The Problem with Ticketmaster: An In-Depth Analysis
Ticketmaster is a well-known brand that provides ticketing services for various events worldwide. The company processes millions of ticket sales every year, but there have been concerns about its practices and services. In this blog post, we will dive deep into the issues with Ticketmaster, discussing everything from its pricing practices to its monopolistic behavior.
Monopoly and Market Share
Ticketmaster maintains a virtual monopoly over the event ticketing industry, controlling over 80% of the market share. This monopoly leads to abusive pricing practices, making it more expensive for event attendees to buy tickets than if there were multiple sellers in the market. Ticketmaster has also been notorious for only releasing tickets through its website, leading to high demand for tickets and making it difficult for fans to get their hands on tickets.
Dynamic Pricing and Hidden Fees
A common problem associated with Ticketmaster’s ticket pricing is dynamic pricing. This pricing strategy involves changing ticket prices depending on the demand for that particular event. For example, a ticket for a high-demand concert may be priced higher than a ticket for a less popular musical event. This practice is not unique to Ticketmaster, but many fans feel that the company takes advantage of it, charging extortionate prices for tickets for events with high demand. In addition to dynamic pricing, Ticketmaster also adds hidden fees, further driving up the cost of tickets. These fees can include anything from service fees to facility charges, making it difficult for fans to determine the actual price of their tickets before completing their purchase. Fans who are already struggling with high ticket prices are often caught off guard when they see the total cost of their purchase, including these hidden fees.
Lawsuits and Controversies
Ticketmaster has faced various lawsuits and controversies over the years, further damaging the company’s reputation. One of the most notable lawsuits was a class-action lawsuit filed in 2013 alleging that Ticketmaster was misleading customers by failing to fully disclose its ticket fees. The lawsuit resulted in Ticketmaster settling for $400 million.The company has also been accused of violating antitrust laws by working with event promoters to prevent other competitors from selling tickets to popular events. In 2018, an investigative report from CBC and the Toronto Star found that Ticketmaster was knowingly allowing scalpers to purchase tickets in bulk and then resell them for higher prices on its platform. This practice, known as “scalper bots,” resulted in fans paying more for tickets and not being able to get their hands on tickets in the first place.
In conclusion, it is apparent that Ticketmaster has a number of problems that need to be addressed. The company’s pricing practices are unfair, and its monopoly over the ticketing industry makes it difficult for fans to get their hands on tickets without paying exorbitant prices. Ticketmaster’s reputation has also taken a hit due to its involvement in various lawsuits and controversies. While Ticketmaster has attempted to address these issues, such as its move to a more transparent pricing model, the company still has a long way to go. It is important for consumers to exercise caution when buying tickets and to be aware of the potential issues associated with Ticketmaster’s services. Alternatives to Ticketmaster do exist, and consumers can support smaller companies that offer more affordable and transparent pricing models.