Ticketmaster is one of the largest ticket sales and distribution companies in the world. They sell tickets online and in retail stores for concert, sports, theater, and other live entertainment events. Ticketmaster has exclusive deals with many major venues and artists to be their official and sometimes only ticket outlet. This gives them tremendous power in the live events industry.
Many consumers are frustrated with Ticketmaster and feel their market dominance enables them to charge extremely high fees on each ticket purchase. There have been growing calls to boycott Ticketmaster in order to try and curb some of their most anti-consumer practices. This article will examine the key reasons why so many people want to stop using Ticketmaster.
High Fees
The main complaint against Ticketmaster is that they charge excessively high fees on every ticket purchase. There is usually a disclaimer that fees will be added to the ticket price, but most customers are still shocked when they see fees can add 50%, 80%, or even over 100% to the base ticket price.
For example, if a ticket has a face value of $50, a Ticketmaster order could easily end up costing $75, $90, or even over $100 after all their fees. They break the fees down into categories like “convenience fees”, “order processing fees”, “facility fees”, and more. But no matter how they label them, consumers feel these fees are unfair gouging of customers.
Ticketmaster Fees Breakdown
Fee Type | Description |
---|---|
Convenience Fees | Online or phone order fee, ranges from $5-$20+ per ticket |
Order Processing Fees | $5-$10 per order |
Facility Fees | Varies by venue, ranges $5-$20+ per ticket |
Service Fees | Charged on each ticket, ranges $5-$10+ |
As shown in the table above, Ticketmaster ads on a wide range of fees that quickly multiply on every order. For a family of 4 going to an event, they could pay $50+ in fees alone. Event-goers have no choice but to pay the fees if they want to attend events at specific venues that use Ticketmaster.
Captive Audience
Ticketmaster maintains exclusive contracts with many major venues and promoters to be the exclusive ticket seller. This means customers who want to attend events at these venues have no choice but to purchase through Ticketmaster. They have a captive audience of fans who have to use their service and pay their fees if they want to see their favorite sports teams, artists, theater shows, and other events.
Some of the major venues and organizations that exclusively use Ticketmaster include:
- NBA – National Basketball Association
- NHL – National Hockey League
- Major League Baseball (MLB)
- NFL – National Football League
- LiveNation concerts and festivals
- AEG venues such as Staples Center
- Madison Square Garden
- Fox Theater
- Chicago Theatre
This list includes most major concert venues and sports leagues nationwide. Consumers have no alternative but to purchase through Ticketmaster if they want to attend hot shows and games. This lack of choice allows Ticketmaster to get away with their high fees since they face no competition.
Lack of Transparency
Another major complaint about Ticketmaster is their lack of transparency with ticket pricing. The initial list price advertised for tickets is usually much lower than the final price paid after fees. Customers accuse Ticketmaster of bait-and-switch tactics by luring fans in with low prices and then tacking on exorbitant fees at the end.
Their checkout process has also been called misleading. Customers input their credit card information before seeing the final total price with fees. This makes some feel tricked into paying much higher prices than they initially saw advertised.
There are also questions about potential collusion between Ticketmaster and the venues they work with. Some suspect the base ticket prices are purposely set lower, so the venues appear affordable. Then the bulk of the real revenue is made through Ticketmaster’s fees. This way venues avoid public backlash for high ticket prices, while still profiting from high fees.
All in all, Ticketmaster’s lack of transparency around ticket pricing generates distrust and frustration from consumers. A more clear and upfront process would be appreciated.
Reselling & Bots
Another complaint against Ticketmaster is how their ticket resale practices remove inventory from the primary market and drive up secondary resale prices. Ticketmaster owns secondary resale sites like GetMeIn and Seatwave. Critics argue they divert a portion of primary tickets to their own resale sites to double-dip on fees. This reduces regular ticket availability and funnels consumers to higher-priced resale tickets.
Bots have also become problematic on Ticketmaster. Bot operators use special software to purchase huge blocks of tickets the moment they go on sale. This leaves fewer tickets available for the general public. Again, some speculate Ticketmaster turns a blind eye to bots because they still earn fees off the bot-purchased tickets. So bots purchasing third-party resale hurts consumers but benefits Ticketmaster.
Dynamic & Surge Pricing
Ticketmaster has begun using dynamic and surge pricing on tickets, which raises costs when demand spikes. This mirrors how airlines and ride sharing services adjust prices based on demand. Fans feel this takes advantage of their enthusiasm to see popular shows and teams.
While dynamic pricing does make economic sense, many think it feels like price gouging. The same seat for the same event can cost widely varying amounts based simply on demand instead of any tangible difference in product value to the consumer. This strikes many as an underhanded business practice.
