When tickets for Bruce Springsteen’s slate of shows in New York and New Jersey appeared on the site for Ticketmaster’s “reseller” division TicketsNow just seconds after they went on sale, people were understandably outraged, especially since TM’s somehow-legal side business had marked up tickets to the sold-out shows by hundreds of dollars. In stepped the newest hero of the working man, New Jersey Representative Bill Pascrell, Jr., to request that Department of Justice look into this remarkable coincidence. His letter to the Antitrust Division—written hours before the news about the possible Ticketmaster/Live Nation merger broke—is below the cut.
Dear Chairman Kovacic:
I am writing today to direct your attention to a potential conflict of interest regarding Ticketmaster and its affiliate company, TicketsNow. This issue has been brought to my attention through constituent complaints and press reports regarding the online sale of Bruce Springsteen concerts tickets at the IZOD Center in New Jersey and other locations all across the country.
As you know, Ticketmaster is a large ticket sales and distribution company that often serves as a venue’s sole ticketing agent. A large percentage of their sales are made online through Ticketmaster.com. In a recent effort expand its business Ticketmaster acquired TicketsNow, a website which specializes in the secondary, resale market for tickets.
When tickets for Bruce Springsteen’s new tour went on sale exclusively through Ticketmaster at 9:00 a.m. on Monday, February 2, 2009, scores of fans in New Jersey were met with technical difficulty on Ticketmaster.com that impaired them from making a purchase. Thousands of others who were fortunate enough to get beyond the technical problems were informed that the shows were sold out.
Conspicuously placed on the same screen that informed fans of ticket unavailability was an alternative purchasing option from TicketsNow.com. It offered the same tickets at a value marked up hundreds of dollars beyond their original face value.
I am troubled by how quickly tickets priced exponentially higher became available on the secondary market to thousands of rejected fans, many who also endured unfortunate technical problems on Ticketmaster.com.
I am concerned that the business affiliation between Ticketmaster and TicketsNow may represent a conflict of interest that is detrimental to the average fan. There is a significant potential for abuse when one company is able to monopolize the primary market for a product and also directly manipulate, and profit from, the secondary market.
Additionally, the speed with which tickets were made available on Ticketmaster’s official resale affiliate site raises questions about whether TicketsNow brokers were given preferential treatment instead of competing on a level playing field with average consumers to purchase the tickets.
With so many families struggling in this economy, I am outraged by how expensive tickets to ball games, concerts and other shows have become. I understand the economic principles that have driven up the cost of entertainment, but will not tolerate unjust business practices that put regular Americans at a disadvantage.
I respectfully request that your office investigate the relationship between Ticketmaster and TicketsNow to ensure that the procedure for purchasing tickets remains fair to the average consumer. If you require any additional information or have any questions, please contact Arthur Mandel on my staff at (202) 2…. I look forward to the favor of your reply.
Sincerely,
Bill Pascrell, Jr.
Member of Congress
What a difference 24 hours would have made, huh?
Congressman asks for investigation of Ticketmaster, TicketsNow over Springsteen [Hartford Courant]
@iantenna: Oh, that’s just the Standard Overcharge, like Puddy gives Seinfeld in that episode where Jerry’s buying a car. And don’t forget the Undercoat.
@Chris Molanphy: but I don’t want the Undercoat.
@iantenna: I have been trying to figure that one out forever! It’s like they charge an additional $5 for the privilege of logging off of the site…
@iantenna: I have been trying to figure that one out forever! It’s like they charge an additional $5 for the privilege of logging off of the site…
people have tried and failed to kill the monopoly monster that is Ticketmaster
Ticketmaster will confront and then consume Pascrell. Powered by the souls of angry consumers … and convenience fees.
FWIW, here’s a Consumer Reports article about ticket selling from last summer.
It seems that while TicketsNow is a subsidiary of Ticketbastard, it’s just a marketplace where sellers and buyers find each other, à la eBay.
I’m in favor.
Brooce should have written this himself to get rid of that whole Wal-gate scandal.
Pascrell is my Congressman, and I like to think an effective one. This is a well-written letter, and I say bravo to Bill.
You mean this Ticketmaster outfit might not be entirely on the up-and-up?
You’d think Congress could’ve smelled the aroma of slime on TicketMaster back in the mid-’90s when Pearl Jam testified. Guess it takes Boss-related outrage to wake peeps up in Washington.
For a second there I thought maybe Bill Parcells (or his son) was a Congressman. That letter has some Tuna-level tenacity.
It seems like a new music industry cartel in the making. When you add Ticket Master, Live Nation, Front line Management together you get Springsteen, the Eagles, Garth Brooks and many more Heal the World Artists doing exclusive deals with Wal-Mart. Monopoly on ticket sales, CD/DVD sales, is not good for the buying public. These same artists say one thing and do another, just like Wall Street has screwed up and caused a global financial nightmare, we now see the Wal-Mart bands destroying what is left of the music business. A Free Market System is not a monopoly.
can they also be forced to explain the difference between the convenience fee (8 bucks) and that one they tack on at the end, the order processing fee or some other similarly worded garbage (5 bucks)? i thought the convenience i was paying for was for them to process the order for me…
@iantenna: I have no idea what the difference is between those. I’m also not a fan of the extra fee if you decide to print the tickets yourself.