Last night Drake dropped “VIEWS,” his 4th studio album (excluding mix tapes). This morning tickets went on sale to support the album. Drake will hit the road with Future for the Summer Sixteen tour across the country. Within seconds of going on sale, only single seats remained, and within minutes the shows sold out. Minutes later, fans had a glimmer of hope as tickets started appearing on StubHub and on other secondary ticket sites. Fans then had to decide between seeing the show or paying more than 10 times the face value of the ticket.
It’s not just Drake either. It seems every major artist and tour deals with this. A quick browse of Beyoncé tickets in her hometown of Houston is going for as high as $10,000 a ticket. Adele fans dealt with the exact same thing in December. Her entire North American tour was sold out in seconds only to reappear for thousands of dollars more on Stub Hub.
Billboard reported Adele’s team had a strategy that was successful to stop scalpers during the presale for her European tour. Apparently that same strategy wasn’t used or didn’t work in the United States. We’re going to go out on a limb and say it’s probably more than the little captcha thing which only seems to trip up regular people, not bots.
As fans decide how much they’re willing to pay to see their favorite artist many are asking how it’s legal to sell tickets for so much. We did some research and found out it’s completely legal to sell tickets above face value. In fact, in 2007 Missouri repealed their scalping laws basically opening the door for StubHub to swoop right in and provide the distribution tool for legalized scalping. Texas also doesn’t have any state scalping laws. In fact, most states don’t. The industry now has lobbyists in DC to ensure that there are no attempts to regulate the industry. It’s estimated it’s a $5 billion dollar industry with more than 10% growth every year. Scalping Laws by State.
The bottom line is this. Folks can cry, shout, and complain but the secondary ticket market isn’t going anywhere. If we were all smart we’d figure out how to get in and make money ourselves. Until then, be prepared to pay if you want to go to a concert this summer.