StubHub, a top ticket resale site, has a complex history. It was started in 1999 by Eric Baker. Over the years, its ownership has changed a lot.
Today, StubHub is owned by Viagogo, another big ticket resale company. Viagogo bought StubHub in 2020 for about $4.1 billion. This move has changed StubHub’s path in the industry.
Knowing who owns StubHub is key for fans and users. StubHub sells over 300 million tickets every year. Its ownership, now with Viagogo, affects the whole ticket resale world.
StubHub Origins and Foundation
StubHub started as a class project by Eric Baker and Jeff Fluhr at Stanford Graduate School of Business. They focused on the secondary market for sports tickets. This allowed users to buy and sell tickets online securely and efficiently.
The founders wanted to make a platform for ticket exchange. They aimed to provide a convenient and reliable service. This vision grew into a leading platform for ticket exchange in the secondary market.
Early Business Model
StubHub’s early model was about a secure online marketplace for ticket buyers and sellers. Users could browse and buy tickets for sports games, concerts, and theater. This was the start of a big success story.
Initial Funding Sources
StubHub got its first funding from Pequot Ventures. This helped the company make $50 million in 2005. The funding allowed StubHub to grow and improve, leading to huge success in the ticket exchange industry.
Original Founders’ Vision
The founders wanted to make buying and selling tickets online easy. This vision has guided StubHub’s growth. It has become a top online marketplace for ticket exchange in the secondary market.
| Year | Revenue | Growth |
|---|---|---|
| 2005 | $50 million | Initial funding from Pequot Ventures |
| 2008 | $5 billion | Became a $5 billion-a-year business |
| 2015 | $940 million | Had over 16 million unique visitors per month |
Current StubHub Ownership Structure
The ticket resale market has seen big changes, with the Viagogo acquisition of StubHub in 2020 being a major one. This deal made Viagogo’s parent company, StubHub Holdings, the new owner of StubHub. The deal was worth $4.05 billion, right in the middle of the expected range of $3.5-4.5 billion.
This change has greatly affected the ticket resale market. Now, Viagogo and StubHub are under the same umbrella. Some important details about this deal include:
- StubHub handles over $4.5 billion in ticket sales every year.
- In FY18, StubHub made $1.1 billion in revenue.
- The deal has made Viagogo a big name in the ticket resale world.
Viagogo acquisition of StubHub is a big deal for the ticket resale market. It will be interesting to see how this change affects the market in the future. With Viagogo and StubHub working together, they are set to grow and expand in the ticket resale market.
eBay’s Acquisition and Control Period
eBay bought StubHub in 2007 for $310 million. This was a big deal for StubHub. It helped the company grow fast, with more users and sales.
This deal also changed the ticket resale market a lot. It made the industry grow and get better.
With eBay’s help, StubHub got better at what it does. This led to more growth for StubHub. It became a big player in the ticket resale world.
Purchase Price and Terms
eBay paid $310 million for StubHub. This showed eBay’s big plans for the ticket resale market. StubHub could keep running its own show, but with eBay’s help.
Business Changes Under eBay
StubHub changed a lot after eBay took over. It started selling more things and made its website and app better. These updates made customers happier and helped StubHub grow.
Market Impact During eBay Era
The eBay deal changed the ticket resale market a lot. It made things safer and more reliable for customers. This shows eBay’s dedication to growing in the ticket resale market.
Viagogo Merger and Acquisition Details
The ticket resale market has seen big changes with Viagogo buying StubHub in 2020. This deal has brought two big names together. Viagogo paid $4.05 billion for StubHub. Now, StubHub Holdings is the parent company of StubHub, starting a new chapter.
This merger has greatly affected the ticket resale market. Both companies now work together, leading to better efficiency and a wider reach. Some important facts about the companies include:
- Viagogo started in 2006 in London and has been a key player in the ticket resale market.
