Recently, we’ve seen how Wegow, a major ticketing platform in Spain, has entered pre-bankruptcy proceedings after failing to pay out ticket sales to promoters and bands working with them. This news is causing serious headaches for promoters who rely on those funds to cover their expenses—and who in some cases have suffered defaults of up to €30,000.
The risk of not controlling your own funds
While Wegow’s situation may seem like an isolated case, most online ticketing platforms operate under a similar model: the customer buys the tickets, and the platform processes the payment through its own virtual POS (point of sale), so the funds land in the platform’s account. Only later are they transferred to the promoter via a bank transfer.
This financial intermediation allows platforms to retain service fees or access cash flow to offer advances based on projected sales—essentially using funds from other promoters. That’s why this system is so common among digital platforms, not just in ticketing, but also in cashless top-up services.
Gaining negotiating power with your bank
While it might seem like the only option in the industry, some promoters are already processing certain payments directly with their bank—for example, through POS devices used at bars, cloakrooms, or merch stands. And this approach has clear benefits:
- Faster settlement terms: most banks in Spain settle transactions daily, which means promoters get access to their funds the very next day—no need to wait for a ticketing or cashless provider to wire the money.
- Better processing fees: promoters often have ongoing relationships with their banks and can negotiate better rates by leveraging other products such as insurance payments or payroll services. Fees under 0.5% are common in these cases, compared to 1.5% or more with traditional platforms.
- Integration with other services: while some promoters rely on their platform for liquidity advances, more and more banks are offering financing against POS sales, in addition to the standard lending products they already provide.
Integrating with your bank’s POS system
Despite these advantages, many promoters still use the traditional model where the ticketing or cashless provider handles the payment process.
- In many cases, it’s simply because they don’t have a choice—the platform doesn’t allow the promoter to use their own POS.
- Other times, it’s due to the slightly more involved setup process: in addition to signing a contract with the platform, the promoter must request a POS from their bank, which usually takes 2–3 days and some paperwork.
- And finally, there are technical hurdles: banks’ payment gateways tend to be harder to integrate, especially when it comes to mobile wallets like Apple Pay and Google Pay. Not offering these options adds too much friction for customers, who increasingly prefer mobile purchases—so having them is non-negotiable.
While it might seem like a technical challenge, it doesn’t have to be. At Festea, we work directly with promoters’ POS systems, minimizing risk by ensuring they have control over their funds from the very start. We integrate within days with most Spanish banks, including full support for Google Pay and Apple Pay, to deliver an optimized, conversion-friendly customer experience—all under the promoter’s brand.
Interested in using your own POS system for cashless and ticket sales? Get in touch—we’d love to help.