Could B.C adopt an official ticket resale cap like Ontario passed in March this year?
One expert says that the policy could fall flat and even achieve the opposite of the desired outcome.
Thomas Davidoff, associate professor at UBC’s Sauder School of Business, warns that the change could push sales into unregulated markets.
“If you can not sell to the highest bidder legally, you will find a black-market way to do so,” Davidoff told 1130 NewsRadio in an interview.
“And once you are into black markets, there is less trust in the transaction, so there is less money for the seller, and of course, less protection for the buyer.”
He argues that while cracking down on ticket flipping may be politically popular, the Ontario law could cause original ticket prices to go up.
“What a sad thing it would be for a parent to splurge on a ticket for their daughter only for her to get turned away at the gate, and the poor little girl is bawling all the way home. It would all be in the name of this idea of banning a practice that really, it doesn’t have any harm to begin with,” Davidoff said.
He adds that resale marketplaces help tickets reach those willing to pay the most.
“As for reselling and scalping and making money by buying low and selling high, that I have no problem with. If it’s banned, I don’t think it’s a big deal, and I can understand why people would see it as a sort of ugly thing, but at the same time, tickets should wind up in the hands of the people who value them most.”
As part of Ontario’s budget bill, the government passed a law making it illegal to resell a ticket for more than the all‑in price originally paid.
Consequently, Ticketmaster Canada has delisted some resale tickets while StubHub says it complies but requested “more guidance on Ontario’s new regulations.”
The government says the changes are designed to curb the influence of professional resellers who use bots, bulk‑buying tactics and automated systems to scoop up tickets and relist them at steep markups — sometimes hundreds or thousands of dollars above face value.
The legislation arrives ahead of the World Cup’s kickoff in June. The soccer tournament will split hosting duties between Toronto, Vancouver and some U.S. and Mexican cities.
Tickets for World Cup games have been selling in recent weeks for thousands of dollars online.
In past years, resale tickets for popular events, such as the last World Series and Taylor Swift’s Eras tour, were being sold for hundreds above face value, attracting criticism from fans.
– With files from Raynaldo Suarez.
Could B.C adopt an official ticket resale cap like Ontario passed in March this year? Business, Local
Could B.C adopt an official ticket resale cap like Ontario passed in March this year?
One expert says that the policy could fall flat and even achieve the opposite of the desired outcome.
Thomas Davidoff, associate professor at UBC’s Sauder School of Business, warns that the change could push sales into unregulated markets.
“If you can not sell to the highest bidder legally, you will find a black-market way to do so,” Davidoff told 1130 NewsRadio in an interview.
“And once you are into black markets, there is less trust in the transaction, so there is less money for the seller, and of course, less protection for the buyer.”
He argues that while cracking down on ticket flipping may be politically popular, the Ontario law could cause original ticket prices to go up.
“What a sad thing it would be for a parent to splurge on a ticket for their daughter only for her to get turned away at the gate, and the poor little girl is bawling all the way home. It would all be in the name of this idea of banning a practice that really, it doesn’t have any harm to begin with,” Davidoff said.
He adds that resale marketplaces help tickets reach those willing to pay the most.
“As for reselling and scalping and making money by buying low and selling high, that I have no problem with. If it’s banned, I don’t think it’s a big deal, and I can understand why people would see it as a sort of ugly thing, but at the same time, tickets should wind up in the hands of the people who value them most.”
As part of Ontario’s budget bill, the government passed a law making it illegal to resell a ticket for more than the all‑in price originally paid.
Consequently, Ticketmaster Canada has delisted some resale tickets while StubHub says it complies but requested “more guidance on Ontario’s new regulations.”
The government says the changes are designed to curb the influence of professional resellers who use bots, bulk‑buying tactics and automated systems to scoop up tickets and relist them at steep markups — sometimes hundreds or thousands of dollars above face value.
The legislation arrives ahead of the World Cup’s kickoff in June. The soccer tournament will split hosting duties between Toronto, Vancouver and some U.S. and Mexican cities.
Tickets for World Cup games have been selling in recent weeks for thousands of dollars online.
In past years, resale tickets for popular events, such as the last World Series and Taylor Swift’s Eras tour, were being sold for hundreds above face value, attracting criticism from fans.
– With files from Raynaldo Suarez.