How to Drive Recurring Profits and Growth

For experience-based businesses, ticket sales are the fuel that keeps the engine running. They’re how a venue maximizes capacity, generates revenue, and connects with guests. 

However, with growing digitalization, traditional ticketing methods can fall short, leading to missed sales opportunities, operational inefficiencies, and frustrated customers. This is where online ticketing takes the lead by not only maximizing revenue but also enhancing the overall customer experience. 

To optimize profit, it’s important to implement an online ticketing strategy that takes recurring revenue into account. In this article, we’ll uncover the ins and outs of recurring online ticketing revenue and how you can utilize it to ensure your venue’s continued success. 

With online sales channels becoming a staple for brands worldwide, it’s no surprise that e-commerce is thriving. A large part of this is due to the rise of smartphones. Mobile e-commerce sales reached $2.2 trillion in 2023 and comprised 60% of all e-commerce sales worldwide. 

Potential customers are increasingly using their smartphones to research venues and ultimately make a purchase. The US has a smartphone penetration rate of 81.6%, which shows that a high number of the population prefers smartphones over regular mobiles. 

The future of online ticketing revenue is also promising, with Gen Z being shown to prefer experiences over material items. This presents a unique opportunity for those selling experiences online. They now have a better chance to connect with a generation that is geared toward making online ticket purchases. 

The benefits of online ticketing for businesses

Let’s look at some of the benefits of online ticketing for businesses:

• Continuous sales channel: Online ticketing allows for an always-on sales channel that generates revenue.
• Alignment with customer preferences: Online ticketing meets the growing consumer preference for mobile purchasing. 
• E-commerce presence: It allows venues that focus on real-life interactions to maintain an e-commerce presence. 
• Customer insights: Purchase data lets operators observe customer trends, preferences, and demand, helping them understand their customers more deeply. 
• Operational efficiency: Online ticketing reduces the need for staff to handle phone calls and in-person bookings, thereby saving time and money. 

The benefits of online ticketing for consumers

Now, what are the benefits of online ticketing for consumers?

• Enhanced accessibility: Online purchases provide consumers with greater accessibility when booking, allowing them to take their own time, which can result in a boost in basket size. 
• Improved experience: With quick transactions and no need to queue in long lines, consumers can focus on having fun at the venue! 
• Reduced frustration: Online ticketing eliminates frustrations around waiting for a staff member to pick up the phone or reply to an email when trying to book.

70% of businesses view recurring revenue models as essential for the future of their industries. However, only 10% of businesses have actually adopted subscription models, revealing a massive untapped potential in this area.

So, how does this equate to online ticketing? Online ticketing should be viewed as more than just a single-item e-commerce channel. With the right tech partner, your online ticketing platform can be an effective and efficient recurring revenue machine. 

One way to do this is by using passes and memberships. An online ticketing platform will allow you to sell season passes and memberships. These passes and memberships can also be automated. This creates a secure stream of payment and results in minimal churn.

Another perk of memberships and season passes is how they allow you to unlock investment opportunities. For example, if you go to a bank with data showing purely one-off purchases, there is a risk associated with the future, as there’s no guarantee of continued sales. You may have sold 5,000 tickets last month, but how do they know that trend will continue? 

However, if you were to show an investor the amount of revenue you’ve locked in over the next 12 months through recurring payments, you mitigate risk and prove the viability of your business model into the future. It’s no wonder that subscription-based businesses have grown 3.7 times faster than the S&P 500!

But what do guests think of subscription models? 93% of consumers see benefits in subscription models, and 68% possess multiple subscriptions. The key to standing out is in what you offer in your membership. For venues seeking online ticketing revenue against attractions and experiences, ask yourself: How will you package these items for members? 

Offering VIP and exclusive perks, as well as rewards, can make a huge difference. And, of course, don’t forget that convenience is king. Make sure that your memberships and recurring revenue streams are easy to purchase and maintain, with no barriers to entry that will turn away potential customers. 

How to implement membership programs 

Here are a few steps you can take to implement a membership program effectively:

• Connect with your loyal customer base and discover what they want to see from a membership program at your venue. 
• Offer rewards, incentives, and VIP experiences for your valued members. 
• Ensure your payment processes and data systems are robust and secure for peace of mind. 
• Partner with a technology platform specializing in your industry to ensure you can set up your program effectively and in a way that reflects the nuances of your offering. 
• Ensure a clear path to upselling memberships, both in your venue and during your online ticketing checkout process. 
• Target potential members with a marketing campaign that highlights the benefits and savings they could unlock through a membership. 

Boosting basket size through online ticketing

Basket size is the average amount a customer typically spends when they engage with your brand online. In terms of online ticketing, basket size refers to the total number of tickets purchased, as well as any upsells or cross-sells added to the cart. These might come in the form of food and beverage packages, where you offer a meal and an experience. Or even packages that come with merchandise, souvenirs, or sessions at multiple attractions within your venue. Effective cross and upselling can increase the average order value of your online ticketing by 25-35%.

