The Ticket Sales industry refers to the business of selling tickets for various events such as sports, concerts, theater shows, and other live entertainment. The industry includes ticket sellers such as ticket brokers, event promoters, box office managers, and online ticket resellers.
The industry works by acquiring tickets from event organizers and selling them to consumers for a profit. Ticket sellers often purchase tickets in bulk from event organizers at a discounted rate and then sell them to consumers at a markup. They make a profit by selling tickets at a higher price than they paid for them.
Ticket sales can take place through various channels such as online ticketing platforms, ticket booths, ticket agencies, and direct sales through event organizers. In recent years, there has been a significant shift towards online ticket sales, which has greatly increased the convenience and accessibility of purchasing tickets for events.
Overall, the Ticket Sales industry plays a crucial role in the live entertainment industry as it enables millions of people to access and attend various events each year.
Yes, you will need a merchant account to accept payments for ticket sales in both ecommerce and retail. A merchant account allows you to accept credit and debit card payments online or in-person, and process transactions securely. It is important to choose a reliable payment processor that specializes in the ticket sales industry and offers competitive rates and features such as fraud protection, chargeback management, and recurring billing options.
Retail sales for Ticket Sales industry refers to the physical purchase of tickets from a physical location such as a ticket booth or a ticket outlet. In retail sales, the customer must physically go to the location, wait in line, and purchase the tickets. The customer can also purchase tickets in advance by calling in or mailing a form with payment.
Online sales for Ticket Sales industry refer to the purchase of tickets through an online platform. Customers can browse available seats and purchase tickets through the website or mobile app. In online sales, the customer can avoid waiting in line and make a purchase at any time from anywhere with internet access.
The main difference between the two types of sales is the purchasing process. Retail sales require a physical presence, while online sales can be made from anywhere with internet access. Online sales also offer additional convenience, such as the ability to compare options and make purchases without leaving home.
Ticket sales products refer to any product or service that is related to the purchase, distribution, and management of event tickets. These products can be physical or digital and may include:
1. Event Tickets: This is the most common ticket sales product, and it is the actual ticket that grants the holder access to an event. Examples include concert tickets, movie tickets, sporting event tickets, and festival tickets.
2. Ticketing Platforms: These are software tools that facilitate the sale and distribution of event tickets online. Examples include Eventbrite, Ticketmaster, and StubHub.
3. Seat Selection: Some event tickets require the selection of a specific seat, such as theater tickets, stadium seats or airline seats. Ticket sales products that offer seat selection can help customers choose the best available seat and provide an interactive map, showing available available seat options.
4. VIP Packages: Some ticket sales products offer VIP packages, which may include perks such as backstage access, meet and greets with performers, or exclusive merchandise. Examples include VIP concert ticket packages, VIP stadium suites, and VIP film premieres.
5. Parking Passes: For events that require parking, ticket sales products may include parking passes to enable smooth entry and exit from the venue. Examples include stadium parking, concert parking, and festival parking passes.
6. Access Control: Some ticket sales products include access control features that help event organizers manage who can enter the venue. Examples include wristbands, and digital access control apps that make sure only authorized individuals attend the event.
7. Merchandise Sales: Many event tickets nowadays include an upsell to merchandise products at the same time the ticket is purchased. This is especially common for sports events and concerts, where merchandise is often sold at the venue.
In summary, ticket sales products are varied and include all products and services that relate to ticket sales, such as the ticket itself, ticketing platforms, seat selection, VIP packages, parking passes, access control, and merchandise sales.
Ticket sales are considered high risk for a merchant account due to the following reasons:
1. High Chargeback Rates: Ticket sales have a high rate of chargebacks because customers often dispute charges if they are unable to attend the event or if the event is cancelled.
2. Fraudulent Transactions: Fraudulent transactions are common in ticket sales as scammers try to buy tickets with stolen credit card information or counterfeit money.
3. Seasonal and Cyclical Business: Ticket sales are often seasonal and cyclical, with a large volume of sales concentrated over a short period of time. This can pose a risk to the stability of the merchant account.
4. Unreliable Suppliers and Resellers: Ticket sales also involve working with unreliable suppliers and resellers who may be dishonest or unreliable, further increasing the risk of chargebacks and fraud.
Due to these factors, banks and payment processors consider ticket sales to be a high-risk business, and often impose stricter underwriting requirements and higher fees for merchants in this industry.
Ticket sales products in the United States are governed by several laws and regulations aimed at protecting consumers from fraudulent activities and ensuring fair market competition. One of the most important laws is the Federal Trade Commission Act, which prohibits unfair or deceptive business practices. In addition, each state has its own laws regulating ticket sales, which often require sellers to obtain specified licenses and to post bonds to ensure compliance with the law.
Another important piece of legislation is the Better Online Ticket Sales (BOTS) Act, which prohibits the use of automated software to purchase large quantities of tickets for resale at inflated prices. This law applies to both primary and secondary ticket markets.
Additionally, some states have implemented price caps on ticket resales, while others have banned certain practices, such as selling tickets above face value or using deceptive advertising.
Overall, the legality of ticket sales products in the United States is complex and varies depending on the state and type of ticket sales product. It is important for buyers and sellers to understand the applicable laws and regulations to ensure compliance and fair dealing.