From Billie Eilish and Sabrina Carpenter to Kendrick Lamar and SZA, 2025 is expected to be another big year for live music events. However, this may mean that concertgoers will be shelling out more for their favorite shows. According to the Bureau of Labor Statistics’ consumer price index data, admission to movies, theaters, and concerts rose 20% since 2021, a trend known as “funflation.”
Despite this, consumers have shown a high tolerance for the increasing price tag, enjoying an average of seven shows in 2024 and planning to attend even more in 2025. A recent report by CouponCabin found that nearly 36% of music fans plan to spend $100 to $499 on concert tickets in 2025, while more than 17% plan to spend up to $1,000.
Dynamic pricing is partly to blame for the escalating price tag. This practice, which was originally coined by economists in the 1920s, involves charging a higher price at a time of greater demand. This concept is often associated with shifting airline ticket prices or ride-hailing service fares, but it has also been applied to concert ticket sales.
The use of dynamic pricing has led to controversy, with some fans complaining that they are being taken advantage of. For example, fans of the band Oasis recently took to social media to express frustration after discovering that they were charged more than double the face value of their tickets without warning. However, other artists, such as Taylor Swift, have opted not to use dynamic pricing, reportedly due to concerns about overcharging their fans.
The live music industry has seen a significant increase in revenue over the past decade, with revenue from concert tickets rising 25% in 2023 alone. This trend is expected to continue, with more fans willing to pay top dollar for the chance to see their favorite artists live. As one analyst noted, “The live music industry is constantly leaving money on the table that fans would pay. Dynamic pricing is sort of a capitalist inevitability given the forces at play.”
