When the cost of everything is rising—from lumber to lattes—it’s tempting to fight inflation with one blunt tool: raising ticket prices. But what if the key to growing revenue isn’t raising prices, but rethinking how we manage demand?
At TRG Arts, we believe pricing is not a standalone strategy—it’s part of a broader practice we call demand management. In other words, price is a function of demand. So instead of starting with price, we start with understanding how audiences behave—and build strategies to shape and respond to that behavior.
Create the Sold-Out Feeling (Even When You’re Not)
Low attendance doesn’t just hurt the bottom line—it erodes the experience. Audiences and artists feel it when the room is half full. But with strategic inventory management, you can engineer a venue that feels full even when you're not.
By filling front to back and side to side with intentional seat release patterns, you create a perception of success that encourages return visits.
Use Price to Drive Behavior, Not Just Revenue
Smart pricing isn’t just about maximizing income—it’s about influencing fill patterns. For example, place your lowest-priced seats in highly visible, hard-to-sell areas to nudge buyers where you need them. This is especially effective during periods of low demand when a strong experience is more valuable than incremental revenue.
Increase Revenue as Demand Builds
A hallmark of demand-based pricing is that average ticket prices increase as inventory sells. This strategy rewards early buyers with better deals while allowing you to capture higher revenue as shows fill up—all without needing to constantly adjust prices.
Dynamic Pricing: The Icing, Not the Cake
Dynamic pricing—raising prices in real time based on demand—is a useful tool. But it only works when built on a foundation of smart scale planning and inventory control. Think of it as the icing on a well-structured cake.
You Can Have Equity and Earn Revenue
Critically, access and income aren’t mutually exclusive. With a tiered pricing strategy, organizations can offer truly affordable seats while also optimizing premium inventory. Thoughtful demand management creates room for both values.
Takeaway: Pricing isn’t just a lever for income—it’s a reflection of your values, your audience experience, and your strategic clarity. Start with demand, and revenue will follow.