Fanprice.com, a new website where buyers and sellers set asking prices and bids for tickets, is hoping that it fresh new approach will help...

Fanprice.com, a new website where buyers and sellers set asking prices and bids for tickets, is hoping that it fresh new approach will help fans better navigate the often choppy waters of the secondary ticket market.
The idea behind the business is simple. Say a buyer only wants to spend $100 to go to an event, but no sellers have tickets for less than $150. As the event draws near, sellers sometimes lower their prices, and buyers raise their bids, and Fanprice.com allows the two to meet somewhere in the middle. A few clicks later, the seller has made a sale, because the buyer’s credit card information has already been entered into the Fanprice.com system. There is no waiting for payment from the buyer, which could help make the site attractive to sellers.

Representatives from Fanprice.com will be among the featured speakers at Ticket Summit, the largest conference and trade show for secondary ticket sellers, scheduled for July 23-25 at the Venetian Resort Hotel Casino in Las Vegas.

Buyers may also like the site because it offers detailed venue maps, and allows buyers to set the price they are willing to pay for seats in each section. Thus, fans can easily spell out what specific seats are worth to them.

The site’s operations are expected to ramp up in the coming weeks, according to Scott Daniel, head of sales and marketing. Ticket brokers will soon be able to upload data listing their ticket inventories for specific events.

An intriguing aspect of Fanprice.com’s model, which only charges shipping fees but not convenience fees, is that eventually, with enough buyers and sellers in the market, ticket equilibrium prices will be determined. This data would provide information on the fair price of tickets to both buyers and sellers, which would likely influence future pricing in the secondary and perhaps even primary ticket markets.

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Cheap tickets with no service fees at TicketClub.com

By Brian Thompson

  • Anonymous

    July 28, 2008 #1 Author

    I’m a full time broker and became more familiar with Fan Price at the Ticket Summit this weekend and think that it is a great idea.

    Saying that this will put brokers out of business is like saying that Priceline would put hotels out of business.

    If a buyer makes an lowball offer on your tickets decline the offer and move on. If they make an acceptable offer, accept it as a win-win.

    We all have distressed inventory and if this is another way to move inventory then I’m all for it.

    The question is will it catch on. I can’t answer that question, but I still think it is a good idea and you have to question why certain brokers would be so opposed to it.

  • Anonymous

    February 12, 2008 #2 Author

    Fanprice.com will not work. Why would brokers (the ones that tolds the inventory) let fan set the price? Broker set the price. All this is going to be is another Ebayer tool for part-timers (Brokers). This will never work.

  • Scott D

    February 12, 2008 #3 Author

    Hi:

    I just wanted to take a moment and reply to your comment and explain the concept of the site and how it works for all parties.

    Keep in mind when brokers purchase tickets, they have invested in a rapidly expiring commodity. Many brokers may be willing to sell at lower than their initial asking price, just to guarantee profit or hedge against a larger order. Also consider that pricing in the secondary market is an inexact science and a ticket is only worth what a fan is willing to pay for it.

    Second, brokers have full control over whether they wish to sell or not. In short, no more dropped orders. Brokers have the ability to check their inventory prior to accepting an offer, unlike on other systems where they often run into double sales and are penalized because of it.

    So far we have had a wonderful response from brokers and fans and we hope this continues. We want brokers to see us as just another tool they can use to continue providing a valuable service in the ticket industry.

    Thanks again for your comment.

    Scott @ Fanprice

  • Scott @ Fanprice

    February 12, 2008 #4 Author

    Hi:

    I just wanted to take a moment and reply to your comment and explain the concept of the site and how it works for all parties.

    Keep in mind when brokers purchase tickets, they have invested in a rapidly expiring commodity. Many brokers may be willing to sell at lower than their initial asking price, just to guarantee profit or hedge against a larger order. Also consider that pricing in the secondary market is an inexact science and a ticket is only worth what a fan is willing to pay for it.

    Second, brokers have full control over whether they wish to sell or not. In short, no more dropped orders. Brokers have the ability to check their inventory prior to accepting an offer, unlike on other systems where they often run into double sales and are penalized because of it.

