Hubbard said the company is planning a formal debut in '19 with more than 10 undisclosed teamsNATHAN HUBBARD
Former Ticketmaster CEO Nathan Hubbard has "formed a new company based in ticketing" named Rival, but also has "designed to veer heavily into other areas such as commerce, data and analytics, and building security, with an overarching goal of boosting attendance and overall fan spending at live events," according to Eric Fisher of SPORTSBUSINESS JOURNAL. The foundation of Rival emphasizes an "identity-based and mobile-focused ticketing system that allows teams to easily select how and where they distribute inventory, including through various third-party outlets both on the primary and secondary markets." It also focuses on the "ability to track the ownership of individual tickets" while giving operators the ability to "know with far more clarity who is in their buildings." Rival will "not be a consumer destination." Rather, it will "exist as a back-end software platform in which teams will sell inventory through their own sites as well as with chosen partners." The company’s revenue model is "based around software licensing fees coupled with small percentages of the overall gross transactional value around events." Hubbard said that the company is "planning a formal debut" in '19 with "more than 10 undisclosed teams across the four major U.S. pro sports leagues" and the EPL. More than 18 months in development and "widely anticipated within the sports and entertainment industries," Rival has attracted more than $30M in startup funding from VC heavyweights such as Andreessen Horowitz and Upfront Ventures, as well as "several undisclosed pro team owners" and high-profile tech execs like former Twitter CEO Dick Costolo. Rival is based in L.A., and while the company’s current headcount "has not been disclosed, Hubbard expects to have more than 70 employees this year" (SPORTSBUSINESS JOURNAL, 5/7 issue).
FRIENDLY COMPETITION: RECODE's Jason Del Rey wrote to have long-term viability, Rival will have to "cut deals for ticket inventory with teams and venues that today often have exclusive relationships with dominant players like LiveNation and its subsidiary Ticketmaster, as well as younger companies like SeatGeek." At its core, Rival is "building enterprise software to help teams and venue owners get better at two things." Hubbard: "Their two biggest concerns right now are how do I better monetize my fans and how do I keep them safer?" Del Rey noted Hubbard is "hesitant to play up the idea that he is going after the company he used to run, pointing to potential deals where Rival owns the ticket inventory but the team chooses to sell some through Ticketmaster." But the "truth is that Rival is trying to build the next generation of Ticketmaster" and Hubbard "will likely have to steal some business from his former employer to even make a future partnership he envisions possible" (RECODE.net, 5/4). But Hubbard on a Twitter thread announcing Rival's launch wrote, "It’s misguided to think of @Rival as a direct competitor to Ticketmaster. We’re highly complimentary to what they do extraordinarily well. We view them as a partner and our platform can potentially grow one part of their expansive business" (TWITTER.com, 5/4).
FACE TIME: Upfront Ventures Partner Greg Bettinelli said, "No one has materially made a big run at Ticketmaster in the past generation." The WALL STREET JOURNAL's Anne Steele noted Hubbard "believes fully digitizing tickets -- and in some cases replacing them with facial-recognition technology -- could address inefficiencies in how live events operate." Hubbard said that Rival "won't be storing customers' photos, but rather a set of data points derived from them, which events can use to verify attendees' identity and get customers through the gates quicker -- and keep out people on watch lists maintained by law enforcement or the venue itself." Steele notes the ticketing industry is "ripe for disruption." People are "spending more than ever on experiences." Hubbard said, "We've basically not changed the format of the access credential since the Roman Colosseum" (WALL STREET JOURNAL, 5/5).
