Live Nation CEO Michael Rapino Addresses Ticket Pricing Controversies and Scalping Challenges

In a recent conversation at the Bloomberg Screentime Conference, Live Nation CEO Michael Rapino tackled some of the live music industry's most pressing issues, from rising ticket prices to the relentless challenge of scalpers. The discussion shed light on the unique dynamics of music ticketing, the skyrocketing costs of live touring, and the delicate balance artists must maintain to keep their fans engaged and satisfied.

Rapino began by addressing the financial pressures behind major tours, likening today’s artists to “brand managers” who must balance the enormous costs of producing high-caliber shows while keeping fans happy. “They’re putting on a Super Bowl a week… 56 transport trucks… It’ll be a $10 million a week traveling cost… 300 people are hired,” he explained, referencing the costly production efforts behind stadium tours. Yet despite these expenses, he noted that artists remain cautious about ticket pricing, saying, “90% of what [artists] are going to make in life is coming from the road.” This reliance on touring revenue intensifies the challenge of setting prices that are both profitable and fan-friendly.

Ticket pricing, however, continues to be a point of contention. As high-demand concerts sell out quickly, resale tickets flood platforms like StubHub at sky-high prices, often alienating fans who feel priced out of the experience. Rapino highlighted this unique tension, comparing it to sports: “Somehow, it’s a badge of honor if you spend $7,000 for a Lakers ticket or the Super Bowl… but with music, Sally from the Valley believes she should see Olivia [Rodrigo] at $79.” This comparison underscores the emotional attachment that fans have to artists, which makes ticket prices an especially sensitive issue in music.

But unlike sports, where premium pricing is often accepted, artists and fans see music differently, adding another layer of complexity to pricing strategies. “The artist gets to look every day on StubHub and go, ‘Oh my God, some scalper’s making four grand a ticket and I’m paying all the cost,’” Rapino noted, emphasizing artists' frustration with inflated resale prices. For many artists, charging full market value isn’t an option, as they want to avoid appearing out of touch with their fanbase. This dilemma has only intensified as scalpers continue to exploit the system, a problem Rapino believes could be alleviated through stricter resale regulations.

In his remarks, Rapino was outspoken about the need for better U.S. regulations on ticket resales, comparing the situation unfavorably to European policies that are more effective at curbing scalpers. “If I had to change it, yes, I would love regulation on secondary [ticketing]… cap that at 20% so some people can make a little money,” he suggested. While recent government actions, such as the anti-bot law, were designed to improve the situation, he noted that bots continue to flood major ticket releases, buying up tickets before fans can. The recent Oasis tour sales were an example of this, with “multi billions of bots” hitting Live Nation’s system, highlighting the scale of the issue.

Rapino further emphasized how artists’ relationship with fans complicates this entire process. “You may be passionate about sports… but Sally from the Valley believes that she should see Olivia [Rodrigo] at $79 because… she broke up with her boyfriend to that music,” he explained, underscoring the unique emotional bond between fans and musicians. This connection creates more than just a market for live music; it forms a community that relies on accessible experiences.

Beyond pricing and scalping, Rapino also pointed to international growth as a significant opportunity. With expanding demand for live music in markets across Latin America, Asia, and Africa, where “the same grosses as Detroit” are being seen, he believes there’s room for artists to reach new audiences on a global scale. However, he acknowledged the infrastructure gaps in these regions, noting that many venues don’t yet meet the standards of established markets, although this may change as demand continues to grow.

As Live Nation expands into these emerging territories, Rapino’s vision remains clear: to adapt and meet the rising demand while preserving the unique, irreplaceable experience of live music—a dynamic that no amount of technology can replicate.