CMA opens investigation into Ticketmaster

CMA launches investigation into Ticketmaster over Oasis concert sales

The CMA is investigating concerns regarding the sale of Oasis concert tickets by Ticketmaster, including how so-called 'dynamic pricing' may have been used.  

·    Action follows reports by fans of significant issues with Ticketmaster

·    CMA calls for evidence from fans to share their experience

·    Concerns over whether buyers were given clear and timely information, and whether consumer protection law was breached

The Competition and Markets Authority (CMA) has today launched an investigation into Ticketmaster regarding the sale of Oasis tickets for the band's upcoming reunion tour, including how so-called 'dynamic pricing' may have been used.

The CMA is scrutinising whether the sale of Oasis tickets by Ticketmaster may have breached consumer protection law. The investigation will consider a variety of things including whether:

·    Ticketmaster has engaged in unfair commercial practices which are prohibited under the Consumer Protection from Unfair Trading Regulations 2008

·    People were given clear and timely information to explain that the tickets could be subject to so-called 'dynamic pricing' with prices changing depending on demand, and how this would operate, including the price they would pay for any tickets purchased  

·    People were put under pressure to buy tickets within a short period of time - at a higher price than they understood they would have to pay, potentially impacting their purchasing decisions 

The CMA is at the initial stage of its investigation and will now be engaging with Ticketmaster and gathering evidence from various other sources, which may include the band's management and event organisers. It should not be assumed that Ticketmaster has broken consumer protection law. The CMA will also consider whether it is appropriate to investigate the conduct of anyone else in relation to the matter.

As part of its information gathering, the CMA is inviting fans to submit evidence of their experiences in relation to the purchase or attempted purchase of Oasis tickets. Fans are being asked to provide their evidence on the CMA's website and, where possible, to include any screenshots they may have taken as they progressed through the purchasing process.

So-called 'dynamic pricing', where a business adjusts its prices according to changing market conditions including high demand, is becoming increasingly prevalent across a number of different markets and sectors. This is not the first time it has raised concerns among fans of live sporting and music events. While the practice is not automatically unlawful, it may breach consumer protection or competition law in certain circumstances. The CMA will investigate how it may have been used in this instance and the information buyers were given regarding the price they would pay as they went through the process of buying tickets and importantly, before they reached the check-out.

Consumer law is clear - ticket sales sites must be transparent in their dealings with consumers and give clear and accurate information about the price people have to pay. Failure to do so may breach the law.

Sarah Cardell, Chief Executive of the CMA, said: 

"It's important that fans are treated fairly when they buy tickets, which is why we've launched this investigation. It's clear that many people felt they had a bad experience and were surprised by the price of their tickets at check-out. We want to hear from fans who went through the process and may have encountered issues so that we can investigate whether existing consumer protection law has been breached.

"The CMA also welcomes the government's recent announcement that it will consult on measures to provide stronger protections to consumers in the ticketing sector, wherever they buy their tickets. This has been a priority focus for the CMA for several years, having previously taken enforcement action and recommended changes to improve the secondary tickets market. We are committed to working closely with government to tackle the longstanding challenges in the ticket market."

Wider considerations regarding the live event ticket market

In addition to the investigation launched today, the CMA has also published its response to a letter from the Secretaries of State at the Department for Business and Trade and Department for Culture, Media and Sport on the issues surrounding live event ticket sales. The letter sets out the CMA's view that more protections are needed for consumers buying tickets on the secondary market, as we have previously set out in our proposals to government in 2021. The CMA welcomes the government's commitment to consult on measures to improve consumer protections in this sector and will work closely with them to get the best outcomes for fans and fair-dealing businesses.

The CMA is separately considering broader competition and consumer issues raised by so-called 'dynamic pricing'. The letter notes that the government may include measures relating to 'dynamic pricing' in its ticketing consultation, and the CMA will assist the government should it seek to develop policy in this area.

The CMA welcomes responses to its call for evidence today by 5pm on Thursday 19 September 2024.

If you're seeking advice or support, contact the relevant consumer advice organisation in your area. The CMA is not able to respond to or advise on individual complaints but will use the information gathered from its call for evidence in its investigation.

More information can be found on the CMA's Ticketmaster investigation case page.  

NOTES TO EDITORS 

1.   The CMA has already taken tough action against major resale websites on the secondary market to help ensure consumer law is being followed. This has helped drive improvements to the way secondary ticket platforms now operate - including tackling potentially misleading pressure selling messages on Viagogo and StubHub, and requiring them to tell customers about resale restrictions that could lead to them being turned away at the door.

2.   'Primary' tickets are tickets which are being sold for the first time, at the original price for tickets as determined by artists, event organisers or box offices. 'Secondary' tickets are those which are resold after their original sale, often (but not always) at prices other than the original 'face value'.

3.   CMA made recommendations to the previous government in 2021 about the changes that are needed to tackle secondary ticket issues. It is positive that the government now wants to address this. We look forward to working with them to get the best outcomes for fans and fair-playing businesses. 

4.   The CMA will now engage with Ticketmaster and gather evidence to consider whether Ticketmaster may have broken consumer protection law. The CMA is at the initial stage of its investigation. Accordingly, it should not be assumed that any business under investigation has broken consumer protection law.

5.   How the case will progress depends on the evidence - this could include the CMA closing the investigation if it believes that consumer protection law is unlikely to have been breached, securing undertakings from the company to address any concerns, or taking court action.

6.   As an enforcer under Part 8 of the Enterprise Act 2002, the CMA cannot currently levy administrative fines for breaches of consumer law. However, parliament recently passed legislation to give the CMA stronger consumer powers, which will enable the CMA to decide when consumer law has been broken without taking a case to court. The Digital Markets, Competition and Consumers Act 2024 will, once it comes into effect, empower the CMA to fine those firms that do break consumer law up to 10% of their global turnover.  At present, the CMA can enforce consumer law through the courts, and where appropriate, seek additional measures to improve consumer choice, drive compliance with the law, or secure redress for consumers.

7.   The main consumer protection legislation relevant to the CMA's concerns about misleading claims and other harmful online selling practices is the Consumer Protection from Unfair Trading Regulations 2008 (CPRs). The CPRs aim to protect consumers from unfair commercial practices such as the misleading provision or omission of information as part of sales processes.

8.   For media enquiries, contact the CMA press office on 020 3738 6460 or press@cma.gov.uk.

9.   All enquiries from the public should be directed to the CMA's General Enquiries team on general.enquiries@cma.gov.uk or by phone on 020 3738 6000.