Stop Paying Percentages To Sell Ticket Online – Pay A FLAT RATE Instead!
Ticket sales are by far the biggest source of revenue for B2B conferences and events. A recent global study revealed that ticket proceeds make up more than 65% of the total revenue generated by 46% events (with things like sponsor revenues and food & beverage sales contributing <20% of the total proceeds). As such, it is only natural that the biggest priority for any professional event organiser would be connecting with new attendees and making event tickets available to them. The demand for event management platforms where hosts can sell tickets online is, hence, escalating.
There is a disturbing bump along this road, however. Most event management portals charge a per-ticket percentage fee (for instance, 3% per ticket), particularly for business events and conferences. If a conference is, say, happening at Chicago, it’s tickets are priced at $150, and 500 tickets are being sold – let us look at the impact of a 3% ticketing fee. The gross revenue is $150 x 500 = $75000, but the organiser’s earning is only $70425 – and the remainder is taken up as ticketing fees and payment gateway fees (for most cases, Stripe). Now, it’s impossible to bypass the payment gateway fees – but is there a way to stop paying percentages on online event ticket sales (and increase ROI)?
Eventify brings to you a FLAT rate pricing model that helps event organisers make more and save more. Ours is a 360° B2B event management platform with fully customised event app builder and event website builder, and it serves as an efficient and cost-effective event ticketing platform. For selling tickets online with Eventify, you need to pay only $1 per ticket (instead of having to cough up XX% per ticket). At the end of the day, an organiser wishes to make money from an event – and we understand that.
Let’s just quickly take an example to make the advantage of Eventify’s flat-rate ticketing fees clearer. Let the total number of tickets be, once again, 500 – and the ticket price be $150. So, the gross proceeds are $75000. Let us assume that Stripe is being used as the payment gateway. The payment gateway fees will be ($0.28 + 2.9%) around $2323. Now, let us consider that the organiser has the option of using Platform A (which charges a 3% per ticket fee) or Eventify (which charges a flat $1 per ticket).
On Platform A, the total ticketing fee that the organiser has to pay 0.03 x $75000 = $2250. Add the $2323 Stripe payment fees to it – and the total fees become $2250 + $2323 = $4573. As a result, at the end of the event, the organiser earns $75000 – $4573 = $70427.
Now, let’s check how Eventify does in comparison. The Stripe payments would, of course, remain the same – $2323. But – and this is what we want to highlight – the ticketing fee would be $1 (flat) x 500 (number of tickets) = $500. The total fees payable becomes $2323 + $500 = $2823. Hence, the total organiser earning is $75000 – $2823 = $72177. That’s almost 2.5% more than the earnings from Platform A.
This comparison was for a relatively small sample event (500 tickets only). If your conference has more visitors, you stand to gain more from Eventify’s $1/ticket flat-rate fees – than from any other event management platform that charges percentages. Unlike most other digital event platforms, Eventify does not engage in ‘price gouging’ – and is, instead, focused on maximising the ROI of event organisers.
Apart from higher savings and greater earnings, our flat-rate event ticketing fee structure has other advantages too. For starters, it allows organisers frame better, more well-rounded business revenue models for their events. The total fees payable can be more accurately projected – and when that is deducted from the gross revenues, accurate estimates of the net revenue, or the organiser’s earning, is obtained.
On the other hand, there is always an air of uncertainty when a per-ticket percentage fee structure is followed. The percentage is calculated on the gross revenues – which, in turn, depends on the number of tickets sold. As a result, if the actual online ticket sales are somewhat more or less than your expectations, there are significant fluctuations in the net revenue figure. Eventify is not interested in the number of tickets you manage to sell and what your gross revenue figure is. Pay us $1 for every ticket you list on our platform, sell as many tickets as you want, and make your event a success.
Note: There are no limits to the total number of event tickets that can be listed on Eventify. Organisers have the option to set the minimum and the maximum number of tickets anyone can buy online.
Eventify, with its flat-rate ticketing model, also delivers greater transparency. The $1/ticket model is equivalent to an upfront pricing structure – where an event planner can calculate the total fees payable from beforehand. This has knock-on beneficial effects on event promotions as well – since organisers can consistently mention the flat-rate pricing structure (and its benefits) in its marketing communications. The ‘no price gouging’ is a vital factor – and it can be used by organisers as an important value proposition statement.
Now, let’s just say an organiser uses a percentage-based event ticketing platform, and inflates the individual ticket prices – so that the effective burden of the fees is passed on to the attendees. Good idea? Absolutely not! No one in the world likes to pay ‘more’ money – and particularly not these additional fees. The only thing that’s going to happen if ticket rates are inflated is that sales will drop off, footfall will be lower, and you will be back to counting your losses. The situation is a lot similar to cart-abandonment on an e-commerce website – you know you have got a customer hooked, but somehow, that sale does not take place.
Let’s quickly recap all the advantages that you get by switching over from a percentage-based ticketing fee to Eventify’s flat-rate model:
- Nominal per-ticket fee ($1).
- Greater earnings and savings (read: higher ROI).
- More certainty (with upfront payments).
- USP for event marketing and promotions.
- Unlimited ticketing.
- Cap on total fees charged (for large events).
It’s high time you moved out of a platform that’s charging you a hefty percentage-based ticketing fee – and started paying a flat rate for event ticketing. Why would you be stuck paying unnecessarily higher fees – if a platform with lower fees and better functionalities was right here?
Stop paying percentages to sell event tickets online. Eventify’s flat rate model is…not just DIFFERENT, but way BETTER.