Understanding the CMA's Latest DMCCA Guidance

The Competition and Markets Authority (CMA) has recently issued comprehensive guidance on how the Digital Markets, Competition and Consumers Act (DMCCA) applies to ticket sellers and event platforms. This legislation introduces significant requirements for transparency and fair dealing in the digital marketplace.

Key Changes for Event Ticket Sellers

The DMCCA brings several critical changes that event promoters and ticket sellers must understand:

1. Transparency Requirements

Ticket sellers must now provide clear, upfront information about:

• The total price including all fees and charges
• How pricing is calculated and what each fee represents
• Any dynamic pricing mechanisms used
• Cancellation and refund policies

2. Fair Pricing Practices

The guidance emphasises fair pricing practices, particularly around:

• Hidden Fees: All charges must be clearly disclosed before purchase. The CMA has specifically flagged concerns about unexpected fees appearing only at checkout.
• Dynamic Pricing: If your platform uses dynamic pricing algorithms, these must be transparent and not exploitative.
• Bot Protection: Anti-bot measures must not artificially restrict supply in ways that inflate prices.

3. Consumer Protection

Enhanced protections include:

• Easy access to cancellation rights
• Refund policies that are fair and clearly stated
• Protection against misleading marketing claims
• Clear communication about ticket availability and seating

Compliance Checklist for Event Platforms

To ensure your ticket sales platform complies with the DMCCA guidance, consider the following:

1. Audit Your Pricing Display - Review your checkout process to ensure all costs are transparent. Remove any surprises at the final step.
2. Document Your Pricing Algorithm - If you use dynamic pricing, maintain clear documentation of how it works and ensure it's not unfairly exploitative.
3. Review Terms and Conditions - Update your T&Cs to clearly reflect cancellation and refund policies that comply with consumer protection standards.
4. Train Your Team - Ensure staff understand the requirements and can communicate them to customers and partners.
5. Implement Monitoring - Set up systems to track compliance with these new requirements across your platform.
6. Prepare Documentation - Keep records of your compliance measures in case of CMA enquiries.

Specific Implications for Event Ticket Sales

Resale Markets

If your platform facilitates ticket resales, the DMCCA has specific guidance on fair resale practices. You must:

• Clearly identify resold tickets versus primary market tickets
• Ensure resale prices aren't inflated through hidden fees
• Provide clear information about where tickets are located and their validity

Booking Processes

The CMA specifically highlights that booking processes must be fair and not designed to trap consumers into purchases. This includes:

• Clear options to decline optional add-ons (insurance, donations, etc.)
• No pre-ticked boxes for optional services
• Easy ways to review and modify orders before final purchase

What Happens If You Don't Comply?

Non-compliance with the DMCCA can result in:

• CMA investigations and enforcement action
• Significant financial penalties (up to 10% of relevant turnover)
• Reputational damage and loss of consumer trust
• Mandatory changes to business practices

Looking Forward

The CMA has signalled that the entertainment and ticketing sector will be a focus area for enforcement. Event platforms should treat this guidance as both a compliance requirement and an opportunity—transparent, fair practices build customer loyalty and reduce regulatory risk.

If you're unsure about whether your current practices comply, we recommend consulting with a legal advisor who specialises in consumer protection and digital markets law.

Resources

• CMA Digital Markets, Competition and Consumers Act Guidance (available on the CMA website)
• Consumer Rights Act 2015
• Business Names Act guidance on B2C transparency