The UK Competition and Markets Authority (CMA) has launched an investigation into Ticketmaster’s handling of ticket sales for the upcoming Oasis reunion tour. The focus is on the platform’s use of “dynamic pricing”, a controversial pricing mechanism where ticket prices fluctuate based on demand. This has led to fan outcry, with some tickets reportedly being sold for up to £350—substantially more than the initially advertised prices. The CMA’s investigation will assess whether Ticketmaster has breached UK consumer protection laws.

Key Facts of the Case

Ticketmaster, a leading global ticket seller, is one of the three official sales platforms for Oasis tickets. The company has faced backlash from fans and consumer groups for its use of dynamic pricing, a practice where ticket prices increase as demand surges. Oasis fans have expressed dissatisfaction, reporting that they paid far more than expected for tickets.

Oasis has distanced itself from the pricing strategy, stating that decisions around ticketing are managed by promoters and management, not by the band. In an attempt to defend their pricing, Ticketmaster has maintained that artists and promoters, such as Live Nation, set ticket prices themselves. Nonetheless, critics have argued that there fails to be a clear distinction between Ticketmaster’s role and that of the promoters where pricing is concerned.

The Law on Dynamic Pricing and Consumer Protection

Dynamic pricing is not inherently unlawful under UK law. However, the practice is subject to scrutiny under consumer protection regulations, particularly the Consumer Protection from Unfair Trading Regulations 2008. These regulations prohibit businesses from engaging in unfair commercial practices, such as misleading consumers or applying undue pressure to make purchases.

The CMA has made it clear that while dynamic pricing is legal, it must be implemented transparently. Consumers must be informed clearly that prices may increase, and they should not feel coerced into making quick decisions under the impression that ticket availability is limited. The CMA’s investigation will examine whether Ticketmaster violated these rules by failing to adequately inform buyers about the possibility of price hikes or by putting undue pressure on consumers to buy tickets quickly.

Potential Offences by Ticketmaster

If the CMA finds that Ticketmaster engaged in misleading or aggressive practices, the company may be found in breach of the Consumer Protection from Unfair Trading Regulations 2008. Specifically, Ticketmaster could face allegations of:

• Misleading Consumers: The failure to adequately disclose that an increase in demand could result in a significant rise in pricing may amount to a misleading omission under UK law.
• Aggressive Commercial Practices: Pressuring consumers to make quick decisions by suggesting limited availability or time constraints could constitute an aggressive commercial practice.

If the CMA uncovers evidence of such breaches, Ticketmaster could face enforcement action, including fines or an order to change its sales practices.

Lessons for Other Firms

The CMA’s investigation into Ticketmaster serves as a warning for businesses engaging in dynamic pricing or any form of online sales. To avoid similar issues, companies should:

• Ensure Transparency: Always provide clear, upfront information about pricing mechanisms, particularly if prices are subject to change based on demand.
• Avoid Pressure Tactics: Consumers should not feel coerced into making purchases under artificial deadlines or misleading information about stock or availability.
• Comply with Consumer Protection Laws: Regularly review sales practices to ensure they comply with consumer protection regulations and do not mislead or exploit consumers.

By adopting these practices, firms can mitigate the risk of regulatory scrutiny and ensure a positive, legally compliant consumer experience.

If you have any questions regarding consumer protection, Geldards Commercial Contracts Team will be happy to help.