Consumer Authority to take action against websites that resell admission tickets

Following an investigation, the Consumer Authority has ascertained that many of the websites of companies that resell admission tickets for concerts and (sports) events are still failing to adhere satisfactorily to the regulations relating to the provision of information to consumers. The Consumer Authority is therefore going to take enforcement action where necessary, in order to ensure that providers who resell admission tickets state clearly that they are reselling tickets and what impact that may have upon the consumer.

Consumer complaints

The Consumer Authority initiated this investigation after receiving complaints from consumers at the ConsuWijzer information desk. Examples of such complaints include:

• When ordering tickets, consumers were unaware that they were conducting business with a reseller and were surprised that they had to pay a higher price than the one stated on the ticket
• If a concert does not go ahead, consumers are not refunded the full amount they have paid
• Consumers are complaining about a lack of clarity with regard to the grade of ticket and seat allocated, and that groups have not been seated together
• Consumers are complaining that admission to an event was refused when trying to use a resold ticket.

Approach taken by the Consumer Authority

Over the past few months, the Consumer Authority has written to all Dutch companies that resell admission tickets via their websites. The enforcement authority pointed out the shortcomings of each of the websites. The entrepreneur was given a deadline to ensure that the information provided on his/her website complied with the regulations. During a recent inspection, it was revealed that a large proportion of the websites had been amended, especially in relation to stating the correct price (i.e. the fact that postage costs are added later) and the identity of the provider. A number of websites had been taken offline by the entrepreneur him/herself.

The greatest problem, however, is that practically all websites are insufficiently clear about the fact that they are reselling tickets and about the potential risks that the buyer may run as a result of this. Bernadette van Buchem, Director of the Consumer Authority, explained: "Consumers must be able to make a well-considered decision about their purchase on the basis of correct and complete information. If resellers are insufficiently clear about important characteristics of the ticket, consumers may be negatively affected, and this has got to stop. We are therefore now going to take action against companies that have not amended their website or have only done so to an insufficient extent. The consumer must of course also pay careful attention to this."

The Consumer Authority may force companies that do not comply with the regulations to amend their behaviour and/or has the power to impose a fine upon companies up to a maximum of EUR 450,000 per violation by means of a periodic penalty payment. The Consumer Authority has designated unfair commercial practices online as a priority area for this year.