Why Is Ticketmaster So Expensive?
If you’ve ever tried to buy tickets for a popular concert, sporting event, or theatre production, chances are you’ve encountered Ticketmaster. In fact, the company is the largest ticket seller in the world, providing access to events in over 29 countries. But with its convenience comes a reputation for high prices, leaving many customers wondering why Ticketmaster is so expensive. In this blog post, we will explore the various factors responsible for Ticketmaster’s high prices.
The Role of Middlemen
One of the main reasons why Ticketmaster is so expensive is because it operates as a middleman between event organizers and customers. Event organizers use Ticketmaster’s distribution network to sell their tickets to a broad audience, but this comes at a cost. Ticketmaster charges fees for its services, and event organizers pass these fees onto customers.Moreover, Ticketmaster dominates the ticketing industry, and because events cannot function without it, it can charge high fees for its services. Ticketmaster’s position as a gatekeeper to the events you want to attend puts it in a position of power, and that position of power comes at a cost to consumers.
Fees Upon Fees
Ticket prices on Ticketmaster’s website often come with a long list of additional fees, such as service fees, processing fees, delivery fees, and convenience fees. These fees can quickly add up, often increasing the overall cost of a ticket by up to 50%. Since the fees are not included in the initial ticket purchase price, many customers are left feeling misled and cheated.Furthermore, some fees are unavoidable, as they are necessary to maintain the complexity of the online ticketing system. For example, processing fees are charged to compensate for the costs of maintaining the website and processing transactions.
Scalpers and Resellers
Another reason why Ticketmaster often appears so expensive is because of scalpers and resellers. These are individuals who buy up large quantities of tickets to popular events and resell them at a higher price on secondary market platforms. For example, a scalper may purchase multiple tickets for a popular concert and resell them on eBay or Craigslist for a significantly higher price than the original ticket price.Ticketmaster has tried to combat scalpers and resellers by implementing measures such as requiring customers to present the credit card used to purchase the ticket at the event. However, these measures are not foolproof, and many scalpers still find ways to buy and resell tickets at higher prices.
The Power of Popularity
Finally, it’s worth mentioning that the popularity of an event can greatly impact ticket prices. When an event generates a lot of buzz, such as a major concert or championship game, prices tend to rise. This is simply the law of supply and demand in action. When there are a limited number of tickets available for an event with high demand, prices naturally increase.Ticketmaster uses dynamic pricing to take advantage of high-demand events. This means that as demand for a popular event increases, so do the ticket prices. Conversely, for less popular events, Ticketmaster will decrease ticket prices in an attempt to generate more sales.
There are many reasons why Ticketmaster is so expensive, including high fees, the role of middlemen, scalpers and resellers, and the power of popularity. Unfortunately, there is no easy answer to fix the ticketing industry’s complex and often opaque pricing structure. However, by being aware of these factors, consumers can make more informed decisions when buying tickets and help prevent ticket prices from spiraling even higher.In the meantime, many consumers are outraged by Ticketmaster’s pricing practices, and some have even filed lawsuits against the company. Only time will tell how the ticketing industry will adapt and change to better serve consumers.