Japanese ticketing firm Pia has linked up with Yahoo to roll out a new venture focused on dynamic pricing for live entertainment.
Dynamic Plus will use an airline ticketing-type framework to set flexible prices for services based on current market demand.
Web giant Yahoo, Pia and conglomerate Mitsui & Co have teamed up to dynamically price “various tickets for concerts, sports, theme parks, events, etc.”
Mitsui and Yahoo have been conducting proof-of-concept with the Fukuoka Softbank Hawks Japanese baseball team regarding dynamic pricing in ticketing since 2017.
In a joint statement, the companies said: “With the momentum of IoT and digital transformation on a global scale, dynamic pricing, a real-time price adjustment method utilising machine learning and other AI technologies, is being used in many industries in Western countries.
“Dynamic pricing is implemented through a specialised algorithm that analyses big data, such as products/services, market trends, weather and personal preferences, on a cloud-based platform.
“Price adjustments are made automatically based on demand forecasts, responding to customer needs. Dynamic pricing also allows sellers to nimbly maximise sales and revenue.”
Mitsui will own almost two thirds of the business, with Yahoo registering just less than a third and Pia owning around three per cent.
Dynamic Plus will also look to implement its pricing to industries such as hospitality, delivery services and car parking, which traditionally use surge pricing.