What does Apple Pay mean for Retailers?

Apple announced its newest products and everybody focused on the much awaited iWatch or the iPhone 6 and 6 Plus. The real news, however, both business-wise and from a consumer point of view is the launch of Apple Pay, an NFC (Near Field Communications) ready payment system. Simply put, Apple’s payment system allows customers to store credit card data on their iPhones and when the time comes, just tap to pay.

apple-paymentThe product launch was not unexpected. With the previous operating system launch, Apple packed several features that would allow for better mobile commerce. The iCloud Keychain was introduced to Safari in order to allow both faster logins to known websites as well as, in the future, a faster checkout.

With Apple Pay, the Cupertino company joins the omnichannel payment war as was predicted in this previous post. Google, Amazon, Ebay (through PayPal), AliBaba and even Facebook are trying to get a piece of the $15 trillion payments market. As banks and established financial institutions have failed to meet customer expectations in mobile payments, the gap between needs and available options will probably be filled by one of the tech titans.

Google tried its luck with the Google Wallet, Ebay’s PayPal is now crossing the bridge into offline teritorry and Facebook recruited Paypal’s former CEO David Marcus.  Marcus is the man that helped Paypal grow from $750 million in 2010 to $27 billion in 2013, so one can only assume Facebook is also serious about payments.

To help the product take off, Apple signed 220 000 merchants onboard its Apple Pay project. Among them: Mc Donald’s, Babies R Us, Macy’s, Staples, Sephora and of course, all Apple retail stores. The 220 k merchants are just 2.4% of the total 7 to 9 million merchants in the US but it is a great start given the fact that Apple has a habit on pulling seemingly impossible feats, starting with close to nothing.

For example the iTunes Store launched with not more than 200 000 songs and only Mac Users could move the purchased songs to their iPods By September 2012, it was home to more than 37 million songs, 700,000 apps, 190,000 TV episodes and 45,000 films. By February 2013, the iTunes store had sold more than 25 billion songs worldwide.

So yes, there is a pattern here and there is probably a whole lot of room for improvement in the payments area.

Apple Pay’s security

Although recent iCloud security issues clouded the product launch, the security behind the payment technology looks great. First of all it allows customers to save credit card data on their phone without exposing sensible details to potential hackers. It also features the Touch ID identification technique where users sign payments with their biometric input (the fingerprint).

The credit card information is not beemed online but rather stored in a special chip, on the iPhone, a hardware – software combination that Apple named Secure Element. When a transaction is processed, credit card details are not sent to Apple’s servers and the retailer can’t see the data. Instead, a proxy account number is issued that the retailers charges. Each transaction is secured by an unique security code that authenticates it. Apple has laid more layers of security then we came to expect and that should work just great. But take it with a pinch of salt because everything is secure untill it is not anymore.

The company states that it does not store transaction data regarding location, products purchased or the amount the customer has spent. That certainly leaves room to question why exactly would Apple choose not to store these valuable data. The answer lies with data from Bloomberg sources. According to these anonymous sources, Apple has partnered with banks in the system to receive a percentage from each transaction.

The banks involved are JP Morgan Chase & Co, Bank of America and Citigroup Inc. They agreed to integrate their cards into the system and alongside came three of the biggest card networks – Visa Inc., Mastercard Inc. And American Express Co.

So we have a great lineup for Apply Pay and although NFC payments where slow to take off, it seems that Apple’s incredible effort to bring every important player on board will be the push mobile payments needs right now.

As the company promissed it won’t charge users, merchants or developers, one of the biggest issues (the cost issue) seems to be out of the way. With customers using their mobiles more and more, retailers will be forced to adopt some form of omnichannel payment system.

How does Apple Pay benefit retailers?

Retailers and merchants in general receive several incentives to adopt NFC payment compliant technology.

First of all, the Apple Pay system allows a greater connectivity between online and offline sales channels. Customers can order products on the web store, in the brick and mortar stores or within a mobile app. The security and speed allow for greater ease of use.

The second big advantage is payment speed. By just tapping the phone, customers can pay within a 10 second timeframe, improving sales speed. This allows merchants to move customers through almost instantly.

