Exposing ticket scalping: how to prevent quick sellouts and protect buyers
Combating ticket scalping is one of the most pressing challenges for event organizers. Ticket speculation can negatively impact availability and pricing, leaving many true fans without the opportunity to attend their favorite concerts and shows. In this guide, we'll look at what scalping is, how to prevent it, and what steps you can take to protect your customers' interests.
What is ticket scalping?
Ticket scalping is the practice of buying tickets en masse in order to resell them at inflated prices. Scalpers use a variety of methods to buy up tickets, often in bulk, to then put them on the secondary market where the price is much higher than face value. As a result, true fans are deprived of the opportunity to buy tickets at a fair price, making the event less accessible and potentially damaging the organizer's reputation.
How does ticket scalping work?
Scalpers operate on the basis of supply and demand, taking advantage of the moment of excitement surrounding a popular event. They use automated bots, mass ticket purchases, and manipulation of dynamic pricing algorithms to grab as many tickets as possible as soon as the sale begins. Tickets are then put up on secondary platforms at vastly inflated prices, creating an artificial scarcity.
Taking advantage of demand, scalpers “inflate” prices, focusing on profit rather than the actual cost of the event. This leads to the fact that many buyers simply cannot purchase tickets, facing the fact that they have either run out or become too expensive.
What are the different types of scalper bots?
There are several types of bots, each using different tactics to capture tickets:
- Sniping bots - instantly add tickets to your cart and complete the purchase as soon as tickets become available.
- Scraping bots - collect tickets from different venues, creating ascarcity effect and a quick sale.
- Price manipulation bots - buy up tickets and quickly raise prices on the secondary market, creating an artificial increase in value.
These bots give speculators a huge advantage over regular buyers, and organizers are increasingly taking steps to block them to ensure a fair buying process.
Is scalping illegal?
The legality of scalping varies from country to country, but using bots to buy tickets en masse is illegal in many jurisdictions. While some resale platforms operate legally, they often do not regulate scalpers properly. To protect buyers from scalpers, organizers can use reliable ticket resale platforms with price controls and capping.
To create a safe and fair environment, organizers can also restrict ticket resale and clearly state this policy on their website.
Strategies to prevent ticket scalping
There are effective methods to prevent ticket speculation that help protect the interests of genuine buyers.
1. Introducing dynamic pricing
Dynamic pricing allows organizers to adjust ticket prices based on factors such as demand, time of day and day of the week. This approach makes it more difficult for speculators as it becomes much harder to predict prices. Dynamic pricing also allows for flexibility in responding to the level of demand, creating a fair market.
Tip: If you are considering dynamic pricing, make sure that buyers understand the pricing principles and that the pricing system is flexible to adapt to real-world conditions, not just predictions.
2- Limit the number of tickets per purchase
Limiting the number of tickets that can be purchased in a single transaction prevents mass ticket buying. This measure makes scalping less profitable and ensures that tickets are available to more true fans.
3- Using CAPTCHA and bot protection
Integrating CAPTCHAs and other bot protection methods into the ticket buying process helps stop automated programs that can buy all tickets in seconds. These systems recognize and block suspicious activity, ensuring tickets are available to real people.
4- Mandatory registration for buyers
Requiring registration and profile verification (like Taylor Swift's Eras Tour) adds an extra layer of security. When buyers are required to go through a registration process, it makes it harder for speculators to be anonymous and makes the buying process more transparent.
5. Secure ticket delivery methods
Using electronic tickets with unique QR codes and linked to buyer information greatly reduces the likelihood of resale. Such tickets can be validated at the door, preventing duplication and ensuring that the ticket is genuine.
Ticket scalping is a problem that many organizers face, but there are many ways to combat this practice. Introducing dynamic pricing, limiting the number of tickets, using CAPTCHAs, mandatory registration and secure delivery methods are all measures that can help you protect your customers and ensure a fair ticket price.
Make your event affordable and enjoyable for true fans by implementing the strategies outlined. If you have questions or need additional support, our team is here to help you create the best event possible without the negative consequences of scalping.