How are ticket prices and fees determined? (2024)

How are ticket prices and fees determined?

There are two main types of tickets sold on Ticketmaster — standard admission tickets and resale tickets. How ticket prices and fees are determined depends on the type of ticket you’re purchasing.

When it comes to standard tickets: artists, promoters, sports leagues, or teams decide how they want to sell their tickets on Ticketmaster’s marketplace. That includes setting the face value prices, determining how many tickets to sell, and when to put them on sale.

For resale tickets: the listing price is determined by the seller, which includes fans, season ticket holders, and professional resellers. Often a resale price exceeds the initial face value set by the artist or team.

In any case, ticket fees (which can include a service fee, order processing fee, and the occasional delivery fee) are determined by and shared between the parties who have a hand in making live events happen including venues, Ticketmaster, sports teams, leagues and promoters.

How are ticket prices and fees determined? (1)

What is the face value price of a ticket?

Face value refers to the price of the ticket (before fees and taxes are added). Artists, sports teams or promoters set the face value ticket price, which Ticketmaster doesn’t keep any portion of. They can also decide to change that price at any time.

Why am I seeing all-in pricing on some events?

In the case of events utilizing all-in pricing, you will see the total cost upfront including the face value price and fees. Artists, venues and sports teams can choose to use Ticketmaster’s All-In Pricing.

Additionally, some states have started to pass laws requiring all-in pricing, so any events in New York, Tennessee and Connecticut will automatically have all-in pricing shown. All-in pricing has also been instituted for all new shows in venues operated by Live Nation as of September 25, 2023. Ticketmaster continues to advocate for a national all-in pricing law.

What do the different fees mean?

Ticket fees are shared between Ticketmaster, venues, sports teams, leagues, promoters, and other parties who have a hand in making live events happen.

Here’s a detailed breakdown of each type of fee.

Service Fee: In exchange for the rights to sell their tickets, venues and sports teams share a portion of the fees collected. A service fee is charged once per ticket. Service fees may apply to in-person box office purchases depending on the venue.

Venues use their portion of the service fee to cover the costs of putting on live events. That includes employing local staff — from the people who scan your tickets, to security staff and ushers — and the day-to-day expenses of running a building throughout the year.

As a ticketing vendor selected by the venue, Ticketmaster’s portion covers the costs of the technology, people, and resources needed to provide a safe and secure ticket-buying experience. It also covers the equipment and support we provide venues with, helping them to manage their box office and seamlessly get everyone into the venue on event day.

Other than the service fee, here are other types of fees that may apply:

Order Processing Fee: This fee is charged once per order and is shared between venues or teams and Ticketmaster. Order processing fees do not apply to in-person box office purchases.

Delivery Fee: For most events, tickets are mobile and delivered directly to your Ticketmaster account for free — so your phone is your ticket. But delivery methods can vary from event to event, and you may have the option to choose physical delivery, which includes a fee.

Facility Charge: Venues use this fee to cover the costs of hosting live events, including staffing, insurance, and paying suppliers. Facility charges may vary by event and can be raised or lowered over time. Ticketmaster does not keep any portion of the facility charge.

In addition to fees collected, the total cost of the ticket also includes applicable city, state, and local taxes (provincial and Federal Goods and Services taxes in Canada).

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How are ticket prices and fees determined? (2024)

FAQs

How are ticket prices determined? ›

Tickets are actually priced by artists and teams. It's their show, they get to decide what it costs to get in. The NFL tickets on Ticketmaster were priced by the home teams, concert tickets were priced by the performer's business teams, Monster Jam tickets were priced by its producer (Feld Entertainment), and so forth.

How are service fees calculated for tickets? ›

The service fee is calculated against the purchase price of the ticket and is displayed as a single line item to the ticket buyer at checkout. You may also choose to absorb the fees so the price the customer sees is the total price they pay.

What is the formula for ticket price? ›

The formula for calculating the Average Ticket Price is as follows: Total Revenue Earned / Number of Tickets Sold = Average Ticket Price For example, if your business has earned $3,000 in revenue from selling 20 tickets, the average ticket price would be:$3,000 / 20 = $150.

Why are there so many fees on tickets? ›

The ticket fee is a surcharge that helps cover a venue's costs. Rapino's point is that the venue needs to cover its costs, so it's going to collect money to cover them, no matter what. In a normal scenario, the consumer helps cover those costs by paying a surcharge directly to the venue.

How to avoid fees on Ticketmaster? ›

Many concert-goers have to buy tickets through Ticketmaster, which is known for its high fees. You can reduce those fees by purchasing tickets from the box office when feasible and buying tickets from a seller directly.

Why are Ticketmaster prices so high? ›

The argument that Ticketmaster is responsible for high prices is really about service charges. The practice in the U.S. for decades has been to break down the cost of admission into a “face value” sum and one or more fees added to face value.

How to avoid service fees for tickets? ›

Remember, service charges can be called different names. Look out for processing fees, commission, or transaction fees. The best chance you have to avoid hidden fees of concert tickets is purchasing with cash at the box office.

Why does Ticketmaster charge so many fees? ›

As a ticketing vendor selected by the venue, Ticketmaster's portion covers the costs of the technology, people, and resources needed to provide a safe and secure ticket-buying experience.

What is considered a high ticket price? ›

Basically, “high ticket” constitutes any product or service that costs more than $1,000 and offers clients and customers a hefty chunk of pure, unadulterated value.

What is a ticket fee? ›

Booking fees (sometimes called outside fees or simply ticketing fees) are charged on top of the face value of a ticket. For example if the face value of the ticket is $50, the booking fee might be $3 for a total of $53 per ticket.

What is a ticket strategy? ›

Ticket pricing strategy: strategically planning how you are going to price your ticket, including offering multi-tiered ticket prices (i.e. VIP vs general admission) and time-based discounts (i.e. presale price, early bird price, etc.)

What is a per ticket fee? ›

Per-Ticket Fee means any Non-Optional Fee charged on a per Ticket, rather than per transaction, basis; Sample 1.

Do ticket prices go down closer to an event? ›

It actually pays to wait.

It might seem counterintuitive, but you're generally not going to get a cheaper ticket by buying early. That's just not how the laws of supply and demand work. “You'll spend a little less the closer you get to the show,” Erskine says.

What causes ticket prices to drop? ›

These days, airlines use complex computer software and algorithms to adjust their prices, so they can respond to supply and demand in real time. For example, if some bookings get canceled close to the flight date, the software might automatically offer those seats at a very low price to make sure they get filled.

Do ticket prices go down right before a show? ›

“If you are not worried about the show selling out in advance, it is best to wait [until it's] closer to the show,” said Seidman. “It truly depends [on] if the show is in high demand or not, but resale concert tickets tend to go for a discounted price the day of the show.”

Are tickets really cheaper on Tuesday? ›

You may not get cheaper airfare by booking on a specific day, but when you plan on flying can affect the price of the ticket. Generally, Mondays and Fridays are more expensive than Tuesdays, Wednesdays and Thursdays. Keyes says this is mainly because business travelers tend to avoid traveling in the middle of the week.

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