Third big advantage Apple brings is an improvement in mobile purchases and payments. Although customers are so far browsing for products, they rather pay on the web store or order and pick up in a physical store. The biggest bottleneck is the mobile payment experience, one that is just awful for most retailers.

Famously Amazon has solved this issue with its One-Click Payments, where registered customers can use previously stored credit card data to move as fast as possible through the checkout process. Amazon’s patent sits at the heart of Apple’s payment system within iTunes, an extraordinarely usable example of mobile payments.

Actually that’s one of Apple’s strong points when implementing Apple Pay. The company will leverage almost 800 million iTunes accounts, most of them having their cards linked to the account. The magic of paying with a tap will now probably become mainstream.

Omnichannel Payments – Battle Between Giants

What comes to mind when you think digital payments? That would probably be PayPal. We all know Ebay subsidiary PayPal leads the game in digital Payments but now the game is set to change.

Paypal bets big on POS integration

Paypal bets big on POS integration

Although it does have the first mover advantage and has been going strong into omnichannel retail, PayPal is threatened by the largest tech companies in the world:

  1. First of all, company president David Marcus has resigned (or has been fired as rumor has it) to join Facebook. His mission – building a new type of … messaging tool. And by that I mean Facebook Payments.
  2. Google is pushing hard on its Google Wallet, a mobile bridge between online and offline sales. It is a fully NFC compatible payment system, which now accepts all major credit and debit cards, loyalty cards and discount cards. It also allows customers to save offers and buy using touch-to-pay systems.
  3. Everyone raved about the Amazon phone but the actual big news is … Amazon Payments. With over 200 million credit cards stored and the ability to pay with one click (for a very long time Amazon held the patent on that), Amazon is probably the biggest competitor to Ebay’s PayPal.
  4. Apple also has a huge database of credit cards stored on its server. It also has a massive database of customer options, customer history and a fully featured Keychain app built into Safari, ready to help customers do a quick checkout. Its wide device adoption allows it to become one of the most important players in the omnichannel payments area.
  5. Let’s not forget Ali Baba Group, the organization that controls over 84% of the fastest growing and biggest ecommerce market: China. AliPay is the group’s payment system, fully featured with the Yue Bao savings account. And now the company is set to have its IPO in the US.

Now this is the real Game of Thrones in the omnichannel world. Five tech monarchies are reaching for our wallets.

 

 

PayPal to Process More Offline Payments

Ebay subsidiary PayPal is dead serious about taking on a $10 trillion market: the Multichannel Payments Market. To do so it will have to prove its worthiness against older companies, especially in offline commerce.

Multichannel Payments

A steady increase in Ebay's Revenue. Biggest cash cow - PayPal, 41% of total revenue.

A steady increase in Ebay’s revenue. Biggest cash cow – PayPal, 41% of total revenue.

With more than 140 million registered users already, PayPal has the sweetest spot in the online payments today. Its acquisition of global payments company Braintree secured an additional 35 million registered users. As President David Marcus puts it – this is a part of an effort to redefine money and payments into what he calls “Money 3.0″ – a new way of looking at payments and how customers use them.

PayPal owner-company Ebay is at the front of what some would call a commerce revolution led by technology. Its three main branches (The Marketplaces, Ebay Enterprise and PayPal) all work together in this changing landscape.

The Marketplaces (including Ebay.com, Shopping.com and Rent.com) enable C2C Commerce, while Ebay Enterprise caters end-to-end multichannel commerce technology. Ebay Enterprise is the tech, operational management and marketing vendor for the likes of Toys’R’Us, Radioshack, Sony ant many others.

Between these two, the payment processing subsidiary PayPal leads the way in online payments. The company is Ebay’s most promising subsidiary, growing at 20% in 2013. As of 2011, it decided to go offline, allowing customers to handle their money, cards and PayPal wallets in one place.

POS solutions

paypalofflineTo increase offline usage, PayPal now offers point-of-sale solutions, mostly targeted at the new tablet-based counters. Store owners can easily implement its apps and start charging right away.

