According to NBC, the CBC (Canadian Broadcasting Corporation) conducted an investigation of TicketMaster. This investigation alleged that the company has been working with ticket scalpers to make a double profit on already sold out concerts.
They were accused of selling on an “invite-only online platform”. The sellers would then buy these tickets and sell them for more than their actual worth. Now, keep in mind that scalping is not an illegal action, but it is underhanded.
Ticketmaster has, of course, denied the allegations against them. They even started a “verified fan program” that is supposed to get tickets straight into the hands of the fans and not over-priced ticket dealers.
These undercover journalists said that Ticketmaster pitched them to the platform, TradeDesk, as mentioned above. This program is specifically designed for reselling tickets. This way the companies are able to oversell venues and concerts without anyone knowing. The companies can sell as many entries as they want for as much as they want.
It allows them to raise the prices and percentage of tickets for events that have a high and popular demand. So, technically the bigger the event the higher the price, the more they sell, and the higher ticket resale price.
If the allegations are true, Ticketmaster will be violating their own Terms and Use policy. They tend to limit the amount of tickets you can purchase so this type of thing can’t happen, but they may be doing it themselves.
Maybe that’s why they won’t let anyone else do it?
Resale or Pre-Sale?
- This company has also been accused of releasing the tickets earlier than the date necessary, so the buyers will pay higher prices thinking they’ll go out of stock. When, in fact, they’re going to be getting tickets for a much lesser price closer to the event itself.
Authorities are said to be looking into this situation.