Why Does StubHub Have Tickets Before They Go on Sale?
If you’ve ever tried to buy tickets to a popular event, you may have noticed that they sell out within minutes or even seconds after they go on sale. This can be incredibly frustrating, especially if you’re a huge fan of the performer or team and really want to attend the event. However, you may have also noticed that tickets for the same event are available for sale on StubHub, often for much higher prices. So why does StubHub have tickets before they even go on sale?
The Secondary Ticket Market
Before we can answer why StubHub has tickets before they go on sale, we need to understand what the secondary ticket market is. The secondary ticket market refers to the buying and selling of tickets after they’ve been released by the primary seller, such as Ticketmaster or a performing arts center. The secondary market can be made up of individuals who have purchased tickets and can no longer attend, as well as speculators who buy up tickets for popular events in the hopes of reselling them at a higher price.
The secondary ticket market has been around for many years, but it’s exploded in recent years thanks to the internet. Sites like StubHub, Vivid Seats, and TicketNetwork allow buyers and sellers to connect and conduct transactions online. The secondary market has become so popular that it’s now estimated to be worth billions of dollars.
Pre-sale Deals
One of the main reasons why StubHub has tickets before they go on sale is because of pre-sale deals. Many events, especially concerts and sporting events, offer pre-sale deals to certain groups of people before tickets go on sale to the general public. For example, there may be pre-sale deals for members of the artist’s fan club, season ticket holders, or people who have a certain credit card.
These pre-sale deals give people the opportunity to purchase tickets before they go on sale to everyone else. However, not all pre-sale deals are created equal. Some pre-sale deals may only offer a limited number of tickets, or tickets that aren’t in the best sections or rows. Other pre-sale deals may only be available for a short period of time.
StubHub often has tickets to events before they go on sale to the general public because they buy tickets through pre-sale deals. They have connections with event organizers, ticket brokers, and other industry insiders that allow them access to these deals.
Secondary Market Speculation
Another reason why StubHub has tickets before they go on sale is speculation. As mentioned earlier, there are people who buy up tickets for popular events in the hopes of reselling them at a higher price. These speculators may scour the internet looking for pre-sale deals, insider connections, or other ways to get their hands on tickets before they go on sale to the general public.
StubHub is one of the largest and most well-known secondary ticket marketplaces, so it’s no surprise that speculators often turn to StubHub to sell their tickets. StubHub allows people to set their own prices for tickets, which can lead to some tickets being sold for much higher than face value.
Ticket Scalping and Laws
Ticket scalping, or the practice of buying and selling tickets for profit, is illegal in some states and countries. While there are laws that prohibit ticket scalping, they can be difficult to enforce. The secondary ticket market is often unregulated, which means that prices can be extremely inflated.
Despite the illegal nature of ticket scalping in some locations, StubHub and other secondary ticket marketplaces continue to operate. This is because they argue that they are simply providing a platform for buyers and sellers to connect, and that they are not responsible for the prices that sellers set for their tickets. Critics of the secondary ticket market argue that these marketplaces contribute to the problem of ticket scalping by making it easier for people to profit off of buying and selling tickets.
Conclusion
In conclusion, StubHub has tickets before they go on sale for a variety of reasons. One of the main reasons is because of pre-sale deals that give people the opportunity to purchase tickets before they go on sale to the general public. StubHub also has access to insider connections and ticket brokers that allow them to get tickets before they go on sale to the general public. Additionally, the secondary ticket market is driven by speculation, with some individuals buying up tickets with the hopes of reselling them for a profit.
While the secondary ticket market can provide some benefits, such as giving people the opportunity to get tickets to sold-out events, it can also contribute to many problems, such as ticket scalping and inflated ticket prices. As such, it’s important to be cautious when buying tickets on the secondary market, and to only purchase from reputable sellers.