SeatGeek has acquired Israeli ticketing software company, TopTix, for $56 million.
The move gives SeatGeek the cutting-edge technology required to position SeatGeek Open as the ticketing solution of the future.
It also transforms SeatGeek overnight into one of the largest primary ticketers in the world.
The deal was financed by Series D investment and is the largest acquisition in SeatGeek’s history.
TopTix’ leading-edge ticketing platform and highly skilled engineering team will power the expansion of SeatGeek Open. Unlike conventional ticketing platforms, SeatGeek Open gives artists and teams the opportunity to sell directly to fans within other apps and websites. These could include popular ecommerce websites, travel tools and messaging sites.
According to SeatGeek, this is a radically different approach from that of industry incumbents, which limit the distribution of tickets. This approach benefits the artists and teams by massively boosting distribution and, therefore, sales.
Turning the Ticketing Industry on its Head
“As anyone who has spent time in the entertainment industry knows, ticketing is a pain point for teams, artists, venues, and their fans,” commented David Glynn of Glynn Capital.
“We believe that SeatGeek, strengthened by TopTix, is providing a better option through an innovative business model and best-in-class technology. We think that’s the key to turning a massive industry on its head.”
Early signs are promising. The first primary ticketing client to benefit from their joint expertise, Sporting Kansas City of Major League Soccer, has seen a 61% increase in online sales compared to last season.
“TopTix has by far the best back-end primary ticketing technology in the world. We humbly believe that at SeatGeek we have created what is easily the best user experience,” added SeatGeek co-founder, Jack Groetzinger. “Combining these two platforms together allows SeatGeek to deliver the most powerful -and only open – ticketing platform in the industry.”
TopTix, which currently processes 80 million tickets a year, will continue to operate as a subsidiary of SeatGeek, servicing clients around the world. The newly expanded SeatGeek now encompasses over 250 staff members, located in nine offices across six countries.
