The resale of concert and event tickets has been a long-standing issue in Japan, with fans and the entertainment industry battling against high-priced scalping and illegal ticket sales. The recent actions taken by STARTO ENTERTAINMENT and the shutdown of the industry-backed ticket resale platform, "Ticketre," highlight the complexity of this ongoing problem. This article delves into the latest developments, the legal actions being taken, and the broader implications for the Japanese ticketing industry.

 

STARTO ENTERTAINMENT'S CRACKDOWN ON TICKET SCALPERS

 

On February 17, 2025, STARTO ENTERTAINMENT announced that it had successfully identified individuals engaged in the illegal resale of tickets for its affiliated artists. The company has taken strict action, including forcibly terminating the memberships of these individuals from its fan clubs and pursuing legal consequences against them. This move follows a statement made in September 2024, where STARTO declared its intent to take legal measures against unauthorized ticket resellers.

 

LEGAL MEASURES AND INVESTIGATIONS

 

The company, in collaboration with Young Communication (YC), a concert organizing entity, has actively pursued legal actions against ticket scalping. Specifically, STARTO targeted the resale of Snow Man concert tickets on resale platforms like "Ticket Jam" and "Ticket Ryutsu Center."

A major breakthrough was achieved when STARTO, through legal proceedings, obtained court orders to disclose the personal details of individuals reselling tickets illegally. Notably, 17 cases related to Snow Man concerts were successfully identified, leading to direct legal notices and fan club expulsions for those involved. Additionally, the company has filed further information disclosure requests for 1,589 other cases related to unauthorized Snow Man ticket resales.

 

CRITICISM OF RESALE PLATFORMS

 

STARTO criticized "Ticket Jam" for its resistance to pre-trial voluntary disclosures of seller information, arguing that this lack of cooperation forced unnecessary legal burdens on the judicial system. The company stated that had "Ticket Jam" cooperated before court intervention, over 1,000 court filings could have been avoided, thus reducing the strain on court resources.

The entertainment company has vowed to continue implementing measures to prevent unauthorized ticket sales and ensure that tickets reach genuine fans rather than scalpers.

 

THE SHUTDOWN OF "TICKETRE": THE END OF AN INDUSTRY INITIATIVE

 

On the same day as STARTO ENTERTAINMENT’s announcement, PIA Corporation revealed that the official ticket resale platform "Ticketre" would be shutting down on June 30, 2025. This marks the end of an eight-year attempt by the music industry to provide a legitimate resale marketplace where tickets could be exchanged at face value, rather than through unauthorized high-priced resales.

 

HISTORY AND INTENTIONS OF "TICKETRE"

 

Launched in 2017, "Ticketre" was an initiative backed by major music industry organizations, including the Japan Music Producers Federation and the Japan Concert Promoters Association. The platform was designed to provide a legal alternative to high-priced ticket scalping, allowing fans to resell their tickets at their original purchase price. However, from the outset, "Ticketre" faced criticism for its high service fees, which included a 10% commission on both the seller and the buyer, plus additional processing fees.

Despite its initial promise, "Ticketre" failed to gain widespread adoption, with many fans opting for alternative resale platforms, including unauthorized scalping websites that provided more flexibility in pricing and fewer transaction fees.

 

REASONS FOR THE SHUTDOWN

 

While PIA Corporation did not specify the exact reasons for closing "Ticketre," several factors likely contributed to its downfall:

High Fees: Many users found the combined selling and purchasing fees excessive, making it financially impractical to use the platform.

Limited Ticket Listings: Since "Ticketre" only allowed ticket resales approved by event organizers, the number of tickets available on the platform was significantly lower than that on other resale sites.

Competition from Illegal Resale Markets: Scalpers continued to operate on unauthorized platforms where tickets were sold at inflated prices, undermining "Ticketre's" purpose.

Lack of Enforcement: While the industry made efforts to combat ticket scalping, enforcement against unauthorized resale sites remained challenging.

The announcement of "Ticketre's" closure signifies the failure of a major industry-led initiative to regulate ticket resales through a fair and legal marketplace.

 

THE BROADER CONTEXT: JAPAN’S STRUGGLE AGAINST TICKET SCALPING

 

Ticket scalping is a persistent issue in Japan, with various efforts being made to regulate and curb unauthorized sales.

 

LEGISLATIVE EFFORTS

 

In 2019, Japan implemented the Anti-Scalping Law, which criminalized the resale of tickets at inflated prices without event organizer approval. This law aimed to protect consumers from exploitative resellers and ensure fair ticket distribution. However, despite legal penalties, scalping remains prevalent due to enforcement challenges and the continued operation of resale platforms that facilitate illegal sales.

 

FAN-DRIVEN MEASURES

 

Concert organizers and fan clubs have also introduced their own preventive measures, including:

Digital ticketing systems that require identification verification upon entry.

Lottery-based sales systems to deter bulk purchases by resellers.

Dynamic pricing models to adjust ticket prices based on demand while keeping pricing fair for fans.

 

THE FUTURE OF TICKET RESALE IN JAPAN

 

The recent crackdown by STARTO ENTERTAINMENT and the closure of "Ticketre" highlight the ongoing struggle against ticket scalping in Japan. While entertainment companies and lawmakers have taken significant steps to combat unauthorized ticket resales, challenges remain in enforcing these regulations effectively.

 

The failure of "Ticketre" suggests that a viable, legal resale system needs to be more accessible, transparent, and cost-effective for fans. Moving forward, the industry may need to explore new technologies, such as blockchain-based ticketing, to ensure secure and fair transactions.

For now, fans and industry stakeholders must continue to navigate a landscape where ticket scalping remains a persistent problem, despite efforts to bring fairness and legitimacy to ticket resale practices in Japan.

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