Web3 Is the Perfect Antidote to Today’s Ticketing Monopoly. Here’s Why

As things stand today, the global ticketing industry is fraught with a wide range of problems, with the biggest one probably being the oligopolistic control that a few players like Ticketmaster have over the market. That said, things have been so bad since the 90s that a number of high-profile artists have gone head-to-head against the company in an effort to even the playing field.

For example, during the summer of 1994, grunge pioneers Pearl Jam canceled their entire tour (in support of their album Vs), citing Ticketmaster's monopolistic tendencies as well as their use of highly skewed ticket distribution practices, which included locking artists into unfair long-term contracts. Moreover, as part of their comprehensive lawsuit against the multinational company, the band noted that Ticketmaster unjustifiably leveraged its market dominance to collect "sky-high service fees" and other peripheral surcharges.

Despite losing the case, Pearl Jam's sentiment has since been repeatedly echoed by many other top artists, including Aerosmith, The Grateful Dead, Garth Brooks, R.E.M., Neil Young, Taylor Swift, Tyler Childers, all of whom have spoken out against the unfair, opaque monetary practices followed by the ticketing giant.

Ticketmaster's monopoly explained and what's wrong with it?

Since its inception back in the late 70s, Ticketmaster has forged a number of partnerships with promoters and concert venues globally. As part of their deals, the clients are typically offered heavy incentives such as service charge kickbacks and cash advances, leading to smaller, local players being weeded out of the fray. However, in 2010, Ticketmaster merged with the other most prominent player in this space — Live Nation — to create a conglomerate called Live Nation Entertainment (LNE) capable of covering the entire music supply chain, from artist management to concert promotion, venue management, and ticketing. 

The move has been seen as disastrous by many since it basically means that most of today's popular concert venues and artists are now obligated to sell their tickets on TicketMaster because if they don't, LNE can potentially use its promotional power to stop them from getting bookings.

In addition to this, Ticketmaster is known to have indulged in several shady practices that have led to its loss in mainstream appeal. For example, reports suggest that the company has exacerbated the problem of scalping by allegedly deploying its very own bots to lap up tickets — only to inflate their prices later and sell them via secondary markets. Not only that, there are also several reports suggesting that Ticketmaster has worked in cahoots with ticket scalpers in the past.

Web3 to the rescue

With the advent of blockchain technology and the rise of Web3-enabled systems, there have been several solutions that have emerged and sought to allay the aforementioned problems. For example, UTIX is an offering that comes replete with an innovative online e-ticketing system that is transparent and efficient in nature. 

To elaborate, UTIX offers a user-friendly interface that can be accessed via iOS as well as Android devices. Moreover, the project offers an intuitive API module that can be integrated into existing ticketing platforms and websites. The difference, however, lies in the fact that every transaction is recorded on an immutable ledger, providing stakeholders with a high degree of transparency — especially when it comes to any service charges or taxes being levied.

UTIX also empowers event organizers (EOs) by giving them unprecedented control over the ticketing process. From setting secondary market prices to allowing for seamless venue entry, the platform makes ticket scalping nearly impossible. 

Lastly, it bears mentioning that UTIX has garnered major interest from prominent event organizers across the US, UK, and Australia and has filed with the MFSA to become one of only three Virtual Financial Assets (VFA) in the world. The platform's alignment with regulatory standards, coupled with its innovative approach to this market, positions it as a leading force in the global ticketing industry.

Looking ahead

As diverse industries, including ticketing, continue to harness the power of decentralized technologies, it will be interesting to see how this market evolves and grows. And with platforms like UTIX spearheading the aforementioned transformation — UTIX has already raised approx. $4 million from investors and built a proof of concept with real event organizers — it will be interesting to see how the future of the events industry shapes out.