StubHub Eyes Australia
U.S.-based online ticket reseller StubHub plans to enter the Australian market in the next two or three years.
“Australia is a very good market,” senior director Glenn Lehrman told The Australian newspaper. “There is not much restriction on secondary sale and it is a huge sport-going public. It is more of the U.S. model here.”
But Adam McArthur, chief executive of Sydney-based News Ticketing told Pollstar the two markets are vastly different.
“The resale market in the U.S. is driven by sellout sporting events where season ticket holders tend to have the majority of the ticket market, meaning a smaller number of tickets are available to the average punter,” he said.
“On a global scale, the Australian market is small for primary ticket sales and even smaller for resales so it would be very interesting to see how they would adapt their business model to suit this market.
“That being said, their interest in Australia shows how the global industry views Australia as a key market for expansion.”
Promoter Michael Chugg of Sydney-based Chugg Entertainment warned, “Will they sell more tickets or the same tickets differently? We need to be careful about discounting of ticket prices. You can see what happened in North America.”
Chugg reckoned that the Australian concert sector “needs to move to a more dynamic pricing model like the airlines.”
He added, “A lot of these resellers only want the best seat. Just because someone has the capacity to pay a higher ticket price does not make them a better audience member or fan.
“We need to keep the energy and vibe in the room right. That is why we always make sure there are front-row seats for the public in all our shows.”