The StubHub Story
|Sporting and live music events in this country have been main entertainment options for the public for decades. But prior to Y2K the common fan was not being adequately served by the existing options for purchasing tickets to these events. The best tickets were never even available because season ticket holders, corporate sponsors and newly created fan clubs were securing all the tickets in advance. For the very hottest events, even the remaining less desirable seat locations were selling out in mere minutes. For years the only option fans were left with was hoping to find a street scalper outside of the event and take their chances. Counterfeit tickets were a concern and without knowing all the pricing options there were risks of scams and unfair ticket values.
These imperfect options left fans without a trusted source of getting access to the live events they wanted. Fans were confused and had many unanswered questions. Where to go? What's a fair price? How does the buyer actually get the tickets? Will they get them in time? How do they know they are legitimate tickets?
Contrast this dynamic with that of the U.S. Stock Market for instance. The situation is very different when an investor makes a decision to buy or sell a share of stock; they have clear expectations and systematic processes are in place to provide:
Since its inception in 2000, StubHub has been providing a similar set of services for the "secondary" ticket market, the aftermarket where millions of tickets are bought and sold second hand. With the secondary ticket market estimated to be about $10 billion annually in the United States, there is a clear demand and opportunity for the services that StubHub has perfected for the ticket buying public.
StubHub's innovative approach solves the problems that existed previously:
StubHub's fair and open, market-based approach has already won a significant amount of support from large venues, teams and partners, including the Indianapolis Colts, Chicago Bears and Washington Redskins. StubHub also has partnerships with media companies such as AOL and Westwood One as well as universities like the University of Southern California and Georgetown.
In 2007, StubHub was acquired by eBay Inc. and continues to be the leading destination for fans seeking the most complete ticket buying or selling experience. The company's reach continues to grow, including charity auction services, additional on-line marketing partnerships, and advertising in key markets across multiple media. As long as there are sporting events, concerts or other performances that are in high-demand, StubHub will continue to be that trusted and efficient clearinghouse through which buyers and sellers can safely transact.