Death By A Thousand Cuts: Dynamic Pricing and Live Music

Why the introduction of dynamic pricing for Australian live music events is a very bad idea.

Last November social media was ablaze with distraught and angry Taylor Swift fans who had experienced the bloodbath of trying to secure tickets to her upcoming Eras tour. Fans were made to sit in Ticketmaster's "waiting room" with some waiting cruelly for several hours before being faced with the reality of having to buy tickets subjected to dynamic pricing. With a clock ticking down on the page and the fear of missing out, fans were forced into the dilemma of buying tickets hundreds, and some, thousands over their original price.

Live music, once a collective experience by mutuals and fan groups is now being threatened by dynamic pricing which is now making an appearance in events held by Ticketmaster Australia. It's a worrying pricing protocol that threatens the longevity of music events.

Dynamic pricing, also known as variable pricing, is a pricing strategy that adjusts the price of a product or service based on supply and demand. This strategy is commonly used in the entertainment industry, including live music events. While dynamic pricing may seem like a good idea on paper, it can actually be detrimental to the live music scene in Australia.

One of the main issues with dynamic pricing is that it can discriminate against certain groups of people. For example, low-income individuals may not be able to afford tickets to popular events, as prices may be raised significantly based on demand. This can create a divide between those who can afford to attend live music events and those who cannot, which is not good for the music scene as a whole.

Dynamic pricing can also be bad for artists and venue owners. If ticket prices are too high, it can discourage fans from attending events, which means that artists and venue owners may not be able to make as much money. Additionally, dynamic pricing can create confusion and mistrust among fans, which can negatively impact the reputation of the artist and the venue.

Moreover, dynamic pricing can be bad for the live music scene in Australia because it can create a sense of uncertainty among fans, who may not know what the true cost of attending an event will be. If a Sting ticket at Kings Park was worth $150 what justification is there to charge $350 for the same seat three months later? This can lead to frustration and disappointment, which can negatively impact the overall experience of live music events.

Dynamic pricing may be here to stay for now but in an era where the division between the privileged and the other 98% is coming more to the forefront, demanding fans fork out $1000+ for a 90-minute concert will only serve to alienate fans and more than likely drive up digital concert sales instead.