When purchasing tickets for concerts, sporting events, or other live entertainment, customers will often see that the tickets are “non-transferable.” This means the original ticket purchaser must be present and provide identification to gain entry. Reselling or giving the ticket to someone else is prohibited. There are several reasons why venues and ticket issuers implement non-transferable ticketing policies.
Prevent Scalping and Profiteering
One of the main reasons for non-transferable tickets is to prevent ticket scalping. Ticket scalpers purchase large quantities of tickets with the sole intention of reselling them at a higher price to make a profit. By making tickets non-transferable, the venue or issuer can ensure that scalpers cannot buy up all the tickets and drive up prices on secondary markets. The policy helps limit the ability of scalpers to profit unfairly from high demand shows and games.
Some examples of non-transferable ticketing policies intended to limit scalping include:
- Requiring the credit card holder who purchased the tickets to show ID matching the ticket order
- Printing the ticket buyers name on the ticket and requiring ID verification upon entry
- Using mobile/digital ticketing and requiring the purchasers smartphone upon entry
These policies make it hard or impossible for someone to resell the ticket since the original purchaser must be present to gain access to the event. While an inconvenience to some customers, it helps ensure fair access to tickets.
Limit Multiple Purchases by Bots and Resellers
In addition to scalpers, professional ticket brokers and resellers also often purchase large blocks of tickets either manually or via bots. By making all or certain sections of tickets non-transferable, it limits the ability of these operations to buy up masses of tickets for the sole purpose of resale. If they can only buy a few non-transferable tickets, then regular fans have a better chance of being able to purchase tickets directly.
Manage Demand and Capacity
Non-transferable ticketing can also help venues manage ticket demand and capacity. By preventing transfers, they can ensure that only the people who originally purchased tickets and will actually attend are given access. This prevents situations where groups purchase extra tickets just in case and then try to sell the unused ones later. With non-transferable policies, any unused tickets cannot be resold or given away. This provides more certainty for the venue on actual attendance.
Similarly, for very high demand or sold out shows, the policies prevent people who didn't buy tickets initially from getting in via transfers. So the venue can better manage who is granted access and avoid over-capacity issues. The venue determines the maximum number of tickets sold, and non-transferability helps enforce the capacity cap.
Enforce Limits for Fan Clubs and Presales
Certain blocks of tickets for concerts and other events are often reserved for fan club members or special presales. To maintain fairness, venues will sometimes make these select tickets non-transferable. This prevents people from joining fan clubs or getting presale codes just to scoop up these reserved tickets and then resell them. The policies restrict those early sale tickets just to the true fan group members.
Discourage Fraudulent Purchases
Stolen credit cards are sometimes used by scammers to purchase large amounts of tickets to events and then resell them. By making tickets non-transferable and requiring the cardholders ID, it makes it much less practical and profitable for criminals to commit ticket fraud. If the fraudulent purchaser is unable to personally use or redeem the tickets, they have little monetary value. Non-transferability acts as a fraud deterrent.
Maximize Revenue for the Issuer
In some cases, making tickets non-transferable enables the ticket issuers to maximize their revenues. With transferable tickets, season ticket holders for sports teams or concert subscribers may resell some games or shows they can't attend. This allows the secondhand buyer to get tickets below face value and reduces profits for the issuer on those seats.
By prohibiting transfers, the issuer can ensure that for high demand games or concerts, the tickets must be resold through official channels at full price. Instead of a season ticket holder transferring directly to another fan at a discount, the unused seat gets resold by the team or theater at the maximum amount. Non-transferability allows issuers to capture the full profit potential.
Control Distribution Channels
Similar to maximizing revenue, restricting transfers forces any secondary ticket sales to go through official resale channels approved by the issuer. This gives them control over the resale pricing and distribution which they lose with transferable tickets. It also provides them a cut of the ongoing secondary sales. Non-transferability lets issuers control the ticket resale process rather than unauthorized third parties.
Provide Rewards and Incentives
Some issuers will make certain sections or blocks of seats non-transferable as a reward for loyal customers. Season ticket holders may have the option to request non-transferable seats providing them special access that cannot be resold or transferred to others. This provides an incentive for long-term commitments to season ticket packages.
Similarly, early purchasers may be given non-transferable seats as a reward for buying tickets as soon as sales open. It incentivizes customers to purchase quickly to secure this privileged access before tickets sell out.
Support Charitable Causes
In some cases, organizations may make tickets non-transferable because proceeds from the ticket sales support charitable causes. Allowing transfers or resales could result in the charitable partner not receiving the expected funds. Non-transferability helps ensure the ticket revenue goes to the designated nonprofit partners as planned.
Similarly, tickets to charity galas or fundraisers are often non-transferable to prevent reselling. The purpose is to maximize the funds that go directly to the nonprofit organization rather than middlemen making a profit.
Promote Exclusivity
Certain exclusive or high-end events will intentionally make tickets non-transferable to add to the sense of exclusivity. By strictly controlling access, even to the point of requiring ID verification and barring any transfers, it creates a more premium experience. The non-transferability elevates the status and exclusiveness for attendees.
Protect Safety and Security
For very high-profile or sensitive events, non-transferable ticketing might be implemented partly for safety reasons and security protocols. By directly managing and controlling who has purchased tickets and can access the event, it allows for additional vetting and background checks if desired. Non-transferability also makes it easier to cross-check tickets against guest lists and manage credentialing.
Create Scarcity and Increase Desirability
On a more strategic level, non-transferable ticketing might be used intentionally to create scarcity and increase desirability for certain events or seat sections. Knowing tickets cannot be resold or transferred increases demand since there is no secondary market to obtain access later. This drives more visitors to purchase directly from the issuer and creates a greater perception of value.
Conclusion
Non-transferable ticketing policies serve a range of purposes for venues, organizers, artists, teams, and ticketing platforms. While the restrictions can sometimes be an inconvenience for customers, they exist primarily to ensure fair access to tickets, prevent scalping and profiteering, maximize revenue potential, and provide incentives and rewards. Understanding why non-transferability gets implemented can help fans appreciate how the policies aim to keep ticket acquisition equitable, especially for hot shows or games where demand exceeds supply.