- StubHub has about $2.5 billion in debt and is planning to go public with a $13 billion valuation.
- Moody’s gave Viagogo a high credit rating, showing the company has over $500 million in cash.
The merger has also improved customer service. StubHub hired over 500 customer service agents to cut down on wait times. This change has made it easier for people to buy and sell tickets. As the market keeps growing, the Viagogo acquisition of StubHub will be key in shaping its future.
| Company | Founding Year | Acquisition Price |
|---|---|---|
| Viagogo | 2006 | $4.05 billion (for StubHub) |
| StubHub | 2000 | $4.05 billion (acquired by Viagogo) |
Business Operations Under Present Leadership
StubHub’s sale to Viagogo has brought big changes. The company now has a new team and direction. This change aims to grow and innovate in ticket sales.
Corporate Structure and Management Team
The new team has made StubHub more efficient. They’ve used new tech to make things better for users. They’ve also grown their reach worldwide.
Strategic Direction
StubHub wants to grow and be more innovative in ticket sales. They’ve put a lot into tech and focus on making customers happy. Some key plans include:
- Expanding globally
- Using new tech for a better user experience
- Improving customer service with personal touches
| Category | Investment | Result |
|---|---|---|
| Technology | $750,000 | Improved user experience and increased efficiency |
| Customer Engagement | Personalized recommendations and responsive customer support | Increased customer satisfaction and loyalty |
Financial Performance and Market Position
StubHub has seen great success, with $350 million in EBITDA and $1.4 billion in revenue for the year ending in March. This shows the company’s strong hold in the ticket resale market. With a large user base, StubHub remains a top name in the industry.
The company’s success comes from its wide range of ticket listings. This makes it a favorite spot for fans to buy or sell tickets. Also, its acquisition by Viagogo has helped StubHub grow globally and increase its earnings. Some important stats include:
- Revenue: $1.4 billion for the year ending in March
- EBITDA: $350 million for the year ending in March
- Global presence: Operating in over 90 countries
- Market share: 17% of the secondary market share, with Vivid Seats holding over 40% for professional ticket sellers
StubHub’s success shows its ability to keep up with market changes and serve its users well. As it grows, it’s set to stay a key player in the ticket resale market.
| Year | Revenue | EBITDA |
|---|---|---|
| 2019 | $1.1 billion | N/A |
| 2022 | $1.4 billion | $350 million |
Competition and Industry Standing
StubHub faces tough competition in the ticket resale market. Big names like Ticketmaster and Vivid Seats are among its rivals. Yet, StubHub stands out, thanks to its large user base and wide ticket selection.
Its platform is a key strength, ensuring safe and reliable transactions. StubHub’s vast ticket offerings and global presence give it an edge. It caters to a wide range of ticket buyers, making it a top choice.
Some of the key competitors in the ticket resale market include:
- Ticketmaster
- Vivid Seats
- SeatGeek
- Ticketswap
- AXS
These rivals offer unique services, meeting different needs of event-goers and sellers. StubHub’s success comes from its focus on security, customer service, and innovation.
| Company | Revenue (2020) | Market Share |
|---|---|---|
| StubHub | $1.2 billion | 25% |
| Ticketmaster | $1.5 billion | 30% |
| Vivid Seats | $500 million | 10% |
As the market grows, StubHub’s strong position and advantages set it up for continued success.
Global Presence and Market Reach
StubHub has a big presence worldwide, working in over 40 countries. It’s a big name in the ticket resale market. Millions of people use it to get tickets to live events.
The company works with event organizers, venues, and sponsors. These partnerships help it grow and offer better services. This way, StubHub can reach more people and make more money.
Some key highlights of StubHub’s global presence and market reach include:
- Operating in over 40 countries, including the United States, Canada, and the United Kingdom
- Catering to millions of event-goers and hosting millions of transactions annually
- Strategic partnerships with event organizers, venues, and sponsors to enhance revenue streams and market presence
StubHub is a top name in the ticket resale market. It offers a wide range of tickets and premium services. As it grows, it will keep being a big player in the ticket resale market.
