Tag: entertainment

The Murky World Of Dynamic Pricing

Dynamic pricing”, seems to be the latest buzz phrase. All because of the sale of Oasis tickets these past couple of weeks. But it’s been around for many years.

Going back in history, we can see dynamic pricing where merchants would haggle overprices based on demand, supply, and even geopolitical conditions! Fast-forward to today’s digital era, where dynamic pricing has become smarter and more sophisticated, thanks to technology and data science.

Ticketmaster brought in dynamic pricing in 2018 after seeing its success in other markets. The basics are, to adjust prices in real-time to reflect market demand. Several reasons that Ticketmaster stated for the reasons behind “dynamic pricing” include the supply and demand aspect for certain tickets, with the idea that those tickets should be adjusted to reflect the “higher demand” for certain concerts. 

Ticketmaster also pointed out that the move was to combat the secondary ticket market, where popular events would sell out only to have those tickets appear on websites such as Viagogo or StubHub for an inflated price. The idea was that the money for an increased cost of a ticket would return to the artists rather than to those who bulk bought tickets to resell elsewhere. So despite Oasis releasing a tweet saying,

“Please note, Oasis Live ‘25 tickets can only be resold at face value via @TicketmasterUK and @Twickets! Tickets appearing on other secondary ticketing sites are either counterfeit or will be cancelled by the promoters.” 

They are in fact to blame for the rise in prices. For artists and promoters, dynamic pricing is a way to maximise earnings from ticket sales. Like I said above, adjusting prices to match demand, they can generate more revenue than they would with a fixed pricing model, especially for in-demand events. In ‘high-demand situations, the profit margins on tickets can be significantly increased, benefiting both the artists promoters and the ticket suppliers. Let’s face it, an Oasis reunion after 15 years was never going to be a low demand event, was it? 

Quite the opposite. Which I’m sure the promoter, the ticket sellers and the band knew anyway. And although it looks harsh on the outside, all are businesses that work for profit and if we were in the same situation we would probably do the same. Or would we? Taylor Swift and Ed Sheeran refused to add a dynamic pricing model to their world tour ticket sales. I’m led to believe they increased their prices on the tickets to gain profit that way. Ticket sales and prices would also be reflected in the venues the artists were playing in, but when you’re talking Oasis, Taylor Swift and Ed Sheeran these are massive stadium events. Meaning whatever, either model is going to make money if priced correctly. 

The most lucrative world concert tour to date is estimated to be Swift’s Eras tour, which has grossed more than $1bn from 60 shows. This is followed by Coldplay, who made $945m over 153 shows between 2022 and 2024. Elton John, a perennial tourer, made $939m from 330 shows in his farewell extravaganza that ran from 2018 to 2023. Ed Sheeran comes in at number 4 at $776m and U2 make up the top 5, grossing $736m.

Eye watering numbers, whichever model of pricing you choose. 

One thing that I think has gone under the radar is that there are three promoters for the Oasis reunion tour, all with links to one company. That company is Live Nation, the US multinational which just happens to own Ticketmaster, the ticket supplier for the tour. Not only this but if you do manage to get to a gig, Live Nation have links to merchandise companies, security companies and even some of the actual venues. You don’t need to be a rocket scientist to work out what’s going on here. Over in the US, the Justice Department, along with 30 state and district attorneys general, have filed a civil antitrust lawsuit against Live Nation Entertainment Inc. and its wholly-owned subsidiary, Ticketmaster LLC (Live Nation-Ticketmaster) for monopolisation and other unlawful conduct that thwarts competition in markets across the live entertainment industry. The lawsuit, which includes a request for structural relief, seeks to restore competition in the live concert industry, provide better choices at lower prices for fans, and open venue doors for working musicians and other performance artists. 

All it took was the outrage of a few hundred thousand gig goers to bring to the attention of the UK government a problem that millions of travellers have faced ever since the invention of the dynamic pricing algorithm. 

For instance, if I want to fly one way from Mallorca to Gatwick on Thursday 31st of October, a popular time for people to leave the island. At the moment, it can cost anywhere between €200 and as high as €400. That’s without any baggage etc. But if I leave it another week, it will cost €67.49.

Looking at the UK, if I want to book the cheapest lodge at Woburn Center Parcs UK for 4 nights between December 23rd and December 27th it will cost £1,699.00. That same lodge from the 6th of January to the 10th of January is £399.00!

I’ve written many times before that it’s time for the UK Government to change their taking children out of school during term time policy. Which would allow Tour Operators, airlines and hotels to drop their prices. Absenteeism is at record levels, according to Department for Education data, with nearly 400,000 penalty notices issued in the 2022-2023 academic year. So what does the Government do? Increases the fines! It’s so blinkered it’s ridiculous. I’ve said this a thousand times, seeing new countries, experiencing new cultures, hearing new languages and tasting different cuisines should be part of a child’s education in my opinion. And it should be in the hands of the parents and teachers to decide if a child could take some time away, not a Government Minister. And I would hope that would enable the Tour Operators, airlines and hotels to price more accordingly, and also it just might solve the so-called tourist overcrowding problems we are seeing around the world. 

