The live music industry in Washington witnessed a busy day as senators introduced multiple pieces of legislation aimed at enhancing transparency and competition in ticketing. The Senate has taken a significant step towards addressing ticketing concerns by proposing legislation that could transform the way fees are disclosed in the live music industry.
Addressing hidden fees and speculative ticket listings
One major complaint among music fans about the modern ticketing industry is the hidden fees added at the end of a purchase. These fees increase the final cost of tickets without warning. The Transparency in Charges for Key Events Ticketing (TICKET) Act could put an end to this issue. Introduced by U.S. Commerce Committee Chair Maria Cantwell (D-Wash) and committee ranking member Ted Cruz (R-Texas), the bill, if passed, would require ticket sellers for concerts and sporting events to disclose the total price of a ticket, including fees, upfront.
Fees can significantly increase the cost of concert tickets, often adding 20 to 30-percent extra charges. While the new legislation wouldn’t eliminate the fees themselves, it would make the business more transparent for consumers. Some states, like New York, have already enacted policies requiring all-in prices.
The bill would also mandate ticket sellers to disclose “speculative ticket” listings, where they attempt to sell tickets they don’t yet possess. These listings are often indicated in the fine print on ticket sites with phrases like “zone seats.” The Senate aims to address this deceptive practice by requiring ticket sellers to be transparent about “speculative ticket” listings, ensuring a fairer experience for consumers purchasing tickets.
Ticketing executives have called on government officials to pass legislation requiring all-in pricing at a federal level. Companies argue that without a change in the law, they would be disincentivized to list fee-inclusive prices even if it’s more transparent for fans, as they would appear more expensive than competitors who hide fees. For example, StubHub adopted all-inclusive prices but abandoned the practice after losing market share to companies that initially seemed cheaper.
Growing scrutiny in the ticketing and live music business
The TICKET Act comes amid increased scrutiny of the ticketing and live music business, partly due to fan outrage at Ticketmaster regarding the on-sale for Taylor Swift’s ongoing Eras Tour. Artists like Pearl Jam and U2 have announced that their upcoming tours would use an all-in ticket strategy, while The Cure has implemented non-transferrable tickets to limit scalping.
Live Nation praised the TICKET Act and urged lawmakers to consider other initiatives to improve the industry. Senators Amy Klobuchar and Richard Blumenthal also introduced the Unlocking Ticketing Markets Act, which would empower the Federal Trade Commission to prevent the use of excessively long multi-year exclusive contracts that lock out competitors, decrease incentives to innovate new services, and increase costs for fans.
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