In an effort to increase adoption, PayPal started integration with third-party store management solutions such as ShopKeep POS, Booker, or Leapset.

Among its benefits for store-owners, Paypal lists security, quick implementation and an all-in-one approach to accepting payments, scanning barcodes, tracking inventory and sending invoices.

Customers willing to take their PayPal Wallet to an offline store account can pay by swiping their PayPal paycard, using their account or by paying online and picking up in store. Having a larger pool of companies accepting PayPal payments allows the company to securely handle all transactions, allow customers to receive loyalty points and handle all personal information.

Ebay and PayPal will stick together

paypal-growthSince Ebay purchased PayPal, both companies listed a successful increase in revenue. Ebay powered PayPal’s adoption to its marketplace users and in turn PayPal grew up to become one of Ebay’s most profitable subsidiaries, amounting to 41% of total revenue in 2013.

With the help from Ebay, PayPal grew from $600 million in mobile payments to $27 billion in just three years. The figures are posted on the 2014 annual shareholder meeting website, in response to Carl Icahn’s demand to spin PayPal off into a separate company.

Carl Icahn, one of the most notorious corporate raiders in the tech industry, demanded PayPal to be split into a separate company and become listed on its on. The board of directors fought his demands showing that even though the company is open to changes in the future, right now the two are working better together.

Luck would have it that shareholders reached an agreement to keep the companies together and handle the incoming commerce revolution as a whole.

“[...] we have moved aggressively to leverage PayPal’s integration with eBay to expand PayPal’s reach to millions of online retailers and to offline transactions. PayPal remains one of the fastest growing elements of the company – which helps explain why others are targeting the payments business but are far behind PayPal.”

John Donahue, Ebay CEO. Source.

 

AliBaba decides to take its IPO to the US. Is it taking on Amazon and Ebay? Not just yet.

In terms of global Ecommerce, this was a very interesting day. The Chinese wonder, Alibaba Group Holding, has decided to take its IPO to the States. The company, founded by ex-english teacher Jack Ma in 1999, is now on track to extend its influence outside China.

Jack Ma - founder of Alibaba.com

Jack Ma – founder of Alibaba.com

The company started as a way to connect Chinese manufacturers to the western buyers. It than evolved a B2C and C2C approach, an online payment solution (AliPay) and even an investment fund, Yu’e Bao.

The company’s growth has been mostly fueled by its B2B division, one very important gateway to China’s manufacturers, and its connection to Yahoo. The american company, although not in its best year, was lucky (wise?) to invest in AliBaba, when it was just starting. Although the group has been buying back Yahoo’s stocks, it is still largely (24%) owned by Yahoo.

Given AliBaba’s growth, Yahoo’s stocks have been bumped up. Some analysts suggest that 21$ out of Yahoo’s 37$ stock price come from AliBaba. The future looks great for both Yahoo’s stocks and AliBaba. In the IPO the Chinese company is expected to raise $15 billion, at a valuation north of $140 billion.

Is AliBaba ready to take on Amazon and Ebay?

The answer is … probably not. This might not be its target. As mentioned in an announcement on the corporate blog, AliBaba initially intended to be listed on the Hong Kong exchange. Its management structure, however, would not have the same influence in the case of a Hong Kong listing. Senior management, owners of 10% of the company are not willing to bend to Hong Kong’s rules and have thus decided to switch markets.

“We wish to thank those in Hong Kong who have supported Alibaba Group.  We respect the viewpoints and policies of Hong Kong and will continue to pay close attention to and support the process of innovation and development of Hong Kong.” – Source

Even though the company says it wants a global approach and a more transparent communication to the market, its senior executives still want the full control.

AliBaba needs two things right now: cash and popularity. It needs cash to keep up with its historic growth, as China’s economic growth is slowing down. It is still based in China, its main assets are Chinese manufacturers and it is China where AliBaba controls 80% of ecommerce. But Jack Ma was wise enough to share its company’s growth with Yahoo, which was a bless in terms of global reach and brand awareness. The company now needs to go a little further. The global media has its eyes on the New York stock exchange and AliBaba needs to show it is more than just another Chinese company.

