Ask anyone who’s tried to buy show tickets via Ticketmaster this year about their experience. You’re likely to be regaled by a story that is a Herculean task of sweat, perseverance, patience, and speed.
This week, fans of British rock band Oasis experienced this first-hand. After a long hiatus and feud between sibling bandmembers Liam and Noel Gallagher, the quintet announced a world tour, including two Toronto dates, to their fans’ delight.
But things didn’t go as planned. After long queues and complaints from fans in the U.K., the band announced it would not not be using Ticketmaster’s dynamic pricing model, long a thorn in fans’ sides for driving up the cost of concert ticket prices.
The announcement follows complaints that fans spent hours in online queues only to discover prices that were up to four times higher than expected. Many consumers argue the platform’s policies allow resellers or “dynamic pricing” to inflate prices dramatically.
Hate @TicketmasterUK so much right now. Joined waiting room at 8.30. Queue at 9.00 and was 80000 in line. Half hour later, queue only gone down by 13000 but warning low/no availability for tickets. Where have they all gone then?
Surely there’s a better way pic.twitter.com/NuMO3MAcYh— Lucy P (@lucyboots) September 27, 2024
Earlier this year, the U.S. Department of Justice launched an investigation into Ticketmaster for “unlawful conduct that thwarts competition.”
In 2019, the Competition Bureau of Canada ordered Ticketmaster to pay $4.5 million for misleading customers in online ticket sales.
The investigation revealed that Ticketmaster’s advertised prices were often unattainable, as mandatory fees were added later in the purchasing process. These additional fees frequently exceeded 20 per cent, and in some cases, they inflated the final cost by over 65 per cent compared to the advertised prices.
“Canadians should be able to trust that the prices advertised are the ones they will pay when purchasing tickets online,” Commission of Competition Matthew Boswell said at the time.
He added: “The Bureau expects all ticket vendors to take note and review their marketing practices, knowing that the Bureau continues to examine similar issues in the marketplace and will take action as necessary.”
In 2023, the European Commission acknowledged that while dynamic pricing is not illegal, it will continue to “monitor” the situation closely.
But what does that mean for how much you’ll pay to see your favourite artist in the future?
Why are concert tickets so expensive?
The overall cost of a concert ticket depends on a range of factors, from the artist’s popularity and production expenses to venue fees and the surge in demand for live events.
One of the entertainment industry’s most contentious elements is “dynamic pricing,” a practice that adjusts ticket prices based on demand.
When an artist announces a tour, fans rush to ticketing platforms, causing prices to rise quickly. British rock band Oasis acknowledged this issue, stating that “when unprecedented ticket demand is combined with technology that cannot cope with that demand, … it can lead to an unacceptable experience for fans.”
Ticketmaster and other platforms under fire
In an email to Yahoo News Canada, a Ticketmaster spokesperson clarified that the platform “does not set ticket prices.” Instead, they said that pricing is determined by the artists or sports teams, with Ticketmaster acting as a distribution channel, providing technology for presales and general sales.
However, critics argue that Ticketmaster’s dominance creates a lack of competition in the live concert industry.
The U.S. Department of Justice, along with 30 state and district attorneys general, have accused the platform of “unlawfully exercising its monopoly,” resulting in U.S. fans paying higher prices and being stuck with outdated ticketing technology.
Ticketmaster argues that the lawsuit is unlikely to solve fans’ concerns. Live Nation, its parent company, pointed to a 1.4 per cent annual net profit as evidence that it doesn’t wield monopoly power. The company also stated that competition in live events has grown since 2010, resulting in a decline in Ticketmaster’s market share.
How do prices get so high?
Outside of the dynamic pricing strategy, event organizers oftentimes host what’s called a “presale” separate from the general sale. The difference lies between who has access to buy tickets and when they can purchase them.
Ticketmaster explains that, “some tickets are made available to a certain group of fans before the general public, usually to recognize those in fan clubs and customer loyalty programs.”
If you’re not in one of those groups, you’ll likely end up in the general sale, where you might face long queues, with ticket prices often skyrocketing — either due to resellers on other sites or Ticketmaster’s dynamic pricing model.
Prices for show tickets skyrocket since COVID-19 pandemic
As concert venues fill up again with COVID-19 capacity restrictions completely lifted, many fans are noticing a significant difference in ticket prices compared to pre-2020 levels.
And according to researchers at Pollstar, it’s not just anecdotal. Concert ticket prices have steadily increased since the pandemic. In 2024 so far, the average ticket price reached a record high of $127.38 USD, compared to $116.41 in 2023 and $105.55 in 2022. In contrast, the average ticket price in 2019 was $92.42.
The analysis, which looked at the top 100 worldwide tours of the first half of 2024, highlighted artists like Bruno Mars, Madonna, Nicki Minaj, Bad Bunny, and U2, whose tickets were the priciest, averaging $352.86 each.
Concert tickets for U2, Drake among priciest in the world
These rising prices aren’t just limited to global acts.
A study by JeffBet analyzed Pollstar and Setlist.fm data over the past four years and found that Canadian superstar, Drake, has his fans paying some of the highest ticket prices this decade.
The study was centered around the “most expensive musical acts of this decade.” Researchers found that the average ticket price for a Drake concert since 2019 is $239, second only to U2’s $272.
Over the years, the rapper has performed across North America, including in his hometown of Toronto, where his annual OVO Festival has also faced criticism from fans for being overpriced.
In 2022, many fans were in uproar when tickets became available at the Budweiser stage only to find out that lawn access, where fans stand in the grassy area at the back of the outdoor venue, would cost over $750.
For most fans these days, buying a ticket at face value can be a headache all in itself — sometimes a warzone.
If Ticketmaster really think they could charge me $750 for OVO fest lawn tickets they best be performing on MY lawn.
— Kristina R (@dawandalorian) July 15, 2022