1. What do think about Kid Rock’s strategy? As someone who has sat at their computer at 11:59pm…

1. What do think about Kid Rock’s strategy? As someone who has sat at their computer at 11:59pm impatiently clicking the Refresh button on tickets for a band I want to see, I can appreciate what Kid Rock is trying to do. It’s very frustrating knowing that you’ll be able to find tickets for the same show weeks or even months later but by then, they’ll be priced far out of your range. Music has the power to make people very emotional and sometimes make decisions not in their best financial interest (guilty as charged) which makes the market even more appealing for scalpers. It’s nice that Kid

»1. What do think about Kid Rock’s strategy? As someone who has sat at their computer at 11:59pm impatiently clicking the Refresh button on tickets for a band I want to see, I can appreciate what Kid Rock is trying to do. It’s very frustrating knowing that you’ll be able to find tickets for the same show weeks or even months later but by then, they’ll be priced far out of your range. Music has the power to make people very emotional and sometimes make decisions not in their best financial interest (guilty as charged) which makes the market even more appealing for scalpers. It’s nice that Kid Rock is literally working harder (more shows for less money) to keep his product available to his less affluent fans. 2. What is the economic rationale behind what he is doing? Part of Kid Rock’s strategy is to increase the “supply” in an effort to keep it on par with the actual demand. Scarcity is one of the things that can drive up the price of a product or service. Playing more shows than he’s actually able to fill means there will be very little margin on his ticket sales which will discourage scalpers. Raising ticket prices on the best seats in the house also helps take the margin out of these sales for the scalpers since, even though these customers will be willing and able to pay much more for them, there will still be a market price that even the wealthy won’t be willing to exceed. 3. Is this a better approach than having his concerts sell out quickly? Is this a better approach for whom? Economically, for Kid Rock, probably not. Whether his tickets get bought by scalpers or by actual fans, he will still get paid. By adding more shows per city, he will be working more and making less on each show since many shows may not sell out. However, he’s certainly reached a point in his career where he can afford to worry more about his fan base and his reputation with his fans over his bottom line, and reputation is always a good investment in the long term. That’s the kind of thing that will further motivate the emotional decisions fans will make for their idols. what is your thoughtful in this answers.

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