It doesn’t matter that the company is already listing a tenfold increase in B2B transactions or the fact that the Chinese ecommerce market will reach$655 billion by 2020 . The spotlight is somewhere else. And AliBaba needs to be there.

The P2P (Peer to Peer) Banking Revolution. Can The Big Online Retailers Take on Banks?

Banks are one of those things people take for granted, whether they understand them or not . Their systems and inner workings are unknown to most of their customers. Their influence has, to some extent,  shaped the modern world. Strength, rigidity and, until recently, stability have been the common attributes for banks.

Change rarely, if ever, happens in the banking sector. When it does, it’s usually for the worse. Recently, however, something seems to have been shaking its very foundation: the evolution of electronic markets and peer to peer cooperation.

Commerce has been liberalized by the likes of eBay, Amazon and AliBaba. These companies are responsible for shortening the supply chain from manufacturer to the end consumers. As recent developments show, the banking sector is next. Who knows, maybe the companies that changed retail will also be those able to change banking.

Lending for the People: Top Peer to Peer Banks

Although just recently launched, some new companies have been taking the banking world by storm. These companies match lenders and borrowers, through a common marketplace platform, usually using auctions.

225px-Zopo-logoZopa, UK’s leading P2P lending company, offers a 5% return to lenders and charges 5,6% on personal loans. Apparently it works great as overall acceptance has been steadily rising. In the past 6 months alone the company has lend 100 million pounds, 25% of the total lend since it was founded in 2005.

Among the things responsible for a growth in P2P lending acceptance was the fact that traditional banks’ risk aversion that slowed lending to a halt. Savers have also been ignored by banks so they had no other choice but to turn to new methods of growing their savings. “UK savers seem to have been forgotten by the banking establishment, so it is not surprising more people are giving Zopa a try”, says Giles Andrews, CEO of Zopa.

isepankur-logoIt’s not just the UK or the western world that seems to have an appetite for P2P lending. IsePankur, an Estonian based P2P banking startup, has just added lending options to investors outside Estonia. The company was accepted quickly as an reliable financial player and now it lends money to 60 000 people. Although it tackled the  acceptance issue, it still has to deal with higher risks than UK-based Zopa. It manages this issue with the help of a high return on investments (aprox. 22%) that seems to be enough for everyone willing to lend against a default rate of 3%.

Source: Wiseclerk

Source: Wiseclerk

lending-club-logoGoogle itself is pretty interested in the P2P area as it purchased a share of Lending Club, valuating it at $1.55 billion. The company, based in San Francisco, is boastful about providing loans in 43 states and earning its investors more than $300 mil so far.

Lending Club was founded in 2007, 2 years after Zopa, by Renaud Laplanche and it has lend more than $2 billions in 2013.

lending club

Usual destinations for loans contracted on Lending Club

Deposits are also being disrupted. AliBabab.com shows a growth rate of 1211%

AliBaba.com, China’s main digital company, the biggest online retailer in the world has joined the banking digital revolution. It has recently launched the Yu’e Bao (“Remnant treasure”) fund , that allows its customers to capitalize on AliPay’s growth by depositing money in this fund.

Customers will use money parked in their accounts. Their funds can thus increase with the company’s development. Although it is taking on some of the largest and richest banks in the world, it shows an outlandish growth rate. “Yu’E Bao fund reached 4.24 billion yuan (USD 693 million) in Q2 2013, growing by 1211.33% in Q3″ it is reported.

Top 5 Ticket Sales and Event Management Companies. Have a look behind the curtains.

top5ticket_thmbLong gone are the days people would wait in line to buy tickets. Conferences, plays, movies, sports events – they all have one thing in common – the business model implies selling tickets and organising the event. With innovative solutions event managers and venue owners can now leverage the power of cloud solutions, CRMs, mobile apps and a bunch of other buzzwords.

In this post you’ll get a look at the champion and the challengers. The market is split between marketplaces (such as StubHub), ticket retailers (some of which are rather large – see Ticketmaster) and solutions providers, such as Xing Events.

