Companies like Live Nation and Ticketmaster pledge to provide upfront pricing

Companies like Live Nation and Ticketmaster pledge to provide upfront pricing

Private sector companies have pledged to provide full prices and fees for customers upfront. The move comes as President Biden met with company executives to address hidden “junk fees” on Thursday.

Previously, consumers would select a “teaser price” for their ticket or hotel purchase, hoping that the final price wasn’t 20 to 30 percent higher. The end of hidden junk fees allows buyers to see the total cost of their purchase immediately, allowing them to compare prices across different sites.

“Junk fees are not a matter for the wealthy very much, but they matter for working folks like the homes I grew up in,” Biden said on Thursday. “They can add hundreds of dollars a month and make it harder for families to pay their bills. I think it’s just wrong.”

As a result, the entertainment company, Live Nation, announced its commitment to showing all-in pricing upfront for ticket buyers who attend shows in one of their 200 venues by September 2023.

Its ticket-selling arm, Ticketmaster, will give customers the option to receive all-in upfront pricing for tickets sold in other venues as well.

The mobile-focused ticket platform, SeatGeek, who also sent an executive to the meeting with Biden, promised to roll out features that will make it easier for customers to see the full price by this summer.

Megan Yan, a Michigan resident and frequent concert goer, believes this is a step in the right direction. “However, if they’re still going to add on the [extra] fees, it’s just another blow,” she said. “[While] it’s great that you’re being transparent, it still sucks for me because it’s still a buttload of money.”

For a recent ticket to see the Canadian pop band Valley, Yan paid $50 for two tickets, and was charged 40 percent of the ticket price for service fees.

“So, I don’t know what to say. Like, I appreciate you being transparent [instead] of taking advantage of me?”

This comes after several months of extensive scrutiny Live Nation and Ticketmaster faced by fans and lawmakers, following issues with the sale of Taylor Swift tickets in November. Senators confronted the company at a January hearing, addressing concerns over technical errors that affected ticket sales, the lack of competition in the ticketing industry and the “increasing” excess charges.

“American companies are, in a word, addicted to junk fees,” said Sally Greenberg, the CEO of National Consumers League, at a June Senate hearing.

“These fees are hitting all of us across the board, and they are out of control right now,” Greenberg said. “And we saw this coming, when the merger of Live Nation and Ticketmaster happened.”

President Biden acknowledged that “there’s more to do” to address the problems in the online ticketing industry and junk fees across all industries. Earlier this year, Biden proposed legislation that would “limit and eliminate” these junk fees, a bill that Greenberg urged the Senate to support.

“Congress must not allow businesses to trap consumers with unfair and deceptive fees to escape accountability,” she said.