Live Entertainment – Our Pricing Solutions

We help concerts and event organizers optimize their pricing to increase revenues and profits via demand prediction.

Challenges And Goals For the Live Entertainment Industry

The Live Entertainment business is increasingly fighting with digital competition, but also needs to focus on improving profitability. We help our customers to drive admissions and revenue with analytics and pricing software solutions.

Challenges for the Live Entertainment Industry

Hard to predict the demand for an event

Dozens of factors influence the demand for live events, such as date and time, weather, etc. Predicting the expected demand is key.

Attracting most visitors while also make enough profit

Event organizers want to attract as many visitors as possible. Cheaper tickets attract more customers, but hinder revenue optimization goals.
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Difficulties to communicate price changes

A change of the current pricing model needs careful customer communication to avoid visitor alienation and bad press.
Possible revenue increase for dynamically priced shows

Pricing Goals for the Entertainment Industry

Drive Revenues

Utilize the willingness to pay for event visitors to increase overall revenue. Create product bundels that customers can choose from.
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Individualize events for everyone

A good price mix offers the right ticket categories for all visitors and increase satisfation when everyone finds their preferred offer.

Incentivize online sales

Increase online sales through special discounts to collect more customer behavior information and get better planing security while saving money.

How We Can Help You Achieve Your Goals

To achieve the strategic goals of our clients we usually follow three steps:

1

Understand status quo

  • Analysis of visitor structure and current price strategy (ticket types, seasons, etc.)
  • Defining the strategic goals for a new pricing model
  • Discover the main drivers for demand and attendance (weather, holidays, etc.)

2

Analysis of historical & current ticketing data

  • Analyze the share of pre-sold tickets throughout the season
  • Develop and test interfaces to ensure ease of use for online and box-office customers
  • Share best practices for online and offline price communication

3

Real-time pricing software for daily optimization

  • Demand forecast based on prediction tool with machine learning algorithms
  • Daily price optimization for tickets based on our software
  • Connection of our softare with your ticketing system for seamless operation

Typical Results For The Live Entertainment Industry

+5% - 10%

Increase in attendance

+5% - 15%

Increase in overall revenue

+5 - 10%

Increase in share of online sales

What Our Clients Say

”Smart Pricer developed a model that allows us to determine the willingness to pay for individual customer segments. By tailoring our prices accordingly, we increased our revenue by more than 20%.” Robert Koch

General Manager, Classictic

FAQ – Answers to Your Questions

Why is dynamic pricing suitable for entertainment providers?
The combination of fixed capacity and variable demand creates the perfect conditions for dynamic pricing. As price sensitivity for each event fluctuates depending on performer, date of the event, weather and several other factors, dynamic pricing can be used to increase attendance at low demand events/shows as well as slightly lift ticket prices for events/shows with high demand.
What specific goals can be reached with dynamic pricing?
Real-time dynamic pricing enables entertainment providers to achieve strategic goals such as:
-Drive ticket revenues
-Increase visitor attendance at low demand events/shows
-Lift online shares and collect customer data
-Secure earlier cash in by enticing earlier bookings
What are the benefits of dynamic pricing for spectators ?
By booking early and/or attending low demand events/shows, spectators are rewarded with more attractive prices.
How to communicate dynamic pricing in the entertainment industry?
-Communication is key for a successful introduction of dynamic pricing. It is crucial to get spectators on board by communicating clearly and transparently what the dynamic pricing switch involves and how it can benefit spectators
-We propose to communicate how fans can get the best prices e.g. “Buy early buy smart”.
-We also encourage advertising using “from prices” or taking down the price lists from the website to maximize flexibility
-We help you with both online and offline communication with fans based on our world-wide experience
What are the expenses for event providers implementing dynamic pricing?
The costs vary based on the amount of dynamically priced tickets. However, revenue uplifts achieved with dynamic pricing are typically 5x – 10x higher than the cost of implementation.
Will our prices increase as a result of dynamic pricing?
The choice is yours. Dynamic pricing works “up” and “down”
We recommend a dynamization around the current price level: for events with high demand an increase in prices to skim willingness to pay and for events with low demand a decrease in prices prices to stimulate demand.

Our Case Study

Discover how we introduce dynamic pricing with our clients.

Classictic Case Study

In this case study we explain the approach used by us to determine Classictic customer’s willingness to pay by using A/B testing.

  • 100k€ increased revenue for tested venues
  • 200k€ total annual revenue increase potential

The case study shows the used approach in details and presents the final recommendations for Classictic based on the A/B testing results.

Upcoming Conferences And Events

Find us and come say hello at these industry events, fairs, and conferences:

ITB

March 06-10, 2019
Berlin, Germany

As the leading trade fair for the global travel industry, ITB Berlin is the leading business platform for global tourism.

Event website

360° entertainment

April 02-03, 2019
Interlaken, Switzerland

360 ° ENTERTAINMENT is aimed at the who’s who of the entertainment industry. The congress brings together sponsors, organizers, media, venue operators and service providers of all kinds.

Event website

the great escape

May 09-10, 2019
Brighton, UK

The Great Escape is the festival for new music, showcasing 500 emerging artists from all over the world in 30+ walkable venues across the city plus a festival site on Brighton Beach.

Event website

VdZ Summit

June 19-22, 2019
Rostock, Germany

How Can We Help You?

Let's talk about how we can achieve your goals.

Leave us a message to schedule a first free consultation about your needs and goals. We are happy to hear from you. Just give us a call, send us an email, or stop by at our office in the heart of Berlin.

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Mehringdamm 33
10961 Berlin
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