SEE ALSO: Ticket Sales Business Models – The Retailer, The Marketplace, The “Enabler” Platform »

Let’s start with number 5 and count down to the king of the hill:

5. Cvent

cventCvent was founded in 1999 and since then it grew into a multinational company. Cvent is now present in more than 100 countries. It employs than 1400 people worldwide, and it just had its IPO in 2013. Hooray!

It’s mission is “to transform the events and meetings industry”. To do that it lists more than 200 000 hotels and venues all around the world.

As for its IPO – Cvent is doing damn well on the market. Unlike some other companies (cough.. cough… Facebook) they’ve had a steady growth right from the beginning. After listing their common stock at a price of $21.00 per share in august 2013 they had spectacular growth and they are now at $36.00 per share.

Cvent acquired SeedLabs (now CrowdTouch) in 2012

Cvent acquired SeedLabs (now CrowdTouch) in 2012

The company was cofounded by Reggie Aggarwal (CEO), Chuck Goorah (Sales and Marketing), David Quatrone (CTO) and Dwayne Sye (CIO).

Cvent may not be quite Mr. Popularity. I guess it has something to do with all corporate, suit and tie attitude their projecting, as opposed to a more Californian look. Nevertheless they are one fast growing tech company and they did steal the spotlight in 2011. That’s when they managed to raise $136 million – the biggest software investment deal since 2007.

After growing at a pace of over 50% every year until 2011 the company wanted to make sure they continue growing. In 2012 Cvent bought 2 mobile event management companies: SeedLabs (rebranded CrowdTorch) and Crowd Compass.

Cvent Key Takeaways:

  • Cvent is one of the fastest growing companies in event management software
  • It’s a multinational company with a taste for acquisition
  • It had its IPO in 2013 and it now has a market cap of over $1 billion

4. Xing Events (Former Amiando)

The company formerly known as Amiando was purchased in 2010 by Xing. Later on it was rebranded Xing Events. It’s worth mentioning that it was probably not a great exit for the company. Rumor has it that the €10 million paid for Amiando was not at all satisfying for early investors. Then again the company seems to be doing great in the last three years since the purchase.

Le Web partners with Amiando to manage events / sell tickets

Le Web partners with Amiando to manage events / sell tickets

Xing itself is not an overly popular company. It is a competitor to LinkedIn and that is a tough spot to be in. Being a german company they are doing pretty well in Germany. Zee Germans make up for 76% of Xing’s traffic. 90% of it’s traffic comes from german speaking countries (Germany, Austria and Switzerland).

It seems the joint venture took the best of worlds. In the last three years since the acquisitions, Xing, the social network, has been providing less value to Amiando than Amiando has been providing to Xing. Some fairly popular conferences organize their events and ticket sales using Amiando /Xing Events. One of them is Le Web, probably the most popular tech conference in Europe.

Xing Events’ best features are its integrated ticket sales / mobile app / entry management  solution. It allows its users to create event websites, customized ticket shops and process payments.

The product is now an end-to-end solution for event management and ticket sales and it’s growing fast, allowing Xing to expand its presence outside Europe.

Amiando Key Takeaways

  • Amiando was purchased by Xing in 2010 and has been growing steadily
  • It is now an end-to-end solution for event planning and ticket sales
  • The company acts as a payment processor / collector for ticket sales and charges a standard fee of approximately €1 / visitor + ~6% of ticket cost (registration fee + payment processing fee)

 

SEE ALSO: Ticket Sales Business Models – The Retailer, The Marketplace, The “Enabler” Platform »

3. StubHub

StubHub_logoStubHub, now a subsidiary of Ebay, is the world’s largest marketplace for secondary market tickets. It was founded in 2000 by Eric Baker and Jeff Fluhr, former investment bankers.

From the largest ticket marketplace in the US it quickly grew into world’s largest ticket marketplace, now serving US, UK and Canada. It is now the go to place for anyone looking into selling and buying tickets for sports events , concerts, theater and entertainment events.

After being featured in 2006 in Fortune 500’s fastest growing companies, StubHub was quickly purchased by Ebay for a reported $310 million . The company has now over 1250 employees and it’s expanding its operations quickly to keep up with growth. The mothership, Ebay, is actually forwarding ticket sellers to StubHub, in an effort to consolidate the market.