Regulatory Compliance and Legal Framework
StubHub works in a market with many rules and laws. These rules help protect buyers and make sure businesses act fairly. In the U.S., for instance, Illinois has laws for ticket sellers. They must follow federal, state, and local laws.
StubHub’s rules help keep the ticket market fair and safe for everyone. Important laws and rules include:
- The Ticket Scalping Act, which stops selling tickets for more than face value
- The Retailers’ Occupation Tax Act, which makes sellers collect and pay taxes
- Consumer protection laws, which require sellers to offer refunds and follow certain standards
StubHub makes sure it follows the rules to protect buyers. It guarantees tickets are real and has a safe way to pay. The company also gives cash refunds to buyers who need them.
Final Thoughts
StubHub has come a long way in the ticket resale world. It started 22 years ago and now leads the ticket resale market. Its sale to Viagogo for $4.1 billion shows its huge value.
StubHub has faced challenges like regulatory issues and needing a separate team for the Viagogo deal. Yet, it keeps growing. Its partnerships with sports teams and venues help it stay ahead. It also focuses on what customers want.
This summary of StubHub’s journey shows it’s a key player in ticket resale. It’s all about protecting customers, trying new things, and working with others. StubHub is ready to lead the conclusion market into the future.
Common Queries
What is StubHub and who owns it?
StubHub is a well-known ticket resale site. It was started in 2000 by Eric Baker and Jeff Fluhr. eBay bought it in 2007. In 2020, Viagogo bought StubHub for $4.05 billion, making Viagogo’s parent company, StubHub Holdings, the current owner.
What was the early business model and vision of StubHub?
Eric Baker and Jeff Fluhr started StubHub as a class project at Stanford. It focused on the secondary market for sports tickets. Their goal was to make a safe and easy place for people to buy and sell tickets online.
How has StubHub’s ownership structure changed over the years?
StubHub’s ownership has changed a lot. It was first owned by its founders, Eric Baker and Jeff Fluhr. eBay bought it in 2007 for $310 million. Then, in 2020, Viagogo bought StubHub for $4.05 billion, making Viagogo’s parent company, StubHub Holdings, the current owner.
What was the impact of eBay’s acquisition and control of StubHub?
eBay’s ownership of StubHub led to big growth. The company’s revenue and user base grew a lot. eBay’s help also made the ticket resale market grow and innovate.
What was the Viagogo merger and acquisition process with StubHub?
In 2020, Viagogo bought StubHub for $4.05 billion. This made Viagogo’s parent company, StubHub Holdings, the owner of StubHub. This change has had a big impact on the ticket resale market, with Viagogo and StubHub now under the same parent company.
How has the current leadership and management team of StubHub impacted the company’s operations?
After Viagogo’s acquisition, StubHub changed a lot. It now has a new management team and direction. This change has impacted the company’s operations, focusing on growth and innovation in the ticket resale market.
What is the current financial performance and market position of StubHub?
After Viagogo’s acquisition, StubHub grew a lot. It became a top player in the ticket resale market. Its strong market position and large user base have driven its financial success.
How does StubHub compare to its competitors in the ticket resale industry?
The ticket resale market is very competitive. StubHub competes with Ticketmaster and Vivid Seats. Despite the competition, StubHub remains strong, with a large user base and many ticket listings.
What is the global presence and market reach of StubHub?
With Viagogo’s acquisition, StubHub expanded globally. It now operates in countries like the United States, Canada, and the United Kingdom. Its global reach is driven by its strong market position and wide range of ticket listings.
How does StubHub ensure regulatory compliance and consumer protection?
StubHub operates in a regulated market, focusing on consumer protection and fair business practices. It has measures like a ticket authenticity guarantee and a secure payment system to protect consumers.
