Tradition vs. Trend: A Case Study of Team Response to the Secondary Ticket Market, pp. 235-240

Joris Drayer
David K. Stotlar
Richard L. Irwin

The secondary ticket market includes all ticket transactions where the seller is reselling previously purchased tickets and is not officially affiliated with the league or team associated with the event (Happel & Jennings, 2002). The secondary ticket market, which has grown to a $10-15 billion industry, presents challenges as well as new opportunities for team, event, and league management alike (De Atley, 2004; Fisher, 2005; Lacy, 2005; Stecklow, 2006). For instance, fraud has traditionally been one of the major flaws of the secondary ticket market with the image of “scalpers” selling counterfeit tickets in the minds of many consumers. While this issue impacts secondary market credibility, it also directly affects team and league operations that ultimately have to handle these fraudulent tickets. As a means of combating the availability of fraudulent tickets, Happel and Jennings recommended that primary ticket distributors create non-transferable ticket instruments so that tickets cannot change hands without proper authorization. The 2006 World Cup was among the first events to implement such an instrument as each ticket included the name and passport number of the original ticket purchaser of the along with a small computer chip that links buyer and ticket (“Free- Market Fleecing,” 2006).