    So far we have had a wonderful response from brokers and fans and we hope this continues. We want brokers to see us as just another tool they can use to continue providing a valuable service in the ticket industry.

    Thanks again for your comment.

    Scott @ Fanprice

  • Larry

    February 12, 2008 #5 Author

    I can’t find any offers at all on Fan Price. Are there any there yet?

  • Anonymous

    February 12, 2008 #6 Author

    Scott, I understand what you are saying. I have been a broker for 8 years. So, I know the business. The problem is that your website is going to create a problem for brokers. Fan will go to your website and put a price on what they want to pay and as the game or concert date comes closer there offer will go down because your side will show the price average per ticket. As you may or may not know about the secondary ticket market over couple of years, magins have come down because of the amount of part-time brokers that are entering the business. Site like this, where the fans contral the price of a ticket will not work in the long run. All is going to do is run the margins even lower. This had happen to the car business 10 years ago. Websites starting poping up all over the internet showing what a customer should pay for a car or truck. The margins started to go down and the auto workers started to lose jobs.

    The secondary ticket market (no matter what people say) is not doing great at all right now because of the new laws that the Hannah deal has caused, and all of the new brokers getting in the business and giving away thier seats (basically) as the event get closer which in turn is killing the secondary market. This type of website in general terms in a good idea but overall it will not work with brokers in the long run. Great fans the tools and ability to set pricing will kill the secondary market.

    I don’t know what brokers you are talking about ” So far we have had a wonderful response from brokers” but the ones (the ones that are full-time and has the good inventory) we talked to today over the phone don’t think it is a good idea for brokers.

    Scott, I have no problem with you or your company and I hope that this idea will work and that your website will be the next StubHub. But the reality is, it just going to hurt the brokers in the end. Good Luck!

  • Anonymous

    February 12, 2008 #7 Author

    My comment on the comments. Fanprice.com has a good idea for the fans but not for the brokers. After reading Fanprice.com “About us” section on the there website, who are the hundreds of brokers that are willing to sell there tickets at want prices fans want to pay?. A broker will go broke in this type of pricing. All you have to do is look at Ebay. If it was up the fans, they would pay $5.00 for a $100.00. Any Broker in there right mind will not go for this. Good luck on the website.

  • Anonymous

    February 13, 2008 #8 Author

    With how unstable things are now a days, you are def. about a good year late.

  • Anonymous

    February 13, 2008 #9 Author

    You don’t charge the customer until someone accepts the bid. A lot of people aren’t the sharpest knife in the drawer. How do you guarentee that someone who put in a bid, ignores it goes on e-bay buys tix, drains their account, and when you come to charge theres no money left in it? If I accept an order I DAMN well better get paid, even if their CC Declines.

  • Scott D

    February 13, 2008 #10 Author

    Thanks for your question.

    The way the process works, the buyer guarantees their offer by entering a credit card. When a broker confirms that they wish to accept an offer, we charge the buyer’s credit card. If the card is accepted (as about 98% are) we receive the broker’s e-tickets, generate a shipping label or set the order for a future ship date (depending upon what the broker chose). At that moment, the money is guaranteed to the broker, provided they send the tickets they promised.

    IF the card is declined, the fedex label is not generated and/or the e-tickets are not uploaded and the broker receives an immediate message that there was a problem with the transaction. Obviously, the broker is under no obligation for those tickets. Our representatives will contact the buyer to get a proper card and once confirmed, contact the broker… if the tickets are still available, the transaction goes through as before.

    We do not ever expect brokers to hold inventory aside for even a moment if the money is not guaranteed.

    Scott @ Fanprice

  • Leonard

    February 15, 2008 #11 Author

    Its seems amazing to me that this so called broker is so worried about this site succeeding. You would think that this would be a viable 2nd market for sellers. If you don’t want to sell your tickets for the posted price don’t! The choice is yours. But if you happen to see a buyer that is putting out a fair price then why not? When I first saw the site I thought what great concept! Something that would bring buyers & sellers together. But that is just an opinion from a fan (buyer).

  • eventsexpert

    March 4, 2008 #12 Author

    fanprice.com is exactly the same as ebay’s wantitnow – guess how many people used it? don’t think there are many.