What’s the story: CMA launches investigation into Ticketmaster over Oasis debacle

By now, you should’ve somehow realised what you’re not to do 

On 5 September 2024, the CMA launched an investigation into Ticketmaster over the recent sale of tickets for the Oasis reunion gigs. Once tickets were released, hundreds of thousands of fans joined online queues expecting to pay the advertised price (typically about £148 per standing ticket). However, by the time some fans reached checkout, these tickets were being sold for £355 due to Ticketmaster’s use of ‘dynamic pricing’. This is a practice whereby a business can set a flexible price based on current market conditions, including high demand. Dynamic pricing is not automatically unlawful in the UK, but use of dynamic pricing may sometimes breach consumer protection or competition law.

Fans look back in anger: current scope of the CMA’s investigation 

The CMA is currently investigating whether Ticketmaster’s sale of the Oasis tickets may have breached consumer protection law, including scrutinising whether:

• Ticketmaster has engaged in unfair commercial practices 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 dynamic pricing; and
• People were put under pressure to buy tickets within a short period of time.

Fans are being invited to submit evidence of their experience attempting to purchase Oasis tickets. 

Shifting sands for the CMA

Based on its press release, the CMA seems to be examining the ticketing disaster from a consumer protection perspective. The CMA’s Chief Executive Sarah Cardell has commented: “it’s important that fans are treated fairly when they buy tickets, which is why we’ve launched this investigation”. The CMA’s focus on the consumer protection angle may be well timed as it is due to soon have stronger consumer protection enforcement powers. Once the Digital Markets, Competition and Consumers Act 2024 (DMCC Act) comes into effect, the CMA will be able to investigate suspected infringements, issue enforcement notices and fine firms that break consumer law up to 10% of their global turnover. 

However, if the CMA’s initial investigation suggests sector-wide issues, the CMA may choose to launch a market study into the ticketing market. ‘Primary’ tickets are those sold for the first time with the original price determined by the artist or event organiser, while ‘secondary’ tickets being resold after their original sale (sometimes for a higher price many times’ their face value). This has occurred in relation to the Oasis reunion gigs, with tickets reportedly being relisted at over £5,000 on Viagogo. 

The CMA has previously indicated that it has concerns over the market for secondary tickets, e.g. price inflation via bulk bought tickets and use of speculative selling (whereby resellers list tickets which they do not have). The CMA has made clear that problems in the secondary tickets market cannot be resolved using the CMA’s existing toolkit, and in 2021 recommended legislative and regulatory changes in this area. The previous government ruled out introducing such new regulations, but the CMA may hope to persuade the Starmer government of its proposals. Before the 2024 general election, Sir Keir Starmer signalled Labour’s willingness to regulate ticket resale platforms by capping resale prices, restricting the number of tickets individual resellers can list and bolstering the CMA’s enforcement powers. 

Half the world away: regulators abroad are also scrutinising dynamic pricing 

The CMA is not the only regulator probing the use of dynamic pricing for live events. 

The European Commission is also reportedly reviewing Ticketmaster’s use of dynamic pricing. The Commission has confirmed that it is examining the practice as part of its “fitness check” of EU consumer laws, with a review expected over the coming months. 

Looking to the USA, the Justice Department filed a civil antitrust lawsuit against Live Nation Entertainment Inc and its subsidiary Ticketmaster LLC in May 2024. As summarised by the Attorney General, the lawsuit alleges that Live Nation “relies on unlawful, anticompetitive conduct to exercise its monopolistic control over the live events industry in the United States at the cost of fans, artists, smaller promoters, and venue operators”. 

Live events ticketing is not the only sector impacted by dynamic pricing. This technique is used by many companies, including airlines, hotels, ride-sharing services and e-commerce platforms. We may therefore see regulators scrutinise other industries taking advantage of dynamic pricing to boost profits.