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  1. #1
    Affiliate Summit Guy Shawn Collins's Avatar
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    Hi -

    I am looking into launching a program for a ticket broker (scalper) that carries all national events.

    Just wondering - what is the feeling amongst you all? Would you promote a ticket broker program?

    I realize that there are variables, such as compensation - assume that it would be a generous compensation - I'm wondering if there is a negative sentiment towards ticket brokers that would keep people from promoting them?

    Thanks in advance for your feedback.

    Shawn Collins

    scollins@clubmom-inc.com
    Director of Affiliate Marketing
    ClubMom, Inc.
    200 Madison Avenue, 6th Floor
    New York, New York 10016
    tel 646.435.6513
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    http://www.clubmomaffiliates.com

  2. #2
    ABW Ambassador
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    There's a big audience for tickets on the net, and the offer is worth considering.

    The stigma of scalpers, of course, is that the low life scalper gets the rewards for the performer's works. This is kind of like Gator sitting between the affiliate and merchant...skimming off the works of others.

    It is a big stigma to over come. I hate to be associated on things that push the edges of ethics and the law.

    Of course, the other big problem in the ticket market is that there are a few big players who are basically creating monopolies around ticket sales. These big fat monopolies aren't winning anyone's heart.

    Having a program that emphasizes the ability of people to buy and sell tickets as their plans change has a great deal of appeal as it empowers the individual. If your program was working proactively with the performance companies to make sure the performers benefitted from the ticket brokerage firm...then you would overcome the scalping stigma, and might even gain applause for breaking the current ticket monopolies.

    There are pros and cons, but I would look seriously at the product.

    Missoula - Short Stories

  3. #3
    2005 Linkshare Golden Link Award Winner  ecomcity's Avatar
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    It's a tough marketplace Shawn. I've done 3 sites and will do no more as the local brokers just seem to hate each other. Main problem is they do 98% of their business by phone so the 800# will siphon off all affiliate commissions. They also have to go outside the Tickmaster and Venue purchases and buy from individuals holding tickets. This type site also needs daily updates on tickets for sale and these guys aren't very computer literate for this chore.

    WebMaster Mike

  4. #4
    Pimp Duck popdawg's Avatar
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    I would, and in fact am.
    One of my domains will be changed in the near future (2 - 3 months) from a sports merchandise site to a sports resource site with merchandise on it.
    It will feature news, stats, schedules, etc and I am looking to add sporting event tickets as well. I have been looking at several different "ticket brokers" and the services they offer. Many of the smaller and easier to join ones have very poorly designed sites and don't instill a lot of trust.
    Same goes for another site which I am adding theater, concert and stage listings to.
    Do it right and you have certainly got my interest [img]/infopop/emoticons/icon_smile.gif[/img]

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    Acknowledging the addiction is the first step.

  5. #5
    Affiliate Summit Guy Shawn Collins's Avatar
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    Thanks for all of the feedback. There are (at least) two companies right now that offer databases of hundreds of ticket brokers:

    EventInventory.com and BrokerTix.com

    I am speaking with them, since they are third parties that process the orders, about whether they are willing to place the tracking pixels.

    The majority of sites and site owners are definitely low on the tech skills, but these third parties with real time stats are picking up the slack. Many brokers are starting to use frames and iframes for the third party sites, so they literally never have to update their own sites.

    The 800 number is definitely going to be an issue. I run the site for Platinum-Tickets.com, and the 800 number is currently all over the place. Since these guys do so much on the phone, it would be necessary to figure out an offline compensation plan.

    As far as legality, scalping is illegal in some places, but it's on the level in the D.C. & Baltimore areas. The brokers there have storefronts. Not to say some aren't shady - but not all.

    Shawn

  6. #6
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    One solution to the offline $ problem is to have affiliates send traffic to a COMPLETELY hermetic site that is a copy of the site that is used as the back-end for other kinds of traffic.

    In other words,

    - Site A is where all paid ads direct traffic
    - Site B is where all affiliates send traffic (and site B has no "leaks" pointing to Site A anywhere)

    Then since you know for a fact that all sales on Site B originated from some affiliate, you just take the $ total of all telephone orders at the end of each month, and divide it up in the ratio of the tracked affiliate sales.

