Ticketmaster is a subsidiary of Live Nation Entertainment, which trades on the New York Stock Exchange under the ticker symbol LYV. Live Nation Entertainment was formed in 2010 after the merger of Live Nation and Ticketmaster. So while Ticketmaster itself does not have its own publicly traded stock, its parent company Live Nation Entertainment does.
Quick Answer
The stock for Ticketmaster is Live Nation Entertainment, which trades under the ticker symbol LYV on the New York Stock Exchange.
About Ticketmaster
Ticketmaster is a ticket sales and distribution company based in Beverly Hills, California. It sells tickets for events on behalf of concert promoters, professional sports franchises, theaters, and other clients. Ticketmaster has exclusive deals with many major venues and artists to sell tickets online and through phone sales.
Some key facts about Ticketmaster:
- Founded in 1976 in Phoenix, Arizona
- Pioneered the use of phone and internet technology for automated ticket sales
- Acquired by USA Networks in 1997, which later became InterActiveCorp (IAC)
- Merged with Live Nation in 2010 to create Live Nation Entertainment
- Processes over 500 million ticket sales per year as of 2014
- Owns or has exclusive deals with major venues like Madison Square Garden
- Has exclusive ticketing deals with artists like Jay-Z, Miley Cyrus, One Direction
Despite its dominance in ticketing, Ticketmaster has also received criticism over the years for its fees and lack of competition in the industry.
History of Ticketmaster
Ticketmaster was founded in 1976 in Phoenix, Arizona by two computer programmers, Gordon Gunn and Peter Gadwa. It was one of the first companies to use call centers and website technology to sell tickets.
In 1982, Ticketmaster provided ticket sales for the first NFL Scouting Combine, which was the launch point for the company to begin working with professional sports teams and leagues. Throughout the 1980s and 1990s, Ticketmaster acquired several regional ticketing companies to expand its operations nationally.
Key events in Ticketmaster’s history:
- 1976 – Founded in Phoenix, AZ
- 1982 – Contracted to provide ticketing for first NFL Scouting Combine
- 1996 – Launched first website for online ticket sales
- 1997 – Acquired by USA Networks, later becoming part of IAC
- 1998 – Signed exclusive deal with the NFL for team ticketing
- 2008 – Launched secondary ticket market exchange with TicketsNow
- 2009 – Merged with Live Nation in $2.5 billion deal
- 2010 – Merger finalized forming Live Nation Entertainment
The key merger between Ticketmaster and Live Nation in 2009 brought together the largest concert promoter in Live Nation with the biggest ticket seller in Ticketmaster. This created the vertically-integrated Live Nation Entertainment company that exists today.
About Live Nation Entertainment
Live Nation Entertainment (NYSE: LYV) is the world’s largest live entertainment company. It was formed in 2010 after the merger of Live Nation and Ticketmaster.
Some key facts about Live Nation Entertainment:
- Headquartered in Beverly Hills, California
- CEO is Michael Rapino
- Over 10,000 employees worldwide
- Owned concert venues include House of Blues and the Fillmore
- Represented over 500 top artists in 2019
- Reported $11.5 billion in revenue in 2019
- Stock is included in the S&P 500 index
Live Nation owns Ticketmaster and integrated it alongside its concert promotion business and owned/operated venues and festivals. This allows Live Nation to manage most aspects of the live event business from venues to ticketing and artist promotion.
Key Operating Units
Live Nation Entertainment has three main operating units:
1. Ticketing
This includes the Ticketmaster brand and associated websites, apps, and sales channels for event ticketing. Key facts on ticketing:
- Ticketmaster sells over 500 million tickets per year
- Over 11,000 global clients including venues, sports teams, and promoters
- Sells through website, mobile apps, phone, and box office windows
- Offers fan-to-fan ticket exchange through secondary market
- Accounts for over 25% of Live Nation’s total revenue
2. Concert Promotion
Live Nation promotes over 40,000 live music and comedy shows globally each year. Key facts on concert promotion:
- Owns and operates a network of over 60 owned/operated venues
- Promoted shows for over 500 artists in 2019
- Concert promotion generates over 50% of total Live Nation revenue
- Also manages advertising and sponsorships for venues and events
- Owns C3 Presents, which produces large festivals
3. Sponsorship and Advertising
Live Nation offers national and local sponsorships, along with venue naming rights and on-site promotions. Key facts:
- Sponsors pay for naming rights, on-site promotions, displays, etc.
