Bands/promoters don't have to use Ticketmaster. They will only do so if Ticketmaster offers a proposition that they like, and better than any competitor.
Wrong. TicketMaster signs long term contracts with venues to be the sole provider of ticketing for all events at that venue. The promoters pick venues based upon the size that they think the performer can draw. Therefore, if the promoter picks a venue that is contracted by TicketMaster the show is forced to use TicketMaster as the ticketing platform. If there is no properly sized venue in a city/region that is not under contract with TicketMaster (there rarely is unless you’re talking about small venues) then the promoter/performer has no choice but to use TicketMaster or not perform in that area. (See: Pearl Jam, early 90s) And as for the stupidly named “Convenience Fees,” that is pretty much all the money that TicketMaster makes on that sale (minus their credit card fees). Here’s a rough breakdown of who gets what from your TicketMaster purchase:
- Ticket Price
- This goes to the promoter, sometimes minus a few percent to TicketMaster
- Convenience Fee
- Ticketmaster's profit
- Facility Fee
- Mostly goes to the promoter. A small percentage may be retained by TicketMaster
- Ticketfast Fee ($2.50)
- Pure profit for TicketMaster. Ironically they’ll snail mail your tickets to you for free.
- Shipping Charges
- They may charge you $15, $19, etc, but their costs are WAY less, on the order of $4-8 per UPS package. The rest is profit for TicketMaster
Owner, Team One Tickets & Sports Tours, Inc.