    Simple example:-

    - Affiliate A makes $1,000 in "tracked" sales one month
    - Affiliate B makes $4,000 in "tracked" sales one month
    - Affiliate C makes $5,000 in "tracked" sales one month
    - The (affiliate-traffic-only) site makes $5,000 in telephone sales that month

    So the total of all tracked sales is $10,000. Affiliate A made 1/10th of that, Affiliate B 4/10ths and Affiliate C 5/10ths. So the telephone sales are allocated to Affiliate A ($500), Affiliate B ($2,000) and Affiliate C ($2,500)

    The net result of this exercise:-

    - Affiliate A now has $1,500 in commissionable sales for the month
    - Affiliate B now has $6,000 in commissionable sales for the month
    - Affiliate C now has $7,500 in commissionable sales for the month
    - The affiliate-only site has NO untracked sales left

    The above approach is, of course, not going to be satisfactory for everyone since some people will say "Hey, but maybe my traffic converts on the phone twice as well as the next guy's traffic." That may be true... but it's a heck of a lot better approach than saying "Sorry, we don't pay on phone orders" which is essentially what the vast majority of affiliate programs do.

    In other words, the above approach combines "pragmatic fairness" (it SOUNDS fair, even if some people would in the real world do a bit better or a bit worse) with simplicity (no need to force callers to remember extra digits, state "discount codes" etc. which means MORE SALES and therefore more $ for all concerned) and the affiliates are no longer pulling in a different direction from the site (with uncommissionable phone sales, clearly the site would like more such sales, the affiliate less such sales)

  7. #7
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> I am looking into launching a program for a ticket broker (scalper) <HR></BLOCKQUOTE>

    What? ..... No one watches Cops and wants to see the FBI in an unfriendly visit? Come ON!

    Freaking WOW!

    <font size="2" face="Verdana">Haiko


    The secret of success is constancy of purpose. ~ Disraeli
    </font></p>

  8. #8
    Resident Genius and Staunch Capitalist Leader's Avatar
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    I've looked at those programs before and not a single one of them makes me confident of getting a check/deposit, whether network or independent! Plus, I was actually looking to sign up with a big place like Ticketmaster, not a group of individuals. So I'll pass. Not because of the scalping itself, but because it seems to be a very unstable type of industry--and the legal issues.

    Legally, what happens when the feds determine that these people are selling across state lines, into areas where scalping is illegal? Good luck getting paid if the broker ends up in the pen...

    Also, promoting a legally iffy service is legally iffy in itself (at best).

    As for the scalpers costing the performers money, that sounds like bunko for this reason: Someone had to get ahold of the ticket in the first place, probably by buying it through normal channels. So the performers got their "commission" when the ticket was originally sold. How many hands it goes through after that really should be none of their concern, IMO--the performers sold the ticket to someone...if that someone turns around and gets an extra $200 profit for reselling the thing then good for them.

    There is no knowledge that is not power.~~Ralph Waldo Emerson

  9. #9
    ABW Ambassador
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    I'd have no problems doing it on any moral or ethical grounds. It's call a "free market." That's just the system America has, and of course, we love it.

    However, I would point out, you have a lot of competition. No one has even mentioned ebay, and if you search for "tickets" on ebay, you'll find thousands.

    If you do forward, I wish you luck.

    http://SearchToSale.com - Turns your search box into money.

  10. #10
    Affiliate Summit Guy Shawn Collins's Avatar
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    Hi Leader -

    While some ticket brokers are new, many of these companies have been around for years (much longer than a lot of the popular Dot Coms).

    Just like I'd advocate due diligence before promoting any affiliate program, I would encourage checking into any ticket broker before promoting.

    For the record, I am not aware of any broker being arrested for their trade - they simply do not set up offices in places where it is illegal. For instance, ticket brokers for the NYC area run offices in Union City, NJ (just outside of the Lincoln Tunnel), since it's legal to be a ticket broker in NJ.

    Shawn

    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Leader:
    I've looked at those programs before and not a single one of them makes me confident of getting a check/deposit, whether network or independent!

    Legally, what happens when the feds determine that these people are selling across state lines, into areas where scalping is illegal? Good luck getting paid if the broker ends up in the pen...

    Also, promoting a legally iffy service is legally iffy in itself (at best).

    <HR></BLOCKQUOTE>

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