How Web3 Can Reduce the Impact of Scalping on the Ticketing Industry
Where the current tech aids scalpers in profiting from the secondary marketplace, Web3 has the potential to aid fans in securing tickets.
Creating NFT tickets is quick and easy and you can start benefitting from the next generation of event ticketing in no time.
The next generation of event ticketing has arrived, powered by Web3 technology. NFT ticketing is set to revolutionise the event ticketing industry by eliminating fraud, reducing the impact of scalping, and enabling a more connected experience for fans and artists.
Issuing tickets as NFTs allows for price ceilings and royalty splits on any secondary sale, giving far greater control over the secondary market than current Web2 solutions. Alongside this, fairer access to primary sales and a healthy secondary market is more flexible for fans and can create additional revenue for event organisers.
Blockchain technology also enables airdrops, giving artists and event creators an entirely new way of enhancing the fan experience. Airdrops can take place before, during or after an event and offer tangible value to fans for their attendance at shows.
Using NFT technology in event ticketing has never been easier, thanks to advances in how blockchain networks operate, making them more stable, secure and scalable. This means that artists and event organisers can now take advantage of the benefits of Web3 technology for their next show!
The SeatlabNFT seller dashboard makes it easy to create NFT tickets in five simple steps. Let's take a look!
To get started with creating NFT tickets on SeatlabNFT, you'll need to enter some basic details about the event you're putting together. These details include the time and date, the venue, and what kind of event it is. Then, you'll need to enter the event's title.
The Promotions screen allows you to upload your customised marketing material to the SeatlabNFT platform.
We've designed SeatlabNFT as an NFT ticketing marketplace for both primary and secondary sales with additional utility for fans and users. Any custom marketing material you use for the event can be uploaded in this section, giving your event branding visibility to the existing SeatlabNFT user base.
On this page, you can add tags to help people find your event while browsing on our platform.
Next, you'll be able to set the different kinds of NFT tickets you want to create for your event, the number of each type that will be available and their price. Remember, it's possible to identify different ticket holders on SeatlabNFT, meaning you can have tiered premium options that might come with an exclusive airdrop reward.
Airdrops are digital assets that can be sent to specific wallet addresses. They could be an exclusive NFT collectable, a discount for food and drink in the venue, early access to future primary sales, or even VIP backstage passes.
Airdrops give event organisers creative freedom to airdrop ticket holders of different tiers perks and rewards as they see fit. As a result, it's important to carefully consider what types of tickets you want to offer to maximise the potential of airdrops.
Royalty splits are a key feature of SeatlabNFT and enable control of the secondary market, which is simply impossible with current ticketing solutions. On this screen, you can set a percentage of revenue to be directed back to an individual, or multiple wallets, every time a secondary sale is made.
Royalty splits are set by smart contracts, self-executing pieces of code that govern NFT assets. Smart contracts set conditions around the NFT and automatically trigger when the NFT is sold. Setting a royalty split for an NFT ticket will generate revenue every time it is sold on the secondary market. When creating an event, the funds are always directed to the wallet(s) specified in the Royalty Splits section.
This feature allows fans to enjoy a healthy secondary market while impacting the ability of scalpers to profit and generate additional revenue for those whose hard work has made the live event possible.
Along with using your custom marketing material on SeatlabNFT in the Promotions section, it's also possible to completely customise the NFT tickets you create
Event organisers can set a background image, apply an overlay and create bespoke NFT tickets for their event. When NFT tickets are created and sold, they are stored in a user's wallet alongside any other NFTs that person might own. This means that fan tickets can stay in a wallet even after an event has finished (though they would no longer generate a valid QR code or NFC tag).
The customisation options available on SeatlabNFT mean that event organisers can apply their own branding to both promotional material and the NFT tickets themselves.
With all of the hype around NFTs and the world of Web3, there is plenty of content talking about how blockchain technology will change the world. However, it can sometimes feel hard to know where to begin with it all.
