(Hypeb0t) — The National Independent Venue Association (NIVA) has called on Yelp to stop sending users to an affiliated site selling fake tickets and tickets at inflated prices.
NIVA sent the letter to the review and recommendation platform after multiple attempts to reach Yelp to discuss the issue.
According to NIVA, Yelp has been misleading users by directing them to a Yelp-branded TicketNetwork site selling fake and overpriced tickets. “By partnering with TicketNetwork — a company known for anti-competitive and predatory practices — Yelp not only perpetuates these unethical practices but also undermines consumer trust and severely impacts independent venues by diverting sales from legitimate ticketing sources,” NIVA said in a statement.
A problem since 2016
Yelp partnered with TicketNetwork in 2016 to offer “a one-stop shop for high-demand entertainment tickets.” That partnership continued despite over a hundred 1-star reviews on Yelp, the platform’s lowest rating.
“It is fraud!,” wrote one Yelp user last month. “Be aware of this site who are scammers! They double the price for all the the events and refuse for refund. Stay away!!!!”
Concerns highlighted in NIVA’s letter include:
- Sale of non-existent or inaccurately listed tickets: “Many consumers have been sold tickets for events that either do not exist or have incorrect dates and times, leading to confusion and disappointment.”
- Lack of transparency in ticket details: “Tickets are often sold without specifying the section or seat, leaving consumers in the dark about what they are purchasing.”
- Sale of speculative or fake tickets: “Tickets sold through Yelp’s platform are often not in the possession of the reseller, with many being outright fraudulent.”
- Price gouging: “Tickets are regularly sold at 2-15 times the face value, even when tickets at face value are still available directly from the venue’s legitimate ticketing platform.”
“Yelp has a duty to the communities it serves, yet its platform is currently complicit in predatory ticket sales that exploit consumers and undermine independent venues,” said Stephen Parker, Executive Director of NIVA. “This is not just a matter of business ethics; it’s about protecting the cultural makeup of our communities. By partnering with a company like TicketNetwork, which has a long, documented history of legal troubles and unethical behavior, Yelp is facilitating a system that preys on consumers and undermines the integrity of the live entertainment industry.”
Yelp Responds
In response to NIVA’s letter, a Yelp spokesperson told Pollstar, “For 20 years, Yelp’s mission has been to connect people with great local businesses, including independent venues. We thank NIVA for bringing their concerns about TicketNetwork to our attention and have taken immediate steps to turn off that integration.”
However, as of Wednesday morning, many deceptive ticket links were still visible on Yelp.
Read the full NIVA letter to Yelp here.
Bruce Houghton is the Founder and Editor of Hypebot, a Senior Advisor at Bandsintown, President of the Skyline Artists Agency, and a Berklee College Of Music professor.
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