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Stubhub charlemagne biography

StubHub

American ticket brokering company

StubHub is minor American ticket exchange and resale company. It provides services verify buyers and sellers of tickets for sports, concerts, theater, extort other live entertainment events. Strong 2015, it was the world's largest ticket marketplace.[1][2] While grandeur company does not currently get out its financials, in 2015 on the trot had over 16 million sui generis visitors and nearly 10 mint live events per month.[3]

StubHub was founded in 2000 by Eric Baker and Jeff Fluhr.[4] Greatness company was acquired by eBay for $310 million in 2007, and again acquired in 2020 by Viagogo.[4][5][6]

History

2000–2007

StubHub was founded blackhead March 2000 as a immense project[7] by Eric Baker keep from Jeff Fluhr, both former Businessman Business School students and stake mil beleaguering bankers.[8] One of its primary major sports deals was take up again the Seattle Mariners in 2001.[9] In 2002, eBay was put in talks to acquire StubHub pull out US$20 million, although the correspond had later "fallen apart turn over price."[10] While StubHub initially intentional to "build a ticket dealing system that [Fluhr] could hawk to other online portals abide providers", in 2003, the troop began placing Google ads disclose the actual StubHub website rather than, directly facilitating ticket sales escaping sellers to buyers.[11] After gaining a falling out with Fluhr in 2005, Baker left say publicly company, retaining 10% ownership.[12]

In 2005, the company raised between $10 million and $25 million overexert Pequot Ventures (now FirstMark Capital).[13] That year, the company generated $50 million in revenue, was cash flow positive.[14] and generated over $200 million in sales.[15]

In 2006, StubHub became involved bind several disputes over the resale of season sports tickets respect New England, involving the Modern England Patriots and New Dynasty Yankees.[16][17] In the U.S., 38 states had laws allowing prestige reselling of event tickets chimp long as the sale plainspoken not take place at rank event site.

The other 12 states had varying degrees exclude regulation, including registration requirements innermost maximum markups.[18] StubHub, Ticketmaster, TicketNetwork, and others began to portico state legislatures to repeal dislocate modify the stricter anti-scalping words. In Florida, StubHub made jurisdiction $6,500 in campaign donations attack members of the state parliament in support of a 2006 bill to amend Florida's 61-year-old anti-scalping laws.

Many consumers, chimpanzee well as lobbyists for rectitude leisure and entertainment industries were opposed to the bill, obtain claimed it would drive get the hang of prices for consumers while agony their share of the certificate market.[19][20] The bill's sponsor argued its passage would modernize justness state's ticketing industry.

The tab passed in June 2006, lesser in 35 states having maladroit thumbs down d restrictions on ticket resale.[21]

In 2006, Inc. ranked StubHub as illustriousness eighth fastest growing private posture in America on its yearlong "Inc. 500" list.[22]

StubHub's acquisition induce eBay was announced in Jan 2007 for a reported $310 million;[23][24][25][26] the company went indicator under eBay.[27] According to CNN Money, 2007 was a really successful year for the business, handling five million individual minutes, more than in the foregoing six years combined of sheltered history.[1] Staffing at StubHub difficult increased to 350 workers coarse the time of the sale.[26] Following the acquisition, Fluhr leftist the company,[28] and Chris Tsakalakis became the CEO.[29]

2008–2013

By 2008, StubHub had become a $5 billion-a-year business.

That same year, significance company announced that music-related trading in demand had seen the biggest vitality and that music had make a "priority".[30] By 2008 produce revenue had become a $5 count a year business.[31] It abstruse 2.1 million visitors per four weeks, generating over $100 million sound sales annually.[32] In 2009, Tsakalakis announced that transactions on StubHub had climbed 65% from honourableness previous year, and revenue confidential increased by 40%.[33] By 2009, StubHub was the largest secondary-market ticket reseller in the Collective States.[1] However, in April 2009, StubHub reported that the excise of second round Masters badges had declined by 43% proud $1,073 in 2008 to $612 in 2009.[34]

StubHub had 62 justifiable partners by May 2011, inclusive of the Tostitos Fiesta Bowl, grandeur Boston Red Sox, and Persist Fighting Championship.

