Ticketmaster Takeover at Budweiser Gardens Raises Concerns About Ticket Prices

Budweiser Gardens has recently switched its main ticket provider to Ticketmaster, a move that has sparked concerns among concertgoers about potential ticket price increases. This downtown London venue officially transitioned from its longtime ticket provider, Paciolan, on Monday.

Impact on Ticket Prices and Concertgoers

Daniel Tsai, a business and law professor at Queen’s University and the University of Toronto, stated, “Concertgoers shouldn’t be expecting a discount on the price of their tickets. It’s fewer choices for consumers, and it means concertgoers have, effectively, one player to deal with when it comes to getting their concert tickets.” This shift has led to largely negative responses on social media, with users worried about higher prices.

Fanshawe College student Finch Neve expressed his concerns, saying, “The idea of having to deal with Ticketmaster makes me less likely to consider events at the arena. Why would I put myself through that when I could just go to Toronto and go to a better show that I probably wouldn’t have to deal with?”

Management’s Perspective

In an emailed statement, a spokesperson for Budweiser Gardens, managed by Oak View Group (OVG) under its OVG360 division, explained that the venue regularly assessed all service providers and conducted “a competitive bidding process to select the optimal ticketing platform.” The spokesperson added, “Ultimately, we chose the provider we believe will most effectively serve our venue and customers.”

Despite requests, the venue’s new general manager, Kelly Austin, was unavailable for an interview. Brian Ohl, the former general manager who now works as a project manager with OVG, also declined to comment. A Ticketmaster spokesperson defended the decision, stating, “The ticketing rights for Budweiser Gardens were put up for bid. Ticketmaster was selected as the winner of this RFP process based on the prices and technology offered. This is a competitive outcome, pure and simple.”

Historical Context and Future Implications

Budweiser Gardens operates under a public-private partnership with the city leasing a portion of the land to a trust for 50 years. This trust leases the building to another partnership involving EllisDon Construction and OVG360. OVG360 manages the venue, which opened in 2002 as the John Labatt Centre.

Ward 6 Coun. Sam Trosow, a critic of the 50-year agreement expiring in 2051, stated that senior levels of government should address how ticket agencies operate. “These ticket agencies engage in a lot of sharp practices, and consumers need better protection. But there’s nothing really, from a municipal point of view, with respect to this facility that can be done,” Trosow said.

In 2018, a CBC News investigation revealed that Ticketmaster had recruited scalpers to boost profits from the resale of sports and concert tickets. Although a Competition Bureau of Canada probe found no contraventions of the Competition Act, the company was ordered to pay $4.5 million in a separate case for making allegedly misleading pricing claims for online tickets.

Future Prospects and Larger Acts

Grooves record store employee Dan Ormsby commented, “I imagine that is probably a big part of it, that Live Nation and Ticketmaster artists are big name draws, and without having the Ticketmaster name on their tickets, maybe they can’t have them at their venue.”

Tsai added that while bigger acts might be drawn to the venue due to Ticketmaster’s involvement, these acts have also criticized Ticketmaster’s control over concert pricing. Notable artists such as Pearl Jam, Zach Bryan, and Robert Smith of The Cure have voiced concerns about Ticketmaster’s fees and dynamic pricing.

Ticketmaster’s Broader Issues and Legal Challenges

Ticketmaster’s policies faced significant backlash in 2022 when fans trying to get pre-sale tour tickets for Taylor Swift encountered massive delays and errors. Ticketmaster attributed the issues to bots and unprecedented demand. Furthermore, the U.S. Department of Justice, along with 30 states and the District of Columbia, filed an antitrust lawsuit against Live Nation in May, accusing it of running an illegal monopoly through anti-competitive conduct.

“Today, Live Nation possesses and routinely exercises control over which artists perform on what dates at which venues,” the complaint states. “Through Ticketmaster, Live Nation also possesses and exercises control over how fans are able to purchase tickets to see their favorite artists in concert and what fees those fans will pay to do so.” U.S. Attorney General Merrick Garland called for the breakup of Live Nation-Ticketmaster, though the company has denied violating antitrust laws.

Live Nation manages more than 400 artists and controls over 265 venues across North America, handling at least 80% of primary ticketing services for major venues, according to the complaint. The Department of Justice complaint also alleges that OVG and Live Nation colluded to allocate business lines and avoid competition, cementing Live Nation’s dominance.

Conclusion

The shift to Ticketmaster at Budweiser Gardens has raised concerns about ticket prices and market competition among concertgoers and industry experts. While the move might attract bigger acts to the venue, it also highlights broader issues within the live entertainment ticketing industry, including potential monopolistic practices and the need for greater consumer protection.

Further Reading:

  • [Concert ticket system is ‘broken,’ say artists. But some experts say targeting resellers isn’t the fix]
  • [What’s the impact of Live Nation’s dominance on the music industry?]
  • [‘It’s called capitalism’: Ticketmaster’s ex-CEO defends the company’s business model]

Related News:

  • [Ticketmaster owner Live Nation confirms data breach]
  • [Canadian Taylor Swift fans are flying to Europe for cheaper concert tickets]

Related Legal Cases:

  • [Ticketmaster secret scalper program not illegal, Competition Bureau says]
  • [Ticketmaster to pay $4.5M for misleading consumers on prices]
  • [U.S. suing Ticketmaster owner Live Nation]
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