- Over 75% of Live Nation amphitheaters have naming rights deals
- Generated over $320 million in revenue in 2019
- Also runs Artist Nation sponsorship and marketing arm
Live Nation Entertainment Stock
Live Nation Entertainment trades on the New York Stock Exchange under the ticker symbol LYV. Here are some key facts about LYV stock:
- Listed on NYSE since 2010 after Ticketmaster/Live Nation merger
- Stock is included in the S&P 500 index
- 52-week range of $21.70 to $76.60 per share
- Market capitalization of over $16 billion as of October 2020
- Average daily trading volume over 2 million shares
The COVID-19 pandemic had a significant negative impact on Live Nation’s business in 2020 due to restrictions on live events. Its stock is still down around 25% from pre-pandemic levels in early 2020. However, the stock has rebounded strongly from lows below $30 per share in early 2020 at the onset of the pandemic.
Competition
As the world’s largest ticketing and live events company, Live Nation Entertainment and Ticketmaster have few direct competitors. However, some competitors include:
- AXS – Ticketing and distribution platform owned by AEG Worldwide
- SeatGeek – Primary ticketing provider and marketplace
- Local theater and conference center ticketing companies
- Eventbrite – Online event registration and ticketing geared towards smaller events
- Vivid Seats – Secondary ticket vendor and reseller
- StubHub – Owned by Viagogo and competes with Ticketmaster’s secondary exchange
Live Nation Entertainment enjoys significant competitive advantages in the industry due to its size, exclusive artist relationships, owned venues and festivals, and integrated business model. However, its dominance in the ticketing market also means it has received notable scrutiny from regulators over pricing and fees.
Criticisms and Controversies
With its leading size and position in the live event ticketing industry, Ticketmaster has also faced some criticisms and controversies over the years including:
- Fees – Ticketmaster has at times added over 25% fees onto face ticket values, drawing customer complaints.
- Lack of competition – As the dominant primary ticketing platform, some say Ticketmaster faces inadequate competition.
- Anti-competitive concerns – The 2009 merger with Live Nation raised anti-trust issues, though it ultimately was allowed with some concessions.
- Bots and bulk sales – There is a perception that automated bots buy up bulk tickets before consumers can get them during on-sales.
- Difficulty getting refunds – Customers sometimes complain about the difficulty in getting refunded for cancelled or postponed shows.
In general, Ticketmaster’s position in the industry and the lack of extensive competitive options for primary ticketing have led to ongoing criticisms. But Live Nation Entertainment continues working to improve the consumer experience and evolve with new technology.
Future Outlook
Live Nation and Ticketmaster appear well-positioned to recover from the effects of the pandemic as live events continue to return at scale globally. Investors are betting on the return of live entertainment and concerts fueling growth for Live Nation stock.
Other factors that could contribute to future growth and success include:
- Launching more dynamic ticket pricing and platinum tickets to capture more revenue from hot events.
- Transitioning fully to mobile ticketing and leveraging data to customize offerings.
- Using analytics to optimize ticket inventories and pricing strategies.
- Expanding venue and festival offerings in new geographic markets.
- Pursuing strategic partnerships and acquisitions when opportunities arise.
On the other hand, potential challenges Live Nation could face going forward include:
- Ongoing impacts if COVID resurgences occur and live events get cancelled.
- Growing government scrutiny over fees, prices, and competitive practices.
- Threat from new technologies that disrupt the ticketing business model.
- Reputational damage and lawsuits stemming from poor customer experiences.
- Security threats around ticketing platforms and event venues.
But overall, Live Nation Entertainment still holds an enviable position in live entertainment and significant long-term opportunities ahead. Its stock should remain an interesting play as the economy and industry recover from COVID-19 impacts. Investors are betting on the pent-up demand for concerts and live events fueling revenues and earnings growth for Live Nation in the years ahead.
Conclusion
In summary, Ticketmaster does not trade as its own public stock, but rather operates as a subsidiary of Live Nation Entertainment. Live Nation Entertainment trades on the New York Stock Exchange under the ticker symbol LYV. It was formed in 2010 after the major merger between concert promoter Live Nation and ticketing giant Ticketmaster. So for investors looking to invest in the dominant Ticketmaster ticketing platform, the Live Nation Entertainment stock is the appropriate option.
