Amazon promotes the service on the basis that it shows ticket prices up front without extras, and customers of the shopping site can book easily via their online account. In a report from Reuters, the publication has heard from their sources that Amazon is apparently seeking to partner up with various venue owners in the United States in hopes that they will allow them to sell event tickets on their behalf, which could basically be encroaching into Ticketmaster's territory. Live Nation (NYSE: LYV) recently announced outstanding revenue numbers from Q2, stemming largely from the company's near-monopoly on the primary marketplace and growing business in ticket resale.
Sport leagues and teams are also keen to get more distributors and could utilise Amazon's customer base to boost their sales.
Amazon has talked as well to leagues regarding the potential secondary market of ticket resales, similar to StubHub, the report said.
But Amazon may be forced to work with Ticketmaster at first rather than against it. And the threat from Amazon is too real for Ticketmaster to ignore as well.
Amazon (AMZN) is reportedly keen to start selling event tickets in the US, a potentially very lucrative market that is now dominated by Live Nation Entertainment's (LYV) Ticketmaster.
Breaking into the ticketing market could prove to be hard for Amazon.
Reliable sources have also spoken of talks between Amazon and Ticketmaster on partnering, but the conversations came to a halt after disagreements on data management. However, Amazon has not been willing to share information on customer data, which is something that venue owners are interested in.
"It's all about Prime", said Brandon Ross, an analyst at BTIG in the Reuters piece. As a result, Amazon has decided it wants to go it alone. Amazon could secure large blocks of tickets for their Prime members for events that are high-demand, open pre-sales early or offer other benefits that are exclusive for members of Prime.