This NY Post article says that Tickets sales for the Reputation tour are “disappointing” because not one concert date has been “sold out”, and also because prices are much higher than previous tours. The NY Post has it all wrong.
Those sell-outs and lower prices have largely been an illusion. The buyers in those immediate sell-outs are often not the fans that will be sitting in the seats. Many of the initial ticket sales go to brokers for resale. Broker tickets won’t be sold to an actual attendee until later, maybe even just before the show. And, that attendee will pay a significant markup over the face value. So if you look at ticket sales from the perspective of the actual concertgoer, these shows didn’t really sell out immediately. And the prices paid to a broker are always higher than face value. Recently ticket buying bots have taken over, making it even harder for consumers to compete with brokers when it comes to buying face-value tickets. Team Taylor Swift has found a way take out the middle man, by essentially scalping their own tickets.
So, what does that involve? Mainly charging more realistic prices up front. The main reason brokers can make money is that tickets are usually priced far below what fans are willing to pay. This is especially true when people decide to attend a concert after the concert sells out. By charging higher prices up front they reduce the profit available to the broker and therefore reduce the incentive to buy and resell tickets.
Raising the prices also slows down the ticket sales, making face value tickets available for a much longer period. When a concert doesn’t sell out, the broker’s markup is further limited. So the fact that these concerts are not selling out as quickly is by design. If the pricing is done perfectly a concert will sell the last seats right at showtime. Even if they have a few tickets left over, the fact that they are capturing a large share of the resale profit means the artist is making more money overall. This Rolling Stone article gives a great explanation.
So, while some fans are upset and complaining about the new pricing model, they should be happy that the money is going to the artist rather than a middleman.