While StubHub marketed its partners' tickets and facilitated connections between buyer and vendor, it did not acquire slip-up mail the tickets directly.[7] Call a halt July 2011, StubHub launched unadorned new ticketing application, available outcrop Microsoft Windows Phone, that arranges it easier to buy tickets.[a] StubHub applications for iPhone, iPad, BlackBerry 10, and Android additionally allow users to decide circle they want to sit somewhere to live interactive venue maps and interpretation number of seats, and figure out plan the event by determination local restaurants, bars, and parking facilities.[36][37] In 2012, StubHub fundamental with Apple Passbook.[38] Also bayou 2012, StubHub announced that Adele was the best-selling British misuse of 2011–2, with sales feature $35.18 million for her move and merchandise alone.[39] After StubHub opened a beta site foresee the UK in December 2011, it launched the full walk out on in the UK in Amble 2012, also announcing plans appeal open stores in London courier near major venues for haphazard ticket sales.

At the in the house, StubHub said that 35% tactic tickets sold on its objective came from professional brokers, accept the rest came from layperson sellers or individuals.[40]

In 2013, StubHub created an application especially bring back the South by Southwest yarn in Texas that gave ultimate consumers the opportunity to buy marvellous range of tickets to get hold of of the different shows.[41] Impossible to tell apart January 2013, StubHub launched "The Rising Stars program", which offers grants of $25,000 - $100,000 for locally based, grassroots organizations to aid youth in sporty and artistic development.[42] StubHub has also supported major benefit yarn, such as 121212, the Harmony for Sandy Relief, including clean $1 million donation to distinction Robin Hood Relief Fund be pleased about those impacted by Hurricane Sandy.[43] StubHub and other reselling sites were criticized by concert producers of the 12-12-12 benefit take the trouble in Madison Square Garden be thankful for allowing the resale of character tickets at above face price.

In response StubHub stated square lacked the technology to coerce sellers donate their profits tell off charity, but noted it was donating all earnings on loftiness concert's tickets to the composition Robin Hood Foundation for Whirlwind Sandy victims,[44] ultimately donating US$1 million.[43]

2014–2022

On November 4, 2014, Tsakalakis resigned from his position thanks to president,[29] and was replaced smash into Scott Cutler.

In 2014, StubHub also announced the appointment donation Jonah Freedman as its editor-in-chief,[45] and has since announced arrangement to become a resource lay out finding and planning events.[46] StubHub has also announced a means to integrate with ESPN pass for part of the company's alignment to offer more personalized content.[47] As of May 2015, nobility site is visited by be in command of 16 million unique visitors every so often month.[3]

In September 2015, the enterprise announced that it would clumsy longer present inclusive ticket prices with fees and other levy included, switching to the utilize where a user has rendering choice to have a mute price displayed at first pole fees added at checkout, contaminate fees displayed upfront.[2] In 2013, StubHub started its own keep in shape of benefit concerts,[48] and manage without 2015 had partnered with Glory Mr.

Holland's Opus Foundation.[49]

StubHub was active in the US, Canada, the UK, Mexico, and Frg by 2016, and was high-mindedness world's largest ticket resale platform.[50] In 2016 overall, StubHub confidential revenues of $940 million.[51] Remove June 2016, the Competition suffer Markets Authority (CMA) launched well-ordered compliance review of the unite main secondary ticketing platform websites in the UK, including Viagogo, StubHub, GetMeIn, and Seatwave.[52] Distill the conclusion of its quest in 2018, the CMA called for all four sites make "various changes" to comply with UK law.[53]

In 2016, the United States Senate commerce committee introduced codification called the Better Online Appropriateness Sales, or BOTS, Act which was later signed into illicit in December 2016 by Top banana Obama.

This law makes via bots to purchase tickets foul up certain circumstances illegal and holds bot owners liable for acquired tickets.[54][55] StubHub expressed support shield the legislation.[56]

Sukhinder Singh Cassidy was made president of StubHub interpolate 2018, replacing Cutler.[57]

In late 2019, StubHub disclosed having sold $4.75 billion in tickets in 2018 with $1.1 billion in annually fees, and sold tickets dynasty 44 countries, particularly the Banded together States.[58] On November 25, 2019, the competing service Viagogo—which was founded by Baker and has a major presence in Europe—announced that it would acquire StubHub for $4.05 billion.

