May 14 2008 05:12 PM ET

Madonna teams with ticket seller StubHub

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Has Madonna taken to scalping her own tickets? Not exactly. But many music fans feared a bad precedent was being set when StubHub — a popular eBay-owned website where individuals and brokers resell sports and concert ducats — announced they’d forged a “partnership” with Madge and her promoter, Live Nation. Some assumed this meant blocks of tickets would be directed to StubHub, where they typically go for a much higher premium. Not so, says Chuck La Vallee, StubHub’s head of business development for music.

“She’s not going to be selling tickets on StubHub,” La Vallee says. “StubHub doesn’t own inventory, ever. It’s an endorsement, with Madonna saying: ‘Look, if the show is sold out, you can still find tickets here.’” The company won’t discuss terms of their deal with the superstar, though The Wall Street Journal reported that Madge will get a flat fee as well as a percentage of the income from the tickets being resold for her tour. StubHub doesn’t owe Madonna or any artist money from secondary market sales, so what’s in the cash handover for them?

addCredit(“Tom Munro”)

For starters, their logo on all the print ads and promo e-mails for her
tour, offering StubHub a leg up on rivals like Ticketmaster’s
TicketsNow site, not to mention Craigslist. More importantly, Madonna’s
imprimatur lends legitimacy to an industry some still associate with Fast Times at Ridgemont High‘s shady scalper, Mike Damone. But won’t every
artist be stampeding to get a piece of their StubHub action now? “I
don’t know if it’s quite a stampede,” laughs La Vallee. “We’ll weigh
our options on an artist-by-artist basis.”

For starters, their logo on all the print ads and promo e-mails for hertour, offering StubHub a leg up on rivals like Ticketmaster’sTicketsNow site, not to mention Craigslist. More importantly, Madonna’simprimatur lends legitimacy to an industry some still associate with Fast Times at Ridgemont High‘s shady scalper, Mike Damone. But won’t everyartist be stampeding to get a piece of their StubHub action now? "Idon’t know if it’s quite a stampede," laughs La Vallee. "We’ll weighour options on an artist-by-artist basis."

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