TicketNetwork has agreed to pay a whopping $825,000 penalty to settle concerns over misleading advertising practices in the fiercely competitive ticket resale market. The company has reached a landmark agreement with the Competition Bureau to address issues related to drip pricing and deceptive claims in the online resale of tickets for concerts, sports, theater, and entertainment events.
The Competition Bureau’s exhaustive investigation unearthed a series of questionable practices by TicketNetwork. The company was found guilty of advertising tickets at unattainable prices—a deceptive practice known as drip pricing. Additionally, TicketNetwork promoted tickets with discounts that turned out to be unobtainable, as the company slapped consumers with mandatory fees on top of advertised prices, hiking costs by more than 38% on average and, in some cases, a staggering 53%.
This isn’t the first time the Competition Bureau has cracked down on misleading advertising in the ticketing industry. Ticketmaster, StubHub, and TicketNetwork have collectively faced over $6 million in penalties since 2019. The actions against drip pricing aren’t limited to ticketing, with the car rental industry also facing close to $6 million in total penalties.
The Competition Bureau is encouraging anyone who suspects deceptive marketing claims to report them using their online form, as they continue to champion fair and transparent business practices for the benefit of Canadian consumers and businesses.