Dynamic Pricing

In the instance quoted above it certainly is all about profit and it’s always done for the benefit of the seller.

You have to admire the ‘skills’ of the PR team behind this huge push.

‘Skills’ possibly, Tinny morals maybe not!☹️

When we think of dynamic pricing we tend to think about prices going up with demand. In the case of these tickets had it been the other way round would they have reduced the prices of the tickets? I suspect not as it would suggest there were too many dates and I suspect concerts would have been cancelled? Would it be reasonable to put limits on how much anything linked to dynamic pricing could go up or down? 

David

Dynamic pricing is all about how much value a commodity is to the buyer. If the price setter knows it’s got a captive market, (and one ultimately able to pay a very very high price because of how much they value that commodity), then DP will be applied, and a commodity will be sold at a much higher price than its delivery/ cost price. Ticketmaster hit the jackpot with Oasis gig tickets, a very very rare commodity, with global appeal. Hence applying DP allows them to take a much larger sales commission for selling at a greater price.

We talked about going, set our “value for money” price, based on appeal and how much we wanted to go. Well inside the original price range for some tickets, but then it all went crazy, and I didn’t want to be number five hundred thousand and one in the queue🤣 I expect more UK dates to be announced to be honest. Be interesting to see how other countries handle the ticket sales as well. 

DP is mercenary and lacks a degree of morality I think. No matter who is applying it. 

Never heard of it with concert tickets before and wonder what was the point. A sell out  was always on the cards so it would have been better just to set a fixed price from the start. In practice the last few tickets could have been priced at almost anything so they do seem to have limited that.

The point is that the more people who want to buy tickets, the more the prices are pushed up. Yes, they will achieve a sell out but by using DP they’ll make an even bigger profit than if they’d stuck to a set price. The aim is to milk the public for as much as they can and they’re succeeding as people are spending £500 instead of the £100 they anticipated. After queuing online for hours, they’re not going to walk away without buying even though the price has rocketed. It’s a clever but mean strategy.

Like anything,  people don't have to buy them.  if they have sold out at inflated prices,you could say they got the pricing wrong in the first place.

peedee

…….a bit like site fees? 🤔

I noticed that there is a bit of a kerfuffle about the prices charged to see the fourth day of the Test match at Lords yesterday. The ground was barely half full and I'm not surprised as the MCC were charging £90+ to see the finale of a one-sided match. No customer benefit from DP here. 

There are instances of customer benefits in the tourist industry but CAMC do not seem to have cottoned on to it. Just looked at a cottage rental site to check something for an upcoming holiday and the actual cottage has its prices slashed by 30% for October lets, probably more the nearer you get to the date.

It’s like Tulip Mania 😁