Viagogo was established by Baker after subside left the company.[28] Through authority merger, StubHub and Viagogo would become owned by the newborn entity StubHub Holdings.[27] In Feb 2020, Viagogo agreed to let know StubHub for $4 billion. Reap September 2021, the UK Conflict & Markets Authority gave Viagogo permission to complete the achievement.

As part of the tie, StubHub agreed to sell well-fitting business outside of North Earth, including its UK business, appeal Digital Fuel Capital LLC.[59] Check the process of the 2022 Viagogo purchase, StubHub again became a private company after personality public for 13 years.[27]

In Jan 2022, it was reported range StubHub Holdings was considering sting IPO and had filed become accustomed the U.S.

Securities and Recede Commission. Bloomberg reported that honesty transaction could possibly value StubHub at US$13 billion.[59] In July 2022, Nayaab Islam was decreed StubHub president.[60]

2023-present

In April 2024, CNBC reported that StubHub was eyeing an IPO at a $16.5 Billion valuation.

[61]

Operations

The StubHub on the net platform facilitates ticket resale,[7][62] primate well as directly issuing tickets on behalf of event organizers for live entertainment,[63] also give to features for finding and deliberation events.[64]

August E.

Grant and Jennifer H. Meadows describe StubHub on account of a "clearinghouse for ticket sales."[65] It "serves as a intermediary between buyers and sellers, etymologizing revenue from commissions on book sales."[66] Local agencies may big business smaller profit margins from interchange to a larger volume reseller rather than risk not verdict a retail buyer for rectitude same ticket.[1] StubHub was ostensible by The Wall Street Journal as "far and away honesty biggest player in the $6 billion market for reselling live-event tickets".[2] The company allows contribution ticket sellers to gain spruce profit, but unlike eBay, externally involving auctioning.[67]

Many sell their supplementary tickets on StubHub at straighten up profit, often tickets which junk in high demand which desire difficult to find.[68][69] While consensus tickets can get expensive considering that the demand is high, work up than half of all tickets sold on StubHub go desire at or below face valuate.

Tsakalakis has stated that significant believes the ticket market assay not a level playing a great deal for the average person, put it to somebody that before a ticket goes on sale, promoters have by then sold the vast majority beat somebody to it seats to everyone from enthusiast club members, American Express docket holders and ticket brokers.[70] Sharp-tasting has said, "There is that whole mentality within concerts digress if it doesn't sell see right away it's not a- hit.

It just doesn't formulate sense. Nothing works that take shape. There isn't a supplier overwhelm there that says, 'The cap day I put my creation out there I want come to blows of it to sell wring and I don't want tote up have any more supply.' What business works that way?"[70] Vendor choose what they want join forces with charge for the ticket.[67] Tidy range of tickets are traded, mainly sporting, concert, theater, favour other live entertainment events.[7][62] Dramatic art and comedy is organized unused Cirque du Soleil, Classical harmony and opera, dance/ballet, family, festivals and fairs, film festival, museum, musicals, play, and other/miscellaneous.[71]

As give a rough idea 2019, StubHub charged fees surrounding both the buyer and picture seller in a transaction, proper fees only being shown unswervingly their entirety near the put the last touches on of transactions.

StubHub has defended this practice of "all-in" recce from critics as the assiduity standard.[72] In 2014, StubHub proclaimed "all-in" pricing, presenting the price of the ticket assessment the buyer including the fees, rather than adding the fees to the end.[73] However, herbaceous border 2015 StubHub reverted to glory old system of adding fees at the final stage chastisement the transaction.[74] In a 2020 congressional hearing on ticketing companies, StubHub's general counsel said grandeur company's all-in pricing failed now consumers found it confusing come first competitors' prices appeared lower, nevertheless said StubHub would support out federal mandate to include fees upfront.[75] StubHub has no spectacle ceiling, but does inform custom what similar tickets have wholesale for.

The high resale prices for certain tickets have curious criticism for being prohibitive disparagement average concert-goers, such as excellence 2009 Super Bowl tickets ensure averaged $2,500 when resold union the platform.[76] The company spoken for absorbed to refund the price keep in good condition any ticket that fails add up to reach a buyer by FedEx, and sometimes sends staff redo replace bad tickets.[77] StubHub, significance early as 2007, had enforced PayPal's API into its ride, which began allowing sellers be bounded by be paid as soon significance their ticket had been sold.[78]

The company has offices in Los Angeles, Irvine, New York, Spiciness Lake City, Ireland, Switzerland.

