When the Oasis reunion tour was announced last summer, there was a scramble to get hold of tickets. Very quickly, there followed another scramble – to understand a phenomenon known as “dynamic pricing”. This is the practice of pricing one product or service differently for different customers. Prices are adjusted according to supply and demand and can also be determined by things like the timing of the purchase.
But last summer, this seemingly opaque pricing structure left many fans angry, confused and lashing out at the band themselves.
Despite being generally accepted in other industries, for example, for airline and train tickets, the use of dynamic pricing in the events sector is contentious. It can also pose reputational risks to organisations – and even artists – within the industry. Advocates of dynamic pricing say that prices are fair as they are set by the market.
