SBJ/20100830/This Week's News

Paciolan, StubHub launch ticket partnership

Paciolan and StubHub have agreed to a partnership in which StubHub’s secondary ticketing functionality is offered with Paciolan’s primary ticketing systems for college football and basketball.

Financial terms of the deal were not disclosed, but the multiyear pact is based heavily on revenue sharing of secondary ticket commissions earned through the partnership, officials said.

The deal starts with a slow rollout this football season at Florida State and Purdue, two of Paciolan’s 98 college sports accounts. More schools are expected to go online for basketball season, said Paciolan CEO Dave Butler.

Paciolan clients are not required to use the new program and have the option to stick with their own resale operations, Butler said.

Sixteen schools currently use Paciolan’s own Ticket Marketplace system, which allows season-ticket holders to resell tickets. FSU and Purdue are not among them, said Craig Ricks, Paciolan’s director of marketing.

For athletic departments choosing the Paciolan-StubHub alliance, every ticket resold through the partnership will be delivered electronically through an immediate transfer of barcodes.

The buyer prints the tickets on his computer, and the ticket seller is paid in a safe, secure environment, officials said.

That confidence for buyers and sellers to make transactions is a point of distinction, company officials said. StubHub has its own patented guarantee for doing business on the secondary market, and Paciolan’s technology on the back end prevents mistakes such as sending e-tickets for the wrong game.

The integration also allows StubHub to resell tickets until the day of the game compared with overnight delivery models where tickets are taken down 72 hours before the event, Ricks said.

“This is a huge step for us,” said Danielle Maged, StubHub head of partnerships and business development. “It’s a great marriage of serving both the client and the consumer. Given that everything in this is electronic, it allows us to do so much more in that last 48 hours before an event.”

The deal also further extends StubHub’s push into college sports. The eBay-owned outfit has aggressively targeted the college market on its own recently and now has 18 separate deals with schools, conferences and basketball tournaments.

Butler said the partnership is good for participating schools, as well. It provides a new service to season-ticket holders, and the institutions can build a database of new prospects tied to the secondary market.

He added that for existing season-ticket holders who are unable to attend every home game, the deal provides additional confidence for them to renew for the following season knowing that there is a convenient method to resell their tickets that is supported by the university.

Paciolan is a subsidiary of Comcast-Spectacor.

In the case of Purdue, the school is already a StubHub partner, but Purdue does not fulfill secondary ticket orders on its own, said Barb Kapp, associate athletic director for marketing, ticketing and technology.

 The new deal provides a more seamless process for Purdue’s season-ticket holders in addition to generating incremental revenue for the athletic department, Kapp said.

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