compare fees across multiple sales channels to find the lowest.
- Use cash or check payment to potentially avoid credit card fees.
With preparation and research, savvy customers can still find fair ticket prices even as fees and dynamic pricing spread. Venues also face risks of customer frustration and backlash if fees become too extreme. Overall, moderation on both sides leads to the best outcomes for ticketing consumers and providers alike.
Conclusion
Box office fees remain a nuisance for many customers looking to purchase event tickets. Service fees, facility fees and other charges can add substantial costs on top of the base price. Dynamic pricing also pushes prices upward based on demand, reducing price certainty. Customers should assess venues carefully for fee policies and utilize best practices like buying early, using fee waivers and selecting lower-demand dates to minimize expenses. With dynamic pricing on the rise, box offices would be wise to keep ancillary fees modest and transparent to maintain goodwill with patrons. A balanced approach helps venues thrive while still delivering an affordable and accessible ticketing experience.