How to Pay Negative Fees (Make Money)
by Selling Your Tickets Using Ticketor

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Obviously, as any other service, selling tickets to your event involves some costs. There are 2 main sources of costs when it comes to ticketing:

1-      Ticketing website/service:

To issue, sell and validate your tickets, you need to have a ticketing website or service. People will use that service to reserve their tickets and make payments.

2-      Payment processing:

Any transaction with a credit card or bank accounts involves some payment processing fees. This fee is usually collected by the payment processor or services such as PayPal.

How much?

So the question is how much is the total cost?

The total cost really varies by the service provider. Some service providers and ticketing websites, charge 25% to 40% of the ticket price. Some others charge 15% to 20%.

This charge is basically to cover the transaction fee, building and maintaining ticketing service and website and to pay the staff that create and upload your events and tickets.

Who Pays The Fees?  

The fees should be paid either by you (the event organizer), the buyer or be divided between organizer and buyer.

Usually the ticketing service decides who to charge. Some services charge the organizer. Some other services advertise that it is free FOR YOU to sell tickets and charge the buyer. Some services charge both you and the buyer.

You usually don’t have the option to decide. A few services allow you to decide whether you or the buyer is going to pay.

Be Aware of Zero Fees:

 When shopping around for a good ticketing service, you usually compare the fees. Don’t get fooled by the services that promote “Zero fee to you”. Yes! With a small or hidden “To You”!

They usually charge your customer a huge fee in terms of “Service fees”, “Convenient Fees”, “Shipping Fees” …

High fees, directly affects your sale and success of your event. Make sure to always ask for the “Final Buyer Price”! You may be surprised by what you hear. Remember that the buyer should pay that amount, not the one you decide as the ticket face price.

Event organizer usually decide on the ticket prices, based on supply and demand rules. If you are promoting a very high demand show or concert, you will set your ticket price to higher values. But how high? You don’t want to set it too high to lose a lot of customers and end up with a lot of unsold tickets. The optimal value is the one that maximizes your sales and revenue.

Now imagine that you come up with a magical face price of $50 and you find a ticketing service that does not charge you or charge you so little. Some services will charge your buyer an additional $11 to $25 on a $50 ticket! Meaning that the tickets will cost much more that what you actually expected.

How to pay negative fees (make money) from ticketing?

Ticketor believes that such high charges are unfair and unnecessary.  It totally doesn’t make sense to spend 20% to 35% of total sales amount for a great event on ticketing while everything else including artists, venues, production team, technical team, investors and advertising costs totals only to the remaining 65% to 80%!

1-     Reduce cost:

That is why we are using innovative techniques to lower our rates dramatically. We have built tools to give you full control over your event, so you can easily create your event, add/update tickets, get real-time reports and as a result save a lot of money.    

Our rate is as low as 2.5%. We claim to offer the best rate in the industry. We also allow you to use your own payment processer (merchant account, PayPal, …). It allows you to directly pay for the payment processing fees and avoid any overhead. Moreover, another great advantage is that you get the sales money directly in your account as tickets sell, meaning several weeks before the event as oppose to other services that pay you after the event. It will be a big help in paying the event costs.

An average payment processing method charges around 3% however yours may charge a little bit less or more.

Considering that, your total cost of ticketing will be around 2.5% + 3% = 5.5% which is far less than any other ticketing service.

The truth is that most buyers are used to pay at least 10% to 15% in service charges which is far higher than your cost.

2-     Give you full control over charges:

Ticketor gives you full control over charges (service fees, delivery charges, etc.). It means that the same way that you determine your ticket price, you determine and collect the service fees. Let’s say you decide certain type of ticket to be $50. You have to also decide how much service fee is charged for this ticket type. You can choose $0 in service charge which means you are going to cover all the ticketing fees. You can choose around 5%, meaning that you are transferring the ticketing fees to the buyer. Or you can choose 10%, 15%, 20% or more so the buyer not only covers the fees, but also pays you extra. If you choose 15%, you are earning an extra 10% ($5.00) per ticket!

So let’s get to some math:

Example 1:

Ticket face price $50

Number of tickets to be sold: 1000

Ticketing cost per ticket using Ticketor (assuming 5.5%):  $2.75

Service charge per ticket (assuming 15%):  $7.50

Your extra earning per ticket: $7.50 - $2.75 = $4.75

Your total earning on ticketing: 1000* $4.75 = $4,750 (Extra revenue from ticketing)

 

Example 2:

Ticket face price $10

Number of tickets to be sold: 2000

Ticketing cost per ticket using Ticketor (assuming 5.5%):  $0.55

Service charge per ticket (assuming 20%):  $2.00

Your extra earning per ticket: $2.00 - $0.55 = $1.45

Your total earning on ticketing: 2000* $1.45 = $2,900 (Extra revenue from ticketing)

 

Need some help calculating for your event?

Use the cost calculator on https://www.Ticketor.com/Account/Prices to calculate your exact cost.

 

Please visit www.Ticketor.com or email us at Sales@Ticketor.com for more information or assistant.