The compensation paid by the undertaking can reach up to HUF 70 million
Budapest, 29 May 2024 – More than 80 thousand consumers may receive compensation from the ticketing portal Eventim thanks to the proceedings of the Hungarian Competition Authority (GVH). The undertaking failed to inform consumers in a timely manner about certain charges besides the ticket price during the purchasing process. During the procedure, the undertaking cooperated significantly with the competition authority. In the light of this cooperation and the amount of the compensation to the customers, the GVH’s Competition Council has decided not to impose a fine, provided that Eventim implements the compensation it has agreed to pay.
In May 2023, the Hungarian Competition Authority launched a competition supervision proceeding against the domestic operator of Eventim, one of the most popular domestic ticketing portals. The GVH suspected the undertaking of influencing consumers during the purchasing process by means of hidden costs.
In the course of the proceeding, the national competition authority found that the undertaking had used so-called drip pricing for online ticket sales. This meant that certain fees – in particular handling, delivery and collection fees – were communicated incompletely or not in a timely manner to customers, only after the tickets had been placed in the shopping basket. On online trading platforms, hidden costs that appear during the purchase process trough drip pricing method, or that appear only at the end of the payment process, are classified as dark patterns. When the unexpected additional fee(s) appear, the consumer has already spent valuable time and energy on the purchase process, so he is more inclined to buy the product despite the increased total price.
During the procedure, Eventim cooperated with the Hungarian Competition Authority, among other things it acknowledged the violation and waived its right to appeal. The undertaking has undertaken to compensate the consumers affected by the infringement, it will pay an amount of HUF 700 to each consumer who purchased on the Eventim ticketing portal between 1 January 2022 and 2 February 2023. This amount is the same as the hidden handling fee charged per purchase in the period in question. The compensation package undertaken in this way may affect a total of around 80,000-120,000 consumers and its total value may be higher than HUF 70 million.
The GVH draws the attention of the affected consumers that the undertaking will only be able to pay the compensation, if the consumers contacted by e-mail respond and state which bank account, they are requesting the payment to.
In addition, the undertaking undertook to transform and simplify its fee structure, so instead of the previous multiple fees, it will impose a single service fee, and will notify consumers of its amount at the appropriate stage of the purchase. The national competition authority will check the correct and full implementation of the undertaken commitment trough a follow-up investigation.
The total amount of the agreed compensation exceeded the amount of the possible fine calculated without compensation, so the GVH Competition Council imposed a conditional fee. Thus, if the undertaking fails to pay the compensation amounting to the calculated fine, the Competition Council – based on the documents certifying the actual payments – will determine the difference in a separate decision, which the undertaking will have to pay as a fine.
The Hungarian Competition Authority monitors the commercial practices of online ticketing platforms. In May 2024, the Consumer Protection Cooperation Network (CPC), which brings together the European Commission and the consumer protection authorities of the member states (including the GVH), achieved that Viagogo, which operates one of the largest ticket sales platforms, made a number of commitments to improve its contract terms and consumer information practices.
The case’s reference number is: VJ/11/2023.
GVH Public Service Communications Section
Further information:
Bálint Horváth, Head of Communication +36 20 238 6939
Katalin Gondolovics, Spokesperson +36 30 603 1170