Secutix – Combating Ticket Fraud With Blockchain Technology?
Blockchain technology is currently revolutionizing some of the most stubbornly centralized industries in the world. One industry that has recently been targeted by the blockchain revolution is the ticketing and event industry, which has typically been tightly controlled by a few major players.
SecuTix, a global provider of ticketing and audience management solutions, has recently partnered with Paléo Festival Nyon- one of the largest open-air festivals in Switzerland- to test a new ticket distribution and activation service built around a blockchain-based smartphone app.
The recent test demonstrated that blockchain-based mobile technology is a highly viable method of managing audiences and ticket distribution, helping to regulate ticket sales and protect consumers from scalpers and fraudulent sales.
The results of the platform trial has been highly publicized by Paléo Festival Nyon, who have called for legislative and political change to address the oligarchy that currently manipulates the ticket sales industry, as well as the issue of exorbitantly priced ticket resales.
The issue of online ticket resale has increased in scope recently, and has placed a significant amount of pressure on event organizers and event attendees, who are often required to pay extremely high prices for tickets that have been resold several times. In some cases, these event attendees receive only fraudulent tickets, resulting in declining event attendance rates in the industry.
Using the new platform offered by SecuTix, organizers are able to leverage the traceable, transparent, and secure features of blockchain technology to insert variety of control mechanisms into the ticket transfer process.
Paléo Festival Nyon has itself suffered from the issues that plague the ticketing industry, and have stated they have introduced SecuTix technology in order to protect the interests of their event attendees. By working together with SecuTix, Paléo Festival Nyon has tested the digital ticket transfer service the platform offers, as well as assessing the viability of the fully-digital SecuTix ticket format.
The testing of the SecuTix platform occurred between the 18th and the 23rd of July 2017, at the 2017 Paléo Festival Nyon. The SecuTix platform supplied a target attendee group with a mobile app that contained a secure blockchain wallet, connected to the SecuTix blockchain, which was linked to access control software.
The mobile app supplied to the target group allowed these primary users- in this case, stand managers- to access a specific quota of tickets that could then be distributed to other users- stand employees- before Paléo Festival Nyon grounds were opened to the public on specific days. Each individual ticket transfer was associated with a unique transaction ID, which was posted directly to the SecuTix blockchain repository.
Once a ticket holder had recorder their ownership of the digital SecuTix ticket in their wallet app, all they needed to do to access the event was produce their smartphone at the ticket gate. The SecuTix mobile app generates a ticket in the form of a tamper-proof barcode a few seconds before it is used to gain access to an event.
Each stage of the life cycle of a ticket on the SecuTix platform- issue, transfer, receipt, and activation- is displayed on a dashboard that can be accessed by event managers, providing real-time analytics on the current status of all attendees. The trial allowed more than 200 different private stand managers and over 2,400 employees to access blockchain-controlled attendee verification, which resulted in more than 10,000 digital tickets issued during the Paléo Festival Nyon event.
David Franklin, the ticketing manager of Paléo Festival Nyon, has commented on the dynamic nature of the SecuTix solution:
“This innovative technology is a tool that works directly for the good of our festival audience. Blockchain is a technology with great potential in terms of implementing new access controls to offer our spectators better protection. From the users’ point of view, the results are equally satisfying. We have succeeded in proving that transferring a ticket is as easy as sending an SMS.”
The result of the first pilot test of the SecuTix system have encouraged Paléo Festival to widen the scope of their SecuTix integration, planning to expand their use of the technology at the Paléo Festival 2018. Frédéric Longatte, the CEO of SecuTix, has commented on the potential impact the platform will have on the industry at large:
“SecuTix is going back to its roots by offering a solution to the challenges which have dogged the industry since time immemorial: fraud and safety at large public events. As well as ratifying a number of technical issues, this pilot project conducted with Paléo has allowed us to test the end-to-end e-ticket, which will inevitably have a profound impact on B2C practices.”
With the Secutix Paléo Festival trial a clear success, the future is bright for the innovative SecuTix platform.