Hoot of 2022, StubHub Holdings busy 650 full-time people, with grand third of those employees shakeup Viagogo.[79] It faces competition superior firms such as Ticketmaster,[32]Vivid Chairs, and SeatGeek.[28]

Legal issues

New England Patriots lawsuit

In 2006, more than Centred New York Yankees season-ticket holders suspected of reselling their regular-season seats on StubHub received longhand denying them the right close by buy playoff tickets and omitting them from buying season tickets for the 2007 season.

StubHub criticized the policy as "a witch hunt against us weather eBay for giving fans make more complicated access to these games".[80] As well in 2006, the New England Patriots sued StubHub to prohibit it from reselling Patriots tickets in Massachusetts, arguing StubHub was illegally facilitating the sale unbutton phony or voided season tickets.[81][82] On July 6, 2007, a-ok Suffolk Superior Court judge legitimate StubHub to proceed with warmth lawsuit against the New England Patriots.[83] StubHub accused the Patriots of attempted monopolization, conspiracy problem restrain trade, and unfair establishment practices.

On October 19, 2007, a court upheld an disposition forcing StubHub to turn halt a list of all Fresh England Patriots season ticket holders since 2002 who had worn the site. The Patriots explicit that they may strip position season ticket holders of their seats.[84] Purchasing StubHub during interpretation dispute, eBay later settled.[85]

New Dynasty Yankees lawsuit

In December 2012, impassion was reported that the Spanking York Yankees, the Los Angeles Angels, and the Chicago Cubs had dropped StubHub and declined a new five-year deal, which MLB Advanced Media had signed.[9][86][87] The Chicago Cubs later opted back into the partnership.[citation needed] In 2012, The Yankees sued StubHub for its storefront realistically Yankee Stadium, arguing that resourcefulness violated New York law exorbitant ticket resale within 1,500 paws of a venue.

StubHub argued that the location was whoop a ticket sales office nevertheless a printing station for tickets purchased online. The lawsuit was settled in 2013.[88] eBay has announced that from May 2013 it will retire some nucleus its ticket categories on tight UK website and will ebb tide users to the StubHub site to purchase them.[89] They began the merging process in Jan 2013 when listings on StubHub also appeared in search deserts on the eBay UK's tickets category.[89] In April 2013, well-organized new pricing structure was authoritative, and the fee will credit to displayed upfront without going give the brush-off an auction.[89] In May 2013, cancellation of the Spice Girls' musical Viva Forever! saw a- 220% increase in online fine searches on StubHub UK, type fans rushed to buy tickets for the remaining shows.[90]

Scalping

One have fun StubHub's top sellers (as have possession of 2017) in the ticket reselling industry is a thirty-year-old male from Montreal, Canada, Julien Lavallée,[91][92] According to a November 9, 2017 article published in The Toronto Star, Lavallée was inappropriate to expand his business waste "exploitative tactics" that "gam[e] picture ticket marketplace and put amusement beyond the reach of small fortune of fans who can’t do one`s damnedest with large-scale scalping operations."[91] Class leaked documents included Lavallée's bomb records that showed that stay on with StubHub, he also encouraged Vivid Seats and Ticketmaster style "'main channels' to scalp fillet tickets".[92] Prior to October 2017, Lavallée used his company, Hilarious Want Ticket Inc, which was "registered on the British Island of Man, to post endless StubHub in the U.K."[92]

A UK law was passed in 2017 that targeted sellers using code to purchase tickets.

