3 ms·

It's almost like there is a reason why they don't do that. But what could it be? https://www.google.com/search?q=angry+at+ticket+prices https://www.google.com

It's almost like there is a reason why they don't do that. But what could it be? https://www.google.com/search?q=angry+at+ticket+prices https://www.google.com/search?q=angry+at+ticket+prices

gruez 3y ago
In other words, the artists are leaving money on the table (by underpricing the tickets), and then fans get mad that other people are capturing said money.
- JumpCrisscross 3y ago
  > artists are leaving money on the table (by underpricing the tickets) Artists and ticket vendors underprice tickets to assure sold-out venues: they're choosing to buy lower earnings volatility. The notion that tickets are underpriced to make them accessible is tripe.
ndriscoll 3y ago
Again, if they want to make it more accessible, they can add more shows to increase supply. They have high certainty that they can make lots of money adding more shows because existing ones have sold out (assuming things are planned in advance so they can book the venues longer). Otherwise people are just mad at the fact that there's lots of demand and people are willing to pay more than them for tickets. The overall prices might also decrease just because scalping becomes more risky[0], even if it could still be profitable. [0] You need to buy all tickets for scalping to work. Otherwise the official source is constantly becoming cheaper than the price you paid. And your ability to sell to whales is limited. Even if they would've potentially paid up to $10k but they wait, they might decide to buy in once it hits $2k because they expect the price to settle near $1k and don't want to risk missing a ticket. So if you buy in at $1k, you've already missed selling to them. So you can only really sell to people with low margin over your buying price, and if you overshoot the clearing price, you might take a huge loss. So risk-adjusted, scalping becomes unprofitable, and scalpers exit the market, which allows whales to bid under their true maximum price they'd pay, lowering overall prices vs. a market with scalpers.
- thisgoesnowhere 3y ago
  Arguing with you would be like arguing with a libertarian. There is no point arguing with someone so detached from reality.
  - ndriscoll 3y ago
    Detached from reality is selling something way below its value and being mad that it gets resold at the correct price. This is basic economics. It's also easily avoidable by holding an auction with the correct ruleset for the outcome you want. If you wanted to appear less greedy, you could also do something similar to what the government does for bonds: everyone submits the highest price they're willing to pay. Take the top N offers, and all of those people get tickets at the lowest price out of the top N. So you're encouraged to bid what the ticket is worth to you because you almost certainly will end up paying less than that. If 50,000 people (modulo subdivisions for seat distance) agree a ticket is worth at least that much, then ipso facto that's what it's worth. Again it's scalper resistant because anyone you could resell to already got a ticket at the same price you did. Point is there are plenty of documented auction styles to choose from depending on exactly what properties they want. It isn't hard. They obviously prefer scalpers exist.
    - thisgoesnowhere 3y ago
      Yeah I'm sure Taylor Swift just isn't as smart as you are and she's just leaving money on the table due to incompetence. If only everyone listened to you the whole problem would go away. The market giveth and all entités are rational.
      - ndriscoll 3y ago
        I didn't say she's incompetent. I said the opposite. I assume her and her team and her industry know how to eliminate scalpers. I said > They obviously prefer scalpers exist. I'm sure they have their reasons for this. But everyone else shouldn't act like scalpers are the bad guy then.

It's almost like there is a reason why they don't do that. But what could it be? https://www.google.com/search?q=angry+at+ticket+prices https://www.google.com/search?q=angry+at+ticket+prices

gruez 3y ago

In other words, the artists are leaving money on the table (by underpricing the tickets), and then fans get mad that other people are capturing said money.

JumpCrisscross 3y ago
> artists are leaving money on the table (by underpricing the tickets) Artists and ticket vendors underprice tickets to assure sold-out venues: they're choosing to buy lower earnings volatility. The notion that tickets are underpriced to make them accessible is tripe.

ndriscoll 3y ago

Again, if they want to make it more accessible, they can add more shows to increase supply. They have high certainty that they can make lots of money adding more shows because existing ones have sold out (assuming things are planned in advance so they can book the venues longer). Otherwise people are just mad at the fact that there's lots of demand and people are willing to pay more than them for tickets. The overall prices might also decrease just because scalping becomes more risky[0], even if it could still be profitable. [0] You need to buy all tickets for scalping to work. Otherwise the official source is constantly becoming cheaper than the price you paid. And your ability to sell to whales is limited. Even if they would've potentially paid up to $10k but they wait, they might decide to buy in once it hits $2k because they expect the price to settle near $1k and don't want to risk missing a ticket. So if you buy in at $1k, you've already missed selling to them. So you can only really sell to people with low margin over your buying price, and if you overshoot the clearing price, you might take a huge loss. So risk-adjusted, scalping becomes unprofitable, and scalpers exit the market, which allows whales to bid under their true maximum price they'd pay, lowering overall prices vs. a market with scalpers.

thisgoesnowhere 3y ago
Arguing with you would be like arguing with a libertarian. There is no point arguing with someone so detached from reality.
- ndriscoll 3y ago
  Detached from reality is selling something way below its value and being mad that it gets resold at the correct price. This is basic economics. It's also easily avoidable by holding an auction with the correct ruleset for the outcome you want. If you wanted to appear less greedy, you could also do something similar to what the government does for bonds: everyone submits the highest price they're willing to pay. Take the top N offers, and all of those people get tickets at the lowest price out of the top N. So you're encouraged to bid what the ticket is worth to you because you almost certainly will end up paying less than that. If 50,000 people (modulo subdivisions for seat distance) agree a ticket is worth at least that much, then ipso facto that's what it's worth. Again it's scalper resistant because anyone you could resell to already got a ticket at the same price you did. Point is there are plenty of documented auction styles to choose from depending on exactly what properties they want. It isn't hard. They obviously prefer scalpers exist.
  - thisgoesnowhere 3y ago
    Yeah I'm sure Taylor Swift just isn't as smart as you are and she's just leaving money on the table due to incompetence. If only everyone listened to you the whole problem would go away. The market giveth and all entités are rational.
    - ndriscoll 3y ago
      I didn't say she's incompetent. I said the opposite. I assume her and her team and her industry know how to eliminate scalpers. I said > They obviously prefer scalpers exist. I'm sure they have their reasons for this. But everyone else shouldn't act like scalpers are the bad guy then.