What is Dynamic Pricing for Tickets?

Dynamic pricing (also called demand-based pricing) is a way of selling tickets where prices change with demand, so the same seat can cost more when many people are trying to buy and less when demand is low. It is widely used for airline seats and hotel rooms, and has become common for major concerts and sports events, where it is often controversial.

How dynamic pricing works

Dynamic pricing usually follows these steps:

  1. Set the range: the artist, promoter and ticketing company agree a starting price and how far prices can move.
  2. Go on sale: tickets are released at the on-sale, often with some at fixed prices.
  3. Watch demand: software tracks how fast tickets sell and how many people are queuing.
  4. Adjust prices: prices for some tickets rise when demand is high, or fall if sales are slow.
  5. Report: final prices and income are reported in the settlement.

Ticket pricing decisions sit alongside every other part of planning a show, which promoters manage with Crescat for events.

Dynamic pricing vs tiered pricing

Tiered pricing sells tickets in fixed price bands, such as early bird, then standard, then final release, announced in advance. Dynamic pricing changes prices in real time based on demand. Fans can plan around tiers more easily, which is why many prefer them.

Arguments for and against dynamic pricing

  • For: more of the ticket's market value goes to the artist and promoter rather than touts
  • For: prices can fall for slower-selling shows
  • Against: fans can face much higher prices than expected while queuing
  • Against: it can price out loyal fans on lower incomes
  • Against: it is hard for fans to know what a fair price is

Frequently asked questions

Is dynamic pricing legal in the UK?

Yes, but prices must be clear and not misleading. After the 2024 Oasis reunion ticket sale, the Competition and Markets Authority investigated, and in 2025 Ticketmaster agreed to give clearer pricing information, including advance notice of tiered pricing. The government has also gathered evidence on dynamic pricing.

Who decides to use dynamic pricing?

Usually the artist's team and the promoter, with the ticketing company. Some artists choose not to use it.

Can prices go down with dynamic pricing?

In theory, yes, if demand is low. In practice, it is most noticed when prices rise for high-demand shows.

Related terms