Warner Inks Pact With Viagogo
Warner Music Group (WMG) has inked a deal with ticket reseller Viagogo, a ticket broker. This is the first deal where a major music label has partnered with a ticketing company. Viagogo, which already has ticketing deals with soccer clubs Bayern Munich, Manchester United and Chelsea, said under the deal fans could buy tickets that were being resold through Viagogo and receive additional downloads or videos. It would also allow Warner to tap into the cash stream and marketing information of fans provided by the secondary ticket deals.
Viagogo facilitates and guarantees the exchange between someone who wants to sell and someone who wants to buy live-event tickets and, in return, it takes a commission, which is a percentage of each exchange. Under the new deal, fans of Warner artists such as Madonna will be able to buy tickets that are being resold through the Viagogo Web site. In addition, the fans will have the option to get additional, free digital content such as downloads, ringtones and videos.
The partnership will launch initially in Britain and Germany this summer and Baker said he expected to announce further details within the music industry soon. The music industry has struggled in recent years due to Internet piracy and falling CD sales, which have not yet been offset by the growth of digital music. But the popularity of live music and concerts has remained strong.