Lack of Competition
Ultimately, the root of consumer frustration with Ticketmaster traces to their lack of competition in the industry. Without any real rivals, they have no incentive to lower fees or evolve their business practices in a more consumer-friendly direction. Their exclusive deals with major venues lock out any competitors and stifle market disruption.
Visionary new ticketing platforms have no way to gain a foothold when Ticketmaster has exclusive rights at the vast majority of major venues and sports organizations. Unless something changes to open up their exclusivity deals, true competition will remain elusive. This market dominance will continue fueling customer dissatisfaction and calls for consumer boycotts.
Impact of Boycotting Ticketmaster
The goal of boycotting Ticketmaster is to try and regain some consumer power against their monopolistic practices. But what impact could a mass customer boycott actually have? Here are some potential ramifications:
- Loss of sales and revenue for Ticketmaster if enough consumers refuse to purchase from them.
- Venues lose revenue from empty seats as fans boycott events. This could motivate venues to end Ticketmaster exclusivity deals.
- Artists may support fans and pressure promoters to open up ticket sales options, improving consumer choice.
- Boycott publicity damages Ticketmaster’s brand image and consumer trust.
- Declining sales and revenue motivates Ticketmaster to reevaluate their fees, products, and pricing models to try and bring back customers.
A large-scale boycott could impose financial and public relations pain on Ticketmaster. This may gain leverage to compel them to create a more equitable, transparent, and competitive ticketing market. However, given their entrenched position, any changes would likely occur slowly over a prolonged period.
Alternatives to Ticketmaster
Refusing to use Ticketmaster reduces their sales and associated fees. But for avid fans who don’t want to miss their favorite events, boycotting may not feel like a viable personal option. Are there any alternatives where you can still attend must-see shows and games without financially supporting Ticketmaster? Here are some options to consider:
Buy Direct From the Venue Box Office
Many venues allow customers to purchase tickets directly from their on-site box office with no Ticketmaster fees. Of course, this requires physically going to the venue in person. It offers big savings but less convenience. Always check if box office sales are available before paying Ticketmaster’s online fees.
Buy From the Official Fan Club
Some bands and teams offer special pre-sales through their official fan clubs. These are usually limited, but can provide fee-free inventory before the general public on-sale. Joining the fan club membership typically costs much less than Ticketmaster’s fees.
Buy Resale Tickets on Alternative Platforms
If you miss out on primary market tickets, look to buy resale tickets from a Ticketmaster competitor such as StubHub. You’ll still pay above face value but may save substantially on fees compared to Ticketmaster’s resale sites.
Find Free Ticket Giveaways
Radio stations, promotional partners, and sponsors often give away free tickets to events. Follow your favorite stations and brands on social media for contests and giveaways. With some luck, you may score free tickets and avoid all fees.
Wait For Last Minute Ticket Releases
As the event date approaches, venues often release held-back tickets if the show does not completely sell out. This next-day inventory becomes available directly through the venue with minimal fees. StubHub and other resellers also drop prices at the last minute, which can provide big savings.
The Future of Live Event Ticketing
While boycotting Ticketmaster can help spark change, what are some broader solutions that could transform the live event ticketing industry for the better? Here are several much-needed innovations that could emerge in the future:
More Robust Competition
Breaking up Ticketmaster’s exclusive deals is vital to introducing healthy competition from new ticketing platforms. Their monopoly stifles innovation. New ticketing startups with fairer fee structures need viable paths to gain market share.
Blockchain-Based Platforms
Blockchain technology offers potential to eliminate centralized control and create more secure, transparent ticket marketplaces. Smart contracts can enforce fair rules and pricing while reducing fees through disintermediation.
Ai and Big Data Analytics
Ai and machine learning algorithms can help enforce caps on bulk-purchasing by bots. Data analytics can also optimize demand-based pricing at fairer rates aligned with consumer value.
VR and AR Event Experiences
As virtual and augmented reality matures, it can provide immersive at-home viewing options for live events that reduce dependency on expensive in-person tickets. Mixed reality tech may also enable hybrid physical/digital event experiences.
Direct Artist-to-Fan Channels
Direct-to-consumer distribution allows artists to cut out middlemen like Ticketmaster and connect with fans through their own online platforms. This gives artists more ownership while providing fans an alternative source for fee-free ticketing.
Conclusion
Ticketmaster’s dominance of the event ticketing industry has led to broken experiences for fans plagued by high fees and limited options. Their exclusive venue deals stifle competition and innovation. Boycotting Ticketmaster can impose financial and PR pressure to drive change. However, establishing robust competition from alternative platforms offers the strongest path to fundamentally improving the live event ticketing ecosystem. Emerging technologies like blockchain and direct artist distribution channels provide hope for a more transparent, decentralized, and fan-friendly future. The key will be ending Ticketmaster’s walled garden of exclusivity and opening the floodgates to consumer choice.