Scalpers Beware: New Laws Redefine What Is a Ticket
With many companies choosing to become paperless, concert promoters in the California state have chosen to preserve paperless tickets, which would be redeemed at the venue by the purchaser. Online sellers of tickets such as StubHub, eBay and Ticketmaster are seen as having an issue with these paperless tickets because they are also promoting paperless tickets. The change in direction towards paperless tickets is due to the reason of an increase in scalping, which has become more sophisticated. One reason why the price for the average North American ticket prices have increased over the past ten years is to make up for the difference of concert promoters who earn profit through the secondary market. New York is currently the only state that restricts paper ticketing and almost in New Jersey, where a ban has been proposed.
I believe that the benefit of paperless tickets ensures that some tickets stay at face value rather than being bided online at a secondary market is what is most beneficial for many concertgoers who should not pay an extra amount from scalpers. The only downside is that only 0.1% of the tickets sold today are paperless which proves that if this method of using paperless tickets is chosen, it may lead to a decrease in profits because people would rather purchase them traditionally, but end up spending more in the secondary market.
Written by: Samantha Chin
Source: The Wall Street Journal