Our objective is to provide a comprehensive understanding of ticket pricing, inclusive of the ticket fees, and the concept of All In ticket pricing fees. We aim to demystify these complexities and encourage you to peruse all the information we provide. It’s crucial to grasp that ticket fees and junk fees are a constant in this industry; the key lies in understanding their representation and the way they are communicated to the consumer.
What Happens Next in the Ticket Fee Landscape?
In this guide, we will initially examine the general ticket fees imposed by some of the most prominent secondary market providers. This will be followed by an exploration of the influence of industry leaders, such as Live Nation and Ticketmaster, on the overall market trends. Furthermore, we will shine a light on the often misunderstood ‘junk fees’ associated with ticket prices and present an insight into the concept of ‘All-In’ ticket pricing, explaining its significance. We aim to conclude our guide with a thorough summary, along with some potentially uplifting updates for the consumer.
Current Ticket Fees
Our primary goal is to guide you through the intricacies of ticket pricing structures, focusing specifically on ticket fees, junk fees, and the principle of ‘All In’ ticket pricing fees. This is a complex topic with many aspects to consider. One key point to remember is that ticket fees are an intrinsic component of the industry; their permanence is not in question. The emphasis, rather, is on how these fees are presented and communicated to you, the consumer.
Engaging with major ticket sellers inevitably entails certain costs. As a buyer or seller on these platforms, you are likely to encounter various fees.
SeatGeek – Our closest collaborator is SeatGeek, a platform we have reviewed in depth for your benefit. SeatGeek stands out for its commendable practices, one of which is advocating for the transition to All-In ticket prices, a move that is likely to attract a significant number of customers. Whether you are purchasing or selling tickets, you can anticipate a fee of approximately 16% applied to your pricing, either preemptively or upon reaching your cart at checkout. They have objectives they want to implement and will certainly talk about these going forward. You can read our SeatGeek review and see what is happening.
Vivid Seats – With Vivid Seats, you can expect a markup of about 15% on ticket prices. We offer a detailed review of Vivid Seats that digs into this and more. With an extensive inventory to select from, Vivid Seats is likely to adopt the ‘junk fee’ model.
StubHub – Arguably the largest player in the secondary market, StubHub applies its own share of fees. Both buyers and sellers should anticipate fees of around 14%, which can escalate to 16% depending on specific circumstances. We offer a comprehensive StubHub review for more details.
Our aim is to present a candid view of ticket prices and fees, assisting you in developing a clear understanding of what to expect when buying tickets on primary or secondary marketplaces.
Live Nation – Ticketmaster Effect
Ticketmaster, and more recently Live Nation, have been implementing fees on consumers for nearly half a century. This is an inherent aspect of their business model. It’s common knowledge that there’s a cost associated with obtaining tickets for shows or sporting events. However, the escalating trend of these fees over the past decade or more raises concerns.
Whether you’re aiming for a presale for a major or minor act, the process usually involves entering a queue to secure the best available tickets within your budget. In earlier times, this meant physically lining up at a box office or waiting on a landline hoping to be selected. This procedure hasn’t really changed and doesn’t alter the supply-demand dynamics of the ticketing industry.
When an event promoter selects a venue and assigns prices to different seating sections, a fee is invariably attached to all tickets, regardless of their location. A percentage is always added to your ticket price as a standard practice. The real shock occurs at checkout when, for instance, your Beyonce tickets escalate from $120 to $150.
In the realm of Presale and Onsale tickets, there are predominantly two major players – Live Nation and AXS. Their market dominance allows them to significantly influence ticket pricing due to limited competition. This isn’t always the case, however, as some teams and venues manage their own ticket sales.
The most concerning aspect for many consumers is the uncertainty that arises at the checkout stage. We’ll look into this further by examining ‘junk fees’ in the upcoming sections.
Ticketmaster Queue Debacle
The presale for Taylor Swift’s New Era concert tour in 2022 was certainly a memorable event. Ticketmaster’s claim of the influence of supply and demand theory held true in this instance. These concerts were anticipated to be some of the most significant events of the century, or at least until Taylor Swift’s next tour.
Every show of hers could be compared to the magnitude of the Super Bowl with your favorite team in it. The ticket prices were set high from the onset, as Taylor Swift and her promotion team were aware of the audience’s willingness to pay. The primary issue here wasn’t the ticket fees; rather, it was the bots and individuals attempting to purchase large volumes of tickets for resale.
Despite this, hundreds of thousands of tickets did reach the right hands, disproving the notion that bots were solely responsible for the high demand. Such was the demand that the servers struggled to manage the heavy traffic, leaving attendees to rely on luck to secure their tickets.
Junk Fees
Fee application is a widespread practice in consumer spending across various sectors, ranging from banking to real estate. Often, we question these fees without fully understanding their purpose. For instance, airlines charge us for luggage, and airports levy a homeland security fee. The list goes on.
Our mobile phone bill is a prime example of this trend. It often contains numerous charges that are difficult to comprehend, and service providers like Verizon aren’t particularly forthcoming with explanations.
In the realm of concert and sports tickets, several types of fees come into play. The initial fee is typically the one that catches buyers off guard the most, but delivery fees, processing fees, and other additional charges also contribute. While these fees are unlikely to disappear, they may become more deeply embedded in the overall cost, making them less apparent.
Moving forward, it’s crucial to be aware of the total cost, including all potential fees, before diving into a purchase. The concept of “All In” ticket pricing is a term coined by companies like Live Nation and Ticketmaster to reflect this comprehensive cost.
All-In Ticket Pricing Explained
The ticketing industry is poised for significant changes, with some companies adapting swiftly to new practices while others lag behind. Expect to see this evolution not just in ticketing, but also in any industry where additional fees are prevalent. The key takeaway is the importance of “knowing the fees”.
In the illustration below, there are two different prices. On the left side, two tickets to an upcoming Drake concert are priced at $531.50, plus unspecified fees. This uncertainty about the fees until the checkout stage can be frustrating. On the right side, the total new price includes a service fee of $95.65 per ticket and an order processing fee of $4.25 – one of the “junk fees” mentioned earlier. The total is an 18% increase from the price initially stated on the seating chart.
There is a Big Difference in Pricing Before You Head to the Checkout Cart. Change is Here.
The Future
Implementing comprehensive pricing transparency is a work in progress and may take several months to fully manifest. The ultimate aim is that the price you initially see is the price you pay. This is the essence of all-in ticket pricing – to prevent double shocks at checkout.
Some companies may display the price payable to the performer/band/team and include a toggle switch to show fees separately. This allows for a clear distinction and makes price comparisons with other secondary market sites easier.
Cost Comparing Tickets
Ticket price comparison is now a reality, much like in other industries with multiple sellers. All-in-ticket pricing simplifies this process by eliminating the need to visit the cart to uncover hidden fees. This transparency makes the cost comparison between SeatGeek versus StubHub much easier.
Remember that most tickets sold on secondary sites are from individuals reselling their seats for various reasons. Consequently, you may find different prices for identical seats on various platforms. We provide extensive guidance on securing the best seats for concerts and sporting events.
This is Good News
Starting with the less encouraging news – ticket fees are here to stay, and there’s not much we can do to change that.
However, the good news is the increased transparency. There are fewer hoops to jump through to discern the final price, and this principle will extend beyond just tickets to other industries with associated fees.
All-in ticket pricing will continue to evolve in the coming months and years. We hope this guide has helped clarify the landscape of ticket prices and fees across the industry. We strive to share essential information often overlooked by some of the best ticket sites, so feel free to reach out if there’s anything else you’d like us to discuss. Junk Fees – RIP.