That's exactly why we've designed SeatlabNFT; to make it as easy as possible to create NFT tickets, giving artists and event creators access to the power that Web3 has to redefine event ticketing.
Currently, a small handful of companies have an extremely large market share in the event ticketing industry. Unfortunately, the centralised network model on which Web2 operates does not give ticketing companies the tools they need to beat scalpers, and the result is that event ticketing does not serve artists, fans or event creators.
Instead, ticket scalping remains a huge problem for the live events industry, creating a barrier between true fans and events whilst also syphoning off profits into the hands of the scalpers themselves. The attitudes to this model vary but usually fall somewhere between outrage (from fans at the high prices) and antipathy (from ticketing providers).
Until now, efforts to make ticketing fairer and beat scalpers have resulted either in a stagnant secondary market due to restrictions prohibiting ticket resales for specific events or have been unsuccessful.
Creating NFT tickets gives the live events community the tools they need to take back control of the secondary market, but it also comes with other perks that mean NFT ticketing could well be the future of live events.
NFTs are also fraud-proof because of how blockchains record the data they hold. Data on a blockchain is time stamped, making it impossible to alter it without the blockchain knowing it has been tampered with. This means that NFT tickets are guaranteed to be fraud-proof.
By contrast, Web2 ticketing is still plagued by the issue of fraud, as demonstrated by the 2022 Champions League final. Issuing tickets as NFTs would eliminate the possibility of ticket fraud, meaning greater venue security and an increase in trust for fans purchasing tickets on a secondary market.
In a digital world, connections are more important than ever. The live event industry's strong rebound from the Covid-19 pandemic shows that consumers recognise the importance of connections and experiences in a digital world.
The Metaverse future promised to us still looks some way off. Still, there are other elements of Web3 that can provide additional immersion, enhancing the feeling of connection between fans and artists and creating an enhanced live event experience.
Airdrops are features enabled by Web3 technology. Blockchain networks use unique wallet addresses to identify users, meaning those same wallets can be used to identify NFT ticket holders and airdrop them digital assets as rewards.
As mentioned, these airdrops can take place before or after an event, allowing for an extended event experience, with additional buildup and a way of helping fans relive the moment even after the show has finished. Alongside this, live airdrops during the show make for unique collectables and mementoes for fans.
In the same way that NFT tickets can use the royalty splits feature of SeatlabNFT to determine where revenue from any secondary sales is directed, so too can any NFT assets airdropped to fans.
In practical terms, these NFT collectables can become valuable, as the NFT artwork boom has demonstrated. Fans can sell NFT collectables on the SeatlabNFT secondary marketplace if the issuer hasn’t set them to be non-transferable or non-resellable, otherwise known as making NFTs ‘soulbound’.
The ability to sell NFT collectables on a secondary market means that for a minimal cost, artists and event organisers can reward fans with something of genuine value for their loyalty and attendance. Furthermore, by using smart contracts for royalty splits, additional revenue can be generated for event creators in the event of an NFT sale on the secondary market.
For example, let's say that an NFT airdrop of an image becomes an overnight sensation, and fans that own it suddenly find themselves in possession of a valuable asset. If the created NFT has a royalty split of 20% back to the original creator and it was sold on the secondary market for £100, £20 would automatically be directed back to the wallet stipulated in the smart contract.
This is possible for thousands of NFTs at once and is true for the entire lifetime of an NFT asset, meaning there is the potential for genuine value for fans and additional revenue for event creators from airdrop technology.
The decentralised model of Web3 offers us a fresh perspective on how technology augments our lives. As it stands, a handful of small companies own the majority share of technology platforms, and through blockchain technology, there is the opportunity for those platforms to better serve their users.
SeatlabNFT has been designed to make it as easy as possible for event organisers to create NFT tickets and take advantage of the potential that blockchain offers to enhance the fan experience.
NFT tickets are perfect for live events, as they eliminate fraud, reduce scalping and come with the ability to enhance the experience for fans attending.
We're here to redefine event ticketing, and we're just getting started. Get in touch with us today to learn more about our NFT ticketing platform.
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