AEG And Ebay
Announce Partnership

Anschutz Entertainment Group and eBay have joined forces for a global agreement that makes StubHub the exclusive secondary ticketing partner for AXS Ticketing and brings AEG’s BandMerch merchandising company and its roster to the eBay market.

The move enables AEG to grab some of the coveted secondary market as well as create new avenues for marketing other areas of its ancillary businesses, from VIP package sales to T-shirts.

The ticketing and marketing components of the deal are to roll out in January and full integration, including mobile technologies with AEG venues worldwide, is to be phased in within a few months.

The partnership comes as AEG is on the sales block, and any buyer will inherit the deal. But it also gives AEG a foothold in the secondary market, similar to that of Ticketmaster with its TicketsNow resale platform.

And as controversial as the secondary market is in many circles, companies like AEG and Live Nation have a tremendous interest in at least keeping some of that money on their own tables – and those of the artists.

While no one is talking specifics, AEG will receive a share of revenue from StubHub’s transaction commissions originating on its own websites. StubHub will provide its own barcode cancel/re-issue technology and purchasers will receive new tickets directly from AXS, while the companies vow to make a clear distinction on website storefronts which are offered as primary and which are the generally more expensive secondary tickets.

As StubHub does with sports tickets, most notably as Major League Baseball’s official resale partner, there will be a fan-to-fan sales marketplace element, as well.

StubHub will be designated as one of 11 “Founding Partners” of AEG’s Staples Center in Los Angeles, and fans can start expecting to see a variety of customized signage inside and outside the venue, as well as an enhanced online experience during events.

StubHub Rewards members will also see immediate perks, including opportunities for seat upgrades, behind-the-scenes tours and access to VIP hospitality opportunities including Staples Centers’ Hyde Lounge and Lexus Club.

But the deal isn’t just about grabbing a share of the secondary market, lucrative as it is, hawking a few more trinkets at the show or even giving consumers more VIP treatment. The deal also brings the technology of online behemoth eBay to the party – which may be the most significant aspect of the agreement.

It means purchases can be made via eBay subsidiary PayPal, which has more members than American Express and Discover combined have cardholders, according to StubHub. BandMerch artists will be featured on eBay Marketplace. And as the partnership expands, further integrations between eBay and AEG global assets will come into play.  

“Ebay is one of the most complete and well-rounded e-commerce and technology companies in the world and pairing our combined capabilities and global reach is an exciting opportunity,” AEG President/CEO Tim Leiweke said. “This partnership will help bring even deeper digital resources and online marketing reach to the AXS Ticketing platform and will allow us to continue to transform the live event experience.”