alt Hacker NewsThe horizontal control of venues is only one issue. A perhaps bigger issue is the vertical integration (if that's the right term) of first-party ticket sales and resale in one company. Ticketmaster has no real incentive to try to prevent resellers from buying up all the tickets on first sale, because it gets to charge fees on all the resales through its platform. The more times a ticket is resold, the better.
I don't believe a court would ever mandate this, but I'd like to see tickets sold by dutch auction: All tickets start off for sale at some very high price, like $10000, and the price declines by some amount every day until it reaches a reserve price on the day of the concert. Buyers can purchase as many tickets as they want, but professional resellers would have to guess the price that would let them clear their inventory at a profit. Under a system like this the best seats would go earliest (at the highest prices) while the nosebleed seats might still be available on day of the show, or not depending on demand.
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It should also be said that they could do anything at all to prevent these professional scalpers from scooping up all the tickets at once, including even merely closing those APIs entirely but they continue to do nothing about it.
The verified re-sale thing as you have correctly pointed out just allowed them to pretend like something was being done about scalping while it actually just let them make more money on the resale fees.
I'm always annoyed by this kind of news. The problem has existed for a long time, and finally, FINALLY, a court weighs in on some very narrow sliver of the problem, meanwhile things keep getting worse.
It always feels like the scene in Lord Of The Rings where they're waiting for the Ents to deliberate on the big war that's going on, and then after an agonizing amount of time they announce that they just said Good Morning and decided their guests weren't Orcs.
Like jeez can justice move any slower?
Having produced, performed in, and engineered a number of shows and festivals, this is a terrible idea for a pricing strategy.
Consider portajohns for an outdoor festival- incentivizing folks to wait until the last possible minute makes it impossible to determine what the needs are there, so how do you plan for how many shitters you need to bring and maintain for, say, a 3-day festival?
Consider that "festivals discount early sales" might be a kind of Chesterton's Fence, and you might question why they do that...
Ticketmaster actually experimented with this https://www.aeaweb.org/articles?id=10.1257/mic.20180230
AFAIK Ticketmaster doesn't decide, they are a service provider with a variety of options for their customers (the performers).
The customer picks an option (no resale, limited or not resale price, etc...) and Ticketmaster does it, taking a commission in the process. Maybe the commission changes depending on the formula, but really, they don't care about the details, they are getting the money no matter what.
The problem is not the situation about resale and all that, I would say that part is the customer fault, not Ticketmaster, they are the ones who picked a formula. The problem is that by being in a monopoly position, they can charge high fees, making the tickets more expensive. And by more expensive, I mean something like 30% more expensive, not 300% more expensive.
I don't think Ticketmaster offers a dutch auction, but I guess that if you are big enough and if that's what you want and if you can pay, they can deliver.
I disagree whole heartedly. The organizations should absolutely have the choice to price tickets to their events however much they choose. And they should have recourse for people who choose to ignore their wishes.
Its their product. Why would you want to take that choice away from them?
An example, I spent some time working for an organization who felt strongly that retirees living on a fixed income should always be able to afford tickets to their events. They would bring in big name musicians to perform and charge a fair price specifically so those people could afford it. Why would you want to take that choice away from that organization and force them to price out the elder community members they were trying to serve?
Its the organizations event, they should always have the choice to charge whatever they want.
The reselling seems fine to me as long as other resellers can compete. It's a classic market.
What I'd like to see is the banning of real time dynamic pricing of any kind in all industries.
> Ticketmaster has no real incentive to try to prevent resellers from buying up all the tickets on first sale
The incentive would be to jack up the prices themselves and take any profit which would have gone to scammers. Supply and demand.
> A perhaps bigger issue is the vertical integration (if that's the right term) of first-party ticket sales and resale in one company.
Similar problem with "healthcare" insurance companies in the US.
We need a global crackdown on the breadth of markets a company can be involved in - somehow.
Why not just ban the transfer of tickets and allow refunds? You buy a ticket, you show your ID at the door. Early refunded tickets get resold online and late refunds are sold at the venue. All seats, including the best seats, go to actual fans instead of scalpers just hoping to make a profit while providing zero value. First choice in seats goes to the most passionate and attentive fans.