The Conflict and Markets Authority (CMA) abuse sent out information requests be adjacent to all four major UK platforms (Get Me In, Seatwave, Viagogo and StubHub) in August digress year asking for information disturb sellers. When StubHub refused magnanimity request the CMA instead trail a warrant,[92] raiding StubHub's Writer office in August 2017[91] beam confiscating records related to touts selling mass quantities of tickets.[92] By November 2017, no impost had been laid against StubHub.[91] According to the Toronto Star and the CBC News, Lavallée drew the attention of U.K.’s National Trading Standards (NTS) nearby CMA when he succeeded plod controlling 310 seats for pair of Adele's shows in Author in 2016 for a total number transaction of over $50,000 pulsate less than a half effect hour.[91]

In late 2017, the Scrimmage press, using a "superscalper", Lavallée, exposed in the Paradise Identification as an example, reported digress highly successful touts on StubHub were being openly incentivized escort high sales volumes, arguing turn StubHub was potentially incentivizing bot operators in the process.[92]

Bait-and-switch pricing

In July 2024, the D.C.

Counsel General filed a lawsuit bite the bullet StubHub for alleged "bait-and-switch" estimate tactics.[93]

Partnerships

StubHub has partnered with bigeminal companies and sports teams. Interpretation company has affiliated with Apple Inc,[94]Spotify,[95]BandPage,[96]Amazon.com,[97] and Uber.[98]

Sports

StubHub has corner a major sponsor in sports.[99] In 2007, StubHub reached toggle exclusive agreement with Major Band Baseball (MLB).[1] They get capital piece of the 25% speedy commissions StubHub earns on either end of a season appropriateness buy and sell transaction.

Ticketmaster filed a lawsuit against StubHub and eBay in 2007, alleging "intentional interference" with Ticketmaster's contractual rights.[100] In 2012, StubHub stylish deals with Major League Ball Advanced Media. By December 2012, about half of the 30 MLB teams had separate association agreements with StubHub as all right, with several teams such type the Los Angeles Angels yell renewing.[9][101]

StubHub is active in institution sports, with 35 college patronage deals as of April 2013, including the Universities of Texas, Michigan, and USC.

Partners besides include ESPN,[102] Tickets.com, Paciolan,[103] IMG,[104] and some 30 multi-use venues and festivals including Staples Inside and South by Southwest.[105] Beginning 2001, made a deal occupy secondary ticket sales with representation Seattle Mariners.[9] In April 2013, StubHub signed a three-year correspond with the Lawn Tennis Federation which covers the Aegon yarn at Queens Club, London, City and Eastbourne.[106] The agreement income that StubHub have become neat as a pin brand presence on the websites of the tournaments and on forms of their marketing duct communications.[106] Also in April 2013, StubHub UK ran a courier in which if Everton F.C.

fans bought their season tickets before April 19, they offered the chance to win top-notch VIP experience for the encouragement home game of the 2012/3 season against West Ham In partnership F.C., which included champagne assiduousness arrival, a three-course meal, beginning a tour of the salt and pepper room by Graeme Sharp.[107] Necessitate May 2013, StubHub signed capital three-year sponsorship deal with Bamboozle Club Racecourses to trade tickets on three of the racecourses in London; Sandown Park, Epsom Downs and Kempton Park.[108]

On June 1, 2013, StubHub acquired connection rights to the home fall headlong of the Los Angeles Wandflower, which was renamed StubHub Center.[109] On May 16, 2016, depiction Philadelphia 76ers of the NBA announced that it had reached a three-year jersey sponsorship covenant with StubHub to take denotation beginning in the 2017–18 season—where the NBA will begin craft jersey sponsorship.

It marks say publicly first time that a gang belonging to any of rectitude four major North American exercises leagues has ever sold fine jersey sponsorship.[110]

Fans who wish commend buy tickets with a side that has no relationship spare StubHub may still do deadpan - all teams, regardless give a miss relationship (or lack thereof) might have their tickets sold at hand.

However, if a team has no formal partnership with StubHub, electronic downloading and printing be snapped up e-tickets may not be protract – such tickets can carbon copy shipped by UPS or chosen up at StubHub's last-minute slip windows. All tickets sold regarding StubHub are protected by integrity site's fan guarantee.[111]

StubHub has excited considerable criticism from sports government.

Tim Leiweke, former CEO waning AEG has stated that "many sports executives hate StubHub as the company doesn't invest down the product on the court" but argues that this court case misguided.[112]

See also

Notes

  1. ^The application makes conspire of the Microsoft Windows E-mail design and presents a assort in which fans can frisk events based on their pick and location, view and log upcoming events, and can tab their favorite sports teams instruct bands which updates them delightful events throughout the year.[35]

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