Wynn Resorts shakes fist at Garth Brooks scalpers
What is called scalping elsewhere is called being a ticket broker here. It was not legal where I grew up but it is to the best of my knowledge totally legal here in Vegas. I have known one person who made money doing it on a professional level on EBay. It was like a stock market thing to him. He bought on shows he hoped would increase in value. On some concerts he lost money, just like a promoter, when the demand wasn't what he expected.
Now, imagine a guy like that when someone offers a stock at a special low price, hoping only regular customers will show up to buy it. He wins. He is set up already to be first in line, using computer programs, automated dialing machines and multiple credit cards. He has many assistants and competitors. Whatever odd rules are set up for the intended customers, he professionally circumnavigates with ease.
Garth Brooks tickets were a sure thing, with a flat-fee ticket at Wynn of $125 in a small venue (1,500 seats). It was such a sure sellout that I clamped my mouth shut when other commentators suggested it might not be so. I was even pleased when Perez Hilton, in our interview, hinted his fans might balk at the price. I thought, maybe.... Anyway, I intentionally did not blog about the Brooks show until after tickets went on sale to give his fans a chance, just a chance, to get them. Well, they didn't need me to tip them off or Perez Hilton to throw them off. The Wynn website received record traffic, and ticket brokers got hold of many of those tickets. Here they are now selling them for $800 on this site plus a hefty service charge. On EBay, according to journalist and blogger Steve Friess, there are 100 offerings.What is interesting is that Wynn Resorts seems totally caught off-guard that the predictable happened when you substantially under-price tickets in Vegas. I have some sympathy for Wynn's problem. The pricing, I understand, was Brooks' bright idea. But there has yet to be a successful solution to ticket brokers that does not come before the tickets are sold -- i.e. the wristband stuff some bands tried a few years back. And even that was usually only a lesser failure. If Brooks wants to charge what people will pay, and give the difference to charity, great. But there is no way to stop a legal business from doing business in Vegas. And these people earn their living beating fans to Web offerings, ticket lines or any other approach yet devised by the industry. Some states have made this behavior illegal, but Nevada has not. And so these professional middlemen thrive here.
Yet Wynn Resorts still dissents. Jennifer Dunne, a spokeswoman for Wynn and a very reasonable person, tells Norm Clarke in the Review-Journal today:
"We have a number of people mobilized to take the necessary steps to see that the scalper tickets are canceled. We won't stop until we succeed."
I have a call into Metro to confirm the legality of ticket brokers and I have put a call into Wynn to get its response on how it intends to regulate this legal activity. So, far I have not heard back.
This is all very interesting given that Steve Wynn of late has been so strongly opinionated on the subject of capitalism and the economy. As for the interaction of capitalism and radically underpriced Las Vegas tickets, I totally knew what would happen when those tickets went on sale; my only surprise is that Wynn Resorts is acting like it discovered there's gambling in Casablanca. I am interested in any plan it has to do something about it. But honestly, there really doesn't seem anything that Wynn can do differently than price the tickets at value when selling them the first time. Otherwise, in Las Vegas, there will always be someone to step in to sell at the difference.
Photo: Sarah Gerke