Dynamic pricing is a sophisticated pricing strategy in which the price is reviewed and fine-tuned several times a day depending on the relationship between supply and demand. Accordingly, dynamically formed prices can change frequently and reflect much better the current market value of a given product or service. Dynamic pricing is now used successfully in many areas around the world - not only by airlines, but also by several major foreign movie chains, the German Herta BSC football club, the Wizards playing in the NBA, Broadway in New York, the Metropolitan Opera, Airbnb and has become an everyday practice for both Uber and retail.
Dynamic pricing results in prices that are in line with current market values, so our customers have to pay exactly what the selected tickets are actually worth at that moment. Additional benefits may differ depending on the attendance and demand of the performance:
Our customers will be able to exchange tickets for less popular performances cheaper (also) than before. In addition to the amount saved, the audience experience can also increase as an additional benefit: price-reduced performances attract a larger audience, and actors, musicians and other performers also prefer to play in front of more spectators.
Some or all of the tickets for high-traffic pieces that have become full in moments in addition to previous pricing may become more expensive. As a result of possible price increases, access to these pieces will no longer depend on luck or proper relationships, but on how much those interested can or are willing to pay for tickets. It is important, however, that after the initial high level of interest subsides, ticket prices will begin to fall, so that access to later performances will be available to everyone.
Many people are unable or unwilling to buy a ticket because they are not sure they will get it on the day of the performance 2-3 months in advance. Dynamic pricing, on the other hand, can maintain a ticket quota that is more expensive than the average ticket price, but is expected to be available to viewers until the last days.
In a screening of a Z-category film on Monday morning, the movie ticket for the outermost line of the very first row will cost just as much as the seat offering the best cinema experience at Saturday night’s premiere of the sequel to a blockbuster movie series awaited by tens of thousands of viewers. The above situation, which is probably familiar to many, is a consequence of the completely undifferentiated (excluding the product's own factors influencing demand) and at the same time static (not following the change in demand over time) pricing. However, we can face the disadvantages of pricing that ignores the supply-demand relationship not only in the most vivid examples of cinemas, but also in theaters, concerts and sporting events. These disadvantages include:
there is a huge competition for tickets to the most popular performances, they run out within a few minutes, so getting tickets for them is a matter of blind luck, possibly relationships, influence; tickets to the most upscale performances are built on the secondary market because of their apparent underpricing:
ticket gunners and ticket-buying robots try to get a significant portion of the tickets so they can then sell them at multiple prices on the secondary market. This practice is detrimental to all parties.
Consumers can only buy tickets uncomfortably, with security risk and at a high cost; or a significant part of the revenue does not reach the workers, the authors; performances that are less popular, leaving behind serious unused room capacity (for example, the average saturation of domestic cinema screenings is less than 30%) are loss-making, and the loss is passed on to customers in some form, such as pricing buffet products.
The price of the tickets will vary according to the current supply and demand ratio, ie on a market basis. Initial supply is usually fixed and given, but demand can vary depending on product characteristics (e.g., quality of a performance, time, seating position in the room) and external factors (e.g., weather, alternative programming, actor exchange). The combination of factors influencing demand plays a role in the price formed during dynamic pricing.
Tickets that have already been purchased cannot be redeemed or exchanged, in accordance with common practice everywhere.
As a result of dynamically pricing, ticket prices change over time, so tickets for the same performance can be exchanged at multiple prices. The average price of dynamically priced tickets is popularmay be cheaper and more expensive than previously statically priced tickets, depending on the level of supply (more precisely, the current relationship between supply and demand).
It is up to the organizer, but we will always draw your attention to this during the purchase process.
Purely dynamic pricing is designed to change the price of tickets both online and offline, but during the introduction it depends on the needs and technological capabilities of the particular partner. More information is available at the organizer of the specific film / piece / concert / performance, or on the ticket purchase interface.
The range is determined by the event organizer.
At less popular times, tickets are cheaper for even the busiest productions than at peak times. In addition, after the initial high level of interest subsides, ticket prices will start to fall, so access to later performances will be available to everyone, even during peak hours. Beyond all this, it is important that, with the exception of the most popular performances, average ticket prices will typically be lower than previous, static prices.
It depends on how the supply-demand relationship develops. You can always find information about the current ticket prices on the website of the organizer / ticket seller.
It is common practice for online shopping that the cart has a predefined expiration date, in our case it is 15 minutes. This is necessary so that the product does not get stuck in the shopping cart of customers who may forget to pay, but they are released after a certain period of time and can even be purchased by other interested parties. The price of tickets returned to the market after the expiration of the basket may differ from the ticket price that was in force when it was placed in the previous basket, depending on the current supply-demand relationship. Tickets can only be purchased at the current price.