Interestingly, on of StubHub’s competitor, Viagogo, a company that has so far raised $65 million, was founded in 2005 by Eric Baker. Sounds familiar? It should. He’s one of the two guys that founded StubHub.

StubHub Key Takeaways

  • StubHub is the largest ticket marketplace for sports events, theaters, concerts and entertainment events
  • It was founded in 2000 and acquired in 2007 by Ebay for $310 million
  • It’s present in the US, UK and Canada

2. Eventbrite

Eventbrite Founders. Left to right: Julia Hartz, Kevin Hartz, Renaud Visage

Eventbrite Founders. Left to right: Julia Hartz, Kevin Hartz, Renaud Visage

Eventbrite is a self-service platform for managing and marketing events, selling tickets promoting events across social networks. It allows event managers to promote events and attendees to find these events and buy tickets.

The company was founded by Kevin Hartz and Julia Hartz back in 2006. Legend has it that after the two got engaged (notice the “Hartz”?) Julia moved to the Bay Area and helped setup the company . The platform was developed by Renaud Visage, current CTO and third co-founder. At the time the company was just a startup, Renaud was the only developer so for one year he developed, designed and maintained the platform.

Years later Renaud is still the CTO of Eventbrite. He is generous enough to provide those in the lookout for a roadmap to an $1billion company. Technically speaking. Here it is bellow:

Eventbrite did pretty well in 2013. 25% of its total sales up to date happened in the last 6 months.

Eventbrite did pretty well in 2013. 25% of its total sales up to date happened in the last 6 months.

In 2013 the company reported a total of $2 billion in total ticket sales, with $500 millions in the last 6 months. The company actually sold more in the past 6 months than it did in its first five years.

How did that happen – how could such a growth happen so fast? Two words: global expansion. Eventbrite started in the US but it’s now available in 7 languages and used in 179 countries.

“We… are ready to put even more power into our global presence” said Julia Hartz – Eventbrite President

Eventbrite has also acquired some companies on its way to the big payday (expect something big with this company). Eventioz and London-based Lanyrd were both acquired in 2013, after Eventbrite secured a $60 million investment, led by Tiger Investment Global.  The reason? Same as above – Global Expansion. Both companies listed above are doing great in the global presence department. Eventioz is an event planning and ticket sales leader in South-America. Lanyrd is a great resource for anyone looking into adding small and medium events such as “conferences, workshops, unconferences, evening events with talks, conventions, trade shows and so forth“.

Eventbrite Key Takeaways

  • Eventbrite is now the fastest growing mid-size events management platform
  • Its growth has been vastly accelerated in the past year
  • 25% of its total sales up to date happened in the last 6 months
  • Given the new investment, its fast growth and global expansion – expect something big coming up in 2014-2015. My bets are on an IPO/large acquisition deal. Maybe even trying to take on …

1. The King of the Ticket Hill: Ticketmaster

Ticketmaster is the granddaddy of all ticket sales and event marketing companies. It’s been founded in … get this … 1976. It’s the oldest and biggest company on the list. It has paid $388million for its three latest acquisitions, Front Line Management, SLO Ltd and Ticketsnow . That figure is 2.7 times bigger than Eventbrite’s total funding to date ($140million).

The company is the king of the hill when it comes to ticket sales for concerts. In 2010 it merged with Live Nation to create Live Nation Entertainment. Maybe you haven’t heard about the company but you’ve definitely heard about its operations. Besides its creepy “One nation under music” tagline, the company sports some of the most popular artists in the world.

Ticketmaster is a pretty big part of Live Nation Entertainment.

Ticketmaster is a pretty big part of Live Nation Entertainment.

The company manages artists, merchandise, tours and ticket sales for a bunch of artists you may have heard of: Jay-Z, Madonna, Beatles, U2, Justin Timberlake and more. Among them – this year’s media sensation: Miley Cyrus.

"That's Mr. King of the Hill".  There's no picture of Mr. Maffei not smiling but then again I think he's not the guy you want frowning.