Your strategy for boosting basket size with online tickets will be shaped by the user experience your website offers. The key here is to drive extra purchases as customers navigate your site. Highlight the value of your upsells and use clear, intuitive buttons with strong calls to action (CTA).

Personal recommendations are particularly effective. For instance, if a guest is booking a family pass with young children, offer additional activities that appeal to that age group or add convenience items like meals at a discounted price. Personalized recommendations on upsells can increase your conversion rate by as much as 20%! Add-ons help increase online revenue by 10%, equating to over $29,000 in a single month.

Organizations that leverage data effectively are not just ahead of the curve but significantly more successful. Data-driven companies are 23 times more likely to acquire new customers, six times more likely to retain them, and 19 times more likely to see increased profitability. 

Let’s say your customers have been booking passes for your VR experience 10 times more frequently than sessions in your escape room. By changing your website’s banner from displaying the escape room to advertising tickets for your VR experience, you’re much more likely to see conversions and connect with the current consumer trend. You would be playing to your strengths based on insights rather than operating based on instinct.

There are many tools available to unlock analytics information at your venue. They can help you see who’s visiting your website, what they’re doing, and how many of them are converting into customers. For venues that rely on ticket sales, specialized solutions built into your venue management platform can offer insights into areas like party booking insights, membership churn, and guest satisfaction levels.

Marketing strategies to promote online ticketing

A well-executed marketing strategy can be the difference between your online ticketing revenue plans succeeding and failing. 

It is particularly important in the attractions and experiences industry, where you’re not only competing with other attractions in your area to sell tickets but also with a wide range of leisure activities your guests might choose instead. For example, a day out playing mini golf with friends could easily be substituted for a visit to a brewery or a trip to the cinema.

Fortunately, with the right marketing tools and tricks, you can convert and increase your online ticketing revenue. These include:

• Social media: Utilizing platforms where your customers spend their time helps you connect with them personally and highlights your brand’s uniqueness. Consider posting engaging stories and insights into what makes you unique, and offer clear CTAs and information on how to book a ticket online. 
• Digital advertising: Displaying your brand when consumers search for keywords associated with your business can help you get noticed. However, it is a competitive space, so ensure you have a robust strategy in place to measure and plan for success. Consider hiring a marketing agency for guidance. 
• Physical advertising: For experience and attraction businesses, good old-fashioned brochures, posters, and flyers can be powerful drivers, especially if you’re located near hotels, landmarks, or other businesses where exposure to tourists and thrill seekers is likely. Including QR codes that link directly to your online ticketing page can bridge the gap between physical and digital marketing. 
• Press advertising: Appearances in trade publications and media can help you stand out and connect with audiences interested in your business. Consider the timing of any ads you run in these spaces, as you’ll want to align with upcoming events, such as school holidays. Offering incentives such as discounts and a clear path to book online is also essential. 
• SEO: Search engine optimization might seem complex, but it can be extremely effective if you leverage the right professionals. The goal here is to organically appear in search engine results so that when a potential guest searches for something related to your business, you’re one of the results. The number one organic search result receives 19 times more clicks than the top paid result! 
• Email marketing: Sending emails to your database is a surefire way to increase repeat bookings. Given that recurring revenue from ticket sales is a cornerstone of any effective online ticketing strategy, this should be near the top of your marketing list. 
• Measure success: Finally, measure the impact and success of any and all marketing initiatives. This helps you determine what is working and what needs finetuning. Ideally, you’ll have set targets for yourself before initiating any marketing efforts so that you can assess your return on investment (ROI). For online ticketing revenue, conversions will most likely be the metric in your crosshairs. 

How to personalize your marketing to increase conversions 

Personalizing your marketing strategies is crucial to increase conversions.

Personalized email campaigns can help you stand out from the inbox clutter. Consider using tools such as a customer relationship management (CRM) solution to understand what your database connects with and send them offers based on their past spending behavior. 90% of marketers say personalization significantly contributes to a business’s profitability.

The personal touch helps you mitigate any negative experiences with your brand. For example, if a customer booked a package and selected a vegetarian option for their meal, you won’t want to send them offers for a free rack of ribs with their next visit. 

Outside of emails, consider how your website can use past visitor behavior to display dynamic content. This can effectively turn curious return viewers into loyal customers by showing them offers based on areas they’ve actively researched. 

Inclusivity is also important. Look at your social media strategy and accommodate different audiences in your posts to ensure you’re connecting with all of your followers. This makes them more likely to purchase a ticket online. For example, if you offer family-friendly activities during the day and adult-orientated sessions in the evening, show both so potential customers aren’t alienated. 

Your ticket to success 

We’ve discussed the benefits of selling tickets online, why it’s important, and how you can implement strategies to help your business achieve recurring revenue growth through online ticketing.

While you might not implement these ideas all at once, they should give you a solid starting point on your journey toward streamlining operations, delighting guests, and growing revenue. 

By considering recurring revenue streams, data-driven insights, and personalized marketing, your online ticketing strategy is already off to a good start! 

Want to host unforgettable events? Dive into our event marketing article for step-by-step guidance on executing a successful event every time!

Edited by Monishka Agrawal and Supanna Das