There are a few key differences between Ticketmaster and StubHub that explain why Ticketmaster often shows events as “sold out” while StubHub still has tickets available. Ticketmaster is the primary ticket seller for most major concerts and sporting events. They have deals with venues, artists, teams, etc. to be the exclusive primary ticket outlet. StubHub on the other hand is a secondary market ticket reseller. They do not actually sell the initial batch of tickets to events, but rather facilitate resales of tickets between fans and other third party sellers. This leads to some key differences:
Ticketmaster sells the initial batch of tickets
When tickets first go on sale for an event, Ticketmaster is typically the only authorized place selling them directly from the venue or event organizer. At this point demand is highest as fans rush to get tickets as soon as they are available. Because Ticketmaster has a finite number allocated directly from the source, it is very common for shows to sell out on Ticketmaster in the initial onsale.
StubHub sells tickets resold by fans
StubHub does not have any special allocation of tickets. Instead, they facilitate resales between fans who bought tickets already and now wish to resell them. These resale tickets are less limited because they depend on how many fans bought tickets initially but cannot attend the event and choose to resell via StubHub. As a result, StubHub may still show ticket availability even when Ticketmaster is showing an event as sold out.
Ticket limits differ between initial and resale sales
When tickets first go on sale via Ticketmaster, there are generally ticket limits in place to prevent brokers or scalpers from buying up all the tickets. Limits may be as low as 2 or 4 tickets per customer for a very high demand show. On StubHub, those limits are removed because these are resale tickets being posted after initial sales. Someone who bought the full limit of 4 tickets may repost 2 of them for resale, making more total tickets available.
Why Ticketmaster Sells Out So Quickly
There are a few key reasons why Ticketmaster tends to sell out so quickly when tickets are first made available to the public:
Exclusive deals with venues
As the primary ticketer, Ticketmaster has exclusive deals in place with many major venues, artists, and teams to be the only authorized seller when tickets first go on sale. This means all sales happen through them directly at least initially.
High demand
For very popular events, there is more demand from fans wanting tickets than there is ticket supply available. When millions of fans all rush to buy from the same finite source at the same time, inventory will sell out quickly.
Bots and scalpers
Unfortunately in many high profile onsales, bots and scalpers will try to buy up as many tickets as possible to resell at a markup. Strict ticket limits help, but this still removes some supply from real fans in the initial sales.
Factor | Description |
---|---|
Exclusive deals | Ticketmaster has exclusive rights to first sales |
High demand | Millions of fans for finite ticket supply |
Bots and scalpers | Resellers take supply from real fans |
Why StubHub Doesn’t Sell Out
In contrast, there are some key reasons why StubHub tends to still have ticket availability even when Ticketmaster shows an event as sold out:
No exclusive ticket deals
StubHub does not have any special allocation of tickets or exclusive deals with sources. They rely entirely on resellers posting tickets.
Supply chains off initial limits
Once a seller posts a resale ticket, it is no longer subject to the original Ticketmaster purchase limits. More tickets can be resold.
Prices rise to meet demand
Since StubHub is a secondary market, prices will naturally adjust upwards for high demand until equilibrium is met between buyers and sellers. Higher prices reduce demand.
Factor | Description |
---|---|
No exclusivity | No guaranteed inventory pipeline |
Releasing limits | Resale supply unrestricted by initial limits |
Prices rise | Higher prices reduce demand |
Do Ticketmaster and StubHub Compete with Each Other?
While Ticketmaster and StubHub may appear to be competitors on the surface, they actually occupy fairly distinct niches within the ticketing space:
Ticketmaster dominates initial sales
As the exclusive primary ticketer for many major events and venues, Ticketmaster dominates the initial sale of newly released tickets to the general public. Most fans know to check Ticketmaster when tickets are first going on sale.
StubHub dominates resales
In contrast, StubHub has become the dominant player in the secondary ticket resale market. Both buyers and resellers gravitate to StubHub over other resale options due to its reputation and buyer protections.
Some overlap exists
There is some overlap between the two companies. Ticketmaster does also offer resale tickets through its TicketExchange platform. And StubHub will sell the occasional ticket directly from the source for small events without an exclusive primary deal. But mostly they dominate their respective niches.
Company | Core Business |
---|---|
Ticketmaster | Primary ticket sales |
StubHub | Secondary resales |
Typical Lifecycle of a Ticket
Knowing the differences between Ticketmaster and StubHub, we can summarize the typical lifecycle of a ticket to a high demand event this way:
- Tickets initially go on sale exclusively via Ticketmaster, immediately selling out
- Sold out tickets start being resold by fans at higher prices on StubHub
- As event approaches, prices on StubHub may drop as sellers lower prices
- Right before event, some sellers on StubHub are unable to sell and accept lower prices
So in summary:
- Ticketmaster sells out quickly as primary exclusive source
- StubHub has resale availability but at much higher prices
- As event nears, StubHub prices start falling back down
This cycle results in Ticketmaster being sold out, while StubHub still has tickets but for a premium price initially.
Strategies for Finding Ticket Deals
Given this market dynamic, what are some tips for finding deals on coveted tickets that show as sold out on Ticketmaster?
Buy during presales
Try to purchase tickets during presales like fan club presales before the general public onsale. These presales are less crowded.
Wait leading up to the event
As noted above, prices on StubHub tend to come down as the event date approaches and sellers reduce prices.
Buy last minute
Similarly, buying on StubHub at the very last minute can sometimes yield great deals on tickets from desperate sellers. But this is risky.
Buy single tickets
Single seat tickets are more likely to be available below market price versus pairs. People are willing to pay more for pairs of seats together.
Strategy | Notes |
---|---|
Buy in presales | Before general public onsale |
Wait until last minute | Prices drop but risky |
Buy single seats | Singles cost less than pairs |
Conclusion
In summary, Ticketmaster sells out so quickly because it has the exclusive initial ticket inventory from venues. StubHub has more availability mid-cycle because it can unlock additional supply from ticket resales. Prices are higher on StubHub, but can start to decline over time leading up to events. With the right strategy, good deals can be uncovered even when Ticketmaster shows sold out.