“That’s Mr. King of the Hill to you!”.
There’s no picture of Mr. Maffei not smiling but then again I think he’s not the guy you want frowning.

On the company board sits mr. Greg Maffei, a seemingly not very important person, as he seems not worthy enough for his own Wikipedia page. He is, however, worthy of being the chairman of Live Nation Entertainment AND president of Liberty Media. Just as with LNE – you might not be very familiar with the company – but you do know its subsidiaries. Among them: Associated Press, Barnes & Noble, Time Warner, Viacom and others. Mr. Maffei seems to also be a pretty hard working guy: In 2012 he was the 3rd best payed executive in the US Media ($391mill). You may want to have a look at his payment sources (see previous link).

So that’s where Ticketmaster hangs around. With the big guys. It has the backing it needs, it has its ticket sales outlets, it has two fulfilment centers in  Texas and West Virginia. It has it all. So much that in 1995 Perl Jam accused Ticketmaster of excersing a monopoly over ticket distribution and used its market power to gouge consumers with excessive service fees. [see source]. The Justice Department, of course, cracked down on Ticketmaster’s unlawfully practices … oh wait… it didn’t. 

The Justice Department abruptly dropped the investigation without further notice. Of course that was a great decision for Ticketmaster. At the time the JD had its Antitrust resources stretched thin as it was investigating another company – Microsoft. Guess who owned 80% of Ticketmaster at the time? Well if it wasn’t Microsoft co-founder Paul Allen.

Ticketmaster is still the leader after a not so glorious past. Its practices are often frowned upon. Scratch that – Ticketmaster is actually one of the most hated companies in the US, its competitors are catching up and the company hadn’t had a stellar year in 2013. The company is a leader in its field. A hated, feared, sieged leader and it is a matter of time until it loses supremacy.

SEE ALSO: Ticket Sales Business Models – The Retailer, The Marketplace, The “Enabler” Platform »

Ticketmaster Key Takeaways

  • Ticketmaster is the largest company in ticketing and event management
  • It’s part of a very large conglomerate of businesses
  • It has a shady past and a gloomy future
  • Competitors will soon catch up

So these are the top 5 ticket sales and event management companies. There are, of course, others out there but this is a pretty good place to start if you want to get an understanding of ticket sales and event management industry.

There are also worthy mentions, smaller but very interesting companies such as Ticket Tailor, GuestManager and UK based Ticket Script.

SEE ALSO: Ticket Sales Business Models – The Retailer, The Marketplace, The “Enabler” Platform »

If in need for a more graphic overview on this post – click here to have a look at the “Ticket Sales Companies Infographic – Who’s Who”.

ticket-sales-infographic-thumb

The next post will focus on the anatomy of these companies, their business models and trends that will change the way we sell and buy tickets.

Google Checkout Checks Out – the Service to “Sunset” on November the 20th, 2013

Google checkout is soon to be dead. Recent changes to Google’s strategy made the product obsolete. The change will affect mostly physical goods merchants as Google offers options for digital goods and app sellers.

While PayPal can surely be happy about it, customers will not be. However, the company has partnered with companies providing payment processing options (Braintree), online store solutions (Shopify) and online invoicing (FreshBooks).

If anything – Google is moving even deeper into ecommerce services

Google Shopping Express

Google Shopping Express

The recent changes and Google Checkout’s “Sunset” (definitely a great spin) will not change the interest Google has for ecommerce services. The company is looking for places it can grab a larger market share, places with a faster growth rate. Here are some:

  1. Shopping Express – Same day delivery service for companies such as Staples (second largest online retailer), Office Depot, Toys’R’Us. Launched in march 2013, it expanded september 2013 to include the area between San Francisco and San Jose. It currently offers 6 months free trial to customers signing up until Dec. 31st
  2. Google Wallet Instant Buy – a service that provides a multichannel solution to payments, allowing customers to pay on mobile, on the desktop and in app.

Google is still interested in ecommerce. It just figured out Google Checkout was not going to happen.

So – if you are a Google Checkout customer – remember, remember, the 20th of November.