Sorry to keep going on about this, but isn’t it obvious?

Richie is the MD at Pirates, the island’s number one night out featuring Adventure, Reloaded and Gringos. Subscribe to receive his blogs at http://www.dadtaximallorca.com

Follow him on Twitter @DadTaxi1 & Instagram @dad.taxi, or feel free to email him at rprior@globobalear.com

The Home Of Live Music

Mention Mallorca and the majority of people will agree it is an island of contrast. From the beautiful beaches in the North, to the mountains of the West, the caves and coves of the East and the bustling busy nightlife of the South. There is something for absolutely everyone. 

One thing you might not think about when coming to the island is live music. But over the years Mallorca has hosted some of the biggest artists in the World. Including Elton John, Ed Sheeran, Simply Red and David Guetta to name just a few. This year is looking like a bumper year if you love your live music and it’s happening in all genres.

At Pirates last year we trialled a series of DJs at our Reloaded show, including the legend that is Judge Jules and Fat Boy Slim and Zoe Ball’s son Woody Cook. They were all amazing but the one that definitely grabbed the audience was Charlie Sloth. He played three shows in May, June and September and each one sold out. So this year we decided to sign him for a residency every Friday at Reloaded from May 10th to September 13th. 

Charlie Sloth is a British DJ, hype man, producer, and TV presenter. He worked as a presenter and presented the daily drivetime show on BBC Radio 1Xtra from September 2012 to November 2017. He hosts the Rap Show and curates playlists for Apple Music. In addition, it was announced that Sloth had signed a deal with Jay Z’s Roc Nation in August 2020. In addition to his work on radio, Sloth is also a successful live DJ. He has toured extensively around the world, and he has played at some of the biggest festivals in the world, including Glastonbury, Coachella, and Wireless. He is a popular figure in the UK music scene, helping to launch the careers of a number of successful artists, including Stormzy, Skepta, and Dave.

He is also an investor and brand ambassador for AU Vodka. Set up in 2015 by two teenage boys from Wales who thought they could do things just a little better. One of those boys Charlie Morgan, became famous earlier in his life, as he was the ball boy who was kicked by Chelsea player Eden Hazard in a league cup semi-final. The brand reportedly sold 3.5 million bottles in 2023, they are sold in more than 40 countries and 32 American states. You’ll find it stocked in most UK airports and supermarkets and Easyjet have added it to their drinks and duty free trollies. As celebrities go Charlie Sloth is one of the most genuine I have had the pleasure to meet. Remember that when buying your ticket, not only will you see Charlie Sloth but included in your ticket price is a Club, Show, Experience matched by no one on the island. For tickets please go to http://www.piratesreloaded.com 

Mallorca Live at the old Aquapark just down the road from Pirates will take place this year on June 13th, 14th and 15th. This year they have really pulled out all the stops with three top headliners. Underworld aka Karl Hyde and Rick Smith were part of the the ’90s underground techno scene, the group’s definitive breakthrough came in 1996 when their timeless anthem ‘Born Slippy (Nuxx)’ became the soundtrack of a generation after it was featured in the film Trainspotting. The success of that single catapulted the British duo from the underground into the heart of the mainstream.

Blondie are an American rock band founded in 1974 in New York City by singer Debbie Harry and guitarist Chris Stein. The band were a pioneer in the American new wave scene of the mid-1970s in New York City. “Heart of Glass” was their best selling single among many others. As a teenager I had a crush on Debbie Harry and had her posters on my bedroom wall, along with football ones of course!

The Pet Shop Boys are listed in The Guinness Book of Records as the most successful duo in UK music history. Since signing to Parlophone Records in 1985, they have achieved 42 Top 30 singles in the UK including 22 Top 10 hits and four number ones. They have released 14 studio albums all of which have made the UK Top 10 as well as album charts around the world. Their best selling single is “West End Girls” and last year saw the release of SMASH – The Singles 1985-2020, the complete collection of their singles from across 35 years of iconic releases. For tickets please go to http://www.mallorcalivefestival.com 

In Palma at Son Fusteret you will be able to see Tom Jones and James Blunt as part of the Palma Concert Series. James Blunt has a connection to the island as he got married here in 2014 and Tom Jones returns to the island after his hugely successful concert in Port Adriano in 2017. Organisers say that more artists will be revealed soon. For tickets please go to http://www.palmaconcertseries.com 

As yet Port Adriano haven’t released their line up for the summer, I’m told it should be ready by the end of April. 

For the younger people out there my understanding is that the Origen festival will return to Son Fusteret with Elrow yet to be confirmed. BCM haven’t yet released their DJ line up but I’m sure it will be as good as last years that featured Meduza, Bob Sinclair, Steve Aoki, Fisher and Joel Corry to name just a few. 

I’m sure that more artists will be released in the coming weeks, making it an exciting year for live music here on the island.

Richie is the MD at Pirates, the islands number one night out featuring Adventure, Reloaded and Gringos.

Follow him on Twitter @DadTaxi1 & Instagram @dad.taxi or feel free to email him at rprior@globobalear.com