Ticketmaster was sued for redirecting their patrons to their subsidiary site, TicketsNow.com, a site used for customer who want to resell the tickets they have bought. Ticket prices are jacked up hundreds and sometimes even thousands of dollars from their original face value. As owners, Ticketmaster receives 15% commission from TicketsNow.com sales.
Getting tickets for this artist is always a difficult task. Due to his star power, he quickly sells out every venue in a matter of minutes. The most expensive tickets for Springsteen are approximately $100 face value. With processing and facility charges they average close to $120. The cheapest seats available are approximately $80 including charges.
Fans who were tring to buy Springsteen's tickets were redirected to TicketsNow instead of being able to purchase through Ticketmaster for certain shows. Customers complaints prompted a New Jersey congressman to call for a federal antitrust investigation into Ticketmasters sales practices.
Ticketmaster has become a near monopolistic company when it comes to ticket sales. Live Nation is slowly becoming competition, but for most venues Ticketmaster has always had control. Regardless of the companies population, it was wrong for them to redirect fans to TicketsNow for their personal gain.
"We perceive this as a pure conflict of interest," said Bruce Springsteen, 59. "The abuse of our fans and our trust by Ticketmaster has made us as furious as it had made many of you."
I was fortunate and did not get redirected when trying to buy my seats for his show. If I did I would have been infuriated at Ticketmaster for pulling such a maneuver to a loyal consumer like myself. The Washington D.C. show sold out too quickly for me to get seats, but I got lucky enough to grab a pair in Hershey.
Ticketmaster apologized Feb. 4 for steering Springsteen fans to TicketsNow and promised to refeund the price difference from the face value to the price paid through the reseller. The company also said fans will no longer be shown a link to the resale market unless the artist gives consent to do so.
I am very excited about seeing Springsteen for my second time. He was amazing last time I saw him and I look forward to seeing him again and again in the future. He truly knows how to put on a show and captivate his audience.
Springsteen is about to embark on a world tour to promote his latest album, "Working On A Dream." The tour kicks off Apr. 1 in San Jose, California.
http://www.financialpost.com/news/story.html?id=1270355
